UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-21667
Fidelity Central Investment Portfolios LLC
(Exact name of registrant as specified in charter)
245 Summer St., Boston, MA 02210
(Address of principal executive offices) (Zip code)
Marc Bryant, Secretary
245 Summer St.
Boston, Massachusetts 02210
(Name and address of agent for service)
Registrant's telephone number, including area code:
617-563-7000
Date of fiscal year end: | August 31 |
Date of reporting period: | February 28, 2018 |
Item 1.
Reports to Stockholders
Fidelity® Specialized High Income Central Fund Semi-Annual Report February 28, 2018 |
Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third-party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company. © 2018 FMR LLC. All rights reserved.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC’s web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330.
Investment Summary (Unaudited)
Top Five Holdings as of February 28, 2018
(by issuer, excluding cash equivalents) | % of fund's net assets |
Icahn Enterprises LP/Icahn Enterprises Finance Corp. | 4.4 |
CCO Holdings LLC/CCO Holdings Capital Corp. | 3.7 |
T-Mobile U.S.A., Inc. | 3.3 |
Bank of America Corp. | 2.9 |
Citigroup, Inc. | 2.6 |
16.9 |
Top Five Market Sectors as of February 28, 2018
% of fund's net assets | |
Energy | 17.3 |
Banks & Thrifts | 8.6 |
Cable/Satellite TV | 8.3 |
Healthcare | 7.7 |
Diversified Financial Services | 7.7 |
Quality Diversification (% of fund's net assets)
As of February 28, 2018 | ||
BBB | 0.4% | |
BB | 74.3% | |
B | 19.3% | |
CCC,CC,C | 0.2% | |
Not Rated | 0.3% | |
Short-Term Investments and Net Other Assets | 5.5% |
We have used ratings from Moody's Investors Service, Inc. Where Moody's® ratings are not available, we have used S&P® ratings. All ratings are as of the date indicated and do not reflect subsequent changes.
Asset Allocation (% of fund's net assets)
As of February 28, 2018* | ||
Nonconvertible Bonds | 81.9% | |
Convertible Bonds, Preferred Stocks | 0.5% | |
Bank Loan Obligations | 3.4% | |
Other Investments | 8.7% | |
Short-Term Investments and Net Other Assets (Liabilities) | 5.5% |
* Foreign investments - 17.8%
Schedule of Investments February 28, 2018 (Unaudited)
Showing Percentage of Net Assets
Corporate Bonds - 82.4% | |||
Principal Amount | Value | ||
Convertible Bonds - 0.5% | |||
Broadcasting - 0.5% | |||
DISH Network Corp.: | |||
2.375% 3/15/24 (a) | $1,930,000 | $1,739,146 | |
3.375% 8/15/26 | 1,030,000 | 1,036,247 | |
2,775,393 | |||
Nonconvertible Bonds - 81.9% | |||
Aerospace - 1.0% | |||
DAE Funding LLC 4.5% 8/1/22 (a) | 7,075,000 | 6,862,750 | |
Air Transportation - 1.9% | |||
Air Canada 7.75% 4/15/21 (a) | 1,165,000 | 1,285,869 | |
Allegiant Travel Co. 5.5% 7/15/19 | 5,920,000 | 6,045,800 | |
American Airlines Group, Inc. 5.5% 10/1/19 (a) | 1,880,000 | 1,917,600 | |
United Air Lines, Inc. pass-thru trust certificates Class B, 7.336% 7/2/19 | 743,175 | 772,902 | |
United Continental Holdings, Inc. 4.25% 10/1/22 | 3,000,000 | 2,990,625 | |
13,012,796 | |||
Automotive & Auto Parts - 0.2% | |||
Delphi Technologies PLC 5% 10/1/25 (a) | 870,000 | 862,649 | |
Jaguar Land Rover PLC 4.5% 10/1/27 (a) | 965,000 | 916,750 | |
1,779,399 | |||
Banks & Thrifts - 0.7% | |||
Ally Financial, Inc. 4.25% 4/15/21 | 1,520,000 | 1,533,300 | |
Royal Bank of Scotland Group PLC 5.125% 5/28/24 | 3,630,000 | 3,719,120 | |
5,252,420 | |||
Broadcasting - 1.0% | |||
Sirius XM Radio, Inc.: | |||
3.875% 8/1/22 (a) | 3,800,000 | 3,724,000 | |
5% 8/1/27 (a) | 2,995,000 | 2,911,739 | |
6,635,739 | |||
Building Materials - 0.2% | |||
Building Materials Corp. of America 4.75% 1/15/28 (a) | 1,410,000 | 1,353,600 | |
Cable/Satellite TV - 7.6% | |||
Altice U.S. Finance SA 5.375% 7/15/23 (a) | 9,515,000 | 9,669,619 | |
CCO Holdings LLC/CCO Holdings Capital Corp.: | |||
4% 3/1/23 (a) | 2,505,000 | 2,439,244 | |
5% 2/1/28 (a) | 6,755,000 | 6,379,287 | |
5.125% 2/15/23 | 550,000 | 558,938 | |
5.125% 5/1/23 (a) | 2,000,000 | 2,037,500 | |
5.125% 5/1/27 (a) | 4,160,000 | 3,998,800 | |
5.5% 5/1/26 (a) | 3,545,000 | 3,545,000 | |
5.75% 2/15/26 (a) | 1,570,000 | 1,591,588 | |
5.875% 4/1/24 (a) | 2,130,000 | 2,202,527 | |
5.875% 5/1/27 (a) | 2,500,000 | 2,540,625 | |
CSC Holdings LLC 5.375% 2/1/28 (a) | 975,000 | 953,063 | |
CSC Holdings, Inc. 5.5% 4/15/27 (a) | 2,025,000 | 1,994,625 | |
DISH DBS Corp.: | |||
5.875% 11/15/24 | 2,290,000 | 2,146,875 | |
7.75% 7/1/26 | 450,000 | 443,250 | |
Virgin Media Secured Finance PLC: | |||
5.5% 1/15/25 (a) | 650,000 | 654,875 | |
5.5% 8/15/26 (a) | 2,545,000 | 2,519,296 | |
Ziggo Secured Finance BV 5.5% 1/15/27 (a) | 8,270,000 | 7,928,863 | |
51,603,975 | |||
Chemicals - 1.9% | |||
CF Industries Holdings, Inc.: | |||
3.4% 12/1/21 (a) | 715,000 | 709,583 | |
3.45% 6/1/23 | 2,305,000 | 2,232,969 | |
4.5% 12/1/26 (a) | 515,000 | 524,103 | |
5.15% 3/15/34 | 110,000 | 107,800 | |
NOVA Chemicals Corp.: | |||
4.875% 6/1/24 (a) | 3,210,000 | 3,169,875 | |
5.25% 6/1/27 (a) | 1,355,000 | 1,324,513 | |
Olin Corp.: | |||
5% 2/1/30 | 570,000 | 550,050 | |
5.125% 9/15/27 | 1,500,000 | 1,476,563 | |
Valvoline, Inc. 4.375% 8/15/25 | 1,510,000 | 1,476,025 | |
Versum Materials, Inc. 5.5% 9/30/24 (a) | 1,025,000 | 1,071,125 | |
12,642,606 | |||
Containers - 1.5% | |||
Ardagh Packaging Finance PLC/Ardagh MP Holdings U.S.A., Inc.: | |||
4.25% 9/15/22 (a) | 1,215,000 | 1,210,444 | |
4.625% 5/15/23 (a) | 3,450,000 | 3,445,688 | |
Crown Americas LLC/Crown Americas Capital Corp. V 4.25% 9/30/26 | 1,680,000 | 1,591,800 | |
OI European Group BV 4% 3/15/23 (a) | 1,860,000 | 1,799,550 | |
Owens-Brockway Glass Container, Inc. 5.375% 1/15/25 (a) | 900,000 | 918,000 | |
Silgan Holdings, Inc. 4.75% 3/15/25 | 1,060,000 | 1,052,050 | |
10,017,532 | |||
Diversified Financial Services - 7.7% | |||
Aircastle Ltd.: | |||
5% 4/1/23 | 520,000 | 536,193 | |
5.125% 3/15/21 | 4,735,000 | 4,865,213 | |
Crown Americas LLC / Crown Americas Capital Corp. IV 4.75% 2/1/26 (a) | 1,250,000 | 1,231,250 | |
FLY Leasing Ltd.: | |||
5.25% 10/15/24 | 1,180,000 | 1,165,250 | |
6.375% 10/15/21 | 1,665,000 | 1,731,600 | |
Icahn Enterprises LP/Icahn Enterprises Finance Corp.: | |||
5.875% 2/1/22 | 21,415,000 | 21,414,968 | |
6% 8/1/20 | 2,555,000 | 2,604,823 | |
6.25% 2/1/22 | 3,100,000 | 3,146,500 | |
6.375% 12/15/25 | 1,390,000 | 1,395,213 | |
6.75% 2/1/24 | 740,000 | 754,800 | |
ILFC E-Capital Trust II 3 month U.S. LIBOR + 1.800% 4.62% 12/21/65 (a)(b)(c) | 1,755,000 | 1,724,288 | |
MSCI, Inc.: | |||
4.75% 8/1/26 (a) | 3,230,000 | 3,205,775 | |
5.25% 11/15/24 (a) | 3,460,000 | 3,535,428 | |
Quicken Loans, Inc. 5.25% 1/15/28 (a) | 1,390,000 | 1,341,350 | |
SLM Corp. 5.5% 1/25/23 | 2,360,000 | 2,336,400 | |
50,989,051 | |||
Diversified Media - 0.2% | |||
E.W. Scripps Co. 5.125% 5/15/25 (a) | 1,145,000 | 1,099,200 | |
Energy - 16.5% | |||
Antero Resources Corp.: | |||
5% 3/1/25 | 3,705,000 | 3,732,788 | |
5.125% 12/1/22 | 4,870,000 | 4,912,613 | |
5.625% 6/1/23 (Reg. S) | 4,530,000 | 4,643,250 | |
Cheniere Corpus Christi Holdings LLC: | |||
5.125% 6/30/27 | 820,000 | 829,225 | |
5.875% 3/31/25 | 1,970,000 | 2,083,275 | |
7% 6/30/24 | 1,070,000 | 1,197,330 | |
Consolidated Energy Finance SA 3 month U.S. LIBOR + 3.750% 5.3385% 6/15/22 (a)(b)(c) | 4,435,000 | 4,424,285 | |
Continental Resources, Inc.: | |||
3.8% 6/1/24 | 1,535,000 | 1,490,869 | |
4.5% 4/15/23 | 6,910,000 | 6,996,375 | |
4.9% 6/1/44 | 2,325,000 | 2,237,813 | |
Crestwood Midstream Partners LP/Crestwood Midstream Finance Corp. 5.75% 4/1/25 | 3,995,000 | 4,044,938 | |
CVR Refining LLC/Coffeyville Finance, Inc. 6.5% 11/1/22 | 3,216,000 | 3,292,380 | |
Diamond Offshore Drilling, Inc. 7.875% 8/15/25 | 1,135,000 | 1,152,025 | |
Endeavor Energy Resources LP/EER Finance, Inc.: | |||
5.5% 1/30/26 (a) | 295,000 | 292,788 | |
5.75% 1/30/28 (a) | 295,000 | 295,000 | |
Energy Transfer Equity LP 4.25% 3/15/23 | 1,520,000 | 1,491,029 | |
Ensco PLC: | |||
4.5% 10/1/24 | 2,080,000 | 1,695,200 | |
5.2% 3/15/25 | 5,600,000 | 4,648,000 | |
7.75% 2/1/26 | 755,000 | 714,419 | |
8% 1/31/24 | 880,000 | 864,600 | |
Extraction Oil & Gas, Inc. 5.625% 2/1/26 (a) | 1,360,000 | 1,332,800 | |
Hess Infrastructure Partners LP 5.625% 2/15/26 (a) | 885,000 | 885,000 | |
Hilcorp Energy I LP/Hilcorp Finance Co.: | |||
5% 12/1/24 (a) | 7,853,000 | 7,892,265 | |
5.75% 10/1/25 (a) | 2,990,000 | 3,042,325 | |
Jonah Energy LLC 7.25% 10/15/25 (a) | 1,080,000 | 1,026,000 | |
Nabors Industries, Inc.: | |||
5.5% 1/15/23 | 1,289,000 | 1,279,333 | |
5.75% 2/1/25 (a) | 1,815,000 | 1,732,191 | |
Newfield Exploration Co. 5.375% 1/1/26 | 3,475,000 | 3,587,938 | |
NextEra Energy Partners LP: | |||
4.25% 9/15/24 (a) | 530,000 | 522,713 | |
4.5% 9/15/27 (a) | 365,000 | 351,313 | |
NGL Energy Partners LP/NGL Energy Finance Corp. 6.125% 3/1/25 | 990,000 | 957,825 | |
NGPL PipeCo LLC: | |||
4.375% 8/15/22 (a) | 190,000 | 189,525 | |
4.875% 8/15/27 (a) | 190,000 | 191,663 | |
Noble Holding International Ltd. 7.75% 1/15/24 | 1,683,000 | 1,537,841 | |
NuStar Logistics LP 5.625% 4/28/27 | 1,100,000 | 1,089,000 | |
Precision Drilling Corp.: | |||
5.25% 11/15/24 | 480,000 | 457,200 | |
6.5% 12/15/21 | 311,000 | 316,443 | |
7.125% 1/15/26 (a) | 600,000 | 605,250 | |
7.75% 12/15/23 | 1,195,000 | 1,260,725 | |
Range Resources Corp.: | |||
4.875% 5/15/25 | 3,225,000 | 3,089,953 | |
5% 8/15/22 | 1,500,000 | 1,477,500 | |
5% 3/15/23 | 2,575,000 | 2,517,063 | |
Sanchez Energy Corp. 7.25% 2/15/23 (a) | 2,145,000 | 2,169,775 | |
Southwestern Energy Co.: | |||
4.1% 3/15/22 | 1,700,000 | 1,593,750 | |
7.75% 10/1/27 | 1,245,000 | 1,269,900 | |
Summit Midstream Holdings LLC 5.5% 8/15/22 | 710,000 | 716,213 | |
Targa Resources Partners LP/Targa Resources Partners Finance Corp.: | |||
4.125% 11/15/19 | 1,110,000 | 1,118,325 | |
4.25% 11/15/23 | 995,000 | 970,125 | |
5% 1/15/28 (a) | 2,030,000 | 1,971,638 | |
5.125% 2/1/25 | 460,000 | 458,275 | |
5.25% 5/1/23 | 275,000 | 278,955 | |
5.375% 2/1/27 | 460,000 | 460,000 | |
6.75% 3/15/24 | 1,640,000 | 1,740,450 | |
TerraForm Power Operating LLC: | |||
4.25% 1/31/23 (a) | 355,000 | 347,900 | |
5% 1/31/28 (a) | 360,000 | 348,408 | |
Tesoro Logistics LP/Tesoro Logistics Finance Corp. 5.5% 10/15/19 | 485,000 | 500,181 | |
The Williams Companies, Inc.: | |||
3.7% 1/15/23 | 6,055,000 | 5,880,919 | |
4.55% 6/24/24 | 2,750,000 | 2,770,625 | |
Whiting Petroleum Corp.: | |||
5.75% 3/15/21 | 520,000 | 531,700 | |
6.625% 1/15/26 (a) | 475,000 | 481,531 | |
109,988,738 | |||
Food & Drug Retail - 0.0% | |||
FAGE International SA/FAGE U.S.A. Dairy Industry, Inc. 5.625% 8/15/26 (a) | 30,000 | 28,181 | |
Food/Beverage/Tobacco - 2.1% | |||
C&S Group Enterprises LLC 5.375% 7/15/22 (a) | 3,270,000 | 3,106,500 | |
Darling International, Inc. 5.375% 1/15/22 | 1,625,000 | 1,667,656 | |
Lamb Weston Holdings, Inc.: | |||
4.625% 11/1/24 (a) | 2,000,000 | 2,010,000 | |
4.875% 11/1/26 (a) | 1,325,000 | 1,325,000 | |
Vector Group Ltd. 6.125% 2/1/25 (a) | 5,995,000 | 6,122,394 | |
14,231,550 | |||
Gaming - 4.4% | |||
MCE Finance Ltd. 4.875% 6/6/25 (a) | 7,690,000 | 7,523,310 | |
MGM Growth Properties Operating Partnership LP: | |||
4.5% 9/1/26 | 13,075,000 | 12,453,938 | |
4.5% 1/15/28 | 2,285,000 | 2,165,038 | |
Scientific Games Corp.: | |||
5% 10/15/25 (a) | 2,230,000 | 2,204,913 | |
7% 1/1/22 (a) | 901,000 | 948,303 | |
Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp. 5.25% 5/15/27 (a) | 2,825,000 | 2,775,563 | |
Wynn Macau Ltd.: | |||
4.875% 10/1/24 (a) | 580,000 | 568,400 | |
5.5% 10/1/27 (a) | 1,735,000 | 1,708,455 | |
30,347,920 | |||
Healthcare - 7.7% | |||
Community Health Systems, Inc.: | |||
5.125% 8/1/21 | 1,515,000 | 1,397,588 | |
6.25% 3/31/23 | 6,190,000 | 5,632,900 | |
CTR Partnership LP/CareTrust Capital Corp. 5.25% 6/1/25 | 2,585,000 | 2,597,925 | |
HCA Holdings, Inc.: | |||
4.5% 2/15/27 | 4,950,000 | 4,832,438 | |
5% 3/15/24 | 1,030,000 | 1,049,313 | |
5.25% 6/15/26 | 7,245,000 | 7,426,125 | |
Hologic, Inc.: | |||
4.375% 10/15/25 (a) | 1,255,000 | 1,225,194 | |
4.625% 2/1/28 (a) | 235,000 | 226,775 | |
MPT Operating Partnership LP/MPT Finance Corp.: | |||
5% 10/15/27 | 875,000 | 854,875 | |
5.25% 8/1/26 | 1,755,000 | 1,744,031 | |
6.375% 3/1/24 | 960,000 | 1,010,400 | |
Sabra Health Care LP/Sabra Capital Corp.: | |||
5.375% 6/1/23 | 1,155,000 | 1,160,775 | |
5.5% 2/1/21 | 5,385,000 | 5,506,163 | |
Service Corp. International 4.625% 12/15/27 | 1,390,000 | 1,358,725 | |
Teleflex, Inc.: | |||
4.625% 11/15/27 | 285,000 | 278,129 | |
4.875% 6/1/26 | 5,545,000 | 5,489,550 | |
Tenet Healthcare Corp.: | |||
4.375% 10/1/21 | 1,485,000 | 1,477,575 | |
4.625% 7/15/24 (a) | 980,000 | 937,738 | |
THC Escrow Corp. III 5.125% 5/1/25 (a) | 2,400,000 | 2,328,000 | |
Valeant Pharmaceuticals International, Inc.: | |||
5.5% 11/1/25 (a) | 1,095,000 | 1,083,366 | |
6.5% 3/15/22 (a) | 2,190,000 | 2,277,600 | |
7% 3/15/24 (a) | 1,925,000 | 2,028,469 | |
Wellcare Health Plans, Inc. 5.25% 4/1/25 | 1,280,000 | 1,295,514 | |
53,219,168 | |||
Homebuilders/Real Estate - 2.0% | |||
Howard Hughes Corp. 5.375% 3/15/25 (a) | 1,385,000 | 1,365,956 | |
Lennar Corp.: | |||
4.75% 4/1/21 | 2,115,000 | 2,159,944 | |
4.75% 11/29/27 (a) | 915,000 | 885,263 | |
4.875% 12/15/23 | 900,000 | 912,375 | |
5% 6/15/27 (a) | 1,470,000 | 1,466,472 | |
5.25% 6/1/26 (a) | 260,000 | 265,200 | |
M.D.C. Holdings, Inc. 6% 1/15/43 | 505,000 | 479,750 | |
M/I Homes, Inc. 5.625% 8/1/25 | 395,000 | 396,845 | |
Mattamy Group Corp.: | |||
6.5% 10/1/25 (a) | 225,000 | 235,125 | |
6.875% 12/15/23 (a) | 910,000 | 954,363 | |
PulteGroup, Inc. 5% 1/15/27 | 1,000,000 | 993,750 | |
Starwood Property Trust, Inc. 4.75% 3/15/25 (a) | 660,000 | 640,200 | |
Taylor Morrison Communities, Inc./Monarch Communities, Inc.: | |||
5.25% 4/15/21 (a) | 1,680,000 | 1,696,800 | |
5.875% 4/15/23 (a) | 785,000 | 816,636 | |
Toll Brothers Finance Corp. 4.875% 3/15/27 | 1,291,000 | 1,284,545 | |
14,553,224 | |||
Hotels - 0.9% | |||
Hilton Escrow Issuer LLC 4.25% 9/1/24 | 4,785,000 | 4,701,263 | |
Hilton Worldwide Finance LLC/Hilton Worldwide Finance Corp.: | |||
4.625% 4/1/25 | 1,000,000 | 1,003,750 | |
4.875% 4/1/27 | 590,000 | 590,000 | |
6,295,013 | |||
Leisure - 0.1% | |||
Voc Escrow Ltd. 5% 2/15/28 (a) | 590,000 | 573,775 | |
Metals/Mining - 2.7% | |||
ArcelorMittal SA 6.125% 6/1/25 | 630,000 | 693,977 | |
FMG Resources (August 2006) Pty Ltd.: | |||
4.75% 5/15/22 (a) | 210,000 | 209,843 | |
5.125% 5/15/24 (a) | 780,000 | 777,808 | |
Freeport-McMoRan, Inc.: | |||
3.55% 3/1/22 | 6,500,000 | 6,323,200 | |
3.875% 3/15/23 | 1,395,000 | 1,353,150 | |
4.55% 11/14/24 | 2,320,000 | 2,267,800 | |
5.4% 11/14/34 | 2,005,000 | 1,949,863 | |
5.45% 3/15/43 | 2,155,000 | 2,068,800 | |
SunCoke Energy Partners LP/SunCoke Energy Partners Finance Corp. 7.5% 6/15/25 (a) | 3,005,000 | 3,132,713 | |
18,777,154 | |||
Restaurants - 0.8% | |||
1011778 BC Unlimited Liability Co./New Red Finance, Inc. 4.25% 5/15/24 (a) | 2,665,000 | 2,545,075 | |
KFC Holding Co./Pizza Hut Holding LLC: | |||
4.75% 6/1/27 (a) | 590,000 | 576,725 | |
5% 6/1/24 (a) | 1,845,000 | 1,863,450 | |
4,985,250 | |||
Services - 2.7% | |||
Aramark Services, Inc.: | |||
4.75% 6/1/26 | 2,415,000 | 2,381,794 | |
5% 2/1/28 (a) | 1,170,000 | 1,165,613 | |
5.125% 1/15/24 | 4,015,000 | 4,095,300 | |
Ashtead Capital, Inc.: | |||
4.125% 8/15/25 (a) | 585,000 | 572,569 | |
4.375% 8/15/27 (a) | 615,000 | 593,475 | |
CDK Global, Inc. 4.875% 6/1/27 (a) | 715,000 | 709,423 | |
Corrections Corp. of America: | |||
4.625% 5/1/23 | 4,595,000 | 4,572,025 | |
5% 10/15/22 | 130,000 | 132,925 | |
Hertz Corp. 7.625% 6/1/22 (a) | 1,335,000 | 1,375,050 | |
IHS Markit Ltd.: | |||
4% 3/1/26 (a) | 305,000 | 295,850 | |
4.75% 2/15/25 (a) | 725,000 | 741,313 | |
Prime Security One MS, Inc. 4.875% 7/15/32 (a) | 1,555,000 | 1,415,050 | |
18,050,387 | |||
Steel - 2.2% | |||
ArcelorMittal SA 7.25% 10/15/39 (b) | 632,000 | 780,330 | |
Cliffs Natural Resources, Inc. 4.875% 1/15/24 (a) | 1,390,000 | 1,365,675 | |
Commercial Metals Co. 5.375% 7/15/27 | 2,440,000 | 2,456,775 | |
Steel Dynamics, Inc.: | |||
4.125% 9/15/25 | 1,660,000 | 1,606,050 | |
5.125% 10/1/21 | 8,800,000 | 8,910,000 | |
15,118,830 | |||
Technology - 5.6% | |||
EMC Corp. 2.65% 6/1/20 | 2,400,000 | 2,334,809 | |
Gartner, Inc. 5.125% 4/1/25 (a) | 535,000 | 548,375 | |
Micron Technology, Inc.: | |||
5.25% 1/15/24 (a) | 1,370,000 | 1,404,250 | |
5.5% 2/1/25 | 725,000 | 752,188 | |
5.625% 1/15/26 (a) | 3,060,000 | 3,167,100 | |
Nuance Communications, Inc.: | |||
5.375% 8/15/20 (a) | 2,692,000 | 2,715,555 | |
5.625% 12/15/26 | 1,960,000 | 1,984,500 | |
NXP BV/NXP Funding LLC: | |||
3.875% 9/1/22 (a) | 1,475,000 | 1,478,688 | |
4.125% 6/1/21 (a) | 2,185,000 | 2,223,675 | |
4.625% 6/15/22 (a) | 1,700,000 | 1,751,187 | |
Open Text Corp. 5.875% 6/1/26 (a) | 4,260,000 | 4,430,400 | |
Qorvo, Inc.: | |||
6.75% 12/1/23 | 6,450,000 | 6,837,000 | |
7% 12/1/25 | 3,345,000 | 3,637,688 | |
Sensata Technologies BV: | |||
4.875% 10/15/23 (a) | 1,440,000 | 1,461,600 | |
5% 10/1/25 (a) | 2,020,000 | 2,035,150 | |
Symantec Corp.: | |||
4.2% 9/15/20 | 515,000 | 524,753 | |
5% 4/15/25 (a) | 375,000 | 382,539 | |
37,669,457 | |||
Telecommunications - 5.6% | |||
Altice Financing SA: | |||
6.625% 2/15/23 (a) | 3,480,000 | 3,475,650 | |
7.5% 5/15/26 (a) | 2,940,000 | 2,962,050 | |
Equinix, Inc. 5.375% 5/15/27 | 650,000 | 663,000 | |
Level 3 Financing, Inc. 5.25% 3/15/26 | 1,519,000 | 1,462,022 | |
T-Mobile U.S.A., Inc.: | |||
4% 4/15/22 | 1,980,000 | 1,980,000 | |
4.5% 2/1/26 | 1,350,000 | 1,324,688 | |
4.75% 2/1/28 | 900,000 | 877,842 | |
5.125% 4/15/25 | 1,525,000 | 1,540,250 | |
6% 3/1/23 | 5,535,000 | 5,756,400 | |
6% 4/15/24 | 1,450,000 | 1,508,000 | |
6.5% 1/15/24 | 1,700,000 | 1,780,750 | |
6.625% 4/1/23 | 6,980,000 | 7,227,092 | |
Telecom Italia Capital SA: | |||
6% 9/30/34 | 1,561,000 | 1,635,148 | |
6.375% 11/15/33 | 1,095,000 | 1,199,025 | |
Telenet Finance Luxembourg Notes SARL 5.5% 3/1/28 (a) | 3,200,000 | 3,088,000 | |
Wind Tre SpA 5% 1/20/26 (a) | 1,340,000 | 1,152,936 | |
37,632,853 | |||
Utilities - 4.7% | |||
Dolphin Subsidiary II, Inc. 7.25% 10/15/21 | 3,057,000 | 3,332,130 | |
DPL, Inc. 6.75% 10/1/19 | 5,000,000 | 5,250,000 | |
NRG Energy, Inc.: | |||
5.75% 1/15/28 (a) | 775,000 | 765,158 | |
6.625% 1/15/27 | 665,000 | 686,613 | |
NRG Yield Operating LLC 5% 9/15/26 | 1,435,000 | 1,409,715 | |
NSG Holdings II LLC/NSG Holdings, Inc. 7.75% 12/15/25 (a) | 7,089,074 | 7,762,536 | |
The AES Corp.: | |||
4.875% 5/15/23 | 9,680,000 | 9,764,700 | |
5.125% 9/1/27 | 1,550,000 | 1,569,375 | |
6% 5/15/26 | 2,155,000 | 2,262,750 | |
32,802,977 | |||
TOTAL NONCONVERTIBLE BONDS | 555,523,545 | ||
TOTAL CORPORATE BONDS | |||
(Cost $556,769,235) | 558,298,938 | ||
Bank Loan Obligations - 3.4% | |||
Aerospace - 0.7% | |||
TransDigm, Inc.: | |||
Tranche B, term loan 3 month U.S. LIBOR + 2.750% 4.4136% 6/9/23 (b)(c) | 3,441,819 | 3,461,334 | |
Tranche G, term loan 3 month U.S. LIBOR + 2.500% 4.0956% 8/22/24 (b)(c) | 1,497,600 | 1,503,216 | |
TOTAL AEROSPACE | 4,964,550 | ||
Air Transportation - 0.2% | |||
American Airlines, Inc. Tranche B, term loan 3 month U.S. LIBOR + 2.000% 3.5875% 12/14/23 (b)(c) | 1,633,500 | 1,633,271 | |
Cable/Satellite TV - 0.7% | |||
CSC Holdings LLC Tranche B, term loan 3 month U.S. LIBOR + 2.500% 4.1393% 1/25/26 (b)(c) | 215,000 | 215,178 | |
Unitymedia Finance LLC Tranche B, term loan 3 month U.S. LIBOR + 2.250% 3.8375% 9/30/25 (b)(c) | 1,535,000 | 1,532,130 | |
Zayo Group LLC term loan 3 month U.S. LIBOR + 2.000% 3.648% 1/19/21 (b)(c) | 719,563 | 721,764 | |
Ziggo Secured Finance Partnership Tranche E, term loan 3 month U.S. LIBOR + 2.500% 4.0875% 4/15/25 (b)(c) | 2,565,000 | 2,540,479 | |
TOTAL CABLE/SATELLITE TV | 5,009,551 | ||
Chemicals - 0.0% | |||
Tronox Blocked Borrower LLC Tranche B, term loan 3 month U.S. LIBOR + 3.000% 4.6934% 9/22/24 (b)(c) | 93,721 | 94,278 | |
Tronox Finance LLC Tranche B, term loan 3 month U.S. LIBOR + 3.000% 4.6934% 9/22/24 (b)(c) | 216,279 | 217,564 | |
TOTAL CHEMICALS | 311,842 | ||
Containers - 0.0% | |||
Crown Americas LLC Tranche B 1LN, term loan 3 month U.S. LIBOR + 2.000% 1/29/25 (c)(d) | 110,000 | 110,916 | |
Entertainment/Film - 0.2% | |||
AMC Entertainment, Inc. Tranche B, term loan 3 month U.S. LIBOR + 2.250% 3.8375% 12/15/22 (b)(c) | 1,193,893 | 1,196,627 | |
Food & Drug Retail - 0.2% | |||
Albertson's LLC Tranche B, term loan 3 month U.S. LIBOR + 3.000% 4.9563% 6/22/23 (b)(c) | 1,140,860 | 1,123,039 | |
Food/Beverage/Tobacco - 0.0% | |||
Post Holdings, Inc. Tranche B, term loan 3 month U.S. LIBOR + 2.250% 3.9% 5/24/24 (b)(c) | 318,400 | 318,731 | |
Gaming - 0.3% | |||
CityCenter Holdings LLC Tranche B, term loan 3 month U.S. LIBOR + 2.500% 4.148% 4/18/24 (b)(c) | 1,203,950 | 1,208,922 | |
Scientific Games Corp. Tranche B 5LN, term loan 3 month U.S. LIBOR + 2.750% 4.4488% 8/14/24 (b)(c) | 623,725 | 626,457 | |
TOTAL GAMING | 1,835,379 | ||
Services - 0.1% | |||
Aramark Services, Inc. Tranche B-1, term loan 3 month U.S. LIBOR + 2.000% 3.648% 3/11/25 (b)(c) | 520,000 | 523,089 | |
Technology - 0.4% | |||
Go Daddy Operating Co. LLC Tranche B, term loan 3 month U.S. LIBOR + 2.250% 3.898% 2/15/24 (b)(c) | 1,773,125 | 1,776,228 | |
Solera LLC Tranche B, term loan 3 month U.S. LIBOR + 2.750% 3/3/23 (c)(d) | 400,000 | 400,832 | |
TOTAL TECHNOLOGY | 2,177,060 | ||
Telecommunications - 0.4% | |||
Level 3 Financing, Inc. Tranche B, term loan 3 month U.S. LIBOR + 2.250% 3.8456% 2/22/24 (b)(c) | 1,575,000 | 1,577,410 | |
Sable International Finance Ltd. Tranche B 4LN, term loan 3 month U.S. LIBOR + 3.250% 4.8894% 1/31/26 (b)(c) | 1,095,000 | 1,092,876 | |
TOTAL TELECOMMUNICATIONS | 2,670,286 | ||
Utilities - 0.2% | |||
The AES Corp. Tranche B, term loan 3 month U.S. LIBOR + 2.000% 3.9436% 5/24/22 (b)(c) | 1,553,263 | 1,554,039 | |
TOTAL BANK LOAN OBLIGATIONS | |||
(Cost $23,353,927) | 23,428,380 | ||
Preferred Securities - 8.7% | |||
Banks & Thrifts - 7.9% | |||
Bank of America Corp.: | |||
6.1% (b)(e) | 2,440,000 | 2,654,241 | |
6.25% (b)(e) | 12,760,000 | 14,109,490 | |
6.5% (b)(e) | 2,245,000 | 2,513,245 | |
Barclays Bank PLC 7.625% 11/21/22 | 3,435,000 | 3,895,938 | |
Barclays PLC 6.625% (b)(e) | 1,255,000 | 1,308,717 | |
Citigroup, Inc.: | |||
5.875% (b)(e) | 3,735,000 | 3,964,349 | |
5.95% (b)(e) | 8,275,000 | 8,746,035 | |
5.95% (b)(e) | 1,115,000 | 1,157,483 | |
6.125% (b)(e) | 2,860,000 | 3,073,971 | |
Credit Agricole SA: | |||
6.625% (a)(b)(e) | 5,485,000 | 5,759,326 | |
7.875% (a)(b)(e) | 1,480,000 | 1,674,065 | |
Goldman Sachs Group, Inc. 5% (b)(e) | 2,245,000 | 2,220,752 | |
Royal Bank of Scotland Group PLC 7.5% (b)(e) | 1,110,000 | 1,177,830 | |
TOTAL BANKS & THRIFTS | 52,255,442 | ||
Energy - 0.8% | |||
Andeavor Logistics LP 6.875% (b)(e) | 2,635,000 | 2,689,027 | |
Sunoco Logistics Partners LP 6.25% (b)(e) | 3,090,000 | 3,003,610 | |
TOTAL ENERGY | 5,692,637 | ||
TOTAL PREFERRED SECURITIES | |||
(Cost $54,615,226) | 57,948,079 | ||
Shares | Value | ||
Money Market Funds - 4.3% | |||
Fidelity Cash Central Fund, 1.41% (f) | |||
(Cost $28,812,369) | 28,806,608 | 28,812,369 | |
TOTAL INVESTMENT IN SECURITIES - 98.8% | |||
(Cost $663,550,757) | 668,487,766 | ||
NET OTHER ASSETS (LIABILITIES) - 1.2% | 8,192,213 | ||
NET ASSETS - 100% | $676,679,979 |
Legend
(a) Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. At the end of the period, the value of these securities amounted to $237,347,380 or 35.1% of net assets.
(b) Coupon rates for floating and adjustable rate securities reflect the rates in effect at period end.
(c) Coupon is indexed to a floating interest rate which may be multiplied by a specified factor and/or subject to caps or floors.
(d) The coupon rate will be determined upon settlement of the loan after period end.
(e) Security is perpetual in nature with no stated maturity date.
(f) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements are available on the SEC's website or upon request.
Affiliated Central Funds
Information regarding fiscal year to date income earned by the Fund from investments in Fidelity Central Funds is as follows:
Fund | Income earned |
Fidelity Cash Central Fund | $114,225 |
Total | $114,225 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of February 28, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities: | ||||
Corporate Bonds | $558,298,938 | $-- | $558,298,938 | $-- |
Bank Loan Obligations | 23,428,380 | -- | 23,428,380 | -- |
Preferred Securities | 57,948,079 | -- | 57,948,079 | -- |
Money Market Funds | 28,812,369 | 28,812,369 | -- | -- |
Total Investments in Securities: | $668,487,766 | $28,812,369 | $639,675,397 | $-- |
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 82.2% |
United Kingdom | 3.3% |
Canada | 3.3% |
Netherlands | 2.8% |
Luxembourg | 2.7% |
Cayman Islands | 1.9% |
Bermuda | 1.5% |
France | 1.1% |
Others (Individually Less Than 1%) | 1.2% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
February 28, 2018 (Unaudited) | ||
Assets | ||
Investment in securities, at value — See accompanying schedule: Unaffiliated issuers (cost $634,738,388) | $639,675,397 | |
Fidelity Central Funds (cost $28,812,369) | 28,812,369 | |
Total Investment in Securities (cost $663,550,757) | $668,487,766 | |
Cash | 928,183 | |
Receivable for investments sold | 1,782,008 | |
Interest receivable | 7,813,928 | |
Distributions receivable from Fidelity Central Funds | 19,689 | |
Total assets | 679,031,574 | |
Liabilities | ||
Payable for investments purchased | $2,348,820 | |
Other payables and accrued expenses | 2,775 | |
Total liabilities | 2,351,595 | |
Net Assets | $676,679,979 | |
Net Assets consist of: | ||
Paid in capital | $668,133,399 | |
Distributions in excess of net investment income | (447,940) | |
Accumulated undistributed net realized gain (loss) on investments | 4,057,511 | |
Net unrealized appreciation (depreciation) on investments | 4,937,009 | |
Net Assets, for 6,729,321 shares outstanding | $676,679,979 | |
Net Asset Value, offering price and redemption price per share ($676,679,979 ÷ 6,729,321 shares) | $100.56 |
See accompanying notes which are an integral part of the financial statements.
Statement of Operations
Six months ended February 28, 2018 (Unaudited) | ||
Investment Income | ||
Dividends | $1,648,263 | |
Interest | 16,050,858 | |
Income from Fidelity Central Funds | 114,225 | |
Total income | 17,813,346 | |
Expenses | ||
Custodian fees and expenses | $5,102 | |
Independent directors' fees and expenses | 1,315 | |
Total expenses before reductions | 6,417 | |
Expense reductions | (2,506) | 3,911 |
Net investment income (loss) | 17,809,435 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 7,828,704 | |
Total net realized gain (loss) | 7,828,704 | |
Change in net unrealized appreciation (depreciation) on investment securities | (21,387,565) | |
Net gain (loss) | (13,558,861) | |
Net increase (decrease) in net assets resulting from operations | $4,250,574 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Six months ended February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $17,809,435 | $40,865,773 |
Net realized gain (loss) | 7,828,704 | 13,704,214 |
Change in net unrealized appreciation (depreciation) | (21,387,565) | (189,471) |
Net increase (decrease) in net assets resulting from operations | 4,250,574 | 54,380,516 |
Distributions to shareholders from net investment income | (17,890,259) | (41,218,190) |
Distributions to shareholders from net realized gain | (14,417,046) | (2,200,459) |
Total distributions | (32,307,305) | (43,418,649) |
Affiliated share transactions | ||
Proceeds from sales of shares | 3,850,000 | 41,500,001 |
Reinvestment of distributions | 32,307,293 | 43,330,001 |
Cost of shares redeemed | (100,013,409) | (161,324,959) |
Net increase (decrease) in net assets resulting from share transactions | (63,856,116) | (76,494,957) |
Total increase (decrease) in net assets | (91,912,847) | (65,533,090) |
Net Assets | ||
Beginning of period | 768,592,826 | 834,125,916 |
End of period | $676,679,979 | $768,592,826 |
Other Information | ||
Distributions in excess of net investment income end of period | $(447,940) | $(367,116) |
Shares | ||
Sold | 37,093 | 395,982 |
Issued in reinvestment of distributions | 313,088 | 419,297 |
Redeemed | (966,557) | (1,562,856) |
Net increase (decrease) | (616,376) | (747,577) |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Specialized High Income Central Fund
Six months ended (Unaudited) February 28, | Years endedAugust 31, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $104.63 | $103.06 | $101.49 | $107.68 | $103.63 | $104.86 |
Income from Investment Operations | ||||||
Net investment income (loss)A | 2.569 | 5.489 | 5.682 | 5.462 | 5.687 | 6.163 |
Net realized and unrealized gain (loss) | (2.043) | 1.901 | 1.436 | (6.176) | 3.995 | (1.387) |
Total from investment operations | .526 | 7.390 | 7.118 | (.714) | 9.682 | 4.776 |
Distributions from net investment income | (2.583) | (5.531) | (5.548) | (5.476) | (5.632) | (6.006) |
Distributions from net realized gain | (2.013) | (.289) | – | – | – | – |
Total distributions | (4.596) | (5.820) | (5.548) | (5.476) | (5.632) | (6.006) |
Net asset value, end of period | $100.56 | $104.63 | $103.06 | $101.49 | $107.68 | $103.63 |
Total ReturnB,C | .47% | 7.39% | 7.39% | (.70)% | 9.53% | 4.58% |
Ratios to Average Net AssetsD,E | ||||||
Expenses before reductionsF | - %G | -% | -% | -% | -% | -% |
Expenses net of fee waivers, if anyF | - %G | -% | -% | -% | -% | -% |
Expenses net of all reductionsF | - %G | -% | -% | -% | -% | -% |
Net investment income (loss) | 5.03%G | 5.31% | 5.75% | 5.22% | 5.34% | 5.80% |
Supplemental Data | ||||||
Net assets, end of period (000 omitted) | $676,680 | $768,593 | $834,126 | $749,914 | $474,640 | $396,497 |
Portfolio turnover rateH | 48%G | 51% | 46% | 49% | 78% | 72% |
A Calculated based on average shares outstanding during the period.
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the Fund.
F Amount represents less than .005%.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended February 28, 2018
1. Organization.
Fidelity Specialized High Income Central Fund (the Fund) is a fund of Fidelity Central Investment Portfolios LLC (the LLC) and is authorized to issue an unlimited number of shares. Shares of the Fund are only offered to other investment companies and accounts managed by Fidelity Management & Research Company (FMR), or its affiliates (the Investing Funds). The LLC is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Delaware Limited Liability Company.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Directors (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events, changes in interest rates and credit quality. The frequency with which these procedures are used cannot be predicted and they may be utilized to a significant extent. The Committee oversees the Fund's valuation policies and procedures and reports to the Board on the Committee's activities and fair value determinations. The Board monitors the appropriateness of the procedures used in valuing the Fund's investments and ratifies the fair value determinations of the Committee.
The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels as shown below:
- Level 1 – quoted prices in active markets for identical investments
- Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, etc.)
- Level 3 – unobservable inputs (including the Fund's own assumptions based on the best information available)
Valuation techniques used to value the Fund's investments by major category are as follows:
Debt securities, including restricted securities, are valued based on evaluated prices received from third party pricing vendors or from brokers who make markets in such securities. Corporate bonds, bank loan obligations and preferred securities are valued by pricing vendors who utilize matrix pricing which considers yield or price of bonds of comparable quality, coupon, maturity and type or by broker-supplied prices. When independent prices are unavailable or unreliable, debt securities may be valued utilizing pricing methodologies which consider similar factors that would be used by third party pricing vendors. Debt securities are generally categorized as Level 2 in the hierarchy but may be Level 3 depending on the circumstances. The Fund invests a significant portion of its assets in below investment grade securities. The value of these securities can be more volatile due to changes in the credit quality of the issuer and is sensitive to changes in economic, market and regulatory conditions.
Investments in open-end mutual funds, including other Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of February 28, 2018 is included at the end of the Fund's Schedule of Investments.
Investment Transactions and Income. For financial reporting purposes, the Fund's investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day. Gains and losses on securities sold are determined on the basis of identified cost. Dividend income is recorded on the ex-dividend date. Income and capital gain distributions from Fidelity Central Funds, if any, are recorded on the ex-dividend date. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable. Debt obligations may be placed on non-accrual status and related interest income may be reduced by ceasing current accruals and writing off interest receivables when the collection of all or a portion of interest has become doubtful based on consistently applied procedures. A debt obligation is removed from non-accrual status when the issuer resumes interest payments or when collectability of interest is reasonably assured.
Expenses. Expenses directly attributable to a fund are charged to that fund. Expenses attributable to more than one fund are allocated among the respective funds on the basis of relative net assets or other appropriate methods. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code, including distributing substantially all of its taxable income and realized gains. As a result, no provision for U.S. Federal income taxes is required. The Fund files a U.S. federal tax return, in addition to state and local tax returns as required. The Fund's federal income tax returns are subject to examination by the Internal Revenue Service (IRS) for a period of three fiscal years after they are filed. State and local tax returns may be subject to examination for an additional fiscal year depending on the jurisdiction.
Dividends are declared and recorded daily and paid monthly from net investment income. Distributions from realized gains, if any, are declared and recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Capital accounts are not adjusted for temporary book-tax differences which will reverse in a subsequent period.
Book-tax differences are primarily due to losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $12,937,094 |
Gross unrealized depreciation | (8,032,770) |
Net unrealized appreciation (depreciation) | $4,904,324 |
Tax cost | $663,583,442 |
Restricted Securities. The Fund may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities is included at the end of the Fund's Schedule of Investments.
Loans and Other Direct Debt Instruments. The Fund invests in direct debt instruments which are interests in amounts owed to lenders by corporate or other borrowers. These instruments may be in the form of loans, trade claims or other receivables and may include standby financing commitments such as revolving credit facilities that obligate the Fund to supply additional cash to the borrower on demand. Loans may be acquired through assignment or participation. The Fund also invests in unfunded loan commitments, which are contractual obligations for future funding. Information regarding unfunded commitments is included at the end of the Fund's Schedule of Investments. The Fund did not have any unfunded loan commitments, which are contractual obligations for future funding, at period end.
New Accounting Pronouncement. In March 2017, the Financial Accounting Standards Board (FASB) issued an Accounting Standards Update (ASU), ASU 2017-08, which amends the amortization period for certain callable debt securities that are held at a premium. The amendment requires the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount. The ASU is effective for annual periods beginning after December 15, 2018. Management is currently evaluating the potential impact of these changes to the financial statements.
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $164,264,280 and $246,143,004, respectively.
5. Fees and Other Transactions with Affiliates.
Management Fee and Expense Contract. FMR Co., Inc. (the investment adviser), an affiliate of FMR, provides the Fund with investment management services. The Fund does not pay any fees for these services. Pursuant to the Fund's management contract with the investment adviser, FMR pays the investment adviser a portion of the management fees it receives from the Investing Funds. In addition, under an expense contract, FMR also pays all other expenses of the Fund, excluding custody fees, the compensation of the independent Directors, and certain miscellaneous expenses such as proxy and shareholder meeting expenses.
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
6. Expense Reductions.
FMR has voluntarily agreed to reimburse a portion of the Fund's operating expenses. For the period, the reimbursement reduced the expenses by $10.
In addition, through arrangements with the Fund's custodian, credits realized as a result of certain uninvested cash balances were used to reduce the Fund's expenses. During the period, these credits reduced the Fund's custody expenses by $2,496.
7. Other.
The Fund's organizational documents provide former and current directors and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Fund. In the normal course of business, the Fund may also enter into contracts that provide general indemnifications. The Fund's maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Fund. The risk of material loss from such claims is considered remote.
At the end of the period, mutual funds managed by FMR or its affiliates were the owners of record of all of the outstanding shares of the Fund.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, and (2) ongoing costs, including other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (September 1, 2017 to February 28, 2018).
Actual Expenses
The first line of the accompanying table provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund's actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.
Annualized Expense Ratio-A | Beginning Account Value September 1, 2017 | Ending Account Value February 28, 2018 | Expenses Paid During Period-B September 1, 2017 to February 28, 2018 | |
Actual | .0018% | $1,000.00 | $1,004.70 | $.01 |
Hypothetical-C | $1,000.00 | $1,024.79 | $.01 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
C 5% return per year before expenses
Corporate Headquarters
245 Summer St.
Boston, MA 02210
www.fidelity.com
SHI-SANN-0418
1.820820.112
Fidelity® High Income Central Fund 2 Semi-Annual Report February 28, 2018 |
Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third-party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company. © 2018 FMR LLC. All rights reserved.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC’s web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330.
Investment Summary (Unaudited)
Top Five Holdings as of February 28, 2018
(by issuer, excluding cash equivalents) | % of fund's net assets |
Community Health Systems, Inc. | 2.5 |
Valeant Pharmaceuticals International, Inc. | 2.5 |
Altice SA | 2.2 |
Ortho-Clinical Diagnostics, Inc. | 2.1 |
First Quantum Minerals Ltd. | 1.6 |
10.9 |
Top Five Market Sectors as of February 28, 2018
% of fund's net assets | |
Energy | 13.2 |
Healthcare | 11.5 |
Telecommunications | 6.9 |
Cable/Satellite TV | 6.0 |
Utilities | 5.0 |
Quality Diversification (% of fund's net assets)
As of February 28, 2018 | ||
BBB | 0.4% | |
BB | 27.8% | |
B | 45.9% | |
CCC,CC,C | 14.6% | |
Not Rated | 0.7% | |
Equities | 1.1% | |
Short-Term Investments and Net Other Assets | 9.5% |
We have used ratings from Moody's Investors Service, Inc. Where Moody's® ratings are not available, we have used S&P® ratings. All ratings are as of the date indicated and do not reflect subsequent changes.
Asset Allocation (% of fund's net assets)
As of February 28, 2018* | ||
Nonconvertible Bonds | 80.8% | |
Convertible Bonds, Preferred Stocks | 1.9% | |
Bank Loan Obligations | 4.6% | |
Other Investments | 3.2% | |
Short-Term Investments and Net Other Assets (Liabilities) | 9.5% |
* Foreign investments - 23.1%
Schedule of Investments February 28, 2018 (Unaudited)
Showing Percentage of Net Assets
Corporate Bonds - 81.6% | |||
Principal Amount | Value | ||
Convertible Bonds - 0.8% | |||
Broadcasting - 0.5% | |||
DISH Network Corp.: | |||
2.375% 3/15/24 (a) | $210,000 | $189,234 | |
3.375% 8/15/26 | 4,380,000 | 4,406,565 | |
4,595,799 | |||
Capital Goods - 0.1% | |||
General Cable Corp. 4.5% 11/15/29 (b) | 1,158,000 | 1,223,681 | |
Energy - 0.2% | |||
Ensco Jersey Finance Ltd. 3% 1/31/24 | 1,500,000 | 1,233,750 | |
TOTAL CONVERTIBLE BONDS | 7,053,230 | ||
Nonconvertible Bonds - 80.8% | |||
Aerospace - 0.7% | |||
Bombardier, Inc.: | |||
7.5% 12/1/24 (a) | 1,425,000 | 1,480,219 | |
7.5% 3/15/25 (a) | 2,460,000 | 2,524,575 | |
DAE Funding LLC: | |||
4% 8/1/20 (a) | 535,000 | 525,638 | |
4.5% 8/1/22 (a) | 670,000 | 649,900 | |
5% 8/1/24 (a) | 165,000 | 161,288 | |
Huntington Ingalls Industries, Inc. 5% 11/15/25 (a) | 625,000 | 662,888 | |
6,004,508 | |||
Air Transportation - 0.1% | |||
United Continental Holdings, Inc. 6.375% 6/1/18 | 155,000 | 155,969 | |
XPO Logistics, Inc. 6.125% 9/1/23 (a) | 725,000 | 752,188 | |
908,157 | |||
Automotive & Auto Parts - 0.5% | |||
Allison Transmission, Inc. 5% 10/1/24 (a) | 1,160,000 | 1,175,950 | |
Delphi Technologies PLC 5% 10/1/25 (a) | 1,000,000 | 991,550 | |
Lithia Motors, Inc. 5.25% 8/1/25 (a) | 590,000 | 600,325 | |
Tesla, Inc. 5.3% 8/15/25 (a) | 1,610,000 | 1,533,525 | |
4,301,350 | |||
Banks & Thrifts - 0.9% | |||
Ally Financial, Inc.: | |||
4.25% 4/15/21 | 1,170,000 | 1,180,238 | |
5.75% 11/20/25 | 5,850,000 | 6,098,625 | |
Royal Bank of Scotland Group PLC 5.125% 5/28/24 | 885,000 | 906,728 | |
8,185,591 | |||
Broadcasting - 1.0% | |||
AMC Networks, Inc.: | |||
4.75% 8/1/25 | 1,075,000 | 1,041,406 | |
5% 4/1/24 | 170,000 | 170,425 | |
CBS Radio, Inc. 7.25% 11/1/24 (a) | 615,000 | 633,327 | |
iHeartCommunications, Inc.: | |||
9% 9/15/22 | 780,000 | 616,200 | |
10.625% 3/15/23 | 1,205,000 | 951,950 | |
11.25% 3/1/21 (a) | 915,000 | 688,538 | |
Sinclair Television Group, Inc. 5.125% 2/15/27 (a) | 320,000 | 307,600 | |
Sirius XM Radio, Inc.: | |||
3.875% 8/1/22 (a) | 825,000 | 808,500 | |
5% 8/1/27 (a) | 1,365,000 | 1,327,053 | |
5.375% 7/15/26 (a) | 1,670,000 | 1,690,875 | |
Univision Communications, Inc. 5.125% 2/15/25 (a) | 535,000 | 494,206 | |
8,730,080 | |||
Building Materials - 0.7% | |||
Builders FirstSource, Inc. 5.625% 9/1/24 (a) | 1,175,000 | 1,195,563 | |
Building Materials Corp. of America: | |||
5.5% 2/15/23 (a) | 1,185,000 | 1,217,588 | |
6% 10/15/25 (a) | 1,165,000 | 1,230,531 | |
GCP Applied Technologies, Inc. 9.5% 2/1/23 (a) | 790,000 | 866,038 | |
Ply Gem Industries, Inc. 6.5% 2/1/22 | 840,000 | 869,929 | |
Summit Materials LLC/Summit Materials Finance Corp. 5.125% 6/1/25 (a) | 400,000 | 400,000 | |
U.S. Concrete, Inc. 6.375% 6/1/24 | 425,000 | 451,563 | |
6,231,212 | |||
Cable/Satellite TV - 5.9% | |||
Altice SA: | |||
7.625% 2/15/25 (a) | 9,290,000 | 8,175,200 | |
7.75% 5/15/22 (a) | 12,375,000 | 11,539,630 | |
Altice U.S. Finance SA: | |||
5.375% 7/15/23 (a) | 1,620,000 | 1,646,325 | |
5.5% 5/15/26 (a) | 3,150,000 | 3,118,500 | |
CCO Holdings LLC/CCO Holdings Capital Corp.: | |||
4% 3/1/23 (a) | 1,070,000 | 1,041,913 | |
5% 2/1/28 (a) | 1,075,000 | 1,015,209 | |
5.125% 2/15/23 | 670,000 | 680,888 | |
5.125% 5/1/23 (a) | 2,200,000 | 2,241,250 | |
5.125% 5/1/27 (a) | 3,315,000 | 3,186,544 | |
5.5% 5/1/26 (a) | 1,395,000 | 1,395,000 | |
5.75% 9/1/23 | 1,160,000 | 1,183,200 | |
5.875% 4/1/24 (a) | 2,995,000 | 3,096,980 | |
Cequel Communications Holdings I LLC/Cequel Capital Corp.: | |||
5.125% 12/15/21 (a) | 760,000 | 755,493 | |
5.125% 12/15/21 (a) | 2,184,000 | 2,175,810 | |
CSC Holdings, Inc. 5.5% 4/15/27 (a) | 2,075,000 | 2,043,875 | |
DISH DBS Corp.: | |||
5% 3/15/23 | 865,000 | 794,719 | |
5.875% 7/15/22 | 550,000 | 536,250 | |
6.75% 6/1/21 | 1,122,000 | 1,152,855 | |
7.75% 7/1/26 | 385,000 | 379,225 | |
Unitymedia KabelBW GmbH 6.125% 1/15/25 (a) | 1,680,000 | 1,753,500 | |
Virgin Media Finance PLC 4.875% 2/15/22 | 845,000 | 802,750 | |
Virgin Media Secured Finance PLC 5.5% 8/15/26 (a) | 930,000 | 920,607 | |
VTR Finance BV 6.875% 1/15/24 (a) | 940,000 | 979,950 | |
Ziggo Secured Finance BV 5.5% 1/15/27 (a) | 1,235,000 | 1,184,056 | |
51,799,729 | |||
Capital Goods - 0.8% | |||
Belden, Inc. 5.25% 7/15/24 (a) | 1,595,000 | 1,614,938 | |
General Cable Corp. 5.75% 10/1/22 (c) | 3,659,000 | 3,759,623 | |
RBS Global, Inc./Rexnord Corp. 4.875% 12/15/25 (a) | 1,045,000 | 1,029,325 | |
SPX Flow, Inc.: | |||
5.625% 8/15/24 (a) | 385,000 | 391,738 | |
5.875% 8/15/26 (a) | 385,000 | 395,588 | |
7,191,212 | |||
Chemicals - 4.0% | |||
Blue Cube Spinco, Inc.: | |||
9.75% 10/15/23 | 1,175,000 | 1,363,000 | |
10% 10/15/25 | 1,455,000 | 1,735,088 | |
CF Industries Holdings, Inc.: | |||
3.45% 6/1/23 | 1,040,000 | 1,007,500 | |
5.15% 3/15/34 | 4,030,000 | 3,949,400 | |
5.375% 3/15/44 | 2,735,000 | 2,564,063 | |
Evolution Escrow Issuer LLC 7.5% 3/15/22 (a) | 2,250,000 | 2,334,375 | |
Momentive Performance Materials, Inc. 3.88% 10/24/21 | 4,365,000 | 4,539,600 | |
MPM Escrow LLC/MPM Finance Escrow Corp. 8.875% 10/15/20 (d)(e) | 2,875,000 | 0 | |
NOVA Chemicals Corp. 4.875% 6/1/24 (a) | 960,000 | 948,000 | |
Platform Specialty Products Corp.: | |||
5.875% 12/1/25 (a) | 1,570,000 | 1,562,150 | |
6.5% 2/1/22 (a) | 1,725,000 | 1,770,281 | |
The Chemours Co. LLC: | |||
6.625% 5/15/23 | 1,985,000 | 2,086,731 | |
7% 5/15/25 | 2,075,000 | 2,235,813 | |
TPC Group, Inc. 8.75% 12/15/20 (a) | 5,735,000 | 5,763,675 | |
Trinseo Materials Operating SCA/Trinseo Materials Finance, Inc. 5.375% 9/1/25 (a) | 1,075,000 | 1,087,094 | |
Tronox Finance PLC 5.75% 10/1/25 (a) | 415,000 | 411,888 | |
Valvoline, Inc. 5.5% 7/15/24 | 335,000 | 345,469 | |
Versum Materials, Inc. 5.5% 9/30/24 (a) | 245,000 | 256,025 | |
W. R. Grace & Co.-Conn.: | |||
5.125% 10/1/21 (a) | 345,000 | 357,075 | |
5.625% 10/1/24 (a) | 1,095,000 | 1,149,750 | |
35,466,977 | |||
Consumer Products - 0.1% | |||
Edgewell Personal Care Co. 5.5% 6/15/25 (a) | 45,000 | 45,000 | |
Tempur Sealy International, Inc. 5.5% 6/15/26 | 1,155,000 | 1,134,788 | |
1,179,788 | |||
Containers - 1.7% | |||
Ard Securities Finance Sarl 8.75% 1/31/23 pay-in-kind (a)(c) | 520,000 | 540,800 | |
Ardagh Packaging Finance PLC/Ardagh MP Holdings U.S.A., Inc.: | |||
4.625% 5/15/23 (a) | 4,395,000 | 4,389,506 | |
6% 6/30/21 (a) | 1,145,000 | 1,170,763 | |
6% 2/15/25 (a) | 1,043,000 | 1,069,075 | |
Crown Americas LLC/Crown Americas Capital Corp. IV 4.5% 1/15/23 | 365,000 | 368,650 | |
Crown Americas LLC/Crown Americas Capital Corp. V 4.25% 9/30/26 | 3,150,000 | 2,984,625 | |
Owens-Brockway Glass Container, Inc.: | |||
5% 1/15/22 (a) | 925,000 | 943,500 | |
5.375% 1/15/25 (a) | 1,870,000 | 1,907,400 | |
Plastipak Holdings, Inc. 6.25% 10/15/25 (a) | 265,000 | 269,638 | |
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC/Reynolds Group Issuer (Luxembourg) SA 5.125% 7/15/23 (a) | 1,065,000 | 1,086,140 | |
14,730,097 | |||
Diversified Financial Services - 3.3% | |||
AerCap Ireland Capital Ltd./AerCap Global Aviation Trust 4.625% 10/30/20 | 1,965,000 | 2,030,273 | |
Aircastle Ltd.: | |||
5% 4/1/23 | 755,000 | 778,511 | |
5.125% 3/15/21 | 1,210,000 | 1,243,275 | |
CIT Group, Inc.: | |||
5% 8/15/22 | 472,000 | 486,750 | |
5.375% 5/15/20 | 104,000 | 107,510 | |
FLY Leasing Ltd.: | |||
5.25% 10/15/24 | 530,000 | 523,375 | |
6.375% 10/15/21 | 4,525,000 | 4,706,000 | |
Grinding Media, Inc./MC Grinding Media Canada, Inc. 7.375% 12/15/23 (a) | 655,000 | 692,663 | |
Icahn Enterprises LP/Icahn Enterprises Finance Corp.: | |||
6% 8/1/20 | 650,000 | 662,675 | |
6.25% 2/1/22 | 445,000 | 451,675 | |
ILFC E-Capital Trust I 3 month U.S. LIBOR + 1.550% 4.37% 12/21/65 (a)(c)(f) | 1,170,000 | 1,155,375 | |
ILFC E-Capital Trust II 3 month U.S. LIBOR + 1.800% 4.62% 12/21/65 (a)(c)(f) | 1,750,000 | 1,719,375 | |
Intelsat Connect Finance SA 12.5% 4/1/22 (a) | 359,000 | 288,546 | |
International Lease Finance Corp. 5.875% 8/15/22 | 570,000 | 621,702 | |
MSCI, Inc. 5.75% 8/15/25 (a) | 520,000 | 546,000 | |
Navient Corp.: | |||
5% 10/26/20 | 345,000 | 347,156 | |
6.625% 7/26/21 | 675,000 | 705,375 | |
6.75% 6/25/25 | 2,140,000 | 2,196,817 | |
7.25% 9/25/23 | 530,000 | 563,125 | |
Radiate Holdco LLC/Radiate Financial Service Ltd. 6.875% 2/15/23 (a) | 315,000 | 314,213 | |
SLM Corp.: | |||
4.875% 6/17/19 | 1,665,000 | 1,683,731 | |
6.125% 3/25/24 | 1,125,000 | 1,136,250 | |
7.25% 1/25/22 | 605,000 | 648,058 | |
8% 3/25/20 | 2,370,000 | 2,538,863 | |
Springleaf Financial Corp.: | |||
6.125% 5/15/22 | 1,065,000 | 1,091,625 | |
8.25% 12/15/20 | 1,195,000 | 1,302,550 | |
Venator Finance SARL/Venator Capital Management Ltd. 5.75% 7/15/25 (a) | 795,000 | 808,913 | |
29,350,381 | |||
Diversified Media - 2.1% | |||
Clear Channel Worldwide Holdings, Inc.: | |||
Series A: | |||
6.5% 11/15/22 | 2,220,000 | 2,276,610 | |
7.625% 3/15/20 | 5,634,000 | 5,577,660 | |
7.625% 3/15/20 | 1,285,000 | 1,283,394 | |
E.W. Scripps Co. 5.125% 5/15/25 (a) | 240,000 | 230,400 | |
MDC Partners, Inc. 6.5% 5/1/24 (a) | 3,705,000 | 3,695,738 | |
Nielsen Co. S.a.r.l. (Luxembourg) 5% 2/1/25 (a) | 870,000 | 868,643 | |
Nielsen Finance LLC/Nielsen Finance Co. 5% 4/15/22 (a) | 4,185,000 | 4,236,789 | |
18,169,234 | |||
Energy - 11.7% | |||
AmeriGas Partners LP/AmeriGas Finance Corp. 5.5% 5/20/25 | 865,000 | 858,513 | |
Antero Resources Corp.: | |||
5.125% 12/1/22 | 890,000 | 897,788 | |
5.625% 6/1/23 (Reg. S) | 815,000 | 835,375 | |
Antero Resources Finance Corp. 5.375% 11/1/21 | 990,000 | 1,012,275 | |
Baytex Energy Corp.: | |||
5.125% 6/1/21 (a) | 275,000 | 258,500 | |
5.625% 6/1/24 (a) | 830,000 | 744,925 | |
Calfrac Holdings LP 7.5% 12/1/20 (a) | 1,395,000 | 1,388,444 | |
California Resources Corp. 8% 12/15/22 (a) | 6,275,000 | 4,965,094 | |
Callon Petroleum Co. 6.125% 10/1/24 | 335,000 | 341,700 | |
Chesapeake Energy Corp.: | |||
4.875% 4/15/22 | 380,000 | 356,250 | |
5.375% 6/15/21 | 1,816,000 | 1,770,600 | |
5.75% 3/15/23 | 745,000 | 681,675 | |
6.125% 2/15/21 | 575,000 | 580,750 | |
8% 1/15/25 (a) | 985,000 | 972,688 | |
8% 6/15/27 (a) | 1,150,000 | 1,102,563 | |
Citgo Petroleum Corp. 6.25% 8/15/22 (a) | 4,325,000 | 4,330,406 | |
Consolidated Energy Finance SA: | |||
3 month U.S. LIBOR + 3.750% 5.3385% 6/15/22 (a)(c)(f) | 820,000 | 818,019 | |
6.875% 6/15/25 (a) | 980,000 | 1,029,000 | |
Continental Resources, Inc.: | |||
4.375% 1/15/28 (a) | 1,065,000 | 1,035,047 | |
4.5% 4/15/23 | 770,000 | 779,625 | |
5% 9/15/22 | 3,210,000 | 3,258,150 | |
Covey Park Energy LLC 7.5% 5/15/25 (a) | 1,130,000 | 1,146,950 | |
Crestwood Midstream Partners LP/Crestwood Midstream Finance Corp. 6.25% 4/1/23 | 315,000 | 324,450 | |
CVR Refining LLC/Coffeyville Finance, Inc. 6.5% 11/1/22 | 1,665,000 | 1,704,544 | |
Denbury Resources, Inc.: | |||
4.625% 7/15/23 | 3,555,000 | 2,630,700 | |
5.5% 5/1/22 | 2,535,000 | 1,951,950 | |
9% 5/15/21 (a) | 1,070,000 | 1,094,075 | |
Diamond Offshore Drilling, Inc. 7.875% 8/15/25 | 535,000 | 543,025 | |
Diamondback Energy, Inc. 5.375% 5/31/25 (a) | 215,000 | 215,000 | |
Endeavor Energy Resources LP/EER Finance, Inc.: | |||
5.5% 1/30/26 (a) | 385,000 | 382,113 | |
5.75% 1/30/28 (a) | 390,000 | 390,000 | |
Ensco PLC: | |||
4.5% 10/1/24 | 780,000 | 635,700 | |
5.2% 3/15/25 | 420,000 | 348,600 | |
5.75% 10/1/44 | 1,156,000 | 799,085 | |
7.75% 2/1/26 | 535,000 | 506,244 | |
EP Energy LLC/Everest Acquisition Finance, Inc. 8% 11/29/24 (a) | 1,550,000 | 1,596,500 | |
Exterran Energy Solutions LP 8.125% 5/1/25 (a) | 885,000 | 951,375 | |
Exterran Partners LP/EXLP Finance Corp. 6% 4/1/21 | 435,000 | 436,088 | |
FTS International, Inc. 6.25% 5/1/22 | 720,000 | 720,000 | |
Hess Infrastructure Partners LP 5.625% 2/15/26 (a) | 1,605,000 | 1,605,000 | |
Hilcorp Energy I LP/Hilcorp Finance Co.: | |||
5% 12/1/24 (a) | 2,275,000 | 2,286,375 | |
5.75% 10/1/25 (a) | 810,000 | 824,175 | |
Holly Energy Partners LP/Holly Finance Corp. 6% 8/1/24 (a) | 575,000 | 590,813 | |
Indigo Natural Resources LLC 6.875% 2/15/26 (a) | 535,000 | 523,080 | |
Jonah Energy LLC 7.25% 10/15/25 (a) | 1,990,000 | 1,890,500 | |
Nabors Industries, Inc. 5.75% 2/1/25 (a) | 1,605,000 | 1,531,772 | |
NGL Energy Partners LP/NGL Energy Finance Corp.: | |||
5.125% 7/15/19 | 435,000 | 436,088 | |
6.125% 3/1/25 | 1,505,000 | 1,456,088 | |
7.5% 11/1/23 | 2,500,000 | 2,512,500 | |
NGPL PipeCo LLC 4.375% 8/15/22 (a) | 230,000 | 229,425 | |
Noble Holding International Ltd.: | |||
5.25% 3/15/42 | 620,000 | 393,700 | |
6.05% 3/1/41 | 755,000 | 500,188 | |
7.7% 4/1/25 (c) | 1,040,000 | 930,800 | |
7.75% 1/15/24 | 1,373,000 | 1,254,579 | |
7.875% 2/1/26 (a) | 860,000 | 864,300 | |
Oceaneering International, Inc. 6% 2/1/28 | 535,000 | 527,329 | |
Pacific Drilling SA 5.375% 6/1/20 (a)(d) | 445,000 | 183,563 | |
Parsley Energy LLC/Parsley: | |||
5.25% 8/15/25 (a) | 575,000 | 566,375 | |
5.625% 10/15/27 (a) | 445,000 | 441,384 | |
6.25% 6/1/24 (a) | 165,000 | 170,775 | |
PBF Holding Co. LLC/PBF Finance Corp.: | |||
7% 11/15/23 | 1,810,000 | 1,882,400 | |
7.25% 6/15/25 | 2,525,000 | 2,613,375 | |
PBF Logistics LP/PBF Logistics Finance, Inc.: | |||
6.875% 5/15/23 (a) | 215,000 | 220,106 | |
6.875% 5/15/23 | 155,000 | 158,681 | |
PDC Energy, Inc. 6.125% 9/15/24 | 290,000 | 296,525 | |
Precision Drilling Corp. 7.125% 1/15/26 (a) | 730,000 | 736,388 | |
Range Resources Corp. 5% 3/15/23 | 1,415,000 | 1,383,163 | |
Rose Rock Midstream LP/Rose Rock Finance Corp.: | |||
5.625% 7/15/22 | 770,000 | 762,300 | |
5.625% 11/15/23 | 845,000 | 817,538 | |
Sanchez Energy Corp. 7.25% 2/15/23 (a) | 1,640,000 | 1,658,942 | |
SemGroup Corp.: | |||
6.375% 3/15/25 | 1,175,000 | 1,160,313 | |
7.25% 3/15/26 | 850,000 | 869,125 | |
SM Energy Co.: | |||
5% 1/15/24 | 1,345,000 | 1,264,300 | |
5.625% 6/1/25 | 2,620,000 | 2,489,000 | |
6.125% 11/15/22 | 1,980,000 | 1,999,800 | |
6.5% 11/15/21 | 650,000 | 659,750 | |
6.5% 1/1/23 | 1,650,000 | 1,650,000 | |
Southwestern Energy Co.: | |||
4.1% 3/15/22 | 4,770,000 | 4,471,875 | |
7.5% 4/1/26 | 1,655,000 | 1,671,550 | |
7.75% 10/1/27 | 1,005,000 | 1,025,100 | |
Summit Midstream Holdings LLC 5.75% 4/15/25 | 665,000 | 665,000 | |
Targa Resources Partners LP/Targa Resources Partners Finance Corp.: | |||
4.25% 11/15/23 | 2,335,000 | 2,276,625 | |
5.125% 2/1/25 | 470,000 | 468,238 | |
5.25% 5/1/23 | 330,000 | 334,745 | |
6.75% 3/15/24 | 235,000 | 249,394 | |
Teine Energy Ltd. 6.875% 9/30/22 (a) | 600,000 | 612,000 | |
TerraForm Power Operating LLC 4.25% 1/31/23 (a) | 465,000 | 455,700 | |
Transocean, Inc. 9% 7/15/23 (a) | 770,000 | 831,600 | |
Weatherford International Ltd.: | |||
6.5% 8/1/36 | 540,000 | 410,400 | |
7% 3/15/38 | 191,000 | 151,845 | |
Weatherford International, Inc.: | |||
6.8% 6/15/37 | 780,000 | 608,400 | |
9.875% 3/1/25 (a) | 1,070,000 | 1,053,950 | |
Whiting Petroleum Corp.: | |||
5.75% 3/15/21 | 855,000 | 874,238 | |
6.25% 4/1/23 | 235,000 | 237,938 | |
6.625% 1/15/26 (a) | 620,000 | 628,525 | |
WPX Energy, Inc.: | |||
6% 1/15/22 | 665,000 | 689,938 | |
8.25% 8/1/23 | 415,000 | 469,988 | |
102,921,350 | |||
Entertainment/Film - 1.7% | |||
AMC Entertainment Holdings, Inc.: | |||
5.875% 11/15/26 | 6,480,000 | 6,269,400 | |
6.125% 5/15/27 | 4,382,000 | 4,250,540 | |
AMC Entertainment, Inc. 5.75% 6/15/25 | 2,030,000 | 1,974,175 | |
CBS Outdoor Americas Capital LLC/CBS Outdoor Americas Capital Corp.: | |||
5.625% 2/15/24 | 400,000 | 404,500 | |
5.875% 3/15/25 | 1,180,000 | 1,197,700 | |
New Cotai LLC/New Cotai Capital Corp. 10.625% 5/1/19 pay-in-kind (a)(c) | 1,208,870 | 1,196,781 | |
15,293,096 | |||
Environmental - 1.5% | |||
Covanta Holding Corp.: | |||
5.875% 3/1/24 | 1,282,000 | 1,285,205 | |
5.875% 7/1/25 | 2,865,000 | 2,850,675 | |
6.375% 10/1/22 | 1,081,000 | 1,103,971 | |
LBC Tank Terminals Holding Netherlands BV 6.875% 5/15/23 (a) | 2,780,000 | 2,866,875 | |
Tervita Escrow Corp. 7.625% 12/1/21 (a) | 3,260,000 | 3,276,300 | |
Waste Pro U.S.A., Inc. 5.5% 2/15/26 (a) | 315,000 | 316,575 | |
Wrangler Buyer Corp. 6% 10/1/25 (a) | 1,285,000 | 1,301,063 | |
13,000,664 | |||
Food & Drug Retail - 1.6% | |||
Albertsons Companies LLC/Safeway, Inc./New Albertson's, Inc./Albertson's LLC: | |||
5.75% 3/15/25 | 2,405,000 | 2,092,350 | |
6.625% 6/15/24 | 1,255,000 | 1,156,169 | |
BI-LO LLC/BI-LO Finance Corp.: | |||
9.25% 2/15/19 (a) | 7,234,000 | 6,998,895 | |
9.375% 9/15/18 pay-in-kind (a)(c) | 8,673,359 | 3,295,876 | |
Performance Food Group, Inc. 5.5% 6/1/24 (a) | 500,000 | 510,000 | |
Rite Aid Corp. 7.7% 2/15/27 | 229,000 | 212,398 | |
14,265,688 | |||
Food/Beverage/Tobacco - 3.1% | |||
C&S Group Enterprises LLC 5.375% 7/15/22 (a) | 5,455,000 | 5,182,250 | |
Cott Holdings, Inc. 5.5% 4/1/25 (a) | 1,555,000 | 1,548,936 | |
ESAL GmbH 6.25% 2/5/23 (a) | 5,460,000 | 5,188,693 | |
JBS Investments GmbH: | |||
7.25% 4/3/24 (a) | 3,430,000 | 3,408,563 | |
7.75% 10/28/20 (a) | 1,630,000 | 1,666,675 | |
JBS U.S.A. LLC/JBS U.S.A. Finance, Inc.: | |||
5.75% 6/15/25 (a) | 785,000 | 749,675 | |
6.75% 2/15/28 (a) | 1,935,000 | 1,916,037 | |
Minerva Luxembourg SA 6.5% 9/20/26 (a) | 615,000 | 610,388 | |
Pinnacle Foods Finance LLC/Pinnacle Foods Finance Corp. 5.875% 1/15/24 | 420,000 | 438,375 | |
Post Holdings, Inc.: | |||
5% 8/15/26 (a) | 1,300,000 | 1,235,000 | |
5.5% 3/1/25 (a) | 1,115,000 | 1,121,969 | |
5.625% 1/15/28 (a) | 1,070,000 | 1,041,913 | |
5.75% 3/1/27 (a) | 1,045,000 | 1,031,938 | |
U.S. Foods, Inc. 5.875% 6/15/24 (a) | 770,000 | 798,875 | |
Vector Group Ltd. 6.125% 2/1/25 (a) | 1,750,000 | 1,787,188 | |
27,726,475 | |||
Gaming - 1.7% | |||
Boyd Gaming Corp. 6.375% 4/1/26 | 395,000 | 415,244 | |
CRC Escrow Issuer LLC/CRC Finance LLC 5.25% 10/15/25 (a) | 5,805,000 | 5,674,388 | |
Downstream Development Authority 10.5% 2/15/23 (a) | 535,000 | 548,910 | |
Eldorado Resorts, Inc. 6% 4/1/25 | 240,000 | 247,200 | |
GLP Capital LP/GLP Financing II, Inc. 5.375% 4/15/26 | 190,000 | 196,413 | |
Jacobs Entertainment, Inc. 7.875% 2/1/24 (a) | 225,000 | 240,469 | |
MCE Finance Ltd. 4.875% 6/6/25 (a) | 365,000 | 357,088 | |
MGM Growth Properties Operating Partnership LP 4.5% 9/1/26 | 1,100,000 | 1,047,750 | |
MGM Mirage, Inc.: | |||
7.75% 3/15/22 | 660,000 | 735,900 | |
8.625% 2/1/19 | 894,000 | 938,700 | |
Scientific Games Corp.: | |||
5% 10/15/25 (a) | 1,615,000 | 1,596,831 | |
7% 1/1/22 (a) | 628,000 | 660,970 | |
Seminole Hard Rock Entertainment, Inc. 5.875% 5/15/21 (a) | 445,000 | 448,338 | |
Sugarhouse HSP Gaming Prop Mezz LP/Sugarhouse HSP Gaming Finance Corp. 5.875% 5/15/25 (a) | 1,615,000 | 1,518,100 | |
Wynn Macau Ltd. 4.875% 10/1/24 (a) | 525,000 | 514,500 | |
15,140,801 | |||
Healthcare - 10.5% | |||
Acadia Healthcare Co., Inc. 5.625% 2/15/23 | 695,000 | 713,035 | |
AmSurg Corp. 5.625% 7/15/22 | 985,000 | 1,004,700 | |
Catalent Pharma Solutions 4.875% 1/15/26 (a) | 300,000 | 297,000 | |
Community Health Systems, Inc.: | |||
5.125% 8/1/21 | 6,745,000 | 6,222,263 | |
6.25% 3/31/23 | 4,355,000 | 3,963,050 | |
6.875% 2/1/22 | 17,171,000 | 11,161,150 | |
CTR Partnership LP/CareTrust Capital Corp. 5.25% 6/1/25 | 1,415,000 | 1,422,075 | |
DaVita HealthCare Partners, Inc.: | |||
5% 5/1/25 | 1,750,000 | 1,715,000 | |
5.125% 7/15/24 | 1,820,000 | 1,807,488 | |
HCA Holdings, Inc.: | |||
5.25% 6/15/26 | 645,000 | 661,125 | |
5.875% 3/15/22 | 620,000 | 657,200 | |
5.875% 5/1/23 | 1,150,000 | 1,209,225 | |
6.25% 2/15/21 | 1,045,000 | 1,099,863 | |
HealthSouth Corp.: | |||
5.75% 11/1/24 | 1,000,000 | 1,013,750 | |
5.75% 9/15/25 | 695,000 | 707,163 | |
Hologic, Inc. 4.375% 10/15/25 (a) | 895,000 | 873,744 | |
IMS Health, Inc. 5% 10/15/26 (a) | 680,000 | 682,040 | |
Kindred Healthcare, Inc.: | |||
8% 1/15/20 | 4,170,000 | 4,456,688 | |
8.75% 1/15/23 | 4,070,000 | 4,354,900 | |
MPT Operating Partnership LP/MPT Finance Corp.: | |||
5% 10/15/27 | 75,000 | 73,275 | |
5.5% 5/1/24 | 575,000 | 587,938 | |
6.375% 3/1/24 | 735,000 | 773,588 | |
Ortho-Clinical Diagnostics, Inc. 6.625% 5/15/22 (a) | 11,370,000 | 11,284,725 | |
Polaris Intermediate Corp. 8.5% 12/1/22 pay-in-kind (a)(c) | 1,070,000 | 1,089,394 | |
Sabra Health Care LP/Sabra Capital Corp.: | |||
5.375% 6/1/23 | 3,010,000 | 3,025,050 | |
5.5% 2/1/21 | 2,645,000 | 2,704,513 | |
SP Finco LLC 6.75% 7/1/25 (a) | 880,000 | 827,200 | |
Teleflex, Inc. 4.875% 6/1/26 | 1,145,000 | 1,133,550 | |
Tenet Healthcare Corp.: | |||
4.375% 10/1/21 | 3,120,000 | 3,104,400 | |
4.5% 4/1/21 | 220,000 | 220,704 | |
6% 10/1/20 | 395,000 | 410,800 | |
6.75% 6/15/23 | 535,000 | 535,000 | |
THC Escrow Corp. III 5.125% 5/1/25 (a) | 2,150,000 | 2,085,500 | |
Valeant Pharmaceuticals International, Inc.: | |||
5.375% 3/15/20 (a) | 2,305,000 | 2,299,238 | |
5.5% 11/1/25 (a) | 1,850,000 | 1,830,344 | |
5.625% 12/1/21 (a) | 590,000 | 559,763 | |
5.875% 5/15/23 (a) | 7,075,000 | 6,287,906 | |
6.125% 4/15/25 (a) | 3,850,000 | 3,375,969 | |
6.75% 8/15/21 (a) | 800,000 | 780,000 | |
7.25% 7/15/22 (a) | 2,585,000 | 2,513,913 | |
7.5% 7/15/21 (a) | 1,785,000 | 1,793,925 | |
9% 12/15/25 (a) | 1,775,000 | 1,778,328 | |
93,096,482 | |||
Homebuilders/Real Estate - 1.9% | |||
AV Homes, Inc. 6.625% 5/15/22 | 785,000 | 810,513 | |
Beazer Homes U.S.A., Inc.: | |||
5.875% 10/15/27 | 1,090,000 | 1,035,500 | |
6.75% 3/15/25 | 1,040,000 | 1,050,400 | |
Brookfield Residential Properties, Inc./Brookfield Residential U.S. Corp. 6.125% 7/1/22 (a) | 270,000 | 278,775 | |
Brookfield Residential Properties, Inc. 6.375% 5/15/25 (a) | 470,000 | 487,038 | |
Howard Hughes Corp. 5.375% 3/15/25 (a) | 1,005,000 | 991,181 | |
Kennedy-Wilson, Inc. 5.875% 4/1/24 | 775,000 | 767,250 | |
Lennar Corp.: | |||
5.25% 6/1/26 (a) | 385,000 | 392,700 | |
5.875% 11/15/24 (a) | 520,000 | 552,500 | |
M/I Homes, Inc. 5.625% 8/1/25 | 480,000 | 482,242 | |
Mattamy Group Corp.: | |||
6.5% 10/1/25 (a) | 800,000 | 836,000 | |
6.875% 12/15/23 (a) | 345,000 | 361,819 | |
Realogy Group LLC/Realogy Co.-Issuer Corp. 5.25% 12/1/21 (a) | 615,000 | 622,688 | |
Shea Homes Ltd. Partnership/Corp. 6.125% 4/1/25 (a) | 590,000 | 606,225 | |
Starwood Property Trust, Inc.: | |||
4.75% 3/15/25 (a) | 1,395,000 | 1,353,150 | |
5% 12/15/21 | 865,000 | 884,463 | |
Taylor Morrison Communities, Inc./Monarch Communities, Inc. 5.625% 3/1/24 (a) | 2,265,000 | 2,310,300 | |
TRI Pointe Homes, Inc.: | |||
5.25% 6/1/27 | 1,075,000 | 1,062,906 | |
5.875% 6/15/24 | 300,000 | 309,750 | |
William Lyon Homes, Inc.: | |||
5.75% 4/15/19 | 345,000 | 345,863 | |
5.875% 1/31/25 | 580,000 | 578,550 | |
7% 8/15/22 | 1,030,000 | 1,055,750 | |
17,175,563 | |||
Hotels - 0.5% | |||
ESH Hospitality, Inc. 5.25% 5/1/25 (a) | 2,920,000 | 2,912,700 | |
Hilton Escrow Issuer LLC 4.25% 9/1/24 | 1,545,000 | 1,517,963 | |
4,430,663 | |||
Insurance - 0.5% | |||
Acrisure LLC 7% 11/15/25 (a) | 4,325,000 | 4,227,688 | |
Leisure - 0.9% | |||
Mattel, Inc.: | |||
2.35% 8/15/21 | 1,600,000 | 1,459,680 | |
3.15% 3/15/23 | 535,000 | 479,494 | |
6.75% 12/31/25 (a) | 2,815,000 | 2,864,263 | |
Silversea Cruises 7.25% 2/1/25 (a) | 385,000 | 410,988 | |
Six Flags Entertainment Corp. 4.875% 7/31/24 (a) | 520,000 | 518,747 | |
Studio City Co. Ltd.: | |||
5.875% 11/30/19 (a) | 615,000 | 630,375 | |
7.25% 11/30/21 (a) | 1,295,000 | 1,361,369 | |
Voc Escrow Ltd. 5% 2/15/28 (a) | 535,000 | 520,288 | |
8,245,204 | |||
Metals/Mining - 3.7% | |||
Constellium NV 5.875% 2/15/26 (a) | 375,000 | 378,750 | |
Eldorado Gold Corp. 6.125% 12/15/20 (a) | 440,000 | 427,900 | |
First Quantum Minerals Ltd.: | |||
6.5% 3/1/24 (a) | 4,645,000 | 4,615,969 | |
6.875% 3/1/26 (a) | 1,540,000 | 1,534,225 | |
7% 2/15/21 (a) | 485,000 | 500,156 | |
7.25% 5/15/22 (a) | 245,000 | 252,350 | |
7.25% 4/1/23 (a) | 2,895,000 | 3,003,563 | |
7.5% 4/1/25 (a) | 4,150,000 | 4,274,500 | |
FMG Resources (August 2006) Pty Ltd.: | |||
4.75% 5/15/22 (a) | 625,000 | 624,531 | |
5.125% 5/15/24 (a) | 770,000 | 767,836 | |
Freeport-McMoRan, Inc.: | |||
3.55% 3/1/22 | 2,080,000 | 2,023,424 | |
3.875% 3/15/23 | 2,335,000 | 2,264,950 | |
4.55% 11/14/24 | 5,405,000 | 5,283,388 | |
5.4% 11/14/34 | 1,540,000 | 1,497,650 | |
6.75% 2/1/22 | 805,000 | 831,163 | |
6.875% 2/15/23 | 770,000 | 829,675 | |
Novelis Corp. 5.875% 9/30/26 (a) | 775,000 | 780,813 | |
SunCoke Energy Partners LP/SunCoke Energy Partners Finance Corp. 7.5% 6/15/25 (a) | 1,695,000 | 1,767,038 | |
Teck Resources Ltd. 8.5% 6/1/24 (a) | 715,000 | 795,438 | |
32,453,319 | |||
Paper - 0.1% | |||
Boise Cascade Co. 5.625% 9/1/24 (a) | 335,000 | 345,050 | |
Louisiana-Pacific Corp. 4.875% 9/15/24 | 230,000 | 231,725 | |
NewPage Corp. 11.375% 12/31/2014 (d)(e) | 4,077,567 | 0 | |
576,775 | |||
Publishing/Printing - 0.0% | |||
Clear Channel International BV 8.75% 12/15/20 (a) | 240,000 | 250,800 | |
Restaurants - 0.5% | |||
1011778 BC Unlimited Liability Co./New Red Finance, Inc.: | |||
4.25% 5/15/24 (a) | 1,065,000 | 1,017,075 | |
5% 10/15/25 (a) | 535,000 | 521,291 | |
Golden Nugget, Inc. 6.75% 10/15/24 (a) | 1,605,000 | 1,645,125 | |
KFC Holding Co./Pizza Hut Holding LLC 5% 6/1/24 (a) | 1,135,000 | 1,146,350 | |
4,329,841 | |||
Services - 3.9% | |||
American Midstream Partners LP 8.5% 12/15/21 (a) | 535,000 | 543,025 | |
APX Group, Inc.: | |||
6.375% 12/1/19 | 557,000 | 565,355 | |
7.625% 9/1/23 | 1,300,000 | 1,382,875 | |
7.875% 12/1/22 | 2,310,000 | 2,434,163 | |
8.75% 12/1/20 | 780,000 | 785,850 | |
Aramark Services, Inc.: | |||
4.75% 6/1/26 | 770,000 | 759,413 | |
5% 4/1/25 (a) | 1,040,000 | 1,047,800 | |
5.125% 1/15/24 | 530,000 | 540,600 | |
Avantor, Inc.: | |||
6% 10/1/24 (a) | 3,235,000 | 3,235,000 | |
9% 10/1/25 (a) | 3,210,000 | 3,218,025 | |
Brand Energy & Infrastructure Services, Inc. 8.5% 7/15/25 (a) | 535,000 | 552,388 | |
Corrections Corp. of America 5% 10/15/22 | 1,107,000 | 1,131,908 | |
H&E Equipment Services, Inc. 5.625% 9/1/25 (a) | 750,000 | 766,875 | |
Hertz Corp.: | |||
5.5% 10/15/24 (a) | 12,540,000 | 10,878,450 | |
6.25% 10/15/22 | 890,000 | 842,999 | |
7.625% 6/1/22 (a) | 750,000 | 772,500 | |
IHS Markit Ltd.: | |||
4% 3/1/26 (a) | 400,000 | 388,000 | |
4.75% 2/15/25 (a) | 955,000 | 976,488 | |
5% 11/1/22 (a) | 200,000 | 207,000 | |
KAR Auction Services, Inc. 5.125% 6/1/25 (a) | 810,000 | 816,075 | |
Prime Security One MS, Inc. 4.875% 7/15/32 (a) | 790,000 | 718,900 | |
Ritchie Brothers Auctioneers, Inc. 5.375% 1/15/25 (a) | 285,000 | 288,221 | |
The GEO Group, Inc. 6% 4/15/26 | 345,000 | 343,810 | |
United Rentals North America, Inc. 5.875% 9/15/26 | 1,270,000 | 1,334,135 | |
34,529,855 | |||
Steel - 0.7% | |||
ArcelorMittal SA: | |||
7.25% 10/15/39 (c) | 421,000 | 519,809 | |
7.25% 3/1/41 (c) | 207,000 | 251,526 | |
Big River Steel LLC/BRS Finance Corp. 7.25% 9/1/25 (a) | 715,000 | 756,113 | |
Cliffs Natural Resources, Inc. 5.75% 3/1/25 (a) | 4,460,000 | 4,328,988 | |
5,856,436 | |||
Super Retail - 0.3% | |||
Asbury Automotive Group, Inc. 6% 12/15/24 | 1,125,000 | 1,167,188 | |
DBP Holding Corp. 7.75% 10/15/20 (a) | 175,000 | 94,500 | |
Netflix, Inc. 4.375% 11/15/26 | 430,000 | 412,800 | |
PetSmart, Inc.: | |||
5.875% 6/1/25 (a) | 535,000 | 417,300 | |
8.875% 6/1/25 (a) | 535,000 | 341,063 | |
Sonic Automotive, Inc. 6.125% 3/15/27 | 635,000 | 627,063 | |
3,059,914 | |||
Technology - 1.4% | |||
CDW LLC/CDW Finance Corp. 5.5% 12/1/24 | 495,000 | 516,038 | |
Diamond 1 Finance Corp./Diamond 2 Finance Corp. 5.875% 6/15/21 (a) | 1,435,000 | 1,467,288 | |
Inception Merger Sub, Inc./Rackspace Hosting, Inc. 8.625% 11/15/24 (a) | 1,155,000 | 1,204,088 | |
Itron, Inc. 5% 1/15/26 (a) | 745,000 | 741,275 | |
j2 Cloud Services LLC/j2 Global Communications, Inc. 6% 7/15/25 (a) | 625,000 | 646,875 | |
Micron Technology, Inc. 5.25% 1/15/24 (a) | 2,455,000 | 2,516,375 | |
Nuance Communications, Inc. 5.625% 12/15/26 | 1,760,000 | 1,782,000 | |
Open Text Corp. 5.875% 6/1/26 (a) | 770,000 | 800,800 | |
Sabre GLBL, Inc. 5.25% 11/15/23 (a) | 705,000 | 710,288 | |
Symantec Corp. 5% 4/15/25 (a) | 505,000 | 515,152 | |
TTM Technologies, Inc. 5.625% 10/1/25 (a) | 305,000 | 303,475 | |
VeriSign, Inc. 4.625% 5/1/23 | 695,000 | 700,213 | |
11,903,867 | |||
Telecommunications - 6.3% | |||
Altice Financing SA: | |||
6.625% 2/15/23 (a) | 2,965,000 | 2,961,294 | |
7.5% 5/15/26 (a) | 2,865,000 | 2,886,488 | |
Altice Finco SA: | |||
7.625% 2/15/25 (a) | 2,270,000 | 2,235,950 | |
8.125% 1/15/24 (a) | 2,415,000 | 2,469,338 | |
CommScope Technologies Finance LLC 6% 6/15/25 (a) | 405,000 | 418,284 | |
CyrusOne LP/CyrusOne Finance Corp.: | |||
5% 3/15/24 | 610,000 | 614,575 | |
5.375% 3/15/27 | 290,000 | 290,725 | |
Frontier Communications Corp. 11% 9/15/25 | 4,580,000 | 3,589,575 | |
GCI, Inc. 6.875% 4/15/25 | 1,835,000 | 1,940,513 | |
Gogo Intermediate Holdings LLC/Gogo Finance Co., Inc. 12.5% 7/1/22 (a) | 770,000 | 862,400 | |
Inmarsat Finance PLC 4.875% 5/15/22 (a) | 395,000 | 391,169 | |
Intelsat Jackson Holdings SA: | |||
5.5% 8/1/23 | 1,255,000 | 1,038,513 | |
7.5% 4/1/21 | 205,000 | 186,166 | |
8% 2/15/24 (a) | 1,085,000 | 1,139,250 | |
Level 3 Financing, Inc.: | |||
5.125% 5/1/23 | 1,010,000 | 1,010,000 | |
5.375% 1/15/24 | 925,000 | 920,375 | |
5.375% 5/1/25 | 335,000 | 332,488 | |
5.625% 2/1/23 | 830,000 | 838,300 | |
Neptune Finco Corp.: | |||
6.625% 10/15/25 (a) | 3,340,000 | 3,507,000 | |
10.125% 1/15/23 (a) | 760,000 | 847,476 | |
10.875% 10/15/25 (a) | 369,000 | 435,420 | |
Sable International Finance Ltd. 6.875% 8/1/22 (a) | 1,750,000 | 1,855,000 | |
SFR Group SA: | |||
6% 5/15/22 (a) | 1,185,000 | 1,150,931 | |
6.25% 5/15/24 (a) | 695,000 | 647,219 | |
7.375% 5/1/26 (a) | 1,440,000 | 1,390,032 | |
Sprint Capital Corp. 6.875% 11/15/28 | 1,125,000 | 1,074,375 | |
Sprint Communications, Inc. 6% 11/15/22 | 1,335,000 | 1,318,313 | |
Sprint Corp.: | |||
7.125% 6/15/24 | 3,395,000 | 3,341,953 | |
7.25% 9/15/21 | 1,845,000 | 1,925,719 | |
7.875% 9/15/23 | 2,105,000 | 2,178,675 | |
T-Mobile U.S.A., Inc.: | |||
6% 3/1/23 | 1,150,000 | 1,196,000 | |
6% 4/15/24 | 1,840,000 | 1,913,600 | |
6.5% 1/15/26 | 630,000 | 675,675 | |
6.625% 4/1/23 | 3,625,000 | 3,753,325 | |
Telesat Canada/Telesat LLC 8.875% 11/15/24 (a) | 735,000 | 806,663 | |
ViaSat, Inc. 5.625% 9/15/25 (a) | 1,070,000 | 1,045,925 | |
Wind Tre SpA 5% 1/20/26 (a) | 1,755,000 | 1,510,002 | |
Zayo Group LLC/Zayo Capital, Inc. 5.75% 1/15/27 (a) | 980,000 | 984,900 | |
55,683,606 | |||
Transportation Ex Air/Rail - 1.8% | |||
Navios Maritime Acquisition Corp./Navios Acquisition Finance U.S., Inc. 8.125% 11/15/21 (a) | 3,155,000 | 2,579,213 | |
Navios Maritime Holdings, Inc.: | |||
7.375% 1/15/22 (a) | 7,865,000 | 6,424,722 | |
11.25% 8/15/22 (a) | 1,600,000 | 1,622,000 | |
Navios South American Logistics, Inc./Navios Logistics Finance U.S., Inc. 7.25% 5/1/22 (a) | 210,000 | 203,175 | |
Teekay Corp. 8.5% 1/15/20 | 4,785,000 | 4,976,400 | |
15,805,510 | |||
Utilities - 4.7% | |||
Calpine Corp.: | |||
5.25% 6/1/26 (a) | 1,140,000 | 1,105,800 | |
5.75% 1/15/25 | 3,645,000 | 3,417,188 | |
Cortes NP Acquisition Corp. 9.25% 10/15/24 (a) | 1,540,000 | 1,624,700 | |
Dolphin Subsidiary II, Inc. 7.25% 10/15/21 | 1,920,000 | 2,092,800 | |
Dynegy, Inc.: | |||
7.375% 11/1/22 | 300,000 | 316,125 | |
7.625% 11/1/24 | 8,420,000 | 9,051,500 | |
8% 1/15/25 (a) | 1,495,000 | 1,623,944 | |
8.125% 1/30/26 (a) | 765,000 | 837,675 | |
Global Partners LP/GLP Finance Corp.: | |||
6.25% 7/15/22 | 660,000 | 659,175 | |
7% 6/15/23 | 2,030,000 | 2,068,063 | |
InterGen NV 7% 6/30/23 (a) | 8,230,000 | 8,209,425 | |
NRG Energy, Inc. 5.75% 1/15/28 (a) | 680,000 | 671,364 | |
NRG Yield Operating LLC 5% 9/15/26 | 485,000 | 476,454 | |
NSG Holdings II LLC/NSG Holdings, Inc. 7.75% 12/15/25 (a) | 775,739 | 849,434 | |
Pattern Energy Group, Inc. 5.875% 2/1/24 (a) | 440,000 | 453,200 | |
Talen Energy Supply LLC: | |||
6.5% 6/1/25 | 2,950,000 | 2,278,875 | |
10.5% 1/15/26 (a) | 3,805,000 | 3,567,188 | |
The AES Corp.: | |||
5.125% 9/1/27 | 535,000 | 541,688 | |
6% 5/15/26 | 1,515,000 | 1,590,750 | |
41,435,348 | |||
TOTAL NONCONVERTIBLE BONDS | 713,657,261 | ||
TOTAL CORPORATE BONDS | |||
(Cost $716,364,088) | 720,710,491 | ||
Shares | Value | ||
Common Stocks - 0.0% | |||
Automotive & Auto Parts - 0.0% | |||
Chassix Holdings, Inc. warrants 7/29/20 (e)(g) | 3,722 | 36,959 | |
UC Holdings, Inc. (e) | 13,838 | 340,692 | |
TOTAL AUTOMOTIVE & AUTO PARTS | 377,651 | ||
Environmental - 0.0% | |||
Tervita Corp. Class A (e)(g) | 10,214 | 73,389 | |
TOTAL COMMON STOCKS | |||
(Cost $1,677,730) | 451,040 | ||
Preferred Stocks - 1.1% | |||
Convertible Preferred Stocks - 0.6% | |||
Energy - 0.3% | |||
Chesapeake Energy Corp. Series A, 5.75% | 5,300 | 3,009,764 | |
Telecommunications - 0.1% | |||
Crown Castle International Corp. Series A, 6.875% | 880 | 973,468 | |
Utilities - 0.2% | |||
Dynegy, Inc. 7.00% | 21,400 | 1,749,450 | |
TOTAL CONVERTIBLE PREFERRED STOCKS | 5,732,682 | ||
Nonconvertible Preferred Stocks - 0.5% | |||
Environmental - 0.5% | |||
Tervita Corp. Series A (e)(g) | 559,673 | 4,021,341 | |
TOTAL PREFERRED STOCKS | |||
(Cost $9,413,006) | 9,754,023 | ||
Principal Amount | Value | ||
Bank Loan Obligations - 4.6% | |||
Building Materials - 0.1% | |||
Beacon Roofing Supply, Inc. Tranche B, term loan 3 month U.S. LIBOR + 2.250% 3.8297% 1/2/25 (c)(f) | 1,200,000 | 1,205,004 | |
Cable/Satellite TV - 0.1% | |||
CSC Holdings LLC Tranche B, term loan 3 month U.S. LIBOR + 2.500% 4.1393% 1/25/26 (c)(f) | 285,000 | 285,237 | |
WideOpenWest Finance LLC Tranche B, term loan 3 month U.S. LIBOR + 3.250% 4.8456% 8/19/23 (c)(f) | 543,638 | 541,262 | |
TOTAL CABLE/SATELLITE TV | 826,499 | ||
Chemicals - 0.1% | |||
Tronox Blocked Borrower LLC Tranche B, term loan 3 month U.S. LIBOR + 3.000% 4.6934% 9/22/24 (c)(f) | 107,326 | 107,963 | |
Tronox Finance LLC Tranche B, term loan 3 month U.S. LIBOR + 3.000% 4.6934% 9/22/24 (c)(f) | 247,674 | 249,146 | |
Venator Materials LLC Tranche B, term loan 3 month U.S. LIBOR + 3.000% 4.648% 8/8/24 (c)(f) | 79,800 | 80,099 | |
TOTAL CHEMICALS | 437,208 | ||
Containers - 0.0% | |||
Plastipak Packaging, Inc. Tranche B, term loan 3 month U.S. LIBOR + 2.750% 4.45% 10/14/24 (c)(f) | 49,875 | 50,149 | |
Energy - 0.7% | |||
California Resources Corp.: | |||
Tranche 1LN, term loan 3 month U.S. LIBOR + 10.375% 11.9706% 12/31/21 (c)(f) | 825,000 | 930,188 | |
Tranche B, term loan 3 month U.S. LIBOR + 4.750% 6.34% 12/31/22 (c)(f) | 2,375,000 | 2,401,719 | |
Citgo Petroleum Corp. Tranche B, term loan 3 month U.S. LIBOR + 3.500% 5.1947% 7/29/21 (c)(f) | 2,562,389 | 2,551,191 | |
TOTAL ENERGY | 5,883,098 | ||
Environmental - 0.1% | |||
Hd Supply Waterworks Ltd. Tranche B, term loan 3 month U.S. LIBOR + 3.000% 4.5747% 8/1/24 (c)(f) | 703,238 | 704,412 | |
Wrangler Buyer Corp. Tranche B, term loan 3 month U.S. LIBOR + 3.000% 4.648% 9/28/24 (c)(f) | 90,000 | 90,431 | |
TOTAL ENVIRONMENTAL | 794,843 | ||
Food & Drug Retail - 0.3% | |||
Albertson's LLC Tranche B, term loan 3 month U.S. LIBOR + 2.750% 4.398% 8/25/21 (c)(f) | 1,095,000 | 1,079,790 | |
Lannett Co., Inc. Tranche B, term loan 3 month U.S. LIBOR + 5.375% 7.023% 11/25/22 (c)(f) | 1,522,394 | 1,518,588 | |
TOTAL FOOD & DRUG RETAIL | 2,598,378 | ||
Gaming - 0.5% | |||
Caesars Resort Collection LLC Tranche B 1LN, term loan 3 month U.S. LIBOR + 2.750% 4.398% 12/22/24 (c)(f) | 2,190,000 | 2,203,425 | |
CityCenter Holdings LLC Tranche B, term loan 3 month U.S. LIBOR + 2.500% 4.148% 4/18/24 (c)(f) | 1,442,750 | 1,448,709 | |
Golden Nugget, Inc. Tranche B 1LN, term loan 3 month U.S. LIBOR + 3.250% 4.9786% 10/4/23 (c)(f) | 572,101 | 576,466 | |
TOTAL GAMING | 4,228,600 | ||
Healthcare - 1.0% | |||
Community Health Systems, Inc. Tranche H, term loan 3 month U.S. LIBOR + 3.000% 4.9842% 1/27/21 (c)(f) | 743,212 | 725,479 | |
Kindred Healthcare, Inc. Tranche B, term loan 3 month U.S. LIBOR + 3.500% 5.25% 4/9/21 (c)(f) | 1,169,253 | 1,171,451 | |
Ortho-Clinical Diagnostics, Inc. Tranche B, term loan 3 month U.S. LIBOR + 3.750% 5.4434% 6/30/21 (c)(f) | 6,697,837 | 6,748,071 | |
U.S. Renal Care, Inc. Tranche B 1LN, term loan 3 month U.S. LIBOR + 4.250% 5.9434% 12/31/22 (c)(f) | 383,046 | 384,291 | |
TOTAL HEALTHCARE | 9,029,292 | ||
Insurance - 0.0% | |||
Asurion LLC Tranche B, term loan 3 month U.S. LIBOR + 6.000% 7.648% 8/4/25 (c)(f) | 255,000 | 261,184 | |
Paper - 0.1% | |||
Caraustar Industries, Inc. Tranche B, term loan 3 month U.S. LIBOR + 5.500% 7.1934% 3/14/22 (c)(f) | 1,254,605 | 1,257,515 | |
Publishing/Printing - 0.0% | |||
Springer Science+Business Media Deutschland GmbH Tranche B 13LN, term loan 3 month U.S. LIBOR + 3.500% 5.148% 8/24/22 (c)(f) | 34,901 | 35,017 | |
Restaurants - 0.1% | |||
Burger King Worldwide, Inc. Tranche B, term loan 3 month U.S. LIBOR + 2.250% 3.9158% 2/17/24 (c)(f) | 830,058 | 831,096 | |
Services - 0.4% | |||
Almonde, Inc. Tranche B 1LN, term loan 3 month U.S. LIBOR + 3.500% 5.4842% 6/13/24 (c)(f) | 447,750 | 447,423 | |
Avantor, Inc. Tranche B, term loan 3 month U.S. LIBOR + 4.000% 5.648% 11/21/24 (c)(f) | 2,085,000 | 2,104,974 | |
Laureate Education, Inc. Tranche B 1LN, term loan 3 month U.S. LIBOR + 3.500% 5.148% 4/26/24 (c)(f) | 1,172,231 | 1,178,643 | |
TOTAL SERVICES | 3,731,040 | ||
Steel - 0.2% | |||
Big River Steel LLC Tranche B, term loan 3 month U.S. LIBOR + 5.000% 6.6934% 8/23/23 (c)(f) | 1,421,438 | 1,442,759 | |
Technology - 0.2% | |||
First Data Corp. Tranche B, term loan 3 month U.S. LIBOR + 2.250% 3.8707% 4/26/24 (c)(f) | 507,612 | 508,460 | |
Kronos, Inc. Tranche B 1LN, term loan 3 month U.S. LIBOR + 3.500% 5.2995% 11/1/23 (c)(f) | 637,533 | 641,447 | |
Veritas U.S., Inc. Tranche B, term loan 3 month U.S. LIBOR + 4.500% 6.1934% 1/27/23 (c)(f) | 533,257 | 530,148 | |
TOTAL TECHNOLOGY | 1,680,055 | ||
Telecommunications - 0.5% | |||
Frontier Communications Corp. Tranche B 1LN, term loan 3 month U.S. LIBOR + 3.750% 5.4% 6/15/24 (c)(f) | 279,449 | 274,908 | |
Intelsat Jackson Holdings SA: | |||
Tranche B-4, term loan 3 month U.S. LIBOR + 4.500% 6.4563% 1/2/24 (c)(f) | 300,000 | 305,463 | |
Tranche B-5, term loan 6.625% 1/2/24 | 300,000 | 300,891 | |
Radiate Holdco LLC Tranche B, term loan 3 month U.S. LIBOR + 3.000% 4.5735% 2/1/24 (c)(f) | 3,164,325 | 3,158,566 | |
Sprint Communications, Inc. Tranche B, term loan 3 month U.S. LIBOR + 2.250% 4.1875% 2/3/24 (c)(f) | 610,388 | 610,577 | |
TOTAL TELECOMMUNICATIONS | 4,650,405 | ||
Transportation Ex Air/Rail - 0.1% | |||
International Seaways Operating Corp. Tranche B, term loan 3 month U.S. LIBOR + 5.500% 7.15% 6/22/22 (c)(f) | 681,375 | 680,523 | |
Utilities - 0.1% | |||
Cortes NP Acquisition Corp. Tranche B, term loan 3 month U.S. LIBOR + 4.000% 5.5797% 11/30/23 (c)(f) | 657,543 | 660,831 | |
Vistra Operations Co. LLC Tranche B 2LN, term loan 3 month U.S. LIBOR + 2.250% 3.8541% 12/14/23 (c)(f) | 356,400 | 358,132 | |
TOTAL UTILITIES | 1,018,963 | ||
TOTAL BANK LOAN OBLIGATIONS | |||
(Cost $40,110,781) | 40,641,628 | ||
Preferred Securities - 3.2% | |||
Banks & Thrifts - 2.9% | |||
Bank of America Corp.: | |||
6.1% (c)(h) | 575,000 | 625,487 | |
6.25% (c)(h) | 1,320,000 | 1,459,602 | |
Barclays Bank PLC 7.625% 11/21/22 | 2,485,000 | 2,818,459 | |
Barclays PLC: | |||
6.625% (c)(h) | 4,705,000 | 4,906,384 | |
8.25% (c)(h) | 825,000 | 870,306 | |
BNP Paribas SA 6.75% (a)(c)(h) | 1,555,000 | 1,708,674 | |
Citigroup, Inc.: | |||
5.875% (c)(h) | 1,530,000 | 1,623,950 | |
6.3% (c)(h) | 525,000 | 562,352 | |
Credit Agricole SA: | |||
6.625% (a)(c)(h) | 1,410,000 | 1,480,520 | |
7.875% (a)(c)(h) | 1,530,000 | 1,730,621 | |
Credit Suisse Group AG 7.5% (a)(c)(h) | 855,000 | 962,972 | |
JPMorgan Chase & Co. 6.125% (c)(h) | 470,000 | 506,439 | |
Lloyds Banking Group PLC 7.5% (c)(h) | 1,535,000 | 1,703,210 | |
Royal Bank of Scotland Group PLC: | |||
7.5% (c)(h) | 2,355,000 | 2,498,910 | |
8.625% (c)(h) | 1,610,000 | 1,802,579 | |
TOTAL BANKS & THRIFTS | 25,260,465 | ||
Energy - 0.3% | |||
DCP Midstream Partners LP 7.375% (c)(h) | 1,635,000 | 1,684,853 | |
Summit Midstream Partners LP 9.5% (c)(h) | 1,065,000 | 1,120,737 | |
TOTAL ENERGY | 2,805,590 | ||
TOTAL PREFERRED SECURITIES | |||
(Cost $26,038,514) | 28,066,055 | ||
Shares | Value | ||
Money Market Funds - 8.2% | |||
Fidelity Cash Central Fund, 1.41% (i) | |||
(Cost $72,531,888) | 72,525,360 | 72,539,865 | |
TOTAL INVESTMENT IN SECURITIES - 98.7% | |||
(Cost $866,136,007) | 872,163,102 | ||
NET OTHER ASSETS (LIABILITIES) - 1.3% | 11,176,571 | ||
NET ASSETS - 100% | $883,339,673 |
Legend
(a) Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. At the end of the period, the value of these securities amounted to $400,061,064 or 45.3% of net assets.
(b) Security initially issued at one coupon which converts to a higher coupon at a specified date. The rate shown is the rate at period end.
(c) Coupon rates for floating and adjustable rate securities reflect the rates in effect at period end.
(d) Non-income producing - Security is in default.
(e) Level 3 security
(f) Coupon is indexed to a floating interest rate which may be multiplied by a specified factor and/or subject to caps or floors.
(g) Non-income producing
(h) Security is perpetual in nature with no stated maturity date.
(i) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements are available on the SEC's website or upon request.
Affiliated Central Funds
Information regarding fiscal year to date income earned by the Fund from investments in Fidelity Central Funds is as follows:
Fund | Income earned |
Fidelity Cash Central Fund | $480,831 |
Total | $480,831 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of February 28, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $377,651 | $-- | $-- | $377,651 |
Energy | 3,009,764 | -- | 3,009,764 | -- |
Industrials | 4,094,730 | -- | -- | 4,094,730 |
Real Estate | 973,468 | -- | 973,468 | -- |
Utilities | 1,749,450 | -- | 1,749,450 | -- |
Corporate Bonds | 720,710,491 | -- | 720,710,491 | -- |
Bank Loan Obligations | 40,641,628 | -- | 40,641,628 | -- |
Preferred Securities | 28,066,055 | -- | 28,066,055 | -- |
Money Market Funds | 72,539,865 | 72,539,865 | -- | -- |
Total Investments in Securities: | $872,163,102 | $72,539,865 | $795,150,856 | $4,472,381 |
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 76.9% |
Canada | 6.7% |
Luxembourg | 4.3% |
United Kingdom | 2.2% |
Multi-National | 1.7% |
Netherlands | 1.4% |
Austria | 1.2% |
Bermuda | 1.0% |
France | 1.0% |
Others (Individually Less Than 1%) | 3.6% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
February 28, 2018 (Unaudited) | ||
Assets | ||
Investment in securities, at value — See accompanying schedule: Unaffiliated issuers (cost $793,604,119) | $799,623,237 | |
Fidelity Central Funds (cost $72,531,888) | 72,539,865 | |
Total Investment in Securities (cost $866,136,007) | $872,163,102 | |
Cash | 855,174 | |
Receivable for investments sold | 4,455,015 | |
Interest receivable | 12,896,680 | |
Distributions receivable from Fidelity Central Funds | 83,978 | |
Total assets | 890,453,949 | |
Liabilities | ||
Payable for investments purchased | $3,301,241 | |
Distributions payable | 3,627,177 | |
Other payables and accrued expenses | 185,858 | |
Total liabilities | 7,114,276 | |
Net Assets | $883,339,673 | |
Net Assets consist of: | ||
Paid in capital | $876,939,675 | |
Undistributed net investment income | 396,047 | |
Accumulated undistributed net realized gain (loss) on investments | (23,144) | |
Net unrealized appreciation (depreciation) on investments | 6,027,095 | |
Net Assets, for 7,826,536 shares outstanding | $883,339,673 | |
Net Asset Value, offering price and redemption price per share ($883,339,673 ÷ 7,826,536 shares) | $112.86 |
See accompanying notes which are an integral part of the financial statements.
Statement of Operations
Six months ended February 28, 2018 (Unaudited) | ||
Investment Income | ||
Dividends | $1,476,153 | |
Interest | 26,678,610 | |
Income from Fidelity Central Funds | 480,831 | |
Total income | 28,635,594 | |
Expenses | ||
Custodian fees and expenses | $8,606 | |
Independent directors' fees and expenses | 1,587 | |
Legal | 15 | |
Total expenses before reductions | 10,208 | |
Expense reductions | (3,001) | 7,207 |
Net investment income (loss) | 28,628,387 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 5,403,521 | |
Total net realized gain (loss) | 5,403,521 | |
Change in net unrealized appreciation (depreciation) on investment securities | (12,546,541) | |
Net gain (loss) | (7,143,020) | |
Net increase (decrease) in net assets resulting from operations | $21,485,367 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Six months ended February 28, 2018 (Unaudited) | Year ended August 31, 2017 | |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $28,628,387 | $56,853,267 |
Net realized gain (loss) | 5,403,521 | (4,096,948) |
Change in net unrealized appreciation (depreciation) | (12,546,541) | 27,125,921 |
Net increase (decrease) in net assets resulting from operations | 21,485,367 | 79,882,240 |
Distributions to shareholders from net investment income | (28,064,258) | (57,015,512) |
Distributions to shareholders from net realized gain | (616,160) | – |
Total distributions | (28,680,418) | (57,015,512) |
Reinvestment of distributions | 5,248,497 | 10,025,660 |
Cost of shares redeemed | (14,846) | – |
Net increase (decrease) in net assets resulting from share transactions | 5,233,651 | 10,025,660 |
Total increase (decrease) in net assets | (1,961,400) | 32,892,388 |
Net Assets | ||
Beginning of period | 885,301,073 | 852,408,685 |
End of period | $883,339,673 | $885,301,073 |
Other Information | ||
Undistributed net investment income end of period | $396,047 | $– |
Distributions in excess of net investment income end of period | $– | $(168,082) |
Shares | ||
Sold | – | – |
Issued in reinvestment of distributions | 46,016 | 89,052 |
Redeemed | (131) | – |
Net increase (decrease) | 45,885 | 89,052 |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity High Income Central Fund 2
Six months ended (Unaudited) February 28, | Years endedAugust 31, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $113.78 | $110.82 | $109.78 | $118.45 | $114.34 | $113.92 |
Income from Investment Operations | ||||||
Net investment income (loss)A | 3.670 | 7.352 | 7.278 | 7.064 | 7.292 | 7.828 |
Net realized and unrealized gain (loss) | (.913) | 2.982 | .631 | (8.871) | 3.876 | (.180) |
Total from investment operations | 2.757 | 10.334 | 7.909 | (1.807) | 11.168 | 7.648 |
Distributions from net investment income | (3.598) | (7.374) | (6.869) | (6.863) | (7.058) | (7.228) |
Distributions from net realized gain | (.079) | – | – | – | – | – |
Total distributions | (3.677) | (7.374) | (6.869) | (6.863) | (7.058) | (7.228) |
Net asset value, end of period | $112.86 | $113.78 | $110.82 | $109.78 | $118.45 | $114.34 |
Total ReturnB,C | 2.43% | 9.60% | 7.75% | (1.58)% | 9.97% | 6.79% |
Ratios to Average Net AssetsD,E | ||||||
Expenses before reductions | - %F,G | .01% | - %G | - %G | - %G | - %G |
Expenses net of fee waivers, if any | - %F,G | .01% | - %G | - %G | - %G | - %G |
Expenses net of all reductions | - %F,G | .01% | - %G | - %G | - %G | - %G |
Net investment income (loss) | 6.49%F | 6.54% | 6.93% | 6.19% | 6.20% | 6.73% |
Supplemental Data | ||||||
Net assets, end of period (000 omitted) | $883,340 | $885,301 | $852,409 | $792,221 | $872,004 | $790,909 |
Portfolio turnover rateH | 62%F | 46% | 47% | 40% | 56% | 42% |
A Calculated based on average shares outstanding during the period.
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the Fund.
F Annualized
G Amount represents less than .005%.
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended February 28, 2018
1. Organization.
Fidelity High Income Central Fund 2 (the Fund) is a fund of Fidelity Central Investment Portfolios LLC (the LLC) and is authorized to issue an unlimited number of shares. Shares of the Fund are only offered to other investment companies and accounts managed by Fidelity Management & Research Company (FMR), or its affiliates (the Investing Funds). The LLC is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Delaware Limited Liability Company.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Directors (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events, changes in interest rates and credit quality. The frequency with which these procedures are used cannot be predicted and they may be utilized to a significant extent. The Committee oversees the Fund's valuation policies and procedures and reports to the Board on the Committee's activities and fair value determinations. The Board monitors the appropriateness of the procedures used in valuing the Fund's investments and ratifies the fair value determinations of the Committee.
The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels as shown below:
- Level 1 – quoted prices in active markets for identical investments
- Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, etc.)
- Level 3 – unobservable inputs (including the Fund's own assumptions based on the best information available)
Valuation techniques used to value the Fund's investments by major category are as follows:
Debt securities, including restricted securities, are valued based on evaluated prices received from third party pricing vendors or from brokers who make markets in such securities. Corporate bonds, bank loan obligations and preferred securities are valued by pricing vendors who utilize matrix pricing which considers yield or price of bonds of comparable quality, coupon, maturity and type or by broker-supplied prices. When independent prices are unavailable or unreliable, debt securities may be valued utilizing pricing methodologies which consider similar factors that would be used by third party pricing vendors. Debt securities are generally categorized as Level 2 in the hierarchy but may be Level 3 depending on the circumstances. The Fund invests a significant portion of its assets in below investment grade securities. The value of these securities can be more volatile due to changes in the credit quality of the issuer and is sensitive to changes in economic, market and regulatory conditions.
Equity securities, including restricted securities, for which market quotations are readily available, are valued at the last reported sale price or official closing price as reported by a third party pricing vendor on the primary market or exchange on which they are traded and are categorized as Level 1 in the hierarchy. In the event there were no sales during the day or closing prices are not available, securities are valued at the last quoted bid price or may be valued using the last available price and are generally categorized as Level 2 in the hierarchy. For equity securities, including restricted securities, where observable inputs are limited, assumptions about market activity and risk are used and these securities may be categorized as Level 3 in the hierarchy.
Investments in open-end mutual funds, including other Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of February 28, 2018 is included at the end of the Fund's Schedule of Investments.
Investment Transactions and Income. For financial reporting purposes, the Fund's investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day. Gains and losses on securities sold are determined on the basis of identified cost and includes proceeds received from litigation. Dividend income is recorded on the ex-dividend date, except for certain dividends from foreign securities where the ex-dividend date may have passed, which are recorded as soon as the Fund is informed of the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at the fair market value of the securities received. Income and capital gain distributions from Fidelity Central Funds, if any, are recorded on the ex-dividend date. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable. Paid in Kind (PIK) income is recorded at the fair market value of the securities received. Debt obligations may be placed on non-accrual status and related interest income may be reduced by ceasing current accruals and writing off interest receivables when the collection of all or a portion of interest has become doubtful based on consistently applied procedures. A debt obligation is removed from non-accrual status when the issuer resumes interest payments or when collectability of interest is reasonably assured.
Expenses. Expenses directly attributable to a fund are charged to that fund. Expenses attributable to more than one fund are allocated among the respective funds on the basis of relative net assets or other appropriate methods. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code, including distributing substantially all of its taxable income and realized gains. As a result, no provision for U.S. Federal income taxes is required. The Fund files a U.S. federal tax return, in addition to state and local tax returns as required. The Fund's federal income tax returns are subject to examination by the Internal Revenue Service (IRS) for a period of three fiscal years after they are filed. State and local tax returns may be subject to examination for an additional fiscal year depending on the jurisdiction.
Dividends are declared and recorded daily and paid monthly from net investment income. Distributions from realized gains, if any, are declared and recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Capital accounts are not adjusted for temporary book-tax differences which will reverse in a subsequent period.
Book-tax differences are primarily due to foreign currency transactions, contingent interest, certain conversion ratio adjustments, partnerships, capital loss carryforwards, and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $28,361,176 |
Gross unrealized depreciation | (22,691,502) |
Net unrealized appreciation (depreciation) | $5,669,674 |
Tax cost | $866,493,428 |
Capital loss carryforwards are only available to offset future capital gains of the Fund to the extent provided by regulations and may be limited. Under the Regulated Investment Company Modernization Act of 2010 (the Act), the Fund is permitted to carry forward capital losses incurred in taxable years beginning after December 22, 2010 for an unlimited period and such capital losses are required to be used prior to any losses that expire. The capital loss carryforward information presented below, including any applicable limitation, is estimated as of prior fiscal period end and is subject to adjustment.
No expiration | |
Long-Term | $(4,356,351) |
Restricted Securities. The Fund may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities is included at the end of the Fund's Schedule of Investments.
Loans and Other Direct Debt Instruments. The Fund invests in direct debt instruments which are interests in amounts owed to lenders by corporate or other borrowers. These instruments may be in the form of loans, trade claims or other receivables and may include standby financing commitments such as revolving credit facilities that obligate the Fund to supply additional cash to the borrower on demand. Loans may be acquired through assignment or participation. The Fund did not have any unfunded loan commitments, which are contractual obligations for future funding, at period end.
New Accounting Pronouncement. In March 2017, the Financial Accounting Standards Board (FASB) issued an Accounting Standards Update (ASU), ASU 2017-08, which amends the amortization period for certain callable debt securities that are held at a premium. The amendment requires the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount. The ASU is effective for annual periods beginning after December 15, 2018. Management is currently evaluating the potential impact of these changes to the financial statements.
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $247,970,173 and $259,358,031, respectively.
5. Fees and Other Transactions with Affiliates.
Management Fee and Expense Contract. FMR Co., Inc. (the investment adviser), an affiliate of FMR, provides the Fund with investment management services. The Fund does not pay any fees for these services. Pursuant to the Fund's management contract with the investment adviser, FMR pays the investment adviser a portion of the management fees it receives from the Investing Funds. In addition, under an expense contract, FMR also pays all other expenses of the Fund, excluding custody fees, the compensation of the independent Directors, and certain miscellaneous expenses such as proxy and shareholder meeting expenses.
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
6. Expense Reductions.
FMR has voluntarily agreed to reimburse a portion of the Fund's operating expenses. For the period, the reimbursement reduced the expenses by $12.
In addition, through arrangements with the Fund's custodian, credits realized as a result of certain uninvested cash balances were used to reduce the Fund's expenses. During the period, these credits reduced the Fund's custody expenses by $2,989.
7. Other.
The Fund's organizational documents provide former and current directors and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Fund. In the normal course of business, the Fund may also enter into contracts that provide general indemnifications. The Fund's maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Fund. The risk of material loss from such claims is considered remote.
At the end of the period, mutual funds managed by FMR or its affiliates were the owners of record of all of the outstanding shares of the Fund.
8. Litigation.
The Fund, and other entities managed by FMR or its affiliates were named as defendants in a lawsuit filed in the United States Bankruptcy Court for the Southern District of New York in 2009. The lawsuit was brought by creditors of Motors Liquidation Company (f/k/a General Motors), which went through Chapter 11 bankruptcy proceedings in 2009, and is captioned Official Committee of Unsecured Creditors of Motors Liquidation Company v. JPMorgan Chase Bank, N.A., et al., Adversary No. 09-00504 (REG). The plaintiffs are seeking an order that the Fund and other defendants return proceeds received in 2009 in full payment of the principal and interest on General Motors secured debt. The plaintiffs contend that the Fund and the other defendants were not secured creditors at the time of the 2009 payments and, thus, were not entitled to payment in full. In January 2015, the Court of Appeals ruled that JPMorgan, as administrative agent for all of the debtholders, released the security interest on certain collateral securing the debt prior to the 2009 payments. In September 2017, an opinion was issued in a trial intended to help determine the value of any remaining, unreleased collateral. Management is evaluating the impact of this ruling and the parties have agreed to mediation. At this time, Management cannot determine the amount of loss that may be realized, but expects the amount to be less than the $1,316,020 received in 2009. The Fund is also incurring legal costs in defending the case.
Shareholder Expense Example
As a shareholder of a Fund, you incur two types of costs: (1) transaction costs and (2) ongoing costs, including other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Funds and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (September 1, 2017 to February 28, 2018).
Actual Expenses
The first line of the accompanying table provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund's actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.
Annualized Expense Ratio-A | Beginning Account Value September 1, 2017 | Ending Account Value February 28, 2018 | Expenses Paid During Period-B September 1, 2017 to February 28, 2018 | |
Actual | .0023% | $1,000.00 | $1,024.30 | $.01 |
Hypothetical-C | $1,000.00 | $1,024.78 | $.01 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
C 5% return per year before expenses
Corporate Headquarters
245 Summer St.
Boston, MA 02210
www.fidelity.com
HICII-SANN-0418
1.861965.109
Item 2.
Code of Ethics
Not applicable.
Item 3.
Audit Committee Financial Expert
Not applicable.
Item 4.
Principal Accountant Fees and Services
Not applicable.
Item 5.
Audit Committee of Listed Registrants
Not applicable.
Item 6.
Investments
(a)
Not applicable.
(b)
Not applicable
Item 7.
Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies
Not applicable.
Item 8.
Portfolio Managers of Closed-End Management Investment Companies
Not applicable.
Item 9.
Purchase of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers
Not applicable.
Item 10.
Submission of Matters to a Vote of Security Holders
There were no material changes to the procedures by which shareholders may recommend nominees to the Fidelity Central Investment Portfolios LLC’s Board of Trustees.
Item 11.
Controls and Procedures
(a)(i) The President and Treasurer and the Chief Financial Officer have concluded that the Fidelity Central Investment Portfolios LLC’s (the “Trust”) disclosure controls and
procedures (as defined in Rule 30a-3(c) under the Investment Company Act) provide reasonable assurances that material information relating to the Trust is made known to them by the appropriate persons, based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this report.
(a)(ii) There was no change in the Trust’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the Trust’s internal control over financial reporting.
Item 12.
Exhibits
(a) | (1) | Not applicable. |
(a) | (2) | Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 99.CERT. |
(a) | (3) | Not applicable. |
(b) | Certification pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 (17 CFR 270.30a-2(b)) is furnished and attached hereto as Exhibit 99.906CERT. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Fidelity Central Investment Portfolios LLC
By: | /s/Stacie M. Smith |
Stacie M. Smith | |
President and Treasurer | |
Date: | April 24, 2018 |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By: | /s/Stacie M. Smith |
Stacie M. Smith | |
President and Treasurer | |
Date: | April 24, 2018 |
By: | /s/Howard J. Galligan III |
Howard J. Galligan III | |
Chief Financial Officer | |
Date: | April 24, 2018 |