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Fidelity adds tech, health
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July 18, 2000: 5:02 p.m. ET
Magellan and other funds used spring correction to buy Cisco, Intel
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NEW YORK (CNNfn) - Magellan and other big funds at Fidelity Investments weathered the spring market correction by upping their stakes in technology, health stocks and energy in the second quarter, according to new figures released Tuesday.
Magellan manager Robert Stansky also dropped Time Warner from the fund's top 10 list of stocks as of June 30 and added a new name, Viacom, the figures showed. Time Warner is the parent of CNNfn.com.
 "It's really paid off to have active managers like Bob Stansky during the first six months of the year," said Don Dion, editor of the newsletter Fidelity Independent Advisor. "Fidelity managers really took advantage of the market correction in April and May to add to their tech positions."
Fidelity releases the top 10 holdings of its funds every quarter. It also gives sector weightings and other information every month.
Dion thinks Time Warner (TWX: Research, Estimates) moved out of the top 10 because of uncertainty over its merger with America Online (AOL: Research, Estimates). Viacom (VIA: Research, Estimates), he said, is a pure-play entertainment stock, whereas Time Warner may not be any more.
Stansky increased his stake in Cisco Systems and Intel, making Cisco (CSCO: Research, Estimates) his No. 2 position, followed by Intel (INTC: Research, Estimates).
Microsoft (MSFT: Research, Estimates), battling the government's antitrust case, dropped to seventh on the list from second.
Magellan's weighting in health rose to 10.4 percent in the second quarter from 7.9 percent as of March 31.
Magellan, with assets of $104.7 billion, is up 0.70 percent year to date as of June 30, while the S&P 500 lost 0.42 percent in the same time.
Fidelity Fund shakes up its top 10
Fidelity Fund changed eight out of its top 10 stocks and made a big play into drug and pharmaceutical stocks, the data shows.
Manager Nick Thakore, who took over the fund earlier this year, added Intel and Philip Morris (MO: Research, Estimates) as well as drug stocks Eli-Lilly (LLY: Research, Estimates), Bristol-Myers Squibb (BMY: Research, Estimates), Pfizer (PFE: Research, Estimates), and Schering-Plough (SGP: Research, Estimates).
Fidelity Fund also added Exxon Mobil (XOM: Research, Estimates) and increased its energy exposure in the second quarter to 5.9 percent from 1.9 percent, the figures said.
Fidelity Fund, with $17.4 billion in assets, is down 1.71 percent year to date as of June 30.
Likewise, Contrafund added Viacom to its top 10 and increased its exposure in energy in the second quarter to 7.2 percent from 4.5 percent, adding Exxon Mobil and increasing its stake in BP Amoco.
Contrafund, with $44.4 billion in assets, is down 1.39 percent year to date as of June 30.
Fidelity Aggressive Growth adds Genentech
Fidelity Aggressive Growth Fund bucked the Cisco trend and dropped its weighting in the stock. Cisco had been the number one holding as of March 31, but as of June 30 it was sixth on the list.
Manager Robert Bertelson added communications equipment stocks like Ciena (CIEN: Research, Estimates) and Nokia (NOK: Research, Estimates) as well as biotech stock Genentech (DNA: Research, Estimates). He increased the fund's energy stake to 5.8 percent from 1.5 percent and increased health to 11 percent from 9 percent.
Fidelity Aggressive Growth, with $21.4 billion in assets, is up 2.63 percent year to date as of June 30. The Russell Mid-Cap Growth Index is up 12.15 percent in the same time. 
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