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 811-1400
Fidelity Contrafund
(Exact name of registrant as specified in charter)
82 Devonshire St., Boston, Massachusetts 02109
(Address of principal executive offices) (Zip code)
Eric D. Roiter, Secretary
82 Devonshire St.
Boston, Massachusetts 02109
(Name and address of agent for service)
Registrant's telephone number, including area code: 617-563-7000
Date of fiscal year end: | December 31 |
Date of reporting period: | June 30, 2005 |
Item 1. Reports to Stockholders
(Fidelity Investment logo)(registered trademark)
Fidelity® Advisor
New Insights
Fund - Class A, Class T, Class B
and Class C
Semiannual Report
June 30, 2005
(2_fidelity_logos) (Registered_Trademark)
Contents
Chairman's Message | Ned Johnson's message to shareholders. | |
Shareholder Expense Example | An example of shareholder expenses. | |
Investment Changes | A summary of major shifts in the fund's investments over the past six months. | |
Investments | A complete list of the fund's investments with their market values. | |
Financial Statements | Statements of assets and liabilities, operations, and changes in net assets, | |
Notes | Notes to the financial statements. | |
Proxy Voting Results |
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at www.sec.gov. You may also call 1-877-208-0098 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 Corp. or an affiliated company.
This report and the financial statements contained herein are submitted for the general information of the shareholders of the fund. This report is not authorized for distribution to prospective investors in the fund unless preceded or accompanied by an effective prospectus.
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. For a complete list of a fund's portfolio holdings, view the most recent quarterly holdings report, semiannual report, or annual report on Fidelity's web site at http://www.advisor.fidelity.com.
NOT FDIC INSURED · MAY LOSE VALUE · NO BANK GUARANTEE
Neither the fund nor Fidelity Distributors Corporation is a bank.
Semiannual Report
Chairman's Message
(photo_of_Edward_C_Johnson_3d)
Dear Shareholder:
During the past year or so, much has been reported about the mutual fund industry, and much of it has been more critical than I believe is warranted. Allegations that some companies have been less than forthright with their shareholders have cast a shadow on the entire industry. I continue to find these reports disturbing, and assert that they do not create an accurate picture of the industry overall. Therefore, I would like to remind everyone where Fidelity stands on these issues. I will say two things specifically regarding allegations that some mutual fund companies were in violation of the Securities and Exchange Commission's forward pricing rules or were involved in so-called "market timing" activities.
First, Fidelity has no agreements that permit customers who buy fund shares after 4 p.m. to obtain the 4 p.m. price. This is not a new policy. This is not to say that someone could not deceive the company through fraudulent acts. However, we are extremely diligent in preventing fraud from occurring in this manner - and in every other. But I underscore again that Fidelity has no so-called "agreements" that sanction illegal practices.
Second, Fidelity continues to stand on record, as we have for years, in opposition to predatory short-term trading that adversely affects shareholders in a mutual fund. Back in the 1980s, we initiated a fee - which is returned to the fund and, therefore, to investors - to discourage this activity. Further, we took the lead several years ago in developing a Fair Value Pricing Policy to prevent market timing on foreign securities in our funds. I am confident we will find other ways to make it more difficult for predatory traders to operate. However, this will only be achieved through close cooperation among regulators, legislators and the industry.
Yes, there have been unfortunate instances of unethical and illegal activity within the mutual fund industry from time to time. That is true of any industry. When this occurs, confessed or convicted offenders should be dealt with appropriately. But we are still concerned about the risk of over-regulation and the quick application of simplistic solutions to intricate problems. Every system can be improved, and we support and applaud well thought out improvements by regulators, legislators and industry representatives that achieve the common goal of building and protecting the value of investors' holdings.
For nearly 60 years, Fidelity has worked very hard to improve its products and service to justify your trust. When our family founded this company in 1946, we had only a few hundred customers. Today, we serve more than 18 million customers including individual investors and participants in retirement plans across America.
Let me close by saying that we do not take your trust in us for granted, and we realize that we must always work to improve all aspects of our service to you. In turn, we urge you to continue your active participation with your financial matters, so that your interests can be well served.
Best regards,
/s/Edward C. Johnson 3d
Edward C. Johnson 3d
Semiannual Report
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and 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 (January 1, 2005 to June 30, 2005).
Actual Expenses
The first line of the table below for each class of the Fund 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 for a class of the Fund under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line of the table below for each class of the Fund provides information about hypothetical account values and hypothetical expenses based on a Class' actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class' 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.
Semiannual Report
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. In addition, if these transactional costs were included, your costs would have been higher.
Beginning | Ending | Expenses Paid | |
Class A | |||
Actual | $ 1,000.00 | $ 1,042.90 | $ 6.03 |
Hypothetical A | $ 1,000.00 | $ 1,018.89 | $ 5.96 |
Class T | |||
Actual | $ 1,000.00 | $ 1,041.50 | $ 7.14 |
Hypothetical A | $ 1,000.00 | $ 1,017.80 | $ 7.05 |
Class B | |||
Actual | $ 1,000.00 | $ 1,039.00 | $ 10.11 |
Hypothetical A | $ 1,000.00 | $ 1,014.88 | $ 9.99 |
Class C | |||
Actual | $ 1,000.00 | $ 1,039.00 | $ 9.71 |
Hypothetical A | $ 1,000.00 | $ 1,015.27 | $ 9.59 |
Institutional Class | |||
Actual | $ 1,000.00 | $ 1,044.80 | $ 4.31 |
Hypothetical A | $ 1,000.00 | $ 1,020.58 | $ 4.26 |
A 5% return per year before expenses
* Expenses are equal to each Class' annualized expense ratio (shown in the table below); multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
Annualized | |
Class A | 1.19% |
Class T | 1.41% |
Class B | 2.00% |
Class C | 1.92% |
Institutional Class | .85% |
Semiannual Report
Investment Changes
Top Ten Stocks as of June 30, 2005 | ||
% of fund's | % of fund's net assets | |
Genentech, Inc. | 3.3 | 2.9 |
Google, Inc. Class A (sub. vtg.) | 3.0 | 1.9 |
EnCana Corp. | 2.4 | 1.3 |
Marvell Technology Group Ltd. | 2.3 | 3.7 |
America Movil SA de CV Series L sponsored ADR | 1.8 | 2.7 |
Yahoo!, Inc. | 1.6 | 2.6 |
Exxon Mobil Corp. | 1.6 | 0.7 |
Aetna, Inc. | 1.6 | 1.5 |
Berkshire Hathaway, Inc. Class A | 1.5 | 1.4 |
Roche Holding AG (participation certificate) | 1.5 | 1.7 |
20.6 | ||
Top Five Market Sectors as of June 30, 2005 | ||
% of fund's | % of fund's net assets | |
Information Technology | 16.6 | 23.6 |
Health Care | 15.1 | 11.6 |
Energy | 13.6 | 8.9 |
Financials | 11.7 | 8.3 |
Consumer Discretionary | 10.4 | 12.8 |
Asset Allocation (% of fund's net assets) | |||||||
As of June 30, 2005 * | As of December 31, 2004 ** | ||||||
![]() | Stocks 88.3% | ![]() | Stocks 92.2% | ||||
![]() | Bonds 1.3% | ![]() | Bonds 1.0% | ||||
![]() | Convertible | ![]() | Convertible | ||||
![]() | Short-Term | ![]() | Short-Term | ||||
* Foreign investments | 22.9% | ** Foreign investments | 27.6% |
Semiannual Report
Investments June 30, 2005 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 88.3% | ||||
Shares | Value (Note 1) | |||
CONSUMER DISCRETIONARY - 10.4% | ||||
Auto Components - 0.2% | ||||
Bridgestone Corp. (d) | 52,000 | $ 1,001 | ||
Midas, Inc. (a) | 100,000 | 2,300 | ||
3,301 | ||||
Automobiles - 0.2% | ||||
Honda Motor Co. Ltd. | 9,100 | 448 | ||
Toyota Motor Corp. | 95,100 | 3,399 | ||
3,847 | ||||
Distributors - 0.0% | ||||
Li & Fung Ltd. | 550,000 | 1,143 | ||
Diversified Consumer Services - 0.4% | ||||
Educate, Inc. | 22,800 | 323 | ||
Education Management Corp. (a) | 48,300 | 1,629 | ||
Laureate Education, Inc. (a) | 88,900 | 4,255 | ||
Regis Corp. | 17,800 | 696 | ||
Weight Watchers International, Inc. (a) | 22,500 | 1,161 | ||
8,064 | ||||
Hotels, Restaurants & Leisure - 4.1% | ||||
Ambassadors Group, Inc. | 13,019 | 484 | ||
Aristocrat Leisure Ltd. | 351,700 | 3,107 | ||
Boyd Gaming Corp. | 76,700 | 3,922 | ||
Choice Hotels International, Inc. | 2,600 | 171 | ||
Domino's Pizza, Inc. | 90,100 | 2,006 | ||
Four Seasons Hotels, Inc. (ltd. vtg.) (d) | 28,000 | 1,849 | ||
Gaming VC Holdings SA | 16,689 | 168 | ||
Hilton Group PLC | 150,470 | 772 | ||
Kerzner International Ltd. (a) | 14,000 | 797 | ||
Las Vegas Sands Corp. (d) | 83,200 | 2,974 | ||
Life Time Fitness, Inc. | 13,500 | 443 | ||
MGM MIRAGE (a) | 106,100 | 4,199 | ||
P.F. Chang's China Bistro, Inc. (a) | 62,100 | 3,663 | ||
Panera Bread Co. Class A (a) | 100,964 | 6,268 | ||
Papa John's International, Inc. (a) | 149,759 | 5,986 | ||
Penn National Gaming, Inc. (a) | 37,000 | 1,351 | ||
Red Robin Gourmet Burgers, Inc. (a) | 75,253 | 4,664 | ||
Shuffle Master, Inc. (a)(d) | 83,900 | 2,352 | ||
Starbucks Corp. (a) | 132,900 | 6,866 | ||
Station Casinos, Inc. | 324,000 | 21,514 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
CONSUMER DISCRETIONARY - continued | ||||
Hotels, Restaurants & Leisure - continued | ||||
Wendy's International, Inc. | 5,400 | $ 257 | ||
Wynn Resorts Ltd. (a)(d) | 139,000 | 6,571 | ||
80,384 | ||||
Household Durables - 1.0% | ||||
D.R. Horton, Inc. | 5,200 | 196 | ||
Fortune Brands, Inc. | 43,700 | 3,881 | ||
Fourlis Holdings SA (a) | 500,000 | 4,175 | ||
Hovnanian Enterprises, Inc. Class A (a) | 17,100 | 1,115 | ||
Jarden Corp. (a) | 9,600 | 518 | ||
KB Home | 38,800 | 2,958 | ||
Tempur-Pedic International, Inc. (a) | 214,400 | 4,755 | ||
Toll Brothers, Inc. (a) | 19,900 | 2,021 | ||
19,619 | ||||
Internet & Catalog Retail - 0.1% | ||||
Blue Nile, Inc. | 21,500 | 703 | ||
IAC/InterActiveCorp (a) | 43,300 | 1,041 | ||
1,744 | ||||
Media - 1.0% | ||||
Citadel Broadcasting Corp. (a) | 500 | 6 | ||
Getty Images, Inc. (a) | 34,900 | 2,592 | ||
Harte-Hanks, Inc. | 20,900 | 621 | ||
McGraw-Hill Companies, Inc. | 36,800 | 1,628 | ||
NTL, Inc. (a) | 22,200 | 1,519 | ||
Pixar (a) | 87,588 | 4,384 | ||
Rogers Communications, Inc. Class B (non-vtg.) | 55,900 | 1,834 | ||
SBS Broadcasting SA (a) | 30,500 | 1,437 | ||
Sirius Satellite Radio, Inc. (a)(d) | 639,100 | 4,141 | ||
XM Satellite Radio Holdings, Inc. Class A (a) | 50,500 | 1,700 | ||
19,862 | ||||
Multiline Retail - 0.6% | ||||
Dollar General Corp. | 25,700 | 523 | ||
Marks & Spencer Group PLC | 63,000 | 407 | ||
Nordstrom, Inc. | 23,500 | 1,597 | ||
Sears Holdings Corp. (a) | 16,800 | 2,518 | ||
Target Corp. | 129,400 | 7,041 | ||
12,086 | ||||
Specialty Retail - 2.0% | ||||
AC Moore Arts & Crafts, Inc. (a) | 28,700 | 907 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
CONSUMER DISCRETIONARY - continued | ||||
Specialty Retail - continued | ||||
American Eagle Outfitters, Inc. | 18,500 | $ 567 | ||
Bakers Footwear Group, Inc. (a) | 105,600 | 1,156 | ||
bebe Stores, Inc. | 131,775 | 3,488 | ||
Bed Bath & Beyond, Inc. (a) | 72,100 | 3,012 | ||
Best Buy Co., Inc. | 30,400 | 2,084 | ||
Build-A-Bear Workshop, Inc. (d) | 13,500 | 317 | ||
Chico's FAS, Inc. (a) | 248,600 | 8,522 | ||
DSW, Inc. Class A | 2,200 | 55 | ||
Guitar Center, Inc. (a) | 3,000 | 175 | ||
Hennes & Mauritz AB (H&M) (B Shares) | 58,100 | 2,047 | ||
Inditex SA | 9,700 | 250 | ||
Office Depot, Inc. (a) | 40,400 | 923 | ||
Signet Group PLC | 86,648 | 169 | ||
Staples, Inc. | 210,100 | 4,479 | ||
The Children's Place Retail Stores, Inc. (a) | 29,800 | 1,391 | ||
TJX Companies, Inc. | 73,600 | 1,792 | ||
Urban Outfitters, Inc. (a) | 127,200 | 7,211 | ||
Wet Seal, Inc. Class A (a)(d) | 300,000 | 2,036 | ||
Zumiez, Inc. | 800 | 23 | ||
40,604 | ||||
Textiles, Apparel & Luxury Goods - 0.8% | ||||
Carter's, Inc. (a) | 3,300 | 193 | ||
Coach, Inc. (a) | 319,700 | 10,732 | ||
Hartmarx Corp. (a) | 299,500 | 3,016 | ||
Phillips-Van Heusen Corp. | 10,500 | 343 | ||
Polo Ralph Lauren Corp. Class A | 18,600 | 802 | ||
Volcom, Inc. | 1,700 | 46 | ||
15,132 | ||||
TOTAL CONSUMER DISCRETIONARY | 205,786 | |||
CONSUMER STAPLES - 4.9% | ||||
Beverages - 1.2% | ||||
Corby Distilleries Ltd. Class A | 20,000 | 1,159 | ||
Diageo PLC sponsored ADR | 40,300 | 2,390 | ||
Hansen Natural Corp. (a)(d) | 156,100 | 13,225 | ||
Jones Soda Co. (a) | 310,890 | 1,865 | ||
PepsiCo, Inc. | 93,700 | 5,053 | ||
23,692 | ||||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
CONSUMER STAPLES - continued | ||||
Food & Staples Retailing - 1.4% | ||||
Tesco PLC | 191,885 | $ 1,096 | ||
United Natural Foods, Inc. (a) | 38,200 | 1,160 | ||
Wal-Mart de Mexico SA de CV Series V | 174,739 | 710 | ||
Walgreen Co. | 363,400 | 16,713 | ||
Whole Foods Market, Inc. | 67,785 | 8,019 | ||
27,698 | ||||
Food Products - 1.0% | ||||
Hershey Co. | 68,200 | 4,235 | ||
Kellogg Co. | 37,100 | 1,649 | ||
Lindt & Spruengli AG | 93 | 1,425 | ||
Nestle SA (Reg.) | 9,090 | 2,326 | ||
TreeHouse Foods, Inc. (a) | 132,100 | 3,766 | ||
Wm. Wrigley Jr. Co. | 76,200 | 5,246 | ||
18,647 | ||||
Household Products - 0.6% | ||||
Procter & Gamble Co. | 219,300 | 11,568 | ||
Personal Products - 0.7% | ||||
Avon Products, Inc. | 227,200 | 8,600 | ||
Gillette Co. | 115,200 | 5,833 | ||
Herbalife Ltd. | 9,100 | 197 | ||
14,630 | ||||
TOTAL CONSUMER STAPLES | 96,235 | |||
ENERGY - 13.6% | ||||
Energy Equipment & Services - 0.7% | ||||
Halliburton Co. | 75,900 | 3,630 | ||
Schlumberger Ltd. (NY Shares) | 145,200 | 11,026 | ||
Smith International, Inc. | 3,592 | 229 | ||
Tenaris SA sponsored ADR | 1,300 | 102 | ||
14,987 | ||||
Oil, Gas & Consumable Fuels - 12.9% | ||||
Apache Corp. | 48,000 | 3,101 | ||
Arch Coal, Inc. | 25,000 | 1,362 | ||
BG Group PLC sponsored ADR | 23,000 | 957 | ||
Bill Barrett Corp. | 43,100 | 1,275 | ||
Blackrock Ventures, Inc. (a) | 379,500 | 3,054 | ||
BP PLC sponsored ADR | 246,200 | 15,358 | ||
Burlington Resources, Inc. | 166,900 | 9,220 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
ENERGY - continued | ||||
Oil, Gas & Consumable Fuels - continued | ||||
Cairn Energy PLC (a) | 25,300 | $ 611 | ||
China Petroleum & Chemical Corp. sponsored ADR | 22,000 | 858 | ||
CONSOL Energy, Inc. | 121,900 | 6,531 | ||
Devon Energy Corp. | 121,500 | 6,158 | ||
EnCana Corp. | 1,206,200 | 47,581 | ||
Encore Acquisition Co. (a) | 70,892 | 2,907 | ||
Energy Partners Ltd. (a) | 7,400 | 194 | ||
ENI Spa sponsored ADR | 12,300 | 1,577 | ||
EOG Resources, Inc. | 252,100 | 14,319 | ||
Exxon Mobil Corp. | 536,800 | 30,850 | ||
Forest Oil Corp. (a) | 10,400 | 437 | ||
Imperial Oil Ltd. | 28,100 | 2,340 | ||
Kick Energy Corp. (a) | 846,900 | 6,117 | ||
McMoRan Exploration Co. (a)(d) | 25,400 | 496 | ||
Murphy Oil Corp. | 365,000 | 19,064 | ||
Newfield Exploration Co. (a) | 60,000 | 2,393 | ||
Noble Energy, Inc. | 43,858 | 3,318 | ||
Peabody Energy Corp. | 70,100 | 3,648 | ||
PetroChina Co. Ltd. sponsored ADR (d) | 96,800 | 7,110 | ||
Plains Exploration & Production Co. (a) | 19,900 | 707 | ||
Premcor, Inc. | 134,500 | 9,977 | ||
Quicksilver Resources, Inc. (a) | 140,000 | 8,950 | ||
Range Resources Corp. | 39,000 | 1,049 | ||
Sasol Ltd. | 56,900 | 1,547 | ||
Talisman Energy, Inc. | 91,100 | 3,413 | ||
Total SA sponsored ADR | 84,900 | 9,921 | ||
Ultra Petroleum Corp. (a) | 84,000 | 2,550 | ||
Valero Energy Corp. | 226,800 | 17,942 | ||
XTO Energy, Inc. | 203,700 | 6,924 | ||
253,816 | ||||
TOTAL ENERGY | 268,803 | |||
FINANCIALS - 11.7% | ||||
Capital Markets - 1.5% | ||||
Charles Schwab Corp. | 522,700 | 5,896 | ||
Goldman Sachs Group, Inc. | 70,500 | 7,192 | ||
Greenhill & Co., Inc. | 4,900 | 198 | ||
Janus Capital Group, Inc. | 69,600 | 1,047 | ||
Lazard Ltd. Class A | 19,400 | 451 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
FINANCIALS - continued | ||||
Capital Markets - continued | ||||
Legg Mason, Inc. | 42,200 | $ 4,393 | ||
Lehman Brothers Holdings, Inc. | 97,600 | 9,690 | ||
Morgan Stanley | 7,400 | 388 | ||
29,255 | ||||
Commercial Banks - 1.2% | ||||
Allied Irish Banks PLC | 100,900 | 2,167 | ||
Bank of the Ozarks, Inc. | 39,100 | 1,284 | ||
Center Financial Corp., California | 50,000 | 1,242 | ||
HDFC Bank Ltd. | 41,500 | 607 | ||
HSBC Holdings PLC sponsored ADR | 14,302 | 1,139 | ||
M&T Bank Corp. | 104,600 | 11,000 | ||
Marshall & Ilsley Corp. | 28,700 | 1,276 | ||
Wells Fargo & Co. | 69,200 | 4,261 | ||
Westcorp | 8,500 | 446 | ||
23,422 | ||||
Consumer Finance - 1.0% | ||||
American Express Co. | 209,800 | 11,168 | ||
SLM Corp. | 147,100 | 7,473 | ||
18,641 | ||||
Diversified Financial Services - 0.5% | ||||
Archipelago Holdings, Inc. | 24,600 | 957 | ||
Brascan Corp. Class A (ltd. vtg.) | 15,350 | 586 | ||
Chicago Mercantile Exchange Holdings, Inc. Class A | 6,900 | 2,039 | ||
Moody's Corp. | 146,600 | 6,591 | ||
10,173 | ||||
Insurance - 5.8% | ||||
ACE Ltd. | 17,800 | 798 | ||
AFLAC, Inc. | 43,900 | 1,900 | ||
Allstate Corp. | 395,700 | 23,643 | ||
American International Group, Inc. | 129,400 | 7,518 | ||
Assurant, Inc. | 123,700 | 4,466 | ||
Berkshire Hathaway, Inc. Class A (a) | 342 | 28,557 | ||
Everest Re Group Ltd. | 59,400 | 5,524 | ||
Fidelity National Financial, Inc. | 16,700 | 596 | ||
Genworth Financial, Inc. Class A (non-vtg.) | 58,600 | 1,771 | ||
Markel Corp. (a) | 2,000 | 678 | ||
Mercury General Corp. | 17,600 | 960 | ||
MetLife, Inc. | 289,400 | 13,006 | ||
MetLife, Inc. unit | 80,000 | 2,098 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
FINANCIALS - continued | ||||
Insurance - continued | ||||
Montpelier Re Holdings Ltd. | 9,700 | $ 335 | ||
PartnerRe Ltd. | 20,800 | 1,340 | ||
Platinum Underwriters Holdings Ltd. | 41,300 | 1,314 | ||
ProAssurance Corp. (a) | 5,000 | 209 | ||
Progressive Corp. | 42,000 | 4,150 | ||
Prudential Financial, Inc. | 87,100 | 5,719 | ||
RenaissanceRe Holdings Ltd. | 47,100 | 2,319 | ||
The Chubb Corp. | 56,500 | 4,837 | ||
W.R. Berkley Corp. | 51,574 | 1,840 | ||
White Mountains Insurance Group Ltd. | 1,305 | 823 | ||
114,401 | ||||
Real Estate - 1.0% | ||||
CB Richard Ellis Group, Inc. Class A | 88,600 | 3,886 | ||
CBL & Associates Properties, Inc. | 33,000 | 1,421 | ||
Crescent Real Estate Equities Co. | 27,200 | 510 | ||
Equity Office Properties Trust | 72,800 | 2,410 | ||
Equity Residential (SBI) | 18,600 | 685 | ||
General Growth Properties, Inc. | 63,300 | 2,601 | ||
Global Signal, Inc. | 69,900 | 2,632 | ||
KKR Financial Corp. | 6,200 | 155 | ||
Vornado Realty Trust | 62,200 | 5,001 | ||
19,301 | ||||
Thrifts & Mortgage Finance - 0.7% | ||||
Golden West Financial Corp., Delaware | 214,200 | 13,790 | ||
Hudson City Bancorp, Inc. | 75,000 | 856 | ||
14,646 | ||||
TOTAL FINANCIALS | 229,839 | |||
HEALTH CARE - 15.1% | ||||
Biotechnology - 4.2% | ||||
Affymetrix, Inc. (a) | 39,200 | 2,114 | ||
Amgen, Inc. (a) | 34,300 | 2,074 | ||
Celgene Corp. (a) | 41,200 | 1,680 | ||
Genentech, Inc. (a) | 809,000 | 64,937 | ||
Gilead Sciences, Inc. (a) | 155,100 | 6,823 | ||
GTx, Inc. (a)(d) | 25,000 | 249 | ||
Idenix Pharmaceuticals, Inc. (d) | 39,200 | 850 | ||
Invitrogen Corp. (a) | 6,400 | 533 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
HEALTH CARE - continued | ||||
Biotechnology - continued | ||||
MannKind Corp. (d) | 58,100 | $ 584 | ||
Protein Design Labs, Inc. (a) | 100 | 2 | ||
Seattle Genetics, Inc. (a) | 25,800 | 138 | ||
Techne Corp. (a) | 24,100 | 1,106 | ||
ViaCell, Inc. | 87,800 | 935 | ||
82,025 | ||||
Health Care Equipment & Supplies - 4.1% | ||||
Alcon, Inc. | 88,200 | 9,645 | ||
American Medical Systems Holdings, Inc. (a) | 7,400 | 153 | ||
Aspect Medical Systems, Inc. (a) | 7,300 | 217 | ||
Bausch & Lomb, Inc. | 7,200 | 598 | ||
C.R. Bard, Inc. | 53,000 | 3,525 | ||
DENTSPLY International, Inc. | 157,400 | 8,500 | ||
DJ Orthopedics, Inc. (a) | 111,400 | 3,056 | ||
Fisher Scientific International, Inc. (a) | 31,604 | 2,051 | ||
Foxhollow Technologies, Inc. (d) | 27,400 | 1,049 | ||
Gen-Probe, Inc. (a) | 69,100 | 2,503 | ||
Immucor, Inc. (a) | 4,900 | 142 | ||
IntraLase Corp. | 41,800 | 820 | ||
Intuitive Surgical, Inc. (a) | 101,700 | 4,743 | ||
IRIS International, Inc. (a) | 477,500 | 8,500 | ||
Kinetic Concepts, Inc. (a) | 43,800 | 2,628 | ||
Kyphon, Inc. (a) | 15,000 | 522 | ||
Laserscope, Inc. (a) | 14,700 | 609 | ||
Medtronic, Inc. | 239,600 | 12,409 | ||
Mentor Corp. | 35,800 | 1,485 | ||
Neurometrix, Inc. | 5,400 | 108 | ||
Nobel Biocare Holding AG (Switzerland) | 17,856 | 3,622 | ||
NuVasive, Inc. | 58,900 | 979 | ||
St. Jude Medical, Inc. (a) | 122,000 | 5,320 | ||
Syneron Medical Ltd. | 25,200 | 922 | ||
Synthes, Inc. | 47,565 | 5,222 | ||
Ventana Medical Systems, Inc. (a) | 42,500 | 1,710 | ||
81,038 | ||||
Health Care Providers & Services - 3.9% | ||||
Advisory Board Co. (a) | 8,500 | 414 | ||
Aetna, Inc. | 366,500 | 30,354 | ||
American Healthways, Inc. (a) | 89,300 | 3,775 | ||
Caremark Rx, Inc. (a) | 84,500 | 3,762 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
HEALTH CARE - continued | ||||
Health Care Providers & Services - continued | ||||
Express Scripts, Inc. (a) | 11,200 | $ 560 | ||
HCA, Inc. | 34,100 | 1,932 | ||
Health Net, Inc. (a) | 46,700 | 1,782 | ||
Matria Healthcare, Inc. (a) | 19,700 | 635 | ||
Merge Technologies, Inc. (a) | 17,300 | 324 | ||
Molina Healthcare, Inc. (a) | 1,700 | 75 | ||
Patterson Companies, Inc. (a) | 166,200 | 7,492 | ||
UnitedHealth Group, Inc. | 409,300 | 21,341 | ||
VCA Antech, Inc. (a) | 15,200 | 369 | ||
WebMD Corp. (a) | 9,200 | 94 | ||
WellPoint, Inc. (a) | 53,900 | 3,754 | ||
76,663 | ||||
Pharmaceuticals - 2.9% | ||||
Abbott Laboratories | 30,500 | 1,495 | ||
American Pharmaceutical Partners, Inc. (a) | 13,700 | 565 | ||
Barr Pharmaceuticals, Inc. (a) | 4,000 | 195 | ||
Cypress Bioscience, Inc. (a) | 11,800 | 156 | ||
IVAX Corp. (a) | 35,000 | 753 | ||
Johnson & Johnson | 130,100 | 8,457 | ||
Kos Pharmaceuticals, Inc. (a) | 7,000 | 459 | ||
Novartis AG sponsored ADR | 121,600 | 5,769 | ||
Roche Holding AG (participation certificate) | 225,506 | 28,539 | ||
Sanofi-Aventis sponsored ADR | 68,900 | 2,824 | ||
Schering-Plough Corp. | 346,300 | 6,600 | ||
Sepracor, Inc. (a) | 7,700 | 462 | ||
Shire Pharmaceuticals Group PLC sponsored ADR | 900 | 30 | ||
Teva Pharmaceutical Industries Ltd. sponsored ADR | 39,100 | 1,218 | ||
57,522 | ||||
TOTAL HEALTH CARE | 297,248 | |||
INDUSTRIALS - 5.3% | ||||
Aerospace & Defense - 0.1% | ||||
Rockwell Collins, Inc. | 15,900 | 758 | ||
United Technologies Corp. | 38,000 | 1,951 | ||
2,709 | ||||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
INDUSTRIALS - continued | ||||
Air Freight & Logistics - 0.3% | ||||
C.H. Robinson Worldwide, Inc. | 97,600 | $ 5,680 | ||
EGL, Inc. (a) | 9,600 | 195 | ||
5,875 | ||||
Airlines - 0.3% | ||||
Ryanair Holdings PLC sponsored ADR (a) | 141,100 | 6,327 | ||
Southwest Airlines Co. | 22,100 | 308 | ||
6,635 | ||||
Commercial Services & Supplies - 0.3% | ||||
Aramark Corp. Class B | 28,200 | 744 | ||
Corporate Executive Board Co. | 3,400 | 266 | ||
Equifax, Inc. | 27,800 | 993 | ||
PeopleSupport, Inc. | 5,200 | 47 | ||
PHH Corp. (a) | 6,570 | 169 | ||
Resources Connection, Inc. (a) | 98,500 | 2,288 | ||
Robert Half International, Inc. | 33,200 | 829 | ||
Services Acquisition Corp. International unit (a) | 4,600 | 37 | ||
5,373 | ||||
Construction & Engineering - 0.2% | ||||
Jacobs Engineering Group, Inc. (a) | 52,600 | 2,959 | ||
URS Corp. (a) | 19,400 | 725 | ||
3,684 | ||||
Electrical Equipment - 1.0% | ||||
American Power Conversion Corp. | 256,800 | 6,058 | ||
Cooper Industries Ltd. Class A | 138,000 | 8,818 | ||
Evergreen Solar, Inc. (a) | 9,600 | 62 | ||
Motech Industries, Inc. | 145,000 | 2,055 | ||
SolarWorld AG | 25,600 | 2,246 | ||
Ultralife Batteries, Inc. (a) | 53,100 | 858 | ||
20,097 | ||||
Industrial Conglomerates - 0.3% | ||||
Carlisle Companies, Inc. | 17,600 | 1,208 | ||
General Electric Co. | 40,600 | 1,407 | ||
Hutchison Whampoa Ltd. | 257,000 | 2,323 | ||
Siemens AG sponsored ADR | 10,500 | 763 | ||
5,701 | ||||
Machinery - 2.3% | ||||
A.S.V., Inc. (a) | 26,500 | 1,074 | ||
Bucyrus International, Inc. Class A | 15,600 | 592 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
INDUSTRIALS - continued | ||||
Machinery - continued | ||||
Caterpillar, Inc. | 48,700 | $ 4,642 | ||
Cummins, Inc. | 31,200 | 2,328 | ||
Danaher Corp. | 357,400 | 18,706 | ||
IDEX Corp. | 3,700 | 143 | ||
Joy Global, Inc. | 72,850 | 2,447 | ||
PACCAR, Inc. | 183,350 | 12,468 | ||
Volvo AB sponsored ADR | 66,900 | 2,713 | ||
45,113 | ||||
Road & Rail - 0.4% | ||||
Canadian National Railway Co. | 67,800 | 3,911 | ||
Heartland Express, Inc. | 4,050 | 79 | ||
Knight Transportation, Inc. | 26,620 | 648 | ||
Landstar System, Inc. (a) | 78,500 | 2,364 | ||
7,002 | ||||
Trading Companies & Distributors - 0.1% | ||||
Fastenal Co. | 9,600 | 588 | ||
Mitsui & Co. Ltd. | 81,000 | 767 | ||
1,355 | ||||
TOTAL INDUSTRIALS | 103,544 | |||
INFORMATION TECHNOLOGY - 16.6% | ||||
Communications Equipment - 1.2% | ||||
Comverse Technology, Inc. (a) | 120,100 | 2,840 | ||
Corning, Inc. (a) | 163,900 | 2,724 | ||
ECI Telecom Ltd. (a) | 89,600 | 744 | ||
Foxconn International Holdings Ltd. | 478,000 | 357 | ||
Harris Corp. | 39,600 | 1,236 | ||
Ixia (a) | 513,500 | 9,982 | ||
Motorola, Inc. | 19,400 | 354 | ||
Nokia Corp. sponsored ADR | 272,000 | 4,526 | ||
TomTom Group BV | 37,600 | 825 | ||
23,588 | ||||
Computers & Peripherals - 3.0% | ||||
Apple Computer, Inc. (a) | 541,200 | 19,922 | ||
Dell, Inc. (a) | 101,100 | 3,994 | ||
EMC Corp. (a) | 224,900 | 3,083 | ||
Hewlett-Packard Co. | 837,700 | 19,694 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
INFORMATION TECHNOLOGY - continued | ||||
Computers & Peripherals - continued | ||||
Logitech International SA sponsored ADR (a) | 4,000 | $ 255 | ||
Network Appliance, Inc. (a) | 393,100 | 11,113 | ||
58,061 | ||||
Electronic Equipment & Instruments - 0.6% | ||||
Amphenol Corp. Class A | 40,400 | 1,623 | ||
Cogent, Inc. | 35,500 | 1,014 | ||
FARO Technologies, Inc. (a) | 31,800 | 867 | ||
FLIR Systems, Inc. (a) | 122,382 | 3,652 | ||
Hon Hai Precision Industries Co. Ltd. | 775,049 | 4,025 | ||
Nidec Corp. | 3,900 | 413 | ||
Trimble Navigation Ltd. (a) | 19,600 | 764 | ||
12,358 | ||||
Internet Software & Services - 5.1% | ||||
aQuantive, Inc. (a) | 20,100 | 356 | ||
Equinix, Inc. (a) | 2,700 | 117 | ||
Google, Inc. Class A (sub. vtg.) | 200,300 | 58,918 | ||
Marchex, Inc. Class B (a)(d) | 53,900 | 811 | ||
Openwave Systems, Inc. (a) | 43,400 | 712 | ||
VeriSign, Inc. (a) | 36,800 | 1,058 | ||
Websense, Inc. (a) | 24,343 | 1,170 | ||
WebSideStory, Inc. | 350,000 | 5,131 | ||
Yahoo!, Inc. (a) | 925,300 | 32,062 | ||
100,335 | ||||
IT Services - 2.0% | ||||
Alliance Data Systems Corp. (a) | 43,200 | 1,752 | ||
Cognizant Technology Solutions Corp. Class A (a) | 141,414 | 6,665 | ||
Fiserv, Inc. (a) | 78,000 | 3,350 | ||
Global Payments, Inc. | 6,900 | 468 | ||
Infosys Technologies Ltd. sponsored ADR | 202,800 | 15,711 | ||
Ness Technologies, Inc. | 115,700 | 1,229 | ||
SRA International, Inc. Class A (a) | 187,400 | 6,507 | ||
TALX Corp. | 135,000 | 3,903 | ||
VeriFone Holdings, Inc. | 16,200 | 263 | ||
Wright Express Corp. | 15,000 | 277 | ||
40,125 | ||||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
INFORMATION TECHNOLOGY - continued | ||||
Office Electronics - 0.1% | ||||
Canon, Inc. | 9,300 | $ 489 | ||
Zebra Technologies Corp. Class A (a) | 11,000 | 482 | ||
971 | ||||
Semiconductors & Semiconductor Equipment - 3.3% | ||||
Broadcom Corp. Class A (a) | 64,000 | 2,273 | ||
FormFactor, Inc. (a) | 19,700 | 520 | ||
International Rectifier Corp. (a) | 7,500 | 358 | ||
Lam Research Corp. (a) | 23,600 | 683 | ||
Marvell Technology Group Ltd. (a) | 1,186,900 | 45,150 | ||
Microchip Technology, Inc. | 14,700 | 435 | ||
O2Micro International Ltd. (a) | 3,000 | 42 | ||
Samsung Electronics Co. Ltd. | 30,406 | 14,520 | ||
SigmaTel, Inc. (a) | 19,100 | 328 | ||
Tessera Technologies, Inc. (a) | 30,500 | 1,019 | ||
Volterra Semiconductor Corp. | 22,400 | 334 | ||
65,662 | ||||
Software - 1.3% | ||||
Activision, Inc. (a) | 317,966 | 5,253 | ||
Adobe Systems, Inc. | 153,806 | 4,402 | ||
Altiris, Inc. (a) | 61,900 | 909 | ||
Autodesk, Inc. | 68,300 | 2,347 | ||
Blackboard, Inc. | 3,200 | 77 | ||
Check Point Software Technologies Ltd. (a) | 5,600 | 111 | ||
Cognos, Inc. (a) | 59,200 | 2,022 | ||
FileNET Corp. (a) | 53,300 | 1,340 | ||
JAMDAT Mobile, Inc. | 54,100 | 1,497 | ||
Kronos, Inc. (a) | 7,052 | 285 | ||
McAfee, Inc. (a) | 22,500 | 589 | ||
MICROS Systems, Inc. (a) | 11,500 | 515 | ||
Microsoft Corp. | 17,000 | 422 | ||
NAVTEQ Corp. | 93,000 | 3,458 | ||
NDS Group PLC sponsored ADR (a) | 16,200 | 540 | ||
Quality Systems, Inc. (d) | 12,258 | 581 | ||
Salesforce.com, Inc. | 13,000 | 266 | ||
SAP AG sponsored ADR | 7,900 | 342 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
INFORMATION TECHNOLOGY - continued | ||||
Software - continued | ||||
Take-Two Interactive Software, Inc. (a) | 30,000 | $ 764 | ||
THQ, Inc. (a) | 4,100 | 120 | ||
25,840 | ||||
TOTAL INFORMATION TECHNOLOGY | 326,940 | |||
MATERIALS - 6.3% | ||||
Chemicals - 1.2% | ||||
Bayer AG | 38,500 | 1,281 | ||
Crompton Corp. | 132,100 | 1,869 | ||
Dow Chemical Co. | 54,000 | 2,405 | ||
Great Lakes Chemical Corp. | 52,100 | 1,640 | ||
Monsanto Co. | 2,900 | 182 | ||
Nalco Holding Co. | 72,500 | 1,423 | ||
Potash Corp. of Saskatchewan | 19,800 | 1,890 | ||
Praxair, Inc. | 240,800 | 11,221 | ||
Rohm & Haas Co. | 20,200 | 936 | ||
Westlake Chemical Corp. | 19,200 | 470 | ||
23,317 | ||||
Construction Materials - 0.4% | ||||
Cemex SA de CV sponsored ADR | 4,480 | 190 | ||
Eagle Materials, Inc. | 21,100 | 1,954 | ||
Florida Rock Industries, Inc. | 14,100 | 1,034 | ||
Headwaters, Inc. (a) | 5,300 | 182 | ||
Lafarge North America, Inc. | 5,800 | 362 | ||
Lafarge SA (Bearer) | 10,600 | 967 | ||
Martin Marietta Materials, Inc. | 2,000 | 138 | ||
Rinker Group Ltd. | 201,181 | 2,145 | ||
6,972 | ||||
Containers & Packaging - 0.3% | ||||
Owens-Illinois, Inc. (a) | 242,900 | 6,085 | ||
Metals & Mining - 4.4% | ||||
Aber Diamond Corp. | 11,600 | 355 | ||
African Platinum PLC (a) | 170,613 | 68 | ||
Alamos Gold, Inc. (a) | 1,010,000 | 3,462 | ||
Anglo American PLC ADR | 160,900 | 3,781 | ||
Bema Gold Corp. (a) | 491,100 | 1,166 | ||
BHP Billiton Ltd. sponsored ADR | 462,900 | 12,637 | ||
Carpenter Technology Corp. | 40,200 | 2,082 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
MATERIALS - continued | ||||
Metals & Mining - continued | ||||
Companhia Vale do Rio Doce sponsored ADR | 100,400 | $ 2,940 | ||
Compass Minerals International, Inc. | 49,900 | 1,168 | ||
Eldorado Gold Corp. (a) | 215,200 | 571 | ||
First Quantum Minerals Ltd. | 156,800 | 2,766 | ||
Gabriel Resources Ltd. (a) | 157,300 | 203 | ||
Gerdau SA sponsored ADR | 91,800 | 893 | ||
Glamis Gold Ltd. (a) | 328,400 | 5,623 | ||
Goldcorp, Inc. | 600,375 | 9,551 | ||
IPSCO, Inc. | 92,800 | 4,046 | ||
Ivanhoe Mines Ltd. (a) | 462,800 | 3,596 | ||
Lionore Mining International Ltd. (a) | 218,500 | 1,122 | ||
Minefinders Corp. Ltd. (a) | 162,300 | 755 | ||
Newmont Mining Corp. | 367,500 | 14,344 | ||
Nucor Corp. | 64,100 | 2,924 | ||
POSCO sponsored ADR | 111,500 | 4,903 | ||
Rio Tinto PLC (Reg.) | 141,300 | 4,307 | ||
Shore Gold, Inc. (a) | 15,100 | 60 | ||
Teck Cominco Ltd. Class B (sub. vtg.) | 84,500 | 2,851 | ||
Xstrata PLC | 58,700 | 1,133 | ||
87,307 | ||||
TOTAL MATERIALS | 123,681 | |||
TELECOMMUNICATION SERVICES - 3.6% | ||||
Diversified Telecommunication Services - 0.2% | ||||
Telewest Global, Inc. (a) | 151,415 | 3,449 | ||
Wireless Telecommunication Services - 3.4% | ||||
America Movil SA de CV Series L sponsored ADR | 591,500 | 35,259 | ||
American Tower Corp. Class A (a) | 48,300 | 1,015 | ||
Nextel Partners, Inc. Class A (a) | 551,978 | 13,893 | ||
NII Holdings, Inc. (a) | 241,300 | 15,429 | ||
SpectraSite, Inc. (a) | 15,700 | 1,169 | ||
Vodafone Group PLC sponsored ADR | 16,100 | 392 | ||
Western Wireless Corp. Class A (a) | 19,500 | 825 | ||
67,982 | ||||
TOTAL TELECOMMUNICATION SERVICES | 71,431 | |||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
UTILITIES - 0.8% | ||||
Electric Utilities - 0.2% | ||||
Entergy Corp. | 19,600 | $ 1,481 | ||
Exelon Corp. | 34,800 | 1,786 | ||
PG&E Corp. | 18,300 | 687 | ||
3,954 | ||||
Gas Utilities - 0.3% | ||||
Questar Corp. | 30,300 | 1,997 | ||
Southern Union Co. | 183,500 | 4,505 | ||
6,502 | ||||
Independent Power Producers & Energy Traders - 0.2% | ||||
AES Corp. (a) | 97,600 | 1,599 | ||
TXU Corp. | 36,600 | 3,041 | ||
4,640 | ||||
Multi-Utilities - 0.1% | ||||
Public Service Enterprise Group, Inc. | 19,200 | 1,168 | ||
TOTAL UTILITIES | 16,264 | |||
TOTAL COMMON STOCKS (Cost $1,521,792) | 1,739,771 | |||
Corporate Bonds - 0.1% | ||||
Principal Amount (000s)(g) | ||||
Convertible Bonds - 0.1% | ||||
HEALTH CARE - 0.0% | ||||
Biotechnology - 0.0% | ||||
Protein Design Labs, Inc. 2% 2/15/12 (e) | $ 300 | 320 | ||
INDUSTRIALS - 0.1% | ||||
Industrial Conglomerates - 0.1% | ||||
Tyco International Group SA yankee 3.125% 1/15/23 | 250 | 345 | ||
UTILITIES - 0.0% | ||||
Independent Power Producers & Energy Traders - 0.0% | ||||
AES Corp. 4.5% 8/15/05 | 180 | 180 | ||
TOTAL CONVERTIBLE BONDS | 845 | |||
Corporate Bonds - continued |
Principal Amount (000s)(g) | Value (Note 1) | |||
Nonconvertible Bonds - 0.0% | ||||
TELECOMMUNICATION SERVICES - 0.0% | ||||
Diversified Telecommunication Services - 0.0% | ||||
Cable & Wireless International Finance 8.625% 3/25/19 | GBP | $ 240 | $ 465 | |
TOTAL CORPORATE BONDS (Cost $1,331) | 1,310 | |||
U.S. Treasury Obligations - 1.3% | ||||
U.S. Treasury Bonds 5.375% 2/15/31 | 10,900 | 12,862 | ||
U.S. Treasury Notes: | ||||
4.25% 8/15/13 | 2,210 | 2,265 | ||
4.25% 11/15/13 | 2,250 | 2,305 | ||
4.25% 8/15/14 | 2,600 | 2,662 | ||
4.75% 5/15/14 | 4,700 | 4,987 | ||
TOTAL U.S. TREASURY OBLIGATIONS (Cost $24,006) | 25,081 | |||
Floating Rate Loans - 0.0% | ||||
CONSUMER DISCRETIONARY - 0.0% | ||||
Media - 0.0% | ||||
Charter Communications Operating LLC Tranche B, term loan 6.44% 4/7/11 (f) | 825 | 818 | ||
TOTAL FLOATING RATE LOANS (Cost $811) | 818 | |||
Money Market Funds - 14.7% | ||||
Shares | ||||
Fidelity Cash Central Fund, 3.21% (b) | 244,718,525 | 244,719 | ||
Fidelity Securities Lending Cash Central Fund, 3.23% (b)(c) | 44,130,863 | 44,131 | ||
TOTAL MONEY MARKET FUNDS (Cost $288,850) | 288,850 | |||
Cash Equivalents - 0.1% | ||||
Maturity Amount (000s) | Value (Note 1) | |||
Investments in repurchase agreements (Collateralized by U.S. Treasury Obligations, in a joint trading account at 2.91%, dated 6/30/05 due 7/1/05) | 2,630 | $ 2,630 | ||
TOTAL INVESTMENT PORTFOLIO - 104.5% (Cost $1,839,420) | 2,058,460 | |||
NET OTHER ASSETS - (4.5)% | (87,960) | |||
NET ASSETS - 100% | $ 1,970,500 |
Currency Abbreviations | ||
GBP | - | British pound |
Legend |
(a) Non-income producing |
(b) Affiliated fund that is 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 listing of the fund's holdings as of its most recent quarter end is available upon request. |
(c) Investment made with cash collateral received from securities on loan. |
(d) Security or a portion of the security is on loan at period end. |
(e) 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 period end, the value of these securities amounted to $320,000 or 0.0% of net assets. |
(f) The coupon rate shown on floating or adjustable rate securities represents the rate at period end. |
(g) Principal amount is stated in United States dollars unless otherwise noted. |
Other Information |
Distribution of investments by country of issue, as a percentage of total net assets, is as follows: |
United States of America | 77.1% |
Canada | 5.8% |
Bermuda | 3.4% |
Switzerland | 2.7% |
Mexico | 1.8% |
United Kingdom | 1.5% |
Korea (South) | 1.1% |
Others (individually less than 1%) | 6.6% |
100.0% |
Income Tax Information |
At December 31, 2004, the fund had a capital loss carryforward of approximately $3,600,000 all of which will expire on December 31, 2012. |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | June 30, 2005 (Unaudited) | |
Assets | ||
Investment in securities, at value (including securities loaned of $43,119 and repurchase agreements of $2,630)(cost $1,839,420) - See accompanying schedule | $ 2,058,460 | |
Cash | 47 | |
Foreign currency held at value (cost $71) | 71 | |
Receivable for investments sold | 2,268 | |
Receivable for fund shares sold | 19,554 | |
Dividends receivable | 1,245 | |
Interest receivable | 942 | |
Prepaid expenses | 1 | |
Receivable from investment adviser for expense reductions | 6 | |
Other receivables | 367 | |
Total assets | 2,082,961 | |
Liabilities | ||
Payable for investments purchased | $ 63,885 | |
Payable for fund shares redeemed | 1,998 | |
Accrued management fee | 892 | |
Distribution fees payable | 879 | |
Other affiliated payables | 401 | |
Other payables and accrued expenses | 275 | |
Collateral on securities loaned, at value | 44,131 | |
Total liabilities | 112,461 | |
Net Assets | $ 1,970,500 | |
Net Assets consist of: | ||
Paid in capital | $ 1,773,792 | |
Accumulated net investment loss | (1,960) | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | (20,301) | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 218,969 | |
Net Assets | $ 1,970,500 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements - continued
Statement of Assets and Liabilities - continued
Amounts in thousands (except per-share amounts) | June 30, 2005 (Unaudited) | |
Calculation of Maximum Offering Price | $ 14.59 | |
Maximum offering price per share (100/94.25 of $14.59) | $ 15.48 | |
Class T: | $ 14.54 | |
Maximum offering price per share (100/96.50 of $14.54) | $ 15.07 | |
Class B: | $ 14.39 | |
Class C: | $ 14.40 | |
Institutional Class: | $ 14.68 |
A Redemption price per share is equal to net asset value less any applicable contingent deferred sales charge.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Statement of Operations
Amounts in thousands | Six months ended June 30, 2005 (Unaudited) | |
Investment Income | ||
Dividends | $ 5,849 | |
Interest | 2,888 | |
Security lending | 282 | |
Total income | 9,019 | |
Expenses | ||
Management fee | $ 4,106 | |
Transfer agent fees | 1,821 | |
Distribution fees | 4,034 | |
Accounting and security lending fees | 244 | |
Independent trustees' compensation | 3 | |
Custodian fees and expenses | 131 | |
Registration fees | 371 | |
Audit | 26 | |
Legal | 4 | |
Miscellaneous | 4 | |
Total expenses before reductions | 10,744 | |
Expense reductions | (325) | 10,419 |
Net investment income (loss) | (1,400) | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities | (16,164) | |
Foreign currency transactions | 96 | |
Total net realized gain (loss) | (16,068) | |
Change in net unrealized appreciation (depreciation) on: Investment securities | 94,799 | |
Assets and liabilities in foreign currencies | (75) | |
Total change in net unrealized appreciation (depreciation) | 94,724 | |
Net gain (loss) | 78,656 | |
Net increase (decrease) in net assets resulting from operations | $ 77,256 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements - continued
Statement of Changes in Net Assets
Amounts in thousands | Six months ended | Year ended |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $ (1,400) | $ (2,694) |
Net realized gain (loss) | (16,068) | (4,061) |
Change in net unrealized appreciation (depreciation) | 94,724 | 109,094 |
Net increase (decrease) in net assets resulting | 77,256 | 102,339 |
Distributions to shareholders from net investment income | - | (206) |
Share transactions - net increase (decrease) | 863,922 | 729,179 |
Total increase (decrease) in net assets | 941,178 | 831,312 |
Net Assets | ||
Beginning of period | 1,029,322 | 198,010 |
End of period (including accumulated net investment loss of $1,960 and accumulated net investment loss of $560, respectively) | $ 1,970,500 | $ 1,029,322 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class A
Six months ended | Years ended December 31, | ||
(Unaudited) | 2004 | 2003 F | |
Selected Per-Share Data | |||
Net asset value, beginning of period | $ 13.99 | $ 11.79 | $ 10.00 |
Income from Investment Operations | |||
Net investment income (loss) E | .01 | (.03) | (.04) |
Net realized and unrealized gain (loss) | .59 | 2.24 | 1.87 |
Total from investment operations | .60 | 2.21 | 1.83 |
Distributions from net investment income | - | (.01) | (.03) |
Distributions from net realized gain | - | - | (.01) |
Total distributions | - | (.01) | (.04) |
Net asset value, end of period | $ 14.59 | $ 13.99 | $ 11.79 |
Total Return B, C, D | 4.29% | 18.76% | 18.23% |
Ratios to Average Net Assets G | |||
Expenses before expense reductions | 1.19% A | 1.22% | 1.39% A |
Expenses net of voluntary waivers, if any | 1.19% A | 1.22% | 1.39% A |
Expenses net of all reductions | 1.15% A | 1.17% | 1.28% A |
Net investment income (loss) | .10% A | (.26)% | (.81)% A |
Supplemental Data | |||
Net assets, end of period (in millions) | $ 420 | $ 230 | $ 37 |
Portfolio turnover rate | 78% A | 87% | 77% A |
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower had certain expenses not been reduced during the periods shown.
D Total returns do not include the effect of the sales charges.
E Calculated based on average shares outstanding during the period.
F For the period July 31, 2003 (commencement of operations) to December 31, 2003.
G Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of any voluntary waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class T
Six months ended | Years ended December 31, | ||
(Unaudited) | 2004 | 2003 F | |
Selected Per-Share Data | |||
Net asset value, beginning of period | $ 13.96 | $ 11.78 | $ 10.00 |
Income from Investment Operations | |||
Net investment income (loss) E | (.01) | (.06) | (.05) |
Net realized and unrealized gain (loss) | .59 | 2.25 | 1.86 |
Total from investment operations | .58 | 2.19 | 1.81 |
Distributions from net investment income | - | (.01) | (.02) |
Distributions from net realized gain | - | - | (.01) |
Total distributions | - | (.01) | (.03) |
Net asset value, end of period | $ 14.54 | $ 13.96 | $ 11.78 |
Total Return B, C, D | 4.15% | 18.60% | 18.08% |
Ratios to Average Net Assets G | |||
Expenses before expense reductions | 1.41% A | 1.43% | 1.62% A |
Expenses net of voluntary waivers, if any | 1.41% A | 1.43% | 1.62% A |
Expenses net of all reductions | 1.37% A | 1.39% | 1.51% A |
Net investment income (loss) | (.12)% A | (.48)% | (1.04)% A |
Supplemental Data | |||
Net assets, end of period (in millions) | $ 687 | $ 325 | $ 62 |
Portfolio turnover rate | 78% A | 87% | 77% A |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower had certain expenses not been reduced during the periods shown.
D Total returns do not include the effect of the sales charges.
E Calculated based on average shares outstanding during the period.
F For the period July 31, 2003 (commencement of operations) to December 31, 2003.
G Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of any voluntary waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class B
Six months ended | Years ended December 31, | ||
(Unaudited) | 2004 | 2003 F | |
Selected Per-Share Data | |||
Net asset value, beginning of period | $ 13.85 | $ 11.76 | $ 10.00 |
Income from Investment Operations | |||
Net investment income (loss) E | (.05) | (.13) | (.07) |
Net realized and unrealized gain (loss) | .59 | 2.23 | 1.85 |
Total from investment operations | .54 | 2.10 | 1.78 |
Distributions from net investment income | - | (.01) | (.01) |
Distributions from net realized gain | - | - | (.01) |
Total distributions | - | (.01) | (.02) |
Net asset value, end of period | $ 14.39 | $ 13.85 | $ 11.76 |
Total Return B, C, D | 3.90% | 17.87% | 17.75% |
Ratios to Average Net Assets G | |||
Expenses before expense reductions | 2.02% A | 2.02% | 2.19% A |
Expenses net of voluntary waivers, if any | 2.00% A | 2.02% | 2.19% A |
Expenses net of all reductions | 1.96% A | 1.97% | 2.08% A |
Net investment income (loss) | (.71)% A | (1.06)% | (1.61)% A |
Supplemental Data | |||
Net assets, end of period (in millions) | $ 188 | $ 109 | $ 27 |
Portfolio turnover rate | 78% A | 87% | 77% A |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower had certain expenses not been reduced during the periods shown.
D Total returns do not include the effect of the contingent deferred sales charge.
E Calculated based on average shares outstanding during the period.
F For the period July 31, 2003 (commencement of operations) to December 31, 2003.
G Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of any voluntary waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class C
Six months ended | Years ended December 31, | ||
(Unaudited) | 2004 | 2003 F | |
Selected Per-Share Data | |||
Net asset value, beginning of period | $ 13.86 | $ 11.76 | $ 10.00 |
Income from Investment Operations | |||
Net investment income (loss) E | (.04) | (.12) | (.07) |
Net realized and unrealized gain (loss) | .58 | 2.23 | 1.85 |
Total from investment operations | .54 | 2.11 | 1.78 |
Distributions from net investment income | - | (.01) | (.01) |
Distributions from net realized gain | - | - | (.01) |
Total distributions | - | (.01) | (.02) |
Net asset value, end of period | $ 14.40 | $ 13.86 | $ 11.76 |
Total Return B, C, D | 3.90% | 17.95% | 17.77% |
Ratios to Average Net Assets G | |||
Expenses before expense reductions | 1.92% A | 1.94% | 2.14% A |
Expenses net of voluntary waivers, if any | 1.92% A | 1.94% | 2.14% A |
Expenses net of all reductions | 1.88% A | 1.89% | 2.03% A |
Net investment income (loss) | (.63)% A | (.98)% | (1.55)% A |
Supplemental Data | |||
Net assets, end of period (in millions) | $ 475 | $ 246 | $ 49 |
Portfolio turnover rate | 78% A | 87% | 77% A |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower had certain expenses not been reduced during the periods shown.
D Total returns do not include the effect of the contingent deferred sales charge.
E Calculated based on average shares outstanding during the period.
F For the period July 31, 2003 (commencement of operations) to December 31, 2003.
G Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of any voluntary waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Institutional Class
Six months ended | Years ended December 31, | ||
(Unaudited) | 2004 | 2003 E | |
Selected Per-Share Data | |||
Net asset value, beginning of period | $ 14.05 | $ 11.79 | $ 10.00 |
Income from Investment Operations | |||
Net investment income (loss) D | .03 | .01 | (.02) |
Net realized and unrealized gain (loss) | .60 | 2.26 | 1.86 |
Total from investment operations | .63 | 2.27 | 1.84 |
Distributions from net investment income | - | (.01) | (.04) |
Distributions from net realized gain | - | - | (.01) |
Total distributions | - | (.01) | (.05) |
Net asset value, end of period | $ 14.68 | $ 14.05 | $ 11.79 |
Total Return B, C | 4.48% | 19.27% | 18.31% |
Ratios to Average Net Assets F | |||
Expenses before expense reductions | .85% A | .86% | 1.07% A |
Expenses net of voluntary waivers, if any | .85% A | .86% | 1.07% A |
Expenses net of all reductions | .81% A | .82% | .96% A |
Net investment income (loss) | .44% A | .10% | (.49)% A |
Supplemental Data | |||
Net assets, end of period (in millions) | $ 201 | $ 120 | $ 23 |
Portfolio turnover rate | 78% A | 87% | 77% A |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower had certain expenses not been reduced during the periods shown.
D Calculated based on average shares outstanding during the period.
E For the period July 31, 2003 (commencement of operations) to December 31, 2003.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of any voluntary waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Notes to Financial Statements
For the period ended June 30, 2005 (Unaudited)
(Amounts in thousands except ratios)
1. Significant Accounting Policies.
Fidelity Advisor New Insights Fund (the fund) is a fund of Fidelity Contrafund (the trust) and is authorized to issue an unlimited number of shares. The trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Massachusetts business trust.
The fund offers Class A, Class T, Class B, Class C, and Institutional Class shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class. Class B shares will automatically convert to Class A shares after a holding period of seven years from the initial date of purchase. Investment income, realized and unrealized capital gains and losses, the common expenses of the fund, and certain fund-level expense reductions, if any, are allocated on a pro rata basis to each class based on the relative net assets of each class to the total net assets of the fund. Each class differs with respect to transfer agent and distribution and service plan fees incurred. Certain expense reductions also differ by class.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which require management to make certain estimates and assumptions at the date of the financial statements. The following summarizes the significant accounting policies of the fund:
Security Valuation. Net asset value per share (NAV calculation) is calculated as of the close of business of the New York Stock Exchange, normally 4:00 p.m. Eastern time. Equity securities, including restricted securities, for which market quotations are available are valued at the last sale price or official closing price (closing bid price or last evaluated quote if no sale has occurred) on the primary market or exchange on which they trade. Debt securities, including restricted securities, for which quotations are readily available are valued at their most recent bid prices (sales prices if the principal market is an exchange) in the principal market in which such securities are normally traded, as determined by recognized dealers in such securities, or securities are valued on the basis of information provided by a pricing service. Pricing services use valuation matrices that incorporate both dealer-supplied valuations and valuation models. If prices are not readily available or do not accurately reflect fair value for a security, or if a security's value has been materially affected by events occurring after the close of the exchange or market on which the security is principally traded, that security may be valued by another method that the Board of Trustees believes accurately reflects fair value. A security's valuation may differ depending on the method used for determining value. Price movements in futures contracts and ADRs, market and trading trends, the bid/ask quotes of brokers and off-exchange institutional trading may be reviewed in the course of making a good faith determination of a security's fair value. Short-term securities with remaining maturities of sixty days or less for which quotations are not readily available are valued on the basis of amortized cost. Investments in open-end investment companies are valued at their net asset value each business day.
Semiannual Report
1. Significant Accounting Policies - continued
Foreign Currency. The fund uses foreign currency contracts to facilitate transactions in foreign-denominated securities. Losses from these transactions may arise from changes in the value of the foreign currency or if the counterparties do not perform under the contracts' terms.
Foreign-denominated assets, including investment securities, and liabilities are translated into U.S. dollars at the exchange rate at period end. Purchases and sales of investment securities, income and dividends received and expenses denominated in foreign currencies are translated into U.S. dollars at the exchange rate in effect on the transaction date.
The effects of exchange rate fluctuations on investments are included with the net realized and unrealized gain (loss) on investment securities. Other foreign currency transactions resulting in realized and unrealized gain (loss) are disclosed separately.
Investment Transactions and Income. Security transactions are accounted for as of trade date. Gains and losses on securities sold are determined on the basis of identified cost. 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. Distributions received on securities that represent a return of capital or capital gain are recorded as a reduction of cost of investments and/or as a realized gain. The fund estimates the components of distributions received that may be considered return of capital distributions or capital gain distributions. Interest income is accrued as earned. Interest income includes coupon interest and amortization of premium and accretion of discount on debt securities. Investment income is recorded net of foreign taxes withheld where recovery of such taxes is uncertain.
Expenses. Most expenses of the trust can be directly attributed to a fund. Expenses which cannot be directly attributed are apportioned among each fund in the trust.
Income Tax Information and Distributions to Shareholders. Each year, the fund intends to qualify as a regulated investment company by distributing all of its taxable income and realized gains under Subchapter M of the Internal Revenue Code. As a result, no provision for income taxes is required in the accompanying financial statements. Foreign taxes are provided for based on the fund's understanding of the tax rules and rates that exist in the foreign markets in which it invests.
Distributions are recorded on the ex-dividend date. Income dividends and capital gain distributions are declared separately for each class. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from generally accepted accounting principles.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
(Amounts in thousands except ratios)
1. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
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. Temporary book-tax differences will reverse in a subsequent period.
Book-tax differences are primarily due to foreign currency transactions, passive foreign investment companies (PFIC), net operating losses, capital loss carryforwards and losses deferred due to wash sales.
The federal tax cost of investments and unrealized appreciation (depreciation) as of period end were as follows:
Unrealized appreciation | $ 249,810 | |
Unrealized depreciation | (32,411) | |
Net unrealized appreciation (depreciation) | $ 217,399 | |
Cost for federal income tax purposes | $ 1,841,061 |
2. Operating Policies.
Repurchase Agreements. Fidelity Management & Research Company (FMR) has received an Exemptive Order from the Securities and Exchange Commission (the SEC) which permits the fund and other affiliated entities of FMR to transfer uninvested cash balances into joint trading accounts which are then invested in repurchase agreements. The fund may also invest directly with institutions in repurchase agreements. Repurchase agreements are collateralized by government or non-government securities. Collateral is held in segregated accounts with custodian banks and may be obtained in the event of a default of the counterparty. The fund monitors, on a daily basis, the value of the collateral to ensure it is at least equal to the principal amount of the repurchase agreement (including accrued interest). In the event of a default by the counterparty, realization of the collateral proceeds could be delayed, during which time the value of the collateral may decline.
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.
Semiannual Report
2. Operating Policies - continued
Loans and Other Direct Debt Instruments. The fund may invest in loans and loan participations, trade claims or other receivables. These investments may include standby financing commitments, including revolving credit facilities, that obligate the fund to supply additional cash to the borrower on demand. Loan participations involve a risk of insolvency of the lending bank or other financial intermediary. The fund may be contractually obligated to receive approval from the agent bank and/or borrower prior to the sale of these investments.
3. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities and U.S. government securities, aggregated $1,208,721 and $494,388, respectively.
4. Fees and Other Transactions with Affiliates.
Management Fee. FMR and its affiliates provide the fund with investment management related services for which the fund pays a monthly management fee. The management fee is the sum of an individual fund fee rate that is based on an annual rate of .30% of the fund's average net assets and a group fee rate that averaged .27% during the period. The group fee rate is based upon the average net assets of all the mutual funds advised by FMR. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the period, the total annualized management fee rate was .57% of the fund's average net assets.
Distribution and Service Plan. In accordance with Rule 12b-1 of the 1940 Act, the fund has adopted separate Distribution and Service Plans for each class of shares. Certain classes pay Fidelity Distributors Corporation (FDC), an affiliate of FMR, separate Distribution and Service Fees, each of which is based on an annual percentage of each class' average net assets. In addition, FDC may pay financial intermediaries for selling shares of the fund and providing shareholder support services. For the period, the Distribution and Service Fee rates and the total amounts paid to and retained by FDC were as follows:
Distribution | Service | Paid to | Retained | |
Class A | 0% | .25% | $ 383 | $ 2 |
Class T | .25% | .25% | 1,207 | 80 |
Class B | .75% | .25% | 721 | 542 |
Class C | .75% | .25% | 1,723 | 966 |
$ 4,034 | $ 1,590 |
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
(Amounts in thousands except ratios)
4. Fees and Other Transactions with Affiliates - continued
Sales Load. FDC receives a front-end sales charge of up to 5.75% for selling Class A shares, and 3.50% for selling Class T shares, some of which is paid to financial intermediaries for selling shares of the fund. FDC receives the proceeds of contingent deferred sales charges levied on Class A, Class T, Class B, and Class C redemptions. These charges depend on the holding period. The deferred sales charges range from 5% to 1% for Class B, 1% for Class C, and .25% for certain purchases of Class A and Class T shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained | ||
Class A | $ 597 | |
Class T | 169 | |
Class B * | 106 | |
Class C * | 36 | |
$ 908 |
* When Class B and Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc. (FIIOC), an affiliate of FMR, is the transfer, dividend disbursing and shareholder servicing agent for each class of the fund. FIIOC receives account fees and asset-based fees that vary according to the account size and type of account of the shareholders of the respective classes of the fund. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements. For the period the total transfer agent fees paid by each class to FIIOC, were as follows:
Amount | % of | |
Class A | $ 414 | .27 * |
Class T | 583 | .24 * |
Class B | 250 | .34 * |
Class C | 434 | .25 * |
Institutional Class | 140 | .18 * |
$ 1,821 |
* Annualized
Semiannual Report
4. Fees and Other Transactions with Affiliates - continued
Accounting and Security Lending Fees. Fidelity Service Company, Inc. (FSC), an affiliate of FMR, maintains the fund's accounting records. The accounting fee is based on the level of average net assets for the month. Under a separate contract, FSC administers the security lending program. The security lending fee is based on the number and duration of lending transactions.
Central Funds. The fund may invest in affiliated Central Funds managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of FMR. The Central Funds are open-end investment companies available only to investment companies and other accounts managed by FMR and its affiliates. The Money Market Central Funds seek preservation of capital and current income. The Central Funds do not pay a management fee. Income distributions earned by the fund are recorded as income in the accompanying financial statements and totaled $2,344 for the period.
Brokerage Commissions. The fund placed a portion of its portfolio transactions with brokerage firms which are affiliates of the investment adviser. The commissions paid to these affiliated firms were $38 for the period.
5. Committed Line of Credit.
The fund participates with other funds managed by FMR in a $4.2 billion credit facility (the "line of credit") to be utilized for temporary or emergency purposes to fund shareholder redemptions or for other short-term liquidity purposes. The fund has agreed to pay commitment fees on its pro rata portion of the line of credit. During the period, there were no borrowings on this line of credit.
6. Security Lending.
The fund lends portfolio securities from time to time in order to earn additional income. The fund receives collateral (in the form of U.S. Treasury obligations, letters of credit and/or cash) against the loaned securities and maintains collateral in an amount not less than 100% of the market value of the loaned securities during the period of the loan. The market value of the loaned securities is determined at the close of business of the fund and any additional required collateral is delivered to the fund on the next business day. If the borrower defaults on its obligation to return the securities loaned because of insolvency or other reasons, a fund could experience delays and costs in recovering the securities loaned or in gaining access to the collateral. Cash collateral is invested in the Fidelity Securities Lending Cash Central Fund. The value of loaned securities and cash collateral at period end are disclosed on the fund's Statement of Assets and Liabilities.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
(Amounts in thousands except ratios)
7. Expense Reductions.
FMR voluntarily agreed to reimburse each class to the extent annual operating expenses exceeded certain levels of average net assets as noted in the table below. Some expenses, for example interest expense, are excluded from this reimbursement.
Expense | Reimbursement | |
Class B | 2.00% | $ 8 |
Many of the brokers with whom FMR places trades on behalf of the fund provided services to the fund in addition to trade execution. These services included payments of certain expenses on behalf of the fund totaling $316 for the period. In addition, through arrangements with the fund's custodian, credits realized as a result of uninvested cash balances were used to reduce the fund's expenses. During the period, these credits reduced the fund's custody expenses by $1.
8. Other.
The fund's organizational documents provide former and current trustees 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.
9. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended | Year ended | |
From net investment income | ||
Class A | $ - | $ 38 |
Class T | - | 64 |
Class B | - | 28 |
Class C | - | 52 |
Institutional Class | - | 24 |
Total | $ - | $ 206 |
Semiannual Report
10. Share Transactions.
Transactions for each class of shares were as follows:
Shares | Dollars | |||
Six months ended | Year ended | Six months ended | Year ended | |
Class A | ||||
Shares sold | 13,813 | 14,442 | $ 193,959 | $ 186,266 |
Reinvestment of distributions | - | 3 | - | 32 |
Shares redeemed | (1,511) | (1,138) | (21,164) | (14,313) |
Net increase (decrease) | 12,302 | 13,307 | $ 172,795 | $ 171,985 |
Class T | ||||
Shares sold | 25,691 | 19,345 | $ 359,109 | $ 246,887 |
Reinvestment of distributions | - | 5 | - | 59 |
Shares redeemed | (1,734) | (1,331) | (24,183) | (16,882) |
Net increase (decrease) | 23,957 | 18,019 | $ 334,926 | $ 230,064 |
Class B | ||||
Shares sold | 5,859 | 5,963 | $ 81,026 | $ 75,522 |
Reinvestment of distributions | - | 2 | - | 19 |
Shares redeemed | (661) | (415) | (9,133) | (5,241) |
Net increase (decrease) | 5,198 | 5,550 | $ 71,893 | $ 70,300 |
Class C | ||||
Shares sold | 16,591 | 14,235 | $ 229,969 | $ 180,974 |
Reinvestment of distributions | - | 3 | - | 35 |
Shares redeemed | (1,345) | (640) | (18,461) | (8,022) |
Net increase (decrease) | 15,246 | 13,598 | $ 211,508 | $ 172,987 |
Institutional Class | ||||
Shares sold | 5,632 | 6,867 | $ 79,086 | $ 87,943 |
Reinvestment of distributions | - | 1 | - | 11 |
Shares redeemed | (448) | (322) | (6,286) | (4,111) |
Net increase (decrease) | 5,184 | 6,546 | $ 72,800 | $ 83,843 |
Semiannual Report
Proxy Voting Results
A special meeting of the fund's shareholders was held on January 19, 2005. The results of votes taken among shareholders on proposals before them are reported below. Each vote reported represents one dollar of net asset value held on the record date for the meeting.
PROPOSAL 1 | ||
To amend the Declaration of Trust to allow the Board of Trustees, if permitted by applicable law, to authorize fund mergers without shareholder approval.* | ||
# of | % of | |
Affirmative | 16,233,274,660.19 | 68.528 |
Against | 5,296,799,647.67 | 22.362 |
Abstain | 882,603,665.94 | 3.725 |
Broker | 1,275,700,696.03 | 5.385 |
TOTAL | 23,688,378,669.83 | 100.000 |
PROPOSAL 2 | ||
To elect a Board of Trustees. * | ||
# of | % of | |
Laura B. Cronin | ||
Affirmative | 21,964,545,020.52 | 92.723 |
Withheld | 1,723,833,649.31 | 7.277 |
TOTAL | 23,688,378,669.83 | 100.000 |
Dennis J. Dirks | ||
Affirmative | 22,473,495,368.70 | 94.871 |
Withheld | 1,214,883,301.13 | 5.129 |
TOTAL | 23,688,378,669.83 | 100.000 |
Robert M. Gates | ||
Affirmative | 22,429,215,739.51 | 94.684 |
Withheld | 1,259,162,930.32 | 5.316 |
TOTAL | 23,688,378,669.83 | 100.000 |
George H. Heilmeier | ||
Affirmative | 22,427,222,693.12 | 94.676 |
Withheld | 1,261,155,976.71 | 5.324 |
TOTAL | 23,688,378,669.83 | 100.000 |
Abigail P. Johnson | ||
Affirmative | 22,344,921,447.52 | 94.329 |
Withheld | 1,343,457,222.31 | 5.671 |
TOTAL | 23,688,378,669.83 | 100.000 |
Edward C. Johnson 3d | ||
Affirmative | 22,331,899,258.73 | 94.274 |
Withheld | 1,356,479,411.10 | 5.726 |
TOTAL | 23,688,378,669.83 | 100.000 |
Marie L. Knowles | ||
Affirmative | 22,457,370,997.41 | 94.803 |
Withheld | 1,231,007,672.42 | 5.197 |
TOTAL | 23,688,378,669.83 | 100.000 |
Ned C. Lautenbach | ||
Affirmative | 22,461,566,287.67 | 94.821 |
Withheld | 1,226,812,382.16 | 5.179 |
TOTAL | 23,688,378,669.83 | 100.000 |
Marvin L. Mann | ||
Affirmative | 22,418,349,134.25 | 94.639 |
Withheld | 1,270,029,535.58 | 5.361 |
TOTAL | 23,688,378,669.83 | 100.000 |
William O. McCoy | ||
Affirmative | 22,421,999,778.88 | 94.654 |
Withheld | 1,266,378,890.95 | 5.346 |
TOTAL | 23,688,378,669.83 | 100.000 |
Robert L. Reynolds | ||
Affirmative | 22,450,709,253.08 | 94.775 |
Withheld | 1,237,669,416.75 | 5.225 |
TOTAL | 23,688,378,669.83 | 100.000 |
Cornelia M. Small | ||
Affirmative | 22,437,020,012.08 | 94.717 |
Withheld | 1,251,358,657.75 | 5.283 |
TOTAL | 23,688,378,669.83 | 100.000 |
William S. Stavropoulos | ||
Affirmative | 22,435,472,051.80 | 94.711 |
Withheld | 1,252,906,618.03 | 5.289 |
TOTAL | 23,688,378,669.83 | 100.000 |
Kenneth L. Wolfe | ||
Affirmative | 22,441,579,247.31 | 94.737 |
Withheld | 1,246,799,422.52 | 5.263 |
TOTAL | 23,688,378,669.83 | 100.000 |
* Denotes trust-wide proposals and voting results. |
Semiannual Report
Semiannual Report
Semiannual Report
Semiannual Report
Semiannual Report
Semiannual Report
Investment Adviser
Fidelity Management & Research Company
Boston, MA
Investment Sub-Adviser
FMR Co., Inc.
Fidelity Management & Research
(U.K.) Inc.
Fidelity Management & Research
(Far East) Inc.
Fidelity Investments Japan Limited
Fidelity International Investment Advisors
Fidelity International Investment
Advisors (U.K.) Limited
General Distributor
Fidelity Distributors Corporation
Boston, MA
Transfer and Service Agents
Fidelity Investments Institutional Operations Company, Inc.
Boston, MA
Fidelity Service Company, Inc.
Boston, MA
Custodian
Brown Brothers Harriman & Co.
Boston, MA
ANIF-USAN-0805
1.803541.101
(Fidelity Investment logo)(registered trademark)
Corporate Headquarters
82 Devonshire St., Boston, MA 02109
www.fidelity.com
(Fidelity Investment logo)(registered trademark)
Fidelity® Advisor
New Insights
Fund - Institutional Class
Semiannual Report
June 30, 2005
(2_fidelity_logos) (Registered_Trademark)
Contents
Chairman's Message | Ned Johnson's message to shareholders. | |
Shareholder Expense Example | An example of shareholder expenses. | |
Investment Changes | A summary of major shifts in the fund's investments over the past six months. | |
Investments | A complete list of the fund's investments with their market values. | |
Financial Statements | Statements of assets and liabilities, operations, and changes in net assets, | |
Notes | Notes to the financial statements. | |
Proxy Voting Results |
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at www.sec.gov. You may also call 1-877-208-0098 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 Corp. or an affiliated company.
This report and the financial statements contained herein are submitted for the general information of the shareholders of the fund. This report is not authorized for distribution to prospective investors in the fund unless preceded or accompanied by an effective prospectus.
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. For a complete list of a fund's portfolio holdings, view the most recent quarterly holdings report, semiannual report, or annual report on Fidelity's web site at http://www.advisor.fidelity.com.
NOT FDIC INSURED · MAY LOSE VALUE · NO BANK GUARANTEE
Neither the fund nor Fidelity Distributors Corporation is a bank.
Semiannual Report
Chairman's Message
(photo_of_Edward_C_Johnson_3d)
Dear Shareholder:
During the past year or so, much has been reported about the mutual fund industry, and much of it has been more critical than I believe is warranted. Allegations that some companies have been less than forthright with their shareholders have cast a shadow on the entire industry. I continue to find these reports disturbing, and assert that they do not create an accurate picture of the industry overall. Therefore, I would like to remind everyone where Fidelity stands on these issues. I will say two things specifically regarding allegations that some mutual fund companies were in violation of the Securities and Exchange Commission's forward pricing rules or were involved in so-called "market timing" activities.
First, Fidelity has no agreements that permit customers who buy fund shares after 4 p.m. to obtain the 4 p.m. price. This is not a new policy. This is not to say that someone could not deceive the company through fraudulent acts. However, we are extremely diligent in preventing fraud from occurring in this manner - and in every other. But I underscore again that Fidelity has no so-called "agreements" that sanction illegal practices.
Second, Fidelity continues to stand on record, as we have for years, in opposition to predatory short-term trading that adversely affects shareholders in a mutual fund. Back in the 1980s, we initiated a fee - which is returned to the fund and, therefore, to investors - to discourage this activity. Further, we took the lead several years ago in developing a Fair Value Pricing Policy to prevent market timing on foreign securities in our funds. I am confident we will find other ways to make it more difficult for predatory traders to operate. However, this will only be achieved through close cooperation among regulators, legislators and the industry.
Yes, there have been unfortunate instances of unethical and illegal activity within the mutual fund industry from time to time. That is true of any industry. When this occurs, confessed or convicted offenders should be dealt with appropriately. But we are still concerned about the risk of over-regulation and the quick application of simplistic solutions to intricate problems. Every system can be improved, and we support and applaud well thought out improvements by regulators, legislators and industry representatives that achieve the common goal of building and protecting the value of investors' holdings.
For nearly 60 years, Fidelity has worked very hard to improve its products and service to justify your trust. When our family founded this company in 1946, we had only a few hundred customers. Today, we serve more than 18 million customers including individual investors and participants in retirement plans across America.
Let me close by saying that we do not take your trust in us for granted, and we realize that we must always work to improve all aspects of our service to you. In turn, we urge you to continue your active participation with your financial matters, so that your interests can be well served.
Best regards,
/s/Edward C. Johnson 3d
Edward C. Johnson 3d
Semiannual Report
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and 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 (January 1, 2005 to June 30, 2005).
Actual Expenses
The first line of the table below for each class of the Fund 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 for a class of the Fund under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period.
Hypothetical Example for Comparison Purposes
The second line of the table below for each class of the Fund provides information about hypothetical account values and hypothetical expenses based on a Class' actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class' 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.
Semiannual Report
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. In addition, if these transactional costs were included, your costs would have been higher.
Beginning | Ending | Expenses Paid | |
Class A | |||
Actual | $ 1,000.00 | $ 1,042.90 | $ 6.03 |
Hypothetical A | $ 1,000.00 | $ 1,018.89 | $ 5.96 |
Class T | |||
Actual | $ 1,000.00 | $ 1,041.50 | $ 7.14 |
Hypothetical A | $ 1,000.00 | $ 1,017.80 | $ 7.05 |
Class B | |||
Actual | $ 1,000.00 | $ 1,039.00 | $ 10.11 |
Hypothetical A | $ 1,000.00 | $ 1,014.88 | $ 9.99 |
Class C | |||
Actual | $ 1,000.00 | $ 1,039.00 | $ 9.71 |
Hypothetical A | $ 1,000.00 | $ 1,015.27 | $ 9.59 |
Institutional Class | |||
Actual | $ 1,000.00 | $ 1,044.80 | $ 4.31 |
Hypothetical A | $ 1,000.00 | $ 1,020.58 | $ 4.26 |
A 5% return per year before expenses
* Expenses are equal to each Class' annualized expense ratio (shown in the table below); multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
Annualized | |
Class A | 1.19% |
Class T | 1.41% |
Class B | 2.00% |
Class C | 1.92% |
Institutional Class | .85% |
Semiannual Report
Investment Changes
Top Ten Stocks as of June 30, 2005 | ||
% of fund's | % of fund's net assets | |
Genentech, Inc. | 3.3 | 2.9 |
Google, Inc. Class A (sub. vtg.) | 3.0 | 1.9 |
EnCana Corp. | 2.4 | 1.3 |
Marvell Technology Group Ltd. | 2.3 | 3.7 |
America Movil SA de CV Series L sponsored ADR | 1.8 | 2.7 |
Yahoo!, Inc. | 1.6 | 2.6 |
Exxon Mobil Corp. | 1.6 | 0.7 |
Aetna, Inc. | 1.6 | 1.5 |
Berkshire Hathaway, Inc. Class A | 1.5 | 1.4 |
Roche Holding AG (participation certificate) | 1.5 | 1.7 |
20.6 | ||
Top Five Market Sectors as of June 30, 2005 | ||
% of fund's | % of fund's net assets | |
Information Technology | 16.6 | 23.6 |
Health Care | 15.1 | 11.6 |
Energy | 13.6 | 8.9 |
Financials | 11.7 | 8.3 |
Consumer Discretionary | 10.4 | 12.8 |
Asset Allocation (% of fund's net assets) | |||||||
As of June 30, 2005 * | As of December 31, 2004 ** | ||||||
![]() | Stocks 88.3% | ![]() | Stocks 92.2% | ||||
![]() | Bonds 1.3% | ![]() | Bonds 1.0% | ||||
![]() | Convertible | ![]() | Convertible | ||||
![]() | Short-Term | ![]() | Short-Term | ||||
* Foreign investments | 22.9% | ** Foreign investments | 27.6% |
Semiannual Report
Investments June 30, 2005 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 88.3% | ||||
Shares | Value (Note 1) | |||
CONSUMER DISCRETIONARY - 10.4% | ||||
Auto Components - 0.2% | ||||
Bridgestone Corp. (d) | 52,000 | $ 1,001 | ||
Midas, Inc. (a) | 100,000 | 2,300 | ||
3,301 | ||||
Automobiles - 0.2% | ||||
Honda Motor Co. Ltd. | 9,100 | 448 | ||
Toyota Motor Corp. | 95,100 | 3,399 | ||
3,847 | ||||
Distributors - 0.0% | ||||
Li & Fung Ltd. | 550,000 | 1,143 | ||
Diversified Consumer Services - 0.4% | ||||
Educate, Inc. | 22,800 | 323 | ||
Education Management Corp. (a) | 48,300 | 1,629 | ||
Laureate Education, Inc. (a) | 88,900 | 4,255 | ||
Regis Corp. | 17,800 | 696 | ||
Weight Watchers International, Inc. (a) | 22,500 | 1,161 | ||
8,064 | ||||
Hotels, Restaurants & Leisure - 4.1% | ||||
Ambassadors Group, Inc. | 13,019 | 484 | ||
Aristocrat Leisure Ltd. | 351,700 | 3,107 | ||
Boyd Gaming Corp. | 76,700 | 3,922 | ||
Choice Hotels International, Inc. | 2,600 | 171 | ||
Domino's Pizza, Inc. | 90,100 | 2,006 | ||
Four Seasons Hotels, Inc. (ltd. vtg.) (d) | 28,000 | 1,849 | ||
Gaming VC Holdings SA | 16,689 | 168 | ||
Hilton Group PLC | 150,470 | 772 | ||
Kerzner International Ltd. (a) | 14,000 | 797 | ||
Las Vegas Sands Corp. (d) | 83,200 | 2,974 | ||
Life Time Fitness, Inc. | 13,500 | 443 | ||
MGM MIRAGE (a) | 106,100 | 4,199 | ||
P.F. Chang's China Bistro, Inc. (a) | 62,100 | 3,663 | ||
Panera Bread Co. Class A (a) | 100,964 | 6,268 | ||
Papa John's International, Inc. (a) | 149,759 | 5,986 | ||
Penn National Gaming, Inc. (a) | 37,000 | 1,351 | ||
Red Robin Gourmet Burgers, Inc. (a) | 75,253 | 4,664 | ||
Shuffle Master, Inc. (a)(d) | 83,900 | 2,352 | ||
Starbucks Corp. (a) | 132,900 | 6,866 | ||
Station Casinos, Inc. | 324,000 | 21,514 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
CONSUMER DISCRETIONARY - continued | ||||
Hotels, Restaurants & Leisure - continued | ||||
Wendy's International, Inc. | 5,400 | $ 257 | ||
Wynn Resorts Ltd. (a)(d) | 139,000 | 6,571 | ||
80,384 | ||||
Household Durables - 1.0% | ||||
D.R. Horton, Inc. | 5,200 | 196 | ||
Fortune Brands, Inc. | 43,700 | 3,881 | ||
Fourlis Holdings SA (a) | 500,000 | 4,175 | ||
Hovnanian Enterprises, Inc. Class A (a) | 17,100 | 1,115 | ||
Jarden Corp. (a) | 9,600 | 518 | ||
KB Home | 38,800 | 2,958 | ||
Tempur-Pedic International, Inc. (a) | 214,400 | 4,755 | ||
Toll Brothers, Inc. (a) | 19,900 | 2,021 | ||
19,619 | ||||
Internet & Catalog Retail - 0.1% | ||||
Blue Nile, Inc. | 21,500 | 703 | ||
IAC/InterActiveCorp (a) | 43,300 | 1,041 | ||
1,744 | ||||
Media - 1.0% | ||||
Citadel Broadcasting Corp. (a) | 500 | 6 | ||
Getty Images, Inc. (a) | 34,900 | 2,592 | ||
Harte-Hanks, Inc. | 20,900 | 621 | ||
McGraw-Hill Companies, Inc. | 36,800 | 1,628 | ||
NTL, Inc. (a) | 22,200 | 1,519 | ||
Pixar (a) | 87,588 | 4,384 | ||
Rogers Communications, Inc. Class B (non-vtg.) | 55,900 | 1,834 | ||
SBS Broadcasting SA (a) | 30,500 | 1,437 | ||
Sirius Satellite Radio, Inc. (a)(d) | 639,100 | 4,141 | ||
XM Satellite Radio Holdings, Inc. Class A (a) | 50,500 | 1,700 | ||
19,862 | ||||
Multiline Retail - 0.6% | ||||
Dollar General Corp. | 25,700 | 523 | ||
Marks & Spencer Group PLC | 63,000 | 407 | ||
Nordstrom, Inc. | 23,500 | 1,597 | ||
Sears Holdings Corp. (a) | 16,800 | 2,518 | ||
Target Corp. | 129,400 | 7,041 | ||
12,086 | ||||
Specialty Retail - 2.0% | ||||
AC Moore Arts & Crafts, Inc. (a) | 28,700 | 907 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
CONSUMER DISCRETIONARY - continued | ||||
Specialty Retail - continued | ||||
American Eagle Outfitters, Inc. | 18,500 | $ 567 | ||
Bakers Footwear Group, Inc. (a) | 105,600 | 1,156 | ||
bebe Stores, Inc. | 131,775 | 3,488 | ||
Bed Bath & Beyond, Inc. (a) | 72,100 | 3,012 | ||
Best Buy Co., Inc. | 30,400 | 2,084 | ||
Build-A-Bear Workshop, Inc. (d) | 13,500 | 317 | ||
Chico's FAS, Inc. (a) | 248,600 | 8,522 | ||
DSW, Inc. Class A | 2,200 | 55 | ||
Guitar Center, Inc. (a) | 3,000 | 175 | ||
Hennes & Mauritz AB (H&M) (B Shares) | 58,100 | 2,047 | ||
Inditex SA | 9,700 | 250 | ||
Office Depot, Inc. (a) | 40,400 | 923 | ||
Signet Group PLC | 86,648 | 169 | ||
Staples, Inc. | 210,100 | 4,479 | ||
The Children's Place Retail Stores, Inc. (a) | 29,800 | 1,391 | ||
TJX Companies, Inc. | 73,600 | 1,792 | ||
Urban Outfitters, Inc. (a) | 127,200 | 7,211 | ||
Wet Seal, Inc. Class A (a)(d) | 300,000 | 2,036 | ||
Zumiez, Inc. | 800 | 23 | ||
40,604 | ||||
Textiles, Apparel & Luxury Goods - 0.8% | ||||
Carter's, Inc. (a) | 3,300 | 193 | ||
Coach, Inc. (a) | 319,700 | 10,732 | ||
Hartmarx Corp. (a) | 299,500 | 3,016 | ||
Phillips-Van Heusen Corp. | 10,500 | 343 | ||
Polo Ralph Lauren Corp. Class A | 18,600 | 802 | ||
Volcom, Inc. | 1,700 | 46 | ||
15,132 | ||||
TOTAL CONSUMER DISCRETIONARY | 205,786 | |||
CONSUMER STAPLES - 4.9% | ||||
Beverages - 1.2% | ||||
Corby Distilleries Ltd. Class A | 20,000 | 1,159 | ||
Diageo PLC sponsored ADR | 40,300 | 2,390 | ||
Hansen Natural Corp. (a)(d) | 156,100 | 13,225 | ||
Jones Soda Co. (a) | 310,890 | 1,865 | ||
PepsiCo, Inc. | 93,700 | 5,053 | ||
23,692 | ||||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
CONSUMER STAPLES - continued | ||||
Food & Staples Retailing - 1.4% | ||||
Tesco PLC | 191,885 | $ 1,096 | ||
United Natural Foods, Inc. (a) | 38,200 | 1,160 | ||
Wal-Mart de Mexico SA de CV Series V | 174,739 | 710 | ||
Walgreen Co. | 363,400 | 16,713 | ||
Whole Foods Market, Inc. | 67,785 | 8,019 | ||
27,698 | ||||
Food Products - 1.0% | ||||
Hershey Co. | 68,200 | 4,235 | ||
Kellogg Co. | 37,100 | 1,649 | ||
Lindt & Spruengli AG | 93 | 1,425 | ||
Nestle SA (Reg.) | 9,090 | 2,326 | ||
TreeHouse Foods, Inc. (a) | 132,100 | 3,766 | ||
Wm. Wrigley Jr. Co. | 76,200 | 5,246 | ||
18,647 | ||||
Household Products - 0.6% | ||||
Procter & Gamble Co. | 219,300 | 11,568 | ||
Personal Products - 0.7% | ||||
Avon Products, Inc. | 227,200 | 8,600 | ||
Gillette Co. | 115,200 | 5,833 | ||
Herbalife Ltd. | 9,100 | 197 | ||
14,630 | ||||
TOTAL CONSUMER STAPLES | 96,235 | |||
ENERGY - 13.6% | ||||
Energy Equipment & Services - 0.7% | ||||
Halliburton Co. | 75,900 | 3,630 | ||
Schlumberger Ltd. (NY Shares) | 145,200 | 11,026 | ||
Smith International, Inc. | 3,592 | 229 | ||
Tenaris SA sponsored ADR | 1,300 | 102 | ||
14,987 | ||||
Oil, Gas & Consumable Fuels - 12.9% | ||||
Apache Corp. | 48,000 | 3,101 | ||
Arch Coal, Inc. | 25,000 | 1,362 | ||
BG Group PLC sponsored ADR | 23,000 | 957 | ||
Bill Barrett Corp. | 43,100 | 1,275 | ||
Blackrock Ventures, Inc. (a) | 379,500 | 3,054 | ||
BP PLC sponsored ADR | 246,200 | 15,358 | ||
Burlington Resources, Inc. | 166,900 | 9,220 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
ENERGY - continued | ||||
Oil, Gas & Consumable Fuels - continued | ||||
Cairn Energy PLC (a) | 25,300 | $ 611 | ||
China Petroleum & Chemical Corp. sponsored ADR | 22,000 | 858 | ||
CONSOL Energy, Inc. | 121,900 | 6,531 | ||
Devon Energy Corp. | 121,500 | 6,158 | ||
EnCana Corp. | 1,206,200 | 47,581 | ||
Encore Acquisition Co. (a) | 70,892 | 2,907 | ||
Energy Partners Ltd. (a) | 7,400 | 194 | ||
ENI Spa sponsored ADR | 12,300 | 1,577 | ||
EOG Resources, Inc. | 252,100 | 14,319 | ||
Exxon Mobil Corp. | 536,800 | 30,850 | ||
Forest Oil Corp. (a) | 10,400 | 437 | ||
Imperial Oil Ltd. | 28,100 | 2,340 | ||
Kick Energy Corp. (a) | 846,900 | 6,117 | ||
McMoRan Exploration Co. (a)(d) | 25,400 | 496 | ||
Murphy Oil Corp. | 365,000 | 19,064 | ||
Newfield Exploration Co. (a) | 60,000 | 2,393 | ||
Noble Energy, Inc. | 43,858 | 3,318 | ||
Peabody Energy Corp. | 70,100 | 3,648 | ||
PetroChina Co. Ltd. sponsored ADR (d) | 96,800 | 7,110 | ||
Plains Exploration & Production Co. (a) | 19,900 | 707 | ||
Premcor, Inc. | 134,500 | 9,977 | ||
Quicksilver Resources, Inc. (a) | 140,000 | 8,950 | ||
Range Resources Corp. | 39,000 | 1,049 | ||
Sasol Ltd. | 56,900 | 1,547 | ||
Talisman Energy, Inc. | 91,100 | 3,413 | ||
Total SA sponsored ADR | 84,900 | 9,921 | ||
Ultra Petroleum Corp. (a) | 84,000 | 2,550 | ||
Valero Energy Corp. | 226,800 | 17,942 | ||
XTO Energy, Inc. | 203,700 | 6,924 | ||
253,816 | ||||
TOTAL ENERGY | 268,803 | |||
FINANCIALS - 11.7% | ||||
Capital Markets - 1.5% | ||||
Charles Schwab Corp. | 522,700 | 5,896 | ||
Goldman Sachs Group, Inc. | 70,500 | 7,192 | ||
Greenhill & Co., Inc. | 4,900 | 198 | ||
Janus Capital Group, Inc. | 69,600 | 1,047 | ||
Lazard Ltd. Class A | 19,400 | 451 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
FINANCIALS - continued | ||||
Capital Markets - continued | ||||
Legg Mason, Inc. | 42,200 | $ 4,393 | ||
Lehman Brothers Holdings, Inc. | 97,600 | 9,690 | ||
Morgan Stanley | 7,400 | 388 | ||
29,255 | ||||
Commercial Banks - 1.2% | ||||
Allied Irish Banks PLC | 100,900 | 2,167 | ||
Bank of the Ozarks, Inc. | 39,100 | 1,284 | ||
Center Financial Corp., California | 50,000 | 1,242 | ||
HDFC Bank Ltd. | 41,500 | 607 | ||
HSBC Holdings PLC sponsored ADR | 14,302 | 1,139 | ||
M&T Bank Corp. | 104,600 | 11,000 | ||
Marshall & Ilsley Corp. | 28,700 | 1,276 | ||
Wells Fargo & Co. | 69,200 | 4,261 | ||
Westcorp | 8,500 | 446 | ||
23,422 | ||||
Consumer Finance - 1.0% | ||||
American Express Co. | 209,800 | 11,168 | ||
SLM Corp. | 147,100 | 7,473 | ||
18,641 | ||||
Diversified Financial Services - 0.5% | ||||
Archipelago Holdings, Inc. | 24,600 | 957 | ||
Brascan Corp. Class A (ltd. vtg.) | 15,350 | 586 | ||
Chicago Mercantile Exchange Holdings, Inc. Class A | 6,900 | 2,039 | ||
Moody's Corp. | 146,600 | 6,591 | ||
10,173 | ||||
Insurance - 5.8% | ||||
ACE Ltd. | 17,800 | 798 | ||
AFLAC, Inc. | 43,900 | 1,900 | ||
Allstate Corp. | 395,700 | 23,643 | ||
American International Group, Inc. | 129,400 | 7,518 | ||
Assurant, Inc. | 123,700 | 4,466 | ||
Berkshire Hathaway, Inc. Class A (a) | 342 | 28,557 | ||
Everest Re Group Ltd. | 59,400 | 5,524 | ||
Fidelity National Financial, Inc. | 16,700 | 596 | ||
Genworth Financial, Inc. Class A (non-vtg.) | 58,600 | 1,771 | ||
Markel Corp. (a) | 2,000 | 678 | ||
Mercury General Corp. | 17,600 | 960 | ||
MetLife, Inc. | 289,400 | 13,006 | ||
MetLife, Inc. unit | 80,000 | 2,098 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
FINANCIALS - continued | ||||
Insurance - continued | ||||
Montpelier Re Holdings Ltd. | 9,700 | $ 335 | ||
PartnerRe Ltd. | 20,800 | 1,340 | ||
Platinum Underwriters Holdings Ltd. | 41,300 | 1,314 | ||
ProAssurance Corp. (a) | 5,000 | 209 | ||
Progressive Corp. | 42,000 | 4,150 | ||
Prudential Financial, Inc. | 87,100 | 5,719 | ||
RenaissanceRe Holdings Ltd. | 47,100 | 2,319 | ||
The Chubb Corp. | 56,500 | 4,837 | ||
W.R. Berkley Corp. | 51,574 | 1,840 | ||
White Mountains Insurance Group Ltd. | 1,305 | 823 | ||
114,401 | ||||
Real Estate - 1.0% | ||||
CB Richard Ellis Group, Inc. Class A | 88,600 | 3,886 | ||
CBL & Associates Properties, Inc. | 33,000 | 1,421 | ||
Crescent Real Estate Equities Co. | 27,200 | 510 | ||
Equity Office Properties Trust | 72,800 | 2,410 | ||
Equity Residential (SBI) | 18,600 | 685 | ||
General Growth Properties, Inc. | 63,300 | 2,601 | ||
Global Signal, Inc. | 69,900 | 2,632 | ||
KKR Financial Corp. | 6,200 | 155 | ||
Vornado Realty Trust | 62,200 | 5,001 | ||
19,301 | ||||
Thrifts & Mortgage Finance - 0.7% | ||||
Golden West Financial Corp., Delaware | 214,200 | 13,790 | ||
Hudson City Bancorp, Inc. | 75,000 | 856 | ||
14,646 | ||||
TOTAL FINANCIALS | 229,839 | |||
HEALTH CARE - 15.1% | ||||
Biotechnology - 4.2% | ||||
Affymetrix, Inc. (a) | 39,200 | 2,114 | ||
Amgen, Inc. (a) | 34,300 | 2,074 | ||
Celgene Corp. (a) | 41,200 | 1,680 | ||
Genentech, Inc. (a) | 809,000 | 64,937 | ||
Gilead Sciences, Inc. (a) | 155,100 | 6,823 | ||
GTx, Inc. (a)(d) | 25,000 | 249 | ||
Idenix Pharmaceuticals, Inc. (d) | 39,200 | 850 | ||
Invitrogen Corp. (a) | 6,400 | 533 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
HEALTH CARE - continued | ||||
Biotechnology - continued | ||||
MannKind Corp. (d) | 58,100 | $ 584 | ||
Protein Design Labs, Inc. (a) | 100 | 2 | ||
Seattle Genetics, Inc. (a) | 25,800 | 138 | ||
Techne Corp. (a) | 24,100 | 1,106 | ||
ViaCell, Inc. | 87,800 | 935 | ||
82,025 | ||||
Health Care Equipment & Supplies - 4.1% | ||||
Alcon, Inc. | 88,200 | 9,645 | ||
American Medical Systems Holdings, Inc. (a) | 7,400 | 153 | ||
Aspect Medical Systems, Inc. (a) | 7,300 | 217 | ||
Bausch & Lomb, Inc. | 7,200 | 598 | ||
C.R. Bard, Inc. | 53,000 | 3,525 | ||
DENTSPLY International, Inc. | 157,400 | 8,500 | ||
DJ Orthopedics, Inc. (a) | 111,400 | 3,056 | ||
Fisher Scientific International, Inc. (a) | 31,604 | 2,051 | ||
Foxhollow Technologies, Inc. (d) | 27,400 | 1,049 | ||
Gen-Probe, Inc. (a) | 69,100 | 2,503 | ||
Immucor, Inc. (a) | 4,900 | 142 | ||
IntraLase Corp. | 41,800 | 820 | ||
Intuitive Surgical, Inc. (a) | 101,700 | 4,743 | ||
IRIS International, Inc. (a) | 477,500 | 8,500 | ||
Kinetic Concepts, Inc. (a) | 43,800 | 2,628 | ||
Kyphon, Inc. (a) | 15,000 | 522 | ||
Laserscope, Inc. (a) | 14,700 | 609 | ||
Medtronic, Inc. | 239,600 | 12,409 | ||
Mentor Corp. | 35,800 | 1,485 | ||
Neurometrix, Inc. | 5,400 | 108 | ||
Nobel Biocare Holding AG (Switzerland) | 17,856 | 3,622 | ||
NuVasive, Inc. | 58,900 | 979 | ||
St. Jude Medical, Inc. (a) | 122,000 | 5,320 | ||
Syneron Medical Ltd. | 25,200 | 922 | ||
Synthes, Inc. | 47,565 | 5,222 | ||
Ventana Medical Systems, Inc. (a) | 42,500 | 1,710 | ||
81,038 | ||||
Health Care Providers & Services - 3.9% | ||||
Advisory Board Co. (a) | 8,500 | 414 | ||
Aetna, Inc. | 366,500 | 30,354 | ||
American Healthways, Inc. (a) | 89,300 | 3,775 | ||
Caremark Rx, Inc. (a) | 84,500 | 3,762 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
HEALTH CARE - continued | ||||
Health Care Providers & Services - continued | ||||
Express Scripts, Inc. (a) | 11,200 | $ 560 | ||
HCA, Inc. | 34,100 | 1,932 | ||
Health Net, Inc. (a) | 46,700 | 1,782 | ||
Matria Healthcare, Inc. (a) | 19,700 | 635 | ||
Merge Technologies, Inc. (a) | 17,300 | 324 | ||
Molina Healthcare, Inc. (a) | 1,700 | 75 | ||
Patterson Companies, Inc. (a) | 166,200 | 7,492 | ||
UnitedHealth Group, Inc. | 409,300 | 21,341 | ||
VCA Antech, Inc. (a) | 15,200 | 369 | ||
WebMD Corp. (a) | 9,200 | 94 | ||
WellPoint, Inc. (a) | 53,900 | 3,754 | ||
76,663 | ||||
Pharmaceuticals - 2.9% | ||||
Abbott Laboratories | 30,500 | 1,495 | ||
American Pharmaceutical Partners, Inc. (a) | 13,700 | 565 | ||
Barr Pharmaceuticals, Inc. (a) | 4,000 | 195 | ||
Cypress Bioscience, Inc. (a) | 11,800 | 156 | ||
IVAX Corp. (a) | 35,000 | 753 | ||
Johnson & Johnson | 130,100 | 8,457 | ||
Kos Pharmaceuticals, Inc. (a) | 7,000 | 459 | ||
Novartis AG sponsored ADR | 121,600 | 5,769 | ||
Roche Holding AG (participation certificate) | 225,506 | 28,539 | ||
Sanofi-Aventis sponsored ADR | 68,900 | 2,824 | ||
Schering-Plough Corp. | 346,300 | 6,600 | ||
Sepracor, Inc. (a) | 7,700 | 462 | ||
Shire Pharmaceuticals Group PLC sponsored ADR | 900 | 30 | ||
Teva Pharmaceutical Industries Ltd. sponsored ADR | 39,100 | 1,218 | ||
57,522 | ||||
TOTAL HEALTH CARE | 297,248 | |||
INDUSTRIALS - 5.3% | ||||
Aerospace & Defense - 0.1% | ||||
Rockwell Collins, Inc. | 15,900 | 758 | ||
United Technologies Corp. | 38,000 | 1,951 | ||
2,709 | ||||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
INDUSTRIALS - continued | ||||
Air Freight & Logistics - 0.3% | ||||
C.H. Robinson Worldwide, Inc. | 97,600 | $ 5,680 | ||
EGL, Inc. (a) | 9,600 | 195 | ||
5,875 | ||||
Airlines - 0.3% | ||||
Ryanair Holdings PLC sponsored ADR (a) | 141,100 | 6,327 | ||
Southwest Airlines Co. | 22,100 | 308 | ||
6,635 | ||||
Commercial Services & Supplies - 0.3% | ||||
Aramark Corp. Class B | 28,200 | 744 | ||
Corporate Executive Board Co. | 3,400 | 266 | ||
Equifax, Inc. | 27,800 | 993 | ||
PeopleSupport, Inc. | 5,200 | 47 | ||
PHH Corp. (a) | 6,570 | 169 | ||
Resources Connection, Inc. (a) | 98,500 | 2,288 | ||
Robert Half International, Inc. | 33,200 | 829 | ||
Services Acquisition Corp. International unit (a) | 4,600 | 37 | ||
5,373 | ||||
Construction & Engineering - 0.2% | ||||
Jacobs Engineering Group, Inc. (a) | 52,600 | 2,959 | ||
URS Corp. (a) | 19,400 | 725 | ||
3,684 | ||||
Electrical Equipment - 1.0% | ||||
American Power Conversion Corp. | 256,800 | 6,058 | ||
Cooper Industries Ltd. Class A | 138,000 | 8,818 | ||
Evergreen Solar, Inc. (a) | 9,600 | 62 | ||
Motech Industries, Inc. | 145,000 | 2,055 | ||
SolarWorld AG | 25,600 | 2,246 | ||
Ultralife Batteries, Inc. (a) | 53,100 | 858 | ||
20,097 | ||||
Industrial Conglomerates - 0.3% | ||||
Carlisle Companies, Inc. | 17,600 | 1,208 | ||
General Electric Co. | 40,600 | 1,407 | ||
Hutchison Whampoa Ltd. | 257,000 | 2,323 | ||
Siemens AG sponsored ADR | 10,500 | 763 | ||
5,701 | ||||
Machinery - 2.3% | ||||
A.S.V., Inc. (a) | 26,500 | 1,074 | ||
Bucyrus International, Inc. Class A | 15,600 | 592 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
INDUSTRIALS - continued | ||||
Machinery - continued | ||||
Caterpillar, Inc. | 48,700 | $ 4,642 | ||
Cummins, Inc. | 31,200 | 2,328 | ||
Danaher Corp. | 357,400 | 18,706 | ||
IDEX Corp. | 3,700 | 143 | ||
Joy Global, Inc. | 72,850 | 2,447 | ||
PACCAR, Inc. | 183,350 | 12,468 | ||
Volvo AB sponsored ADR | 66,900 | 2,713 | ||
45,113 | ||||
Road & Rail - 0.4% | ||||
Canadian National Railway Co. | 67,800 | 3,911 | ||
Heartland Express, Inc. | 4,050 | 79 | ||
Knight Transportation, Inc. | 26,620 | 648 | ||
Landstar System, Inc. (a) | 78,500 | 2,364 | ||
7,002 | ||||
Trading Companies & Distributors - 0.1% | ||||
Fastenal Co. | 9,600 | 588 | ||
Mitsui & Co. Ltd. | 81,000 | 767 | ||
1,355 | ||||
TOTAL INDUSTRIALS | 103,544 | |||
INFORMATION TECHNOLOGY - 16.6% | ||||
Communications Equipment - 1.2% | ||||
Comverse Technology, Inc. (a) | 120,100 | 2,840 | ||
Corning, Inc. (a) | 163,900 | 2,724 | ||
ECI Telecom Ltd. (a) | 89,600 | 744 | ||
Foxconn International Holdings Ltd. | 478,000 | 357 | ||
Harris Corp. | 39,600 | 1,236 | ||
Ixia (a) | 513,500 | 9,982 | ||
Motorola, Inc. | 19,400 | 354 | ||
Nokia Corp. sponsored ADR | 272,000 | 4,526 | ||
TomTom Group BV | 37,600 | 825 | ||
23,588 | ||||
Computers & Peripherals - 3.0% | ||||
Apple Computer, Inc. (a) | 541,200 | 19,922 | ||
Dell, Inc. (a) | 101,100 | 3,994 | ||
EMC Corp. (a) | 224,900 | 3,083 | ||
Hewlett-Packard Co. | 837,700 | 19,694 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
INFORMATION TECHNOLOGY - continued | ||||
Computers & Peripherals - continued | ||||
Logitech International SA sponsored ADR (a) | 4,000 | $ 255 | ||
Network Appliance, Inc. (a) | 393,100 | 11,113 | ||
58,061 | ||||
Electronic Equipment & Instruments - 0.6% | ||||
Amphenol Corp. Class A | 40,400 | 1,623 | ||
Cogent, Inc. | 35,500 | 1,014 | ||
FARO Technologies, Inc. (a) | 31,800 | 867 | ||
FLIR Systems, Inc. (a) | 122,382 | 3,652 | ||
Hon Hai Precision Industries Co. Ltd. | 775,049 | 4,025 | ||
Nidec Corp. | 3,900 | 413 | ||
Trimble Navigation Ltd. (a) | 19,600 | 764 | ||
12,358 | ||||
Internet Software & Services - 5.1% | ||||
aQuantive, Inc. (a) | 20,100 | 356 | ||
Equinix, Inc. (a) | 2,700 | 117 | ||
Google, Inc. Class A (sub. vtg.) | 200,300 | 58,918 | ||
Marchex, Inc. Class B (a)(d) | 53,900 | 811 | ||
Openwave Systems, Inc. (a) | 43,400 | 712 | ||
VeriSign, Inc. (a) | 36,800 | 1,058 | ||
Websense, Inc. (a) | 24,343 | 1,170 | ||
WebSideStory, Inc. | 350,000 | 5,131 | ||
Yahoo!, Inc. (a) | 925,300 | 32,062 | ||
100,335 | ||||
IT Services - 2.0% | ||||
Alliance Data Systems Corp. (a) | 43,200 | 1,752 | ||
Cognizant Technology Solutions Corp. Class A (a) | 141,414 | 6,665 | ||
Fiserv, Inc. (a) | 78,000 | 3,350 | ||
Global Payments, Inc. | 6,900 | 468 | ||
Infosys Technologies Ltd. sponsored ADR | 202,800 | 15,711 | ||
Ness Technologies, Inc. | 115,700 | 1,229 | ||
SRA International, Inc. Class A (a) | 187,400 | 6,507 | ||
TALX Corp. | 135,000 | 3,903 | ||
VeriFone Holdings, Inc. | 16,200 | 263 | ||
Wright Express Corp. | 15,000 | 277 | ||
40,125 | ||||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
INFORMATION TECHNOLOGY - continued | ||||
Office Electronics - 0.1% | ||||
Canon, Inc. | 9,300 | $ 489 | ||
Zebra Technologies Corp. Class A (a) | 11,000 | 482 | ||
971 | ||||
Semiconductors & Semiconductor Equipment - 3.3% | ||||
Broadcom Corp. Class A (a) | 64,000 | 2,273 | ||
FormFactor, Inc. (a) | 19,700 | 520 | ||
International Rectifier Corp. (a) | 7,500 | 358 | ||
Lam Research Corp. (a) | 23,600 | 683 | ||
Marvell Technology Group Ltd. (a) | 1,186,900 | 45,150 | ||
Microchip Technology, Inc. | 14,700 | 435 | ||
O2Micro International Ltd. (a) | 3,000 | 42 | ||
Samsung Electronics Co. Ltd. | 30,406 | 14,520 | ||
SigmaTel, Inc. (a) | 19,100 | 328 | ||
Tessera Technologies, Inc. (a) | 30,500 | 1,019 | ||
Volterra Semiconductor Corp. | 22,400 | 334 | ||
65,662 | ||||
Software - 1.3% | ||||
Activision, Inc. (a) | 317,966 | 5,253 | ||
Adobe Systems, Inc. | 153,806 | 4,402 | ||
Altiris, Inc. (a) | 61,900 | 909 | ||
Autodesk, Inc. | 68,300 | 2,347 | ||
Blackboard, Inc. | 3,200 | 77 | ||
Check Point Software Technologies Ltd. (a) | 5,600 | 111 | ||
Cognos, Inc. (a) | 59,200 | 2,022 | ||
FileNET Corp. (a) | 53,300 | 1,340 | ||
JAMDAT Mobile, Inc. | 54,100 | 1,497 | ||
Kronos, Inc. (a) | 7,052 | 285 | ||
McAfee, Inc. (a) | 22,500 | 589 | ||
MICROS Systems, Inc. (a) | 11,500 | 515 | ||
Microsoft Corp. | 17,000 | 422 | ||
NAVTEQ Corp. | 93,000 | 3,458 | ||
NDS Group PLC sponsored ADR (a) | 16,200 | 540 | ||
Quality Systems, Inc. (d) | 12,258 | 581 | ||
Salesforce.com, Inc. | 13,000 | 266 | ||
SAP AG sponsored ADR | 7,900 | 342 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
INFORMATION TECHNOLOGY - continued | ||||
Software - continued | ||||
Take-Two Interactive Software, Inc. (a) | 30,000 | $ 764 | ||
THQ, Inc. (a) | 4,100 | 120 | ||
25,840 | ||||
TOTAL INFORMATION TECHNOLOGY | 326,940 | |||
MATERIALS - 6.3% | ||||
Chemicals - 1.2% | ||||
Bayer AG | 38,500 | 1,281 | ||
Crompton Corp. | 132,100 | 1,869 | ||
Dow Chemical Co. | 54,000 | 2,405 | ||
Great Lakes Chemical Corp. | 52,100 | 1,640 | ||
Monsanto Co. | 2,900 | 182 | ||
Nalco Holding Co. | 72,500 | 1,423 | ||
Potash Corp. of Saskatchewan | 19,800 | 1,890 | ||
Praxair, Inc. | 240,800 | 11,221 | ||
Rohm & Haas Co. | 20,200 | 936 | ||
Westlake Chemical Corp. | 19,200 | 470 | ||
23,317 | ||||
Construction Materials - 0.4% | ||||
Cemex SA de CV sponsored ADR | 4,480 | 190 | ||
Eagle Materials, Inc. | 21,100 | 1,954 | ||
Florida Rock Industries, Inc. | 14,100 | 1,034 | ||
Headwaters, Inc. (a) | 5,300 | 182 | ||
Lafarge North America, Inc. | 5,800 | 362 | ||
Lafarge SA (Bearer) | 10,600 | 967 | ||
Martin Marietta Materials, Inc. | 2,000 | 138 | ||
Rinker Group Ltd. | 201,181 | 2,145 | ||
6,972 | ||||
Containers & Packaging - 0.3% | ||||
Owens-Illinois, Inc. (a) | 242,900 | 6,085 | ||
Metals & Mining - 4.4% | ||||
Aber Diamond Corp. | 11,600 | 355 | ||
African Platinum PLC (a) | 170,613 | 68 | ||
Alamos Gold, Inc. (a) | 1,010,000 | 3,462 | ||
Anglo American PLC ADR | 160,900 | 3,781 | ||
Bema Gold Corp. (a) | 491,100 | 1,166 | ||
BHP Billiton Ltd. sponsored ADR | 462,900 | 12,637 | ||
Carpenter Technology Corp. | 40,200 | 2,082 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
MATERIALS - continued | ||||
Metals & Mining - continued | ||||
Companhia Vale do Rio Doce sponsored ADR | 100,400 | $ 2,940 | ||
Compass Minerals International, Inc. | 49,900 | 1,168 | ||
Eldorado Gold Corp. (a) | 215,200 | 571 | ||
First Quantum Minerals Ltd. | 156,800 | 2,766 | ||
Gabriel Resources Ltd. (a) | 157,300 | 203 | ||
Gerdau SA sponsored ADR | 91,800 | 893 | ||
Glamis Gold Ltd. (a) | 328,400 | 5,623 | ||
Goldcorp, Inc. | 600,375 | 9,551 | ||
IPSCO, Inc. | 92,800 | 4,046 | ||
Ivanhoe Mines Ltd. (a) | 462,800 | 3,596 | ||
Lionore Mining International Ltd. (a) | 218,500 | 1,122 | ||
Minefinders Corp. Ltd. (a) | 162,300 | 755 | ||
Newmont Mining Corp. | 367,500 | 14,344 | ||
Nucor Corp. | 64,100 | 2,924 | ||
POSCO sponsored ADR | 111,500 | 4,903 | ||
Rio Tinto PLC (Reg.) | 141,300 | 4,307 | ||
Shore Gold, Inc. (a) | 15,100 | 60 | ||
Teck Cominco Ltd. Class B (sub. vtg.) | 84,500 | 2,851 | ||
Xstrata PLC | 58,700 | 1,133 | ||
87,307 | ||||
TOTAL MATERIALS | 123,681 | |||
TELECOMMUNICATION SERVICES - 3.6% | ||||
Diversified Telecommunication Services - 0.2% | ||||
Telewest Global, Inc. (a) | 151,415 | 3,449 | ||
Wireless Telecommunication Services - 3.4% | ||||
America Movil SA de CV Series L sponsored ADR | 591,500 | 35,259 | ||
American Tower Corp. Class A (a) | 48,300 | 1,015 | ||
Nextel Partners, Inc. Class A (a) | 551,978 | 13,893 | ||
NII Holdings, Inc. (a) | 241,300 | 15,429 | ||
SpectraSite, Inc. (a) | 15,700 | 1,169 | ||
Vodafone Group PLC sponsored ADR | 16,100 | 392 | ||
Western Wireless Corp. Class A (a) | 19,500 | 825 | ||
67,982 | ||||
TOTAL TELECOMMUNICATION SERVICES | 71,431 | |||
Common Stocks - continued | ||||
Shares | Value (Note 1) | |||
UTILITIES - 0.8% | ||||
Electric Utilities - 0.2% | ||||
Entergy Corp. | 19,600 | $ 1,481 | ||
Exelon Corp. | 34,800 | 1,786 | ||
PG&E Corp. | 18,300 | 687 | ||
3,954 | ||||
Gas Utilities - 0.3% | ||||
Questar Corp. | 30,300 | 1,997 | ||
Southern Union Co. | 183,500 | 4,505 | ||
6,502 | ||||
Independent Power Producers & Energy Traders - 0.2% | ||||
AES Corp. (a) | 97,600 | 1,599 | ||
TXU Corp. | 36,600 | 3,041 | ||
4,640 | ||||
Multi-Utilities - 0.1% | ||||
Public Service Enterprise Group, Inc. | 19,200 | 1,168 | ||
TOTAL UTILITIES | 16,264 | |||
TOTAL COMMON STOCKS (Cost $1,521,792) | 1,739,771 | |||
Corporate Bonds - 0.1% | ||||
Principal Amount (000s)(g) | ||||
Convertible Bonds - 0.1% | ||||
HEALTH CARE - 0.0% | ||||
Biotechnology - 0.0% | ||||
Protein Design Labs, Inc. 2% 2/15/12 (e) | $ 300 | 320 | ||
INDUSTRIALS - 0.1% | ||||
Industrial Conglomerates - 0.1% | ||||
Tyco International Group SA yankee 3.125% 1/15/23 | 250 | 345 | ||
UTILITIES - 0.0% | ||||
Independent Power Producers & Energy Traders - 0.0% | ||||
AES Corp. 4.5% 8/15/05 | 180 | 180 | ||
TOTAL CONVERTIBLE BONDS | 845 |
Corporate Bonds - continued | ||||
Principal Amount (000s)(g) | Value (Note 1) | |||
Nonconvertible Bonds - 0.0% | ||||
TELECOMMUNICATION SERVICES - 0.0% | ||||
Diversified Telecommunication Services - 0.0% | ||||
Cable & Wireless International Finance 8.625% 3/25/19 | GBP | $ 240 | $ 465 | |
TOTAL CORPORATE BONDS (Cost $1,331) | 1,310 | |||
U.S. Treasury Obligations - 1.3% | ||||
U.S. Treasury Bonds 5.375% 2/15/31 | 10,900 | 12,862 | ||
U.S. Treasury Notes: | ||||
4.25% 8/15/13 | 2,210 | 2,265 | ||
4.25% 11/15/13 | 2,250 | 2,305 | ||
4.25% 8/15/14 | 2,600 | 2,662 | ||
4.75% 5/15/14 | 4,700 | 4,987 | ||
TOTAL U.S. TREASURY OBLIGATIONS (Cost $24,006) | 25,081 | |||
Floating Rate Loans - 0.0% | ||||
CONSUMER DISCRETIONARY - 0.0% | ||||
Media - 0.0% | ||||
Charter Communications Operating LLC Tranche B, term loan 6.44% 4/7/11 (f) | 825 | 818 | ||
TOTAL FLOATING RATE LOANS (Cost $811) | 818 | |||
Money Market Funds - 14.7% | ||||
Shares | ||||
Fidelity Cash Central Fund, 3.21% (b) | 244,718,525 | 244,719 | ||
Fidelity Securities Lending Cash Central Fund, 3.23% (b)(c) | 44,130,863 | 44,131 | ||
TOTAL MONEY MARKET FUNDS (Cost $288,850) | 288,850 | |||
Cash Equivalents - 0.1% | ||||
Maturity Amount (000s) | Value (Note 1) | |||
Investments in repurchase agreements (Collateralized by U.S. Treasury Obligations, in a joint trading account at 2.91%, dated 6/30/05 due 7/1/05) | 2,630 | $ 2,630 | ||
TOTAL INVESTMENT PORTFOLIO - 104.5% (Cost $1,839,420) | 2,058,460 | |||
NET OTHER ASSETS - (4.5)% | (87,960) | |||
NET ASSETS - 100% | $ 1,970,500 |
Currency Abbreviations | ||
GBP | - | British pound |
Legend |
(a) Non-income producing |
(b) Affiliated fund that is 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 listing of the fund's holdings as of its most recent quarter end is available upon request. |
(c) Investment made with cash collateral received from securities on loan. |
(d) Security or a portion of the security is on loan at period end. |
(e) 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 period end, the value of these securities amounted to $320,000 or 0.0% of net assets. |
(f) The coupon rate shown on floating or adjustable rate securities represents the rate at period end. |
(g) Principal amount is stated in United States dollars unless otherwise noted. |
Other Information |
Distribution of investments by country of issue, as a percentage of total net assets, is as follows: |
United States of America | 77.1% |
Canada | 5.8% |
Bermuda | 3.4% |
Switzerland | 2.7% |
Mexico | 1.8% |
United Kingdom | 1.5% |
Korea (South) | 1.1% |
Others (individually less than 1%) | 6.6% |
100.0% |
Income Tax Information |
At December 31, 2004, the fund had a capital loss carryforward of approximately $3,600,000 all of which will expire on December 31, 2012. |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | June 30, 2005 (Unaudited) | |
Assets | ||
Investment in securities, at value (including securities loaned of $43,119 and repurchase agreements of $2,630)(cost $1,839,420) - See accompanying schedule | $ 2,058,460 | |
Cash | 47 | |
Foreign currency held at value (cost $71) | 71 | |
Receivable for investments sold | 2,268 | |
Receivable for fund shares sold | 19,554 | |
Dividends receivable | 1,245 | |
Interest receivable | 942 | |
Prepaid expenses | 1 | |
Receivable from investment adviser for expense reductions | 6 | |
Other receivables | 367 | |
Total assets | 2,082,961 | |
Liabilities | ||
Payable for investments purchased | $ 63,885 | |
Payable for fund shares redeemed | 1,998 | |
Accrued management fee | 892 | |
Distribution fees payable | 879 | |
Other affiliated payables | 401 | |
Other payables and accrued expenses | 275 | |
Collateral on securities loaned, at value | 44,131 | |
Total liabilities | 112,461 | |
Net Assets | $ 1,970,500 | |
Net Assets consist of: | ||
Paid in capital | $ 1,773,792 | |
Accumulated net investment loss | (1,960) | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | (20,301) | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 218,969 | |
Net Assets | $ 1,970,500 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements - continued
Statement of Assets and Liabilities - continued
Amounts in thousands (except per-share amounts) | June 30, 2005 (Unaudited) | |
Calculation of Maximum Offering Price | $ 14.59 | |
Maximum offering price per share (100/94.25 of $14.59) | $ 15.48 | |
Class T: | $ 14.54 | |
Maximum offering price per share (100/96.50 of $14.54) | $ 15.07 | |
Class B: | $ 14.39 | |
Class C: | $ 14.40 | |
Institutional Class: | $ 14.68 |
A Redemption price per share is equal to net asset value less any applicable contingent deferred sales charge.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Statement of Operations
Amounts in thousands | Six months ended June 30, 2005 (Unaudited) | |
Investment Income | ||
Dividends | $ 5,849 | |
Interest | 2,888 | |
Security lending | 282 | |
Total income | 9,019 | |
Expenses | ||
Management fee | $ 4,106 | |
Transfer agent fees | 1,821 | |
Distribution fees | 4,034 | |
Accounting and security lending fees | 244 | |
Independent trustees' compensation | 3 | |
Custodian fees and expenses | 131 | |
Registration fees | 371 | |
Audit | 26 | |
Legal | 4 | |
Miscellaneous | 4 | |
Total expenses before reductions | 10,744 | |
Expense reductions | (325) | 10,419 |
Net investment income (loss) | (1,400) | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities | (16,164) | |
Foreign currency transactions | 96 | |
Total net realized gain (loss) | (16,068) | |
Change in net unrealized appreciation (depreciation) on: Investment securities | 94,799 | |
Assets and liabilities in foreign currencies | (75) | |
Total change in net unrealized appreciation (depreciation) | 94,724 | |
Net gain (loss) | 78,656 | |
Net increase (decrease) in net assets resulting from operations | $ 77,256 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements - continued
Statement of Changes in Net Assets
Amounts in thousands | Six months ended | Year ended |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $ (1,400) | $ (2,694) |
Net realized gain (loss) | (16,068) | (4,061) |
Change in net unrealized appreciation (depreciation) | 94,724 | 109,094 |
Net increase (decrease) in net assets resulting | 77,256 | 102,339 |
Distributions to shareholders from net investment income | - | (206) |
Share transactions - net increase (decrease) | 863,922 | 729,179 |
Total increase (decrease) in net assets | 941,178 | 831,312 |
Net Assets | ||
Beginning of period | 1,029,322 | 198,010 |
End of period (including accumulated net investment loss of $1,960 and accumulated net investment loss of $560, respectively) | $ 1,970,500 | $ 1,029,322 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class A
Six months ended | Years ended December 31, | ||
(Unaudited) | 2004 | 2003 F | |
Selected Per-Share Data | |||
Net asset value, beginning of period | $ 13.99 | $ 11.79 | $ 10.00 |
Income from Investment Operations | |||
Net investment income (loss) E | .01 | (.03) | (.04) |
Net realized and unrealized gain (loss) | .59 | 2.24 | 1.87 |
Total from investment operations | .60 | 2.21 | 1.83 |
Distributions from net investment income | - | (.01) | (.03) |
Distributions from net realized gain | - | - | (.01) |
Total distributions | - | (.01) | (.04) |
Net asset value, end of period | $ 14.59 | $ 13.99 | $ 11.79 |
Total Return B, C, D | 4.29% | 18.76% | 18.23% |
Ratios to Average Net Assets G | |||
Expenses before expense reductions | 1.19% A | 1.22% | 1.39% A |
Expenses net of voluntary waivers, if any | 1.19% A | 1.22% | 1.39% A |
Expenses net of all reductions | 1.15% A | 1.17% | 1.28% A |
Net investment income (loss) | .10% A | (.26)% | (.81)% A |
Supplemental Data | |||
Net assets, end of period (in millions) | $ 420 | $ 230 | $ 37 |
Portfolio turnover rate | 78% A | 87% | 77% A |
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower had certain expenses not been reduced during the periods shown.
D Total returns do not include the effect of the sales charges.
E Calculated based on average shares outstanding during the period.
F For the period July 31, 2003 (commencement of operations) to December 31, 2003.
G Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of any voluntary waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class T
Six months ended | Years ended December 31, | ||
(Unaudited) | 2004 | 2003 F | |
Selected Per-Share Data | |||
Net asset value, beginning of period | $ 13.96 | $ 11.78 | $ 10.00 |
Income from Investment Operations | |||
Net investment income (loss) E | (.01) | (.06) | (.05) |
Net realized and unrealized gain (loss) | .59 | 2.25 | 1.86 |
Total from investment operations | .58 | 2.19 | 1.81 |
Distributions from net investment income | - | (.01) | (.02) |
Distributions from net realized gain | - | - | (.01) |
Total distributions | - | (.01) | (.03) |
Net asset value, end of period | $ 14.54 | $ 13.96 | $ 11.78 |
Total Return B, C, D | 4.15% | 18.60% | 18.08% |
Ratios to Average Net Assets G | |||
Expenses before expense reductions | 1.41% A | 1.43% | 1.62% A |
Expenses net of voluntary waivers, if any | 1.41% A | 1.43% | 1.62% A |
Expenses net of all reductions | 1.37% A | 1.39% | 1.51% A |
Net investment income (loss) | (.12)% A | (.48)% | (1.04)% A |
Supplemental Data | |||
Net assets, end of period (in millions) | $ 687 | $ 325 | $ 62 |
Portfolio turnover rate | 78% A | 87% | 77% A |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower had certain expenses not been reduced during the periods shown.
D Total returns do not include the effect of the sales charges.
E Calculated based on average shares outstanding during the period.
F For the period July 31, 2003 (commencement of operations) to December 31, 2003.
G Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of any voluntary waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class B
Six months ended | Years ended December 31, | ||
(Unaudited) | 2004 | 2003 F | |
Selected Per-Share Data | |||
Net asset value, beginning of period | $ 13.85 | $ 11.76 | $ 10.00 |
Income from Investment Operations | |||
Net investment income (loss) E | (.05) | (.13) | (.07) |
Net realized and unrealized gain (loss) | .59 | 2.23 | 1.85 |
Total from investment operations | .54 | 2.10 | 1.78 |
Distributions from net investment income | - | (.01) | (.01) |
Distributions from net realized gain | - | - | (.01) |
Total distributions | - | (.01) | (.02) |
Net asset value, end of period | $ 14.39 | $ 13.85 | $ 11.76 |
Total Return B, C, D | 3.90% | 17.87% | 17.75% |
Ratios to Average Net Assets G | |||
Expenses before expense reductions | 2.02% A | 2.02% | 2.19% A |
Expenses net of voluntary waivers, if any | 2.00% A | 2.02% | 2.19% A |
Expenses net of all reductions | 1.96% A | 1.97% | 2.08% A |
Net investment income (loss) | (.71)% A | (1.06)% | (1.61)% A |
Supplemental Data | |||
Net assets, end of period (in millions) | $ 188 | $ 109 | $ 27 |
Portfolio turnover rate | 78% A | 87% | 77% A |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower had certain expenses not been reduced during the periods shown.
D Total returns do not include the effect of the contingent deferred sales charge.
E Calculated based on average shares outstanding during the period.
F For the period July 31, 2003 (commencement of operations) to December 31, 2003.
G Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of any voluntary waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class C
Six months ended | Years ended December 31, | ||
(Unaudited) | 2004 | 2003 F | |
Selected Per-Share Data | |||
Net asset value, beginning of period | $ 13.86 | $ 11.76 | $ 10.00 |
Income from Investment Operations | |||
Net investment income (loss) E | (.04) | (.12) | (.07) |
Net realized and unrealized gain (loss) | .58 | 2.23 | 1.85 |
Total from investment operations | .54 | 2.11 | 1.78 |
Distributions from net investment income | - | (.01) | (.01) |
Distributions from net realized gain | - | - | (.01) |
Total distributions | - | (.01) | (.02) |
Net asset value, end of period | $ 14.40 | $ 13.86 | $ 11.76 |
Total Return B, C, D | 3.90% | 17.95% | 17.77% |
Ratios to Average Net Assets G | |||
Expenses before expense reductions | 1.92% A | 1.94% | 2.14% A |
Expenses net of voluntary waivers, if any | 1.92% A | 1.94% | 2.14% A |
Expenses net of all reductions | 1.88% A | 1.89% | 2.03% A |
Net investment income (loss) | (.63)% A | (.98)% | (1.55)% A |
Supplemental Data | |||
Net assets, end of period (in millions) | $ 475 | $ 246 | $ 49 |
Portfolio turnover rate | 78% A | 87% | 77% A |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower had certain expenses not been reduced during the periods shown.
D Total returns do not include the effect of the contingent deferred sales charge.
E Calculated based on average shares outstanding during the period.
F For the period July 31, 2003 (commencement of operations) to December 31, 2003.
G Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of any voluntary waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Institutional Class
Six months ended | Years ended December 31, | ||
(Unaudited) | 2004 | 2003 E | |
Selected Per-Share Data | |||
Net asset value, beginning of period | $ 14.05 | $ 11.79 | $ 10.00 |
Income from Investment Operations | |||
Net investment income (loss) D | .03 | .01 | (.02) |
Net realized and unrealized gain (loss) | .60 | 2.26 | 1.86 |
Total from investment operations | .63 | 2.27 | 1.84 |
Distributions from net investment income | - | (.01) | (.04) |
Distributions from net realized gain | - | - | (.01) |
Total distributions | - | (.01) | (.05) |
Net asset value, end of period | $ 14.68 | $ 14.05 | $ 11.79 |
Total Return B, C | 4.48% | 19.27% | 18.31% |
Ratios to Average Net Assets F | |||
Expenses before expense reductions | .85% A | .86% | 1.07% A |
Expenses net of voluntary waivers, if any | .85% A | .86% | 1.07% A |
Expenses net of all reductions | .81% A | .82% | .96% A |
Net investment income (loss) | .44% A | .10% | (.49)% A |
Supplemental Data | |||
Net assets, end of period (in millions) | $ 201 | $ 120 | $ 23 |
Portfolio turnover rate | 78% A | 87% | 77% A |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower had certain expenses not been reduced during the periods shown.
D Calculated based on average shares outstanding during the period.
E For the period July 31, 2003 (commencement of operations) to December 31, 2003.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of any voluntary waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Notes to Financial Statements
For the period ended June 30, 2005 (Unaudited)
(Amounts in thousands except ratios)
1. Significant Accounting Policies.
Fidelity Advisor New Insights Fund (the fund) is a fund of Fidelity Contrafund (the trust) and is authorized to issue an unlimited number of shares. The trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Massachusetts business trust.
The fund offers Class A, Class T, Class B, Class C, and Institutional Class shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class. Class B shares will automatically convert to Class A shares after a holding period of seven years from the initial date of purchase. Investment income, realized and unrealized capital gains and losses, the common expenses of the fund, and certain fund-level expense reductions, if any, are allocated on a pro rata basis to each class based on the relative net assets of each class to the total net assets of the fund. Each class differs with respect to transfer agent and distribution and service plan fees incurred. Certain expense reductions also differ by class.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which require management to make certain estimates and assumptions at the date of the financial statements. The following summarizes the significant accounting policies of the fund:
Security Valuation. Net asset value per share (NAV calculation) is calculated as of the close of business of the New York Stock Exchange, normally 4:00 p.m. Eastern time. Equity securities, including restricted securities, for which market quotations are available are valued at the last sale price or official closing price (closing bid price or last evaluated quote if no sale has occurred) on the primary market or exchange on which they trade. Debt securities, including restricted securities, for which quotations are readily available are valued at their most recent bid prices (sales prices if the principal market is an exchange) in the principal market in which such securities are normally traded, as determined by recognized dealers in such securities, or securities are valued on the basis of information provided by a pricing service. Pricing services use valuation matrices that incorporate both dealer-supplied valuations and valuation models. If prices are not readily available or do not accurately reflect fair value for a security, or if a security's value has been materially affected by events occurring after the close of the exchange or market on which the security is principally traded, that security may be valued by another method that the Board of Trustees believes accurately reflects fair value. A security's valuation may differ depending on the method used for determining value. Price movements in futures contracts and ADRs, market and trading trends, the bid/ask quotes of brokers and off-exchange institutional trading may be reviewed in the course of making a good faith determination of a security's fair value. Short-term securities with remaining maturities of sixty days or less for which quotations are not readily available are valued on the basis of amortized cost. Investments in open-end investment companies are valued at their net asset value each business day.
Semiannual Report
1. Significant Accounting Policies - continued
Foreign Currency. The fund uses foreign currency contracts to facilitate transactions in foreign-denominated securities. Losses from these transactions may arise from changes in the value of the foreign currency or if the counterparties do not perform under the contracts' terms.
Foreign-denominated assets, including investment securities, and liabilities are translated into U.S. dollars at the exchange rate at period end. Purchases and sales of investment securities, income and dividends received and expenses denominated in foreign currencies are translated into U.S. dollars at the exchange rate in effect on the transaction date.
The effects of exchange rate fluctuations on investments are included with the net realized and unrealized gain (loss) on investment securities. Other foreign currency transactions resulting in realized and unrealized gain (loss) are disclosed separately.
Investment Transactions and Income. Security transactions are accounted for as of trade date. Gains and losses on securities sold are determined on the basis of identified cost. 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. Distributions received on securities that represent a return of capital or capital gain are recorded as a reduction of cost of investments and/or as a realized gain. The fund estimates the components of distributions received that may be considered return of capital distributions or capital gain distributions. Interest income is accrued as earned. Interest income includes coupon interest and amortization of premium and accretion of discount on debt securities. Investment income is recorded net of foreign taxes withheld where recovery of such taxes is uncertain.
Expenses. Most expenses of the trust can be directly attributed to a fund. Expenses which cannot be directly attributed are apportioned among each fund in the trust.
Income Tax Information and Distributions to Shareholders. Each year, the fund intends to qualify as a regulated investment company by distributing all of its taxable income and realized gains under Subchapter M of the Internal Revenue Code. As a result, no provision for income taxes is required in the accompanying financial statements. Foreign taxes are provided for based on the fund's understanding of the tax rules and rates that exist in the foreign markets in which it invests.
Distributions are recorded on the ex-dividend date. Income dividends and capital gain distributions are declared separately for each class. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from generally accepted accounting principles.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
(Amounts in thousands except ratios)
1. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
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. Temporary book-tax differences will reverse in a subsequent period.
Book-tax differences are primarily due to foreign currency transactions, passive foreign investment companies (PFIC), net operating losses, capital loss carryforwards and losses deferred due to wash sales.
The federal tax cost of investments and unrealized appreciation (depreciation) as of period end were as follows:
Unrealized appreciation | $ 249,810 | |
Unrealized depreciation | (32,411) | |
Net unrealized appreciation (depreciation) | $ 217,399 | |
Cost for federal income tax purposes | $ 1,841,061 |
2. Operating Policies.
Repurchase Agreements. Fidelity Management & Research Company (FMR) has received an Exemptive Order from the Securities and Exchange Commission (the SEC) which permits the fund and other affiliated entities of FMR to transfer uninvested cash balances into joint trading accounts which are then invested in repurchase agreements. The fund may also invest directly with institutions in repurchase agreements. Repurchase agreements are collateralized by government or non-government securities. Collateral is held in segregated accounts with custodian banks and may be obtained in the event of a default of the counterparty. The fund monitors, on a daily basis, the value of the collateral to ensure it is at least equal to the principal amount of the repurchase agreement (including accrued interest). In the event of a default by the counterparty, realization of the collateral proceeds could be delayed, during which time the value of the collateral may decline.
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.
Semiannual Report
2. Operating Policies - continued
Loans and Other Direct Debt Instruments. The fund may invest in loans and loan participations, trade claims or other receivables. These investments may include standby financing commitments, including revolving credit facilities, that obligate the fund to supply additional cash to the borrower on demand. Loan participations involve a risk of insolvency of the lending bank or other financial intermediary. The fund may be contractually obligated to receive approval from the agent bank and/or borrower prior to the sale of these investments.
3. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities and U.S. government securities, aggregated $1,208,721 and $494,388, respectively.
4. Fees and Other Transactions with Affiliates.
Management Fee. FMR and its affiliates provide the fund with investment management related services for which the fund pays a monthly management fee. The management fee is the sum of an individual fund fee rate that is based on an annual rate of .30% of the fund's average net assets and a group fee rate that averaged .27% during the period. The group fee rate is based upon the average net assets of all the mutual funds advised by FMR. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the period, the total annualized management fee rate was .57% of the fund's average net assets.
Distribution and Service Plan. In accordance with Rule 12b-1 of the 1940 Act, the fund has adopted separate Distribution and Service Plans for each class of shares. Certain classes pay Fidelity Distributors Corporation (FDC), an affiliate of FMR, separate Distribution and Service Fees, each of which is based on an annual percentage of each class' average net assets. In addition, FDC may pay financial intermediaries for selling shares of the fund and providing shareholder support services. For the period, the Distribution and Service Fee rates and the total amounts paid to and retained by FDC were as follows:
Distribution | Service | Paid to | Retained | |
Class A | 0% | .25% | $ 383 | $ 2 |
Class T | .25% | .25% | 1,207 | 80 |
Class B | .75% | .25% | 721 | 542 |
Class C | .75% | .25% | 1,723 | 966 |
$ 4,034 | $ 1,590 |
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
(Amounts in thousands except ratios)
4. Fees and Other Transactions with Affiliates - continued
Sales Load. FDC receives a front-end sales charge of up to 5.75% for selling Class A shares, and 3.50% for selling Class T shares, some of which is paid to financial intermediaries for selling shares of the fund. FDC receives the proceeds of contingent deferred sales charges levied on Class A, Class T, Class B, and Class C redemptions. These charges depend on the holding period. The deferred sales charges range from 5% to 1% for Class B, 1% for Class C, and .25% for certain purchases of Class A and Class T shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained | ||
Class A | $ 597 | |
Class T | 169 | |
Class B * | 106 | |
Class C * | 36 | |
$ 908 |
* When Class B and Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc. (FIIOC), an affiliate of FMR, is the transfer, dividend disbursing and shareholder servicing agent for each class of the fund. FIIOC receives account fees and asset-based fees that vary according to the account size and type of account of the shareholders of the respective classes of the fund. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements. For the period the total transfer agent fees paid by each class to FIIOC, were as follows:
Amount | % of | |
Class A | $ 414 | .27 * |
Class T | 583 | .24 * |
Class B | 250 | .34 * |
Class C | 434 | .25 * |
Institutional Class | 140 | .18 * |
$ 1,821 |
* Annualized
Semiannual Report
4. Fees and Other Transactions with Affiliates - continued
Accounting and Security Lending Fees. Fidelity Service Company, Inc. (FSC), an affiliate of FMR, maintains the fund's accounting records. The accounting fee is based on the level of average net assets for the month. Under a separate contract, FSC administers the security lending program. The security lending fee is based on the number and duration of lending transactions.
Central Funds. The fund may invest in affiliated Central Funds managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of FMR. The Central Funds are open-end investment companies available only to investment companies and other accounts managed by FMR and its affiliates. The Money Market Central Funds seek preservation of capital and current income. The Central Funds do not pay a management fee. Income distributions earned by the fund are recorded as income in the accompanying financial statements and totaled $2,344 for the period.
Brokerage Commissions. The fund placed a portion of its portfolio transactions with brokerage firms which are affiliates of the investment adviser. The commissions paid to these affiliated firms were $38 for the period.
5. Committed Line of Credit.
The fund participates with other funds managed by FMR in a $4.2 billion credit facility (the "line of credit") to be utilized for temporary or emergency purposes to fund shareholder redemptions or for other short-term liquidity purposes. The fund has agreed to pay commitment fees on its pro rata portion of the line of credit. During the period, there were no borrowings on this line of credit.
6. Security Lending.
The fund lends portfolio securities from time to time in order to earn additional income. The fund receives collateral (in the form of U.S. Treasury obligations, letters of credit and/or cash) against the loaned securities and maintains collateral in an amount not less than 100% of the market value of the loaned securities during the period of the loan. The market value of the loaned securities is determined at the close of business of the fund and any additional required collateral is delivered to the fund on the next business day. If the borrower defaults on its obligation to return the securities loaned because of insolvency or other reasons, a fund could experience delays and costs in recovering the securities loaned or in gaining access to the collateral. Cash collateral is invested in the Fidelity Securities Lending Cash Central Fund. The value of loaned securities and cash collateral at period end are disclosed on the fund's Statement of Assets and Liabilities.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
(Amounts in thousands except ratios)
7. Expense Reductions.
FMR voluntarily agreed to reimburse each class to the extent annual operating expenses exceeded certain levels of average net assets as noted in the table below. Some expenses, for example interest expense, are excluded from this reimbursement.
Expense | Reimbursement | |
Class B | 2.00% | $ 8 |
Many of the brokers with whom FMR places trades on behalf of the fund provided services to the fund in addition to trade execution. These services included payments of certain expenses on behalf of the fund totaling $316 for the period. In addition, through arrangements with the fund's custodian, credits realized as a result of uninvested cash balances were used to reduce the fund's expenses. During the period, these credits reduced the fund's custody expenses by $1.
8. Other.
The fund's organizational documents provide former and current trustees 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.
9. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended | Year ended | |
From net investment income | ||
Class A | $ - | $ 38 |
Class T | - | 64 |
Class B | - | 28 |
Class C | - | 52 |
Institutional Class | - | 24 |
Total | $ - | $ 206 |
Semiannual Report
10. Share Transactions.
Transactions for each class of shares were as follows:
Shares | Dollars | |||
Six months ended | Year ended | Six months ended | Year ended | |
Class A | ||||
Shares sold | 13,813 | 14,442 | $ 193,959 | $ 186,266 |
Reinvestment of distributions | - | 3 | - | 32 |
Shares redeemed | (1,511) | (1,138) | (21,164) | (14,313) |
Net increase (decrease) | 12,302 | 13,307 | $ 172,795 | $ 171,985 |
Class T | ||||
Shares sold | 25,691 | 19,345 | $ 359,109 | $ 246,887 |
Reinvestment of distributions | - | 5 | - | 59 |
Shares redeemed | (1,734) | (1,331) | (24,183) | (16,882) |
Net increase (decrease) | 23,957 | 18,019 | $ 334,926 | $ 230,064 |
Class B | ||||
Shares sold | 5,859 | 5,963 | $ 81,026 | $ 75,522 |
Reinvestment of distributions | - | 2 | - | 19 |
Shares redeemed | (661) | (415) | (9,133) | (5,241) |
Net increase (decrease) | 5,198 | 5,550 | $ 71,893 | $ 70,300 |
Class C | ||||
Shares sold | 16,591 | 14,235 | $ 229,969 | $ 180,974 |
Reinvestment of distributions | - | 3 | - | 35 |
Shares redeemed | (1,345) | (640) | (18,461) | (8,022) |
Net increase (decrease) | 15,246 | 13,598 | $ 211,508 | $ 172,987 |
Institutional Class | ||||
Shares sold | 5,632 | 6,867 | $ 79,086 | $ 87,943 |
Reinvestment of distributions | - | 1 | - | 11 |
Shares redeemed | (448) | (322) | (6,286) | (4,111) |
Net increase (decrease) | 5,184 | 6,546 | $ 72,800 | $ 83,843 |
Semiannual Report
Proxy Voting Results
A special meeting of the fund's shareholders was held on January 19, 2005. The results of votes taken among shareholders on proposals before them are reported below. Each vote reported represents one dollar of net asset value held on the record date for the meeting.
PROPOSAL 1 | ||
To amend the Declaration of Trust to allow the Board of Trustees, if permitted by applicable law, to authorize fund mergers without shareholder approval.* | ||
# of | % of | |
Affirmative | 16,233,274,660.19 | 68.528 |
Against | 5,296,799,647.67 | 22.362 |
Abstain | 882,603,665.94 | 3.725 |
Broker | 1,275,700,696.03 | 5.385 |
TOTAL | 23,688,378,669.83 | 100.000 |
PROPOSAL 2 | ||
To elect a Board of Trustees. * | ||
# of | % of | |
Laura B. Cronin | ||
Affirmative | 21,964,545,020.52 | 92.723 |
Withheld | 1,723,833,649.31 | 7.277 |
TOTAL | 23,688,378,669.83 | 100.000 |
Dennis J. Dirks | ||
Affirmative | 22,473,495,368.70 | 94.871 |
Withheld | 1,214,883,301.13 | 5.129 |
TOTAL | 23,688,378,669.83 | 100.000 |
Robert M. Gates | ||
Affirmative | 22,429,215,739.51 | 94.684 |
Withheld | 1,259,162,930.32 | 5.316 |
TOTAL | 23,688,378,669.83 | 100.000 |
George H. Heilmeier | ||
Affirmative | 22,427,222,693.12 | 94.676 |
Withheld | 1,261,155,976.71 | 5.324 |
TOTAL | 23,688,378,669.83 | 100.000 |
Abigail P. Johnson | ||
Affirmative | 22,344,921,447.52 | 94.329 |
Withheld | 1,343,457,222.31 | 5.671 |
TOTAL | 23,688,378,669.83 | 100.000 |
Edward C. Johnson 3d | ||
Affirmative | 22,331,899,258.73 | 94.274 |
Withheld | 1,356,479,411.10 | 5.726 |
TOTAL | 23,688,378,669.83 | 100.000 |
Marie L. Knowles | ||
Affirmative | 22,457,370,997.41 | 94.803 |
Withheld | 1,231,007,672.42 | 5.197 |
TOTAL | 23,688,378,669.83 | 100.000 |
Ned C. Lautenbach | ||
Affirmative | 22,461,566,287.67 | 94.821 |
Withheld | 1,226,812,382.16 | 5.179 |
TOTAL | 23,688,378,669.83 | 100.000 |
Marvin L. Mann | ||
Affirmative | 22,418,349,134.25 | 94.639 |
Withheld | 1,270,029,535.58 | 5.361 |
TOTAL | 23,688,378,669.83 | 100.000 |
William O. McCoy | ||
Affirmative | 22,421,999,778.88 | 94.654 |
Withheld | 1,266,378,890.95 | 5.346 |
TOTAL | 23,688,378,669.83 | 100.000 |
Robert L. Reynolds | ||
Affirmative | 22,450,709,253.08 | 94.775 |
Withheld | 1,237,669,416.75 | 5.225 |
TOTAL | 23,688,378,669.83 | 100.000 |
Cornelia M. Small | ||
Affirmative | 22,437,020,012.08 | 94.717 |
Withheld | 1,251,358,657.75 | 5.283 |
TOTAL | 23,688,378,669.83 | 100.000 |
William S. Stavropoulos | ||
Affirmative | 22,435,472,051.80 | 94.711 |
Withheld | 1,252,906,618.03 | 5.289 |
TOTAL | 23,688,378,669.83 | 100.000 |
Kenneth L. Wolfe | ||
Affirmative | 22,441,579,247.31 | 94.737 |
Withheld | 1,246,799,422.52 | 5.263 |
TOTAL | 23,688,378,669.83 | 100.000 |
* Denotes trust-wide proposals and voting results. |
Semiannual Report
Semiannual Report
Semiannual Report
Semiannual Report
Semiannual Report
Semiannual Report
Investment Adviser
Fidelity Management & Research Company
Boston, MA
Investment Sub-Adviser
FMR Co., Inc.
Fidelity Management & Research
(U.K.) Inc.
Fidelity Management & Research
(Far East) Inc.
Fidelity Investments Japan Limited
Fidelity International Investment Advisors
Fidelity International Investment
Advisors (U.K.) Limited
General Distributor
Fidelity Distributors Corporation
Boston, MA
Transfer and Service Agents
Fidelity Investments Institutional Operations Company, Inc.
Boston, MA
Fidelity Service Company, Inc.
Boston, MA
Custodian
Brown Brothers Harriman & Co.
Boston, MA
ANIFI-USAN-0805
1.803544.101
(Fidelity Investment logo)(registered trademark)
Corporate Headquarters
82 Devonshire St., Boston, MA 02109
www.fidelity.com
Fidelity®
Contrafund®
Semiannual Report
June 30, 2005
(2_fidelity_logos) (Registered_Trademark)
Contents
Chairman's Message | Ned Johnson's message to shareholders. | |
Shareholder Expense Example | An example of shareholder expenses. | |
Investment Changes | A summary of major shifts in the fund's investments over the past six months. | |
Investments | A complete list of the fund's investments with their market values. | |
Financial Statements | Statements of assets and liabilities, operations, and changes in net assets, | |
Notes | Notes to the financial statements. | |
Report of Independent Registered Public Accounting Firm | ||
Proxy Voting Results |
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at 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 Corp. or an affiliated company.
This report and the financial statements contained herein are submitted for the general information of the shareholders of the fund. This report is not authorized for distribution to prospective investors in the fund unless preceded or accompanied by an effective prospectus.
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. For a complete list of a fund's portfolio holdings, view the most recent quarterly holdings report, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com/holdings.
NOT FDIC INSURED · MAY LOSE VALUE · NO BANK GUARANTEE
Neither the fund nor Fidelity Distributors Corporation is a bank.
Semiannual Report
Chairman's Message
(photo_of_Edward_C_Johnson_3d)
Dear Shareholder:
During the past year or so, much has been reported about the mutual fund industry, and much of it has been more critical than I believe is warranted. Allegations that some companies have been less than forthright with their shareholders have cast a shadow on the entire industry. I continue to find these reports disturbing, and assert that they do not create an accurate picture of the industry overall. Therefore, I would like to remind everyone where Fidelity stands on these issues. I will say two things specifically regarding allegations that some mutual fund companies were in violation of the Securities and Exchange Commission's forward pricing rules or were involved in so-called "market timing" activities.
First, Fidelity has no agreements that permit customers who buy fund shares after 4 p.m. to obtain the 4 p.m. price. This is not a new policy. This is not to say that someone could not deceive the company through fraudulent acts. However, we are extremely diligent in preventing fraud from occurring in this manner - and in every other. But I underscore again that Fidelity has no so-called "agreements" that sanction illegal practices.
Second, Fidelity continues to stand on record, as we have for years, in opposition to predatory short-term trading that adversely affects shareholders in a mutual fund. Back in the 1980s, we initiated a fee - which is returned to the fund and, therefore, to investors - to discourage this activity. Further, we took the lead several years ago in developing a Fair Value Pricing Policy to prevent market timing on foreign securities in our funds. I am confident we will find other ways to make it more difficult for predatory traders to operate. However, this will only be achieved through close cooperation among regulators, legislators and the industry.
Yes, there have been unfortunate instances of unethical and illegal activity within the mutual fund industry from time to time. That is true of any industry. When this occurs, confessed or convicted offenders should be dealt with appropriately. But we are still concerned about the risk of over-regulation and the quick application of simplistic solutions to intricate problems. Every system can be improved, and we support and applaud well thought out improvements by regulators, legislators and industry representatives that achieve the common goal of building and protecting the value of investors' holdings.
For nearly 60 years, Fidelity has worked very hard to improve its products and service to justify your trust. When our family founded this company in 1946, we had only a few hundred customers. Today, we serve more than 18 million customers including individual investors and participants in retirement plans across America.
Let me close by saying that we do not take your trust in us for granted, and we realize that we must always work to improve all aspects of our service to you. In turn, we urge you to continue your active participation with your financial matters, so that your interests can be well served.
Best regards,
/s/Edward C. Johnson 3d
Edward C. Johnson 3d
Semiannual Report
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, and (2) ongoing costs, including management fees and 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 (January 1, 2005 to June 30, 2005).
Actual Expenses
The first line of the table below 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. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount.
Hypothetical Example for Comparison Purposes
The second line of the table below 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. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount.
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.
Beginning | Ending | Expenses Paid | |
Actual | $ 1,000.00 | $ 1,033.00 | $ 4.64 |
Hypothetical (5% return per year before expenses) | $ 1,000.00 | $ 1,020.23 | $ 4.61 |
* Expenses are equal to the Fund's annualized expense ratio of .92%; multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
Semiannual Report
Investment Changes
Top Ten Stocks as of June 30, 2005 | ||
% of fund's | % of fund's net assets | |
EnCana Corp. | 2.8 | 2.2 |
Genentech, Inc. | 2.7 | 1.4 |
Berkshire Hathaway, Inc. Class A | 2.2 | 2.6 |
Google, Inc. Class A (sub. vtg.) | 2.0 | 0.6 |
3M Co. | 1.8 | 2.4 |
Yahoo!, Inc. | 1.8 | 1.9 |
Avon Products, Inc. | 1.7 | 2.2 |
Exxon Mobil Corp. | 1.4 | 0.8 |
Marvell Technology Group Ltd. | 1.4 | 1.2 |
Aetna, Inc. | 1.2 | 0.9 |
19.0 | ||
Top Five Market Sectors as of June 30, 2005 | ||
% of fund's | % of fund's net assets | |
Health Care | 13.9 | 11.2 |
Financials | 13.8 | 12.5 |
Information Technology | 13.6 | 14.9 |
Energy | 13.4 | 9.0 |
Consumer Discretionary | 9.3 | 10.8 |
Asset Allocation (% of fund's net assets) | |||||||
As of June 30, 2005 * | As of December 31, 2004 ** | ||||||
![]() | Stocks 89.3% | ![]() | Stocks 89.1% | ||||
![]() | Bonds 1.7% | ![]() | Bonds 1.5% | ||||
![]() | Convertible | ![]() | Convertible | ||||
![]() | Short-Term | ![]() | Short-Term | ||||
* Foreign investments | 23.0% | ** Foreign investments | 24.7% |
Semiannual Report
Investments June 30, 2005
Showing Percentage of Net Assets
Common Stocks - 89.3% | ||||
Shares | Value (Note 1) (000s) | |||
CONSUMER DISCRETIONARY - 9.3% | ||||
Auto Components - 0.1% | ||||
Bridgestone Corp. (d) | 1,434,000 | $ 27,606 | ||
Automobiles - 0.5% | ||||
Honda Motor Co. Ltd. | 465,000 | 22,887 | ||
Toyota Motor Corp. | 5,587,100 | 199,711 | ||
222,598 | ||||
Distributors - 0.0% | ||||
Li & Fung Ltd. | 9,900,000 | 20,575 | ||
Diversified Consumer Services - 0.3% | ||||
Educate, Inc. | 1,236,430 | 17,495 | ||
Education Management Corp. (a) | 723,800 | 24,414 | ||
Laureate Education, Inc. (a) | 1,973,380 | 94,446 | ||
Regis Corp. | 319,400 | 12,482 | ||
Weight Watchers International, Inc. (a) | 399,700 | 20,629 | ||
169,466 | ||||
Hotels, Restaurants & Leisure - 2.9% | ||||
Aristocrat Leisure Ltd. | 8,271,553 | 73,080 | ||
Boyd Gaming Corp. | 1,853,000 | 94,744 | ||
Choice Hotels International, Inc. | 70,300 | 4,619 | ||
Domino's Pizza, Inc. | 1,625,000 | 36,173 | ||
Four Seasons Hotels, Inc. (ltd. vtg.) (d) | 603,500 | 39,859 | ||
Gaming VC Holdings SA | 629,128 | 6,335 | ||
Hilton Group PLC | 6,129,502 | 31,437 | ||
Kerzner International Ltd. (a) | 599,900 | 34,164 | ||
Las Vegas Sands Corp. (d) | 1,448,700 | 51,791 | ||
Life Time Fitness, Inc. | 684,900 | 22,472 | ||
Marriott International, Inc. Class A | 138,000 | 9,414 | ||
MGM MIRAGE (a) | 1,520,100 | 60,166 | ||
P.F. Chang's China Bistro, Inc. (a) | 1,045,050 | 61,637 | ||
Panera Bread Co. Class A (a)(e) | 2,929,651 | 181,887 | ||
Penn National Gaming, Inc. (a) | 1,229,424 | 44,874 | ||
Red Robin Gourmet Burgers, Inc. (a)(e) | 1,318,753 | 81,736 | ||
Scientific Games Corp. Class A (a) | 350,753 | 9,446 | ||
Shuffle Master, Inc. (a)(d)(e) | 1,970,683 | 55,238 | ||
Starbucks Corp. (a) | 2,156,700 | 111,415 | ||
Station Casinos, Inc. (e) | 3,534,600 | 234,697 | ||
Texas Roadhouse, Inc. Class A | 494,300 | 17,177 | ||
The Cheesecake Factory, Inc. (a) | 848,364 | 29,464 | ||
Wendy's International, Inc. | 142,600 | 6,795 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
CONSUMER DISCRETIONARY - continued | ||||
Hotels, Restaurants & Leisure - continued | ||||
William Hill PLC | 6,585,807 | $ 63,660 | ||
Wynn Resorts Ltd. (a) | 1,778,896 | 84,088 | ||
1,446,368 | ||||
Household Durables - 1.0% | ||||
D.R. Horton, Inc. | 1,463,054 | 55,025 | ||
Fortune Brands, Inc. | 1,178,300 | 104,633 | ||
Harman International Industries, Inc. | 90,500 | 7,363 | ||
Hovnanian Enterprises, Inc. Class A (a) | 300,300 | 19,580 | ||
Jarden Corp. (a) | 156,300 | 8,428 | ||
KB Home | 1,458,200 | 111,159 | ||
Tempur-Pedic International, Inc. (a) | 3,863,600 | 85,695 | ||
Toll Brothers, Inc. (a) | 1,132,700 | 115,026 | ||
506,909 | ||||
Internet & Catalog Retail - 0.1% | ||||
Blue Nile, Inc. (d) | 449,200 | 14,684 | ||
eBay, Inc. (a) | 681,840 | 22,508 | ||
IAC/InterActiveCorp (a) | 625,000 | 15,031 | ||
52,223 | ||||
Media - 1.2% | ||||
Citadel Broadcasting Corp. (a) | 349,500 | 4,002 | ||
Getty Images, Inc. (a) | 819,600 | 60,863 | ||
Harte-Hanks, Inc. | 395,800 | 11,767 | ||
McGraw-Hill Companies, Inc. | 821,200 | 36,338 | ||
News Corp. Class A | 2,220,540 | 35,928 | ||
NTL, Inc. (a) | 366,500 | 25,076 | ||
Pixar (a) | 3,176,802 | 158,999 | ||
Rogers Communications, Inc. Class B (non-vtg.) | 1,436,600 | 47,136 | ||
SBS Broadcasting SA (a) | 1,065,690 | 50,226 | ||
Sirius Satellite Radio, Inc. (a)(d) | 10,376,391 | 67,239 | ||
Washington Post Co. Class B | 32,040 | 26,754 | ||
XM Satellite Radio Holdings, Inc. Class A (a) | 2,454,631 | 82,623 | ||
606,951 | ||||
Multiline Retail - 0.6% | ||||
Dollar General Corp. | 389,500 | 7,930 | ||
Marks & Spencer Group PLC | 1,984,600 | 12,819 | ||
Nordstrom, Inc. | 928,800 | 63,131 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
CONSUMER DISCRETIONARY - continued | ||||
Multiline Retail - continued | ||||
Sears Holdings Corp. (a) | 307,600 | $ 46,100 | ||
Target Corp. | 3,005,000 | 163,502 | ||
293,482 | ||||
Specialty Retail - 1.8% | ||||
AC Moore Arts & Crafts, Inc. (a) | 391,470 | 12,374 | ||
American Eagle Outfitters, Inc. | 809,900 | 24,823 | ||
bebe Stores, Inc. | 1,085,750 | 28,740 | ||
Bed Bath & Beyond, Inc. (a) | 1,796,123 | 75,042 | ||
Best Buy Co., Inc. | 414,100 | 28,387 | ||
Build-A-Bear Workshop, Inc. (d) | 415,800 | 9,751 | ||
Chico's FAS, Inc. (a) | 5,722,700 | 196,174 | ||
DSW, Inc. Class A | 56,100 | 1,400 | ||
Guitar Center, Inc. (a) | 78,100 | 4,559 | ||
Halfords Group PLC | 3,256,634 | 17,213 | ||
Hennes & Mauritz AB (H&M) (B Shares) | 1,304,275 | 45,950 | ||
Inditex SA | 503,900 | 12,976 | ||
Office Depot, Inc. (a) | 890,600 | 20,341 | ||
Signet Group PLC | 8,160,737 | 15,901 | ||
Staples, Inc. | 5,857,300 | 124,878 | ||
The Children's Place Retail Stores, Inc. (a) | 282,000 | 13,161 | ||
TJX Companies, Inc. | 3,228,100 | 78,604 | ||
Urban Outfitters, Inc. (a) | 3,248,400 | 184,152 | ||
Zumiez, Inc. | 21,200 | 618 | ||
895,044 | ||||
Textiles, Apparel & Luxury Goods - 0.8% | ||||
Burberry Group PLC | 5,980,194 | 43,287 | ||
Carter's, Inc. (a) | 381,900 | 22,295 | ||
Coach, Inc. (a) | 8,534,352 | 286,498 | ||
Phillips-Van Heusen Corp. | 292,000 | 9,545 | ||
Polo Ralph Lauren Corp. Class A | 268,500 | 11,575 | ||
Volcom, Inc. | 49,300 | 1,320 | ||
374,520 | ||||
TOTAL CONSUMER DISCRETIONARY | 4,615,742 | |||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
CONSUMER STAPLES - 5.9% | ||||
Beverages - 0.4% | ||||
Diageo PLC sponsored ADR | 796,900 | $ 47,256 | ||
PepsiCo, Inc. | 2,379,490 | 128,326 | ||
175,582 | ||||
Food & Staples Retailing - 1.5% | ||||
Sysco Corp. | 5,315,500 | 192,368 | ||
Tesco PLC | 11,617,313 | 66,347 | ||
United Natural Foods, Inc. (a) | 1,171,148 | 35,568 | ||
Wal-Mart de Mexico SA de CV Series V | 4,724,372 | 19,202 | ||
Walgreen Co. | 4,415,510 | 203,069 | ||
Whole Foods Market, Inc. | 2,012,175 | 238,040 | ||
754,594 | ||||
Food Products - 0.8% | ||||
Hershey Co. | 1,784,300 | 110,805 | ||
Kellogg Co. | 1,830,000 | 81,325 | ||
Nestle SA (Reg.) | 186,921 | 47,837 | ||
TreeHouse Foods, Inc. (a) | 589,700 | 16,812 | ||
Wm. Wrigley Jr. Co. | 1,717,700 | 118,246 | ||
375,025 | ||||
Household Products - 0.5% | ||||
Colgate-Palmolive Co. | 2,691,500 | 134,333 | ||
Procter & Gamble Co. | 2,032,700 | 107,225 | ||
241,558 | ||||
Personal Products - 2.7% | ||||
Avon Products, Inc. | 22,869,844 | 865,624 | ||
Gillette Co. | 9,539,300 | 482,975 | ||
Herbalife Ltd. | 233,200 | 5,039 | ||
1,353,638 | ||||
TOTAL CONSUMER STAPLES | 2,900,397 | |||
ENERGY - 13.4% | ||||
Energy Equipment & Services - 1.0% | ||||
Halliburton Co. | 2,192,300 | 104,836 | ||
Schlumberger Ltd. (NY Shares) | 3,842,100 | 291,769 | ||
Smith International, Inc. | 1,692,590 | 107,818 | ||
Tenaris SA sponsored ADR | 130,700 | 10,230 | ||
514,653 | ||||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
ENERGY - continued | ||||
Oil, Gas & Consumable Fuels - 12.4% | ||||
Anadarko Petroleum Corp. | 78,200 | $ 6,424 | ||
Apache Corp. | 2,609,540 | 168,576 | ||
Arch Coal, Inc. | 469,900 | 25,595 | ||
BG Group PLC sponsored ADR | 312,500 | 13,000 | ||
Bill Barrett Corp. | 951,966 | 28,159 | ||
Blackrock Ventures, Inc. (a)(e) | 7,915,800 | 63,704 | ||
BP PLC sponsored ADR | 7,894,166 | 492,438 | ||
Burlington Resources, Inc. | 3,357,720 | 185,480 | ||
Cairn Energy PLC (a) | 387,909 | 9,369 | ||
China Petroleum & Chemical Corp. sponsored ADR | 1,964,400 | 76,651 | ||
CONSOL Energy, Inc. | 2,033,400 | 108,950 | ||
Devon Energy Corp. | 2,001,500 | 101,436 | ||
EnCana Corp. | 35,521,448 | 1,401,192 | ||
Encore Acquisition Co. (a) | 1,266,672 | 51,934 | ||
Energy Partners Ltd. (a) | 152,600 | 4,000 | ||
ENI Spa sponsored ADR | 427,700 | 54,831 | ||
EOG Resources, Inc. | 3,877,600 | 220,248 | ||
Exxon Mobil Corp. | 12,101,200 | 695,456 | ||
Forest Oil Corp. (a) | 194,600 | 8,173 | ||
Imperial Oil Ltd. | 805,300 | 67,056 | ||
Mariner Energy, Inc. (e)(f) | 1,847,200 | 26,323 | ||
McMoRan Exploration Co. (a)(d) | 390,700 | 7,623 | ||
Murphy Oil Corp. | 8,506,200 | 444,279 | ||
Newfield Exploration Co. (a) | 622,000 | 24,812 | ||
Noble Energy, Inc. | 1,146,117 | 86,704 | ||
Occidental Petroleum Corp. | 303,300 | 23,333 | ||
Peabody Energy Corp. | 1,869,500 | 97,289 | ||
PetroChina Co. Ltd. sponsored ADR (d) | 2,184,400 | 160,444 | ||
Plains Exploration & Production Co. (a) | 233,600 | 8,300 | ||
Premcor, Inc. (e) | 6,662,830 | 494,249 | ||
Quicksilver Resources, Inc. (a) | 1,808,600 | 115,624 | ||
Range Resources Corp. | 748,300 | 20,129 | ||
Sasol Ltd. | 1,220,300 | 33,177 | ||
Talisman Energy, Inc. | 2,244,740 | 84,095 | ||
Total SA sponsored ADR | 2,644,300 | 308,986 | ||
Ultra Petroleum Corp. (a) | 787,400 | 23,905 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
ENERGY - continued | ||||
Oil, Gas & Consumable Fuels - continued | ||||
Valero Energy Corp. | 3,118,560 | $ 246,709 | ||
XTO Energy, Inc. | 3,697,233 | 125,669 | ||
6,114,322 | ||||
TOTAL ENERGY | 6,628,975 | |||
FINANCIALS - 13.8% | ||||
Capital Markets - 1.1% | ||||
Charles Schwab Corp. | 7,166,200 | 80,835 | ||
Goldman Sachs Group, Inc. | 1,318,800 | 134,544 | ||
Greenhill & Co., Inc. | 131,400 | 5,323 | ||
Janus Capital Group, Inc. | 1,206,200 | 18,141 | ||
Lazard Ltd. Class A | 577,700 | 13,432 | ||
Legg Mason, Inc. | 997,700 | 103,871 | ||
Lehman Brothers Holdings, Inc. | 1,912,200 | 189,843 | ||
Morgan Stanley | 156,200 | 8,196 | ||
554,185 | ||||
Commercial Banks - 1.1% | ||||
Allied Irish Banks PLC | 1,534,500 | 32,953 | ||
HDFC Bank Ltd. | 586,006 | 8,573 | ||
HSBC Holdings PLC sponsored ADR | 709,107 | 56,480 | ||
M&T Bank Corp. | 2,429,300 | 255,465 | ||
Marshall & Ilsley Corp. | 343,300 | 15,260 | ||
Wachovia Corp. | 317,902 | 15,768 | ||
Wells Fargo & Co. | 2,643,600 | 162,793 | ||
Westcorp | 226,400 | 11,868 | ||
559,160 | ||||
Consumer Finance - 1.2% | ||||
American Express Co. | 3,670,350 | 195,373 | ||
SLM Corp. | 7,400,300 | 375,935 | ||
571,308 | ||||
Diversified Financial Services - 0.6% | ||||
Archipelago Holdings, Inc. | 494,385 | 19,241 | ||
Brascan Corp. Class A (ltd. vtg.) | 843,400 | 32,216 | ||
Chicago Mercantile Exchange Holdings, Inc. Class A | 86,700 | 25,620 | ||
Moody's Corp. | 4,788,400 | 215,286 | ||
292,363 | ||||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
FINANCIALS - continued | ||||
Insurance - 8.0% | ||||
ACE Ltd. | 1,408,600 | $ 63,176 | ||
AFLAC, Inc. | 1,721,500 | 74,507 | ||
Allstate Corp. | 8,468,500 | 505,993 | ||
American International Group, Inc. | 7,096,826 | 412,326 | ||
Assurant, Inc. | 3,287,150 | 118,666 | ||
Berkshire Hathaway, Inc. Class A (a) | 13,311 | 1,111,469 | ||
Brit Insurance Holdings PLC | 13,779,500 | 21,850 | ||
Endurance Specialty Holdings Ltd. | 1,220,500 | 46,159 | ||
Everest Re Group Ltd. (e) | 3,015,920 | 280,481 | ||
Fidelity National Financial, Inc. | 329,900 | 11,774 | ||
Genworth Financial, Inc. Class A (non-vtg.) | 1,037,600 | 31,367 | ||
HCC Insurance Holdings, Inc. | 989,000 | 37,453 | ||
IPC Holdings Ltd. | 447,000 | 17,710 | ||
Markel Corp. (a) | 101,450 | 34,392 | ||
Marsh & McLennan Companies, Inc. | 78,100 | 2,163 | ||
Mercury General Corp. | 862,500 | 47,024 | ||
MetLife, Inc. | 3,571,600 | 160,508 | ||
MetLife, Inc. unit | 3,244,100 | 85,060 | ||
Montpelier Re Holdings Ltd. (e) | 5,020,900 | 173,623 | ||
PartnerRe Ltd. | 1,353,600 | 87,199 | ||
Platinum Underwriters Holdings Ltd. | 635,000 | 20,206 | ||
Progressive Corp. | 1,163,200 | 114,936 | ||
Prudential Financial, Inc. | 1,780,600 | 116,914 | ||
RenaissanceRe Holdings Ltd. | 2,679,310 | 131,929 | ||
StanCorp Financial Group, Inc. | 373,600 | 28,610 | ||
The Chubb Corp. | 962,000 | 82,357 | ||
W.R. Berkley Corp. | 2,628,600 | 93,788 | ||
White Mountains Insurance Group Ltd. | 64,900 | 40,945 | ||
3,952,585 | ||||
Real Estate - 0.9% | ||||
CB Richard Ellis Group, Inc. Class A | 2,369,300 | 103,917 | ||
CBL & Associates Properties, Inc. | 1,505,794 | 64,855 | ||
Crescent Real Estate Equities Co. | 468,900 | 8,792 | ||
Equity Office Properties Trust | 1,388,600 | 45,963 | ||
Equity Residential (SBI) | 662,500 | 24,393 | ||
General Growth Properties, Inc. | 1,109,900 | 45,606 | ||
Global Signal, Inc. | 781,600 | 29,427 | ||
KKR Financial Corp. (f) | 1,161,600 | 11,906 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
FINANCIALS - continued | ||||
Real Estate - continued | ||||
KKR Financial Corp. | 161,000 | $ 4,025 | ||
Vornado Realty Trust | 1,195,300 | 96,102 | ||
434,986 | ||||
Thrifts & Mortgage Finance - 0.9% | ||||
Golden West Financial Corp., Delaware | 7,043,680 | 453,472 | ||
Hudson City Bancorp, Inc. | 1,000,000 | 11,410 | ||
464,882 | ||||
TOTAL FINANCIALS | 6,829,469 | |||
HEALTH CARE - 13.8% | ||||
Biotechnology - 3.3% | ||||
Affymetrix, Inc. (a) | 397,200 | 21,421 | ||
Amgen, Inc. (a) | 585,900 | 35,424 | ||
Celgene Corp. (a) | 734,600 | 29,950 | ||
Genentech, Inc. (a) | 16,512,900 | 1,325,656 | ||
Gilead Sciences, Inc. (a) | 2,686,000 | 118,157 | ||
Idenix Pharmaceuticals, Inc. | 900,700 | 19,527 | ||
Invitrogen Corp. (a) | 138,759 | 11,557 | ||
MannKind Corp. (d) | 585,539 | 5,885 | ||
Seattle Genetics, Inc. (a)(e) | 2,477,300 | 13,278 | ||
Techne Corp. (a) | 465,521 | 21,372 | ||
ViaCell, Inc. | 689,400 | 7,342 | ||
1,609,569 | ||||
Health Care Equipment & Supplies - 3.8% | ||||
Advanced Neuromodulation Systems, Inc. (a)(e) | 1,493,652 | 59,268 | ||
Alcon, Inc. | 2,872,000 | 314,053 | ||
American Medical Systems Holdings, Inc. (a) | 1,558,000 | 32,173 | ||
Aspect Medical Systems, Inc. (a) | 363,460 | 10,809 | ||
Bausch & Lomb, Inc. | 152,300 | 12,641 | ||
Bio-Rad Laboratories, Inc. Class A (a) | 223,000 | 13,204 | ||
C.R. Bard, Inc. | 1,895,800 | 126,090 | ||
Cooper Companies, Inc. | 173,578 | 10,564 | ||
DENTSPLY International, Inc. (e) | 5,880,937 | 317,571 | ||
Fisher Scientific International, Inc. (a) | 1,340,808 | 87,018 | ||
Foxhollow Technologies, Inc. (d)(e) | 1,259,300 | 48,193 | ||
Gen-Probe, Inc. (a) | 2,106,600 | 76,322 | ||
IDEXX Laboratories, Inc. (a) | 842,380 | 52,506 | ||
Immucor, Inc. (a) | 117,200 | 3,393 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
HEALTH CARE - continued | ||||
Health Care Equipment & Supplies - continued | ||||
IntraLase Corp. | 860,800 | $ 16,889 | ||
Intuitive Surgical, Inc. (a) | 1,595,776 | 74,427 | ||
Kinetic Concepts, Inc. (a) | 1,327,000 | 79,620 | ||
Kyphon, Inc. (a) | 607,100 | 21,121 | ||
Laserscope, Inc. (a) | 156,200 | 6,473 | ||
Medtronic, Inc. | 2,050,800 | 106,211 | ||
Mentor Corp. | 559,700 | 23,216 | ||
Neurometrix, Inc. | 155,800 | 3,121 | ||
Nobel Biocare Holding AG (Switzerland) | 177,383 | 35,985 | ||
NuVasive, Inc. | 640,663 | 10,648 | ||
Smith & Nephew PLC | 2,364,141 | 23,362 | ||
St. Jude Medical, Inc. (a) | 3,571,000 | 155,731 | ||
Syneron Medical Ltd. | 249,500 | 9,129 | ||
Synthes, Inc. | 987,157 | 108,370 | ||
Ventana Medical Systems, Inc. (a) | 838,700 | 33,741 | ||
Waters Corp. (a) | 325,152 | 12,086 | ||
1,883,935 | ||||
Health Care Providers & Services - 3.9% | ||||
Advisory Board Co. (a) | 194,398 | 9,475 | ||
Aetna, Inc. | 6,864,760 | 568,539 | ||
American Healthways, Inc. (a) | 1,369,100 | 57,872 | ||
Caremark Rx, Inc. (a) | 1,388,100 | 61,798 | ||
DaVita, Inc. (a) | 199,800 | 9,087 | ||
Express Scripts, Inc. (a) | 156,200 | 7,807 | ||
HCA, Inc. | 412,800 | 23,393 | ||
Health Net, Inc. (a) | 587,700 | 22,427 | ||
Matria Healthcare, Inc. (a) | 480,600 | 15,490 | ||
Patterson Companies, Inc. (a)(e) | 11,947,596 | 538,598 | ||
UnitedHealth Group, Inc. | 9,850,940 | 513,628 | ||
VCA Antech, Inc. (a) | 783,969 | 19,011 | ||
WebMD Corp. (a) | 320,700 | 3,294 | ||
WellPoint, Inc. (a) | 1,429,900 | 99,578 | ||
1,949,997 | ||||
Pharmaceuticals - 2.8% | ||||
Abbott Laboratories | 873,200 | 42,796 | ||
American Pharmaceutical Partners, Inc. (a) | 195,300 | 8,056 | ||
Barr Pharmaceuticals, Inc. (a) | 78,100 | 3,807 | ||
Cypress Bioscience, Inc. (a) | 783,700 | 10,345 | ||
IVAX Corp. (a) | 625,100 | 13,440 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
HEALTH CARE - continued | ||||
Pharmaceuticals - continued | ||||
Johnson & Johnson | 3,363,750 | $ 218,644 | ||
Kos Pharmaceuticals, Inc. (a) | 78,100 | 5,116 | ||
Novartis AG sponsored ADR | 3,168,900 | 150,333 | ||
Novo Nordisk AS Series B | 3,733,479 | 190,095 | ||
Pfizer, Inc. | 935 | 26 | ||
Roche Holding AG (participation certificate) | 4,079,142 | 516,238 | ||
Sanofi-Aventis sponsored ADR | 1,224,200 | 50,180 | ||
Schering-Plough Corp. | 7,768,800 | 148,073 | ||
Sepracor, Inc. (a) | 191,300 | 11,480 | ||
Shire Pharmaceuticals Group PLC sponsored ADR | 26,600 | 872 | ||
Teva Pharmaceutical Industries Ltd. sponsored ADR | 669,700 | 20,854 | ||
1,390,355 | ||||
TOTAL HEALTH CARE | 6,833,856 | |||
INDUSTRIALS - 8.4% | ||||
Aerospace & Defense - 0.8% | ||||
L-3 Communications Holdings, Inc. | 353,400 | 27,063 | ||
Lockheed Martin Corp. | 4,737,095 | 307,295 | ||
Precision Castparts Corp. | 359,914 | 28,037 | ||
Rockwell Collins, Inc. | 316,900 | 15,110 | ||
United Technologies Corp. | 903,000 | 46,369 | ||
423,874 | ||||
Air Freight & Logistics - 0.5% | ||||
C.H. Robinson Worldwide, Inc. (e) | 4,307,122 | 250,675 | ||
Airlines - 0.6% | ||||
JetBlue Airways Corp. (a) | 2,100,226 | 42,929 | ||
Jetsgo Corp.: | ||||
warrants (a)(h) | 125,000 | 0 | ||
warrants (a)(h) | 1 | 0 | ||
Class B (a)(h) | 1,250,000 | 0 | ||
Ryanair Holdings PLC sponsored ADR (a)(d) | 5,285,406 | 236,998 | ||
Southwest Airlines Co. | 522,900 | 7,284 | ||
287,211 | ||||
Commercial Services & Supplies - 0.5% | ||||
Aramark Corp. Class B | 3,563,500 | 94,076 | ||
Corporate Executive Board Co. | 213,200 | 16,700 | ||
Equifax, Inc. | 649,200 | 23,183 | ||
PeopleSupport, Inc. | 211,240 | 1,927 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
INDUSTRIALS - continued | ||||
Commercial Services & Supplies - continued | ||||
PHH Corp. (a) | 303,930 | $ 7,817 | ||
Resources Connection, Inc. (a)(e) | 2,414,964 | 56,100 | ||
Robert Half International, Inc. | 1,445,500 | 36,094 | ||
Services Acquisition Corp. International unit (a) | 127,200 | 1,018 | ||
236,915 | ||||
Construction & Engineering - 0.2% | ||||
Jacobs Engineering Group, Inc. (a) | 1,311,066 | 73,761 | ||
URS Corp. (a) | 576,800 | 21,543 | ||
95,304 | ||||
Electrical Equipment - 0.6% | ||||
American Power Conversion Corp. | 1,687,686 | 39,813 | ||
Cooper Industries Ltd. Class A | 2,991,900 | 191,182 | ||
Evergreen Solar, Inc. (a) | 286,900 | 1,845 | ||
Motech Industries, Inc. | 1,775,000 | 25,161 | ||
Roper Industries, Inc. | 153,200 | 10,934 | ||
Ultralife Batteries, Inc. (a)(e) | 1,068,280 | 17,253 | ||
286,188 | ||||
Industrial Conglomerates - 2.1% | ||||
3M Co. | 12,177,080 | 880,403 | ||
Carlisle Companies, Inc. | 384,400 | 26,381 | ||
General Electric Co. | 770,900 | 26,712 | ||
Hutchison Whampoa Ltd. | 7,248,000 | 65,522 | ||
Siemens AG sponsored ADR | 433,800 | 31,516 | ||
1,030,534 | ||||
Machinery - 2.6% | ||||
A.S.V., Inc. (a) | 566,400 | 22,962 | ||
Bucyrus International, Inc. Class A | 678,800 | 25,781 | ||
Caterpillar, Inc. | 1,387,800 | 132,271 | ||
Cummins, Inc. | 1,254,500 | 93,598 | ||
Danaher Corp. | 9,526,340 | 498,609 | ||
IDEX Corp. | 95,300 | 3,680 | ||
Ingersoll-Rand Co. Ltd. Class A | 243,200 | 17,352 | ||
Joy Global, Inc. | 2,510,900 | 84,341 | ||
PACCAR, Inc. | 4,134,456 | 281,143 | ||
Volvo AB sponsored ADR | 3,007,400 | 121,971 | ||
1,281,708 | ||||
Road & Rail - 0.4% | ||||
Canadian National Railway Co. | 1,299,700 | 74,978 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
INDUSTRIALS - continued | ||||
Road & Rail - continued | ||||
Heartland Express, Inc. | 1,817,190 | $ 35,308 | ||
Knight Transportation, Inc. | 1,292,951 | 31,457 | ||
Landstar System, Inc. (a) | 2,378,652 | 71,645 | ||
Yellow Roadway Corp. (a) | 2,597 | 132 | ||
213,520 | ||||
Trading Companies & Distributors - 0.1% | ||||
Fastenal Co. | 573,088 | 35,107 | ||
Mitsui & Co. Ltd. | 1,556,000 | 14,732 | ||
49,839 | ||||
Transportation Infrastructure - 0.0% | ||||
International Shipping Enterprises, Inc. unit | 568,750 | 4,095 | ||
TOTAL INDUSTRIALS | 4,159,863 | |||
INFORMATION TECHNOLOGY - 13.6% | ||||
Communications Equipment - 0.9% | ||||
Comverse Technology, Inc. (a) | 2,905,300 | 68,710 | ||
ECI Telecom Ltd. (a) | 1,715,200 | 14,236 | ||
Foxconn International Holdings Ltd. | 12,467,000 | 9,305 | ||
Harris Corp. | 2,753,100 | 85,924 | ||
Ixia (a) | 1,268,700 | 24,664 | ||
Motorola, Inc. | 482,200 | 8,805 | ||
Nokia Corp. sponsored ADR | 3,808,900 | 63,380 | ||
QUALCOMM, Inc. | 4,696,300 | 155,025 | ||
TomTom Group BV | 465,000 | 10,208 | ||
440,257 | ||||
Computers & Peripherals - 1.4% | ||||
Apple Computer, Inc. (a) | 7,970,700 | 293,401 | ||
Dell, Inc. (a) | 4,109,318 | 162,359 | ||
EMC Corp. (a) | 2,891,100 | 39,637 | ||
Hewlett-Packard Co. | 5,972,300 | 140,409 | ||
Logitech International SA sponsored ADR (a) | 102,300 | 6,525 | ||
Network Appliance, Inc. (a) | 1,921,600 | 54,324 | ||
Seagate Technology | 1,061,000 | 18,621 | ||
715,276 | ||||
Electronic Equipment & Instruments - 0.9% | ||||
Amphenol Corp. Class A | 1,738,330 | 69,829 | ||
Cogent, Inc. | 831,960 | 23,752 | ||
FARO Technologies, Inc. (a) | 622,000 | 16,956 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
INFORMATION TECHNOLOGY - continued | ||||
Electronic Equipment & Instruments - continued | ||||
FLIR Systems, Inc. (a)(e) | 5,947,900 | $ 177,485 | ||
Hon Hai Precision Industries Co. Ltd. | 19,175,200 | 99,584 | ||
Nidec Corp. | 66,400 | 7,029 | ||
Trimble Navigation Ltd. (a) | 592,500 | 23,090 | ||
Xyratex Ltd. | 331,800 | 5,146 | ||
422,871 | ||||
Internet Software & Services - 4.0% | ||||
Akamai Technologies, Inc. (a) | 4,110,407 | 53,970 | ||
aQuantive, Inc. (a) | 554,200 | 9,820 | ||
Equinix, Inc. (a) | 70,093 | 3,038 | ||
Google, Inc. Class A (sub. vtg.) | 3,341,536 | 982,913 | ||
Marchex, Inc. Class B (a)(d)(e) | 1,261,745 | 18,977 | ||
Openwave Systems, Inc. (a) | 776,173 | 12,729 | ||
VeriSign, Inc. (a) | 394,704 | 11,352 | ||
Websense, Inc. (a) | 706,817 | 33,963 | ||
Yahoo!, Inc. (a) | 25,088,624 | 869,321 | ||
1,996,083 | ||||
IT Services - 1.9% | ||||
Alliance Data Systems Corp. (a) | 1,787,900 | 72,517 | ||
Anteon International Corp. (a) | 1,639,800 | 74,808 | ||
Cognizant Technology Solutions Corp. Class A (a) | 5,784,286 | 272,613 | ||
Fiserv, Inc. (a) | 913,600 | 39,239 | ||
Global Payments, Inc. | 258,700 | 17,540 | ||
Infosys Technologies Ltd. sponsored ADR (d) | 3,832,200 | 296,881 | ||
Ness Technologies, Inc. | 1,353,012 | 14,369 | ||
SRA International, Inc. Class A (a)(e) | 3,726,200 | 129,374 | ||
VeriFone Holdings, Inc. | 524,600 | 8,525 | ||
Wright Express Corp. | 582,400 | 10,757 | ||
936,623 | ||||
Office Electronics - 0.1% | ||||
Canon, Inc. | 156,200 | 8,221 | ||
Zebra Technologies Corp. Class A (a) | 625,050 | 27,371 | ||
35,592 | ||||
Semiconductors & Semiconductor Equipment - 3.0% | ||||
Analog Devices, Inc. | 1,540,700 | 57,484 | ||
Broadcom Corp. Class A (a) | 1,457,100 | 51,742 | ||
FormFactor, Inc. (a) | 379,600 | 10,029 | ||
International Rectifier Corp. (a) | 1,597,800 | 76,247 | ||
Lam Research Corp. (a) | 147,100 | 4,257 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
INFORMATION TECHNOLOGY - continued | ||||
Semiconductors & Semiconductor Equipment - continued | ||||
Marvell Technology Group Ltd. (a)(e) | 17,598,900 | $ 669,462 | ||
Microchip Technology, Inc. | 372,620 | 11,037 | ||
Samsung Electronics Co. Ltd. | 1,186,180 | 566,431 | ||
SigmaTel, Inc. (a) | 408,400 | 7,008 | ||
Tessera Technologies, Inc. (a) | 651,600 | 21,770 | ||
Volterra Semiconductor Corp. | 325,300 | 4,844 | ||
1,480,311 | ||||
Software - 1.4% | ||||
Activision, Inc. (a) | 6,660,869 | 110,038 | ||
Adobe Systems, Inc. | 5,345,060 | 152,976 | ||
Altiris, Inc. (a)(e) | 2,623,874 | 38,518 | ||
Autodesk, Inc. | 1,978,314 | 67,995 | ||
Blackboard, Inc. | 93,564 | 2,238 | ||
Check Point Software Technologies Ltd. (a) | 155,900 | 3,087 | ||
Cognos, Inc. (a) | 1,407,050 | 48,050 | ||
FileNET Corp. (a) | 889,038 | 22,350 | ||
Kronos, Inc. (a) | 523,980 | 21,164 | ||
McAfee, Inc. (a) | 304,700 | 7,977 | ||
MICROS Systems, Inc. (a) | 117,105 | 5,240 | ||
Microsoft Corp. | 847,300 | 21,047 | ||
NAVTEQ Corp. | 2,578,900 | 95,884 | ||
NDS Group PLC sponsored ADR (a) | 261,100 | 8,700 | ||
Quality Systems, Inc. | 276,457 | 13,099 | ||
Salesforce.com, Inc. | 301,600 | 6,177 | ||
SAP AG sponsored ADR | 195,300 | 8,456 | ||
Symantec Corp. (a) | 3,047,948 | 66,262 | ||
THQ, Inc. (a) | 269,800 | 7,897 | ||
707,155 | ||||
TOTAL INFORMATION TECHNOLOGY | 6,734,168 | |||
MATERIALS - 6.6% | ||||
Chemicals - 1.4% | ||||
Bayer AG | 700,700 | 23,319 | ||
Celanese Corp. Class A | 2,156,400 | 34,265 | ||
Crompton Corp. | 2,062,600 | 29,186 | ||
Dow Chemical Co. | 1,393,000 | 62,030 | ||
Ecolab, Inc. | 5,786,600 | 187,254 | ||
Great Lakes Chemical Corp. | 1,072,400 | 33,748 | ||
Monsanto Co. | 58,600 | 3,684 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
MATERIALS - continued | ||||
Chemicals - continued | ||||
Nalco Holding Co. | 2,067,200 | $ 40,579 | ||
Potash Corp. of Saskatchewan | 1,292,500 | 123,374 | ||
Praxair, Inc. | 3,038,900 | 141,613 | ||
Rohm & Haas Co. | 512,600 | 23,754 | ||
Westlake Chemical Corp. | 233,400 | 5,718 | ||
708,524 | ||||
Construction Materials - 0.4% | ||||
Cemex SA de CV sponsored ADR | 252,800 | 10,724 | ||
Eagle Materials, Inc. (e) | 517,100 | 47,878 | ||
Florida Rock Industries, Inc. | 305,900 | 22,438 | ||
Headwaters, Inc. (a) | 156,200 | 5,370 | ||
Lafarge North America, Inc. | 156,821 | 9,792 | ||
Lafarge SA (Bearer) | 232,800 | 21,228 | ||
Martin Marietta Materials, Inc. | 51,200 | 3,539 | ||
Rinker Group Ltd. | 4,148,688 | 44,238 | ||
165,207 | ||||
Containers & Packaging - 0.2% | ||||
Owens-Illinois, Inc. (a) | 4,497,940 | 112,673 | ||
Metals & Mining - 4.6% | ||||
Aber Diamond Corp. (d) | 1,821,700 | 55,757 | ||
African Platinum PLC (a) | 12,569,281 | 5,011 | ||
Anglo American PLC ADR | 4,739,725 | 111,384 | ||
Bema Gold Corp. (a) | 6,684,800 | 15,877 | ||
BHP Billiton Ltd. sponsored ADR | 9,637,500 | 263,104 | ||
Carpenter Technology Corp. | 906,700 | 46,967 | ||
Companhia Vale do Rio Doce sponsored ADR | 3,511,400 | 102,814 | ||
Compania de Minas Buenaventura SA sponsored ADR | 1,786,100 | 41,062 | ||
Compass Minerals International, Inc. | 1,490,600 | 34,880 | ||
Eldorado Gold Corp. (a) | 6,342,700 | 16,825 | ||
First Quantum Minerals Ltd. | 1,599,600 | 28,214 | ||
Freeport-McMoRan Copper & Gold, Inc. Class B | 862,708 | 32,300 | ||
Gerdau SA sponsored ADR | 1,795,050 | 17,466 | ||
Glamis Gold Ltd. (a)(e) | 7,412,900 | 126,937 | ||
Goldcorp, Inc. | 14,151,878 | 225,123 | ||
IPSCO, Inc. (e) | 2,649,500 | 115,521 | ||
Ivanhoe Mines Ltd. (a) | 4,760,900 | 36,993 | ||
Lionore Mining International Ltd. (a) | 4,574,900 | 23,487 | ||
Newcrest Mining Ltd. | 2,197,600 | 29,091 | ||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
MATERIALS - continued | ||||
Metals & Mining - continued | ||||
Newmont Mining Corp. | 9,449,749 | $ 368,824 | ||
Nucor Corp. | 3,061,800 | 139,679 | ||
POSCO sponsored ADR | 2,408,500 | 105,902 | ||
Rio Tinto PLC (Reg.) | 5,972,543 | 182,043 | ||
Shore Gold, Inc. (a) | 1,154,700 | 4,618 | ||
Teck Cominco Ltd. Class B (sub. vtg.) | 2,022,000 | 68,225 | ||
United States Steel Corp. | 472,200 | 16,230 | ||
Xstrata PLC | 2,088,600 | 40,303 | ||
2,254,637 | ||||
TOTAL MATERIALS | 3,241,041 | |||
TELECOMMUNICATION SERVICES - 3.4% | ||||
Diversified Telecommunication Services - 0.0% | ||||
NeuStar, Inc. Class A | 337,000 | 8,627 | ||
Wireless Telecommunication Services - 3.4% | ||||
America Movil SA de CV Series L sponsored ADR | 8,617,900 | 513,713 | ||
American Tower Corp. Class A (a) | 581,100 | 12,215 | ||
Nextel Communications, Inc. Class A (a) | 12,863,900 | 415,633 | ||
Nextel Partners, Inc. Class A (a) | 9,147,300 | 230,238 | ||
NII Holdings, Inc. (a)(e) | 3,820,447 | 244,279 | ||
SpectraSite, Inc. (a) | 108,600 | 8,083 | ||
Vodafone Group PLC sponsored ADR | 8,076,400 | 196,418 | ||
Western Wireless Corp. Class A (a) | 1,037,400 | 43,882 | ||
1,664,461 | ||||
TOTAL TELECOMMUNICATION SERVICES | 1,673,088 | |||
UTILITIES - 1.1% | ||||
Electric Utilities - 0.4% | ||||
Entergy Corp. | 867,800 | 65,562 | ||
Exelon Corp. | 1,301,200 | 66,791 | ||
PG&E Corp. | 1,672,500 | 62,786 | ||
195,139 | ||||
Gas Utilities - 0.2% | ||||
Questar Corp. | 679,200 | 44,759 | ||
Southern Union Co. | 2,218,505 | 54,464 | ||
99,223 | ||||
Common Stocks - continued | ||||
Shares | Value (Note 1) (000s) | |||
UTILITIES - continued | ||||
Independent Power Producers & Energy Traders - 0.4% | ||||
AES Corp. (a) | 1,866,400 | $ 30,572 | ||
Duke Energy Corp. | 3,373,000 | 100,279 | ||
NRG Energy, Inc. (a) | 466,700 | 17,548 | ||
TXU Corp. | 779,808 | 64,794 | ||
213,193 | ||||
Multi-Utilities - 0.1% | ||||
CMS Energy Corp. (a) | 571,790 | 8,611 | ||
Public Service Enterprise Group, Inc. | 273,100 | 16,610 | ||
25,221 | ||||
TOTAL UTILITIES | 532,776 | |||
TOTAL COMMON STOCKS (Cost $31,105,608) | 44,149,375 | |||
Corporate Bonds - 0.1% | ||||
Principal Amount (000s) | ||||
Convertible Bonds - 0.1% | ||||
HEALTH CARE - 0.1% | ||||
Biotechnology - 0.1% | ||||
Protein Design Labs, Inc. 2% 2/15/12 (f) | $ 29,160 | 31,079 | ||
INDUSTRIALS - 0.0% | ||||
Industrial Conglomerates - 0.0% | ||||
Tyco International Group SA yankee 3.125% 1/15/23 | 10,860 | 15,006 | ||
UTILITIES - 0.0% | ||||
Independent Power Producers & Energy Traders - 0.0% | ||||
AES Corp. 4.5% 8/15/05 | 7,900 | 7,900 | ||
TOTAL CONVERTIBLE BONDS | 53,985 | |||
Nonconvertible Bonds - 0.0% | ||||
INDUSTRIALS - 0.0% | ||||
Machinery - 0.0% | ||||
Rexnord Corp. 10.125% 12/15/12 | 6,000 | 6,570 |
Corporate Bonds - continued | ||||
Principal Amount (000s) | Value (Note 1) (000s) | |||
Nonconvertible Bonds - continued | ||||
TELECOMMUNICATION SERVICES - 0.0% | ||||
Diversified Telecommunication Services - 0.0% | ||||
Cable & Wireless International Finance 8.625% 3/25/19 | GBP | 3,500 | $ 6,788 | |
TOTAL NONCONVERTIBLE BONDS | 13,358 | |||
TOTAL CORPORATE BONDS (Cost $66,660) | 67,343 | |||
U.S. Treasury Obligations - 1.7% | ||||
U.S. Treasury Bonds 5.375% 2/15/31 | $ 126,800 | 149,624 | ||
U.S. Treasury Notes: | ||||
4.25% 8/15/13 | 195,250 | 200,131 | ||
4.25% 11/15/13 | 194,800 | 199,556 | ||
4.25% 8/15/14 | 104,300 | 106,793 | ||
4.75% 5/15/14 | 175,800 | 186,540 | ||
TOTAL U.S. TREASURY OBLIGATIONS (Cost $805,032) | 842,644 | |||
Floating Rate Loans - 0.0% | ||||
CONSUMER DISCRETIONARY - 0.0% | ||||
Media - 0.0% | ||||
Charter Communications Operating LLC Tranche B, term loan 6.44% 4/7/11 (g) | 7,800 | 7,732 | ||
TOTAL FLOATING RATE LOANS (Cost $7,665) | 7,732 | |||
Money Market Funds - 9.9% | ||||
Shares | ||||
Fidelity Cash Central Fund, 3.21% (b) | 4,437,324,901 | 4,437,325 | ||
Fidelity Securities Lending Cash Central Fund, 3.23% (b)(c) | 425,889,755 | 425,890 | ||
TOTAL MONEY MARKET FUNDS (Cost $4,863,215) | 4,863,215 | |||
Cash Equivalents - 0.0% | ||||
Maturity Amount (000s) | Value (Note 1) (000s) | |||
Investments in repurchase agreements (Collateralized by U.S. Treasury Obligations, in a joint trading account at 2.91%, dated 6/30/05 due 7/1/05) | $ 15,452 | $ 15,451 | ||
TOTAL INVESTMENT PORTFOLIO - 101.0% (Cost $36,863,631) | 49,945,760 | |||
NET OTHER ASSETS - (1.0)% | (510,960) | |||
NET ASSETS - 100% | $ 49,434,800 |
Currency Abbreviations | ||
GBP | - | British pound |
Legend |
(a) Non-income producing |
(b) Affiliated fund that is 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 listing of the fund's holdings as of its most recent quarter end is available upon request. |
(c) Investment made with cash collateral received from securities on loan. |
(d) Security or a portion of the security is on loan at period end. |
(e) Affiliated company |
(f) 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 period end, the value of these securities amounted to $69,308,000 or 0.1% of net assets. |
(g) The coupon rate shown on floating or adjustable rate securities represents the rate at period end. |
(h) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $0 or 0.0% of net assets. |
Additional information on each holding is as follows: |
Security | Acquisition Date | Acquisition Cost (000s) |
Jetsgo Corp. warrants | 3/1/04 | $ 0 |
Jetsgo Corp. warrants | 3/1/04 | $ 0 |
Jetsgo Corp. Class B | 3/1/04 | $ 9,334 |
Other Information |
Distribution of investments by country of issue, as a percentage of total net assets, is as follows: |
United States of America | 77.0% |
Canada | 5.5% |
Bermuda | 3.6% |
United Kingdom | 2.8% |
Switzerland | 2.2% |
Korea (South) | 1.4% |
Mexico | 1.0% |
Others (individually less than 1%) | 6.5% |
100.0% |
An affiliated company is a company in which the fund has ownership of at least 5% of the voting securities. Companies which are affiliates of the fund at period-end are noted in the fund's Schedule of Investments. Transactions during the period with companies which are or were affiliates are as follows: |
Affiliates | Value, beginning | Purchases | Sales Proceeds | Dividend Income | Value, |
Advanced Neuromodulation Systems, Inc. | $ 61,398 | $ 7,598 | $ 7,635 | $ - | $ 59,268 |
African Platinum PLC | 21,399 | - | 6,775 | - | - |
Altiris, Inc. | 92,964 | - | - | - | 38,518 |
Anteon International Corp. | 79,115 | - | 10,428 | - | - |
Avon Products, Inc. | 1,000,161 | 16,079 | 139,659 | 7,740 | - |
Blackrock Ventures, Inc. | 20,314 | 40,018 | - | - | 63,704 |
C.H. Robinson Worldwide, Inc. | 226,177 | 27,507 | 14,850 | 1,204 | 250,675 |
DENTSPLY International, Inc. | 309,113 | 21,097 | - | 701 | 317,571 |
Ditech Communications Corp. | 26,847 | - | 13,451 | - | - |
Eagle Materials, Inc. | 30,499 | 13,714 | - | 261 | 47,878 |
Everest Re Group Ltd. | 263,890 | 29,814 | 22,660 | 606 | 280,481 |
FLIR Systems, Inc. | 191,026 | 5,689 | 7,209 | - | 177,485 |
Foxhollow Technologies, Inc. | 752 | 40,960 | 920 | - | 48,193 |
Glamis Gold Ltd. | 144,251 | 1,855 | 17,266 | - | 126,937 |
Goldcorp, Inc. | 195,510 | 26,572 | 18,547 | 5,978 | - |
IPSCO, Inc. | 124,062 | 42,110 | 35,989 | 521 | 115,521 |
Marchex, Inc. Class B | - | 26,785 | 978 | - | 18,977 |
Mariner Energy, Inc. | - | 25,861 | - | - | 26,323 |
Marvell Technology Group Ltd. | 546,100 | 79,961 | - | - | 669,462 |
Montpelier Re Holdings Ltd. | 193,054 | - | - | 31,230 | 173,623 |
NII Holdings, Inc. | 166,210 | 24,259 | 6,552 | - | 244,279 |
Panera Bread Co. Class A | 71,770 | 62,818 | 2,101 | - | 181,887 |
Patterson Companies, Inc. | 533,931 | 8,862 | 25,484 | - | 538,598 |
Premcor, Inc. | 272,588 | 11,221 | - | 263 | 494,249 |
Red Robin Gourmet Burgers, Inc. | 61,039 | 9,078 | - | - | 81,736 |
Resources Connection, Inc. | 55,012 | 9,002 | - | - | 56,100 |
Seattle Genetics, Inc. | 16,177 | - | - | - | 13,278 |
Shuffle Master, Inc. | 65,734 | 9,045 | 12,665 | - | 55,238 |
Sonic Solutions, Inc. | $ 39,820 | $ - | $ 29,181 | $ - | $ - |
SRA International, Inc. Class A | 104,851 | 14,372 | - | - | 129,374 |
Station Casinos, Inc. | 151,693 | 47,600 | - | 1,378 | 234,697 |
Ultralife Batteries, Inc. | 20,778 | - | - | - | 17,253 |
USI Holdings Corp. | 36,199 | - | 35,382 | - | - |
Total | $ 5,122,434 | $ 601,877 | $ 407,732 | $ 49,882 | $ 4,461,305 |
Income Tax Information |
At December 31, 2004, the fund had a capital loss carryforward of approximately $1,689,727,000 all of which will expire on December 31, 2010. |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amount) | June 30, 2005 | |
Assets | ||
Investment in securities, at value (including securities loaned of $410,633 and repurchase agreements of $15,451)(cost $36,863,631) - See accompanying schedule | $ 49,945,760 | |
Cash | 1,687 | |
Foreign currency held at value (cost $3,388) | 3,386 | |
Receivable for investments sold | 119,230 | |
Receivable for fund shares sold | 103,504 | |
Dividends receivable | 35,283 | |
Interest receivable | 20,747 | |
Prepaid expenses | 84 | |
Other affiliated receivables | 160 | |
Other receivables | 6,186 | |
Total assets | 50,236,027 | |
Liabilities | ||
Payable for investments purchased | $ 267,766 | |
Payable for fund shares redeemed | 68,129 | |
Accrued management fee | 29,392 | |
Other affiliated payables | 8,248 | |
Other payables and accrued expenses | 1,802 | |
Collateral on securities loaned, at value | 425,890 | |
Total liabilities | 801,227 | |
Net Assets | $ 49,434,800 | |
Net Assets consist of: | ||
Paid in capital | $ 36,987,782 | |
Undistributed net investment income | 117,651 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | (752,615) | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 13,081,982 | |
Net Assets, for 843,530 shares outstanding | $ 49,434,800 | |
Net Asset Value, offering price and redemption price per share ($49,434,800 ÷ 843,530 shares) | $ 58.60 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements - continued
Statement of Operations
Amounts in thousands | Six months ended June 30, 2005 | |
Investment Income | ||
Dividends (including $49,882 received from affiliated issuers) | $ 241,798 | |
Interest | 82,262 | |
Security lending | 8,564 | |
Total income | 332,624 | |
Expenses | ||
Management fee | $ 132,792 | |
Performance adjustment | 34,359 | |
Transfer agent fees | 42,125 | |
Accounting and security lending fees | 1,206 | |
Independent trustees' compensation | 103 | |
Appreciation in deferred trustee compensation account | 55 | |
Custodian fees and expenses | 1,371 | |
Registration fees | 642 | |
Audit | 189 | |
Legal | 52 | |
Miscellaneous | 358 | |
Total expenses before reductions | 213,252 | |
Expense reductions | (5,927) | 207,325 |
Net investment income (loss) | 125,299 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities (Including realized gain (loss) of $28,727 from affiliated issuers) | 1,016,765 | |
Foreign currency transactions | 514 | |
Total net realized gain (loss) | 1,017,279 | |
Change in net unrealized appreciation (depreciation) on: Investment securities (net of increase in deferred foreign taxes of $60) | 423,102 | |
Assets and liabilities in foreign currencies | (265) | |
Total change in net unrealized appreciation (depreciation) | 422,837 | |
Net gain (loss) | 1,440,116 | |
Net increase (decrease) in net assets resulting from operations | $ 1,565,415 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Statement of Changes in Net Assets
Amounts in thousands | Six months ended June 30, | Year ended |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $ 125,299 | $ 32,371 |
Net realized gain (loss) | 1,017,279 | 1,370,693 |
Change in net unrealized appreciation (depreciation) | 422,837 | 4,248,703 |
Net increase (decrease) in net assets resulting | 1,565,415 | 5,651,767 |
Distributions to shareholders from net investment income | - | (34,673) |
Distributions to shareholders from net realized gain | (7,955) | - |
Total distributions | (7,955) | (34,673) |
Share transactions | 6,178,933 | 7,814,682 |
Reinvestment of distributions | 7,800 | 33,913 |
Cost of shares redeemed | (2,786,294) | (4,921,518) |
Net increase (decrease) in net assets resulting from share transactions | 3,400,439 | 2,927,077 |
Total increase (decrease) in net assets | 4,957,899 | 8,544,171 |
Net Assets | ||
Beginning of period | 44,476,901 | 35,932,730 |
End of period (including undistributed net investment income of $117,651 and distributions in excess of net investment income of $7,648, respectively) | $ 49,434,800 | $ 44,476,901 |
Other Information Shares | ||
Sold | 108,600 | 150,977 |
Issued in reinvestment of distributions | 137 | 616 |
Redeemed | (49,125) | (95,759) |
Net increase (decrease) | 59,612 | 55,834 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights
Six months ended | Years ended December 31, | |||||
2005 | 2004 | 2003 | 2002 | 2001 | 2000 | |
Selected Per-Share Data | ||||||
Net asset value, beginning of period | $ 56.74 | $ 49.35 | $ 38.60 | $ 42.77 | $ 49.18 | $ 60.02 |
Income from Investment Operations | ||||||
Net investment income (loss) E | .15 | .04 | - G | .06 | .21 | .26 |
Net realized and unrealized gain (loss) | 1.72 | 7.40 | 10.79 | (4.18) | (6.40) | (4.24) |
Total from investment operations | 1.87 | 7.44 | 10.79 | (4.12) | (6.19) | (3.98) |
Distributions from net investment income | - | (.05) | (.04) | (.05) | (.22) | (.24) |
Distributions from net realized gain | (.01) | - | - | - | - | (5.59) |
Distributions in excess of net realized gain | - | - | - | - | - | (1.03) |
Total distributions | (.01) | (.05) | (.04) | (.05) | (.22) | (6.86) |
Net asset value, end of period | $ 58.60 | $ 56.74 | $ 49.35 | $ 38.60 | $ 42.77 | $ 49.18 |
Total Return B, C, D | 3.30% | 15.07% | 27.95% | (9.63)% | (12.59)% | (6.80)% |
Ratios to Average Net Assets F | ||||||
Expenses before expense reductions | .92% A | .94% | 1.00% | 1.03% | .96% | .87% |
Expenses net of voluntary waivers, if any | .92% A | .94% | 1.00% | 1.03% | .96% | .87% |
Expenses net of all reductions | .89% A | .92% | .98% | .99% | .91% | .84% |
Net investment income (loss) | .54% A | .08% | .01% | .14% | .49% | .45% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $ 49,435 | $ 44,477 | $ 35,933 | $ 27,586 | $ 32,159 | $ 40,220 |
Portfolio turnover rate | 58% A | 64% | 67% | 80% | 141% | 166% |
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower had certain expenses not been reduced during the periods shown.
D Total returns do not include the effect of the former sales charges.
E Calculated based on average shares outstanding during the period.
F Expense ratios reflect operating expenses of the fund. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or other expense offset arrangements and do not represent the amount paid by the fund during periods when reimbursements or reductions occur. Expenses net of any voluntary waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the fund.
G Amount represents less than $.01 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Notes to Financial Statements
For the period ended June 30, 2005
(Amounts in thousands except ratios)
1. Significant Accounting Policies.
Fidelity Contrafund (the fund) is a fund of Fidelity Contrafund (the trust) and is authorized to issue an unlimited number of shares. The trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Massachusetts business trust. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which require management to make certain estimates and assumptions at the date of the financial statements. The following summarizes the significant accounting policies of the fund:
Security Valuation. Net asset value per share (NAV calculation) is calculated as of the close of business of the New York Stock Exchange, normally 4:00 p.m. Eastern time. Equity securities, including restricted securities, for which market quotations are available are valued at the last sale price or official closing price (closing bid price or last evaluated quote if no sale has occurred) on the primary market or exchange on which they trade. Debt securities, including restricted securities, for which quotations are readily available are valued at their most recent bid prices (sales prices if the principal market is an exchange) in the principal market in which such securities are normally traded, as determined by recognized dealers in such securities, or securities are valued on the basis of information provided by a pricing service. Pricing services use valuation matrices that incorporate both dealer-supplied valuations and valuation models. If prices are not readily available or do not accurately reflect fair value for a security, or if a security's value has been materially affected by events occurring after the close of the exchange or market on which the security is principally traded, that security may be valued by another method that the Board of Trustees believes accurately reflects fair value. A security's valuation may differ depending on the method used for determining value. Price movements in futures contracts and ADRs, market and trading trends, the bid/ask quotes of brokers and off-exchange institutional trading may be reviewed in the course of making a good faith determination of a security's fair value. Short-term securities with remaining maturities of sixty days or less for which quotations are not readily available are valued on the basis of amortized cost. Investments in open-end investment companies are valued at their net asset value each business day.
Foreign Currency. The fund uses foreign currency contracts to facilitate transactions in foreign-denominated securities. Losses from these transactions may arise from changes in the value of the foreign currency or if the counterparties do not perform under the contracts' terms.
Semiannual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
1. Significant Accounting Policies - continued
Foreign Currency - continued
Foreign-denominated assets, including investment securities, and liabilities are translated into U.S. dollars at the exchange rate at period end. Purchases and sales of investment securities, income and dividends received and expenses denominated in foreign currencies are translated into U.S. dollars at the exchange rate in effect on the transaction date.
The effects of exchange rate fluctuations on investments are included with the net realized and unrealized gain (loss) on investment securities. Other foreign currency transactions resulting in realized and unrealized gain (loss) are disclosed separately.
Investment Transactions and Income. Security transactions are accounted for as of trade date. Gains and losses on securities sold are determined on the basis of identified cost and may include 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. Distributions received on securities that represent a return of capital or capital gain are recorded as a reduction of cost of investments and/or as a realized gain. The fund estimates the components of distributions received that may be considered return of capital distributions or capital gain distributions. Interest income is accrued as earned. Interest income includes coupon interest and amortization of premium and accretion of discount on debt securities. Investment income is recorded net of foreign taxes withheld where recovery of such taxes is uncertain.
Expenses. Most expenses of the trust can be directly attributed to a fund. Expenses which cannot be directly attributed are apportioned among each fund in the trust.
Deferred Trustee Compensation. Under a Deferred Compensation Plan (the Plan), independent Trustees must defer receipt of a portion of, and may elect to defer receipt of an additional portion of, their annual compensation. Deferred amounts are treated as though equivalent dollar amounts had been invested in shares of the fund or are invested in a cross-section of other Fidelity funds, and are marked-to-market. Deferred amounts remain in the fund until distributed in accordance with the Plan.
Income Tax Information and Distributions to Shareholders. Each year, the fund intends to qualify as a regulated investment company by distributing all of its taxable income and realized gains under Subchapter M of the Internal Revenue Code. As a result, no provision for income taxes is required in the accompanying financial statements. Foreign taxes are provided for based on the fund's understanding of the tax rules and rates that exist in the foreign markets in which it invests.
Semiannual Report
1. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders - continued
Distributions are recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from generally accepted accounting principles. 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. Temporary book-tax differences will reverse in a subsequent period.
Book-tax differences are primarily due to foreign currency transactions, passive foreign investment companies (PFIC), market discount, capital loss carryforwards and losses deferred due to wash sales.
The federal tax cost of investments and unrealized appreciation (depreciation) as of period end were as follows:
Unrealized appreciation | $ 13,400,127 | |
Unrealized depreciation | (396,616) | |
Net unrealized appreciation (depreciation) | $ 13,003,511 | |
Cost for federal income tax purposes | $ 36,942,249 |
2. Operating Policies.
Repurchase Agreements. Fidelity Management & Research Company (FMR) has received an Exemptive Order from the Securities and Exchange Commission (the SEC) which permits the fund and other affiliated entities of FMR to transfer uninvested cash balances into joint trading accounts which are then invested in repurchase agreements. The fund may also invest directly with institutions in repurchase agreements. Repurchase agreements are collateralized by government or non-government securities. Collateral is held in segregated accounts with custodian banks and may be obtained in the event of a default of the counterparty. The fund monitors, on a daily basis, the value of the collateral to ensure it is at least equal to the principal amount of the repurchase agreement (including accrued interest). In the event of a default by the counterparty, realization of the collateral proceeds could be delayed, during which time the value of the collateral may decline.
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.
Semiannual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
2. Operating Policies - continued
Loans and Other Direct Debt Instruments. The fund may invest in loans and loan participations, trade claims or other receivables. These investments may include standby financing commitments, including revolving credit facilities, that obligate the fund to supply additional cash to the borrower on demand. Loan participations involve a risk of insolvency of the lending bank or other financial intermediary. The fund may be contractually obligated to receive approval from the agent bank and/or borrower prior to the sale of these investments.
3. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities and U.S. government securities, aggregated $15,119,365 and $11,989,032, respectively.
4. Fees and Other Transactions with Affiliates.
Management Fee. FMR and its affiliates provide the fund with investment management related services for which the fund pays a monthly management fee. The management fee is the sum of an individual fund fee rate that is based on an annual rate of .30% of the fund's average net assets and a group fee rate that averaged .27% during the period. The group fee rate is based upon the average net assets of all the mutual funds advised by FMR. The group fee rate decreases as assets under management increase and increases as assets under management decrease. In addition, the management fee is subject to a performance adjustment (up to a maximum of ± .20% of the fund's average net assets over a 36 month performance period). The upward or downward adjustment to the management fee is based on the fund's relative investment performance as compared to an appropriate benchmark index. For the period, the total annualized management fee rate, including the performance adjustment, was .72% of the fund's average net assets.
Transfer Agent Fees. Fidelity Service Company, Inc. (FSC), an affiliate of FMR, is the fund's transfer, dividend disbursing and shareholder servicing agent. FSC receives account fees and asset-based fees that vary according to account size and type of account. FSC pays for typesetting, printing and mailing of shareholder reports, except proxy statements. For the period, the transfer agent fees were equivalent to an annualized rate of .18% of average net assets.
Accounting and Security Lending Fees. FSC maintains the fund's accounting records. The accounting fee is based on the level of average net assets for the month. Under a separate contract, FSC administers the security lending program. The security lending fee is based on the number and duration of lending transactions.
Semiannual Report
4. Fees and Other Transactions with Affiliates - continued
Central Funds. The fund may invest in affiliated Central Funds managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of FMR. The Central Funds are open-end investment companies available only to investment companies and other accounts managed by FMR and its affiliates. The Money Market Central Funds seek preservation of capital and current income. The Central Funds do not pay a management fee. Income distributions earned by the fund are recorded as income in the accompanying financial statements and totaled $61,551 for the period.
Brokerage Commissions. The fund placed a portion of its portfolio transactions with brokerage firms which are affiliates of the investment adviser. The commissions paid to these affiliated firms were $497 for the period.
5. Committed Line of Credit.
The fund participates with other funds managed by FMR in a $4.2 billion credit facility (the "line of credit") to be utilized for temporary or emergency purposes to fund shareholder redemptions or for other short-term liquidity purposes. The fund has agreed to pay commitment fees on its pro rata portion of the line of credit. During the period, there were no borrowings on this line of credit.
6. Security Lending.
The fund lends portfolio securities from time to time in order to earn additional income. The fund receives collateral (in the form of U.S. Treasury obligations, letters of credit and/or cash) against the loaned securities and maintains collateral in an amount not less than 100% of the market value of the loaned securities during the period of the loan. The market value of the loaned securities is determined at the close of business of the fund and any additional required collateral is delivered to the fund on the next business day. If the borrower defaults on its obligation to return the securities loaned because of insolvency or other reasons, a fund could experience delays and costs in recovering the securities loaned or in gaining access to the collateral. Cash collateral is invested in the Fidelity Securities Lending Cash Central Fund. The value of loaned securities and cash collateral at period end are disclosed on the fund's Statement of Assets and Liabilities.
Semiannual Report
Notes to Financial Statements - continued
(Amounts in thousands except ratios)
7. Expense Reductions.
Many of the brokers with whom FMR places trades on behalf of the fund provided services to the fund in addition to trade execution. These services included payments of certain expenses on behalf of the fund totaling $5,455 for the period. In addition, through arrangements with the fund's custodian and transfer agent, credits realized as a result of uninvested cash balances were used to reduce the fund's expenses. During the period, these credits reduced the fund's custody and transfer agent expenses by $11 and $461, respectively.
8. Other.
The fund's organizational documents provide former and current trustees 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.
Semiannual Report
Report of Independent Registered Public Accounting Firm
To the Trustees of Fidelity Contrafund and the Shareholders of Fidelity Contrafund:
In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Fidelity Contrafund (a fund of Fidelity Contrafund) at June 30, 2005 and the results of its operations, the changes in its net assets and the financial highlights for the periods indicated, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Fidelity Contrafund's management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at June 30, 2005 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.
/s/ PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP
Boston, Massachusetts
August 9, 2005
Semiannual Report
Proxy Voting Results
A special meeting of the fund's shareholders was held on January 19, 2005. The results of votes taken among shareholders on proposals before them are reported below. Each vote reported represents one dollar of net asset value held on the record date for the meeting.
PROPOSAL 1 | ||
To amend the Declaration of Trust to allow the Board of Trustees, if permitted by applicable law, to authorize fund mergers without shareholder approval.* | ||
# of | % of | |
Affirmative | 16,233,274,660.19 | 68.528 |
Against | 5,296,799,647.67 | 22.362 |
Abstain | 882,603,665.94 | 3.725 |
Broker | 1,275,700,696.03 | 5.385 |
TOTAL | 23,688,378,669.83 | 100.000 |
PROPOSAL 2 | ||
To elect a Board of Trustees. * | ||
# of | % of | |
Laura B. Cronin | ||
Affirmative | 21,964,545,020.52 | 92.723 |
Withheld | 1,723,833,649.31 | 7.277 |
TOTAL | 23,688,378,669.83 | 100.000 |
Dennis J. Dirks | ||
Affirmative | 22,473,495,368.70 | 94.871 |
Withheld | 1,214,883,301.13 | 5.129 |
TOTAL | 23,688,378,669.83 | 100.000 |
Robert M. Gates | ||
Affirmative | 22,429,215,739.51 | 94.684 |
Withheld | 1,259,162,930.32 | 5.316 |
TOTAL | 23,688,378,669.83 | 100.000 |
George H. Heilmeier | ||
Affirmative | 22,427,222,693.12 | 94.676 |
Withheld | 1,261,155,976.71 | 5.324 |
TOTAL | 23,688,378,669.83 | 100.000 |
# of | % of | |
Abigail P. Johnson | ||
Affirmative | 22,344,921,447.52 | 94.329 |
Withheld | 1,343,457,222.31 | 5.671 |
TOTAL | 23,688,378,669.83 | 100.000 |
Edward C. Johnson 3d | ||
Affirmative | 22,331,899,258.73 | 94.274 |
Withheld | 1,356,479,411.10 | 5.726 |
TOTAL | 23,688,378,669.83 | 100.000 |
Marie L. Knowles | ||
Affirmative | 22,457,370,997.41 | 94.803 |
Withheld | 1,231,007,672.42 | 5.197 |
TOTAL | 23,688,378,669.83 | 100.000 |
Ned C. Lautenbach | ||
Affirmative | 22,461,566,287.67 | 94.821 |
Withheld | 1,226,812,382.16 | 5.179 |
TOTAL | 23,688,378,669.83 | 100.000 |
Marvin L. Mann | ||
Affirmative | 22,418,349,134.25 | 94.639 |
Withheld | 1,270,029,535.58 | 5.361 |
TOTAL | 23,688,378,669.83 | 100.000 |
William O. McCoy | ||
Affirmative | 22,421,999,778.88 | 94.654 |
Withheld | 1,266,378,890.95 | 5.346 |
TOTAL | 23,688,378,669.83 | 100.000 |
Robert L. Reynolds | ||
Affirmative | 22,450,709,253.08 | 94.775 |
Withheld | 1,237,669,416.75 | 5.225 |
TOTAL | 23,688,378,669.83 | 100.000 |
Cornelia M. Small | ||
Affirmative | 22,437,020,012.08 | 94.717 |
Withheld | 1,251,358,657.75 | 5.283 |
TOTAL | 23,688,378,669.83 | 100.000 |
# of | % of | |
William S. Stavropoulos | ||
Affirmative | 22,435,472,051.80 | 94.711 |
Withheld | 1,252,906,618.03 | 5.289 |
TOTAL | 23,688,378,669.83 | 100.000 |
Kenneth L. Wolfe | ||
Affirmative | 22,441,579,247.31 | 94.737 |
Withheld | 1,246,799,422.52 | 5.263 |
TOTAL | 23,688,378,669.83 | 100.000 |
* Denotes trust-wide proposals and voting results. |
Semiannual Report
Investment Adviser
Fidelity Management & Research Company
Boston, MA
Investment Sub-Advisers
FMR Co., Inc.
Fidelity Management & Research
(U.K.) Inc.
Fidelity Management & Research
(Far East) Inc.
Fidelity Investments Japan Limited
Fidelity International Investment
Advisors
Fidelity International Investment
Advisors (U.K.) Limited
General Distributor
Fidelity Distributors Corporation
Boston, MA
Transfer and Service Agent
Fidelity Service Company, Inc. Boston, MA
Custodian
Brown Brothers Harriman & Co.
Boston, MA
The Fidelity Telephone Connection
Mutual Fund 24-Hour Service
Exchanges/Redemptions
and Account Assistance 1-800-544-6666
Product Information 1-800-544-6666
Retirement Accounts 1-800-544-4774
(8 a.m. - 9 p.m.)
TDD Service 1-800-544-0118
for the deaf and hearing impaired
(9 a.m. - 9 p.m. Eastern time)
Fidelity Automated Service
Telephone (FAST®) (automated graphic) 1-800-544-5555
(automated graphic) Automated line for quickest service
CON-USAN-0805
1.787777.102
(Fidelity Investment logo)(registered trademark)
Corporate Headquarters
82 Devonshire St., Boston, MA 02109
www.fidelity.com
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. Schedule of Investments
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 Contrafund'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 Contrafund'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 Contrafund
By: | /s/Christine Reynolds |
Christine Reynolds | |
President and Treasurer | |
Date: | August 19, 2005 |
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/Christine Reynolds |
Christine Reynolds | |
President and Treasurer | |
Date: | August 19, 2005 |
By: | /s/Timothy F. Hayes |
Timothy F. Hayes | |
Chief Financial Officer | |
Date: | August 19, 2005 |