Fidelity fund awarded four stars by Bestinvest
The Fidelity Enhanced Income fund has been awarded a four-star rating by Bestinvest, bringing it in line with sister fund the Fidelity MoneyBuilder Dividend fund on which it derives part of its strategy.
The £54m Fidelity Enhanced Income fund, managed by Michael Clark, uses the same strategy as the £439m MoneyBuilder fund, which is also managed by Clark, but adds a covered call overlay to boost income.
Rob Harley, analyst at Bestinvest, says: “The commonality between the two portfolios by company name is almost 100%, by net asset value approximately 75%. Both funds are managed by Michael Clark; to date they have been amongst the least volatile UK equity income funds available to UK investors.
“The Enhanced Income fund might appeal to more defensive equity investors seeking income enhancement.”
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