Fcntx vs anfcx?

**FCNTX (Fidelity Contrafund)** and **ANFCX (American Funds New Economy Fund)** are both strong mutual fund options, but they differ significantly in their investment approach, sector focus, and performance characteristics. Here's a detailed comparison:

### Investment Approach and Philosophy

1. **FCNTX**:
- **Strategy**: Actively managed, large-cap growth fund with a focus on capital appreciation.
- **Management**: Managed by a team of investment professionals, including Will Danoff, with a bottom-up fundamental analysis approach.
- **Sector Allocation**: Heavily weighted in technology, with a diversified portfolio across financials, consumer discretionary, and information technology.
2. **ANFCX**:
- **Strategy**: Growth-oriented fund that invests in companies benefiting from innovation and economic growth.
- **Management**: Managed by Capital Research and Management Company, with a focus on long-term growth and current income.
- **Sector Allocation**: Broad exposure across sectors, including information technology, but with a focus on companies that can benefit from global economic trends.

### Performance and Risk

1. **FCNTX**:
- **Recent Performance**: 5-year CAGR of 12.61%, with higher volatility (18.25% standard deviation over the past 5 years).
- **Risk Profile**: Higher beta (0.98) indicates greater volatility compared to the market.
2. **ANFCX**:
- **Recent Performance**: 5-year CAGR of 11.42%, with lower volatility (14.27% standard deviation over the past 5 years).
- **Risk Profile**: Lower beta (0.76) suggests less volatility than FCNTX.

### Costs and Minimum Investments

1. **FCNTX**:
- **Expense Ratio**: 0.76%.
- **Minimum Investment**: $250, with $50 increments.
2. **ANFCX**:
- **Expense Ratio**: 1.50%.
- **Minimum Investment**: No specific minimum, but may have institutional restrictions.

### Which One to Choose?

1. **For Growth Focus**: Choose **FCNTX** if you are seeking higher growth potential with a strong focus on technology and innovation-driven companies.
2. **For Stability and Diversification**: Opt for **ANFCX** if you prefer a more balanced portfolio with broader sector exposure and a focus on long-term growth.

### Conclusion

Both funds have their strengths and are well-suited to different investor profiles. **FCNTX** is ideal for investors who can handle higher volatility for potentially greater returns, while **ANFCX** is better suited for those looking for a more diversified portfolio with a focus on stability and long-term growth.