Fidelity Investments will close its $63.8 billion Contrafund, currently its largest, to new investments as of April 28, Securities and Exchange Commission filings show. The fund has delivered an average annual return of 10% over the past five years, handily beating the S&P 500, which has averaged not quite 4% a year in that time frame. It is precisely these outsized returns that have attracted investors' attention; in the past 14 months through February, the fund has taken in $10 billion in net new flows. Fidelity said the main reason Contrafund Manager Will Danoff wants to close the fund is to protect his ability to deliver strong returns.
(c) 2006 Money Management Executive and SourceMedia, Inc. All Rights Reserved.