The mutual fund FCNTX from fidelity is closing on April 28, is there a risk to invest on that fund now?

deymond: You're right. I didn't really bother researching the fund. I read it as they were returning money to investors on April 28 and shutting down the fund, not closing the fund to new money.

If they're just closing the fund to new funds, that's usually a good thing. It means they've got more money than they know what to do with and that's usually a sign of a fund that's doing well.

Not generally. It is common for mutual funds to close to new investors. This is done to preserve the fund's ability to maintain their level of profits.

As a fund grows from say, $100 million to $10 billion, it becomes increasingly harder to maintain profits. In that hypothetical situation, it's not always feasible for the fund to just invest 100 times more in each company, so they are forced to look for more investment opportunities.

I don't invest in this particular fund and I'm not offering an opinion regarding whether or not it is a good investment for your future.

In response to Arbitrage, I would like to point out that I own some funds that are closed to new investors (BPSCX, DODBX, DODGX), and I haven't seen a dropoff in performance (relative to the market). A good fund manager owns many shares of the fund that he or she manages (I can't say if that's the case with Fidelity), and that provides continuing incentive for the manager to keep building wealth.

I agree with Deymond.