Reasons to consider Fidelity enhanced index funds
- Potential to outperform a benchmark without taking on significantly greater risk
- Professional qualitative and quantitative management
- Fund managers use computer-aided, quantitative analysis in an effort to achieve these higher returns, as well as accounting for metrics such as historical valuation, growth, and profitability.
How Fidelity enhanced index funds work
In building a Fidelity enhanced index portfolio, managers rely on a multilayered, systematic investment approach that accounts for both technical indicators and fundamental insights, allowing them to quickly respond to changing market and economic conditions.
This methodology analyzes and ranks companies on many levels, ranging from the impact of shifts in the broad economy and industry-specific issues to information from related markets. The result is a portfolio built around a diversified set of criteria, which allows the portfolio management team to target high-value, profitable companies with attractive growth prospects.