Balanced funds are a type of mutual fund that owns both stocks and bonds, aiming to generate both appreciation and income for holders. The Fidelity Balanced Fund holds 65% in U.S. equities, 4% in international equities, and 31% in bonds, making it a complete portfolio in one fund.
FBALX uses the blended Fidelity Balanced Hybrid Comp Index as a benchmark. Compared with the benchmark index, average annual returns have been stellar, handily winning the three, five and 10-year average return contest against its benchmark.
The fund’s strategy includes equities, bonds and preferred stock from all credit score ranges. FBALX may also employ leverage strategies to improve overall returns. Those seeking an actively managed asset allocation fund with strong long-term returns might consider FBALX.