Investing in equity sector funds in a tax-deferred account, such as the Fidelity Personal Retirement Annuity (FPRA), provides targeted exposure to specific segments of the economy, allows you to trade and rebalance without tax consequences,1 and eliminates the need to track and report capital gains and losses. It's important to keep in mind that because of their narrow focus, sector funds can be more volatile than diversified equity funds.
Sector model portfolios for Fidelity Personal Retirement Annuity® (FPRA)
May be appropriate for clients looking to manage downside risk while seeking long-term growth
Available sector funds
Companies that manufacture goods or provide services that people want but don't necessarily need
Companies that provide goods and services that people use on a daily basis
Companies engaged in businesses such as banking and brokerage, mortgage finance, insurance, or real estate development
Companies engaged in the production and delivery of medicine and health care–related goods and services
Companies engaged in the manufacturing or processing of chemicals and plastics, the harvesting of forests, or the extraction of metals and minerals
Companies engaged in the real estate industry and other real estate–related investments
Companies engaged in the production and delivery of electric power, natural gas, water, and other utility services
Before investing, consider the investment objectives, risks, charges, and expenses of the fund or annuity and its investment options. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.