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Fmagx Surpasses $90 Billion in Assets, Primed for Continued Growth

Strategic Insights

— 1 min read

Fmagx, the American flagship mutual fund managed by Robert Stansky, has exceeded $90 billion in assets, a significant milestone achieved through its strong performance in the technology sector. According to Donald R. Dion, Jr., publisher of the Fidelity Independent Adviser Newsletter, this achievement surpasses the total invested in all U.S. stock funds just 15 years ago. Stansky's aggressive buying strategy in the internet, technology, and retail sectors has contributed to Magellan's success, with the fund outperforming its competitor, the Vanguard Index 500 Fund, in 1998 and continuing its winning streak in 1999.

Key Takeaways:

  • Fmagx, managed by Robert Stansky, has surpassed $90 billion in assets, marking a significant milestone in the fund's growth.
  • This achievement exceeds the total invested in all U.S. stock funds just 15 years ago, according to Donald R. Dion, Jr., publisher of the Fidelity Independent Adviser Newsletter.
  • Magellan's strong performance is attributed to Stansky's aggressive buying strategy in the internet, technology, and retail sectors.
  • The fund has outperformed its competitor, the Vanguard Index 500 Fund, in 1998 with a return of 33.6% vs. 28.6% for Vanguard.
  • Stansky's focus on running the fund like a classic growth fund, similar to Peter Lynch's approach between 1977 and 1990, has contributed to Magellan's success.
  • Magellan has 25.5 percent of its assets in the technology sector, significantly higher than the 21.8 percent allocation in the S & P 500.
  • The fund's performance under Stansky's leadership has improved since mid-1996, outpacing the fund's past performance metrics.

Statistics:

  • $90 billion in assets, surpassing the total invested in all U.S. stock funds just 15 years ago.
  • 25.5 percent of Magellan's assets allocated to the technology sector, significantly higher than the 21.8 percent allocation in the S & P 500.
  • 33.6% return for Magellan in 1998, outperforming the Vanguard Index 500 Fund's 28.6% return.
  • 25,000 individual readers in 50 states and 25 countries for the Fidelity Independent Adviser newsletter.
  • 4 million Americans invested in Magellan, according to Donald R. Dion, Jr.

Sources:

  • BUSINESS WIRE
  • Fidelity Independent Adviser Newsletter, Donald R. Dion, Jr., publisher
  • Fidelity Magellan Fund, (NYSE:FMAGX)
  • Microsoft Corp., (NASDAQ:MSFT)
  • America Online, Inc., (NYSE:AOL)
  • Intel Corp., (NASDAQ:INTC)
  • Cisco Systems, Inc., (NASDAQ:CSCO)
  • Wal-Mart Stores, Inc., (NYSE:WMT)

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