Fidelity World E-Acc-EUR

Analyst Report
Morningstar's Take
|10/10/2022

by Jack Fletcher-Price


Jeremy Podger’s multi-cycle experience paired with Fidelity’s well-resourced analytical team leaves the adaptable Fidelity World on a solid footing going forward. The fund retains a Morningstar Analyst Rating of Gold for the Y share class, while other share classes range from Gold to Bronze.Podger joined Fidelity in 2012, bringing with him a wealth of experience running global equities from different investment houses—he successfully managed Threadneedle Global Select (2003-11) and Investec Global Free Enterprise (1996-2003)—making him highly qualified to manage this strategy. In July 2019, Fidelity promoted Jamie Harvey, who had been working with Podger on this strategy since January 2018, to associate portfolio manager to help develop his portfolio-management skills. In practice, Podger remains the lead manager and key decision-maker. Podger is also backed by Fidelity's equity analyst team based in Europe (including analysts covering North America) and Asia. He has made effective use of both internal and external resources in the management of this strategy so far.Podger applies the same style-agnostic investment approach with which he has had so much success in the past, albeit within a framework that he introduced specifically for this strategy. He aims to construct a portfolio of companies that fall under one of three kinds of special situations: exceptional value, unique business, or corporate change. While Podger is trying to create a balanced portfolio that will perform well through a range of market conditions, investments are still driven by conviction, and, with no significant constraints on portfolio construction, deviations from the index and peers can be sizeable. This is reflected in a typically slightly higher volatility than peers and the benchmark, although we note that the risk/reward profile remains favourable. Performance has been strong under Podger at Fidelity, with returns being driven primarily by strong stock selection.

Morningstar Analyst Rating™
To find out how Morningstar rates a fund click here.
Portfolio RoleThe strategy provides diversified exposure to predominantly large-cap global equities and can therefore be used as a core holding.
Morningstar Pillars
PeopleHigh
The manager has been able to make effective use of Fidelity's large analytical resources.
ParentAbove Average
Changes to senior management need monitoring, but we consider Fidelity International an above-average parent.
ProcessHigh
A portfolio of global stocks that are well-defined into three categories shows a strong process is in place.
Performance
Jeremy Podger has continued to extend his long and strong track record on this strategy.
Morningstar Analyst RatingMorningstar evaluates funds based on five key pillars, which it's analysts believe lead to funds that are most likely to outperform over the long term on a risk-adjusted basis.
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A fim de prover consistência para todos os relatórios fornecidos por diferentes Asset Managers, os data points calculados apresentados são gerados usando uma metodologia de cálculo proprietária da Morningstar, que pode ser conferida com mais detalhes em(https://www.morningstar.com/research/signature)