For the past seven years, the $5.2 billion 5-star gold-medalist Fidelity Tactical High Income Sr F has been in the first or second quartile of the Tactical Balanced category. Moreover, in the last five years, and despite highly challenging markets, the fund has returned an annualized 9.45% return (as of June 24), versus 5.12% for the category.
One has to wonder, what’s the “secret sauce”? The expression is commonly used by industry participants to describe category-beating results, such as those delivered by lead manager Adam Kramer and his team.
“There are a lot of secret sauces and many things that are different about this strategy,” says Kramer, a Boston-based portfolio manager at Fidelity Investments, a 30-year industry veteran and a chartered professional accountant who joined the firm in 2000 and currently oversees about US$32 billion in assets across a slew of funds and investment products.
