Fidelity Select Biotechnology ( FBIOX) Performance: up 12.7%; three-year annualized return of 14%; 15-year average annual return of 8.6%. Fund Profile: Manager Rajiv Kaul emphasizes a mix of mid- and small-cap biotech stocks, which make up about 60% of the fund. There is risk and volatility as some companies often have few or no marketable drugs and government policy changes can affect the health-care sector dramatically. Assets: $1.2 billion Top picks: Biogen Idec ( BIIB), up 64%; Alexion Pharmaceuticals ( ALXN), up 58%; Pharmasset ( VRUS), up 487%. Amgen ( AMGN) is the largest holding, at 16%.