FIDELITY SELECT AMERICAN GOLD IS POSSIBLY THE BEST GOLD MUTUAL FUND - IN THE
MUTUAL FUND BUSINESS, "BIG" IS DECIDEDLY BETTER! 

Credit is due George Cole for having originally introduced Fidelity Select American Gold to the Kitco Group. Also,
many thanks to Schippi for his recent sage comments about Fidelity Select American Gold ( $560 million in total
assets ) and Fidelity Select Precious Metals ( $420 million in total assets ).

It is delightfully apparent that Fidelity Select American Gold has done very well this week. Furthermore, consider
the following which - in my opinion - gives Fidelity Select American Gold the edge over ALL OTHER GOLD
MUTUAL FUNDS. Fidelity has more than $225 billion ( THAT'S BILLION ) under management in all of its mutual
funds family - which numbers more than 150 SEPARATE mutual funds today - and growing.

Its two gold funds have almost one billion dollars in assets. Compare this to the total gold mutual fund group ( 47 )
managing about $5 billion, and it is plain to see that Fidelity literally controls nearly 20% of the entire US gold
mutual fund industry. You may rightfully ask why the above is significant and therefore gives Fidelity the edge over
the other 45 gold mutual funds? Well, there a couple of substantial reasons. Firstly, when you represent 20% of
any market you enjoy certain "market leverage," for lack of a more discreet word. Secondly, as market and
economic conditions change there is a tendency for many investors to move WITHIN A FUND FAMILY GROUP
to seek the currently better performers.

For example - many stock mutual fund investors in Fidelity Group during a severe bear market will be easily
convinced to transfer their monies to either of Fidelity's two gold funds, natural resource funds or to their Money
Market funds. Why? Because it's smart and more profitable to do so. The record shows that whereas most mutual
fund investors are loath to switch to another ( i.e. different ) mutual fund family, they will indeed switch from time to
time within the same family of funds. In essence the two Fidelity gold mutual funds have a potential captive source
of new monies of $225 billion ( THAT'S BILLION ). 

Naturally, I do not presume to imply that any large portion of the Fidelity Group's total assets will do this, but it's
totally inconceivable that many astute and well-informed Fidelity investors will NOT indeed take advantage of the
opportunity in their own back yard. Wouldn't You?! And lastly, the largest mutual fund group in the world, Fidelity,
can afford to buy and hire the best gold research and portfolio management on earth. Indeed, if the current
spectacular performance relative to gold bullion and to the XAU is testament, Fidelity does now have the best of
the best. BTW, foreigners can buy Fidelity Select American Gold WITHOUT ANY US TAX LIABILITIES. What
more could an international investor ask??????!