I appreciate everyones comments on this Mutual Fund. I am still considering buying it but I would like to share some more information with all of you so you might help advise me further on this fund. Destiny is offered exclusively to the systematic investor: a person committed to making regular monthly investments for a minimum of 10 or 15 years. This steady stream of money gives the fund manager an "edge" not available to regular mutual fund money managers who face the risk of inconsistent cash flow every day. This predictable cash flow allows Destiny to take advantage of stock market declines - such as the one in October 1987 - and buy into the opportunities, or weakness, of a down ;market. Termination can be completed and all shares liquidated on any business day that the NYSE is open. If terminated after 18 months of inception no fees will be returned. Before 18 months 85% of all fees will be returned. Should an emergency occur only one investment every six months keeps your Plan "active."Here is Destiny I track record Destiny Total Return S&P 500September 1982 16.13% 9.82%September 1983 74.09% 44.13%September 1984 2.28% 4.6%September 1985 11.99% 14.39%September 1986 35.71% 31.51%September 1987 46.05% 43.27%September 1988 -10.94% -12.54%September 1989 32.23% 32.97%September 1990 -17.39% -9.23%September 1991 49.12% 31.17%September 1992 13.44% 11.05%September 1993 26.88% 13.00%September 1994 12.3% 3.68%September 1995 27.49% 29.75%September 1996 16.04% 20.33%September 1997 36.29% 40.45%Average Annual Total Returns (without sales charges)+43.86 % One Year+23.32 % Five Year+20.84% Ten Year+19.26% Life of FundThis is the actual information of the fund. This came straght out the Annual report for the fund. I would like some input on this fund and this data and what other investors like me think of this fund. I appreciate the comments. Foolishly,Jacob AhrensP.S If Destiny is not all it is cut out to be what are some funds that would be really good to start up a Roth IRA with. I would really love the input. Thanks
Fidelity Destiny IAverage Annual Total Returns (without sales charges)+43.86 % One Year+23.32 % Five Year+20.84% Ten Year+19.26% Life of FundVanguard Index 5001 year 28.86%3 year 30.43%5 year 23.74%10 year 18.37%So what your saying is that the hypothetical investor who invested in Fidelity Destiny I beat the Index over the 10 year period before accounting for sales charges. However, here in the real world, we as investors have to account for sales charges, so like 90% of all actively managed mutual funds, over the 10 year period Fidelity Destiny I underperforms the Index. By the way, these returns are not adjusted for taxes, I don't know what either funds tax-adjusted return is, although I can just about guarantee that Vanguard Index 500 has a higher tax adjusted return since it rarely accrues capital gains.One other thing, if mutual fund outflows are such a problem, why don't all mutual fund companies come up with restrictive contracts like this. I don;t see T. Rowe Price or Vanguard rushing out to set up contractual mutual funds. I don't simply don't buy the book answer of "we are trying to take care of the individual investor." A mutual fund company's raison d'etre is to make money. If it didn't make money it wouldn't exist. This contractual plan is simply another way of making money.One last thing, are you honestly sure that you want to keep your money locked up in the same mutual fund for 10 years? If this was Coca-Cola, I would say yes, go to sleep for the next 10 years, and you'll be wealthy, but a mutual fund? Old George Vanderheiden could die tomorrow, and thn what? Will the next manager be as competent as George was, or will Destiny I investors be treated to some no-name 25 year old nephew of Ned Johnson who is looking to earn his spurs in the mutual fund world? If you can honestly say yes after this, then go right ahead, it's your money.
Average Annual Total Returns (without sales charges) +43.86 % One Year +23.32 % Five Year +20.84% Ten Year +19.26% Life of FundHave you compared these figures with the AATR of, say,the Vanguard S&P500 Index fund?
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