BOSTON ( TheStreet) -- Tobias Welo, manager of the Fidelity Select Materials Fund ( FSDPX), says agriculture stocks, such as Monsanto ( MON), Dow Chemical ( DOW) and DuPont ( DD) will benefit from growth in developing nations.The $661 million fund, which garners four stars from Morningstar ( MORN) has returned 98% during the past year, better than 96% of its rivals. The fund has gained 6% annually, on average, during the past three years, outpacing 86% of competing portfolios. Monsanto, Dow Chemical and DuPont were the fund's top three holdings as of January 31, according to Morningstar. Welcome to TheStreet's Fund Manager Five Spot, where America's top mutual fund managers share their investment views in five fast and furious questions. Are you a bull or bear? Welo: I am relatively bullish. Looking at some economic factors in the U.S., we've seen industrial production and capacity utilization data trending up since the middle of 2009. It appears that housing has hit a bottom and the auto sector is seeing some gradual improvements as well. The financial sector has improved its balance sheets and is starting to lend again. As a result, companies' access to credit and willingness to invest to expand their business has also improved. If we continue on this path to recovery, materials would be in a position to perform well. Longer term, demand for growth for materials is likely to be driven by the emerging markets like China and India. Over 20 million Chinese migrate from the farm to the city every year. This evolution of their economy, this industrialization, creates a huge demand for materials that supply will be challenged to meet. What is your top industry pick? Welo: One of my top picks is the agriculture space, including the seed and fertilizer companies. The economic growth of developing nations with large populations is leading to increased global demand for food, particularly protein. It takes 2 to 7 pounds of grain to make one pound of animal protein. With a limited amount of arable land in the world, increased agricultural efficiency is a critical part of the solution. Three of the four largest players in the seed space have historically been Monsanto, DuPont and Dow Chemical. These companies have benefitted from their use of biotechnology to develop new, highly advanced seeds with specific traits that might help control insects or bacteria that can harm crops. These seeds give farmers improved crop yields and ultimately are the No. 1 way a farmer can make more money.