Investment objective
To achieve returns in excess of the S&P/ASX 200 Mid Small Index over the suggested minimum investment time period of five to seven years.
A diversified portfolio of 40-70 small-to mid-cap Australian companies.
Uses a rigorous bottom-up stock selection process that focuses on finding attractively valued companies with strong competitive positioning and sound company management.
A strong emphasis on building a diversified and balanced portfolio that aims to deliver more consistent returns through different market cycles.
Key facts
Fund performance2
Net returns as at 31 August 2019
| Timeframe | Fund | Benchmark | Active return |
|---|---|---|---|
| 1 yr % | 13.71 | 1.42 | 12.29 |
| 3 yr % pa | 15.49 | 9.24 | 6.25 |
| 5 yr % pa | 15.89 | 10.21 | 5.68 |
| Since inception (22/07/13) % pa | 15.87 | 11.08 | 4.79 |
| Timeframe | 1 yr % |
3 yr % pa |
5 yr % pa |
Since inception (22/07/13) % pa |
|---|---|---|---|---|
| Fund | 13.71 | 15.49 | 15.89 | 15.87 |
| Benchmark | 1.42 | 9.24 | 10.21 | 11.08 |
| Active return | 12.29 | 6.25 | 5.68 | 4.79 |
Total net returns represent past performance only. Past performance is not a reliable indicator of future performance. Returns of the Fund can be volatile and in some periods may be negative. The return of capital is not guaranteed. Benchmark: S&P/ ASX Mid Small Index.
See for yourself how the fund has performed since inception. The chart below represents the value now of $10,000 invested in the Fidelity Future Leaders Fund in July 2013 compared with $10,000 invested in the S&P/ ASX 200 Mid Small Index.
Chart as at: 31 August 2019
Total net returns represent past performance only. Past performance is not a reliable indicator of future performance. Returns of the Fund can be volatile and in some periods may be negative. The return of capital is not guaranteed. Benchmark: S&P/ ASX Mid Small Index.
Net as at 31 August 2019
| Total return | Growth | Income | |
|---|---|---|---|
| 1 yr % | 13.71 | 12.53 | 1.18 |
| 3 yr % pa | 15.49 | 13.42 | 2.07 |
| 5 yr % pa | 15.89 | 13.84 | 2.05 |
| Since inception (22/07/13) % pa | 15.87 | 13.86 | 2.01 |
| 1 yr % |
3 yr % pa |
5 yr % pa |
Since inception (22/07/13) % pa |
|
|---|---|---|---|---|
| Total return | 13.71 | 15.49 | 15.89 | 15.87 |
| Growth | 12.53 | 13.42 | 13.84 | 13.86 |
| Income | 1.18 | 2.07 | 2.05 | 2.01 |
Growth return is the unit price movement on exit to exit basis. Income is expressed as Total Return less growth component.
Total net returns represent past performance only. Past performance is not a reliable indicator of future performance. Returns of the Fund can be volatile and in some periods may be negative. The return of capital is not guaranteed. Benchmark: S&P/ ASX Mid Small Index.
Sectors, holdings and distributions
As at 31 July 2019
As at 31 July 2019
| % total net assets | |
|---|---|
| RESMED INC | 6.4% |
| MAGELLAN FINANCIAL GROUP LTD | 4.8% |
| ALTIUM LTD | 4.4% |
| FISHER & PAYKEL HEALTHCARE CORP | 4.0% |
| XERO LTD | 4.0% |
| NORTHERN STAR RESOURCES LTD | 3.8% |
| EVOLUTION MINING LTD | 3.7% |
| WORLEYPARSONS LTD | 3.6% |
| CHARTER HALL GROUP | 3.6% |
| REA GROUP LTD | 3.5% |
As at 31 July 2019
| Fund % | Benchmark % | Relative % | |
|---|---|---|---|
| RESMED INC | 6.4 | 1.8 | 4.6 |
| FISHER & PAYKEL HEALTHCARE CORP | 4.0 | 0.5 | 3.5 |
| ALTIUM LTD | 4.4 | 1.0 | 3.4 |
| MAGELLAN FINANCIAL GROUP LTD | 4.8 | 2.0 | 2.8 |
| PRO MEDICUS LTD | 2.8 | 0.3 | 2.5 |
As at 31 July 2019
| Fund % | Benchmark % | Relative % | |
|---|---|---|---|
| SEEK LTD | 0.0 | 1.7 | - 1.7 |
| BORAL LTD | 0.0 | 1.4 | - 1.4 |
| BENDIGO AND ADELAIDE BANK LTD | 0.0 | 1.3 | - 1.3 |
| ALUMINA LTD | 0.0 | 1.3 | - 1.3 |
| A2 MILK CO LTD | 1.8 | 2.9 | - 1.1 |
| Distribution | Distribution (CPU) | Reinvestment price |
|---|---|---|
| 28-Jun-19 | 13.805 | $20.9967 |
CPU = cents per unit. The above cash CPU excludes imputation credits and foreign income tax offsets which are non-cash components and are reported in the end of year tax statement. If the Distribution CPU column is 0.0000 it means that nothing was distributed.
Fund downloads
- The case for small to-mid caps(662.24KB)
- Product Disclosure Statement(106.11KB)
- Fund flyer(980.97KB)
- Application form(990.86KB)
- Monthly fund fact sheet(90.53KB)
- Additional information(72.16KB)
- Quarterly fund fact sheet(96.59KB)
Fund ratings3
| Organisation | Rating / Recommendation |
|---|---|
| Lonsec |
Rated4
The Lonsec report is only available to financial advisers, please contact us for a copy
|
| Morningstar | Gold5 |
| Zenith | Highly Recommended6 |
Morningstar 2019 Australian Fund Manager of the Year Award - Domestic Equities Small Small Cap Category7
From the desk of James Abela
Hear James’ insights into mid-small cap companies, the market and his fund by subscribing to his regular update.
Related insights
The case for small to mid-caps
If you research Australia’s largest listed companies, you’ll discover that some of them were much smaller stocks not that long ago. Small or medium companies can be overlooked, given they’re often considered riskier than their large cap peers.
Themes, lessons and thank you
The strong bounce in the Australian equity market in February was broadly interpreted as unsustainable due to lower earnings expectations and weaker outlooks. However, a number of companies reported a more confident outlook and as a result energy, metals, financials, technology, healthcare and industrials all performed better than expected.
Fidelity Future Leaders Fund wins again at the 2019 Morningstar Awards
The Fidelity Future Leaders Fund has won the Morningstar 2019 Australian Fund Manager of the Year Award- Domestic Equities Small Cap Category* for the second year in a row at the annual 2019 Morningstar Awards held in Sydney on 1 March 2019.
2019 outlook: Australian small to mid-caps
In Australia, while economic indicators remain strong, concern about the many late market cycle signals is growing.
This Fund is subject to the risk of stock market fluctuations. Investors accessing the Fund through a master trust or wrap account will also bear any fees charged by the operator of such master trust or wrap account. Any apparent discrepancies in the numbers are due to rounding.
1Management costs and buy/sell spread are current as at the date of publication of this website. These fees may be subject to change in the future.
2Total returns (net) have been calculated using exit prices and take into account the applicable buy/sell spread and are net of Fidelity’s management costs, transactional and operational costs and assumes reinvestment of distributions. No allowance has been made for tax. Returns of more than one year are annualised. The return of capital is not guaranteed.
Why this fund
Seeks to capture Australian large-caps of tomorrow, today.
An actively managed portfolio of 40 to 70 small to mid-cap Australian shares.
Offers investors a unique approach to portfolio construction which aims to deliver consistent returns through different market cycles.
Morningstar 2019 Fund Manager of the Year Award, Domestic Equities Small Caps Category
James Abela, PM of the Fidelity Future Leaders Fund has made history by winning the award two years running. The award is testament to the rigorous and unique investment process of the fund, and has helped reward investors with very attractive risk-adjusted returns since inception. Hear more about the award and his unique process.
Related insights
The case for small to mid-caps
If you research Australia’s largest listed companies, you’ll discover that some of them were much smaller stocks not that long ago. Small or medium companies can be overlooked, given they’re often considered riskier than their large cap peers.
Themes, lessons and thank you
The strong bounce in the Australian equity market in February was broadly interpreted as unsustainable due to lower earnings expectations and weaker outlooks. However, a number of companies reported a more confident outlook and as a result energy, metals, financials, technology, healthcare and industrials all performed better than expected.
Fidelity Future Leaders Fund wins again at the 2019 Morningstar Awards
The Fidelity Future Leaders Fund has won the Morningstar 2019 Australian Fund Manager of the Year Award- Domestic Equities Small Cap Category* for the second year in a row at the annual 2019 Morningstar Awards held in Sydney on 1 March 2019.
2019 outlook: Australian small to mid-caps
In Australia, while economic indicators remain strong, concern about the many late market cycle signals is growing.
From the desk of James Abela
Hear James’ insights into mid-small cap companies, the market and his fund by subscribing to his regular update.
Download past insights from James
- Themes, lessons and thank you - March 2019(216.09KB)
- The end of the fairy-tale - September 2018(204.39KB)
- Results season - March 2018(136.85KB)
- The toddler index - December 2017(242.78KB)
- Winners and lossers - September 2017(198.83KB)
- Where to invest - April 2017(204.59KB)
- Time is a friend - December 2016(198.43KB)
- Strong future leaders - August 2016(185.89KB)
- Unicorns are on the rise - May 2016(198.14KB)
- Quality vs momentum - February 2016(200.61KB)
Awards6
Fidelity Future Leaders Fund has won the Morningstar 2019 Australian Fund Manager of the Year Award- Domestic Equities Small Cap Category*.
“Fidelity Future Leaders has won Domestic Equities-Small Cap Fund of the Year for the second consecutive year, which is a testament to the disciplined investment process and well-considered portfolio construction methodology.
The strategy’s success has been highly dependent on the thoughtful portfolio manager, James Abela and his decision-making ability.“ Morningstar 1/03/2019.
It is an institutional-grade recognition of risk and return, and tribute to his unique investment process (QTV (Quality, Momentum, Transition and Value).
“Sincere thanks to my clients, the Fidelity family and the rigorous client centric risk-return framework of Morningstar”. - James Abela.
*Morningstar Awards 2019 (c). Morningstar, Inc. All Rights Reserved. Awarded to Fidelity Future Leaders Fund, Fund Manager of the Year, Domestic Equities Small Caps, Australia.
Fidelity International was awarded the Professional Planner | Zenith Fund Award 2018 for International equities – emerging markets & regional at the annual awards held in Sydney on 5 October 2018. The award points to the skill and expertise of Fidelity’s investment team across Fidelity’s Asia Fund, India Fund and Emerging Markets Fund. It is awarded in the name of Fidelity rather than to a specific fund.
The Professional Planner | Zenith Fund Awards are determined using proprietary methodologies. Fund Awards were issued October 5, 2018 and are solely statements of opinion and do not represent recommendations to purchase, hold or sell any securities or make any other investment decisions. Fund Awards are current for 12 months from the date awarded and are subject to change at any time. Fund Awards for previous years are referenced for historical purposes only.
James Abela, Portfolio Manager of the Fidelity Future Leaders Fund has won the Morningstar 2018 Fund Manager of the Year Award - Domestic Equities Small Cap Category*. It is an institutional-grade recognition of risk and return, and tribute to his unique investment process QMTV (Quality, Momentum, Transition & Value).
*Morningstar Awards 2018 ©. Morningstar, Inc. All Rights Reserved. Awarded to James Abela, Portfolio Manager, Future Leaders Fund, Fund Manger of the Year, Domestic Equities Small Caps, Australia.
This Fund is subject to the risk of stock market fluctuations. Investors accessing the Fund through a master trust or wrap account will also bear any fees charged by the operator of such master trust or wrap account. Any apparent discrepancies in the numbers are due to rounding.
1Management costs and buy/sell spread are current as at the date of publication of this website. These fees may be subject to change in the future.
2Total returns (net) have been calculated using exit prices and take into account the applicable buy/sell spread and are net of Fidelity’s management costs, transactional and operational costs and assumes reinvestment of distributions. No allowance has been made for tax. Returns of more than one year are annualised. The return of capital is not guaranteed.