SCHEDULE 14A INFORMATION |
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PROXY STATEMENT PURSUANT TO SECTION 14(a) |
OF THE SECURITIES EXCHANGE ACT OF 1934 |
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| Filed by the Registrant | [X] |
| Filed by a Party other than the Registrant | [ ] |
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Check the appropriate box: |
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[ ] | Preliminary Proxy Statement |
[ ] | Confidential, for Use of the Commission Only (as permitted by Rule 14a-6(e)(2)) |
[ ] | Definitive Proxy Statement |
[X] | Definitive Additional Materials |
[ ] | Soliciting Material under Rule 14a-12 |
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| Fidelity Salem Street Trust |
| (Name of Registrant as Specified In Its Charter) |
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Payment of Filing Fee (Check the appropriate box): |
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[X] | No fee required. |
[ ] | Fee computed on table below per Exchange Act Rules 14a-6(i)(1) and 0-11. |
| (1) | Title of each class of securities to which transaction applies: |
| (2) | Aggregate number of securities to which transaction applies: |
| (3) | Per unit price or other underlying value of transaction computed pursuant to Exchange Act Rule 0-11: |
| (4) | Proposed maximum aggregate value of transaction: |
| (5) | Total Fee Paid: |
[ ] | Fee paid previously with preliminary materials. |
[ ] | Check box if any part of the fee is offset as provided by Exchange Act Rule 0-11(a)(2) and identify the filing for which the offsetting fee was paid previously. Identify the previous filing by registration statement number, or the Form or Schedule and the date of its filing. |
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| (2) | Form, Schedule or Registration Statement No.: |
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November Plan Sponsor Notification (Cover Letter) (Draft).docx
To: Responsible Named Fiduciary or Plan Administrator
From: Fidelity Investments ("Fidelity")
Re: Merger of Fidelity® U.S. Government Reserves into the Fidelity® Government Money Market Fund,
Merger of Fidelity® Select Money Market Portfolio into the Fidelity® Money Market Fund and the
Merger of Prime Fund - Daily Money Class into the Fidelity® Government Money Market Fund
In July 2014, the U.S. Securities and Exchange Commission issued new regulations for money market mutual funds. Since the rules have been released, we have spent significant time reviewing the rules and listening to our customers' preferences. As part of Fidelity's continued efforts to address these new requirements, meet our customers' needs and simplify and strengthen our money market mutual fund product line, we are contacting you with information about the merger of Fidelity® U.S. Government Reserves, Fidelity® Select Money Market Portfolio and Prime Fund - Daily Money Class ("Merging Fund") into the Fidelity® Government Money Market Fund, Fidelity® Money Market Fund and Fidelity® Government Money Market Fund ("Successor Fund"), respectively.
[For clients with email addresses]
A special meeting of shareholders of the Fidelity funds mentioned above will be held on May 12, 2015, to seek shareholder approval to merge each Merging Fund into its corresponding Successor Fund (the "Merger").The Merging Fund is an investment in the plan(s) listed in the email transmittal (the "Plan"). Unless you provide alternative direction to Fidelity by July 2, 2015, the Merger will be reflected in the Plan as described below. For more information about the Merger please click here(provide hyperlink to supplemental information)
[For clients without email addresses]
A special meeting of shareholders of the Fidelity funds mentioned above will be held on May 12, 2015, to seek shareholder approval to merge each Merging Fund into its corresponding Successor Fund (the "Merger")..The Merging Fund is an investment in the plan(s) listed below (the "Plan"). Unless you provide alternative direction to Fidelity by July 2, 2015, the Merger will be reflected in the Plan as described below. For more information about the Merger please see the enclosed letter to Merging Fund shareholders.
Beginning on or about November 6, 2015, or as soon as administratively feasible thereafter (the "Merger Date"), subject to any required approval, the Merging Fund expects to merge into the Successor Fund as reflected below:
Merging Fund | Ticker | Successor Fund | Ticker | Merger Date (Appr) |
Fidelity® Select Money Market Portfolio | FSLXX | Fidelity® Money Market Fund | TBD | November 6, 2015 |
Prime Fund - Daily Money | FDAXX | Fidelity® Government Money Market Fund | TBD | November 13, 2015 |
Fidelity® U.S. Government Reserves | FGRXX | Fidelity® Government Money Market Fund | TBD | November 20, 2015 |
As a result, after the close of trading on the New York Stock Exchange (normally 4 p.m., Eastern Time) on the Merger Date:
1. The Successor Fund will be added as an investment option in the Plan. If the Merging Fund was a frozen (i.e. closed to new monies) investment option in the Plan, the Successor Fund will also be frozen.
2. Participants' balances in the Merging Fund will be transferred to the Successor Fund.
3. Pending exchanges and future loan repayments and contributions otherwise directed to the Merging Fund will be redirected to the Successor Fund.
4. The Merging Fund will be eliminated as an investment option in the Plan; and
5. The applicable recordkeeping, services and/or trust agreement for the Plan is deemed to be amended to reflect the Merger.
If you wish to map balances in the Merging Fund to an existing investment option in the Plan in lieu of the Successor Fund, please contact your Managing Director for a sample direction letter and amendment. The completed and signed direction must be received by Fidelity by July 2, 2015.
Prospectus Delivery
An updated prospectus for the Merging Fund, which describes the merger, is electronically available through the Mutual Fund Investment Detail page for the Plan on Fidelity NetBenefits orhttp://www.fidelity.com/workplacedocuments.
If the prospectus cannot be accessed, it may be obtained by contacting Fidelity.
Notifying Participants about the Merger
Applies to Emerging / Mid / Advisor Plans (plans that do not have participant communication support from Fidelity)
If the Plan is subject to the Employee Retirement Income Security Act of 1974 ("ERISA"), you may be required to notify all eligible employees and participants of these changes to the Plan's investment options under the ERISA section 404a-5 regulation and/or provide notification to meet other regulatory obligations, including under the ERISA section 404(c)(5) regulation. You are responsible for determining and meeting any applicable requirements.
Fidelity will not deliver participant notifications. However, once available, Fidelity will provide a sample communication that describes the Merger to help facilitate your participant communication efforts. If the Sponsor delivers a participant communication, consider that employees who become eligible for the Plan on or after that communication date may need to get the communication until the Plan's participant disclosure notice has been updated to reflect this change.
Applies to Strategic / Large / TEM Plans (plans that have participant communication support from Fidelity)
If the Plan is subject to the Employee Retirement Income Security Act of 1974 ("ERISA"), you may be required to notify all eligible employees and participants of these changes to the Plan's investment options under ERISA section 404(a) and related Department of Labor ("DOL") regulations, and/or provide notification to meet other regulatory obligations including under ERISA section 404(c)(5).
If the Plan is subject to ERISA, Fidelity will notify all Plan participants on Fidelity's recordkeeping platform of the Merger, prior to the Merger Date (or as soon thereafter as administratively feasible).
If the Plan is not subject to ERISA, at a minimum Fidelity will notify those Plan participants who are invested in the Merging Fund on the date that Fidelity generates the distribution list.
Employees who become eligible to participate in the Plan on or after Fidelity generates the distribution list for the notice but before the Plan's participant disclosure notice (if applicable) is updated to reflect these changes will not be notified by Fidelity of these changes. Such Participants may need to be informed of these changes by the Plan Sponsor in another manner.
Next Steps
If the changes to the Plan resulting from the Merger as described above are acceptable, no direction from you is required. If you wish to provide direction to Fidelity to process alternatively or if you have any questions, please contact your Managing Director.
Sincerely,
Fidelity Investments
For plan sponsor or investment professional use only
Fidelity Investments Institutional Operations Company, Inc.
IWS Flash Fidelity Proxy Mailings_v2.docx
Fidelity Flash Template for March 16, 2015
Category: Investment Products
Brief Title: Fidelity Money Market Proxy Mailing
Name: [Fidelity Rep Name]
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Full Article
Article: Fidelity Money Market Proxy Mailing
As communicated in the January 30, 2015 Flash Notice, Fidelity Investments announced the first set of proposed changes to their money market mutual funds, which are designed to align their product offerings to best meet investors' future cash investment needs. As a result, shareholders of several Fidelity Money Market funds (list below) will receive proxy statements that are mailing today, March 16, 2015.
Key Points:
[bullet] Fidelity proxies mailed to shareholders of record on March 16, 2015 as communicated in theJanuary 30, 2015 Flash Notice
[bullet] List of impacted funds below and accessproxy Q&A in early April, 2015
[bullet] New CUSIPs / symbols should be available
Conversion of Fidelity Prime Money Market Funds to Government Money Market Funds - - Shareholders of each applicable fund will receive a proxy statement asking for their approval of the proposed conversion of their fund from a "prime" fund to a government money market fund. Fidelity is proposing that the following funds be converted to government money market funds: Fidelity Cash Reserves, VIP Money Market Portfolio and FMMT Retirement Money Market Portfolio.
Current Fund Name | Current
Symbol | Proposed
New Name* | Eligible for Core Sweep | Record Date /
Customer Mailing | Meeting
Date | Anticipated
Effective Date |
Fidelity Cash Reserves | FDRXX | Fidelity Government Cash Reserves | Yes | March 16, 2015 | May 12, 2015 | Q4 2015 |
FMMT
Retirement Money Market Portfolio | FRTXX | FMMT Retirement Government Money Market II Portfolio | Position Only | March 16, 2015 | May 12, 2015 | Q4 2015 |
VIP Money
Market Portfolio | FAVMM | VIP Government Money Market
Portfolio | Position Only | March 16, 2015 | May 12, 2015 | Q4 2015 |
* If approved, each of the funds' symbols and CUSIPs will remain the same.
Fund Merger Proposals - Shareholders of certain funds will receive a proxy statement asking for their approval of the merger of their fund into another Fidelity money market fund. Fidelity is proposing that the following funds be merged into other acquiring funds: Select Money Market Fund, Cash Management Funds (CMF): Prime Fund, and U.S. Government Reserves.
Current Fund Name | Current
Symbol | Acquiring Fund* | Eligible for Core Sweep | Record Date / Customer Mailing | Meeting
Date | Anticipated
Merger
Date |
Select Money Market | FSLXX | Fidelity Money Market Premium Class | Position Only | March 16, 2015 | May 12,
2015 | Nov 2015 |
CMF Prime Fund: Daily Money Class** | FDAXX | Fidelity Government Money Market:
Daily Money Class | Core | March 16, 2015 | May 12,
2015 | Nov 2015 |
CMF Prime Fund: Capital Reserves Class** | FPRXX | Fidelity Government Money Market:
Capital Reserves | Core | March 16, 2015 | May 12,
2015 | Nov 2015 |
U.S. Government Reserves | FGRXX | Fidelity Government Money Market:
Premium Class | Position Only | March 16, 2015 | May 12,
2015 | Nov 2015 |
* If approved, impact will be name change, CUSIP/symbol change, and new investment objective.
** May be held as core for small number of accounts via exception.
To help advisors navigate such changes, Fidelity Institutional Wealth Services will provide ongoing communication and support. In addition, customer applications and online account opening tools will be updated to reflect such changes. We will communicate specific timelines for such work in the coming weeks. Please contact your IWS relationship manager if you have additional questions.
For investment professional use only. Not for distribution to the public.
Clearing, custody, or other brokerage services may be provided by National Financial Services LLC, or Fidelity Brokerage Services LLC, Members NYSE, SIPC.
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