|Key People||Abigail Johnson, Chairman and CEO; Chairman Emeritus Edward Crosby ("Ned") Johnson III|
|Products||Retail investment products and services|
Fidelity Investments is the second largest mutual-fund provider in the U.S., after Vanguard Group. It has also expanded beyond this base by offering investors a broad array of investment products. Its most famous fund manager was the legendary Peter Lynch of the Magellan Fund.
The firm has about $2 trillion of assets under management (as of October 2014).
The Fidelity Fund was founded in 1930 and acquired by Edward C. ("Mister") Johnson II in 1943. Three years later Johnson launched the Fidelity Management & Research Co. (FMR) as an investment adviser to the fund. 1957 his son, Edward C. Johnson III, joined Fidelity as a research analyst and succeeded his father at the helm in 1972. The firm has grown since then to reach $1 trillion in assets under management. Edward Johnson III's daughter, Abigail Johnson, took over as CEO of the company in 2014.
Products and Services
Fidelity Investments manages stock funds, index funds, asset-allocation funds and bond funds that are rated four-star or five-star by ratings agency Morningstar. Those funds fall into the following categories:
- Domestic equity
- International equity
- Specialty/sector equity
- Real estate equity
- Stock index
- Bond index
- Asset allocation
- Taxable bond
- High yield bond
- International bond
- National municipal bond
- State municipal bond
One Up On Wall Street
The former manager of Fidelity's high-growth Magellan Fund from 1977-1990, Peter Lynch, has become one of the world's best-known fund managers thanks to the phenomenal success of his stock-market investing guidebook One Up On Wall Street. Lynch and Fidelity recently made news of a different sort when it was revealed that he and other personnel received perks like tickets to Boston Red Sox games and U2 concerts from brokers apparently looking to build transaction commissions.
Key Peoplenet worth of $6.5 billion, was recently #33 on the Forbes 400 richest Americans list. Forbes called Johnson "famously frugal" and a "phenomenal stock-picker" who still questions his fund managers on their picks. Since taking the helm, the younger Johnson has broadened Fidelity's base of funds by investment strategy and has successfully marketed them to a wider retail investor base. He has also insisted on keeping Fidelity private to shield it from short-term market pressures and allow it to make long-term investment decisions in technology.
- History. Fidelity.
- Four and Five Star Fidelity Funds. Fidelity.
- One Up On Wall Street: How To Use What You Already Know To Make Money In The Market. BarnesandNoble.com.
- Lynched. The Economist.
- Fidelity Chief Abigail Johnson to Succeed Father as Firm’s Chairman. The Wall Street Journal.
- #33 Edward Crosby Johnson III. Forbes.