A Comparison of FSAGX, FRESX and FSMAX Returns
After yesterday’s post and joe’s comment, we thought we were probably missing something. So we went and looked at the annual return on the three mutual funds we were considering to buy – FSAGX (Fidelity Select Gold), FRESX(Fidelity Real Estate Investment) and FSMAX(Fidelity Spartan 500 Index Advantage).
Are we missing something here if we still want to pick FSAGX for our investment? Are we overlooking a basic flaw in our judgement?
May I make one further observation?
See this chart: http://www.gold-eagle.com/charts/33yeargold.gif
If you bought after the last run up in 1980, you’d have 28 years of nearly 0% return. I don’t know if gold will go to $2000 or $200. But for me, it’s not an investment, it’s a gamble. REITs, on the other hand, you can research, find one or two with good properties and a yield likely to rise over time. Forbes in their 3/10 issue had an article on REITs worth the read.
JOE
[...] leads me to the topic of today’s post. Back in March, another blogger, whose blog is titled Unequivocal Notes said she was considering a gold fund, and I posted a brief comment to try to steer her away from [...]
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