Conference nyoss1::market_investing

    Fidelity Asset Manager is an excellant tool for intelligently
    diversifying without the hassles of actively managing the allocation
    of capital amongst the three major investment classes (stocks,bonds,cash). 
    The performance has been excellent for the fund type (about 15%/annum).
    Highly recommend FAM to anyone for almost any conservative investment
    strategy.
    				Dan D
    
    

    Umm, be careful about referring to "Fidelity Asset Manager" as "FAM".
    
    There is a fund out there, whose real name is "FAM Value", which has no
    connection to Fidelity.

    
    I like the Fidelity Asset Manager fund.  You aren't going to get rich
    overnight with it, but in general I've liked the cash/bond/stock
    allocations that the fund has chosen over time.
    
    There is an Asset Manager: Growth fund as well, which is similar but
    which is allowed to hold a larger percentage in stock if the manager
    desires.  I haven't followed it enough to comment on it.

This isn't directed to Fidelity Asset Manager specifically, but Asset Allocation 
type funds in general.  If say there are 3000 investors in a particular fund, 
with different needs, and different situations, how can one single allocation 
match all of their needs?  It seems to me that asset allocation has to be decided
on an individual basis, with specific timeframes, income, total assets, and goals
in mind.  I also remember reading in Morningstar that they typically have above
average expense ratios.

michael

    Investing can be as simple or as complicated as you want it to be. The 
    general function of an Asset Allocation Fund is to provide
    diversification over a broad spectrum of investment classes in one
    fund. The key is diversification within one fund. There are many types
    of funds and they are all managed a little differently. Stock funds
    tend to have most of there assets in stocks and some cash for buying
    purposes. This strategy locks you into stocks only. There are balanced
    funds wich hold both stocks and bonds. The main advantage of an asset
    allocation fund is flexibility in changing economic climates. The fund
    manager attempts to preserve capital and maximize gains as any fund
    manager but has more latitude as to best accomplish this task.
    
    If you want to manage your own allocation strategy you can buy
    a mix of different types of mutual funds and attain a similar result
    but the one-fund approach just makes allocation strategy a no-brainer
    other than faith in the fund to do the right moves.
    
    Diversification is the key to long-term performance and capital
    preservation and Allocation funds make it easy for anyone to have 
    professional managers do the strategizing for you. You can always do
    your own thing.
    			My 2 cents,
    				Dan D  

    Thanks to all.  I have also been pleased with Asset Manager (although
    the letter from Fidelity concerning lower performance for the coming
    short term was not what I wanted to hear).  Meanwhile, anybody have an
    opinion on Puritan as a bit more stock/bond oriented Fund to be held
    in conjunction with Asset Manager?

I've had Puritan in my IRA since 1986.  It crashed hard in 1987, and it has
never rebounded well.  Right now it seems to be fairly high compared to its
1987 low, but I haven't made very much.  

It does have a 2% load for a non-IRA account.  The load is waived for IRA
accounts.  

I plan on selling it this year and taking my small profits 
and putting them into Fidelity Equity Income II.  This seems to be similar
to Puritan, but to be doing better.

but I think Equity Income II just had a management change....might want to look
elsewhere for your historical data (like the fund the present manager came from).

mtb

    
    Fidelity's Equity Income II has not just changed hands ...
    
    	Fund manager is Brian Posner who has been there since 4/92.
    
    	In CY92 it earned 19.06 %, In january 93 it earned 2.73%
    
    	It's current net assessts are 2,461.6 milliong as of 1/31/93
    	with 70% in stocks, 7% in converts, 5% in bonds and 17% in cash
    
    	Equity Income II is a no load fund ... with 2,500 minimim first
    	investment, and $250 repeat investments. Management fee is 0.53%
    
    I have been in the fund since late 91 and have been enjoying my
    returns. you mileage and risk may vary ...
    
    btw -- the information is from Fidelity's Mutual Fund Guide.
    
      
    

    
    How would Equity Income II fare in a level to bearish market?  Forbes
    describes Puritan as a "B" grade investment in a down market and an
    "A" in an up market.  Sorry to say, I don't have the Forbes article
    to check their view of EI2.
    

For those that helped me form an opinion, have I waited too long to get into
Puritan?  Is it too late to bother?  Needless to say, my indecision caused me
to miss a good opportunity as the past quarter has proven.  Any comments?

    
    Puritan has gone up 9.1% in the last 3 months, 22.06% in the last year
    and has averaged 15% in the last 10 years ( source April 93 Fidelity
    mutual fund guide ).  The fund manager has been there since 4.87 and
    the fund has 6.7 BILLION in assests ( upper end even for fidelity ).
    The asset allocation on 2/29/93 of 47.4% stock, 8.0% converts, 44.6%
    bonds and 0.0% cash ( unusuall for fidelity fund to be fully invested
    lately ) ...
    
    Your mileage may vary - do you look at the track record, do you get
    scared off because it is a large fund, do you like the asset allocation
    in the current market -- the choice and risk are yours ...
    
    in my opinion - its not to late ... your mileage may vary ...
    
    jgk
    

Just out of curiosity...what will the downturn in the Japan stockmarket do to
this (and other funds of this type) asset allocation fund?  Also, when is
the best time to buy into this fund?

Thanks,

Bob