Grab These 3 Technology Mutual Funds for Stellar Returns

Technology mutual funds are ideal for investors seeking long-term growth and impressive returns. Improving industry fundamentals and emerging technologies such as AI, ML, robotics, and data science are the key catalysts to the sector’s growth.

In addition, most funds investing in securities from the technology sector take a growth-oriented approach that focuses on companies with strong fundamentals and a relatively better investment prospect. Technology has come to have a broader meaning than just hardware and software. Social media and Internet companies are now part of the technology landscape.

Below, we share with you three top-ranked Technology mutual funds, namely Semiconductor UltraSector ProFund, Service Class SMPSX, Fidelity Select Technology FSPTX and Fidelity Select Wireless FWRLX. Each has earned a Zacks Mutual Fund Rank #1 (Strong Buy) and is expected to outperform its peers in the future. Investors can click here to see the complete list of funds.

Semiconductor UltraSector ProFund, Service Class invests in a combination of financial instruments that its fund manager believes will produce daily returns consistent with the fund’s investment objective. SMPSX is a non-diversified fund.

Semiconductor UltraSector ProFund, Service Class has three-year annualized returns of 10.8%. As of July 2022, SMPSX held 33 issues, with 16.8% of its assets invested in Nvidia Corp.

Fidelity Select Technology aims for capital appreciation by investing the majority of its net assets in common stocks of domestic and foreign companies that benefit significantly from technological advances and improvement. FSPTX uses fundamental analysis like financial condition, industry position, and market conditions to select investments.

Fidelity Select Technology has three-year annualized returns of 13%. FSPTX has an expense ratio of 0.67% compared with the category average of 1.05%.

Fidelity Select Wireless invests most of its net assets in common stocks of foreign and domestic companies principally engaged in activities relating to wireless communications services or products. FWRLX advisors choose to invest in stocks based on the fundamental analysis of factors such as each issuer’s financial condition, industry position, as well as market and economic conditions.

Fidelity Select Wireless has three-year annualized returns of 6.3%. Matthew Drukker has been one of the fund managers of FWRLX since 2016.

To view the Zacks Rank and the past performance of all Technology mutual funds, investors can click here to see the complete list of Technology mutual funds.

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