Here's the top 3 fidelity index funds to consider in the year 2022. Number one is going to be the
fidelity nasdaq composite index fund. This fund has zero transaction fees, so you can buy into the
fund without paying any fees. The expense ratio is 0.29 percent which is pretty low and there's
zero dollar minimum to invest. So you can invest a dollar, you can invest a thousand dollars,
there's no minimum amount that you need in your account to invest in this fund. Let's
look at the annual rates of return last year, it did 22.22 percent and over the last 10 years,
it has averaged year over year 20.76%. Let's look at the top 10 holdings within this fund:
Number one is going to be apple, which means this fund owns a large chunk of apple stock compared to
any other stock that they have within the fund. Now it doesn't mean that it's the majority of the
fund, like there's 40 percent apple stock within this fund, there may only be five or six percent.
But compared to other stocks there may only be two to three percent of the fund in google or facebook
or tesla. Within the top ten they're all companies that you've probably heard of because these are
large u.s companies that have large capitalization and if you do want to buy this fund or any other
fund mentioned in this video when you're logged into your fidelity account you just hit the green
buy button and you select which account that you want to purchase the fund from. Whether you have
a traditional ira, a roth ira or a brokerage account. And select the dollar amount that you
want to purchase of this fund. If you're having trouble finding the fund you can always search it
by just the ticker symbol which is abbreviated as "fncmx" instead of spelling out the total fidelity
nasdaq composite index fund. You just use the ticker symbol and you can find it and purchase it.
Number two is going to be the fidelity u.s sustainability index fund. This is
a newer fund that fidelity has created back in 2017 and has performed really really well
since its inception. Let's look at the rates of return for the last year, it did 31.57 percent
and in the last three years it's done 27.11%. It hasn't hit the five-year stat yet,
but over the life of the fun it's on 19.01%. The expense ratio is really really low,
0.11 percent and there is zero dollar minimum to invest. As well as no transaction fee to buy
the fund, so you're not going to pay any fees to purchase amount of stock within this fund
and you're going to expend a really really low expense ratio to keep your money within the fund.
This fidelity fund is meant to mirror the msci usa esg index which that index invests in mid to
large-sized u.s companies with high environmental and social performance relative to their sector
peers. So if we look at the top 10 holdings within this fund it's going to be microsoft,
google, nvidia, johnson johnson, visa, home depot, mastercard... companies that you've heard of,
midsize to large u.s companies that are socially or environmentally friendly.
And the third and final index fund that I'll mention in this video is going to be the fidelity
500 index fund. Just like warren buffett said you can never go wrong with investing in the s&p 500.
And if he were to only pick one investment for his entire life it would be the s&p 500. The
fidelity 500 index fund is meant to mirror the s&p 500. The s&p 500 used to be made up of 500 best
u.s companies, typically mid to large size, now there's a little bit over 500 companies. Now the
rates of return for this index over the last year was 28.69 percent, five years 18.46% and over the
last 10 years it has averaged 16.54%. The expense ratio for this one is going to be the lowest out
of any other fund mentioned in this video = .015%. Which is super super low even for an index fund
and there is zero dollar minimum to invest within this fund. So you can invest a dollar,
a thousand dollars or whatever amount you choose. And if you look at the top 10 holdings within the
s&p 500 it's going to be a lot of common u.s stocks of companies that you've heard of. Now
there are a lot of tech companies mixed into the top 10 holdings within this s&p 500 fund however,
it doesn't mean the s&p 500 is purely a tech fund. It just happens to be that in the united states
tech companies have performed really really well. So there's going to be a good amount within the
s&p 500 but there are also some energy stocks, there's also some real estate stocks, there's
also some utility stocks, within the s&p 500. Thanks for watching this short and quick video
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