💨 Abstract

When looking for mutual fund ideas, beginners often focus on past performance, but this can lead to unrealistic expectations and overlooked risks due to survivorship bias and high fees associated with actively managed funds. Many top-performing funds, like those from Fidelity, are heavily weighted in U.S. growth and tech stocks, which may be overvalued. Fidelity's top funds include Fidelity Nasdaq Composite Index Fund (FNCMX) with a 16.1%

Courtesy: WTOP Staff