The sole manager of the $3.2 billion Fidelity Mid Cap Value fund has left the firm to pursue other opportunties.
Since joining Fidelity in 2003, Dignan has been an associate, research analyst and portfolio manager. Prior to joining the Boston-based asset manager, he was an analyst at Credit Suisse.
His replacement, Walenta, also manages the $156 million Fidelity Select Environment and Alternative Energy Portfolio.
He joined Fidelity in 2008 as an equity analyst, covering industrials and energy, having previously worked in equity research at Dreihaus Capital Management.
The Mid Cap Value fund has outperformed the average strategy in its peer group over the past three years, returning 26.2% in comparison to the average fund in the Citywire Multi-Cap Value sector, which returned 20.8% over the same period.
Over the longer-term the fund has performed well, its is ranked 12 out 81 offerings on a five-year basis, but shorter-term performance has been less impressive.
Over the last 12 months it ranks 68 out of 86. Addressing the funds’ performance in a January update, Dignan said: Over the past year, the fund was skewed toward the larger end of the mid-cap spectrum, with significantly more exposure than the benchmark to companies that had a market cap of $20 billion to $50 billion.’
‘This detracted from relative performance because smaller-cap stocks way outperformed larger-cap securities the past 12 months.’
A Fidelity spokesman confirmed Dignan's departure and the contents of the filing.