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 811-3221
Fidelity Charles Street Trust
(Exact name of registrant as specified in charter)
245 Summer St., Boston, Massachusetts 02210
(Address of principal executive offices) (Zip code)
Scott C. Goebel, Secretary
245 Summer St.
Boston, Massachusetts 02210
(Name and address of agent for service)
Registrant's telephone number, including area code: 617-563-7000
Date of fiscal year end: | October 31 |
|
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Date of reporting period: | April 30, 2015 |
Item 1. Reports to Stockholders
Fidelity®
Global Balanced
Fund
Semiannual Report
April 30, 2015
(Fidelity Cover Art)
Contents
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, as well as financial highlights. | |
Notes | Notes to financial statements. |
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third-party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company. © 2015 FMR LLC. All rights reserved.
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 holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com, http://www.advisor.fidelity.com, or http://www.401k.com, as applicable.
NOT FDIC INSURED • MAY LOSE VALUE • NO BANK GUARANTEE
Neither the fund nor Fidelity Distributors Corporation is a bank.
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, redemption fees 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 (November 1, 2014 to April 30, 2015).
Actual Expenses
The first line of the accompanying table 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. 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. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table 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. 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. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
Semiannual Report
Shareholder Expense Example - continued
| Annualized | Beginning | Ending | Expenses Paid |
Class A | 1.29% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,015.30 | $ 6.45 |
HypotheticalA |
| $ 1,000.00 | $ 1,018.40 | $ 6.46 |
Class T | 1.57% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,013.90 | $ 7.84 |
HypotheticalA |
| $ 1,000.00 | $ 1,017.01 | $ 7.85 |
Class B | 2.07% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,010.90 | $ 10.32 |
HypotheticalA |
| $ 1,000.00 | $ 1,014.53 | $ 10.34 |
Class C | 2.10% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,010.70 | $ 10.47 |
HypotheticalA |
| $ 1,000.00 | $ 1,014.38 | $ 10.49 |
Global Balanced | 1.01% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,016.70 | $ 5.05 |
HypotheticalA |
| $ 1,000.00 | $ 1,019.79 | $ 5.06 |
Institutional Class | 1.03% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,016.60 | $ 5.15 |
HypotheticalA |
| $ 1,000.00 | $ 1,019.69 | $ 5.16 |
A 5% return per year before expenses
B Annualized expense ratio reflects expenses net of applicable fee waivers.
* Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period). The fees and expenses of the underlying Fidelity Central Funds in which the Fund invests are not included in each Class' annualized expense ratio.
In addition to the expenses noted above, the Fund also indirectly bears its proportional share of the expenses of the underlying Fidelity Central Funds. Annualized expenses of the underlying non-money market Fidelity Central Funds as of their most recent fiscal half year ranged from less than .01% to .01%.
Semiannual Report
Investment Changes (Unaudited)
The information in the following tables is based on the combined investments of the Fund and its pro-rata share of the investments of Fidelity's Fixed Income Central Funds. |
Geographic Diversification (% of fund's net assets) | |||
As of April 30, 2015 | |||
![]() | United States of America* 42.9% |
| |
![]() | Japan 15.6% |
| |
![]() | United Kingdom 7.6% |
| |
![]() | France 4.0% |
| |
![]() | Italy 3.9% |
| |
![]() | Germany 3.7% |
| |
![]() | Ireland 3.1% |
| |
![]() | Netherlands 2.5% |
| |
![]() | Spain 2.3% |
| |
![]() | Other 14.4% |
|
* Includes Short-Term Investments and Net Other Assets (Liabilities) |
Percentages are based on country or territory of incorporation and are adjusted for the effect of futures contracts, if applicable. |
As of October 31, 2014 | |||
![]() | United States of America* 47.4% |
| |
![]() | Japan 12.2% |
| |
![]() | United Kingdom 6.6% |
| |
![]() | Germany 5.7% |
| |
![]() | Italy 3.9% |
| |
![]() | France 3.5% |
| |
![]() | Canada 3.2% |
| |
![]() | Switzerland 2.2% |
| |
![]() | Spain 2.2% |
| |
![]() | Other 13.1% |
|
* Includes Short-Term Investments and Net Other Assets (Liabilities) |
Percentages are based on country or territory of incorporation and are adjusted for the effect of futures contracts, if applicable. |
Asset Allocation as of April 30, 2015 | ||
| % of fund's | % of fund's net assets |
Stocks | 58.8 | 57.5 |
Bonds | 31.9 | 36.3 |
Convertible Securities | 0.5 | 0.0 |
Other Investments | 1.8 | 0.6 |
Short-Term Investments and Net Other Assets (Liabilities) | 7.0 | 5.6 |
Top Five Stocks as of April 30, 2015 | ||
| % of fund's | % of fund's net assets |
McGraw Hill Financial, Inc. (United States of America) | 2.0 | 2.0 |
Adobe Systems, Inc. (United States of America) | 1.6 | 1.8 |
CVS Health Corp. (United States of America) | 1.4 | 1.3 |
Ameriprise Financial, Inc. (United States of America) | 1.1 | 1.8 |
Zebra Technologies Corp. Class A (United States of America) | 1.1 | 0.6 |
| 7.2 | |
Top Five Bond Issuers as of April 30, 2015 | ||
(with maturities greater than one year) | % of fund's | % of fund's net assets |
Japan Government | 5.4 | 8.3 |
Buoni del Tesoro Poliennali | 2.8 | 2.5 |
Spanish Kingdom | 1.8 | 1.7 |
French Government | 1.6 | 1.3 |
German Federal Republic | 1.2 | 3.2 |
| 12.8 | |
Market Sectors as of April 30, 2015 | ||
| % of fund's | % of fund's net assets |
Financials | 18.8 | 19.1 |
Health Care | 11.8 | 9.4 |
Information Technology | 9.6 | 9.5 |
Consumer Discretionary | 8.7 | 7.2 |
Industrials | 7.3 | 8.2 |
Consumer Staples | 6.0 | 5.1 |
Energy | 3.8 | 5.4 |
Materials | 2.0 | 3.0 |
Utilities | 1.3 | 1.6 |
Telecommunication Services | 1.2 | 1.1 |
An unaudited holdings listing for the Fund, which presents direct holdings as well as the pro-rata share of any securities and other investments held indirectly through its investment in underlying non-money market Fidelity Central Funds, is available at fidelity.com and/or advisor.fidelity.com, as applicable. |
Semiannual Report
Investments April 30, 2015 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 58.5% | |||
Shares | Value | ||
Australia - 1.7% | |||
AMP Ltd. | 108,504 | $ 552,968 | |
Ardent Leisure Group unit | 74,204 | 116,562 | |
Asciano Ltd. | 50,184 | 262,504 | |
Australia & New Zealand Banking Group Ltd. | 19,730 | 530,697 | |
BHP Billiton Ltd. | 27,213 | 694,921 | |
Cabcharge Australia Ltd. | 63,766 | 228,589 | |
Carsales.com Ltd. | 18,338 | 136,991 | |
Cimic Group Ltd. | 13,810 | 230,483 | |
Coca-Cola Amatil Ltd. | 25,263 | 205,317 | |
Commonwealth Bank of Australia | 19,811 | 1,393,254 | |
Computershare Ltd. | 46,507 | 453,049 | |
CSL Ltd. | 9,901 | 712,843 | |
John Fairfax Holdings Ltd. | 344,134 | 284,585 | |
Lend Lease Group unit | 37,128 | 471,569 | |
Lovisa Holdings Ltd. | 29,466 | 72,519 | |
Macquarie CountryWide Trust | 10,120 | 34,516 | |
Macquarie Group Ltd. | 8,920 | 550,378 | |
Mount Gibson Iron Ltd. | 449,069 | 72,851 | |
Myer Holdings Ltd. | 184,783 | 201,795 | |
Pact Group Holdings Ltd. | 63,653 | 207,532 | |
Paladin Energy Ltd. (Australia) (a) | 398,082 | 110,258 | |
QBE Insurance Group Ltd. | 48,836 | 529,455 | |
Sims Metal Management Ltd. | 49,453 | 422,263 | |
Slater & Gordon Ltd. | 21,236 | 106,544 | |
Suncorp Group Ltd. | 37,419 | 388,355 | |
Sunland Group Ltd. | 118,290 | 175,985 | |
Super Cheap Auto Group Ltd. | 24,958 | 195,135 | |
Sydney Airport unit | 133,563 | 569,696 | |
Transpacific Industries Group Ltd. | 202,645 | 122,678 | |
TOTAL AUSTRALIA | 10,034,292 | ||
Austria - 0.2% | |||
Andritz AG | 19,300 | 1,129,952 | |
Bailiwick of Jersey - 0.6% | |||
Randgold Resources Ltd. | 300 | 22,830 | |
Shire PLC | 31,200 | 2,535,425 | |
Wolseley PLC | 18,202 | 1,076,547 | |
TOTAL BAILIWICK OF JERSEY | 3,634,802 | ||
Common Stocks - continued | |||
Shares | Value | ||
Belgium - 0.5% | |||
Anheuser-Busch InBev SA NV ADR | 15,300 | $ 1,836,612 | |
KBC Groep NV | 21,102 | 1,388,370 | |
TOTAL BELGIUM | 3,224,982 | ||
Bermuda - 0.2% | |||
China Everbright Water Ltd. (a) | 202,400 | 171,318 | |
DVN Holdings Ltd. (a) | 1,043,000 | 174,942 | |
Signet Jewelers Ltd. | 2,000 | 268,260 | |
Travelport Worldwide Ltd. | 17,000 | 269,110 | |
Vostok Nafta Investment Ltd. SDR (a) | 47,500 | 313,862 | |
TOTAL BERMUDA | 1,197,492 | ||
Canada - 0.6% | |||
AG Growth International, Inc. | 100 | 4,334 | |
Agnico Eagle Mines Ltd. (Canada) | 900 | 27,242 | |
Agrium, Inc. | 350 | 36,262 | |
Alimentation Couche-Tard, Inc. Class B (sub. vtg.) | 1,800 | 68,897 | |
Allied Properties (REIT) | 840 | 27,849 | |
ARC Resources Ltd. | 2,450 | 50,137 | |
AutoCanada, Inc. | 280 | 9,271 | |
Avigilon Corp. (a) | 1,100 | 18,982 | |
Bank of Nova Scotia | 1,020 | 56,246 | |
Barrick Gold Corp. | 700 | 9,097 | |
Canadian National Railway Co. | 2,890 | 186,598 | |
Canadian Natural Resources Ltd. | 1,180 | 39,209 | |
CCL Industries, Inc. Class B | 320 | 36,790 | |
CGI Group, Inc. Class A (sub. vtg.) (a) | 1,270 | 53,453 | |
Constellation Software, Inc. | 110 | 43,125 | |
Constellation Software, Inc. rights 9/15/15 (a) | 110 | 33 | |
Eldorado Gold Corp. | 4,120 | 20,523 | |
Enbridge, Inc. | 3,150 | 164,641 | |
Fairfax Financial Holdings Ltd. (sub. vtg.) | 90 | 49,159 | |
George Weston Ltd. | 630 | 52,040 | |
Gildan Activewear, Inc. | 1,270 | 40,253 | |
Gluskin Sheff + Associates, Inc. | 630 | 14,840 | |
H&R REIT/H&R Finance Trust | 1,510 | 28,973 | |
IMAX Corp. (a) | 7,000 | 261,520 | |
Imperial Oil Ltd. | 2,210 | 97,412 | |
Intact Financial Corp. | 1,050 | 80,876 | |
Jean Coutu Group, Inc. Class A (sub. vtg.) | 2,260 | 43,982 | |
Keyera Corp. | 1,646 | 57,941 | |
Labrador Iron Ore Royalty Corp. | 740 | 8,832 | |
Common Stocks - continued | |||
Shares | Value | ||
Canada - continued | |||
Lundin Mining Corp. (a) | 5,340 | $ 26,556 | |
Manulife Financial Corp. | 1,050 | 19,111 | |
MDC Partners, Inc. Class A (sub. vtg.) | 300 | 6,282 | |
Metro, Inc. Class A (sub. vtg.) | 1,100 | 31,801 | |
National Bank of Canada | 1,570 | 63,438 | |
North West Co., Inc. | 1,060 | 21,754 | |
Novadaq Technologies, Inc. (a) | 280 | 3,027 | |
Open Text Corp. | 680 | 34,358 | |
Painted Pony Petroleum Ltd. (a) | 1,900 | 11,764 | |
Paramount Resources Ltd. Class A (a) | 350 | 10,354 | |
Parkland Fuel Corp. | 900 | 19,649 | |
Pason Systems, Inc. | 1,200 | 21,603 | |
Peyto Exploration & Development Corp. | 880 | 25,579 | |
Pizza Pizza Royalty Corp. | 140 | 1,654 | |
Potash Corp. of Saskatchewan, Inc. | 870 | 28,411 | |
Power Corp. of Canada (sub. vtg.) | 2,590 | 71,163 | |
PrairieSky Royalty Ltd. | 620 | 17,025 | |
Quebecor, Inc. Class B (sub. vtg.) | 680 | 18,701 | |
Raging River Exploration, Inc. (a) | 1,300 | 10,182 | |
Rogers Communications, Inc. Class B (non-vtg.) (e) | 2,520 | 90,022 | |
Romarco Minerals, Inc. (a) | 13,818 | 5,211 | |
RONA, Inc. | 2,290 | 30,141 | |
Royal Bank of Canada | 4,350 | 288,834 | |
Silver Wheaton Corp. | 1,470 | 28,998 | |
Spartan Energy Corp. (a) | 6,660 | 18,824 | |
Stantec, Inc. | 850 | 22,960 | |
Stella-Jones, Inc. | 460 | 16,581 | |
Sun Life Financial, Inc. | 3,020 | 96,645 | |
Suncor Energy, Inc. | 5,512 | 179,500 | |
Tahoe Resources, Inc. | 810 | 11,447 | |
TELUS Corp. | 2,990 | 103,417 | |
The Toronto-Dominion Bank | 5,790 | 267,305 | |
Torex Gold Resources, Inc. (a) | 10,180 | 9,450 | |
TransForce, Inc. | 1,060 | 23,941 | |
Valeant Pharmaceuticals International (Canada) (a) | 660 | 143,121 | |
Vermilion Energy, Inc. | 450 | 21,663 | |
West Fraser Timber Co. Ltd. | 600 | 30,873 | |
WestJet Airlines Ltd. | 840 | 18,986 | |
Whistler Blackcomb Holdings, Inc. | 320 | 4,838 | |
Whitecap Resources, Inc. | 2,360 | 29,243 | |
Common Stocks - continued | |||
Shares | Value | ||
Canada - continued | |||
Winpak Ltd. | 390 | $ 12,675 | |
ZCL Composites, Inc. | 3,020 | 19,249 | |
TOTAL CANADA | 3,504,853 | ||
Cayman Islands - 0.4% | |||
21Vianet Group, Inc. ADR (a) | 5,033 | 103,529 | |
CK Hutchison Holdings Ltd. | 23,500 | 510,899 | |
New Oriental Education & Technology Group, Inc. sponsored ADR (a) | 6,200 | 158,658 | |
Tencent Holdings Ltd. | 16,100 | 332,286 | |
Uni-President China Holdings Ltd. | 358,000 | 289,613 | |
Vipshop Holdings Ltd. ADR (a) | 28,000 | 792,120 | |
TOTAL CAYMAN ISLANDS | 2,187,105 | ||
China - 0.1% | |||
Ping An Insurance (Group) Co. of China Ltd. (H Shares) | 32,000 | 459,942 | |
Denmark - 0.6% | |||
Carlsberg A/S Series B | 13,300 | 1,212,542 | |
DSV de Sammensluttede Vognmaend A/S | 33,900 | 1,175,980 | |
Novo Nordisk A/S Series B | 5,000 | 280,703 | |
William Demant Holding A/S (a) | 12,900 | 1,055,895 | |
TOTAL DENMARK | 3,725,120 | ||
Finland - 1.0% | |||
Amer Group PLC (A Shares) | 45,500 | 1,138,683 | |
Cargotec Corp. (B Shares) | 58,300 | 2,350,404 | |
Huhtamaki Oyj | 32,300 | 1,032,559 | |
Kesko Oyj | 15,400 | 629,226 | |
Valmet Corp. | 79,700 | 923,673 | |
TOTAL FINLAND | 6,074,545 | ||
France - 1.8% | |||
bioMerieux SA | 12,500 | 1,348,519 | |
Bollore Group | 207,800 | 1,187,587 | |
Christian Dior SA | 7,605 | 1,486,786 | |
Havas SA | 135,700 | 1,131,840 | |
Ipsen SA | 21,900 | 1,257,674 | |
Publicis Groupe SA | 16,124 | 1,352,329 | |
Rexel SA | 78,300 | 1,475,693 | |
Total SA sponsored ADR | 13,000 | 703,300 | |
Wendel SA | 8,400 | 1,031,714 | |
TOTAL FRANCE | 10,975,442 | ||
Common Stocks - continued | |||
Shares | Value | ||
Germany - 1.6% | |||
adidas AG | 14,600 | $ 1,196,265 | |
Bayer AG | 14,900 | 2,144,596 | |
Brenntag AG | 18,300 | 1,098,012 | |
CompuGroup Medical AG | 20,100 | 574,534 | |
Continental AG (e) | 5,800 | 1,359,258 | |
Deutsche Annington Immobilien SE | 13,085 | 439,200 | |
Fresenius SE & Co. KGaA | 25,200 | 1,499,222 | |
GEA Group AG | 23,596 | 1,133,220 | |
MLP AG | 25,383 | 108,500 | |
TOTAL GERMANY | 9,552,807 | ||
Hong Kong - 0.6% | |||
AIA Group Ltd. | 242,800 | 1,622,729 | |
Lenovo Group Ltd. | 216,000 | 373,444 | |
Power Assets Holdings Ltd. | 28,500 | 288,473 | |
SJM Holdings Ltd. | 297,000 | 378,217 | |
Techtronic Industries Co. Ltd. | 115,500 | 410,555 | |
Wharf Holdings Ltd. | 45,000 | 325,429 | |
TOTAL HONG KONG | 3,398,847 | ||
Ireland - 2.7% | |||
Actavis PLC (a) | 23,850 | 6,746,211 | |
Alkermes PLC (a) | 44,400 | 2,458,428 | |
DCC PLC (United Kingdom) | 13,000 | 826,977 | |
Endo Health Solutions, Inc. (a) | 9,000 | 756,585 | |
Greencore Group PLC | 111,821 | 606,806 | |
James Hardie Industries PLC CDI | 33,849 | 391,349 | |
Medtronic PLC | 33,000 | 2,456,850 | |
Prothena Corp. PLC (a) | 3,000 | 97,230 | |
Ryanair Holdings PLC sponsored ADR | 10,000 | 648,500 | |
United Drug PLC (United Kingdom) | 164,090 | 1,334,545 | |
TOTAL IRELAND | 16,323,481 | ||
Isle of Man - 0.5% | |||
Optimal Payments PLC (a) | 194,600 | 884,327 | |
Optimal Payments PLC rights 5/1/15 (a) | 324,333 | 688,553 | |
Playtech Ltd. | 126,880 | 1,593,966 | |
TOTAL ISLE OF MAN | 3,166,846 | ||
Common Stocks - continued | |||
Shares | Value | ||
Israel - 0.2% | |||
Sarine Technologies Ltd. | 268,100 | $ 415,360 | |
Teva Pharmaceutical Industries Ltd. sponsored ADR | 9,000 | 543,780 | |
TOTAL ISRAEL | 959,140 | ||
Italy - 0.2% | |||
Amplifon SpA | 153,000 | 1,191,717 | |
Japan - 6.3% | |||
AEON Financial Service Co. Ltd. | 41,000 | 1,045,195 | |
Asahi Group Holdings | 33,800 | 1,086,908 | |
Asahi Kasei Corp. | 33,000 | 310,749 | |
Bridgestone Corp. | 36,800 | 1,541,320 | |
Dai-ichi Mutual Life Insurance Co. | 50,300 | 826,726 | |
Daikin Industries Ltd. | 15,300 | 1,030,746 | |
Fanuc Corp. | 600 | 131,978 | |
Fuji Heavy Industries Ltd. | 30,700 | 1,026,609 | |
Furukawa Electric Co. Ltd. | 250,000 | 458,224 | |
Hitachi Metals Ltd. | 85,000 | 1,329,335 | |
Hoya Corp. | 35,900 | 1,383,618 | |
KDDI Corp. | 34,200 | 809,252 | |
Kubota Corp. | 65,000 | 1,017,316 | |
Kyocera Corp. | 2,000 | 104,403 | |
LIXIL Group Corp. | 47,900 | 998,406 | |
Mitsubishi Electric Corp. | 22,000 | 287,314 | |
Mitsubishi Heavy Industries Ltd. | 211,000 | 1,169,093 | |
NEC Corp. | 460,000 | 1,530,425 | |
Nihon Kohden Corp. | 31,300 | 822,454 | |
Nihon Parkerizing Co. Ltd. | 36,800 | 418,372 | |
Nintendo Co. Ltd. | 5,000 | 839,500 | |
Nippon Ceramic Co. Ltd. | 25,900 | 369,126 | |
Nippon Shinyaku Co. Ltd. | 12,000 | 401,203 | |
Nissan Motor Co. Ltd. | 36,400 | 377,857 | |
OMRON Corp. | 3,000 | 137,754 | |
ORIX Corp. | 122,400 | 1,882,316 | |
Panasonic Corp. | 114,100 | 1,634,354 | |
Rakuten, Inc. | 27,700 | 483,931 | |
ROHM Co. Ltd. | 15,600 | 1,082,091 | |
Seiko Epson Corp. | 31,600 | 552,190 | |
SoftBank Corp. | 26,500 | 1,656,524 | |
Stanley Electric Co. Ltd. | 43,000 | 964,818 | |
Sumitomo Mitsui Financial Group, Inc. | 39,700 | 1,733,485 | |
Sumitomo Mitsui Trust Holdings, Inc. | 261,000 | 1,148,906 | |
T&D Holdings, Inc. | 53,900 | 777,766 | |
Common Stocks - continued | |||
Shares | Value | ||
Japan - continued | |||
Temp Holdings Co., Ltd. | 28,100 | $ 890,015 | |
Tokyo Electron Ltd. | 6,400 | 350,799 | |
Tokyo Tatemono Co. Ltd. | 77,000 | 558,301 | |
Toray Industries, Inc. | 97,000 | 843,187 | |
Tosoh Corp. | 173,000 | 927,499 | |
Toyota Motor Corp. | 22,500 | 1,566,206 | |
Yahoo! Japan Corp. | 159,400 | 651,186 | |
Yamaha Motor Co. Ltd. | 46,400 | 1,091,893 | |
TOTAL JAPAN | 38,249,350 | ||
Korea (South) - 0.0% | |||
Samsung Electronics Co. Ltd. | 100 | 130,906 | |
Luxembourg - 0.0% | |||
Samsonite International SA | 72,900 | 266,654 | |
Netherlands - 0.9% | |||
ING Groep NV (Certificaten Van Aandelen) | 114,900 | 1,762,745 | |
LyondellBasell Industries NV Class A | 50 | 5,176 | |
NXP Semiconductors NV (a) | 21,000 | 2,018,520 | |
Reed Elsevier NV | 46,633 | 1,124,668 | |
Unilever NV (NY Reg.) | 6,000 | 260,880 | |
TOTAL NETHERLANDS | 5,171,989 | ||
Norway - 0.2% | |||
TGS Nopec Geophysical Co. ASA | 51,200 | 1,302,989 | |
Singapore - 0.0% | |||
Rex International Holdings Ltd. (a) | 967,400 | 230,299 | |
Spain - 0.4% | |||
Amadeus IT Holding SA Class A | 32,000 | 1,458,623 | |
Red Electrica Corporacion SA | 13,300 | 1,116,201 | |
TOTAL SPAIN | 2,574,824 | ||
Sweden - 2.1% | |||
Elekta AB (B Shares) | 94,698 | 886,110 | |
Getinge AB (B Shares) | 117,400 | 2,853,395 | |
Hemfosa Fastigheter AB (a) | 45,500 | 1,051,276 | |
Indutrade AB | 24,000 | 1,172,446 | |
Kungsleden AB | 138,395 | 1,007,361 | |
Lundbergfoeretagen AB | 21,600 | 1,014,536 | |
Nordea Bank AB | 78,400 | 996,084 | |
SKF AB (B Shares) | 48,900 | 1,194,385 | |
Svenska Cellulosa AB (SCA) (B Shares) | 49,600 | 1,254,631 | |
Common Stocks - continued | |||
Shares | Value | ||
Sweden - continued | |||
Svenska Handelsbanken AB (A Shares) | 19,200 | $ 886,252 | |
Volvo AB (B Shares) | 13,000 | 179,598 | |
TOTAL SWEDEN | 12,496,074 | ||
Switzerland - 1.2% | |||
Julius Baer Group Ltd. | 23,500 | 1,230,008 | |
Roche Holding AG (participation certificate) | 12,917 | 3,696,265 | |
Sonova Holding AG Class B | 7,986 | 1,103,303 | |
TE Connectivity Ltd. | 19,200 | 1,277,760 | |
TOTAL SWITZERLAND | 7,307,336 | ||
United Kingdom - 5.2% | |||
Aberdeen Asset Management PLC | 136,143 | 988,599 | |
Babcock International Group PLC | 109,930 | 1,695,772 | |
British American Tobacco PLC (United Kingdom) | 43,300 | 2,379,060 | |
British Land Co. PLC | 90,300 | 1,150,091 | |
Bunzl PLC | 39,469 | 1,109,761 | |
Compass Group PLC | 58,535 | 1,034,766 | |
Dechra Pharmaceuticals PLC | 46,600 | 728,103 | |
Diageo PLC | 62,749 | 1,742,061 | |
Diploma PLC | 81,000 | 993,558 | |
Essentra PLC | 70,200 | 1,030,488 | |
HSBC Holdings PLC (United Kingdom) | 223,500 | 2,232,654 | |
ITV PLC | 249,800 | 969,853 | |
JUST EAT Ltd. (a) | 5,000 | 35,062 | |
Land Securities Group PLC | 62,612 | 1,198,177 | |
Lloyds Banking Group PLC | 1,448,300 | 1,715,190 | |
London Stock Exchange Group PLC | 28,245 | 1,099,448 | |
Micro Focus International PLC | 400 | 7,699 | |
Prudential PLC | 69,511 | 1,730,653 | |
Rolls-Royce Group PLC | 98,827 | 1,575,590 | |
Royal & Sun Alliance Insurance Group PLC | 190,585 | 1,246,761 | |
Schroders PLC | 13,600 | 674,538 | |
Shawbrook Group Ltd. | 47,900 | 226,061 | |
St. James's Place Capital PLC | 39,600 | 540,172 | |
Standard Chartered PLC: | |||
(Hong Kong) | 21,400 | 353,420 | |
(United Kingdom) | 149,650 | 2,450,101 | |
Unite Group PLC | 118,300 | 1,082,288 | |
William Hill PLC | 215,600 | 1,191,217 | |
TOTAL UNITED KINGDOM | 31,181,143 | ||
Common Stocks - continued | |||
Shares | Value | ||
United States of America - 28.7% | |||
AbbVie, Inc. | 13,000 | $ 840,580 | |
Adobe Systems, Inc. (a) | 125,200 | 9,522,712 | |
Agios Pharmaceuticals, Inc. (a) | 3,000 | 277,020 | |
Alaska Air Group, Inc. | 30,000 | 1,921,800 | |
Alnylam Pharmaceuticals, Inc. (a) | 1,726 | 175,828 | |
AMAG Pharmaceuticals, Inc. (a) | 2,000 | 101,940 | |
Amazon.com, Inc. (a) | 6,700 | 2,825,926 | |
American Airlines Group, Inc. | 41,400 | 1,998,999 | |
Ameriprise Financial, Inc. | 54,700 | 6,852,816 | |
Amgen, Inc. | 6,000 | 947,460 | |
Amphenol Corp. Class A | 3,700 | 204,869 | |
AutoZone, Inc. (a) | 2,500 | 1,681,650 | |
Avalanche Biotechnologies, Inc. (a) | 1,500 | 47,790 | |
Babcock & Wilcox Co. | 10,000 | 323,200 | |
Biogen, Inc. (a) | 11,200 | 4,188,016 | |
BioMarin Pharmaceutical, Inc. (a) | 9,000 | 1,008,450 | |
BlackRock, Inc. Class A | 1,700 | 618,698 | |
bluebird bio, Inc. (a) | 3,100 | 412,889 | |
Booz Allen Hamilton Holding Corp. Class A | 25,000 | 687,500 | |
Cabot Oil & Gas Corp. | 62,000 | 2,096,840 | |
California Resources Corp. | 11,000 | 102,300 | |
CDW Corp. | 1,000 | 38,320 | |
Celgene Corp. (a) | 12,000 | 1,296,720 | |
Celldex Therapeutics, Inc. (a) | 2,300 | 55,200 | |
Charles Schwab Corp. | 10,000 | 305,000 | |
Chimerix, Inc. (a) | 1,600 | 54,400 | |
Church & Dwight Co., Inc. | 4,000 | 324,680 | |
Cidara Therapeutics, Inc. | 5,564 | 81,346 | |
Cigna Corp. | 8,300 | 1,034,512 | |
Cognizant Technology Solutions Corp. Class A (a) | 15,000 | 878,100 | |
CommScope Holding Co., Inc. (a) | 13,000 | 383,630 | |
Constellation Brands, Inc. Class A (sub. vtg.) (a) | 21,000 | 2,434,740 | |
CVS Health Corp. | 84,500 | 8,390,005 | |
Denbury Resources, Inc. (e) | 326,000 | 2,872,060 | |
Diamondback Energy, Inc. (a) | 8,000 | 660,560 | |
Diplomat Pharmacy, Inc. (e) | 15,000 | 537,300 | |
Domino's Pizza, Inc. | 3,000 | 323,550 | |
Dyax Corp. (a) | 4,000 | 95,640 | |
Dynegy, Inc. (a) | 72,900 | 2,425,383 | |
E*TRADE Financial Corp. (a) | 5,000 | 143,950 | |
Ecolab, Inc. | 7,100 | 795,058 | |
Electronic Arts, Inc. (a) | 8,000 | 464,720 | |
Common Stocks - continued | |||
Shares | Value | ||
United States of America - continued | |||
Energizer Holdings, Inc. | 20 | $ 2,732 | |
EQT Corp. | 25,000 | 2,248,500 | |
Estee Lauder Companies, Inc. Class A | 19,200 | 1,560,768 | |
Etsy, Inc. | 2,100 | 46,704 | |
Facebook, Inc. Class A (a) | 63,800 | 5,025,526 | |
FedEx Corp. | 2,900 | 491,753 | |
Ford Motor Co. | 40,000 | 632,000 | |
Freeport-McMoRan, Inc. | 790 | 18,383 | |
Gilead Sciences, Inc. (a) | 64,000 | 6,432,640 | |
Google, Inc. Class A (a) | 4,700 | 2,579,219 | |
HD Supply Holdings, Inc. (a) | 13,000 | 429,000 | |
Home Depot, Inc. | 22,000 | 2,353,560 | |
Huntington Ingalls Industries, Inc. | 2,000 | 263,180 | |
Illumina, Inc. (a) | 100 | 18,425 | |
inContact, Inc. (a) | 85,000 | 879,750 | |
Interactive Intelligence Group, Inc. (a) | 2,000 | 87,960 | |
Intercept Pharmaceuticals, Inc. (a) | 10,600 | 2,679,786 | |
Intrexon Corp. (a) | 15,000 | 582,450 | |
Intuit, Inc. | 31,200 | 3,130,296 | |
Isis Pharmaceuticals, Inc. (a) | 3,700 | 209,864 | |
J.B. Hunt Transport Services, Inc. | 10,000 | 872,000 | |
Level 3 Communications, Inc. (a) | 33,000 | 1,846,020 | |
LinkedIn Corp. Class A (a) | 1,000 | 252,130 | |
Lithia Motors, Inc. Class A (sub. vtg.) | 3,900 | 388,947 | |
Lowe's Companies, Inc. | 3,300 | 227,238 | |
lululemon athletica, Inc. (a) | 12,000 | 763,680 | |
Marathon Petroleum Corp. | 25,500 | 2,513,535 | |
MarketAxess Holdings, Inc. | 1,200 | 103,020 | |
MasterCard, Inc. Class A | 43,800 | 3,951,198 | |
McGraw Hill Financial, Inc. | 114,000 | 11,890,200 | |
Mead Johnson Nutrition Co. Class A | 10,150 | 973,588 | |
Microsoft Corp. | 27,000 | 1,313,280 | |
Moody's Corp. | 24,000 | 2,580,480 | |
Neurocrine Biosciences, Inc. (a) | 19,000 | 647,710 | |
Newfield Exploration Co. (a) | 67,000 | 2,629,080 | |
NiSource, Inc. | 56,500 | 2,453,230 | |
Novavax, Inc. (a) | 7,000 | 54,110 | |
Nu Skin Enterprises, Inc. Class A | 3,700 | 209,235 | |
NVIDIA Corp. | 6,000 | 133,170 | |
O'Reilly Automotive, Inc. (a) | 2,800 | 609,924 | |
PACCAR, Inc. | 3,000 | 196,050 | |
Palo Alto Networks, Inc. (a) | 1,200 | 177,264 | |
Common Stocks - continued | |||
Shares | Value | ||
United States of America - continued | |||
Papa John's International, Inc. | 6,000 | $ 368,220 | |
Party City Holdco, Inc. | 2,500 | 51,975 | |
PDC Energy, Inc. (a) | 3,000 | 170,220 | |
Philip Morris International, Inc. | 16,000 | 1,335,520 | |
Pinnacle Foods, Inc. | 18,000 | 729,900 | |
Post Holdings, Inc. (a) | 6,000 | 281,640 | |
Prestige Brands Holdings, Inc. (a) | 85,000 | 3,336,250 | |
Priceline Group, Inc. (a) | 500 | 618,905 | |
Range Resources Corp. | 26,000 | 1,652,560 | |
Red Hat, Inc. (a) | 3,300 | 248,358 | |
Rock-Tenn Co. Class A | 10,000 | 629,800 | |
Ross Stores, Inc. | 5,000 | 494,400 | |
Royal Gold, Inc. | 300 | 19,359 | |
Sage Therapeutics, Inc. | 1,300 | 68,900 | |
Salesforce.com, Inc. (a) | 4,300 | 313,126 | |
ServiceMaster Global Holdings, Inc. | 29,000 | 1,002,240 | |
Skyworks Solutions, Inc. | 11,000 | 1,014,750 | |
SolarWinds, Inc. (a) | 2,000 | 97,560 | |
Spark Therapeutics, Inc. | 1,000 | 57,270 | |
Spirit Airlines, Inc. (a) | 31,300 | 2,143,111 | |
Sprouts Farmers Market LLC (a) | 21,000 | 671,685 | |
SVB Financial Group (a) | 15,900 | 2,110,884 | |
Teleflex, Inc. | 2,000 | 245,920 | |
TESARO, Inc. (a) | 2,000 | 108,940 | |
Tetraphase Pharmaceuticals, Inc. (a) | 3,000 | 105,840 | |
The Blackstone Group LP | 9,000 | 368,640 | |
The Coca-Cola Co. | 6,000 | 243,360 | |
The Cooper Companies, Inc. | 10,400 | 1,851,928 | |
The Hain Celestial Group, Inc. (a) | 14,000 | 843,360 | |
The J.M. Smucker Co. | 4,000 | 463,680 | |
The Walt Disney Co. | 25,400 | 2,761,488 | |
Twitter, Inc. (a) | 42,000 | 1,636,320 | |
Ulta Salon, Cosmetics & Fragrance, Inc. (a) | 5,000 | 755,450 | |
Ultragenyx Pharmaceutical, Inc. (a) | 4,100 | 231,363 | |
UnitedHealth Group, Inc. | 23,000 | 2,562,200 | |
Visa, Inc. Class A | 50,000 | 3,302,500 | |
Walgreens Boots Alliance, Inc. | 14,700 | 1,219,071 | |
Wells Fargo & Co. | 76,000 | 4,187,600 | |
Whirlpool Corp. | 11,300 | 1,984,280 | |
WPX Energy, Inc. (a) | 81,000 | 1,113,750 | |
Common Stocks - continued | |||
Shares | Value | ||
United States of America - continued | |||
Zebra Technologies Corp. Class A (a) | 74,000 | $ 6,813,920 | |
Zendesk, Inc. | 5,000 | 115,300 | |
TOTAL UNITED STATES OF AMERICA | 173,221,285 | ||
TOTAL COMMON STOCKS (Cost $305,600,794) |
| ||
Preferred Stocks - 0.8% | |||
|
|
|
|
Convertible Preferred Stocks - 0.5% | |||
United States of America - 0.5% | |||
Actavis PLC 5.50% | 1,700 | 1,701,122 | |
American Tower Corp. 5.50% (a) | 12,900 | 1,323,540 | |
Dynegy, Inc. 5.375% (a) | 2,500 | 283,775 | |
TOTAL UNITED STATES OF AMERICA | 3,308,437 | ||
Nonconvertible Preferred Stocks - 0.3% | |||
Germany - 0.3% | |||
Volkswagen AG | 6,000 | 1,544,675 | |
United Kingdom - 0.0% | |||
Rolls-Royce Group PLC | 13,934,607 | 21,390 | |
Rolls-Royce Group PLC (C Shares) (a) | 30,690,583 | 47,110 | |
TOTAL UNITED KINGDOM | 68,500 | ||
TOTAL NONCONVERTIBLE PREFERRED STOCKS | 1,613,175 | ||
TOTAL PREFERRED STOCKS (Cost $4,272,256) |
| ||
Investment Companies - 1.2% | |||
|
|
|
|
United States of America - 1.2% | |||
iShares Barclays 20+ Year Treasury Bond ETF (e) | 55,300 |
|
Nonconvertible Bonds - 10.6% | ||||
| Principal Amount (d) | Value | ||
Australia - 0.1% | ||||
Aurizon Network Pty Ltd. 2% 9/18/24 (Reg. S) (d) | EUR | 450,000 | $ 517,874 | |
Rio Tinto Finance (U.S.A.) Ltd. 9% 5/1/19 | 250,000 | 314,460 | ||
TOTAL AUSTRALIA | 832,334 | |||
Bailiwick of Jersey - 0.3% | ||||
AA Bond Co. Ltd.: | ||||
3.781% 7/31/43 (Reg S.) | GBP | 500,000 | 796,358 | |
4.7201% 7/31/18 (Reg. S) | GBP | 600,000 | 984,346 | |
TOTAL BAILIWICK OF JERSEY | 1,780,704 | |||
British Virgin Islands - 0.1% | ||||
CNOOC Finance 2011 Ltd. 4.25% 1/26/21 | 400,000 | 428,460 | ||
Canada - 0.2% | ||||
Methanex Corp. 4.25% 12/1/24 | 1,250,000 | 1,275,050 | ||
The Toronto Dominion Bank 2.375% 10/19/16 | 250,000 | 255,901 | ||
TOTAL CANADA | 1,530,951 | |||
Cayman Islands - 0.2% | ||||
Bishopgate Asset Finance Ltd. 4.808% 8/14/44 | GBP | 177,771 | 280,363 | |
IPIC GMTN Ltd.: | ||||
5.875% 3/14/21 (Reg. S) | EUR | 175,000 | 252,010 | |
6.875% 3/14/26 | GBP | 150,000 | 309,686 | |
Yorkshire Water Services Finance Ltd. 6.375% 8/19/39 | GBP | 100,000 | 217,017 | |
TOTAL CAYMAN ISLANDS | 1,059,076 | |||
France - 0.5% | ||||
Arkema SA 3.85% 4/30/20 | EUR | 300,000 | 386,868 | |
Banque Federative du Credit Mutuel SA 2.5% 10/29/18 (f) | 350,000 | 358,370 | ||
Bureau Veritas SA 3.125% 1/21/21 (Reg. S) | EUR | 500,000 | 615,998 | |
EDF SA 4.625% 9/11/24 | EUR | 150,000 | 219,586 | |
HSBC SFH France SA 2% 10/16/23 | EUR | 800,000 | 1,012,481 | |
Iliad SA 4.875% 6/1/16 | EUR | 500,000 | 585,467 | |
TOTAL FRANCE | 3,178,770 | |||
Germany - 0.6% | ||||
Deutsche Bank AG 1.25% 9/8/21 | EUR | 1,400,000 | 1,594,201 | |
Deutsche Bank AG London Branch 1.875% 2/13/18 | 400,000 | 401,635 | ||
Infineon Technologies AG 1.5% 3/10/22 (Reg. S) | EUR | 800,000 | 894,567 | |
Nonconvertible Bonds - continued | ||||
| Principal Amount (d) | Value | ||
Germany - continued | ||||
ProSiebenSat.1 Media AG 2.625% 4/15/21 (Reg S.) | EUR | 550,000 | $ 652,777 | |
Vier Gas Transport GmbH 2.875% 6/12/25 (Reg. S) | EUR | 200,000 | 258,296 | |
TOTAL GERMANY | 3,801,476 | |||
Hong Kong - 0.1% | ||||
Wharf Finance Ltd. 4.625% 2/8/17 | 400,000 | 417,911 | ||
Ireland - 0.4% | ||||
Aquarius & Investments PLC 4.25% 10/2/43 (h) | EUR | 150,000 | 195,738 | |
GE Capital UK Funding 4.375% 7/31/19 | GBP | 450,000 | 760,973 | |
Medtronic, Inc.: | ||||
3.5% 3/15/25 (f) | 700,000 | 724,186 | ||
4.375% 3/15/35 (f) | 450,000 | 475,308 | ||
4.625% 3/15/45 (f) | 450,000 | 484,524 | ||
TOTAL IRELAND | 2,640,729 | |||
Italy - 0.2% | ||||
Banco Popolare Societa Cooperativa 3.5% 3/14/19 | EUR | 600,000 | 707,403 | |
Intesa Sanpaolo SpA 4.875% 7/10/15 | EUR | 300,000 | 339,627 | |
TOTAL ITALY | 1,047,030 | |||
Japan - 0.1% | ||||
Sumitomo Life Insurance Co. 6.5% 9/20/73 (Reg. S) (h) | 400,000 | 473,600 | ||
Korea (South) - 0.2% | ||||
Export-Import Bank of Korea 5% 4/11/22 | 200,000 | 229,713 | ||
Korea Resources Corp. 2.125% 5/2/18 (Reg. S) | 200,000 | 200,771 | ||
National Agricultural Cooperative Federation 4.25% 1/28/16 (Reg. S) | 450,000 | 459,815 | ||
Nonghyup Bank 2.625% 11/1/18 (Reg. S) | 200,000 | 204,144 | ||
TOTAL KOREA (SOUTH) | 1,094,443 | |||
Luxembourg - 0.2% | ||||
Actavis Funding SCS: | ||||
3% 3/12/20 | 250,000 | 254,332 | ||
3.45% 3/15/22 | 250,000 | 254,128 | ||
3.8% 3/15/25 | 350,000 | 353,922 | ||
4.55% 3/15/35 | 200,000 | 200,682 | ||
4.75% 3/15/45 | 150,000 | 151,228 | ||
TOTAL LUXEMBOURG | 1,214,292 | |||
Netherlands - 0.7% | ||||
Achmea BV 2.5% 11/19/20 | EUR | 500,000 | 606,177 | |
Coca Cola HBC Finance BV 2.375% 6/18/20 | EUR | 400,000 | 475,431 | |
Nonconvertible Bonds - continued | ||||
| Principal Amount (d) | Value | ||
Netherlands - continued | ||||
Deutsche Annington Finance BV: | ||||
3.2% 10/2/17 (f) | $ 350,000 | $ 359,008 | ||
5% 10/2/23 (f) | 450,000 | 489,356 | ||
Heineken NV 1.4% 10/1/17 (f) | 550,000 | 552,187 | ||
LYB International Finance BV: | ||||
4% 7/15/23 | 500,000 | 529,334 | ||
4.875% 3/15/44 | 500,000 | 528,187 | ||
Volkswagen International Finance NV 2.375% 3/22/17 (f) | 400,000 | 408,590 | ||
Wuerth Finance International BV 1.75% 5/21/20 | EUR | 150,000 | 178,023 | |
TOTAL NETHERLANDS | 4,126,293 | |||
Norway - 0.1% | ||||
DNB Boligkreditt A/S 1.45% 3/21/19 (f) | 400,000 | 399,638 | ||
Singapore - 0.1% | ||||
CMT MTN Pte. Ltd. 3.731% 3/21/18 (Reg. S) | 400,000 | 418,526 | ||
PSA International Pte Ltd. 4.625% 9/11/19 (Reg. S) | 250,000 | 276,730 | ||
TOTAL SINGAPORE | 695,256 | |||
Spain - 0.1% | ||||
BBVA U.S. Senior SA 4.664% 10/9/15 | 500,000 | 508,057 | ||
Sweden - 0.1% | ||||
Svenska Handelsbanken AB 2.656% 1/15/24 (h) | EUR | 441,000 | 519,319 | |
Switzerland - 0.1% | ||||
Credit Suisse Group 5.75% 9/18/25 (Reg. S) (h) | EUR | 300,000 | 389,168 | |
United Arab Emirates - 0.0% | ||||
Abu Dhabi National Energy Co. 3.625% 1/12/23 | 300,000 | 306,750 | ||
United Kingdom - 1.2% | ||||
Barclays Bank PLC: | ||||
4.25% 1/12/22 | GBP | 350,000 | 611,713 | |
6.75% 1/16/23 (h) | GBP | 300,000 | 506,561 | |
BAT International Finance PLC 3.25% 6/7/22 (f) | 200,000 | 204,506 | ||
Channel Link Enterprises Finance PLC 3.426% 6/30/50 (h) | EUR | 950,000 | 1,063,008 | |
Direct Line Insurance Group PLC 9.25% 4/27/42 (h) | GBP | 100,000 | 195,650 | |
Eastern Power Networks PLC 6.25% 11/12/36 | GBP | 160,000 | 336,951 | |
Eversholt Funding PLC 6.697% 2/22/35 | GBP | 100,000 | 204,420 | |
Experian Finance PLC 2.375% 6/15/17 (f) | 425,000 | 429,260 | ||
First Hydro Finance PLC 9% 7/31/21 | GBP | 320,000 | 663,493 | |
Great Rolling Stock Co. Ltd. 6.25% 7/27/20 | GBP | 350,000 | 628,634 | |
Nonconvertible Bonds - continued | ||||
| Principal Amount (d) | Value | ||
United Kingdom - continued | ||||
Intu Properties PLC 3.875% 3/17/23 | GBP | 300,000 | $ 481,794 | |
Mondi Finance PLC 3.375% 9/28/20 | EUR | 350,000 | 437,828 | |
Sky PLC 2.5% 9/15/26 (Reg. S) | EUR | 700,000 | 855,209 | |
Tesco PLC 5.875% 9/12/16 | EUR | 100,000 | 119,824 | |
Unite (USAF) II PLC 3.374% 6/30/28 | GBP | 150,000 | 237,261 | |
Wales & West Utilities Finance PLC 6.75% 12/17/36 (h) | GBP | 150,000 | 263,691 | |
Western Power Distribution PLC 5.75% 3/23/40 | GBP | 150,000 | 299,995 | |
TOTAL UNITED KINGDOM | 7,539,798 | |||
United States of America - 5.0% | ||||
AbbVie, Inc. 1.75% 11/6/17 | 400,000 | 402,235 | ||
Altria Group, Inc.: | ||||
2.85% 8/9/22 | 500,000 | 497,695 | ||
9.25% 8/6/19 | 134,000 | 170,916 | ||
American Express Co. 1.55% 5/22/18 | 550,000 | 549,787 | ||
American International Group, Inc. 5% 4/26/23 | GBP | 200,000 | 353,519 | |
Anadarko Petroleum Corp. 3.45% 7/15/24 | 900,000 | 913,830 | ||
AutoZone, Inc. 3.125% 7/15/23 | 400,000 | 399,542 | ||
Bank of America Corp. 4.2% 8/26/24 | 950,000 | 960,137 | ||
Bayer U.S. Finance LLC 3.375% 10/8/24 (f) | 550,000 | 567,247 | ||
Burlington Northern Santa Fe LLC: | ||||
3.4% 9/1/24 | 550,000 | 567,555 | ||
4.15% 4/1/45 | 150,000 | 151,188 | ||
Chevron Corp.: | ||||
2.427% 6/24/20 | 200,000 | 206,706 | ||
3.191% 6/24/23 | 300,000 | 310,497 | ||
Citigroup, Inc.: | ||||
2.125% 9/10/26 (Reg. S) | EUR | 950,000 | 1,120,625 | |
2.375% 5/22/24 (Reg. S) | EUR | 1,100,000 | 1,332,459 | |
4.5% 1/14/22 | 150,000 | 163,908 | ||
CME Group, Inc. 3% 3/15/25 | 300,000 | 301,607 | ||
Comcast Corp.: | ||||
3.6% 3/1/24 | 350,000 | 373,140 | ||
4.75% 3/1/44 | 350,000 | 383,350 | ||
Frontier Oil Corp. 6.875% 11/15/18 | 250,000 | 259,063 | ||
General Electric Capital Corp. 4.65% 10/17/21 | 250,000 | 284,008 | ||
General Electric Co.: | ||||
4.5% 3/11/44 | 650,000 | 709,662 | ||
5.25% 12/6/17 | 550,000 | 606,228 | ||
Glencore Funding LLC 3.125% 4/29/19 (f) | 250,000 | 254,675 | ||
Goldman Sachs Group, Inc. 3.85% 7/8/24 | 650,000 | 671,311 | ||
Illinois Tool Works, Inc. 3% 5/19/34 | EUR | 600,000 | 820,455 | |
Nonconvertible Bonds - continued | ||||
| Principal Amount (d) | Value | ||
United States of America - continued | ||||
Jefferies Group, Inc. 2.375% 5/20/20 (Reg. S) | EUR | 1,150,000 | $ 1,296,701 | |
Marsh & McLennan Companies, Inc.: | ||||
2.35% 9/10/19 | 900,000 | 910,007 | ||
3.5% 3/10/25 | 950,000 | 973,741 | ||
Metropolitan Life Global Funding I 3% 1/10/23 (f) | 350,000 | 354,060 | ||
Morgan Stanley: | ||||
2.375% 7/23/19 | 4,200,000 | 4,214,868 | ||
4.35% 9/8/26 | 950,000 | 968,251 | ||
NBCUniversal, Inc. 4.375% 4/1/21 | 500,000 | 555,050 | ||
Philip Morris International, Inc. 2.875% 5/30/24 | EUR | 150,000 | 192,774 | |
Plains All American Pipeline LP/PAA Finance Corp.: | ||||
3.6% 11/1/24 | 550,000 | 551,280 | ||
8.75% 5/1/19 | 100,000 | 124,135 | ||
Prologis LP: | ||||
3% 1/18/22 | EUR | 300,000 | 370,881 | |
3% 6/2/26 | EUR | 250,000 | 312,369 | |
3.375% 2/20/24 | EUR | 450,000 | 573,364 | |
Qwest Corp. 6.75% 12/1/21 | 650,000 | 745,875 | ||
Reynolds American, Inc.: | ||||
1.05% 10/30/15 | 200,000 | 200,012 | ||
3.25% 11/1/22 | 200,000 | 197,893 | ||
Roche Holdings, Inc. 6% 3/1/19 (f) | 69,000 | 79,566 | ||
SABMiller Holdings, Inc.: | ||||
2.2% 8/1/18 (f) | 450,000 | 454,669 | ||
2.45% 1/15/17 (f) | 400,000 | 408,280 | ||
3.75% 1/15/22 (f) | 200,000 | 210,887 | ||
Verizon Communications, Inc. 5.15% 9/15/23 | 350,000 | 395,173 | ||
Viacom, Inc. 4.25% 9/1/23 | 250,000 | 260,750 | ||
Wal-Mart Stores, Inc. 5.625% 4/15/41 | 500,000 | 629,195 | ||
Walt Disney Co.: | ||||
0.45% 12/1/15 | 350,000 | 350,183 | ||
2.35% 12/1/22 | 150,000 | 148,856 | ||
WEA Finance LLC/Westfield UK & Europe Finance PLC 2.7% 9/17/19 (f) | 600,000 | 607,991 | ||
Wells Fargo & Co. 3.676% 6/15/16 | 450,000 | 464,738 | ||
William Wrigley Jr. Co. 2.9% 10/21/19 (f) | 150,000 | 154,724 | ||
TOTAL UNITED STATES OF AMERICA | 30,037,618 | |||
TOTAL NONCONVERTIBLE BONDS (Cost $63,939,112) |
| |||
Government Obligations - 21.1% | ||||
| Principal | Value | ||
Bahrain - 0.1% | ||||
Bahrain Kingdom 6% 9/19/44 (Reg. S) | $ 400,000 | $ 391,000 | ||
Canada - 0.8% | ||||
Canadian Government 1.5% 6/1/23 | CAD | 6,000,000 | 5,004,244 | |
Denmark - 0.4% | ||||
Danish Kingdom Indexed Link CPI, 0.1% 11/15/23 | DKK | 15,567,450 | 2,538,215 | |
France - 1.6% | ||||
French Government 0.5% 5/25/25 | EUR | 8,650,000 | 9,581,804 | |
Germany - 1.2% | ||||
German Federal Republic: | ||||
0.5% 2/15/25 | EUR | 1,050,000 | 1,194,095 | |
2% 1/4/22 | EUR | 1,400,000 | 1,767,577 | |
2.5% 7/4/44 | EUR | 2,650,000 | 4,250,696 | |
TOTAL GERMANY | 7,212,368 | |||
Italy - 3.5% | ||||
Buoni del Tesoro Poliennali: | ||||
Indexed-Linked Bond, 2.35% 9/15/24 (f) | EUR | 1,000,000 | 1,330,866 | |
4.5% 3/1/24 | EUR | 5,450,000 | 7,686,072 | |
5.5% 11/1/22 | EUR | 5,250,000 | 7,715,598 | |
Italian Republic Inflation-Indexed Bond 2.25% 4/22/17 | EUR | 4,003,000 | 4,666,705 | |
TOTAL ITALY | 21,399,241 | |||
Japan - 9.1% | ||||
Japan Government: | ||||
Inflation-Indexed Bond, 0.1% 9/10/24 | JPY | 471,960,000 | 4,170,890 | |
0.1% 2/15/16 | JPY | 1,680,000,000 | 14,081,465 | |
0.3% 6/20/15 | JPY | 835,000,000 | 6,996,062 | |
0.5% 3/20/16 | JPY | 150,000,000 | 1,261,805 | |
1.3% 3/20/20 | JPY | 100,000,000 | 887,235 | |
1.3% 6/20/20 | JPY | 331,000,000 | 2,943,954 | |
1.3% 3/20/21 | JPY | 802,750,000 | 7,194,240 | |
1.7% 9/20/32 | JPY | 1,014,450,000 | 9,567,589 | |
2% 9/20/40 | JPY | 781,000,000 | 7,562,186 | |
TOTAL JAPAN | 54,665,426 | |||
Netherlands - 0.9% | ||||
Dutch Government 2.75% 1/15/47 | EUR | 3,150,000 | 5,213,897 | |
Government Obligations - continued | ||||
| Principal Amount (d) | Value | ||
Spain - 1.8% | ||||
Spanish Kingdom: | ||||
Inflation-Indexed Bond, 1.8% 11/30/24 (f) | EUR | 600,000 | $ 768,599 | |
3.8% 4/30/24 (Reg.S) | EUR | 6,000,000 | 8,096,835 | |
5.5% 4/30/21 | EUR | 1,400,000 | 1,995,855 | |
TOTAL SPAIN | 10,861,289 | |||
United Arab Emirates - 0.1% | ||||
Sharjah Government 3.764% 9/17/24 (Reg. S) | 800,000 | 849,296 | ||
United Kingdom - 1.1% | ||||
United Kingdom, Great Britain and Northern Ireland: | ||||
3.25% 1/22/44 | GBP | 1,150,000 | 2,017,596 | |
4% 3/7/22 | GBP | 1,250,000 | 2,229,413 | |
5% 3/7/25 | GBP | 1,075,000 | 2,122,221 | |
TOTAL UNITED KINGDOM | 6,369,230 | |||
United States of America - 0.5% | ||||
U.S. Treasury Bonds: | ||||
2.75% 8/15/42 | 200,000 | 199,984 | ||
2.75% 11/15/42 | 300,000 | 299,789 | ||
3% 11/15/44 | 200,000 | 210,359 | ||
3.625% 2/15/44 | 150,000 | 176,625 | ||
U.S. Treasury Notes: | ||||
1.75% 5/15/23 | 1,050,000 | 1,036,957 | ||
2.75% 11/15/23 | 850,000 | 904,453 | ||
TOTAL UNITED STATES OF AMERICA | 2,828,167 | |||
TOTAL GOVERNMENT OBLIGATIONS (Cost $137,060,303) |
| |||
Asset-Backed Securities - 0.0% | ||||
| ||||
Bavarian Sky SA 0.208% 6/20/20 (h) | EUR | 150,271 |
| |
Collateralized Mortgage Obligations - 0.0% | ||||
| ||||
Private Sponsor - 0.0% | ||||
Granite Master Issuer PLC Series 2005-1 Class A5, 0.148% 12/20/54 (h) | EUR | 83,215 |
| |
Commercial Mortgage Securities - 0.0% | ||||
| Principal Amount (d) | Value | ||
United Kingdom - 0.0% | ||||
Eddystone Finance PLC Series 2006-1 Class A2, 1.0938% 4/19/21 (h) | GBP | 109,693 | $ 165,011 | |
Supranational Obligations - 0.2% | ||||
| ||||
European Investment Bank 1.75% 3/15/17 | 1,000,000 |
| ||
Preferred Securities - 0.6% | ||||
| ||||
Cayman Islands - 0.1% | ||||
SMFG Preferred Capital GBP 2 Ltd. 10.231% (Reg. S) (g)(h) | GBP | 250,000 | 613,274 | |
France - 0.1% | ||||
Credit Agricole SA 8.125% 9/19/33 (Reg. S) (h) | 350,000 | 398,385 | ||
Japan - 0.1% | ||||
Fukoku Mutual Life Insurance Co. 6.5% (Reg. S) (h) | 550,000 | 643,200 | ||
Switzerland - 0.2% | ||||
UBS AG 4.75% 2/12/26 (Reg. S) (h) | EUR | 800,000 | 1,003,248 | |
United Kingdom - 0.1% | ||||
Lloyds Banking Group PLC 7% (Reg. S) (g)(h) | GBP | 500,000 | 790,903 | |
TOTAL PREFERRED SECURITIES (Cost $3,516,578) |
|
Money Market Funds - 7.8% | |||
Shares |
| ||
Fidelity Cash Central Fund, 0.15% (b) | 40,745,726 | 40,745,726 | |
Fidelity Securities Lending Cash Central Fund, 0.17% (b)(c) | 6,403,356 | 6,403,356 | |
TOTAL MONEY MARKET FUNDS (Cost $47,149,082) |
| ||
TOTAL INVESTMENT PORTFOLIO - 100.8% (Cost $570,375,816) | 607,741,553 | ||
NET OTHER ASSETS (LIABILITIES) - (0.8)% | (4,859,664) | ||
NET ASSETS - 100% | $ 602,881,889 |
Security Type Abbreviations | ||
ETF | - | Exchange-Traded Fund |
Currency Abbreviations | ||
CAD | - | Canadian dollar |
DKK | - | Danish krone |
EUR | - | European Monetary Unit |
GBP | - | British pound |
JPY | - | Japanese yen |
Legend |
(a) Non-income producing |
(b) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements are available on the SEC's website or upon request. |
(c) Investment made with cash collateral received from securities on loan. |
(d) Amount is stated in United States dollars unless otherwise noted. |
(e) Security or a portion of the security is on loan at period end. |
(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 end of the period, the value of these securities amounted to $10,076,497 or 1.7% of net assets. |
(g) Security is perpetual in nature with no stated maturity date. |
(h) Coupon rates for floating and adjustable rate securities reflect the rates in effect at period end. |
Affiliated Central Funds |
Information regarding fiscal year to date income earned by the Fund from investments in Fidelity Central Funds is as follows: |
Fund | Income earned |
Fidelity Cash Central Fund | $ 26,361 |
Fidelity Emerging Markets Debt Central Fund | 57,478 |
Fidelity High Income Central Fund 1 | 49,034 |
Fidelity Securities Lending Cash Central Fund | 23,580 |
Total | $ 156,453 |
Additional information regarding the Fund's fiscal year to date purchases and sales, including the ownership percentage, of the non Money Market Central Funds is as follows: |
Fund | Value, beginning of period | Purchases | Sales | Value, | % ownership, end of |
Fidelity Emerging Markets Debt Central Fund | $ 4,668,216 | $ 45,023 | $ 4,421,144 | $ - | 0.0% |
Fidelity High Income Central Fund 1 | 8,142,502 | 47,734 | 8,032,795 | - | 0.0% |
Total | $ 12,810,718 | $ 92,757 | $ 12,453,939 | $ - |
Other Information |
Categorizations in the Schedule of Investments are based on country or territory of incorporation. |
The following is a summary of the inputs used, as of April 30, 2015, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the tables below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements. |
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $ 44,000,839 | $ 21,783,511 | $ 22,217,328 | $ - |
Consumer Staples | 31,943,394 | 23,032,160 | 8,911,234 | - |
Energy | 19,200,226 | 17,897,237 | 1,302,989 | - |
Financials | 74,986,199 | 39,448,863 | 35,537,336 | - |
Health Care | 69,144,247 | 45,430,584 | 23,713,663 | - |
Industrials | 37,724,469 | 11,442,222 | 26,282,247 | - |
Information Technology | 59,192,428 | 47,190,820 | 12,001,608 | - |
Materials | 9,480,659 | 2,870,719 | 6,609,940 | - |
Telecommunication Services | 5,384,985 | 2,919,209 | 2,465,776 | - |
Utilities | 6,738,380 | 5,622,179 | 1,116,201 | - |
Investment Companies | 6,965,035 | 6,965,035 | - | - |
Corporate Bonds | 64,021,673 | - | 64,021,673 | - |
Government Obligations | 126,914,177 | - | 126,914,177 | - |
Asset-Backed Securities | 168,767 | - | 168,767 | - |
Collateralized Mortgage Obligations | 93,111 | - | 93,111 | - |
Commercial Mortgage Securities | 165,011 | - | 165,011 | - |
Supranational Obligations | 1,019,861 | - | 1,019,861 | - |
Preferred Securities | 3,449,010 | - | 3,449,010 | - |
Money Market Funds | 47,149,082 | 47,149,082 | - | - |
Total Investments in Securities: | $ 607,741,553 | $ 271,751,621 | $ 335,989,932 | $ - |
The following is a summary of transfers between Level 1 and Level 2 for the period ended April 30, 2015. Transfers are assumed to have occurred at the beginning of the period, and are primarily attributable to the valuation techniques used for foreign equity securities, as discussed in the accompanying Notes to Financial Statements: |
Transfers | Total |
Level 1 to Level 2 | $ 46,329,077 |
Level 2 to Level 1 | $ 13,185,165 |
Other Information |
The composition of credit quality ratings as a percentage of net assets is as follows (Unaudited): |
U.S. Government and U.S. Government Agency Obligations | 0.5% |
AAA,AA,A | 18.1% |
BBB | 11.4% |
BB | 0.2% |
B | 0.1% |
Not Rated | 2.2% |
Equities | 60.5% |
Short-Term Investments and Net Other Assets | 7.0% |
| 100.0% |
We have used ratings from Moody's Investors Service, Inc. Where Moody's® ratings are not available, we have used S&P® ratings. All ratings are as of the date indicated and do not reflect subsequent changes. |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements
Statement of Assets and Liabilities
| April 30, 2015 (Unaudited) | |
|
|
|
Assets | ||
Investment in securities, at value (including securities loaned of $6,231,070) - See accompanying schedule: Unaffiliated issuers (cost $523,226,734) | $ 560,592,471 |
|
Fidelity Central Funds (cost $47,149,082) | 47,149,082 |
|
Total Investments (cost $570,375,816) |
| $ 607,741,553 |
Cash |
| 446,001 |
Foreign currency held at value (cost $126) | 126 | |
Receivable for investments sold | 11,329,064 | |
Receivable for fund shares sold | 462,819 | |
Dividends receivable | 1,013,199 | |
Interest receivable | 1,193,591 | |
Distributions receivable from Fidelity Central Funds | 12,516 | |
Prepaid expenses | 550 | |
Other receivables | 13,414 | |
Total assets | 622,212,833 | |
|
|
|
Liabilities | ||
Payable for investments purchased | $ 11,652,525 | |
Payable for fund shares redeemed | 652,901 | |
Accrued management fee | 353,896 | |
Distribution and service plan fees payable | 42,636 | |
Other affiliated payables | 121,087 | |
Other payables and accrued expenses | 104,543 | |
Collateral on securities loaned, at value | 6,403,356 | |
Total liabilities | 19,330,944 | |
|
|
|
Net Assets | $ 602,881,889 | |
Net Assets consist of: |
| |
Paid in capital | $ 561,094,109 | |
Undistributed net investment income | 1,915,436 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 2,518,405 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 37,353,939 | |
Net Assets | $ 602,881,889 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements - continued
Statement of Assets and Liabilities - continued
| April 30, 2015 (Unaudited) | |
|
|
|
Calculation of Maximum Offering Price | $ 23.27 | |
|
|
|
Maximum offering price per share (100/94.25 of $23.27) | $ 24.69 | |
Class T: | $ 23.17 | |
|
|
|
Maximum offering price per share (100/96.50 of $23.17) | $ 24.01 | |
Class B: | $ 23.18 | |
|
|
|
Class C: | $ 22.87 | |
|
|
|
Global Balanced: | $ 23.46 | |
|
|
|
Institutional Class: | $ 23.39 |
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
Six months ended April 30, 2015 (Unaudited) | ||
|
|
|
Investment Income |
|
|
Dividends |
| $ 3,395,870 |
Interest |
| 2,146,129 |
Income from Fidelity Central Funds |
| 156,453 |
Income before foreign taxes withheld |
| 5,698,452 |
Less foreign taxes withheld |
| (165,444) |
Total income |
| 5,533,008 |
|
|
|
Expenses | ||
Management fee | $ 2,173,370 | |
Transfer agent fees | 584,184 | |
Distribution and service plan fees | 256,742 | |
Accounting and security lending fees | 154,965 | |
Custodian fees and expenses | 126,998 | |
Independent trustees' compensation | 1,311 | |
Registration fees | 78,756 | |
Audit | 43,284 | |
Legal | 1,430 | |
Miscellaneous | 2,522 | |
Total expenses before reductions | 3,423,562 | |
Expense reductions | (16,252) | 3,407,310 |
Net investment income (loss) | 2,125,698 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities: |
|
|
Unaffiliated issuers | 5,700,181 | |
Fidelity Central Funds | (279,659) |
|
Foreign currency transactions | (271,518) | |
Total net realized gain (loss) |
| 5,149,004 |
Change in net unrealized appreciation (depreciation) on: Investment securities | 2,105,647 | |
Assets and liabilities in foreign currencies | 72,161 | |
Total change in net unrealized appreciation (depreciation) |
| 2,177,808 |
Net gain (loss) | 7,326,812 | |
Net increase (decrease) in net assets resulting from operations | $ 9,452,510 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements - continued
Statement of Changes in Net Assets
| Six months ended April 30, 2015 (Unaudited) | Year ended |
Increase (Decrease) in Net Assets |
|
|
Operations |
|
|
Net investment income (loss) | $ 2,125,698 | $ 5,319,518 |
Net realized gain (loss) | 5,149,004 | 45,596,544 |
Change in net unrealized appreciation (depreciation) | 2,177,808 | (33,150,825) |
Net increase (decrease) in net assets resulting | 9,452,510 | 17,765,237 |
Distributions to shareholders from net investment income | (1,672,129) | (3,503,737) |
Distributions to shareholders from net realized gain | (43,816,065) | (49,182,400) |
Total distributions | (45,488,194) | (52,686,137) |
Share transactions - net increase (decrease) | (19,066,398) | 72,348,120 |
Redemption fees | 7,669 | 10,838 |
Total increase (decrease) in net assets | (55,094,413) | 37,438,058 |
|
|
|
Net Assets | ||
Beginning of period | 657,976,302 | 620,538,244 |
End of period (including undistributed net investment income of $1,915,436 and undistributed net investment income of $1,461,867, respectively) | $ 602,881,889 | $ 657,976,302 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class A
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.65 | $ 26.18 | $ 23.45 | $ 22.05 | $ 21.88 | $ 19.59 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) E | .06 | .15 | .13 | .27 | .22 | .17 |
Net realized and unrealized gain (loss) | .27 | .49 | 3.13 | 1.41 | .22 | 2.43 |
Total from investment operations | .33 | .64 | 3.26 | 1.68 | .44 | 2.60 |
Distributions from net investment income | (.01) | (.10) | (.24) | (.19) | (.17) | (.23) |
Distributions from net realized gain | (1.70) | (2.07) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.71) | (2.17) | (.53) | (.28) | (.27)J | (.31) |
Redemption fees added to paid in capital E, I | - | - | - | - | - | - |
Net asset value, end of period | $ 23.27 | $ 24.65 | $ 26.18 | $ 23.45 | $ 22.05 | $ 21.88 |
Total ReturnB, C, D | 1.53% | 2.69% | 14.19% | 7.74% | 2.04% | 13.40% |
Ratios to Average Net Assets F, H |
|
|
|
|
| |
Expenses before reductions | 1.29%A | 1.28% | 1.31% | 1.33% | 1.37% | 1.43% |
Expenses net of fee waivers, if any | 1.29%A | 1.28% | 1.31% | 1.33% | 1.37% | 1.43% |
Expenses net of all reductions | 1.29%A | 1.27% | 1.29% | 1.32% | 1.35% | 1.41% |
Net investment income (loss) | .49%A | .58% | .55% | 1.18% | .98% | .83% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 44,204 | $ 47,048 | $ 38,972 | $ 26,714 | $ 20,831 | $ 11,096 |
Portfolio turnover rateG | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the sales charges.
E Calculated based on average shares outstanding during the period.
F Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
H 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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
I Amount represents less than $.01 per share.
J Total distributions of $.27 per share is comprised of distributions from net investment income of $.167 and distributions from net realized gain of $.107 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class T
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.52 | $ 26.04 | $ 23.32 | $ 21.96 | $ 21.81 | $ 19.56 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) E | .03 | .08 | .07 | .21 | .17 | .13 |
Net realized and unrealized gain (loss) | .27 | .49 | 3.12 | 1.41 | .22 | 2.42 |
Total from investment operations | .30 | .57 | 3.19 | 1.62 | .39 | 2.55 |
Distributions from net investment income | - | (.02) | (.18) | (.17) | (.13) | (.23) |
Distributions from net realized gain | (1.65) | (2.07) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.65) | (2.09) | (.47) | (.26) | (.24) | (.30)J |
Redemption fees added to paid in capital E, I | - | - | - | - | - | - |
Net asset value, end of period | $ 23.17 | $ 24.52 | $ 26.04 | $ 23.32 | $ 21.96 | $ 21.81 |
Total ReturnB, C, D | 1.39% | 2.40% | 13.94% | 7.46% | 1.80% | 13.17% |
Ratios to Average Net Assets F, H |
|
|
|
|
| |
Expenses before reductions | 1.57%A | 1.55% | 1.57% | 1.58% | 1.59% | 1.62% |
Expenses net of fee waivers, if any | 1.57%A | 1.55% | 1.57% | 1.58% | 1.59% | 1.62% |
Expenses net of all reductions | 1.56%A | 1.55% | 1.55% | 1.57% | 1.58% | 1.60% |
Net investment income (loss) | .22%A | .31% | .28% | .94% | .75% | .64% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 17,790 | $ 17,662 | $ 14,650 | $ 13,654 | $ 10,357 | $ 5,345 |
Portfolio turnover rateG | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the sales charges.
E Calculated based on average shares outstanding during the period.
F Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
H 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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
I Amount represents less than $.01 per share.
J Total distributions of $.30 per share is comprised of distributions from net investment income of $.226 and distributions from net realized gain of $.075 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class B
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.43 | $ 25.94 | $ 23.22 | $ 21.80 | $ 21.68 | $ 19.48 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) E | (.03) | (.05) | (.06) | .09 | .04 | .02 |
Net realized and unrealized gain (loss) | .26 | .49 | 3.11 | 1.41 | .23 | 2.41 |
Total from investment operations | .23 | .44 | 3.05 | 1.50 | .27 | 2.43 |
Distributions from net investment income | - | - | (.04) | - | (.04) | (.16) |
Distributions from net realized gain | (1.48) | (1.95) | (.29) | (.08) | (.11) | (.08) |
Total distributions | (1.48) | (1.95) | (.33) | (.08) | (.15) | (.23)J |
Redemption fees added to paid in capital E, I | - | - | - | - | - | - |
Net asset value, end of period | $ 23.18 | $ 24.43 | $ 25.94 | $ 23.22 | $ 21.80 | $ 21.68 |
Total ReturnB, C, D | 1.09% | 1.90% | 13.30% | 6.92% | 1.24% | 12.58% |
Ratios to Average Net Assets F, H |
|
|
|
|
| |
Expenses before reductions | 2.07%A | 2.07% | 2.10% | 2.12% | 2.15% | 2.18% |
Expenses net of fee waivers, if any | 2.07%A | 2.07% | 2.10% | 2.12% | 2.15% | 2.18% |
Expenses net of all reductions | 2.06%A | 2.07% | 2.08% | 2.11% | 2.13% | 2.16% |
Net investment income (loss) | (.28)%A | (.21)% | (.24)% | .39% | .20% | .08% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 1,628 | $ 2,025 | $ 2,325 | $ 2,426 | $ 2,392 | $ 2,199 |
Portfolio turnover rateG | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the contingent deferred sales charge.
E Calculated based on average shares outstanding during the period.
F Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
H 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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
I Amount represents less than $.01 per share.
J Total distributions of $.23 per share is comprised of distributions from net investment income of $.158 and distributions from net realized gain of $.075 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class C
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.17 | $ 25.76 | $ 23.09 | $ 21.73 | $ 21.65 | $ 19.49 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) E | (.04) | (.05) | (.06) | .09 | .05 | .03 |
Net realized and unrealized gain (loss) | .26 | .49 | 3.08 | 1.41 | .22 | 2.40 |
Total from investment operations | .22 | .44 | 3.02 | 1.50 | .27 | 2.43 |
Distributions from net investment income | - | - | (.06) | (.05) | (.08) | (.20) |
Distributions from net realized gain | (1.52) | (2.03) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.52) | (2.03) | (.35) | (.14) | (.19) | (.27)J |
Redemption fees added to paid in capital E, I | - | - | - | - | - | - |
Net asset value, end of period | $ 22.87 | $ 24.17 | $ 25.76 | $ 23.09 | $ 21.73 | $ 21.65 |
Total ReturnB, C, D | 1.07% | 1.89% | 13.27% | 6.94% | 1.24% | 12.58% |
Ratios to Average Net Assets F, H |
|
|
|
|
| |
Expenses before reductions | 2.10%A | 2.08% | 2.12% | 2.13% | 2.13% | 2.12% |
Expenses net of fee waivers, if any | 2.10%A | 2.08% | 2.12% | 2.13% | 2.13% | 2.12% |
Expenses net of all reductions | 2.10%A | 2.07% | 2.10% | 2.12% | 2.11% | 2.10% |
Net investment income (loss) | (.32)%A | (.22)% | (.26)% | .39% | .21% | .14% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 29,367 | $ 29,809 | $ 20,997 | $ 13,797 | $ 9,598 | $ 5,463 |
Portfolio turnover rateG | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the contingent deferred sales charge.
E Calculated based on average shares outstanding during the period.
F Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
H 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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
I Amount represents less than $.01 per share.
J Total distributions of $.27 per share is comprised of distributions from net investment income of $.196 and distributions from net realized gain of $.075 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Global Balanced
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.87 | $ 26.38 | $ 23.62 | $ 22.18 | $ 21.99 | $ 19.62 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) D | .09 | .22 | .21 | .33 | .29 | .24 |
Net realized and unrealized gain (loss) | .27 | .50 | 3.14 | 1.44 | .22 | 2.43 |
Total from investment operations | .36 | .72 | 3.35 | 1.77 | .51 | 2.67 |
Distributions from net investment income | (.08) | (.16) | (.30) | (.24) | (.21) | (.23) |
Distributions from net realized gain | (1.70) | (2.07) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.77)J | (2.23) | (.59) | (.33) | (.32) | (.30)I |
Redemption fees added to paid in capital D, H | - | - | - | - | - | - |
Net asset value, end of period | $ 23.46 | $ 24.87 | $ 26.38 | $ 23.62 | $ 22.18 | $ 21.99 |
Total ReturnB, C | 1.67% | 3.00% | 14.52% | 8.11% | 2.34% | 13.76% |
Ratios to Average Net Assets E, G |
|
|
|
|
| |
Expenses before reductions | 1.01%A | .99% | 1.02% | 1.03% | 1.05% | 1.11% |
Expenses net of fee waivers, if any | 1.01%A | .99% | 1.02% | 1.03% | 1.05% | 1.10% |
Expenses net of all reductions | 1.00%A | .99% | 1.00% | 1.02% | 1.04% | 1.08% |
Net investment income (loss) | .78%A | .87% | .84% | 1.48% | 1.29% | 1.16% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 504,278 | $ 554,896 | $ 540,412 | $ 468,758 | $ 520,753 | $ 542,319 |
Portfolio turnover rateF | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Calculated based on average shares outstanding during the period.
E Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
F Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
H Amount represents less than $.01 per share.
I Total distributions of $.30 per share is comprised of distributions from net investment income of $.229 and distributions from net realized gain of $.075 per share.
J Total distributions of $1.77 per share is comprised of distributions from net investment income of $.075 and distributions from net realized gain of $1.697 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Institutional Class
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.80 | $ 26.33 | $ 23.58 | $ 22.16 | $ 21.99 | $ 19.64 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) D | .09 | .21 | .20 | .33 | .28 | .23 |
Net realized and unrealized gain (loss) | .27 | .49 | 3.14 | 1.43 | .21 | 2.44 |
Total from investment operations | .36 | .70 | 3.34 | 1.76 | .49 | 2.67 |
Distributions from net investment income | (.07) | (.17) | (.30) | (.25) | (.21) | (.25) |
Distributions from net realized gain | (1.70) | (2.07) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.77) | (2.23)J | (.59) | (.34) | (.32) | (.32)I |
Redemption fees added to paid in capital D,H | - | - | - | - | - | - |
Net asset value, end of period | $ 23.39 | $ 24.80 | $ 26.33 | $ 23.58 | $ 22.16 | $ 21.99 |
Total ReturnB, C | 1.66% | 2.95% | 14.50% | 8.10% | 2.25% | 13.75% |
Ratios to Average Net Assets E, G |
|
|
|
|
| |
Expenses before reductions | 1.03%A | 1.02% | 1.03% | 1.04% | 1.11% | 1.14% |
Expenses net of fee waivers, if any | 1.03%A | 1.02% | 1.03% | 1.04% | 1.11% | 1.14% |
Expenses net of all reductions | 1.03%A | 1.02% | 1.01% | 1.03% | 1.10% | 1.12% |
Net investment income (loss) | .75%A | .84% | .83% | 1.48% | 1.23% | 1.12% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 5,615 | $ 6,537 | $ 3,183 | $ 1,966 | $ 1,149 | $ 541 |
Portfolio turnover rateF | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Calculated based on average shares outstanding during the period.
E Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
F Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
H Amount represents less than $.01 per share.
I Total distributions of $.32 per share is comprised of distributions from net investment income of $.248 and distributions from net realized gain of $.075 per share.
J Total distributions of $2.23 per share is comprised of distributions from net investment income of $.167 and distributions from net realized gain of $2.065 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Notes to Financial Statements
For the period ended April 30, 2015 (Unaudited)
1. Organization.
Fidelity® Global Balanced Fund (the Fund) is a fund of Fidelity Charles Street Trust (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 C, Global Balanced and Institutional Class shares, each of which, along with Class B shares, has equal rights as to assets and voting privileges. Class B shares are closed to new accounts and additional purchases, except for exchanges and reinvestments. 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.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
Based on its investment objective, each Fidelity Central Fund may invest or participate in various investment vehicles or strategies that are similar to those of the Fund. These strategies are consistent with the investment objectives of the Fund and may involve certain economic risks which may cause a decline in value of each of the Fidelity Central Funds and thus a decline in the value of the Fund. The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .01%. The following summarizes the Fund's investment in each non-money market Fidelity Central Fund.
Semiannual Report
2. Investments in Fidelity Central Funds - continued
Fidelity | Investment Manager | Investment | Investment | Expense Ratio* |
Fidelity Emerging Markets Debt Central Fund | FMR Co., Inc. (FMRC) | Seeks high total return by normally investing in debt securities of issuers in emerging markets and other debt investments that are tied economically to emerging markets. | Foreign Securities Loans & Direct Debt Instruments Restricted Securities
| .01% |
Fidelity High Income Central Fund 1 | FMRC | Seeks a high level of income and may also seek capital appreciation by investing primarily in debt securities, preferred stocks, and convertible securities, with an emphasis on lower-quality debt securities. | Delayed Delivery & When Issued Securities Loans & Direct Debt Instruments Restricted Securities Swaps | Less than .01% |
* Expenses expressed as a percentage of average net assets and are as of each underlying Central Fund's most recent annual or semi-annual
shareholder report.
An unaudited holdings listing for the Fund, which presents direct holdings as well as the pro-rata share of any securities and other investments held indirectly through each Fund's investment in underlying non-money market Fidelity Central Funds, is available at fidelity.com and/or advisor.fidelity.com, as applicable. A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds which contain the significant accounting policies (including investment valuation policies) of those funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
3. Significant Accounting Policies - continued
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fidelity Management & Research Company (FMR) Fair Value Committee (the Committee). In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events, changes in interest rates and credit quality. The frequency with which these procedures are used cannot be predicted and they may be utilized to a significant extent. The Committee oversees the Fund's valuation policies and procedures and reports to the Board on the Committee's activities and fair value determinations. The Board monitors the appropriateness of the procedures used in valuing the Fund's investments and ratifies the fair value determinations of the Committee.
The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels as shown below:
Level 1 - quoted prices in active markets for identical investments
Level 2 - other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, etc.)
Level 3 - unobservable inputs (including the Fund's own assumptions based on the best information available)
Valuation techniques used to value the Fund's investments by major category are as follows:
Equity securities, including restricted securities, for which market quotations are readily available, are valued at the last reported sale price or official closing price as reported by a third party pricing vendor on the primary market or exchange on which they are traded and are categorized as Level 1 in the hierarchy. In the event there were no sales during the day or closing prices are not available, securities are valued at the last quoted bid price or may be valued using the last available price and are generally categorized as Level 2 in the hierarchy. For foreign equity securities, when market or security specific events arise, comparisons to the valuation of American Depositary Receipts (ADRs), futures contracts, Exchange-Traded Funds (ETFs) and certain indexes as well as quoted prices for similar securities may be used and would be categorized as Level 2 in the hierarchy. Utilizing these techniques may result in transfers between Level 1 and Level 2.
Semiannual Report
3. Significant Accounting Policies - continued
Investment Valuation - continued
For equity securities, including restricted securities, where observable inputs are limited, assumptions about market activity and risk are used and these securities may be categorized as Level 3 in the hierarchy.
Debt securities, including restricted securities, are valued based on evaluated prices received from third party pricing vendors or from brokers who make markets in such securities. Corporate bonds, foreign government and government agency obligations, preferred securities, supranational obligations and U.S. government and government agency obligations are valued by pricing vendors who utilize matrix pricing which considers yield or price of bonds of comparable quality, coupon, maturity and type or by broker-supplied prices. Asset backed securities, collateralized mortgage obligations and commercial mortgage securities are valued by pricing vendors who utilize matrix pricing which considers prepayment speed assumptions, attributes of the collateral, yield or price of bonds of comparable quality, coupon, maturity and type or by broker-supplied prices. When independent prices are unavailable or unreliable, debt securities may be valued utilizing pricing methodologies which consider similar factors that would be used by third party pricing vendors. Debt securities are generally categorized as Level 2 in the hierarchy but may be Level 3 depending on the circumstances.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level, as of April 30, 2015, including information on transfers between Levels 1 and 2, is included at the end of the Fund's Schedule of Investments.
Foreign Currency. The Fund may use foreign currency contracts to facilitate transactions in foreign-denominated securities. Gains and 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 rates 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.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
3. Significant Accounting Policies - continued
Investment Transactions and Income. For financial reporting purposes, the Fund's investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day. Gains and losses on securities sold are determined on the basis of identified cost and 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. Income and capital gain distributions from Fidelity Central Funds, if any, are recorded on the ex-dividend date. 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. Subsequent to ex-dividend date the Fund determines the components of these distributions, based upon receipt of tax filings or other correspondence relating to the underlying investment. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable. The principal amount on inflation-indexed securities is periodically adjusted to the rate of inflation and interest is accrued based on the principal amount. The adjustments to principal due to inflation are reflected as increases or decreases to Interest in the accompanying Statement of Operations. Investment income is recorded net of foreign taxes withheld where recovery of such taxes is uncertain.
Class Allocations and Expenses. Investment income, realized and unrealized capital gains and losses, common expenses of the Fund, and certain fund-level expense reductions, if any, are allocated daily 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 may also differ by class. For the reporting period, the allocated portion of income and expenses to each class as a percent of its average net assets may vary due to the timing of recording these transactions in relation to fluctuating net assets of the classes. Expenses directly attributable to a fund are charged to that fund. Expenses attributable to more than one fund are allocated among the respective funds on the basis of relative net assets or other appropriate methods. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Semiannual Report
3. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code, including distributing substantially all of its taxable income and realized gains. As a result, no provision for U.S. Federal income taxes is required. The Fund files a U.S. federal tax return, in addition to state and local tax returns as required. The Fund's federal income tax returns are subject to examination by the Internal Revenue Service (IRS) for a period of three fiscal years after they are filed. State and local tax returns may be subject to examination for an additional fiscal year depending on the jurisdiction. 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 declared and 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 GAAP.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Capital accounts are not adjusted for temporary book-tax differences which will reverse in a subsequent period.
Book-tax differences are primarily due to the short-term gain distributions from the Fidelity Central Funds, foreign currency transactions, passive foreign investment companies (PFIC), market discount, partnerships (including allocations from Fidelity Central Funds), deferred trustees compensation and losses deferred due to wash sales.
The federal tax cost of investment securities and unrealized appreciation (depreciation) as of period end were as follows:
Gross unrealized appreciation | $ 56,908,628 |
Gross unrealized depreciation | (20,740,825) |
Net unrealized appreciation (depreciation) on securities | $ 36,167,803 |
|
|
Tax cost | $ 571,573,750 |
Short-Term Trading (Redemption) Fees. Shares held by investors in the Fund less than 30 days may have been subject to a redemption fee equal to 1.00% of the NAV of shares redeemed. All redemption fees, which reduce the proceeds of the shareholder redemption, are retained by the Fund and accounted for as an addition to paid in capital.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
3. Significant Accounting Policies - continued
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.
New Accounting Pronouncement. In June 2014, the Financial Accounting Standards Board issued Accounting Standard Update No. 2014-11, Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures (the Update). The Update amends the accounting for certain repurchase agreements and expands disclosure requirements for reverse repurchase agreements, securities lending and other similar transactions. The disclosure requirements are effective for annual and interim reporting periods beginning after December 15, 2014. Management is currently evaluating the impact of the Update on the Fund's financial statements and related disclosures.
4. Purchases and Sales of Investments.
Purchases and sales of securities, including the Equity and Fixed-Income Central Funds, other than short-term securities and U.S. government securities, aggregated $406,882,191 and $460,877,362, respectively.
5. Fees and Other Transactions with Affiliates.
Management Fee. Fidelity Management & Research Company (the investment adviser) 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 .45% of the Fund's average net assets and an annualized group fee rate that averaged .25% during the period. The group fee rate is based upon the average net assets of all the mutual funds advised by the investment adviser, including any mutual funds previously advised by the investment adviser that are currently advised by Fidelity SelectCo, LLC, an affiliate of the investment adviser. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the reporting period, the total annualized management fee rate was .70% of the Fund's average net assets.
Semiannual Report
5. Fees and Other Transactions with Affiliates - continued
Distribution and Service Plan Fees. 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 the investment adviser, 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, total fees and amounts retained by FDC were as follows:
| Distribution | Service | Total Fees | Retained |
Class A | -% | .25% | $ 56,466 | $ 4,241 |
Class T | .25% | .25% | 44,348 | 1,213 |
Class B | .75% | .25% | 9,053 | 6,837 |
Class C | .75% | .25% | 146,875 | 39,084 |
|
|
| $ 256,742 | $ 51,375 |
Sales Load. FDC may receive 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. Depending on the holding period, FDC may receive contingent deferred sales charges levied on Class A, Class T, Class B, and Class C redemptions. The deferred sales charges range from 5.00% to 1.00% for Class B shares, 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class T shares.
For the period, sales charge amounts retained by FDC were as follows:
| Retained |
Class A | $ 11,643 |
Class T | 3,564 |
Class B* | 600 |
Class C* | 2,569 |
| $ 18,376 |
* When Class B Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
5. Fees and Other Transactions with Affiliates - continued
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of the investment adviser, 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, transfer agent fees for each class were as follows:
| Amount | % of |
Class A | $ 48,242 | .21 |
Class T | 21,058 | .24 |
Class B | 2,130 | .24 |
Class C | 39,695 | .27 |
Global Balanced | 467,031 | .18 |
Institutional Class | 6,028 | .20 |
| $ 584,184 |
|
* Annualized
Accounting and Security Lending Fees. Fidelity Service Company, Inc. (FSC), an affiliate of the investment adviser, maintains the Fund's accounting records. The accounting fee is based on the level of average net assets for each 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.
Brokerage Commissions. The Fund placed a portion of its portfolio transactions with brokerage firms which are affiliates of the investment adviser. Brokerage commissions are included in net realized gain (loss) and change in net unrealized appreciation (depreciation) in the Statement of Operations. The commissions paid to these affiliated firms were $3,757 for the period.
6. Committed Line of Credit.
The Fund participates with other funds managed by the investment adviser or an affiliate in a $4.25 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, which amounted to $500 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
Semiannual Report
7. Security Lending.
The Fund lends portfolio securities through a lending agent from time to time in order to earn additional income. For equity securities, a lending agent is used and may loan securities to certain qualified borrowers, including Fidelity Capital Markets (FCM), a broker-dealer affiliated with the Fund. On the settlement date of the loan, 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, the Fund may apply collateral received from the borrower against the obligation. The Fund may experience delays and costs in recovering the securities loaned. Any cash collateral received 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. Security lending income represents the income earned on investing cash collateral, less rebates paid to borrowers and any lending agent fees associated with the loan, plus any premium payments received for lending certain types of securities. Security lending income is presented in the Statement of Operations as a component of income from Fidelity Central Funds. Total security lending income during the period amounted to $23,580. During the period, there were no securities loaned to FCM.
8. Expense Reductions.
Commissions paid to certain brokers with whom the investment adviser, or its affiliates, places trades on behalf of the Fund include an amount in addition to trade execution, which may be rebated back to the Fund to offset certain expenses. This amount totaled $15,041 for the period.
In addition, the investment adviser reimbursed a portion of the Fund's operating expenses, including certain Global Balanced expenses during the period in the amount of $1,211.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
9. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended | Year ended | |
From net investment income |
|
|
Class A | $ 21,068 | $ 152,819 |
Class T | - | 11,268 |
Global Balanced | 1,632,478 | 3,316,756 |
Institutional Class | 18,583 | 22,894 |
Total | $ 1,672,129 | $ 3,503,737 |
From net realized gain |
|
|
Class A | $ 3,250,151 | $ 3,093,845 |
Class T | 1,204,951 | 1,163,373 |
Class B | 119,044 | 180,282 |
Class C | 1,878,431 | 1,920,811 |
Global Balanced | 36,937,336 | 42,540,993 |
Institutional Class | 426,152 | 283,096 |
Total | $ 43,816,065 | $ 49,182,400 |
10. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between funds:
| Shares | Dollars | ||
Six months ended April 30, | Year ended | Six months ended April 30, | Year ended | |
Class A |
|
|
|
|
Shares sold | 188,241 | 636,858 | $ 4,414,032 | $ 15,926,414 |
Reinvestment of distributions | 138,033 | 126,868 | 3,123,694 | 3,032,156 |
Shares redeemed | (335,104) | (343,862) | (7,754,611) | (8,612,014) |
Net increase (decrease) | (8,830) | 419,864 | $ (216,885) | $ 10,346,556 |
Class T |
|
|
|
|
Shares sold | 75,862 | 243,034 | $ 1,773,776 | $ 6,062,322 |
Reinvestment of distributions | 52,572 | 45,887 | 1,186,019 | 1,093,477 |
Shares redeemed | (80,784) | (131,285) | (1,864,493) | (3,273,584) |
Net increase (decrease) | 47,650 | 157,636 | $ 1,095,302 | $ 3,882,215 |
Class B |
|
|
|
|
Shares sold | 1,153 | 9,864 | $ 26,724 | $ 248,678 |
Reinvestment of distributions | 5,016 | 6,875 | 113,421 | 163,899 |
Shares redeemed | (18,846) | (23,467) | (433,739) | (580,083) |
Net increase (decrease) | (12,677) | (6,728) | $ (293,594) | $ (167,506) |
Semiannual Report
10. Share Transactions - continued
| Shares | Dollars | ||
Six months ended April 30, | Year ended | Six months ended April 30, | Year ended | |
Class C |
|
|
|
|
Shares sold | 153,266 | 684,092 | $ 3,532,565 | $ 16,931,953 |
Reinvestment of distributions | 76,970 | 75,134 | 1,717,971 | 1,772,408 |
Shares redeemed | (179,890) | (340,818) | (4,133,939) | (8,322,676) |
Net increase (decrease) | 50,346 | 418,408 | $ 1,116,597 | $ 10,381,685 |
Global Balanced |
|
|
|
|
Shares sold | 1,306,011 | 5,401,197 | $ 30,615,716 | $ 136,284,595 |
Reinvestment of distributions | 1,612,167 | 1,818,963 | 36,741,286 | 43,746,063 |
Shares redeemed | (3,733,858) | (5,392,045) | (87,556,014) | (135,719,200) |
Net increase (decrease) | (815,680) | 1,828,115 | $ (20,199,012) | $ 44,311,458 |
Institutional Class |
|
|
|
|
Shares sold | 39,439 | 174,398 | $ 921,426 | $ 4,401,096 |
Reinvestment of distributions | 15,294 | 11,057 | 347,634 | 265,261 |
Shares redeemed | (78,199) | (42,801) | (1,837,866) | (1,072,645) |
Net increase (decrease) | (23,466) | 142,654 | $ (568,806) | $ 3,593,712 |
11. 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
Investment Adviser
Fidelity Management & Research Company
Boston, MA
Investment Sub-Advisers
FMR Co., Inc.
FIL Investment Advisors
FIL Investments (Japan) Limited
FIL Investment Advisors
(U.K.) Limited
FMR Investment Management
(U.K.) Limited
Fidelity Management & Research
(Japan) Limited
Fidelity Management & Research
(Hong Kong) Limited
General Distributor
Fidelity Distributors Corporation
Smithfield, RI
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
The Fidelity Telephone Connection
Mutual Fund 24-Hour Service
Exchanges/Redemptions
and Account Assistance 1-800-544-6666
Product Information 1-800-544-8888
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®)
1-800-544-5555
Automated line for quickest service
(Fidelity Investment logo)(registered trademark)
Corporate Headquarters
245 Summer St., Boston, MA 02210
www.fidelity.com
GBL-USAN-0615 1.848652.107
(Fidelity Investment logo)(registered trademark)
Fidelity Advisor®
Global Balanced
Fund - Class A, Class T, Class B
and Class C
Semiannual Report
April 30, 2015
(Fidelity Cover Art)
Class A, Class T, Class B,
and Class C are classes of
Fidelity® Global Balanced Fund
Contents
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, as well as financial highlights. | |
Notes | Notes to the financial statements. |
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-877-208-0098 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 LLC or an affiliated company. © 2015 FMR LLC. All rights reserved.
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 holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com, http://www.advisor.fidelity.com, or http://www.401k.com, as applicable.
NOT FDIC INSURED • MAY LOSE VALUE • NO BANK GUARANTEE
Neither the fund nor Fidelity Distributors Corporation is a bank.
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, redemption fees 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 (November 1, 2014 to April 30, 2015).
Actual Expenses
The first line of the accompanying table 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. 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. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table 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. 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. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
Semiannual Report
Shareholder Expense Example - continued
| Annualized | Beginning | Ending | Expenses Paid |
Class A | 1.29% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,015.30 | $ 6.45 |
HypotheticalA |
| $ 1,000.00 | $ 1,018.40 | $ 6.46 |
Class T | 1.57% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,013.90 | $ 7.84 |
HypotheticalA |
| $ 1,000.00 | $ 1,017.01 | $ 7.85 |
Class B | 2.07% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,010.90 | $ 10.32 |
HypotheticalA |
| $ 1,000.00 | $ 1,014.53 | $ 10.34 |
Class C | 2.10% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,010.70 | $ 10.47 |
HypotheticalA |
| $ 1,000.00 | $ 1,014.38 | $ 10.49 |
Global Balanced | 1.01% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,016.70 | $ 5.05 |
HypotheticalA |
| $ 1,000.00 | $ 1,019.79 | $ 5.06 |
Institutional Class | 1.03% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,016.60 | $ 5.15 |
HypotheticalA |
| $ 1,000.00 | $ 1,019.69 | $ 5.16 |
A 5% return per year before expenses
B Annualized expense ratio reflects expenses net of applicable fee waivers.
* Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period). The fees and expenses of the underlying Fidelity Central Funds in which the Fund invests are not included in each Class' annualized expense ratio.
In addition to the expenses noted above, the Fund also indirectly bears its proportional share of the expenses of the underlying Fidelity Central Funds. Annualized expenses of the underlying non-money market Fidelity Central Funds as of their most recent fiscal half year ranged from less than .01% to .01%.
Semiannual Report
Investment Changes (Unaudited)
The information in the following tables is based on the combined investments of the Fund and its pro-rata share of the investments of Fidelity's Fixed Income Central Funds. |
Geographic Diversification (% of fund's net assets) | |||
As of April 30, 2015 | |||
![]() | United States of America* 42.9% |
| |
![]() | Japan 15.6% |
| |
![]() | United Kingdom 7.6% |
| |
![]() | France 4.0% |
| |
![]() | Italy 3.9% |
| |
![]() | Germany 3.7% |
| |
![]() | Ireland 3.1% |
| |
![]() | Netherlands 2.5% |
| |
![]() | Spain 2.3% |
| |
![]() | Other 14.4% |
|
* Includes Short-Term Investments and Net Other Assets (Liabilities) |
Percentages are based on country or territory of incorporation and are adjusted for the effect of futures contracts, if applicable. |
As of October 31, 2014 | |||
![]() | United States of America* 47.4% |
| |
![]() | Japan 12.2% |
| |
![]() | United Kingdom 6.6% |
| |
![]() | Germany 5.7% |
| |
![]() | Italy 3.9% |
| |
![]() | France 3.5% |
| |
![]() | Canada 3.2% |
| |
![]() | Switzerland 2.2% |
| |
![]() | Spain 2.2% |
| |
![]() | Other 13.1% |
|
* Includes Short-Term Investments and Net Other Assets (Liabilities) |
Percentages are based on country or territory of incorporation and are adjusted for the effect of futures contracts, if applicable. |
Asset Allocation as of April 30, 2015 | ||
| % of fund's | % of fund's net assets |
Stocks | 58.8 | 57.5 |
Bonds | 31.9 | 36.3 |
Convertible Securities | 0.5 | 0.0 |
Other Investments | 1.8 | 0.6 |
Short-Term Investments and Net Other Assets (Liabilities) | 7.0 | 5.6 |
Top Five Stocks as of April 30, 2015 | ||
| % of fund's | % of fund's net assets |
McGraw Hill Financial, Inc. (United States of America) | 2.0 | 2.0 |
Adobe Systems, Inc. (United States of America) | 1.6 | 1.8 |
CVS Health Corp. (United States of America) | 1.4 | 1.3 |
Ameriprise Financial, Inc. (United States of America) | 1.1 | 1.8 |
Zebra Technologies Corp. Class A (United States of America) | 1.1 | 0.6 |
| 7.2 | |
Top Five Bond Issuers as of April 30, 2015 | ||
(with maturities greater than one year) | % of fund's | % of fund's net assets |
Japan Government | 5.4 | 8.3 |
Buoni del Tesoro Poliennali | 2.8 | 2.5 |
Spanish Kingdom | 1.8 | 1.7 |
French Government | 1.6 | 1.3 |
German Federal Republic | 1.2 | 3.2 |
| 12.8 | |
Market Sectors as of April 30, 2015 | ||
| % of fund's | % of fund's net assets |
Financials | 18.8 | 19.1 |
Health Care | 11.8 | 9.4 |
Information Technology | 9.6 | 9.5 |
Consumer Discretionary | 8.7 | 7.2 |
Industrials | 7.3 | 8.2 |
Consumer Staples | 6.0 | 5.1 |
Energy | 3.8 | 5.4 |
Materials | 2.0 | 3.0 |
Utilities | 1.3 | 1.6 |
Telecommunication Services | 1.2 | 1.1 |
An unaudited holdings listing for the Fund, which presents direct holdings as well as the pro-rata share of any securities and other investments held indirectly through its investment in underlying non-money market Fidelity Central Funds, is available at fidelity.com and/or advisor.fidelity.com, as applicable. |
Semiannual Report
Investments April 30, 2015 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 58.5% | |||
Shares | Value | ||
Australia - 1.7% | |||
AMP Ltd. | 108,504 | $ 552,968 | |
Ardent Leisure Group unit | 74,204 | 116,562 | |
Asciano Ltd. | 50,184 | 262,504 | |
Australia & New Zealand Banking Group Ltd. | 19,730 | 530,697 | |
BHP Billiton Ltd. | 27,213 | 694,921 | |
Cabcharge Australia Ltd. | 63,766 | 228,589 | |
Carsales.com Ltd. | 18,338 | 136,991 | |
Cimic Group Ltd. | 13,810 | 230,483 | |
Coca-Cola Amatil Ltd. | 25,263 | 205,317 | |
Commonwealth Bank of Australia | 19,811 | 1,393,254 | |
Computershare Ltd. | 46,507 | 453,049 | |
CSL Ltd. | 9,901 | 712,843 | |
John Fairfax Holdings Ltd. | 344,134 | 284,585 | |
Lend Lease Group unit | 37,128 | 471,569 | |
Lovisa Holdings Ltd. | 29,466 | 72,519 | |
Macquarie CountryWide Trust | 10,120 | 34,516 | |
Macquarie Group Ltd. | 8,920 | 550,378 | |
Mount Gibson Iron Ltd. | 449,069 | 72,851 | |
Myer Holdings Ltd. | 184,783 | 201,795 | |
Pact Group Holdings Ltd. | 63,653 | 207,532 | |
Paladin Energy Ltd. (Australia) (a) | 398,082 | 110,258 | |
QBE Insurance Group Ltd. | 48,836 | 529,455 | |
Sims Metal Management Ltd. | 49,453 | 422,263 | |
Slater & Gordon Ltd. | 21,236 | 106,544 | |
Suncorp Group Ltd. | 37,419 | 388,355 | |
Sunland Group Ltd. | 118,290 | 175,985 | |
Super Cheap Auto Group Ltd. | 24,958 | 195,135 | |
Sydney Airport unit | 133,563 | 569,696 | |
Transpacific Industries Group Ltd. | 202,645 | 122,678 | |
TOTAL AUSTRALIA | 10,034,292 | ||
Austria - 0.2% | |||
Andritz AG | 19,300 | 1,129,952 | |
Bailiwick of Jersey - 0.6% | |||
Randgold Resources Ltd. | 300 | 22,830 | |
Shire PLC | 31,200 | 2,535,425 | |
Wolseley PLC | 18,202 | 1,076,547 | |
TOTAL BAILIWICK OF JERSEY | 3,634,802 | ||
Common Stocks - continued | |||
Shares | Value | ||
Belgium - 0.5% | |||
Anheuser-Busch InBev SA NV ADR | 15,300 | $ 1,836,612 | |
KBC Groep NV | 21,102 | 1,388,370 | |
TOTAL BELGIUM | 3,224,982 | ||
Bermuda - 0.2% | |||
China Everbright Water Ltd. (a) | 202,400 | 171,318 | |
DVN Holdings Ltd. (a) | 1,043,000 | 174,942 | |
Signet Jewelers Ltd. | 2,000 | 268,260 | |
Travelport Worldwide Ltd. | 17,000 | 269,110 | |
Vostok Nafta Investment Ltd. SDR (a) | 47,500 | 313,862 | |
TOTAL BERMUDA | 1,197,492 | ||
Canada - 0.6% | |||
AG Growth International, Inc. | 100 | 4,334 | |
Agnico Eagle Mines Ltd. (Canada) | 900 | 27,242 | |
Agrium, Inc. | 350 | 36,262 | |
Alimentation Couche-Tard, Inc. Class B (sub. vtg.) | 1,800 | 68,897 | |
Allied Properties (REIT) | 840 | 27,849 | |
ARC Resources Ltd. | 2,450 | 50,137 | |
AutoCanada, Inc. | 280 | 9,271 | |
Avigilon Corp. (a) | 1,100 | 18,982 | |
Bank of Nova Scotia | 1,020 | 56,246 | |
Barrick Gold Corp. | 700 | 9,097 | |
Canadian National Railway Co. | 2,890 | 186,598 | |
Canadian Natural Resources Ltd. | 1,180 | 39,209 | |
CCL Industries, Inc. Class B | 320 | 36,790 | |
CGI Group, Inc. Class A (sub. vtg.) (a) | 1,270 | 53,453 | |
Constellation Software, Inc. | 110 | 43,125 | |
Constellation Software, Inc. rights 9/15/15 (a) | 110 | 33 | |
Eldorado Gold Corp. | 4,120 | 20,523 | |
Enbridge, Inc. | 3,150 | 164,641 | |
Fairfax Financial Holdings Ltd. (sub. vtg.) | 90 | 49,159 | |
George Weston Ltd. | 630 | 52,040 | |
Gildan Activewear, Inc. | 1,270 | 40,253 | |
Gluskin Sheff + Associates, Inc. | 630 | 14,840 | |
H&R REIT/H&R Finance Trust | 1,510 | 28,973 | |
IMAX Corp. (a) | 7,000 | 261,520 | |
Imperial Oil Ltd. | 2,210 | 97,412 | |
Intact Financial Corp. | 1,050 | 80,876 | |
Jean Coutu Group, Inc. Class A (sub. vtg.) | 2,260 | 43,982 | |
Keyera Corp. | 1,646 | 57,941 | |
Labrador Iron Ore Royalty Corp. | 740 | 8,832 | |
Common Stocks - continued | |||
Shares | Value | ||
Canada - continued | |||
Lundin Mining Corp. (a) | 5,340 | $ 26,556 | |
Manulife Financial Corp. | 1,050 | 19,111 | |
MDC Partners, Inc. Class A (sub. vtg.) | 300 | 6,282 | |
Metro, Inc. Class A (sub. vtg.) | 1,100 | 31,801 | |
National Bank of Canada | 1,570 | 63,438 | |
North West Co., Inc. | 1,060 | 21,754 | |
Novadaq Technologies, Inc. (a) | 280 | 3,027 | |
Open Text Corp. | 680 | 34,358 | |
Painted Pony Petroleum Ltd. (a) | 1,900 | 11,764 | |
Paramount Resources Ltd. Class A (a) | 350 | 10,354 | |
Parkland Fuel Corp. | 900 | 19,649 | |
Pason Systems, Inc. | 1,200 | 21,603 | |
Peyto Exploration & Development Corp. | 880 | 25,579 | |
Pizza Pizza Royalty Corp. | 140 | 1,654 | |
Potash Corp. of Saskatchewan, Inc. | 870 | 28,411 | |
Power Corp. of Canada (sub. vtg.) | 2,590 | 71,163 | |
PrairieSky Royalty Ltd. | 620 | 17,025 | |
Quebecor, Inc. Class B (sub. vtg.) | 680 | 18,701 | |
Raging River Exploration, Inc. (a) | 1,300 | 10,182 | |
Rogers Communications, Inc. Class B (non-vtg.) (e) | 2,520 | 90,022 | |
Romarco Minerals, Inc. (a) | 13,818 | 5,211 | |
RONA, Inc. | 2,290 | 30,141 | |
Royal Bank of Canada | 4,350 | 288,834 | |
Silver Wheaton Corp. | 1,470 | 28,998 | |
Spartan Energy Corp. (a) | 6,660 | 18,824 | |
Stantec, Inc. | 850 | 22,960 | |
Stella-Jones, Inc. | 460 | 16,581 | |
Sun Life Financial, Inc. | 3,020 | 96,645 | |
Suncor Energy, Inc. | 5,512 | 179,500 | |
Tahoe Resources, Inc. | 810 | 11,447 | |
TELUS Corp. | 2,990 | 103,417 | |
The Toronto-Dominion Bank | 5,790 | 267,305 | |
Torex Gold Resources, Inc. (a) | 10,180 | 9,450 | |
TransForce, Inc. | 1,060 | 23,941 | |
Valeant Pharmaceuticals International (Canada) (a) | 660 | 143,121 | |
Vermilion Energy, Inc. | 450 | 21,663 | |
West Fraser Timber Co. Ltd. | 600 | 30,873 | |
WestJet Airlines Ltd. | 840 | 18,986 | |
Whistler Blackcomb Holdings, Inc. | 320 | 4,838 | |
Whitecap Resources, Inc. | 2,360 | 29,243 | |
Common Stocks - continued | |||
Shares | Value | ||
Canada - continued | |||
Winpak Ltd. | 390 | $ 12,675 | |
ZCL Composites, Inc. | 3,020 | 19,249 | |
TOTAL CANADA | 3,504,853 | ||
Cayman Islands - 0.4% | |||
21Vianet Group, Inc. ADR (a) | 5,033 | 103,529 | |
CK Hutchison Holdings Ltd. | 23,500 | 510,899 | |
New Oriental Education & Technology Group, Inc. sponsored ADR (a) | 6,200 | 158,658 | |
Tencent Holdings Ltd. | 16,100 | 332,286 | |
Uni-President China Holdings Ltd. | 358,000 | 289,613 | |
Vipshop Holdings Ltd. ADR (a) | 28,000 | 792,120 | |
TOTAL CAYMAN ISLANDS | 2,187,105 | ||
China - 0.1% | |||
Ping An Insurance (Group) Co. of China Ltd. (H Shares) | 32,000 | 459,942 | |
Denmark - 0.6% | |||
Carlsberg A/S Series B | 13,300 | 1,212,542 | |
DSV de Sammensluttede Vognmaend A/S | 33,900 | 1,175,980 | |
Novo Nordisk A/S Series B | 5,000 | 280,703 | |
William Demant Holding A/S (a) | 12,900 | 1,055,895 | |
TOTAL DENMARK | 3,725,120 | ||
Finland - 1.0% | |||
Amer Group PLC (A Shares) | 45,500 | 1,138,683 | |
Cargotec Corp. (B Shares) | 58,300 | 2,350,404 | |
Huhtamaki Oyj | 32,300 | 1,032,559 | |
Kesko Oyj | 15,400 | 629,226 | |
Valmet Corp. | 79,700 | 923,673 | |
TOTAL FINLAND | 6,074,545 | ||
France - 1.8% | |||
bioMerieux SA | 12,500 | 1,348,519 | |
Bollore Group | 207,800 | 1,187,587 | |
Christian Dior SA | 7,605 | 1,486,786 | |
Havas SA | 135,700 | 1,131,840 | |
Ipsen SA | 21,900 | 1,257,674 | |
Publicis Groupe SA | 16,124 | 1,352,329 | |
Rexel SA | 78,300 | 1,475,693 | |
Total SA sponsored ADR | 13,000 | 703,300 | |
Wendel SA | 8,400 | 1,031,714 | |
TOTAL FRANCE | 10,975,442 | ||
Common Stocks - continued | |||
Shares | Value | ||
Germany - 1.6% | |||
adidas AG | 14,600 | $ 1,196,265 | |
Bayer AG | 14,900 | 2,144,596 | |
Brenntag AG | 18,300 | 1,098,012 | |
CompuGroup Medical AG | 20,100 | 574,534 | |
Continental AG (e) | 5,800 | 1,359,258 | |
Deutsche Annington Immobilien SE | 13,085 | 439,200 | |
Fresenius SE & Co. KGaA | 25,200 | 1,499,222 | |
GEA Group AG | 23,596 | 1,133,220 | |
MLP AG | 25,383 | 108,500 | |
TOTAL GERMANY | 9,552,807 | ||
Hong Kong - 0.6% | |||
AIA Group Ltd. | 242,800 | 1,622,729 | |
Lenovo Group Ltd. | 216,000 | 373,444 | |
Power Assets Holdings Ltd. | 28,500 | 288,473 | |
SJM Holdings Ltd. | 297,000 | 378,217 | |
Techtronic Industries Co. Ltd. | 115,500 | 410,555 | |
Wharf Holdings Ltd. | 45,000 | 325,429 | |
TOTAL HONG KONG | 3,398,847 | ||
Ireland - 2.7% | |||
Actavis PLC (a) | 23,850 | 6,746,211 | |
Alkermes PLC (a) | 44,400 | 2,458,428 | |
DCC PLC (United Kingdom) | 13,000 | 826,977 | |
Endo Health Solutions, Inc. (a) | 9,000 | 756,585 | |
Greencore Group PLC | 111,821 | 606,806 | |
James Hardie Industries PLC CDI | 33,849 | 391,349 | |
Medtronic PLC | 33,000 | 2,456,850 | |
Prothena Corp. PLC (a) | 3,000 | 97,230 | |
Ryanair Holdings PLC sponsored ADR | 10,000 | 648,500 | |
United Drug PLC (United Kingdom) | 164,090 | 1,334,545 | |
TOTAL IRELAND | 16,323,481 | ||
Isle of Man - 0.5% | |||
Optimal Payments PLC (a) | 194,600 | 884,327 | |
Optimal Payments PLC rights 5/1/15 (a) | 324,333 | 688,553 | |
Playtech Ltd. | 126,880 | 1,593,966 | |
TOTAL ISLE OF MAN | 3,166,846 | ||
Common Stocks - continued | |||
Shares | Value | ||
Israel - 0.2% | |||
Sarine Technologies Ltd. | 268,100 | $ 415,360 | |
Teva Pharmaceutical Industries Ltd. sponsored ADR | 9,000 | 543,780 | |
TOTAL ISRAEL | 959,140 | ||
Italy - 0.2% | |||
Amplifon SpA | 153,000 | 1,191,717 | |
Japan - 6.3% | |||
AEON Financial Service Co. Ltd. | 41,000 | 1,045,195 | |
Asahi Group Holdings | 33,800 | 1,086,908 | |
Asahi Kasei Corp. | 33,000 | 310,749 | |
Bridgestone Corp. | 36,800 | 1,541,320 | |
Dai-ichi Mutual Life Insurance Co. | 50,300 | 826,726 | |
Daikin Industries Ltd. | 15,300 | 1,030,746 | |
Fanuc Corp. | 600 | 131,978 | |
Fuji Heavy Industries Ltd. | 30,700 | 1,026,609 | |
Furukawa Electric Co. Ltd. | 250,000 | 458,224 | |
Hitachi Metals Ltd. | 85,000 | 1,329,335 | |
Hoya Corp. | 35,900 | 1,383,618 | |
KDDI Corp. | 34,200 | 809,252 | |
Kubota Corp. | 65,000 | 1,017,316 | |
Kyocera Corp. | 2,000 | 104,403 | |
LIXIL Group Corp. | 47,900 | 998,406 | |
Mitsubishi Electric Corp. | 22,000 | 287,314 | |
Mitsubishi Heavy Industries Ltd. | 211,000 | 1,169,093 | |
NEC Corp. | 460,000 | 1,530,425 | |
Nihon Kohden Corp. | 31,300 | 822,454 | |
Nihon Parkerizing Co. Ltd. | 36,800 | 418,372 | |
Nintendo Co. Ltd. | 5,000 | 839,500 | |
Nippon Ceramic Co. Ltd. | 25,900 | 369,126 | |
Nippon Shinyaku Co. Ltd. | 12,000 | 401,203 | |
Nissan Motor Co. Ltd. | 36,400 | 377,857 | |
OMRON Corp. | 3,000 | 137,754 | |
ORIX Corp. | 122,400 | 1,882,316 | |
Panasonic Corp. | 114,100 | 1,634,354 | |
Rakuten, Inc. | 27,700 | 483,931 | |
ROHM Co. Ltd. | 15,600 | 1,082,091 | |
Seiko Epson Corp. | 31,600 | 552,190 | |
SoftBank Corp. | 26,500 | 1,656,524 | |
Stanley Electric Co. Ltd. | 43,000 | 964,818 | |
Sumitomo Mitsui Financial Group, Inc. | 39,700 | 1,733,485 | |
Sumitomo Mitsui Trust Holdings, Inc. | 261,000 | 1,148,906 | |
T&D Holdings, Inc. | 53,900 | 777,766 | |
Common Stocks - continued | |||
Shares | Value | ||
Japan - continued | |||
Temp Holdings Co., Ltd. | 28,100 | $ 890,015 | |
Tokyo Electron Ltd. | 6,400 | 350,799 | |
Tokyo Tatemono Co. Ltd. | 77,000 | 558,301 | |
Toray Industries, Inc. | 97,000 | 843,187 | |
Tosoh Corp. | 173,000 | 927,499 | |
Toyota Motor Corp. | 22,500 | 1,566,206 | |
Yahoo! Japan Corp. | 159,400 | 651,186 | |
Yamaha Motor Co. Ltd. | 46,400 | 1,091,893 | |
TOTAL JAPAN | 38,249,350 | ||
Korea (South) - 0.0% | |||
Samsung Electronics Co. Ltd. | 100 | 130,906 | |
Luxembourg - 0.0% | |||
Samsonite International SA | 72,900 | 266,654 | |
Netherlands - 0.9% | |||
ING Groep NV (Certificaten Van Aandelen) | 114,900 | 1,762,745 | |
LyondellBasell Industries NV Class A | 50 | 5,176 | |
NXP Semiconductors NV (a) | 21,000 | 2,018,520 | |
Reed Elsevier NV | 46,633 | 1,124,668 | |
Unilever NV (NY Reg.) | 6,000 | 260,880 | |
TOTAL NETHERLANDS | 5,171,989 | ||
Norway - 0.2% | |||
TGS Nopec Geophysical Co. ASA | 51,200 | 1,302,989 | |
Singapore - 0.0% | |||
Rex International Holdings Ltd. (a) | 967,400 | 230,299 | |
Spain - 0.4% | |||
Amadeus IT Holding SA Class A | 32,000 | 1,458,623 | |
Red Electrica Corporacion SA | 13,300 | 1,116,201 | |
TOTAL SPAIN | 2,574,824 | ||
Sweden - 2.1% | |||
Elekta AB (B Shares) | 94,698 | 886,110 | |
Getinge AB (B Shares) | 117,400 | 2,853,395 | |
Hemfosa Fastigheter AB (a) | 45,500 | 1,051,276 | |
Indutrade AB | 24,000 | 1,172,446 | |
Kungsleden AB | 138,395 | 1,007,361 | |
Lundbergfoeretagen AB | 21,600 | 1,014,536 | |
Nordea Bank AB | 78,400 | 996,084 | |
SKF AB (B Shares) | 48,900 | 1,194,385 | |
Svenska Cellulosa AB (SCA) (B Shares) | 49,600 | 1,254,631 | |
Common Stocks - continued | |||
Shares | Value | ||
Sweden - continued | |||
Svenska Handelsbanken AB (A Shares) | 19,200 | $ 886,252 | |
Volvo AB (B Shares) | 13,000 | 179,598 | |
TOTAL SWEDEN | 12,496,074 | ||
Switzerland - 1.2% | |||
Julius Baer Group Ltd. | 23,500 | 1,230,008 | |
Roche Holding AG (participation certificate) | 12,917 | 3,696,265 | |
Sonova Holding AG Class B | 7,986 | 1,103,303 | |
TE Connectivity Ltd. | 19,200 | 1,277,760 | |
TOTAL SWITZERLAND | 7,307,336 | ||
United Kingdom - 5.2% | |||
Aberdeen Asset Management PLC | 136,143 | 988,599 | |
Babcock International Group PLC | 109,930 | 1,695,772 | |
British American Tobacco PLC (United Kingdom) | 43,300 | 2,379,060 | |
British Land Co. PLC | 90,300 | 1,150,091 | |
Bunzl PLC | 39,469 | 1,109,761 | |
Compass Group PLC | 58,535 | 1,034,766 | |
Dechra Pharmaceuticals PLC | 46,600 | 728,103 | |
Diageo PLC | 62,749 | 1,742,061 | |
Diploma PLC | 81,000 | 993,558 | |
Essentra PLC | 70,200 | 1,030,488 | |
HSBC Holdings PLC (United Kingdom) | 223,500 | 2,232,654 | |
ITV PLC | 249,800 | 969,853 | |
JUST EAT Ltd. (a) | 5,000 | 35,062 | |
Land Securities Group PLC | 62,612 | 1,198,177 | |
Lloyds Banking Group PLC | 1,448,300 | 1,715,190 | |
London Stock Exchange Group PLC | 28,245 | 1,099,448 | |
Micro Focus International PLC | 400 | 7,699 | |
Prudential PLC | 69,511 | 1,730,653 | |
Rolls-Royce Group PLC | 98,827 | 1,575,590 | |
Royal & Sun Alliance Insurance Group PLC | 190,585 | 1,246,761 | |
Schroders PLC | 13,600 | 674,538 | |
Shawbrook Group Ltd. | 47,900 | 226,061 | |
St. James's Place Capital PLC | 39,600 | 540,172 | |
Standard Chartered PLC: | |||
(Hong Kong) | 21,400 | 353,420 | |
(United Kingdom) | 149,650 | 2,450,101 | |
Unite Group PLC | 118,300 | 1,082,288 | |
William Hill PLC | 215,600 | 1,191,217 | |
TOTAL UNITED KINGDOM | 31,181,143 | ||
Common Stocks - continued | |||
Shares | Value | ||
United States of America - 28.7% | |||
AbbVie, Inc. | 13,000 | $ 840,580 | |
Adobe Systems, Inc. (a) | 125,200 | 9,522,712 | |
Agios Pharmaceuticals, Inc. (a) | 3,000 | 277,020 | |
Alaska Air Group, Inc. | 30,000 | 1,921,800 | |
Alnylam Pharmaceuticals, Inc. (a) | 1,726 | 175,828 | |
AMAG Pharmaceuticals, Inc. (a) | 2,000 | 101,940 | |
Amazon.com, Inc. (a) | 6,700 | 2,825,926 | |
American Airlines Group, Inc. | 41,400 | 1,998,999 | |
Ameriprise Financial, Inc. | 54,700 | 6,852,816 | |
Amgen, Inc. | 6,000 | 947,460 | |
Amphenol Corp. Class A | 3,700 | 204,869 | |
AutoZone, Inc. (a) | 2,500 | 1,681,650 | |
Avalanche Biotechnologies, Inc. (a) | 1,500 | 47,790 | |
Babcock & Wilcox Co. | 10,000 | 323,200 | |
Biogen, Inc. (a) | 11,200 | 4,188,016 | |
BioMarin Pharmaceutical, Inc. (a) | 9,000 | 1,008,450 | |
BlackRock, Inc. Class A | 1,700 | 618,698 | |
bluebird bio, Inc. (a) | 3,100 | 412,889 | |
Booz Allen Hamilton Holding Corp. Class A | 25,000 | 687,500 | |
Cabot Oil & Gas Corp. | 62,000 | 2,096,840 | |
California Resources Corp. | 11,000 | 102,300 | |
CDW Corp. | 1,000 | 38,320 | |
Celgene Corp. (a) | 12,000 | 1,296,720 | |
Celldex Therapeutics, Inc. (a) | 2,300 | 55,200 | |
Charles Schwab Corp. | 10,000 | 305,000 | |
Chimerix, Inc. (a) | 1,600 | 54,400 | |
Church & Dwight Co., Inc. | 4,000 | 324,680 | |
Cidara Therapeutics, Inc. | 5,564 | 81,346 | |
Cigna Corp. | 8,300 | 1,034,512 | |
Cognizant Technology Solutions Corp. Class A (a) | 15,000 | 878,100 | |
CommScope Holding Co., Inc. (a) | 13,000 | 383,630 | |
Constellation Brands, Inc. Class A (sub. vtg.) (a) | 21,000 | 2,434,740 | |
CVS Health Corp. | 84,500 | 8,390,005 | |
Denbury Resources, Inc. (e) | 326,000 | 2,872,060 | |
Diamondback Energy, Inc. (a) | 8,000 | 660,560 | |
Diplomat Pharmacy, Inc. (e) | 15,000 | 537,300 | |
Domino's Pizza, Inc. | 3,000 | 323,550 | |
Dyax Corp. (a) | 4,000 | 95,640 | |
Dynegy, Inc. (a) | 72,900 | 2,425,383 | |
E*TRADE Financial Corp. (a) | 5,000 | 143,950 | |
Ecolab, Inc. | 7,100 | 795,058 | |
Electronic Arts, Inc. (a) | 8,000 | 464,720 | |
Common Stocks - continued | |||
Shares | Value | ||
United States of America - continued | |||
Energizer Holdings, Inc. | 20 | $ 2,732 | |
EQT Corp. | 25,000 | 2,248,500 | |
Estee Lauder Companies, Inc. Class A | 19,200 | 1,560,768 | |
Etsy, Inc. | 2,100 | 46,704 | |
Facebook, Inc. Class A (a) | 63,800 | 5,025,526 | |
FedEx Corp. | 2,900 | 491,753 | |
Ford Motor Co. | 40,000 | 632,000 | |
Freeport-McMoRan, Inc. | 790 | 18,383 | |
Gilead Sciences, Inc. (a) | 64,000 | 6,432,640 | |
Google, Inc. Class A (a) | 4,700 | 2,579,219 | |
HD Supply Holdings, Inc. (a) | 13,000 | 429,000 | |
Home Depot, Inc. | 22,000 | 2,353,560 | |
Huntington Ingalls Industries, Inc. | 2,000 | 263,180 | |
Illumina, Inc. (a) | 100 | 18,425 | |
inContact, Inc. (a) | 85,000 | 879,750 | |
Interactive Intelligence Group, Inc. (a) | 2,000 | 87,960 | |
Intercept Pharmaceuticals, Inc. (a) | 10,600 | 2,679,786 | |
Intrexon Corp. (a) | 15,000 | 582,450 | |
Intuit, Inc. | 31,200 | 3,130,296 | |
Isis Pharmaceuticals, Inc. (a) | 3,700 | 209,864 | |
J.B. Hunt Transport Services, Inc. | 10,000 | 872,000 | |
Level 3 Communications, Inc. (a) | 33,000 | 1,846,020 | |
LinkedIn Corp. Class A (a) | 1,000 | 252,130 | |
Lithia Motors, Inc. Class A (sub. vtg.) | 3,900 | 388,947 | |
Lowe's Companies, Inc. | 3,300 | 227,238 | |
lululemon athletica, Inc. (a) | 12,000 | 763,680 | |
Marathon Petroleum Corp. | 25,500 | 2,513,535 | |
MarketAxess Holdings, Inc. | 1,200 | 103,020 | |
MasterCard, Inc. Class A | 43,800 | 3,951,198 | |
McGraw Hill Financial, Inc. | 114,000 | 11,890,200 | |
Mead Johnson Nutrition Co. Class A | 10,150 | 973,588 | |
Microsoft Corp. | 27,000 | 1,313,280 | |
Moody's Corp. | 24,000 | 2,580,480 | |
Neurocrine Biosciences, Inc. (a) | 19,000 | 647,710 | |
Newfield Exploration Co. (a) | 67,000 | 2,629,080 | |
NiSource, Inc. | 56,500 | 2,453,230 | |
Novavax, Inc. (a) | 7,000 | 54,110 | |
Nu Skin Enterprises, Inc. Class A | 3,700 | 209,235 | |
NVIDIA Corp. | 6,000 | 133,170 | |
O'Reilly Automotive, Inc. (a) | 2,800 | 609,924 | |
PACCAR, Inc. | 3,000 | 196,050 | |
Palo Alto Networks, Inc. (a) | 1,200 | 177,264 | |
Common Stocks - continued | |||
Shares | Value | ||
United States of America - continued | |||
Papa John's International, Inc. | 6,000 | $ 368,220 | |
Party City Holdco, Inc. | 2,500 | 51,975 | |
PDC Energy, Inc. (a) | 3,000 | 170,220 | |
Philip Morris International, Inc. | 16,000 | 1,335,520 | |
Pinnacle Foods, Inc. | 18,000 | 729,900 | |
Post Holdings, Inc. (a) | 6,000 | 281,640 | |
Prestige Brands Holdings, Inc. (a) | 85,000 | 3,336,250 | |
Priceline Group, Inc. (a) | 500 | 618,905 | |
Range Resources Corp. | 26,000 | 1,652,560 | |
Red Hat, Inc. (a) | 3,300 | 248,358 | |
Rock-Tenn Co. Class A | 10,000 | 629,800 | |
Ross Stores, Inc. | 5,000 | 494,400 | |
Royal Gold, Inc. | 300 | 19,359 | |
Sage Therapeutics, Inc. | 1,300 | 68,900 | |
Salesforce.com, Inc. (a) | 4,300 | 313,126 | |
ServiceMaster Global Holdings, Inc. | 29,000 | 1,002,240 | |
Skyworks Solutions, Inc. | 11,000 | 1,014,750 | |
SolarWinds, Inc. (a) | 2,000 | 97,560 | |
Spark Therapeutics, Inc. | 1,000 | 57,270 | |
Spirit Airlines, Inc. (a) | 31,300 | 2,143,111 | |
Sprouts Farmers Market LLC (a) | 21,000 | 671,685 | |
SVB Financial Group (a) | 15,900 | 2,110,884 | |
Teleflex, Inc. | 2,000 | 245,920 | |
TESARO, Inc. (a) | 2,000 | 108,940 | |
Tetraphase Pharmaceuticals, Inc. (a) | 3,000 | 105,840 | |
The Blackstone Group LP | 9,000 | 368,640 | |
The Coca-Cola Co. | 6,000 | 243,360 | |
The Cooper Companies, Inc. | 10,400 | 1,851,928 | |
The Hain Celestial Group, Inc. (a) | 14,000 | 843,360 | |
The J.M. Smucker Co. | 4,000 | 463,680 | |
The Walt Disney Co. | 25,400 | 2,761,488 | |
Twitter, Inc. (a) | 42,000 | 1,636,320 | |
Ulta Salon, Cosmetics & Fragrance, Inc. (a) | 5,000 | 755,450 | |
Ultragenyx Pharmaceutical, Inc. (a) | 4,100 | 231,363 | |
UnitedHealth Group, Inc. | 23,000 | 2,562,200 | |
Visa, Inc. Class A | 50,000 | 3,302,500 | |
Walgreens Boots Alliance, Inc. | 14,700 | 1,219,071 | |
Wells Fargo & Co. | 76,000 | 4,187,600 | |
Whirlpool Corp. | 11,300 | 1,984,280 | |
WPX Energy, Inc. (a) | 81,000 | 1,113,750 | |
Common Stocks - continued | |||
Shares | Value | ||
United States of America - continued | |||
Zebra Technologies Corp. Class A (a) | 74,000 | $ 6,813,920 | |
Zendesk, Inc. | 5,000 | 115,300 | |
TOTAL UNITED STATES OF AMERICA | 173,221,285 | ||
TOTAL COMMON STOCKS (Cost $305,600,794) |
| ||
Preferred Stocks - 0.8% | |||
|
|
|
|
Convertible Preferred Stocks - 0.5% | |||
United States of America - 0.5% | |||
Actavis PLC 5.50% | 1,700 | 1,701,122 | |
American Tower Corp. 5.50% (a) | 12,900 | 1,323,540 | |
Dynegy, Inc. 5.375% (a) | 2,500 | 283,775 | |
TOTAL UNITED STATES OF AMERICA | 3,308,437 | ||
Nonconvertible Preferred Stocks - 0.3% | |||
Germany - 0.3% | |||
Volkswagen AG | 6,000 | 1,544,675 | |
United Kingdom - 0.0% | |||
Rolls-Royce Group PLC | 13,934,607 | 21,390 | |
Rolls-Royce Group PLC (C Shares) (a) | 30,690,583 | 47,110 | |
TOTAL UNITED KINGDOM | 68,500 | ||
TOTAL NONCONVERTIBLE PREFERRED STOCKS | 1,613,175 | ||
TOTAL PREFERRED STOCKS (Cost $4,272,256) |
| ||
Investment Companies - 1.2% | |||
|
|
|
|
United States of America - 1.2% | |||
iShares Barclays 20+ Year Treasury Bond ETF (e) | 55,300 |
|
Nonconvertible Bonds - 10.6% | ||||
| Principal Amount (d) | Value | ||
Australia - 0.1% | ||||
Aurizon Network Pty Ltd. 2% 9/18/24 (Reg. S) (d) | EUR | 450,000 | $ 517,874 | |
Rio Tinto Finance (U.S.A.) Ltd. 9% 5/1/19 | 250,000 | 314,460 | ||
TOTAL AUSTRALIA | 832,334 | |||
Bailiwick of Jersey - 0.3% | ||||
AA Bond Co. Ltd.: | ||||
3.781% 7/31/43 (Reg S.) | GBP | 500,000 | 796,358 | |
4.7201% 7/31/18 (Reg. S) | GBP | 600,000 | 984,346 | |
TOTAL BAILIWICK OF JERSEY | 1,780,704 | |||
British Virgin Islands - 0.1% | ||||
CNOOC Finance 2011 Ltd. 4.25% 1/26/21 | 400,000 | 428,460 | ||
Canada - 0.2% | ||||
Methanex Corp. 4.25% 12/1/24 | 1,250,000 | 1,275,050 | ||
The Toronto Dominion Bank 2.375% 10/19/16 | 250,000 | 255,901 | ||
TOTAL CANADA | 1,530,951 | |||
Cayman Islands - 0.2% | ||||
Bishopgate Asset Finance Ltd. 4.808% 8/14/44 | GBP | 177,771 | 280,363 | |
IPIC GMTN Ltd.: | ||||
5.875% 3/14/21 (Reg. S) | EUR | 175,000 | 252,010 | |
6.875% 3/14/26 | GBP | 150,000 | 309,686 | |
Yorkshire Water Services Finance Ltd. 6.375% 8/19/39 | GBP | 100,000 | 217,017 | |
TOTAL CAYMAN ISLANDS | 1,059,076 | |||
France - 0.5% | ||||
Arkema SA 3.85% 4/30/20 | EUR | 300,000 | 386,868 | |
Banque Federative du Credit Mutuel SA 2.5% 10/29/18 (f) | 350,000 | 358,370 | ||
Bureau Veritas SA 3.125% 1/21/21 (Reg. S) | EUR | 500,000 | 615,998 | |
EDF SA 4.625% 9/11/24 | EUR | 150,000 | 219,586 | |
HSBC SFH France SA 2% 10/16/23 | EUR | 800,000 | 1,012,481 | |
Iliad SA 4.875% 6/1/16 | EUR | 500,000 | 585,467 | |
TOTAL FRANCE | 3,178,770 | |||
Germany - 0.6% | ||||
Deutsche Bank AG 1.25% 9/8/21 | EUR | 1,400,000 | 1,594,201 | |
Deutsche Bank AG London Branch 1.875% 2/13/18 | 400,000 | 401,635 | ||
Infineon Technologies AG 1.5% 3/10/22 (Reg. S) | EUR | 800,000 | 894,567 | |
Nonconvertible Bonds - continued | ||||
| Principal Amount (d) | Value | ||
Germany - continued | ||||
ProSiebenSat.1 Media AG 2.625% 4/15/21 (Reg S.) | EUR | 550,000 | $ 652,777 | |
Vier Gas Transport GmbH 2.875% 6/12/25 (Reg. S) | EUR | 200,000 | 258,296 | |
TOTAL GERMANY | 3,801,476 | |||
Hong Kong - 0.1% | ||||
Wharf Finance Ltd. 4.625% 2/8/17 | 400,000 | 417,911 | ||
Ireland - 0.4% | ||||
Aquarius & Investments PLC 4.25% 10/2/43 (h) | EUR | 150,000 | 195,738 | |
GE Capital UK Funding 4.375% 7/31/19 | GBP | 450,000 | 760,973 | |
Medtronic, Inc.: | ||||
3.5% 3/15/25 (f) | 700,000 | 724,186 | ||
4.375% 3/15/35 (f) | 450,000 | 475,308 | ||
4.625% 3/15/45 (f) | 450,000 | 484,524 | ||
TOTAL IRELAND | 2,640,729 | |||
Italy - 0.2% | ||||
Banco Popolare Societa Cooperativa 3.5% 3/14/19 | EUR | 600,000 | 707,403 | |
Intesa Sanpaolo SpA 4.875% 7/10/15 | EUR | 300,000 | 339,627 | |
TOTAL ITALY | 1,047,030 | |||
Japan - 0.1% | ||||
Sumitomo Life Insurance Co. 6.5% 9/20/73 (Reg. S) (h) | 400,000 | 473,600 | ||
Korea (South) - 0.2% | ||||
Export-Import Bank of Korea 5% 4/11/22 | 200,000 | 229,713 | ||
Korea Resources Corp. 2.125% 5/2/18 (Reg. S) | 200,000 | 200,771 | ||
National Agricultural Cooperative Federation 4.25% 1/28/16 (Reg. S) | 450,000 | 459,815 | ||
Nonghyup Bank 2.625% 11/1/18 (Reg. S) | 200,000 | 204,144 | ||
TOTAL KOREA (SOUTH) | 1,094,443 | |||
Luxembourg - 0.2% | ||||
Actavis Funding SCS: | ||||
3% 3/12/20 | 250,000 | 254,332 | ||
3.45% 3/15/22 | 250,000 | 254,128 | ||
3.8% 3/15/25 | 350,000 | 353,922 | ||
4.55% 3/15/35 | 200,000 | 200,682 | ||
4.75% 3/15/45 | 150,000 | 151,228 | ||
TOTAL LUXEMBOURG | 1,214,292 | |||
Netherlands - 0.7% | ||||
Achmea BV 2.5% 11/19/20 | EUR | 500,000 | 606,177 | |
Coca Cola HBC Finance BV 2.375% 6/18/20 | EUR | 400,000 | 475,431 | |
Nonconvertible Bonds - continued | ||||
| Principal Amount (d) | Value | ||
Netherlands - continued | ||||
Deutsche Annington Finance BV: | ||||
3.2% 10/2/17 (f) | $ 350,000 | $ 359,008 | ||
5% 10/2/23 (f) | 450,000 | 489,356 | ||
Heineken NV 1.4% 10/1/17 (f) | 550,000 | 552,187 | ||
LYB International Finance BV: | ||||
4% 7/15/23 | 500,000 | 529,334 | ||
4.875% 3/15/44 | 500,000 | 528,187 | ||
Volkswagen International Finance NV 2.375% 3/22/17 (f) | 400,000 | 408,590 | ||
Wuerth Finance International BV 1.75% 5/21/20 | EUR | 150,000 | 178,023 | |
TOTAL NETHERLANDS | 4,126,293 | |||
Norway - 0.1% | ||||
DNB Boligkreditt A/S 1.45% 3/21/19 (f) | 400,000 | 399,638 | ||
Singapore - 0.1% | ||||
CMT MTN Pte. Ltd. 3.731% 3/21/18 (Reg. S) | 400,000 | 418,526 | ||
PSA International Pte Ltd. 4.625% 9/11/19 (Reg. S) | 250,000 | 276,730 | ||
TOTAL SINGAPORE | 695,256 | |||
Spain - 0.1% | ||||
BBVA U.S. Senior SA 4.664% 10/9/15 | 500,000 | 508,057 | ||
Sweden - 0.1% | ||||
Svenska Handelsbanken AB 2.656% 1/15/24 (h) | EUR | 441,000 | 519,319 | |
Switzerland - 0.1% | ||||
Credit Suisse Group 5.75% 9/18/25 (Reg. S) (h) | EUR | 300,000 | 389,168 | |
United Arab Emirates - 0.0% | ||||
Abu Dhabi National Energy Co. 3.625% 1/12/23 | 300,000 | 306,750 | ||
United Kingdom - 1.2% | ||||
Barclays Bank PLC: | ||||
4.25% 1/12/22 | GBP | 350,000 | 611,713 | |
6.75% 1/16/23 (h) | GBP | 300,000 | 506,561 | |
BAT International Finance PLC 3.25% 6/7/22 (f) | 200,000 | 204,506 | ||
Channel Link Enterprises Finance PLC 3.426% 6/30/50 (h) | EUR | 950,000 | 1,063,008 | |
Direct Line Insurance Group PLC 9.25% 4/27/42 (h) | GBP | 100,000 | 195,650 | |
Eastern Power Networks PLC 6.25% 11/12/36 | GBP | 160,000 | 336,951 | |
Eversholt Funding PLC 6.697% 2/22/35 | GBP | 100,000 | 204,420 | |
Experian Finance PLC 2.375% 6/15/17 (f) | 425,000 | 429,260 | ||
First Hydro Finance PLC 9% 7/31/21 | GBP | 320,000 | 663,493 | |
Great Rolling Stock Co. Ltd. 6.25% 7/27/20 | GBP | 350,000 | 628,634 | |
Nonconvertible Bonds - continued | ||||
| Principal Amount (d) | Value | ||
United Kingdom - continued | ||||
Intu Properties PLC 3.875% 3/17/23 | GBP | 300,000 | $ 481,794 | |
Mondi Finance PLC 3.375% 9/28/20 | EUR | 350,000 | 437,828 | |
Sky PLC 2.5% 9/15/26 (Reg. S) | EUR | 700,000 | 855,209 | |
Tesco PLC 5.875% 9/12/16 | EUR | 100,000 | 119,824 | |
Unite (USAF) II PLC 3.374% 6/30/28 | GBP | 150,000 | 237,261 | |
Wales & West Utilities Finance PLC 6.75% 12/17/36 (h) | GBP | 150,000 | 263,691 | |
Western Power Distribution PLC 5.75% 3/23/40 | GBP | 150,000 | 299,995 | |
TOTAL UNITED KINGDOM | 7,539,798 | |||
United States of America - 5.0% | ||||
AbbVie, Inc. 1.75% 11/6/17 | 400,000 | 402,235 | ||
Altria Group, Inc.: | ||||
2.85% 8/9/22 | 500,000 | 497,695 | ||
9.25% 8/6/19 | 134,000 | 170,916 | ||
American Express Co. 1.55% 5/22/18 | 550,000 | 549,787 | ||
American International Group, Inc. 5% 4/26/23 | GBP | 200,000 | 353,519 | |
Anadarko Petroleum Corp. 3.45% 7/15/24 | 900,000 | 913,830 | ||
AutoZone, Inc. 3.125% 7/15/23 | 400,000 | 399,542 | ||
Bank of America Corp. 4.2% 8/26/24 | 950,000 | 960,137 | ||
Bayer U.S. Finance LLC 3.375% 10/8/24 (f) | 550,000 | 567,247 | ||
Burlington Northern Santa Fe LLC: | ||||
3.4% 9/1/24 | 550,000 | 567,555 | ||
4.15% 4/1/45 | 150,000 | 151,188 | ||
Chevron Corp.: | ||||
2.427% 6/24/20 | 200,000 | 206,706 | ||
3.191% 6/24/23 | 300,000 | 310,497 | ||
Citigroup, Inc.: | ||||
2.125% 9/10/26 (Reg. S) | EUR | 950,000 | 1,120,625 | |
2.375% 5/22/24 (Reg. S) | EUR | 1,100,000 | 1,332,459 | |
4.5% 1/14/22 | 150,000 | 163,908 | ||
CME Group, Inc. 3% 3/15/25 | 300,000 | 301,607 | ||
Comcast Corp.: | ||||
3.6% 3/1/24 | 350,000 | 373,140 | ||
4.75% 3/1/44 | 350,000 | 383,350 | ||
Frontier Oil Corp. 6.875% 11/15/18 | 250,000 | 259,063 | ||
General Electric Capital Corp. 4.65% 10/17/21 | 250,000 | 284,008 | ||
General Electric Co.: | ||||
4.5% 3/11/44 | 650,000 | 709,662 | ||
5.25% 12/6/17 | 550,000 | 606,228 | ||
Glencore Funding LLC 3.125% 4/29/19 (f) | 250,000 | 254,675 | ||
Goldman Sachs Group, Inc. 3.85% 7/8/24 | 650,000 | 671,311 | ||
Illinois Tool Works, Inc. 3% 5/19/34 | EUR | 600,000 | 820,455 | |
Nonconvertible Bonds - continued | ||||
| Principal Amount (d) | Value | ||
United States of America - continued | ||||
Jefferies Group, Inc. 2.375% 5/20/20 (Reg. S) | EUR | 1,150,000 | $ 1,296,701 | |
Marsh & McLennan Companies, Inc.: | ||||
2.35% 9/10/19 | 900,000 | 910,007 | ||
3.5% 3/10/25 | 950,000 | 973,741 | ||
Metropolitan Life Global Funding I 3% 1/10/23 (f) | 350,000 | 354,060 | ||
Morgan Stanley: | ||||
2.375% 7/23/19 | 4,200,000 | 4,214,868 | ||
4.35% 9/8/26 | 950,000 | 968,251 | ||
NBCUniversal, Inc. 4.375% 4/1/21 | 500,000 | 555,050 | ||
Philip Morris International, Inc. 2.875% 5/30/24 | EUR | 150,000 | 192,774 | |
Plains All American Pipeline LP/PAA Finance Corp.: | ||||
3.6% 11/1/24 | 550,000 | 551,280 | ||
8.75% 5/1/19 | 100,000 | 124,135 | ||
Prologis LP: | ||||
3% 1/18/22 | EUR | 300,000 | 370,881 | |
3% 6/2/26 | EUR | 250,000 | 312,369 | |
3.375% 2/20/24 | EUR | 450,000 | 573,364 | |
Qwest Corp. 6.75% 12/1/21 | 650,000 | 745,875 | ||
Reynolds American, Inc.: | ||||
1.05% 10/30/15 | 200,000 | 200,012 | ||
3.25% 11/1/22 | 200,000 | 197,893 | ||
Roche Holdings, Inc. 6% 3/1/19 (f) | 69,000 | 79,566 | ||
SABMiller Holdings, Inc.: | ||||
2.2% 8/1/18 (f) | 450,000 | 454,669 | ||
2.45% 1/15/17 (f) | 400,000 | 408,280 | ||
3.75% 1/15/22 (f) | 200,000 | 210,887 | ||
Verizon Communications, Inc. 5.15% 9/15/23 | 350,000 | 395,173 | ||
Viacom, Inc. 4.25% 9/1/23 | 250,000 | 260,750 | ||
Wal-Mart Stores, Inc. 5.625% 4/15/41 | 500,000 | 629,195 | ||
Walt Disney Co.: | ||||
0.45% 12/1/15 | 350,000 | 350,183 | ||
2.35% 12/1/22 | 150,000 | 148,856 | ||
WEA Finance LLC/Westfield UK & Europe Finance PLC 2.7% 9/17/19 (f) | 600,000 | 607,991 | ||
Wells Fargo & Co. 3.676% 6/15/16 | 450,000 | 464,738 | ||
William Wrigley Jr. Co. 2.9% 10/21/19 (f) | 150,000 | 154,724 | ||
TOTAL UNITED STATES OF AMERICA | 30,037,618 | |||
TOTAL NONCONVERTIBLE BONDS (Cost $63,939,112) |
| |||
Government Obligations - 21.1% | ||||
| Principal | Value | ||
Bahrain - 0.1% | ||||
Bahrain Kingdom 6% 9/19/44 (Reg. S) | $ 400,000 | $ 391,000 | ||
Canada - 0.8% | ||||
Canadian Government 1.5% 6/1/23 | CAD | 6,000,000 | 5,004,244 | |
Denmark - 0.4% | ||||
Danish Kingdom Indexed Link CPI, 0.1% 11/15/23 | DKK | 15,567,450 | 2,538,215 | |
France - 1.6% | ||||
French Government 0.5% 5/25/25 | EUR | 8,650,000 | 9,581,804 | |
Germany - 1.2% | ||||
German Federal Republic: | ||||
0.5% 2/15/25 | EUR | 1,050,000 | 1,194,095 | |
2% 1/4/22 | EUR | 1,400,000 | 1,767,577 | |
2.5% 7/4/44 | EUR | 2,650,000 | 4,250,696 | |
TOTAL GERMANY | 7,212,368 | |||
Italy - 3.5% | ||||
Buoni del Tesoro Poliennali: | ||||
Indexed-Linked Bond, 2.35% 9/15/24 (f) | EUR | 1,000,000 | 1,330,866 | |
4.5% 3/1/24 | EUR | 5,450,000 | 7,686,072 | |
5.5% 11/1/22 | EUR | 5,250,000 | 7,715,598 | |
Italian Republic Inflation-Indexed Bond 2.25% 4/22/17 | EUR | 4,003,000 | 4,666,705 | |
TOTAL ITALY | 21,399,241 | |||
Japan - 9.1% | ||||
Japan Government: | ||||
Inflation-Indexed Bond, 0.1% 9/10/24 | JPY | 471,960,000 | 4,170,890 | |
0.1% 2/15/16 | JPY | 1,680,000,000 | 14,081,465 | |
0.3% 6/20/15 | JPY | 835,000,000 | 6,996,062 | |
0.5% 3/20/16 | JPY | 150,000,000 | 1,261,805 | |
1.3% 3/20/20 | JPY | 100,000,000 | 887,235 | |
1.3% 6/20/20 | JPY | 331,000,000 | 2,943,954 | |
1.3% 3/20/21 | JPY | 802,750,000 | 7,194,240 | |
1.7% 9/20/32 | JPY | 1,014,450,000 | 9,567,589 | |
2% 9/20/40 | JPY | 781,000,000 | 7,562,186 | |
TOTAL JAPAN | 54,665,426 | |||
Netherlands - 0.9% | ||||
Dutch Government 2.75% 1/15/47 | EUR | 3,150,000 | 5,213,897 | |
Government Obligations - continued | ||||
| Principal Amount (d) | Value | ||
Spain - 1.8% | ||||
Spanish Kingdom: | ||||
Inflation-Indexed Bond, 1.8% 11/30/24 (f) | EUR | 600,000 | $ 768,599 | |
3.8% 4/30/24 (Reg.S) | EUR | 6,000,000 | 8,096,835 | |
5.5% 4/30/21 | EUR | 1,400,000 | 1,995,855 | |
TOTAL SPAIN | 10,861,289 | |||
United Arab Emirates - 0.1% | ||||
Sharjah Government 3.764% 9/17/24 (Reg. S) | 800,000 | 849,296 | ||
United Kingdom - 1.1% | ||||
United Kingdom, Great Britain and Northern Ireland: | ||||
3.25% 1/22/44 | GBP | 1,150,000 | 2,017,596 | |
4% 3/7/22 | GBP | 1,250,000 | 2,229,413 | |
5% 3/7/25 | GBP | 1,075,000 | 2,122,221 | |
TOTAL UNITED KINGDOM | 6,369,230 | |||
United States of America - 0.5% | ||||
U.S. Treasury Bonds: | ||||
2.75% 8/15/42 | 200,000 | 199,984 | ||
2.75% 11/15/42 | 300,000 | 299,789 | ||
3% 11/15/44 | 200,000 | 210,359 | ||
3.625% 2/15/44 | 150,000 | 176,625 | ||
U.S. Treasury Notes: | ||||
1.75% 5/15/23 | 1,050,000 | 1,036,957 | ||
2.75% 11/15/23 | 850,000 | 904,453 | ||
TOTAL UNITED STATES OF AMERICA | 2,828,167 | |||
TOTAL GOVERNMENT OBLIGATIONS (Cost $137,060,303) |
| |||
Asset-Backed Securities - 0.0% | ||||
| ||||
Bavarian Sky SA 0.208% 6/20/20 (h) | EUR | 150,271 |
| |
Collateralized Mortgage Obligations - 0.0% | ||||
| ||||
Private Sponsor - 0.0% | ||||
Granite Master Issuer PLC Series 2005-1 Class A5, 0.148% 12/20/54 (h) | EUR | 83,215 |
| |
Commercial Mortgage Securities - 0.0% | ||||
| Principal Amount (d) | Value | ||
United Kingdom - 0.0% | ||||
Eddystone Finance PLC Series 2006-1 Class A2, 1.0938% 4/19/21 (h) | GBP | 109,693 | $ 165,011 | |
Supranational Obligations - 0.2% | ||||
| ||||
European Investment Bank 1.75% 3/15/17 | 1,000,000 |
| ||
Preferred Securities - 0.6% | ||||
| ||||
Cayman Islands - 0.1% | ||||
SMFG Preferred Capital GBP 2 Ltd. 10.231% (Reg. S) (g)(h) | GBP | 250,000 | 613,274 | |
France - 0.1% | ||||
Credit Agricole SA 8.125% 9/19/33 (Reg. S) (h) | 350,000 | 398,385 | ||
Japan - 0.1% | ||||
Fukoku Mutual Life Insurance Co. 6.5% (Reg. S) (h) | 550,000 | 643,200 | ||
Switzerland - 0.2% | ||||
UBS AG 4.75% 2/12/26 (Reg. S) (h) | EUR | 800,000 | 1,003,248 | |
United Kingdom - 0.1% | ||||
Lloyds Banking Group PLC 7% (Reg. S) (g)(h) | GBP | 500,000 | 790,903 | |
TOTAL PREFERRED SECURITIES (Cost $3,516,578) |
|
Money Market Funds - 7.8% | |||
Shares |
| ||
Fidelity Cash Central Fund, 0.15% (b) | 40,745,726 | 40,745,726 | |
Fidelity Securities Lending Cash Central Fund, 0.17% (b)(c) | 6,403,356 | 6,403,356 | |
TOTAL MONEY MARKET FUNDS (Cost $47,149,082) |
| ||
TOTAL INVESTMENT PORTFOLIO - 100.8% (Cost $570,375,816) | 607,741,553 | ||
NET OTHER ASSETS (LIABILITIES) - (0.8)% | (4,859,664) | ||
NET ASSETS - 100% | $ 602,881,889 |
Security Type Abbreviations | ||
ETF | - | Exchange-Traded Fund |
Currency Abbreviations | ||
CAD | - | Canadian dollar |
DKK | - | Danish krone |
EUR | - | European Monetary Unit |
GBP | - | British pound |
JPY | - | Japanese yen |
Legend |
(a) Non-income producing |
(b) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements are available on the SEC's website or upon request. |
(c) Investment made with cash collateral received from securities on loan. |
(d) Amount is stated in United States dollars unless otherwise noted. |
(e) Security or a portion of the security is on loan at period end. |
(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 end of the period, the value of these securities amounted to $10,076,497 or 1.7% of net assets. |
(g) Security is perpetual in nature with no stated maturity date. |
(h) Coupon rates for floating and adjustable rate securities reflect the rates in effect at period end. |
Affiliated Central Funds |
Information regarding fiscal year to date income earned by the Fund from investments in Fidelity Central Funds is as follows: |
Fund | Income earned |
Fidelity Cash Central Fund | $ 26,361 |
Fidelity Emerging Markets Debt Central Fund | 57,478 |
Fidelity High Income Central Fund 1 | 49,034 |
Fidelity Securities Lending Cash Central Fund | 23,580 |
Total | $ 156,453 |
Additional information regarding the Fund's fiscal year to date purchases and sales, including the ownership percentage, of the non Money Market Central Funds is as follows: |
Fund | Value, beginning of period | Purchases | Sales | Value, | % ownership, end of |
Fidelity Emerging Markets Debt Central Fund | $ 4,668,216 | $ 45,023 | $ 4,421,144 | $ - | 0.0% |
Fidelity High Income Central Fund 1 | 8,142,502 | 47,734 | 8,032,795 | - | 0.0% |
Total | $ 12,810,718 | $ 92,757 | $ 12,453,939 | $ - |
Other Information |
Categorizations in the Schedule of Investments are based on country or territory of incorporation. |
The following is a summary of the inputs used, as of April 30, 2015, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the tables below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements. |
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $ 44,000,839 | $ 21,783,511 | $ 22,217,328 | $ - |
Consumer Staples | 31,943,394 | 23,032,160 | 8,911,234 | - |
Energy | 19,200,226 | 17,897,237 | 1,302,989 | - |
Financials | 74,986,199 | 39,448,863 | 35,537,336 | - |
Health Care | 69,144,247 | 45,430,584 | 23,713,663 | - |
Industrials | 37,724,469 | 11,442,222 | 26,282,247 | - |
Information Technology | 59,192,428 | 47,190,820 | 12,001,608 | - |
Materials | 9,480,659 | 2,870,719 | 6,609,940 | - |
Telecommunication Services | 5,384,985 | 2,919,209 | 2,465,776 | - |
Utilities | 6,738,380 | 5,622,179 | 1,116,201 | - |
Investment Companies | 6,965,035 | 6,965,035 | - | - |
Corporate Bonds | 64,021,673 | - | 64,021,673 | - |
Government Obligations | 126,914,177 | - | 126,914,177 | - |
Asset-Backed Securities | 168,767 | - | 168,767 | - |
Collateralized Mortgage Obligations | 93,111 | - | 93,111 | - |
Commercial Mortgage Securities | 165,011 | - | 165,011 | - |
Supranational Obligations | 1,019,861 | - | 1,019,861 | - |
Preferred Securities | 3,449,010 | - | 3,449,010 | - |
Money Market Funds | 47,149,082 | 47,149,082 | - | - |
Total Investments in Securities: | $ 607,741,553 | $ 271,751,621 | $ 335,989,932 | $ - |
The following is a summary of transfers between Level 1 and Level 2 for the period ended April 30, 2015. Transfers are assumed to have occurred at the beginning of the period, and are primarily attributable to the valuation techniques used for foreign equity securities, as discussed in the accompanying Notes to Financial Statements: |
Transfers | Total |
Level 1 to Level 2 | $ 46,329,077 |
Level 2 to Level 1 | $ 13,185,165 |
Other Information |
The composition of credit quality ratings as a percentage of net assets is as follows (Unaudited): |
U.S. Government and U.S. Government Agency Obligations | 0.5% |
AAA,AA,A | 18.1% |
BBB | 11.4% |
BB | 0.2% |
B | 0.1% |
Not Rated | 2.2% |
Equities | 60.5% |
Short-Term Investments and Net Other Assets | 7.0% |
| 100.0% |
We have used ratings from Moody's Investors Service, Inc. Where Moody's® ratings are not available, we have used S&P® ratings. All ratings are as of the date indicated and do not reflect subsequent changes. |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements
Statement of Assets and Liabilities
| April 30, 2015 (Unaudited) | |
|
|
|
Assets | ||
Investment in securities, at value (including securities loaned of $6,231,070) - See accompanying schedule: Unaffiliated issuers (cost $523,226,734) | $ 560,592,471 |
|
Fidelity Central Funds (cost $47,149,082) | 47,149,082 |
|
Total Investments (cost $570,375,816) |
| $ 607,741,553 |
Cash |
| 446,001 |
Foreign currency held at value (cost $126) | 126 | |
Receivable for investments sold | 11,329,064 | |
Receivable for fund shares sold | 462,819 | |
Dividends receivable | 1,013,199 | |
Interest receivable | 1,193,591 | |
Distributions receivable from Fidelity Central Funds | 12,516 | |
Prepaid expenses | 550 | |
Other receivables | 13,414 | |
Total assets | 622,212,833 | |
|
|
|
Liabilities | ||
Payable for investments purchased | $ 11,652,525 | |
Payable for fund shares redeemed | 652,901 | |
Accrued management fee | 353,896 | |
Distribution and service plan fees payable | 42,636 | |
Other affiliated payables | 121,087 | |
Other payables and accrued expenses | 104,543 | |
Collateral on securities loaned, at value | 6,403,356 | |
Total liabilities | 19,330,944 | |
|
|
|
Net Assets | $ 602,881,889 | |
Net Assets consist of: |
| |
Paid in capital | $ 561,094,109 | |
Undistributed net investment income | 1,915,436 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 2,518,405 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 37,353,939 | |
Net Assets | $ 602,881,889 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements - continued
Statement of Assets and Liabilities - continued
| April 30, 2015 (Unaudited) | |
|
|
|
Calculation of Maximum Offering Price | $ 23.27 | |
|
|
|
Maximum offering price per share (100/94.25 of $23.27) | $ 24.69 | |
Class T: | $ 23.17 | |
|
|
|
Maximum offering price per share (100/96.50 of $23.17) | $ 24.01 | |
Class B: | $ 23.18 | |
|
|
|
Class C: | $ 22.87 | |
|
|
|
Global Balanced: | $ 23.46 | |
|
|
|
Institutional Class: | $ 23.39 |
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
Six months ended April 30, 2015 (Unaudited) | ||
|
|
|
Investment Income |
|
|
Dividends |
| $ 3,395,870 |
Interest |
| 2,146,129 |
Income from Fidelity Central Funds |
| 156,453 |
Income before foreign taxes withheld |
| 5,698,452 |
Less foreign taxes withheld |
| (165,444) |
Total income |
| 5,533,008 |
|
|
|
Expenses | ||
Management fee | $ 2,173,370 | |
Transfer agent fees | 584,184 | |
Distribution and service plan fees | 256,742 | |
Accounting and security lending fees | 154,965 | |
Custodian fees and expenses | 126,998 | |
Independent trustees' compensation | 1,311 | |
Registration fees | 78,756 | |
Audit | 43,284 | |
Legal | 1,430 | |
Miscellaneous | 2,522 | |
Total expenses before reductions | 3,423,562 | |
Expense reductions | (16,252) | 3,407,310 |
Net investment income (loss) | 2,125,698 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities: |
|
|
Unaffiliated issuers | 5,700,181 | |
Fidelity Central Funds | (279,659) |
|
Foreign currency transactions | (271,518) | |
Total net realized gain (loss) |
| 5,149,004 |
Change in net unrealized appreciation (depreciation) on: Investment securities | 2,105,647 | |
Assets and liabilities in foreign currencies | 72,161 | |
Total change in net unrealized appreciation (depreciation) |
| 2,177,808 |
Net gain (loss) | 7,326,812 | |
Net increase (decrease) in net assets resulting from operations | $ 9,452,510 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements - continued
Statement of Changes in Net Assets
| Six months ended April 30, 2015 (Unaudited) | Year ended |
Increase (Decrease) in Net Assets |
|
|
Operations |
|
|
Net investment income (loss) | $ 2,125,698 | $ 5,319,518 |
Net realized gain (loss) | 5,149,004 | 45,596,544 |
Change in net unrealized appreciation (depreciation) | 2,177,808 | (33,150,825) |
Net increase (decrease) in net assets resulting | 9,452,510 | 17,765,237 |
Distributions to shareholders from net investment income | (1,672,129) | (3,503,737) |
Distributions to shareholders from net realized gain | (43,816,065) | (49,182,400) |
Total distributions | (45,488,194) | (52,686,137) |
Share transactions - net increase (decrease) | (19,066,398) | 72,348,120 |
Redemption fees | 7,669 | 10,838 |
Total increase (decrease) in net assets | (55,094,413) | 37,438,058 |
|
|
|
Net Assets | ||
Beginning of period | 657,976,302 | 620,538,244 |
End of period (including undistributed net investment income of $1,915,436 and undistributed net investment income of $1,461,867, respectively) | $ 602,881,889 | $ 657,976,302 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class A
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.65 | $ 26.18 | $ 23.45 | $ 22.05 | $ 21.88 | $ 19.59 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) E | .06 | .15 | .13 | .27 | .22 | .17 |
Net realized and unrealized gain (loss) | .27 | .49 | 3.13 | 1.41 | .22 | 2.43 |
Total from investment operations | .33 | .64 | 3.26 | 1.68 | .44 | 2.60 |
Distributions from net investment income | (.01) | (.10) | (.24) | (.19) | (.17) | (.23) |
Distributions from net realized gain | (1.70) | (2.07) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.71) | (2.17) | (.53) | (.28) | (.27)J | (.31) |
Redemption fees added to paid in capital E, I | - | - | - | - | - | - |
Net asset value, end of period | $ 23.27 | $ 24.65 | $ 26.18 | $ 23.45 | $ 22.05 | $ 21.88 |
Total ReturnB, C, D | 1.53% | 2.69% | 14.19% | 7.74% | 2.04% | 13.40% |
Ratios to Average Net Assets F, H |
|
|
|
|
| |
Expenses before reductions | 1.29%A | 1.28% | 1.31% | 1.33% | 1.37% | 1.43% |
Expenses net of fee waivers, if any | 1.29%A | 1.28% | 1.31% | 1.33% | 1.37% | 1.43% |
Expenses net of all reductions | 1.29%A | 1.27% | 1.29% | 1.32% | 1.35% | 1.41% |
Net investment income (loss) | .49%A | .58% | .55% | 1.18% | .98% | .83% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 44,204 | $ 47,048 | $ 38,972 | $ 26,714 | $ 20,831 | $ 11,096 |
Portfolio turnover rateG | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the sales charges.
E Calculated based on average shares outstanding during the period.
F Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
H 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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
I Amount represents less than $.01 per share.
J Total distributions of $.27 per share is comprised of distributions from net investment income of $.167 and distributions from net realized gain of $.107 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class T
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.52 | $ 26.04 | $ 23.32 | $ 21.96 | $ 21.81 | $ 19.56 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) E | .03 | .08 | .07 | .21 | .17 | .13 |
Net realized and unrealized gain (loss) | .27 | .49 | 3.12 | 1.41 | .22 | 2.42 |
Total from investment operations | .30 | .57 | 3.19 | 1.62 | .39 | 2.55 |
Distributions from net investment income | - | (.02) | (.18) | (.17) | (.13) | (.23) |
Distributions from net realized gain | (1.65) | (2.07) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.65) | (2.09) | (.47) | (.26) | (.24) | (.30)J |
Redemption fees added to paid in capital E, I | - | - | - | - | - | - |
Net asset value, end of period | $ 23.17 | $ 24.52 | $ 26.04 | $ 23.32 | $ 21.96 | $ 21.81 |
Total ReturnB, C, D | 1.39% | 2.40% | 13.94% | 7.46% | 1.80% | 13.17% |
Ratios to Average Net Assets F, H |
|
|
|
|
| |
Expenses before reductions | 1.57%A | 1.55% | 1.57% | 1.58% | 1.59% | 1.62% |
Expenses net of fee waivers, if any | 1.57%A | 1.55% | 1.57% | 1.58% | 1.59% | 1.62% |
Expenses net of all reductions | 1.56%A | 1.55% | 1.55% | 1.57% | 1.58% | 1.60% |
Net investment income (loss) | .22%A | .31% | .28% | .94% | .75% | .64% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 17,790 | $ 17,662 | $ 14,650 | $ 13,654 | $ 10,357 | $ 5,345 |
Portfolio turnover rateG | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the sales charges.
E Calculated based on average shares outstanding during the period.
F Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
H 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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
I Amount represents less than $.01 per share.
J Total distributions of $.30 per share is comprised of distributions from net investment income of $.226 and distributions from net realized gain of $.075 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class B
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.43 | $ 25.94 | $ 23.22 | $ 21.80 | $ 21.68 | $ 19.48 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) E | (.03) | (.05) | (.06) | .09 | .04 | .02 |
Net realized and unrealized gain (loss) | .26 | .49 | 3.11 | 1.41 | .23 | 2.41 |
Total from investment operations | .23 | .44 | 3.05 | 1.50 | .27 | 2.43 |
Distributions from net investment income | - | - | (.04) | - | (.04) | (.16) |
Distributions from net realized gain | (1.48) | (1.95) | (.29) | (.08) | (.11) | (.08) |
Total distributions | (1.48) | (1.95) | (.33) | (.08) | (.15) | (.23)J |
Redemption fees added to paid in capital E, I | - | - | - | - | - | - |
Net asset value, end of period | $ 23.18 | $ 24.43 | $ 25.94 | $ 23.22 | $ 21.80 | $ 21.68 |
Total ReturnB, C, D | 1.09% | 1.90% | 13.30% | 6.92% | 1.24% | 12.58% |
Ratios to Average Net Assets F, H |
|
|
|
|
| |
Expenses before reductions | 2.07%A | 2.07% | 2.10% | 2.12% | 2.15% | 2.18% |
Expenses net of fee waivers, if any | 2.07%A | 2.07% | 2.10% | 2.12% | 2.15% | 2.18% |
Expenses net of all reductions | 2.06%A | 2.07% | 2.08% | 2.11% | 2.13% | 2.16% |
Net investment income (loss) | (.28)%A | (.21)% | (.24)% | .39% | .20% | .08% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 1,628 | $ 2,025 | $ 2,325 | $ 2,426 | $ 2,392 | $ 2,199 |
Portfolio turnover rateG | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the contingent deferred sales charge.
E Calculated based on average shares outstanding during the period.
F Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
H 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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
I Amount represents less than $.01 per share.
J Total distributions of $.23 per share is comprised of distributions from net investment income of $.158 and distributions from net realized gain of $.075 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class C
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.17 | $ 25.76 | $ 23.09 | $ 21.73 | $ 21.65 | $ 19.49 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) E | (.04) | (.05) | (.06) | .09 | .05 | .03 |
Net realized and unrealized gain (loss) | .26 | .49 | 3.08 | 1.41 | .22 | 2.40 |
Total from investment operations | .22 | .44 | 3.02 | 1.50 | .27 | 2.43 |
Distributions from net investment income | - | - | (.06) | (.05) | (.08) | (.20) |
Distributions from net realized gain | (1.52) | (2.03) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.52) | (2.03) | (.35) | (.14) | (.19) | (.27)J |
Redemption fees added to paid in capital E, I | - | - | - | - | - | - |
Net asset value, end of period | $ 22.87 | $ 24.17 | $ 25.76 | $ 23.09 | $ 21.73 | $ 21.65 |
Total ReturnB, C, D | 1.07% | 1.89% | 13.27% | 6.94% | 1.24% | 12.58% |
Ratios to Average Net Assets F, H |
|
|
|
|
| |
Expenses before reductions | 2.10%A | 2.08% | 2.12% | 2.13% | 2.13% | 2.12% |
Expenses net of fee waivers, if any | 2.10%A | 2.08% | 2.12% | 2.13% | 2.13% | 2.12% |
Expenses net of all reductions | 2.10%A | 2.07% | 2.10% | 2.12% | 2.11% | 2.10% |
Net investment income (loss) | (.32)%A | (.22)% | (.26)% | .39% | .21% | .14% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 29,367 | $ 29,809 | $ 20,997 | $ 13,797 | $ 9,598 | $ 5,463 |
Portfolio turnover rateG | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the contingent deferred sales charge.
E Calculated based on average shares outstanding during the period.
F Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
H 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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
I Amount represents less than $.01 per share.
J Total distributions of $.27 per share is comprised of distributions from net investment income of $.196 and distributions from net realized gain of $.075 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Global Balanced
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.87 | $ 26.38 | $ 23.62 | $ 22.18 | $ 21.99 | $ 19.62 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) D | .09 | .22 | .21 | .33 | .29 | .24 |
Net realized and unrealized gain (loss) | .27 | .50 | 3.14 | 1.44 | .22 | 2.43 |
Total from investment operations | .36 | .72 | 3.35 | 1.77 | .51 | 2.67 |
Distributions from net investment income | (.08) | (.16) | (.30) | (.24) | (.21) | (.23) |
Distributions from net realized gain | (1.70) | (2.07) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.77)J | (2.23) | (.59) | (.33) | (.32) | (.30)I |
Redemption fees added to paid in capital D, H | - | - | - | - | - | - |
Net asset value, end of period | $ 23.46 | $ 24.87 | $ 26.38 | $ 23.62 | $ 22.18 | $ 21.99 |
Total ReturnB, C | 1.67% | 3.00% | 14.52% | 8.11% | 2.34% | 13.76% |
Ratios to Average Net Assets E, G |
|
|
|
|
| |
Expenses before reductions | 1.01%A | .99% | 1.02% | 1.03% | 1.05% | 1.11% |
Expenses net of fee waivers, if any | 1.01%A | .99% | 1.02% | 1.03% | 1.05% | 1.10% |
Expenses net of all reductions | 1.00%A | .99% | 1.00% | 1.02% | 1.04% | 1.08% |
Net investment income (loss) | .78%A | .87% | .84% | 1.48% | 1.29% | 1.16% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 504,278 | $ 554,896 | $ 540,412 | $ 468,758 | $ 520,753 | $ 542,319 |
Portfolio turnover rateF | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Calculated based on average shares outstanding during the period.
E Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
F Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
H Amount represents less than $.01 per share.
I Total distributions of $.30 per share is comprised of distributions from net investment income of $.229 and distributions from net realized gain of $.075 per share.
J Total distributions of $1.77 per share is comprised of distributions from net investment income of $.075 and distributions from net realized gain of $1.697 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Institutional Class
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.80 | $ 26.33 | $ 23.58 | $ 22.16 | $ 21.99 | $ 19.64 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) D | .09 | .21 | .20 | .33 | .28 | .23 |
Net realized and unrealized gain (loss) | .27 | .49 | 3.14 | 1.43 | .21 | 2.44 |
Total from investment operations | .36 | .70 | 3.34 | 1.76 | .49 | 2.67 |
Distributions from net investment income | (.07) | (.17) | (.30) | (.25) | (.21) | (.25) |
Distributions from net realized gain | (1.70) | (2.07) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.77) | (2.23)J | (.59) | (.34) | (.32) | (.32)I |
Redemption fees added to paid in capital D,H | - | - | - | - | - | - |
Net asset value, end of period | $ 23.39 | $ 24.80 | $ 26.33 | $ 23.58 | $ 22.16 | $ 21.99 |
Total ReturnB, C | 1.66% | 2.95% | 14.50% | 8.10% | 2.25% | 13.75% |
Ratios to Average Net Assets E, G |
|
|
|
|
| |
Expenses before reductions | 1.03%A | 1.02% | 1.03% | 1.04% | 1.11% | 1.14% |
Expenses net of fee waivers, if any | 1.03%A | 1.02% | 1.03% | 1.04% | 1.11% | 1.14% |
Expenses net of all reductions | 1.03%A | 1.02% | 1.01% | 1.03% | 1.10% | 1.12% |
Net investment income (loss) | .75%A | .84% | .83% | 1.48% | 1.23% | 1.12% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 5,615 | $ 6,537 | $ 3,183 | $ 1,966 | $ 1,149 | $ 541 |
Portfolio turnover rateF | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Calculated based on average shares outstanding during the period.
E Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
F Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
H Amount represents less than $.01 per share.
I Total distributions of $.32 per share is comprised of distributions from net investment income of $.248 and distributions from net realized gain of $.075 per share.
J Total distributions of $2.23 per share is comprised of distributions from net investment income of $.167 and distributions from net realized gain of $2.065 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Notes to Financial Statements
For the period ended April 30, 2015 (Unaudited)
1. Organization.
Fidelity® Global Balanced Fund (the Fund) is a fund of Fidelity Charles Street Trust (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 C, Global Balanced and Institutional Class shares, each of which, along with Class B shares, has equal rights as to assets and voting privileges. Class B shares are closed to new accounts and additional purchases, except for exchanges and reinvestments. 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.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
Based on its investment objective, each Fidelity Central Fund may invest or participate in various investment vehicles or strategies that are similar to those of the Fund. These strategies are consistent with the investment objectives of the Fund and may involve certain economic risks which may cause a decline in value of each of the Fidelity Central Funds and thus a decline in the value of the Fund. The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .01%. The following summarizes the Fund's investment in each non-money market Fidelity Central Fund.
Semiannual Report
2. Investments in Fidelity Central Funds - continued
Fidelity | Investment Manager | Investment | Investment | Expense Ratio* |
Fidelity Emerging Markets Debt Central Fund | FMR Co., Inc. (FMRC) | Seeks high total return by normally investing in debt securities of issuers in emerging markets and other debt investments that are tied economically to emerging markets. | Foreign Securities Loans & Direct Debt Instruments Restricted Securities
| .01% |
Fidelity High Income Central Fund 1 | FMRC | Seeks a high level of income and may also seek capital appreciation by investing primarily in debt securities, preferred stocks, and convertible securities, with an emphasis on lower-quality debt securities. | Delayed Delivery & When Issued Securities Loans & Direct Debt Instruments Restricted Securities Swaps | Less than .01% |
* Expenses expressed as a percentage of average net assets and are as of each underlying Central Fund's most recent annual or semi-annual
shareholder report.
An unaudited holdings listing for the Fund, which presents direct holdings as well as the pro-rata share of any securities and other investments held indirectly through each Fund's investment in underlying non-money market Fidelity Central Funds, is available at fidelity.com and/or advisor.fidelity.com, as applicable. A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds which contain the significant accounting policies (including investment valuation policies) of those funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
3. Significant Accounting Policies - continued
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fidelity Management & Research Company (FMR) Fair Value Committee (the Committee). In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events, changes in interest rates and credit quality. The frequency with which these procedures are used cannot be predicted and they may be utilized to a significant extent. The Committee oversees the Fund's valuation policies and procedures and reports to the Board on the Committee's activities and fair value determinations. The Board monitors the appropriateness of the procedures used in valuing the Fund's investments and ratifies the fair value determinations of the Committee.
The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels as shown below:
Level 1 - quoted prices in active markets for identical investments
Level 2 - other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, etc.)
Level 3 - unobservable inputs (including the Fund's own assumptions based on the best information available)
Valuation techniques used to value the Fund's investments by major category are as follows:
Equity securities, including restricted securities, for which market quotations are readily available, are valued at the last reported sale price or official closing price as reported by a third party pricing vendor on the primary market or exchange on which they are traded and are categorized as Level 1 in the hierarchy. In the event there were no sales during the day or closing prices are not available, securities are valued at the last quoted bid price or may be valued using the last available price and are generally categorized as Level 2 in the hierarchy. For foreign equity securities, when market or security specific events arise, comparisons to the valuation of American Depositary Receipts (ADRs), futures contracts, Exchange-Traded Funds (ETFs) and certain indexes as well as quoted prices for similar securities may be used and would be categorized as Level 2 in the hierarchy. Utilizing these techniques may result in transfers between Level 1 and Level 2.
Semiannual Report
3. Significant Accounting Policies - continued
Investment Valuation - continued
For equity securities, including restricted securities, where observable inputs are limited, assumptions about market activity and risk are used and these securities may be categorized as Level 3 in the hierarchy.
Debt securities, including restricted securities, are valued based on evaluated prices received from third party pricing vendors or from brokers who make markets in such securities. Corporate bonds, foreign government and government agency obligations, preferred securities, supranational obligations and U.S. government and government agency obligations are valued by pricing vendors who utilize matrix pricing which considers yield or price of bonds of comparable quality, coupon, maturity and type or by broker-supplied prices. Asset backed securities, collateralized mortgage obligations and commercial mortgage securities are valued by pricing vendors who utilize matrix pricing which considers prepayment speed assumptions, attributes of the collateral, yield or price of bonds of comparable quality, coupon, maturity and type or by broker-supplied prices. When independent prices are unavailable or unreliable, debt securities may be valued utilizing pricing methodologies which consider similar factors that would be used by third party pricing vendors. Debt securities are generally categorized as Level 2 in the hierarchy but may be Level 3 depending on the circumstances.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level, as of April 30, 2015, including information on transfers between Levels 1 and 2, is included at the end of the Fund's Schedule of Investments.
Foreign Currency. The Fund may use foreign currency contracts to facilitate transactions in foreign-denominated securities. Gains and 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 rates 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.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
3. Significant Accounting Policies - continued
Investment Transactions and Income. For financial reporting purposes, the Fund's investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day. Gains and losses on securities sold are determined on the basis of identified cost and 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. Income and capital gain distributions from Fidelity Central Funds, if any, are recorded on the ex-dividend date. 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. Subsequent to ex-dividend date the Fund determines the components of these distributions, based upon receipt of tax filings or other correspondence relating to the underlying investment. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable. The principal amount on inflation-indexed securities is periodically adjusted to the rate of inflation and interest is accrued based on the principal amount. The adjustments to principal due to inflation are reflected as increases or decreases to Interest in the accompanying Statement of Operations. Investment income is recorded net of foreign taxes withheld where recovery of such taxes is uncertain.
Class Allocations and Expenses. Investment income, realized and unrealized capital gains and losses, common expenses of the Fund, and certain fund-level expense reductions, if any, are allocated daily 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 may also differ by class. For the reporting period, the allocated portion of income and expenses to each class as a percent of its average net assets may vary due to the timing of recording these transactions in relation to fluctuating net assets of the classes. Expenses directly attributable to a fund are charged to that fund. Expenses attributable to more than one fund are allocated among the respective funds on the basis of relative net assets or other appropriate methods. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Semiannual Report
3. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code, including distributing substantially all of its taxable income and realized gains. As a result, no provision for U.S. Federal income taxes is required. The Fund files a U.S. federal tax return, in addition to state and local tax returns as required. The Fund's federal income tax returns are subject to examination by the Internal Revenue Service (IRS) for a period of three fiscal years after they are filed. State and local tax returns may be subject to examination for an additional fiscal year depending on the jurisdiction. 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 declared and 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 GAAP.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Capital accounts are not adjusted for temporary book-tax differences which will reverse in a subsequent period.
Book-tax differences are primarily due to the short-term gain distributions from the Fidelity Central Funds, foreign currency transactions, passive foreign investment companies (PFIC), market discount, partnerships (including allocations from Fidelity Central Funds), deferred trustees compensation and losses deferred due to wash sales.
The federal tax cost of investment securities and unrealized appreciation (depreciation) as of period end were as follows:
Gross unrealized appreciation | $ 56,908,628 |
Gross unrealized depreciation | (20,740,825) |
Net unrealized appreciation (depreciation) on securities | $ 36,167,803 |
|
|
Tax cost | $ 571,573,750 |
Short-Term Trading (Redemption) Fees. Shares held by investors in the Fund less than 30 days may have been subject to a redemption fee equal to 1.00% of the NAV of shares redeemed. All redemption fees, which reduce the proceeds of the shareholder redemption, are retained by the Fund and accounted for as an addition to paid in capital.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
3. Significant Accounting Policies - continued
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.
New Accounting Pronouncement. In June 2014, the Financial Accounting Standards Board issued Accounting Standard Update No. 2014-11, Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures (the Update). The Update amends the accounting for certain repurchase agreements and expands disclosure requirements for reverse repurchase agreements, securities lending and other similar transactions. The disclosure requirements are effective for annual and interim reporting periods beginning after December 15, 2014. Management is currently evaluating the impact of the Update on the Fund's financial statements and related disclosures.
4. Purchases and Sales of Investments.
Purchases and sales of securities, including the Equity and Fixed-Income Central Funds, other than short-term securities and U.S. government securities, aggregated $406,882,191 and $460,877,362, respectively.
5. Fees and Other Transactions with Affiliates.
Management Fee. Fidelity Management & Research Company (the investment adviser) 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 .45% of the Fund's average net assets and an annualized group fee rate that averaged .25% during the period. The group fee rate is based upon the average net assets of all the mutual funds advised by the investment adviser, including any mutual funds previously advised by the investment adviser that are currently advised by Fidelity SelectCo, LLC, an affiliate of the investment adviser. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the reporting period, the total annualized management fee rate was .70% of the Fund's average net assets.
Semiannual Report
5. Fees and Other Transactions with Affiliates - continued
Distribution and Service Plan Fees. 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 the investment adviser, 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, total fees and amounts retained by FDC were as follows:
| Distribution | Service | Total Fees | Retained |
Class A | -% | .25% | $ 56,466 | $ 4,241 |
Class T | .25% | .25% | 44,348 | 1,213 |
Class B | .75% | .25% | 9,053 | 6,837 |
Class C | .75% | .25% | 146,875 | 39,084 |
|
|
| $ 256,742 | $ 51,375 |
Sales Load. FDC may receive 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. Depending on the holding period, FDC may receive contingent deferred sales charges levied on Class A, Class T, Class B, and Class C redemptions. The deferred sales charges range from 5.00% to 1.00% for Class B shares, 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class T shares.
For the period, sales charge amounts retained by FDC were as follows:
| Retained |
Class A | $ 11,643 |
Class T | 3,564 |
Class B* | 600 |
Class C* | 2,569 |
| $ 18,376 |
* When Class B Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
5. Fees and Other Transactions with Affiliates - continued
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of the investment adviser, 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, transfer agent fees for each class were as follows:
| Amount | % of |
Class A | $ 48,242 | .21 |
Class T | 21,058 | .24 |
Class B | 2,130 | .24 |
Class C | 39,695 | .27 |
Global Balanced | 467,031 | .18 |
Institutional Class | 6,028 | .20 |
| $ 584,184 |
|
* Annualized
Accounting and Security Lending Fees. Fidelity Service Company, Inc. (FSC), an affiliate of the investment adviser, maintains the Fund's accounting records. The accounting fee is based on the level of average net assets for each 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.
Brokerage Commissions. The Fund placed a portion of its portfolio transactions with brokerage firms which are affiliates of the investment adviser. Brokerage commissions are included in net realized gain (loss) and change in net unrealized appreciation (depreciation) in the Statement of Operations. The commissions paid to these affiliated firms were $3,757 for the period.
6. Committed Line of Credit.
The Fund participates with other funds managed by the investment adviser or an affiliate in a $4.25 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, which amounted to $500 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
Semiannual Report
7. Security Lending.
The Fund lends portfolio securities through a lending agent from time to time in order to earn additional income. For equity securities, a lending agent is used and may loan securities to certain qualified borrowers, including Fidelity Capital Markets (FCM), a broker-dealer affiliated with the Fund. On the settlement date of the loan, 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, the Fund may apply collateral received from the borrower against the obligation. The Fund may experience delays and costs in recovering the securities loaned. Any cash collateral received 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. Security lending income represents the income earned on investing cash collateral, less rebates paid to borrowers and any lending agent fees associated with the loan, plus any premium payments received for lending certain types of securities. Security lending income is presented in the Statement of Operations as a component of income from Fidelity Central Funds. Total security lending income during the period amounted to $23,580. During the period, there were no securities loaned to FCM.
8. Expense Reductions.
Commissions paid to certain brokers with whom the investment adviser, or its affiliates, places trades on behalf of the Fund include an amount in addition to trade execution, which may be rebated back to the Fund to offset certain expenses. This amount totaled $15,041 for the period.
In addition, the investment adviser reimbursed a portion of the Fund's operating expenses, including certain Global Balanced expenses during the period in the amount of $1,211.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
9. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended | Year ended | |
From net investment income |
|
|
Class A | $ 21,068 | $ 152,819 |
Class T | - | 11,268 |
Global Balanced | 1,632,478 | 3,316,756 |
Institutional Class | 18,583 | 22,894 |
Total | $ 1,672,129 | $ 3,503,737 |
From net realized gain |
|
|
Class A | $ 3,250,151 | $ 3,093,845 |
Class T | 1,204,951 | 1,163,373 |
Class B | 119,044 | 180,282 |
Class C | 1,878,431 | 1,920,811 |
Global Balanced | 36,937,336 | 42,540,993 |
Institutional Class | 426,152 | 283,096 |
Total | $ 43,816,065 | $ 49,182,400 |
10. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between funds:
| Shares | Dollars | ||
Six months ended April 30, | Year ended | Six months ended April 30, | Year ended | |
Class A |
|
|
|
|
Shares sold | 188,241 | 636,858 | $ 4,414,032 | $ 15,926,414 |
Reinvestment of distributions | 138,033 | 126,868 | 3,123,694 | 3,032,156 |
Shares redeemed | (335,104) | (343,862) | (7,754,611) | (8,612,014) |
Net increase (decrease) | (8,830) | 419,864 | $ (216,885) | $ 10,346,556 |
Class T |
|
|
|
|
Shares sold | 75,862 | 243,034 | $ 1,773,776 | $ 6,062,322 |
Reinvestment of distributions | 52,572 | 45,887 | 1,186,019 | 1,093,477 |
Shares redeemed | (80,784) | (131,285) | (1,864,493) | (3,273,584) |
Net increase (decrease) | 47,650 | 157,636 | $ 1,095,302 | $ 3,882,215 |
Class B |
|
|
|
|
Shares sold | 1,153 | 9,864 | $ 26,724 | $ 248,678 |
Reinvestment of distributions | 5,016 | 6,875 | 113,421 | 163,899 |
Shares redeemed | (18,846) | (23,467) | (433,739) | (580,083) |
Net increase (decrease) | (12,677) | (6,728) | $ (293,594) | $ (167,506) |
Semiannual Report
10. Share Transactions - continued
| Shares | Dollars | ||
Six months ended April 30, | Year ended | Six months ended April 30, | Year ended | |
Class C |
|
|
|
|
Shares sold | 153,266 | 684,092 | $ 3,532,565 | $ 16,931,953 |
Reinvestment of distributions | 76,970 | 75,134 | 1,717,971 | 1,772,408 |
Shares redeemed | (179,890) | (340,818) | (4,133,939) | (8,322,676) |
Net increase (decrease) | 50,346 | 418,408 | $ 1,116,597 | $ 10,381,685 |
Global Balanced |
|
|
|
|
Shares sold | 1,306,011 | 5,401,197 | $ 30,615,716 | $ 136,284,595 |
Reinvestment of distributions | 1,612,167 | 1,818,963 | 36,741,286 | 43,746,063 |
Shares redeemed | (3,733,858) | (5,392,045) | (87,556,014) | (135,719,200) |
Net increase (decrease) | (815,680) | 1,828,115 | $ (20,199,012) | $ 44,311,458 |
Institutional Class |
|
|
|
|
Shares sold | 39,439 | 174,398 | $ 921,426 | $ 4,401,096 |
Reinvestment of distributions | 15,294 | 11,057 | 347,634 | 265,261 |
Shares redeemed | (78,199) | (42,801) | (1,837,866) | (1,072,645) |
Net increase (decrease) | (23,466) | 142,654 | $ (568,806) | $ 3,593,712 |
11. 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
Investment Adviser
Fidelity Management & Research Company
Boston, MA
Investment Sub-Advisers
FMR Co., Inc.
FIL Investments (Japan) Limited
FIL Investment Advisors
FIL Investment Advisors (U.K.) Limited
FMR Investment Management
(U.K.) Limited
Fidelity Management & Research
(Japan) Limited
Fidelity Management & Research
(Hong Kong) Limited
General Distributor
Fidelity Distributors Corporation
Smithfield, RI
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
(Fidelity Investment logo)(registered trademark)
AGBL-USAN-0615 1.883466.106
(Fidelity Investment logo)(registered trademark)
Fidelity Advisor®
Global Balanced
Fund - Institutional Class
Semiannual Report
April 30, 2015
(Fidelity Cover Art)
Institutional Class
is a class of Fidelity®
Global Balanced Fund
Contents
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, as well as financial highlights. | |
Notes | Notes to the financial statements. |
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-877-208-0098 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 LLC or an affiliated company. © 2015 FMR LLC. All rights reserved.
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 holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com, http://www.advisor.fidelity.com, or http://www.401k.com, as applicable.
NOT FDIC INSURED • MAY LOSE VALUE • NO BANK GUARANTEE
Neither the fund nor Fidelity Distributors Corporation is a bank.
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, redemption fees 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 (November 1, 2014 to April 30, 2015).
Actual Expenses
The first line of the accompanying table 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. 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. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table 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. 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. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.
Semiannual Report
Shareholder Expense Example - continued
| Annualized | Beginning | Ending | Expenses Paid |
Class A | 1.29% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,015.30 | $ 6.45 |
HypotheticalA |
| $ 1,000.00 | $ 1,018.40 | $ 6.46 |
Class T | 1.57% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,013.90 | $ 7.84 |
HypotheticalA |
| $ 1,000.00 | $ 1,017.01 | $ 7.85 |
Class B | 2.07% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,010.90 | $ 10.32 |
HypotheticalA |
| $ 1,000.00 | $ 1,014.53 | $ 10.34 |
Class C | 2.10% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,010.70 | $ 10.47 |
HypotheticalA |
| $ 1,000.00 | $ 1,014.38 | $ 10.49 |
Global Balanced | 1.01% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,016.70 | $ 5.05 |
HypotheticalA |
| $ 1,000.00 | $ 1,019.79 | $ 5.06 |
Institutional Class | 1.03% |
|
|
|
Actual |
| $ 1,000.00 | $ 1,016.60 | $ 5.15 |
HypotheticalA |
| $ 1,000.00 | $ 1,019.69 | $ 5.16 |
A 5% return per year before expenses
B Annualized expense ratio reflects expenses net of applicable fee waivers.
* Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period). The fees and expenses of the underlying Fidelity Central Funds in which the Fund invests are not included in each Class' annualized expense ratio.
In addition to the expenses noted above, the Fund also indirectly bears its proportional share of the expenses of the underlying Fidelity Central Funds. Annualized expenses of the underlying non-money market Fidelity Central Funds as of their most recent fiscal half year ranged from less than .01% to .01%.
Semiannual Report
Investment Changes (Unaudited)
The information in the following tables is based on the combined investments of the Fund and its pro-rata share of the investments of Fidelity's Fixed Income Central Funds. |
Geographic Diversification (% of fund's net assets) | |||
As of April 30, 2015 | |||
![]() | United States of America* 42.9% |
| |
![]() | Japan 15.6% |
| |
![]() | United Kingdom 7.6% |
| |
![]() | France 4.0% |
| |
![]() | Italy 3.9% |
| |
![]() | Germany 3.7% |
| |
![]() | Ireland 3.1% |
| |
![]() | Netherlands 2.5% |
| |
![]() | Spain 2.3% |
| |
![]() | Other 14.4% |
|
* Includes Short-Term Investments and Net Other Assets (Liabilities) |
Percentages are based on country or territory of incorporation and are adjusted for the effect of futures contracts, if applicable. |
As of October 31, 2014 | |||
![]() | United States of America* 47.4% |
| |
![]() | Japan 12.2% |
| |
![]() | United Kingdom 6.6% |
| |
![]() | Germany 5.7% |
| |
![]() | Italy 3.9% |
| |
![]() | France 3.5% |
| |
![]() | Canada 3.2% |
| |
![]() | Switzerland 2.2% |
| |
![]() | Spain 2.2% |
| |
![]() | Other 13.1% |
|
* Includes Short-Term Investments and Net Other Assets (Liabilities) |
Percentages are based on country or territory of incorporation and are adjusted for the effect of futures contracts, if applicable. |
Asset Allocation as of April 30, 2015 | ||
| % of fund's | % of fund's net assets |
Stocks | 58.8 | 57.5 |
Bonds | 31.9 | 36.3 |
Convertible Securities | 0.5 | 0.0 |
Other Investments | 1.8 | 0.6 |
Short-Term Investments and Net Other Assets (Liabilities) | 7.0 | 5.6 |
Top Five Stocks as of April 30, 2015 | ||
| % of fund's | % of fund's net assets |
McGraw Hill Financial, Inc. (United States of America) | 2.0 | 2.0 |
Adobe Systems, Inc. (United States of America) | 1.6 | 1.8 |
CVS Health Corp. (United States of America) | 1.4 | 1.3 |
Ameriprise Financial, Inc. (United States of America) | 1.1 | 1.8 |
Zebra Technologies Corp. Class A (United States of America) | 1.1 | 0.6 |
| 7.2 | |
Top Five Bond Issuers as of April 30, 2015 | ||
(with maturities greater than one year) | % of fund's | % of fund's net assets |
Japan Government | 5.4 | 8.3 |
Buoni del Tesoro Poliennali | 2.8 | 2.5 |
Spanish Kingdom | 1.8 | 1.7 |
French Government | 1.6 | 1.3 |
German Federal Republic | 1.2 | 3.2 |
| 12.8 | |
Market Sectors as of April 30, 2015 | ||
| % of fund's | % of fund's net assets |
Financials | 18.8 | 19.1 |
Health Care | 11.8 | 9.4 |
Information Technology | 9.6 | 9.5 |
Consumer Discretionary | 8.7 | 7.2 |
Industrials | 7.3 | 8.2 |
Consumer Staples | 6.0 | 5.1 |
Energy | 3.8 | 5.4 |
Materials | 2.0 | 3.0 |
Utilities | 1.3 | 1.6 |
Telecommunication Services | 1.2 | 1.1 |
An unaudited holdings listing for the Fund, which presents direct holdings as well as the pro-rata share of any securities and other investments held indirectly through its investment in underlying non-money market Fidelity Central Funds, is available at fidelity.com and/or advisor.fidelity.com, as applicable. |
Semiannual Report
Investments April 30, 2015 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 58.5% | |||
Shares | Value | ||
Australia - 1.7% | |||
AMP Ltd. | 108,504 | $ 552,968 | |
Ardent Leisure Group unit | 74,204 | 116,562 | |
Asciano Ltd. | 50,184 | 262,504 | |
Australia & New Zealand Banking Group Ltd. | 19,730 | 530,697 | |
BHP Billiton Ltd. | 27,213 | 694,921 | |
Cabcharge Australia Ltd. | 63,766 | 228,589 | |
Carsales.com Ltd. | 18,338 | 136,991 | |
Cimic Group Ltd. | 13,810 | 230,483 | |
Coca-Cola Amatil Ltd. | 25,263 | 205,317 | |
Commonwealth Bank of Australia | 19,811 | 1,393,254 | |
Computershare Ltd. | 46,507 | 453,049 | |
CSL Ltd. | 9,901 | 712,843 | |
John Fairfax Holdings Ltd. | 344,134 | 284,585 | |
Lend Lease Group unit | 37,128 | 471,569 | |
Lovisa Holdings Ltd. | 29,466 | 72,519 | |
Macquarie CountryWide Trust | 10,120 | 34,516 | |
Macquarie Group Ltd. | 8,920 | 550,378 | |
Mount Gibson Iron Ltd. | 449,069 | 72,851 | |
Myer Holdings Ltd. | 184,783 | 201,795 | |
Pact Group Holdings Ltd. | 63,653 | 207,532 | |
Paladin Energy Ltd. (Australia) (a) | 398,082 | 110,258 | |
QBE Insurance Group Ltd. | 48,836 | 529,455 | |
Sims Metal Management Ltd. | 49,453 | 422,263 | |
Slater & Gordon Ltd. | 21,236 | 106,544 | |
Suncorp Group Ltd. | 37,419 | 388,355 | |
Sunland Group Ltd. | 118,290 | 175,985 | |
Super Cheap Auto Group Ltd. | 24,958 | 195,135 | |
Sydney Airport unit | 133,563 | 569,696 | |
Transpacific Industries Group Ltd. | 202,645 | 122,678 | |
TOTAL AUSTRALIA | 10,034,292 | ||
Austria - 0.2% | |||
Andritz AG | 19,300 | 1,129,952 | |
Bailiwick of Jersey - 0.6% | |||
Randgold Resources Ltd. | 300 | 22,830 | |
Shire PLC | 31,200 | 2,535,425 | |
Wolseley PLC | 18,202 | 1,076,547 | |
TOTAL BAILIWICK OF JERSEY | 3,634,802 | ||
Common Stocks - continued | |||
Shares | Value | ||
Belgium - 0.5% | |||
Anheuser-Busch InBev SA NV ADR | 15,300 | $ 1,836,612 | |
KBC Groep NV | 21,102 | 1,388,370 | |
TOTAL BELGIUM | 3,224,982 | ||
Bermuda - 0.2% | |||
China Everbright Water Ltd. (a) | 202,400 | 171,318 | |
DVN Holdings Ltd. (a) | 1,043,000 | 174,942 | |
Signet Jewelers Ltd. | 2,000 | 268,260 | |
Travelport Worldwide Ltd. | 17,000 | 269,110 | |
Vostok Nafta Investment Ltd. SDR (a) | 47,500 | 313,862 | |
TOTAL BERMUDA | 1,197,492 | ||
Canada - 0.6% | |||
AG Growth International, Inc. | 100 | 4,334 | |
Agnico Eagle Mines Ltd. (Canada) | 900 | 27,242 | |
Agrium, Inc. | 350 | 36,262 | |
Alimentation Couche-Tard, Inc. Class B (sub. vtg.) | 1,800 | 68,897 | |
Allied Properties (REIT) | 840 | 27,849 | |
ARC Resources Ltd. | 2,450 | 50,137 | |
AutoCanada, Inc. | 280 | 9,271 | |
Avigilon Corp. (a) | 1,100 | 18,982 | |
Bank of Nova Scotia | 1,020 | 56,246 | |
Barrick Gold Corp. | 700 | 9,097 | |
Canadian National Railway Co. | 2,890 | 186,598 | |
Canadian Natural Resources Ltd. | 1,180 | 39,209 | |
CCL Industries, Inc. Class B | 320 | 36,790 | |
CGI Group, Inc. Class A (sub. vtg.) (a) | 1,270 | 53,453 | |
Constellation Software, Inc. | 110 | 43,125 | |
Constellation Software, Inc. rights 9/15/15 (a) | 110 | 33 | |
Eldorado Gold Corp. | 4,120 | 20,523 | |
Enbridge, Inc. | 3,150 | 164,641 | |
Fairfax Financial Holdings Ltd. (sub. vtg.) | 90 | 49,159 | |
George Weston Ltd. | 630 | 52,040 | |
Gildan Activewear, Inc. | 1,270 | 40,253 | |
Gluskin Sheff + Associates, Inc. | 630 | 14,840 | |
H&R REIT/H&R Finance Trust | 1,510 | 28,973 | |
IMAX Corp. (a) | 7,000 | 261,520 | |
Imperial Oil Ltd. | 2,210 | 97,412 | |
Intact Financial Corp. | 1,050 | 80,876 | |
Jean Coutu Group, Inc. Class A (sub. vtg.) | 2,260 | 43,982 | |
Keyera Corp. | 1,646 | 57,941 | |
Labrador Iron Ore Royalty Corp. | 740 | 8,832 | |
Common Stocks - continued | |||
Shares | Value | ||
Canada - continued | |||
Lundin Mining Corp. (a) | 5,340 | $ 26,556 | |
Manulife Financial Corp. | 1,050 | 19,111 | |
MDC Partners, Inc. Class A (sub. vtg.) | 300 | 6,282 | |
Metro, Inc. Class A (sub. vtg.) | 1,100 | 31,801 | |
National Bank of Canada | 1,570 | 63,438 | |
North West Co., Inc. | 1,060 | 21,754 | |
Novadaq Technologies, Inc. (a) | 280 | 3,027 | |
Open Text Corp. | 680 | 34,358 | |
Painted Pony Petroleum Ltd. (a) | 1,900 | 11,764 | |
Paramount Resources Ltd. Class A (a) | 350 | 10,354 | |
Parkland Fuel Corp. | 900 | 19,649 | |
Pason Systems, Inc. | 1,200 | 21,603 | |
Peyto Exploration & Development Corp. | 880 | 25,579 | |
Pizza Pizza Royalty Corp. | 140 | 1,654 | |
Potash Corp. of Saskatchewan, Inc. | 870 | 28,411 | |
Power Corp. of Canada (sub. vtg.) | 2,590 | 71,163 | |
PrairieSky Royalty Ltd. | 620 | 17,025 | |
Quebecor, Inc. Class B (sub. vtg.) | 680 | 18,701 | |
Raging River Exploration, Inc. (a) | 1,300 | 10,182 | |
Rogers Communications, Inc. Class B (non-vtg.) (e) | 2,520 | 90,022 | |
Romarco Minerals, Inc. (a) | 13,818 | 5,211 | |
RONA, Inc. | 2,290 | 30,141 | |
Royal Bank of Canada | 4,350 | 288,834 | |
Silver Wheaton Corp. | 1,470 | 28,998 | |
Spartan Energy Corp. (a) | 6,660 | 18,824 | |
Stantec, Inc. | 850 | 22,960 | |
Stella-Jones, Inc. | 460 | 16,581 | |
Sun Life Financial, Inc. | 3,020 | 96,645 | |
Suncor Energy, Inc. | 5,512 | 179,500 | |
Tahoe Resources, Inc. | 810 | 11,447 | |
TELUS Corp. | 2,990 | 103,417 | |
The Toronto-Dominion Bank | 5,790 | 267,305 | |
Torex Gold Resources, Inc. (a) | 10,180 | 9,450 | |
TransForce, Inc. | 1,060 | 23,941 | |
Valeant Pharmaceuticals International (Canada) (a) | 660 | 143,121 | |
Vermilion Energy, Inc. | 450 | 21,663 | |
West Fraser Timber Co. Ltd. | 600 | 30,873 | |
WestJet Airlines Ltd. | 840 | 18,986 | |
Whistler Blackcomb Holdings, Inc. | 320 | 4,838 | |
Whitecap Resources, Inc. | 2,360 | 29,243 | |
Common Stocks - continued | |||
Shares | Value | ||
Canada - continued | |||
Winpak Ltd. | 390 | $ 12,675 | |
ZCL Composites, Inc. | 3,020 | 19,249 | |
TOTAL CANADA | 3,504,853 | ||
Cayman Islands - 0.4% | |||
21Vianet Group, Inc. ADR (a) | 5,033 | 103,529 | |
CK Hutchison Holdings Ltd. | 23,500 | 510,899 | |
New Oriental Education & Technology Group, Inc. sponsored ADR (a) | 6,200 | 158,658 | |
Tencent Holdings Ltd. | 16,100 | 332,286 | |
Uni-President China Holdings Ltd. | 358,000 | 289,613 | |
Vipshop Holdings Ltd. ADR (a) | 28,000 | 792,120 | |
TOTAL CAYMAN ISLANDS | 2,187,105 | ||
China - 0.1% | |||
Ping An Insurance (Group) Co. of China Ltd. (H Shares) | 32,000 | 459,942 | |
Denmark - 0.6% | |||
Carlsberg A/S Series B | 13,300 | 1,212,542 | |
DSV de Sammensluttede Vognmaend A/S | 33,900 | 1,175,980 | |
Novo Nordisk A/S Series B | 5,000 | 280,703 | |
William Demant Holding A/S (a) | 12,900 | 1,055,895 | |
TOTAL DENMARK | 3,725,120 | ||
Finland - 1.0% | |||
Amer Group PLC (A Shares) | 45,500 | 1,138,683 | |
Cargotec Corp. (B Shares) | 58,300 | 2,350,404 | |
Huhtamaki Oyj | 32,300 | 1,032,559 | |
Kesko Oyj | 15,400 | 629,226 | |
Valmet Corp. | 79,700 | 923,673 | |
TOTAL FINLAND | 6,074,545 | ||
France - 1.8% | |||
bioMerieux SA | 12,500 | 1,348,519 | |
Bollore Group | 207,800 | 1,187,587 | |
Christian Dior SA | 7,605 | 1,486,786 | |
Havas SA | 135,700 | 1,131,840 | |
Ipsen SA | 21,900 | 1,257,674 | |
Publicis Groupe SA | 16,124 | 1,352,329 | |
Rexel SA | 78,300 | 1,475,693 | |
Total SA sponsored ADR | 13,000 | 703,300 | |
Wendel SA | 8,400 | 1,031,714 | |
TOTAL FRANCE | 10,975,442 | ||
Common Stocks - continued | |||
Shares | Value | ||
Germany - 1.6% | |||
adidas AG | 14,600 | $ 1,196,265 | |
Bayer AG | 14,900 | 2,144,596 | |
Brenntag AG | 18,300 | 1,098,012 | |
CompuGroup Medical AG | 20,100 | 574,534 | |
Continental AG (e) | 5,800 | 1,359,258 | |
Deutsche Annington Immobilien SE | 13,085 | 439,200 | |
Fresenius SE & Co. KGaA | 25,200 | 1,499,222 | |
GEA Group AG | 23,596 | 1,133,220 | |
MLP AG | 25,383 | 108,500 | |
TOTAL GERMANY | 9,552,807 | ||
Hong Kong - 0.6% | |||
AIA Group Ltd. | 242,800 | 1,622,729 | |
Lenovo Group Ltd. | 216,000 | 373,444 | |
Power Assets Holdings Ltd. | 28,500 | 288,473 | |
SJM Holdings Ltd. | 297,000 | 378,217 | |
Techtronic Industries Co. Ltd. | 115,500 | 410,555 | |
Wharf Holdings Ltd. | 45,000 | 325,429 | |
TOTAL HONG KONG | 3,398,847 | ||
Ireland - 2.7% | |||
Actavis PLC (a) | 23,850 | 6,746,211 | |
Alkermes PLC (a) | 44,400 | 2,458,428 | |
DCC PLC (United Kingdom) | 13,000 | 826,977 | |
Endo Health Solutions, Inc. (a) | 9,000 | 756,585 | |
Greencore Group PLC | 111,821 | 606,806 | |
James Hardie Industries PLC CDI | 33,849 | 391,349 | |
Medtronic PLC | 33,000 | 2,456,850 | |
Prothena Corp. PLC (a) | 3,000 | 97,230 | |
Ryanair Holdings PLC sponsored ADR | 10,000 | 648,500 | |
United Drug PLC (United Kingdom) | 164,090 | 1,334,545 | |
TOTAL IRELAND | 16,323,481 | ||
Isle of Man - 0.5% | |||
Optimal Payments PLC (a) | 194,600 | 884,327 | |
Optimal Payments PLC rights 5/1/15 (a) | 324,333 | 688,553 | |
Playtech Ltd. | 126,880 | 1,593,966 | |
TOTAL ISLE OF MAN | 3,166,846 | ||
Common Stocks - continued | |||
Shares | Value | ||
Israel - 0.2% | |||
Sarine Technologies Ltd. | 268,100 | $ 415,360 | |
Teva Pharmaceutical Industries Ltd. sponsored ADR | 9,000 | 543,780 | |
TOTAL ISRAEL | 959,140 | ||
Italy - 0.2% | |||
Amplifon SpA | 153,000 | 1,191,717 | |
Japan - 6.3% | |||
AEON Financial Service Co. Ltd. | 41,000 | 1,045,195 | |
Asahi Group Holdings | 33,800 | 1,086,908 | |
Asahi Kasei Corp. | 33,000 | 310,749 | |
Bridgestone Corp. | 36,800 | 1,541,320 | |
Dai-ichi Mutual Life Insurance Co. | 50,300 | 826,726 | |
Daikin Industries Ltd. | 15,300 | 1,030,746 | |
Fanuc Corp. | 600 | 131,978 | |
Fuji Heavy Industries Ltd. | 30,700 | 1,026,609 | |
Furukawa Electric Co. Ltd. | 250,000 | 458,224 | |
Hitachi Metals Ltd. | 85,000 | 1,329,335 | |
Hoya Corp. | 35,900 | 1,383,618 | |
KDDI Corp. | 34,200 | 809,252 | |
Kubota Corp. | 65,000 | 1,017,316 | |
Kyocera Corp. | 2,000 | 104,403 | |
LIXIL Group Corp. | 47,900 | 998,406 | |
Mitsubishi Electric Corp. | 22,000 | 287,314 | |
Mitsubishi Heavy Industries Ltd. | 211,000 | 1,169,093 | |
NEC Corp. | 460,000 | 1,530,425 | |
Nihon Kohden Corp. | 31,300 | 822,454 | |
Nihon Parkerizing Co. Ltd. | 36,800 | 418,372 | |
Nintendo Co. Ltd. | 5,000 | 839,500 | |
Nippon Ceramic Co. Ltd. | 25,900 | 369,126 | |
Nippon Shinyaku Co. Ltd. | 12,000 | 401,203 | |
Nissan Motor Co. Ltd. | 36,400 | 377,857 | |
OMRON Corp. | 3,000 | 137,754 | |
ORIX Corp. | 122,400 | 1,882,316 | |
Panasonic Corp. | 114,100 | 1,634,354 | |
Rakuten, Inc. | 27,700 | 483,931 | |
ROHM Co. Ltd. | 15,600 | 1,082,091 | |
Seiko Epson Corp. | 31,600 | 552,190 | |
SoftBank Corp. | 26,500 | 1,656,524 | |
Stanley Electric Co. Ltd. | 43,000 | 964,818 | |
Sumitomo Mitsui Financial Group, Inc. | 39,700 | 1,733,485 | |
Sumitomo Mitsui Trust Holdings, Inc. | 261,000 | 1,148,906 | |
T&D Holdings, Inc. | 53,900 | 777,766 | |
Common Stocks - continued | |||
Shares | Value | ||
Japan - continued | |||
Temp Holdings Co., Ltd. | 28,100 | $ 890,015 | |
Tokyo Electron Ltd. | 6,400 | 350,799 | |
Tokyo Tatemono Co. Ltd. | 77,000 | 558,301 | |
Toray Industries, Inc. | 97,000 | 843,187 | |
Tosoh Corp. | 173,000 | 927,499 | |
Toyota Motor Corp. | 22,500 | 1,566,206 | |
Yahoo! Japan Corp. | 159,400 | 651,186 | |
Yamaha Motor Co. Ltd. | 46,400 | 1,091,893 | |
TOTAL JAPAN | 38,249,350 | ||
Korea (South) - 0.0% | |||
Samsung Electronics Co. Ltd. | 100 | 130,906 | |
Luxembourg - 0.0% | |||
Samsonite International SA | 72,900 | 266,654 | |
Netherlands - 0.9% | |||
ING Groep NV (Certificaten Van Aandelen) | 114,900 | 1,762,745 | |
LyondellBasell Industries NV Class A | 50 | 5,176 | |
NXP Semiconductors NV (a) | 21,000 | 2,018,520 | |
Reed Elsevier NV | 46,633 | 1,124,668 | |
Unilever NV (NY Reg.) | 6,000 | 260,880 | |
TOTAL NETHERLANDS | 5,171,989 | ||
Norway - 0.2% | |||
TGS Nopec Geophysical Co. ASA | 51,200 | 1,302,989 | |
Singapore - 0.0% | |||
Rex International Holdings Ltd. (a) | 967,400 | 230,299 | |
Spain - 0.4% | |||
Amadeus IT Holding SA Class A | 32,000 | 1,458,623 | |
Red Electrica Corporacion SA | 13,300 | 1,116,201 | |
TOTAL SPAIN | 2,574,824 | ||
Sweden - 2.1% | |||
Elekta AB (B Shares) | 94,698 | 886,110 | |
Getinge AB (B Shares) | 117,400 | 2,853,395 | |
Hemfosa Fastigheter AB (a) | 45,500 | 1,051,276 | |
Indutrade AB | 24,000 | 1,172,446 | |
Kungsleden AB | 138,395 | 1,007,361 | |
Lundbergfoeretagen AB | 21,600 | 1,014,536 | |
Nordea Bank AB | 78,400 | 996,084 | |
SKF AB (B Shares) | 48,900 | 1,194,385 | |
Svenska Cellulosa AB (SCA) (B Shares) | 49,600 | 1,254,631 | |
Common Stocks - continued | |||
Shares | Value | ||
Sweden - continued | |||
Svenska Handelsbanken AB (A Shares) | 19,200 | $ 886,252 | |
Volvo AB (B Shares) | 13,000 | 179,598 | |
TOTAL SWEDEN | 12,496,074 | ||
Switzerland - 1.2% | |||
Julius Baer Group Ltd. | 23,500 | 1,230,008 | |
Roche Holding AG (participation certificate) | 12,917 | 3,696,265 | |
Sonova Holding AG Class B | 7,986 | 1,103,303 | |
TE Connectivity Ltd. | 19,200 | 1,277,760 | |
TOTAL SWITZERLAND | 7,307,336 | ||
United Kingdom - 5.2% | |||
Aberdeen Asset Management PLC | 136,143 | 988,599 | |
Babcock International Group PLC | 109,930 | 1,695,772 | |
British American Tobacco PLC (United Kingdom) | 43,300 | 2,379,060 | |
British Land Co. PLC | 90,300 | 1,150,091 | |
Bunzl PLC | 39,469 | 1,109,761 | |
Compass Group PLC | 58,535 | 1,034,766 | |
Dechra Pharmaceuticals PLC | 46,600 | 728,103 | |
Diageo PLC | 62,749 | 1,742,061 | |
Diploma PLC | 81,000 | 993,558 | |
Essentra PLC | 70,200 | 1,030,488 | |
HSBC Holdings PLC (United Kingdom) | 223,500 | 2,232,654 | |
ITV PLC | 249,800 | 969,853 | |
JUST EAT Ltd. (a) | 5,000 | 35,062 | |
Land Securities Group PLC | 62,612 | 1,198,177 | |
Lloyds Banking Group PLC | 1,448,300 | 1,715,190 | |
London Stock Exchange Group PLC | 28,245 | 1,099,448 | |
Micro Focus International PLC | 400 | 7,699 | |
Prudential PLC | 69,511 | 1,730,653 | |
Rolls-Royce Group PLC | 98,827 | 1,575,590 | |
Royal & Sun Alliance Insurance Group PLC | 190,585 | 1,246,761 | |
Schroders PLC | 13,600 | 674,538 | |
Shawbrook Group Ltd. | 47,900 | 226,061 | |
St. James's Place Capital PLC | 39,600 | 540,172 | |
Standard Chartered PLC: | |||
(Hong Kong) | 21,400 | 353,420 | |
(United Kingdom) | 149,650 | 2,450,101 | |
Unite Group PLC | 118,300 | 1,082,288 | |
William Hill PLC | 215,600 | 1,191,217 | |
TOTAL UNITED KINGDOM | 31,181,143 | ||
Common Stocks - continued | |||
Shares | Value | ||
United States of America - 28.7% | |||
AbbVie, Inc. | 13,000 | $ 840,580 | |
Adobe Systems, Inc. (a) | 125,200 | 9,522,712 | |
Agios Pharmaceuticals, Inc. (a) | 3,000 | 277,020 | |
Alaska Air Group, Inc. | 30,000 | 1,921,800 | |
Alnylam Pharmaceuticals, Inc. (a) | 1,726 | 175,828 | |
AMAG Pharmaceuticals, Inc. (a) | 2,000 | 101,940 | |
Amazon.com, Inc. (a) | 6,700 | 2,825,926 | |
American Airlines Group, Inc. | 41,400 | 1,998,999 | |
Ameriprise Financial, Inc. | 54,700 | 6,852,816 | |
Amgen, Inc. | 6,000 | 947,460 | |
Amphenol Corp. Class A | 3,700 | 204,869 | |
AutoZone, Inc. (a) | 2,500 | 1,681,650 | |
Avalanche Biotechnologies, Inc. (a) | 1,500 | 47,790 | |
Babcock & Wilcox Co. | 10,000 | 323,200 | |
Biogen, Inc. (a) | 11,200 | 4,188,016 | |
BioMarin Pharmaceutical, Inc. (a) | 9,000 | 1,008,450 | |
BlackRock, Inc. Class A | 1,700 | 618,698 | |
bluebird bio, Inc. (a) | 3,100 | 412,889 | |
Booz Allen Hamilton Holding Corp. Class A | 25,000 | 687,500 | |
Cabot Oil & Gas Corp. | 62,000 | 2,096,840 | |
California Resources Corp. | 11,000 | 102,300 | |
CDW Corp. | 1,000 | 38,320 | |
Celgene Corp. (a) | 12,000 | 1,296,720 | |
Celldex Therapeutics, Inc. (a) | 2,300 | 55,200 | |
Charles Schwab Corp. | 10,000 | 305,000 | |
Chimerix, Inc. (a) | 1,600 | 54,400 | |
Church & Dwight Co., Inc. | 4,000 | 324,680 | |
Cidara Therapeutics, Inc. | 5,564 | 81,346 | |
Cigna Corp. | 8,300 | 1,034,512 | |
Cognizant Technology Solutions Corp. Class A (a) | 15,000 | 878,100 | |
CommScope Holding Co., Inc. (a) | 13,000 | 383,630 | |
Constellation Brands, Inc. Class A (sub. vtg.) (a) | 21,000 | 2,434,740 | |
CVS Health Corp. | 84,500 | 8,390,005 | |
Denbury Resources, Inc. (e) | 326,000 | 2,872,060 | |
Diamondback Energy, Inc. (a) | 8,000 | 660,560 | |
Diplomat Pharmacy, Inc. (e) | 15,000 | 537,300 | |
Domino's Pizza, Inc. | 3,000 | 323,550 | |
Dyax Corp. (a) | 4,000 | 95,640 | |
Dynegy, Inc. (a) | 72,900 | 2,425,383 | |
E*TRADE Financial Corp. (a) | 5,000 | 143,950 | |
Ecolab, Inc. | 7,100 | 795,058 | |
Electronic Arts, Inc. (a) | 8,000 | 464,720 | |
Common Stocks - continued | |||
Shares | Value | ||
United States of America - continued | |||
Energizer Holdings, Inc. | 20 | $ 2,732 | |
EQT Corp. | 25,000 | 2,248,500 | |
Estee Lauder Companies, Inc. Class A | 19,200 | 1,560,768 | |
Etsy, Inc. | 2,100 | 46,704 | |
Facebook, Inc. Class A (a) | 63,800 | 5,025,526 | |
FedEx Corp. | 2,900 | 491,753 | |
Ford Motor Co. | 40,000 | 632,000 | |
Freeport-McMoRan, Inc. | 790 | 18,383 | |
Gilead Sciences, Inc. (a) | 64,000 | 6,432,640 | |
Google, Inc. Class A (a) | 4,700 | 2,579,219 | |
HD Supply Holdings, Inc. (a) | 13,000 | 429,000 | |
Home Depot, Inc. | 22,000 | 2,353,560 | |
Huntington Ingalls Industries, Inc. | 2,000 | 263,180 | |
Illumina, Inc. (a) | 100 | 18,425 | |
inContact, Inc. (a) | 85,000 | 879,750 | |
Interactive Intelligence Group, Inc. (a) | 2,000 | 87,960 | |
Intercept Pharmaceuticals, Inc. (a) | 10,600 | 2,679,786 | |
Intrexon Corp. (a) | 15,000 | 582,450 | |
Intuit, Inc. | 31,200 | 3,130,296 | |
Isis Pharmaceuticals, Inc. (a) | 3,700 | 209,864 | |
J.B. Hunt Transport Services, Inc. | 10,000 | 872,000 | |
Level 3 Communications, Inc. (a) | 33,000 | 1,846,020 | |
LinkedIn Corp. Class A (a) | 1,000 | 252,130 | |
Lithia Motors, Inc. Class A (sub. vtg.) | 3,900 | 388,947 | |
Lowe's Companies, Inc. | 3,300 | 227,238 | |
lululemon athletica, Inc. (a) | 12,000 | 763,680 | |
Marathon Petroleum Corp. | 25,500 | 2,513,535 | |
MarketAxess Holdings, Inc. | 1,200 | 103,020 | |
MasterCard, Inc. Class A | 43,800 | 3,951,198 | |
McGraw Hill Financial, Inc. | 114,000 | 11,890,200 | |
Mead Johnson Nutrition Co. Class A | 10,150 | 973,588 | |
Microsoft Corp. | 27,000 | 1,313,280 | |
Moody's Corp. | 24,000 | 2,580,480 | |
Neurocrine Biosciences, Inc. (a) | 19,000 | 647,710 | |
Newfield Exploration Co. (a) | 67,000 | 2,629,080 | |
NiSource, Inc. | 56,500 | 2,453,230 | |
Novavax, Inc. (a) | 7,000 | 54,110 | |
Nu Skin Enterprises, Inc. Class A | 3,700 | 209,235 | |
NVIDIA Corp. | 6,000 | 133,170 | |
O'Reilly Automotive, Inc. (a) | 2,800 | 609,924 | |
PACCAR, Inc. | 3,000 | 196,050 | |
Palo Alto Networks, Inc. (a) | 1,200 | 177,264 | |
Common Stocks - continued | |||
Shares | Value | ||
United States of America - continued | |||
Papa John's International, Inc. | 6,000 | $ 368,220 | |
Party City Holdco, Inc. | 2,500 | 51,975 | |
PDC Energy, Inc. (a) | 3,000 | 170,220 | |
Philip Morris International, Inc. | 16,000 | 1,335,520 | |
Pinnacle Foods, Inc. | 18,000 | 729,900 | |
Post Holdings, Inc. (a) | 6,000 | 281,640 | |
Prestige Brands Holdings, Inc. (a) | 85,000 | 3,336,250 | |
Priceline Group, Inc. (a) | 500 | 618,905 | |
Range Resources Corp. | 26,000 | 1,652,560 | |
Red Hat, Inc. (a) | 3,300 | 248,358 | |
Rock-Tenn Co. Class A | 10,000 | 629,800 | |
Ross Stores, Inc. | 5,000 | 494,400 | |
Royal Gold, Inc. | 300 | 19,359 | |
Sage Therapeutics, Inc. | 1,300 | 68,900 | |
Salesforce.com, Inc. (a) | 4,300 | 313,126 | |
ServiceMaster Global Holdings, Inc. | 29,000 | 1,002,240 | |
Skyworks Solutions, Inc. | 11,000 | 1,014,750 | |
SolarWinds, Inc. (a) | 2,000 | 97,560 | |
Spark Therapeutics, Inc. | 1,000 | 57,270 | |
Spirit Airlines, Inc. (a) | 31,300 | 2,143,111 | |
Sprouts Farmers Market LLC (a) | 21,000 | 671,685 | |
SVB Financial Group (a) | 15,900 | 2,110,884 | |
Teleflex, Inc. | 2,000 | 245,920 | |
TESARO, Inc. (a) | 2,000 | 108,940 | |
Tetraphase Pharmaceuticals, Inc. (a) | 3,000 | 105,840 | |
The Blackstone Group LP | 9,000 | 368,640 | |
The Coca-Cola Co. | 6,000 | 243,360 | |
The Cooper Companies, Inc. | 10,400 | 1,851,928 | |
The Hain Celestial Group, Inc. (a) | 14,000 | 843,360 | |
The J.M. Smucker Co. | 4,000 | 463,680 | |
The Walt Disney Co. | 25,400 | 2,761,488 | |
Twitter, Inc. (a) | 42,000 | 1,636,320 | |
Ulta Salon, Cosmetics & Fragrance, Inc. (a) | 5,000 | 755,450 | |
Ultragenyx Pharmaceutical, Inc. (a) | 4,100 | 231,363 | |
UnitedHealth Group, Inc. | 23,000 | 2,562,200 | |
Visa, Inc. Class A | 50,000 | 3,302,500 | |
Walgreens Boots Alliance, Inc. | 14,700 | 1,219,071 | |
Wells Fargo & Co. | 76,000 | 4,187,600 | |
Whirlpool Corp. | 11,300 | 1,984,280 | |
WPX Energy, Inc. (a) | 81,000 | 1,113,750 | |
Common Stocks - continued | |||
Shares | Value | ||
United States of America - continued | |||
Zebra Technologies Corp. Class A (a) | 74,000 | $ 6,813,920 | |
Zendesk, Inc. | 5,000 | 115,300 | |
TOTAL UNITED STATES OF AMERICA | 173,221,285 | ||
TOTAL COMMON STOCKS (Cost $305,600,794) |
| ||
Preferred Stocks - 0.8% | |||
|
|
|
|
Convertible Preferred Stocks - 0.5% | |||
United States of America - 0.5% | |||
Actavis PLC 5.50% | 1,700 | 1,701,122 | |
American Tower Corp. 5.50% (a) | 12,900 | 1,323,540 | |
Dynegy, Inc. 5.375% (a) | 2,500 | 283,775 | |
TOTAL UNITED STATES OF AMERICA | 3,308,437 | ||
Nonconvertible Preferred Stocks - 0.3% | |||
Germany - 0.3% | |||
Volkswagen AG | 6,000 | 1,544,675 | |
United Kingdom - 0.0% | |||
Rolls-Royce Group PLC | 13,934,607 | 21,390 | |
Rolls-Royce Group PLC (C Shares) (a) | 30,690,583 | 47,110 | |
TOTAL UNITED KINGDOM | 68,500 | ||
TOTAL NONCONVERTIBLE PREFERRED STOCKS | 1,613,175 | ||
TOTAL PREFERRED STOCKS (Cost $4,272,256) |
| ||
Investment Companies - 1.2% | |||
|
|
|
|
United States of America - 1.2% | |||
iShares Barclays 20+ Year Treasury Bond ETF (e) | 55,300 |
|
Nonconvertible Bonds - 10.6% | ||||
| Principal Amount (d) | Value | ||
Australia - 0.1% | ||||
Aurizon Network Pty Ltd. 2% 9/18/24 (Reg. S) (d) | EUR | 450,000 | $ 517,874 | |
Rio Tinto Finance (U.S.A.) Ltd. 9% 5/1/19 | 250,000 | 314,460 | ||
TOTAL AUSTRALIA | 832,334 | |||
Bailiwick of Jersey - 0.3% | ||||
AA Bond Co. Ltd.: | ||||
3.781% 7/31/43 (Reg S.) | GBP | 500,000 | 796,358 | |
4.7201% 7/31/18 (Reg. S) | GBP | 600,000 | 984,346 | |
TOTAL BAILIWICK OF JERSEY | 1,780,704 | |||
British Virgin Islands - 0.1% | ||||
CNOOC Finance 2011 Ltd. 4.25% 1/26/21 | 400,000 | 428,460 | ||
Canada - 0.2% | ||||
Methanex Corp. 4.25% 12/1/24 | 1,250,000 | 1,275,050 | ||
The Toronto Dominion Bank 2.375% 10/19/16 | 250,000 | 255,901 | ||
TOTAL CANADA | 1,530,951 | |||
Cayman Islands - 0.2% | ||||
Bishopgate Asset Finance Ltd. 4.808% 8/14/44 | GBP | 177,771 | 280,363 | |
IPIC GMTN Ltd.: | ||||
5.875% 3/14/21 (Reg. S) | EUR | 175,000 | 252,010 | |
6.875% 3/14/26 | GBP | 150,000 | 309,686 | |
Yorkshire Water Services Finance Ltd. 6.375% 8/19/39 | GBP | 100,000 | 217,017 | |
TOTAL CAYMAN ISLANDS | 1,059,076 | |||
France - 0.5% | ||||
Arkema SA 3.85% 4/30/20 | EUR | 300,000 | 386,868 | |
Banque Federative du Credit Mutuel SA 2.5% 10/29/18 (f) | 350,000 | 358,370 | ||
Bureau Veritas SA 3.125% 1/21/21 (Reg. S) | EUR | 500,000 | 615,998 | |
EDF SA 4.625% 9/11/24 | EUR | 150,000 | 219,586 | |
HSBC SFH France SA 2% 10/16/23 | EUR | 800,000 | 1,012,481 | |
Iliad SA 4.875% 6/1/16 | EUR | 500,000 | 585,467 | |
TOTAL FRANCE | 3,178,770 | |||
Germany - 0.6% | ||||
Deutsche Bank AG 1.25% 9/8/21 | EUR | 1,400,000 | 1,594,201 | |
Deutsche Bank AG London Branch 1.875% 2/13/18 | 400,000 | 401,635 | ||
Infineon Technologies AG 1.5% 3/10/22 (Reg. S) | EUR | 800,000 | 894,567 | |
Nonconvertible Bonds - continued | ||||
| Principal Amount (d) | Value | ||
Germany - continued | ||||
ProSiebenSat.1 Media AG 2.625% 4/15/21 (Reg S.) | EUR | 550,000 | $ 652,777 | |
Vier Gas Transport GmbH 2.875% 6/12/25 (Reg. S) | EUR | 200,000 | 258,296 | |
TOTAL GERMANY | 3,801,476 | |||
Hong Kong - 0.1% | ||||
Wharf Finance Ltd. 4.625% 2/8/17 | 400,000 | 417,911 | ||
Ireland - 0.4% | ||||
Aquarius & Investments PLC 4.25% 10/2/43 (h) | EUR | 150,000 | 195,738 | |
GE Capital UK Funding 4.375% 7/31/19 | GBP | 450,000 | 760,973 | |
Medtronic, Inc.: | ||||
3.5% 3/15/25 (f) | 700,000 | 724,186 | ||
4.375% 3/15/35 (f) | 450,000 | 475,308 | ||
4.625% 3/15/45 (f) | 450,000 | 484,524 | ||
TOTAL IRELAND | 2,640,729 | |||
Italy - 0.2% | ||||
Banco Popolare Societa Cooperativa 3.5% 3/14/19 | EUR | 600,000 | 707,403 | |
Intesa Sanpaolo SpA 4.875% 7/10/15 | EUR | 300,000 | 339,627 | |
TOTAL ITALY | 1,047,030 | |||
Japan - 0.1% | ||||
Sumitomo Life Insurance Co. 6.5% 9/20/73 (Reg. S) (h) | 400,000 | 473,600 | ||
Korea (South) - 0.2% | ||||
Export-Import Bank of Korea 5% 4/11/22 | 200,000 | 229,713 | ||
Korea Resources Corp. 2.125% 5/2/18 (Reg. S) | 200,000 | 200,771 | ||
National Agricultural Cooperative Federation 4.25% 1/28/16 (Reg. S) | 450,000 | 459,815 | ||
Nonghyup Bank 2.625% 11/1/18 (Reg. S) | 200,000 | 204,144 | ||
TOTAL KOREA (SOUTH) | 1,094,443 | |||
Luxembourg - 0.2% | ||||
Actavis Funding SCS: | ||||
3% 3/12/20 | 250,000 | 254,332 | ||
3.45% 3/15/22 | 250,000 | 254,128 | ||
3.8% 3/15/25 | 350,000 | 353,922 | ||
4.55% 3/15/35 | 200,000 | 200,682 | ||
4.75% 3/15/45 | 150,000 | 151,228 | ||
TOTAL LUXEMBOURG | 1,214,292 | |||
Netherlands - 0.7% | ||||
Achmea BV 2.5% 11/19/20 | EUR | 500,000 | 606,177 | |
Coca Cola HBC Finance BV 2.375% 6/18/20 | EUR | 400,000 | 475,431 | |
Nonconvertible Bonds - continued | ||||
| Principal Amount (d) | Value | ||
Netherlands - continued | ||||
Deutsche Annington Finance BV: | ||||
3.2% 10/2/17 (f) | $ 350,000 | $ 359,008 | ||
5% 10/2/23 (f) | 450,000 | 489,356 | ||
Heineken NV 1.4% 10/1/17 (f) | 550,000 | 552,187 | ||
LYB International Finance BV: | ||||
4% 7/15/23 | 500,000 | 529,334 | ||
4.875% 3/15/44 | 500,000 | 528,187 | ||
Volkswagen International Finance NV 2.375% 3/22/17 (f) | 400,000 | 408,590 | ||
Wuerth Finance International BV 1.75% 5/21/20 | EUR | 150,000 | 178,023 | |
TOTAL NETHERLANDS | 4,126,293 | |||
Norway - 0.1% | ||||
DNB Boligkreditt A/S 1.45% 3/21/19 (f) | 400,000 | 399,638 | ||
Singapore - 0.1% | ||||
CMT MTN Pte. Ltd. 3.731% 3/21/18 (Reg. S) | 400,000 | 418,526 | ||
PSA International Pte Ltd. 4.625% 9/11/19 (Reg. S) | 250,000 | 276,730 | ||
TOTAL SINGAPORE | 695,256 | |||
Spain - 0.1% | ||||
BBVA U.S. Senior SA 4.664% 10/9/15 | 500,000 | 508,057 | ||
Sweden - 0.1% | ||||
Svenska Handelsbanken AB 2.656% 1/15/24 (h) | EUR | 441,000 | 519,319 | |
Switzerland - 0.1% | ||||
Credit Suisse Group 5.75% 9/18/25 (Reg. S) (h) | EUR | 300,000 | 389,168 | |
United Arab Emirates - 0.0% | ||||
Abu Dhabi National Energy Co. 3.625% 1/12/23 | 300,000 | 306,750 | ||
United Kingdom - 1.2% | ||||
Barclays Bank PLC: | ||||
4.25% 1/12/22 | GBP | 350,000 | 611,713 | |
6.75% 1/16/23 (h) | GBP | 300,000 | 506,561 | |
BAT International Finance PLC 3.25% 6/7/22 (f) | 200,000 | 204,506 | ||
Channel Link Enterprises Finance PLC 3.426% 6/30/50 (h) | EUR | 950,000 | 1,063,008 | |
Direct Line Insurance Group PLC 9.25% 4/27/42 (h) | GBP | 100,000 | 195,650 | |
Eastern Power Networks PLC 6.25% 11/12/36 | GBP | 160,000 | 336,951 | |
Eversholt Funding PLC 6.697% 2/22/35 | GBP | 100,000 | 204,420 | |
Experian Finance PLC 2.375% 6/15/17 (f) | 425,000 | 429,260 | ||
First Hydro Finance PLC 9% 7/31/21 | GBP | 320,000 | 663,493 | |
Great Rolling Stock Co. Ltd. 6.25% 7/27/20 | GBP | 350,000 | 628,634 | |
Nonconvertible Bonds - continued | ||||
| Principal Amount (d) | Value | ||
United Kingdom - continued | ||||
Intu Properties PLC 3.875% 3/17/23 | GBP | 300,000 | $ 481,794 | |
Mondi Finance PLC 3.375% 9/28/20 | EUR | 350,000 | 437,828 | |
Sky PLC 2.5% 9/15/26 (Reg. S) | EUR | 700,000 | 855,209 | |
Tesco PLC 5.875% 9/12/16 | EUR | 100,000 | 119,824 | |
Unite (USAF) II PLC 3.374% 6/30/28 | GBP | 150,000 | 237,261 | |
Wales & West Utilities Finance PLC 6.75% 12/17/36 (h) | GBP | 150,000 | 263,691 | |
Western Power Distribution PLC 5.75% 3/23/40 | GBP | 150,000 | 299,995 | |
TOTAL UNITED KINGDOM | 7,539,798 | |||
United States of America - 5.0% | ||||
AbbVie, Inc. 1.75% 11/6/17 | 400,000 | 402,235 | ||
Altria Group, Inc.: | ||||
2.85% 8/9/22 | 500,000 | 497,695 | ||
9.25% 8/6/19 | 134,000 | 170,916 | ||
American Express Co. 1.55% 5/22/18 | 550,000 | 549,787 | ||
American International Group, Inc. 5% 4/26/23 | GBP | 200,000 | 353,519 | |
Anadarko Petroleum Corp. 3.45% 7/15/24 | 900,000 | 913,830 | ||
AutoZone, Inc. 3.125% 7/15/23 | 400,000 | 399,542 | ||
Bank of America Corp. 4.2% 8/26/24 | 950,000 | 960,137 | ||
Bayer U.S. Finance LLC 3.375% 10/8/24 (f) | 550,000 | 567,247 | ||
Burlington Northern Santa Fe LLC: | ||||
3.4% 9/1/24 | 550,000 | 567,555 | ||
4.15% 4/1/45 | 150,000 | 151,188 | ||
Chevron Corp.: | ||||
2.427% 6/24/20 | 200,000 | 206,706 | ||
3.191% 6/24/23 | 300,000 | 310,497 | ||
Citigroup, Inc.: | ||||
2.125% 9/10/26 (Reg. S) | EUR | 950,000 | 1,120,625 | |
2.375% 5/22/24 (Reg. S) | EUR | 1,100,000 | 1,332,459 | |
4.5% 1/14/22 | 150,000 | 163,908 | ||
CME Group, Inc. 3% 3/15/25 | 300,000 | 301,607 | ||
Comcast Corp.: | ||||
3.6% 3/1/24 | 350,000 | 373,140 | ||
4.75% 3/1/44 | 350,000 | 383,350 | ||
Frontier Oil Corp. 6.875% 11/15/18 | 250,000 | 259,063 | ||
General Electric Capital Corp. 4.65% 10/17/21 | 250,000 | 284,008 | ||
General Electric Co.: | ||||
4.5% 3/11/44 | 650,000 | 709,662 | ||
5.25% 12/6/17 | 550,000 | 606,228 | ||
Glencore Funding LLC 3.125% 4/29/19 (f) | 250,000 | 254,675 | ||
Goldman Sachs Group, Inc. 3.85% 7/8/24 | 650,000 | 671,311 | ||
Illinois Tool Works, Inc. 3% 5/19/34 | EUR | 600,000 | 820,455 | |
Nonconvertible Bonds - continued | ||||
| Principal Amount (d) | Value | ||
United States of America - continued | ||||
Jefferies Group, Inc. 2.375% 5/20/20 (Reg. S) | EUR | 1,150,000 | $ 1,296,701 | |
Marsh & McLennan Companies, Inc.: | ||||
2.35% 9/10/19 | 900,000 | 910,007 | ||
3.5% 3/10/25 | 950,000 | 973,741 | ||
Metropolitan Life Global Funding I 3% 1/10/23 (f) | 350,000 | 354,060 | ||
Morgan Stanley: | ||||
2.375% 7/23/19 | 4,200,000 | 4,214,868 | ||
4.35% 9/8/26 | 950,000 | 968,251 | ||
NBCUniversal, Inc. 4.375% 4/1/21 | 500,000 | 555,050 | ||
Philip Morris International, Inc. 2.875% 5/30/24 | EUR | 150,000 | 192,774 | |
Plains All American Pipeline LP/PAA Finance Corp.: | ||||
3.6% 11/1/24 | 550,000 | 551,280 | ||
8.75% 5/1/19 | 100,000 | 124,135 | ||
Prologis LP: | ||||
3% 1/18/22 | EUR | 300,000 | 370,881 | |
3% 6/2/26 | EUR | 250,000 | 312,369 | |
3.375% 2/20/24 | EUR | 450,000 | 573,364 | |
Qwest Corp. 6.75% 12/1/21 | 650,000 | 745,875 | ||
Reynolds American, Inc.: | ||||
1.05% 10/30/15 | 200,000 | 200,012 | ||
3.25% 11/1/22 | 200,000 | 197,893 | ||
Roche Holdings, Inc. 6% 3/1/19 (f) | 69,000 | 79,566 | ||
SABMiller Holdings, Inc.: | ||||
2.2% 8/1/18 (f) | 450,000 | 454,669 | ||
2.45% 1/15/17 (f) | 400,000 | 408,280 | ||
3.75% 1/15/22 (f) | 200,000 | 210,887 | ||
Verizon Communications, Inc. 5.15% 9/15/23 | 350,000 | 395,173 | ||
Viacom, Inc. 4.25% 9/1/23 | 250,000 | 260,750 | ||
Wal-Mart Stores, Inc. 5.625% 4/15/41 | 500,000 | 629,195 | ||
Walt Disney Co.: | ||||
0.45% 12/1/15 | 350,000 | 350,183 | ||
2.35% 12/1/22 | 150,000 | 148,856 | ||
WEA Finance LLC/Westfield UK & Europe Finance PLC 2.7% 9/17/19 (f) | 600,000 | 607,991 | ||
Wells Fargo & Co. 3.676% 6/15/16 | 450,000 | 464,738 | ||
William Wrigley Jr. Co. 2.9% 10/21/19 (f) | 150,000 | 154,724 | ||
TOTAL UNITED STATES OF AMERICA | 30,037,618 | |||
TOTAL NONCONVERTIBLE BONDS (Cost $63,939,112) |
| |||
Government Obligations - 21.1% | ||||
| Principal | Value | ||
Bahrain - 0.1% | ||||
Bahrain Kingdom 6% 9/19/44 (Reg. S) | $ 400,000 | $ 391,000 | ||
Canada - 0.8% | ||||
Canadian Government 1.5% 6/1/23 | CAD | 6,000,000 | 5,004,244 | |
Denmark - 0.4% | ||||
Danish Kingdom Indexed Link CPI, 0.1% 11/15/23 | DKK | 15,567,450 | 2,538,215 | |
France - 1.6% | ||||
French Government 0.5% 5/25/25 | EUR | 8,650,000 | 9,581,804 | |
Germany - 1.2% | ||||
German Federal Republic: | ||||
0.5% 2/15/25 | EUR | 1,050,000 | 1,194,095 | |
2% 1/4/22 | EUR | 1,400,000 | 1,767,577 | |
2.5% 7/4/44 | EUR | 2,650,000 | 4,250,696 | |
TOTAL GERMANY | 7,212,368 | |||
Italy - 3.5% | ||||
Buoni del Tesoro Poliennali: | ||||
Indexed-Linked Bond, 2.35% 9/15/24 (f) | EUR | 1,000,000 | 1,330,866 | |
4.5% 3/1/24 | EUR | 5,450,000 | 7,686,072 | |
5.5% 11/1/22 | EUR | 5,250,000 | 7,715,598 | |
Italian Republic Inflation-Indexed Bond 2.25% 4/22/17 | EUR | 4,003,000 | 4,666,705 | |
TOTAL ITALY | 21,399,241 | |||
Japan - 9.1% | ||||
Japan Government: | ||||
Inflation-Indexed Bond, 0.1% 9/10/24 | JPY | 471,960,000 | 4,170,890 | |
0.1% 2/15/16 | JPY | 1,680,000,000 | 14,081,465 | |
0.3% 6/20/15 | JPY | 835,000,000 | 6,996,062 | |
0.5% 3/20/16 | JPY | 150,000,000 | 1,261,805 | |
1.3% 3/20/20 | JPY | 100,000,000 | 887,235 | |
1.3% 6/20/20 | JPY | 331,000,000 | 2,943,954 | |
1.3% 3/20/21 | JPY | 802,750,000 | 7,194,240 | |
1.7% 9/20/32 | JPY | 1,014,450,000 | 9,567,589 | |
2% 9/20/40 | JPY | 781,000,000 | 7,562,186 | |
TOTAL JAPAN | 54,665,426 | |||
Netherlands - 0.9% | ||||
Dutch Government 2.75% 1/15/47 | EUR | 3,150,000 | 5,213,897 | |
Government Obligations - continued | ||||
| Principal Amount (d) | Value | ||
Spain - 1.8% | ||||
Spanish Kingdom: | ||||
Inflation-Indexed Bond, 1.8% 11/30/24 (f) | EUR | 600,000 | $ 768,599 | |
3.8% 4/30/24 (Reg.S) | EUR | 6,000,000 | 8,096,835 | |
5.5% 4/30/21 | EUR | 1,400,000 | 1,995,855 | |
TOTAL SPAIN | 10,861,289 | |||
United Arab Emirates - 0.1% | ||||
Sharjah Government 3.764% 9/17/24 (Reg. S) | 800,000 | 849,296 | ||
United Kingdom - 1.1% | ||||
United Kingdom, Great Britain and Northern Ireland: | ||||
3.25% 1/22/44 | GBP | 1,150,000 | 2,017,596 | |
4% 3/7/22 | GBP | 1,250,000 | 2,229,413 | |
5% 3/7/25 | GBP | 1,075,000 | 2,122,221 | |
TOTAL UNITED KINGDOM | 6,369,230 | |||
United States of America - 0.5% | ||||
U.S. Treasury Bonds: | ||||
2.75% 8/15/42 | 200,000 | 199,984 | ||
2.75% 11/15/42 | 300,000 | 299,789 | ||
3% 11/15/44 | 200,000 | 210,359 | ||
3.625% 2/15/44 | 150,000 | 176,625 | ||
U.S. Treasury Notes: | ||||
1.75% 5/15/23 | 1,050,000 | 1,036,957 | ||
2.75% 11/15/23 | 850,000 | 904,453 | ||
TOTAL UNITED STATES OF AMERICA | 2,828,167 | |||
TOTAL GOVERNMENT OBLIGATIONS (Cost $137,060,303) |
| |||
Asset-Backed Securities - 0.0% | ||||
| ||||
Bavarian Sky SA 0.208% 6/20/20 (h) | EUR | 150,271 |
| |
Collateralized Mortgage Obligations - 0.0% | ||||
| ||||
Private Sponsor - 0.0% | ||||
Granite Master Issuer PLC Series 2005-1 Class A5, 0.148% 12/20/54 (h) | EUR | 83,215 |
| |
Commercial Mortgage Securities - 0.0% | ||||
| Principal Amount (d) | Value | ||
United Kingdom - 0.0% | ||||
Eddystone Finance PLC Series 2006-1 Class A2, 1.0938% 4/19/21 (h) | GBP | 109,693 | $ 165,011 | |
Supranational Obligations - 0.2% | ||||
| ||||
European Investment Bank 1.75% 3/15/17 | 1,000,000 |
| ||
Preferred Securities - 0.6% | ||||
| ||||
Cayman Islands - 0.1% | ||||
SMFG Preferred Capital GBP 2 Ltd. 10.231% (Reg. S) (g)(h) | GBP | 250,000 | 613,274 | |
France - 0.1% | ||||
Credit Agricole SA 8.125% 9/19/33 (Reg. S) (h) | 350,000 | 398,385 | ||
Japan - 0.1% | ||||
Fukoku Mutual Life Insurance Co. 6.5% (Reg. S) (h) | 550,000 | 643,200 | ||
Switzerland - 0.2% | ||||
UBS AG 4.75% 2/12/26 (Reg. S) (h) | EUR | 800,000 | 1,003,248 | |
United Kingdom - 0.1% | ||||
Lloyds Banking Group PLC 7% (Reg. S) (g)(h) | GBP | 500,000 | 790,903 | |
TOTAL PREFERRED SECURITIES (Cost $3,516,578) |
|
Money Market Funds - 7.8% | |||
Shares |
| ||
Fidelity Cash Central Fund, 0.15% (b) | 40,745,726 | 40,745,726 | |
Fidelity Securities Lending Cash Central Fund, 0.17% (b)(c) | 6,403,356 | 6,403,356 | |
TOTAL MONEY MARKET FUNDS (Cost $47,149,082) |
| ||
TOTAL INVESTMENT PORTFOLIO - 100.8% (Cost $570,375,816) | 607,741,553 | ||
NET OTHER ASSETS (LIABILITIES) - (0.8)% | (4,859,664) | ||
NET ASSETS - 100% | $ 602,881,889 |
Security Type Abbreviations | ||
ETF | - | Exchange-Traded Fund |
Currency Abbreviations | ||
CAD | - | Canadian dollar |
DKK | - | Danish krone |
EUR | - | European Monetary Unit |
GBP | - | British pound |
JPY | - | Japanese yen |
Legend |
(a) Non-income producing |
(b) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements are available on the SEC's website or upon request. |
(c) Investment made with cash collateral received from securities on loan. |
(d) Amount is stated in United States dollars unless otherwise noted. |
(e) Security or a portion of the security is on loan at period end. |
(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 end of the period, the value of these securities amounted to $10,076,497 or 1.7% of net assets. |
(g) Security is perpetual in nature with no stated maturity date. |
(h) Coupon rates for floating and adjustable rate securities reflect the rates in effect at period end. |
Affiliated Central Funds |
Information regarding fiscal year to date income earned by the Fund from investments in Fidelity Central Funds is as follows: |
Fund | Income earned |
Fidelity Cash Central Fund | $ 26,361 |
Fidelity Emerging Markets Debt Central Fund | 57,478 |
Fidelity High Income Central Fund 1 | 49,034 |
Fidelity Securities Lending Cash Central Fund | 23,580 |
Total | $ 156,453 |
Additional information regarding the Fund's fiscal year to date purchases and sales, including the ownership percentage, of the non Money Market Central Funds is as follows: |
Fund | Value, beginning of period | Purchases | Sales | Value, | % ownership, end of |
Fidelity Emerging Markets Debt Central Fund | $ 4,668,216 | $ 45,023 | $ 4,421,144 | $ - | 0.0% |
Fidelity High Income Central Fund 1 | 8,142,502 | 47,734 | 8,032,795 | - | 0.0% |
Total | $ 12,810,718 | $ 92,757 | $ 12,453,939 | $ - |
Other Information |
Categorizations in the Schedule of Investments are based on country or territory of incorporation. |
The following is a summary of the inputs used, as of April 30, 2015, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the tables below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements. |
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $ 44,000,839 | $ 21,783,511 | $ 22,217,328 | $ - |
Consumer Staples | 31,943,394 | 23,032,160 | 8,911,234 | - |
Energy | 19,200,226 | 17,897,237 | 1,302,989 | - |
Financials | 74,986,199 | 39,448,863 | 35,537,336 | - |
Health Care | 69,144,247 | 45,430,584 | 23,713,663 | - |
Industrials | 37,724,469 | 11,442,222 | 26,282,247 | - |
Information Technology | 59,192,428 | 47,190,820 | 12,001,608 | - |
Materials | 9,480,659 | 2,870,719 | 6,609,940 | - |
Telecommunication Services | 5,384,985 | 2,919,209 | 2,465,776 | - |
Utilities | 6,738,380 | 5,622,179 | 1,116,201 | - |
Investment Companies | 6,965,035 | 6,965,035 | - | - |
Corporate Bonds | 64,021,673 | - | 64,021,673 | - |
Government Obligations | 126,914,177 | - | 126,914,177 | - |
Asset-Backed Securities | 168,767 | - | 168,767 | - |
Collateralized Mortgage Obligations | 93,111 | - | 93,111 | - |
Commercial Mortgage Securities | 165,011 | - | 165,011 | - |
Supranational Obligations | 1,019,861 | - | 1,019,861 | - |
Preferred Securities | 3,449,010 | - | 3,449,010 | - |
Money Market Funds | 47,149,082 | 47,149,082 | - | - |
Total Investments in Securities: | $ 607,741,553 | $ 271,751,621 | $ 335,989,932 | $ - |
The following is a summary of transfers between Level 1 and Level 2 for the period ended April 30, 2015. Transfers are assumed to have occurred at the beginning of the period, and are primarily attributable to the valuation techniques used for foreign equity securities, as discussed in the accompanying Notes to Financial Statements: |
Transfers | Total |
Level 1 to Level 2 | $ 46,329,077 |
Level 2 to Level 1 | $ 13,185,165 |
Other Information |
The composition of credit quality ratings as a percentage of net assets is as follows (Unaudited): |
U.S. Government and U.S. Government Agency Obligations | 0.5% |
AAA,AA,A | 18.1% |
BBB | 11.4% |
BB | 0.2% |
B | 0.1% |
Not Rated | 2.2% |
Equities | 60.5% |
Short-Term Investments and Net Other Assets | 7.0% |
| 100.0% |
We have used ratings from Moody's Investors Service, Inc. Where Moody's® ratings are not available, we have used S&P® ratings. All ratings are as of the date indicated and do not reflect subsequent changes. |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements
Statement of Assets and Liabilities
| April 30, 2015 (Unaudited) | |
|
|
|
Assets | ||
Investment in securities, at value (including securities loaned of $6,231,070) - See accompanying schedule: Unaffiliated issuers (cost $523,226,734) | $ 560,592,471 |
|
Fidelity Central Funds (cost $47,149,082) | 47,149,082 |
|
Total Investments (cost $570,375,816) |
| $ 607,741,553 |
Cash |
| 446,001 |
Foreign currency held at value (cost $126) | 126 | |
Receivable for investments sold | 11,329,064 | |
Receivable for fund shares sold | 462,819 | |
Dividends receivable | 1,013,199 | |
Interest receivable | 1,193,591 | |
Distributions receivable from Fidelity Central Funds | 12,516 | |
Prepaid expenses | 550 | |
Other receivables | 13,414 | |
Total assets | 622,212,833 | |
|
|
|
Liabilities | ||
Payable for investments purchased | $ 11,652,525 | |
Payable for fund shares redeemed | 652,901 | |
Accrued management fee | 353,896 | |
Distribution and service plan fees payable | 42,636 | |
Other affiliated payables | 121,087 | |
Other payables and accrued expenses | 104,543 | |
Collateral on securities loaned, at value | 6,403,356 | |
Total liabilities | 19,330,944 | |
|
|
|
Net Assets | $ 602,881,889 | |
Net Assets consist of: |
| |
Paid in capital | $ 561,094,109 | |
Undistributed net investment income | 1,915,436 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 2,518,405 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 37,353,939 | |
Net Assets | $ 602,881,889 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements - continued
Statement of Assets and Liabilities - continued
| April 30, 2015 (Unaudited) | |
|
|
|
Calculation of Maximum Offering Price | $ 23.27 | |
|
|
|
Maximum offering price per share (100/94.25 of $23.27) | $ 24.69 | |
Class T: | $ 23.17 | |
|
|
|
Maximum offering price per share (100/96.50 of $23.17) | $ 24.01 | |
Class B: | $ 23.18 | |
|
|
|
Class C: | $ 22.87 | |
|
|
|
Global Balanced: | $ 23.46 | |
|
|
|
Institutional Class: | $ 23.39 |
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
Six months ended April 30, 2015 (Unaudited) | ||
|
|
|
Investment Income |
|
|
Dividends |
| $ 3,395,870 |
Interest |
| 2,146,129 |
Income from Fidelity Central Funds |
| 156,453 |
Income before foreign taxes withheld |
| 5,698,452 |
Less foreign taxes withheld |
| (165,444) |
Total income |
| 5,533,008 |
|
|
|
Expenses | ||
Management fee | $ 2,173,370 | |
Transfer agent fees | 584,184 | |
Distribution and service plan fees | 256,742 | |
Accounting and security lending fees | 154,965 | |
Custodian fees and expenses | 126,998 | |
Independent trustees' compensation | 1,311 | |
Registration fees | 78,756 | |
Audit | 43,284 | |
Legal | 1,430 | |
Miscellaneous | 2,522 | |
Total expenses before reductions | 3,423,562 | |
Expense reductions | (16,252) | 3,407,310 |
Net investment income (loss) | 2,125,698 | |
Realized and Unrealized Gain (Loss) Net realized gain (loss) on: | ||
Investment securities: |
|
|
Unaffiliated issuers | 5,700,181 | |
Fidelity Central Funds | (279,659) |
|
Foreign currency transactions | (271,518) | |
Total net realized gain (loss) |
| 5,149,004 |
Change in net unrealized appreciation (depreciation) on: Investment securities | 2,105,647 | |
Assets and liabilities in foreign currencies | 72,161 | |
Total change in net unrealized appreciation (depreciation) |
| 2,177,808 |
Net gain (loss) | 7,326,812 | |
Net increase (decrease) in net assets resulting from operations | $ 9,452,510 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Statements - continued
Statement of Changes in Net Assets
| Six months ended April 30, 2015 (Unaudited) | Year ended |
Increase (Decrease) in Net Assets |
|
|
Operations |
|
|
Net investment income (loss) | $ 2,125,698 | $ 5,319,518 |
Net realized gain (loss) | 5,149,004 | 45,596,544 |
Change in net unrealized appreciation (depreciation) | 2,177,808 | (33,150,825) |
Net increase (decrease) in net assets resulting | 9,452,510 | 17,765,237 |
Distributions to shareholders from net investment income | (1,672,129) | (3,503,737) |
Distributions to shareholders from net realized gain | (43,816,065) | (49,182,400) |
Total distributions | (45,488,194) | (52,686,137) |
Share transactions - net increase (decrease) | (19,066,398) | 72,348,120 |
Redemption fees | 7,669 | 10,838 |
Total increase (decrease) in net assets | (55,094,413) | 37,438,058 |
|
|
|
Net Assets | ||
Beginning of period | 657,976,302 | 620,538,244 |
End of period (including undistributed net investment income of $1,915,436 and undistributed net investment income of $1,461,867, respectively) | $ 602,881,889 | $ 657,976,302 |
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class A
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.65 | $ 26.18 | $ 23.45 | $ 22.05 | $ 21.88 | $ 19.59 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) E | .06 | .15 | .13 | .27 | .22 | .17 |
Net realized and unrealized gain (loss) | .27 | .49 | 3.13 | 1.41 | .22 | 2.43 |
Total from investment operations | .33 | .64 | 3.26 | 1.68 | .44 | 2.60 |
Distributions from net investment income | (.01) | (.10) | (.24) | (.19) | (.17) | (.23) |
Distributions from net realized gain | (1.70) | (2.07) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.71) | (2.17) | (.53) | (.28) | (.27)J | (.31) |
Redemption fees added to paid in capital E, I | - | - | - | - | - | - |
Net asset value, end of period | $ 23.27 | $ 24.65 | $ 26.18 | $ 23.45 | $ 22.05 | $ 21.88 |
Total ReturnB, C, D | 1.53% | 2.69% | 14.19% | 7.74% | 2.04% | 13.40% |
Ratios to Average Net Assets F, H |
|
|
|
|
| |
Expenses before reductions | 1.29%A | 1.28% | 1.31% | 1.33% | 1.37% | 1.43% |
Expenses net of fee waivers, if any | 1.29%A | 1.28% | 1.31% | 1.33% | 1.37% | 1.43% |
Expenses net of all reductions | 1.29%A | 1.27% | 1.29% | 1.32% | 1.35% | 1.41% |
Net investment income (loss) | .49%A | .58% | .55% | 1.18% | .98% | .83% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 44,204 | $ 47,048 | $ 38,972 | $ 26,714 | $ 20,831 | $ 11,096 |
Portfolio turnover rateG | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the sales charges.
E Calculated based on average shares outstanding during the period.
F Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
H 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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
I Amount represents less than $.01 per share.
J Total distributions of $.27 per share is comprised of distributions from net investment income of $.167 and distributions from net realized gain of $.107 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class T
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.52 | $ 26.04 | $ 23.32 | $ 21.96 | $ 21.81 | $ 19.56 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) E | .03 | .08 | .07 | .21 | .17 | .13 |
Net realized and unrealized gain (loss) | .27 | .49 | 3.12 | 1.41 | .22 | 2.42 |
Total from investment operations | .30 | .57 | 3.19 | 1.62 | .39 | 2.55 |
Distributions from net investment income | - | (.02) | (.18) | (.17) | (.13) | (.23) |
Distributions from net realized gain | (1.65) | (2.07) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.65) | (2.09) | (.47) | (.26) | (.24) | (.30)J |
Redemption fees added to paid in capital E, I | - | - | - | - | - | - |
Net asset value, end of period | $ 23.17 | $ 24.52 | $ 26.04 | $ 23.32 | $ 21.96 | $ 21.81 |
Total ReturnB, C, D | 1.39% | 2.40% | 13.94% | 7.46% | 1.80% | 13.17% |
Ratios to Average Net Assets F, H |
|
|
|
|
| |
Expenses before reductions | 1.57%A | 1.55% | 1.57% | 1.58% | 1.59% | 1.62% |
Expenses net of fee waivers, if any | 1.57%A | 1.55% | 1.57% | 1.58% | 1.59% | 1.62% |
Expenses net of all reductions | 1.56%A | 1.55% | 1.55% | 1.57% | 1.58% | 1.60% |
Net investment income (loss) | .22%A | .31% | .28% | .94% | .75% | .64% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 17,790 | $ 17,662 | $ 14,650 | $ 13,654 | $ 10,357 | $ 5,345 |
Portfolio turnover rateG | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the sales charges.
E Calculated based on average shares outstanding during the period.
F Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
H 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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
I Amount represents less than $.01 per share.
J Total distributions of $.30 per share is comprised of distributions from net investment income of $.226 and distributions from net realized gain of $.075 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class B
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.43 | $ 25.94 | $ 23.22 | $ 21.80 | $ 21.68 | $ 19.48 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) E | (.03) | (.05) | (.06) | .09 | .04 | .02 |
Net realized and unrealized gain (loss) | .26 | .49 | 3.11 | 1.41 | .23 | 2.41 |
Total from investment operations | .23 | .44 | 3.05 | 1.50 | .27 | 2.43 |
Distributions from net investment income | - | - | (.04) | - | (.04) | (.16) |
Distributions from net realized gain | (1.48) | (1.95) | (.29) | (.08) | (.11) | (.08) |
Total distributions | (1.48) | (1.95) | (.33) | (.08) | (.15) | (.23)J |
Redemption fees added to paid in capital E, I | - | - | - | - | - | - |
Net asset value, end of period | $ 23.18 | $ 24.43 | $ 25.94 | $ 23.22 | $ 21.80 | $ 21.68 |
Total ReturnB, C, D | 1.09% | 1.90% | 13.30% | 6.92% | 1.24% | 12.58% |
Ratios to Average Net Assets F, H |
|
|
|
|
| |
Expenses before reductions | 2.07%A | 2.07% | 2.10% | 2.12% | 2.15% | 2.18% |
Expenses net of fee waivers, if any | 2.07%A | 2.07% | 2.10% | 2.12% | 2.15% | 2.18% |
Expenses net of all reductions | 2.06%A | 2.07% | 2.08% | 2.11% | 2.13% | 2.16% |
Net investment income (loss) | (.28)%A | (.21)% | (.24)% | .39% | .20% | .08% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 1,628 | $ 2,025 | $ 2,325 | $ 2,426 | $ 2,392 | $ 2,199 |
Portfolio turnover rateG | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the contingent deferred sales charge.
E Calculated based on average shares outstanding during the period.
F Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
H 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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
I Amount represents less than $.01 per share.
J Total distributions of $.23 per share is comprised of distributions from net investment income of $.158 and distributions from net realized gain of $.075 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Class C
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.17 | $ 25.76 | $ 23.09 | $ 21.73 | $ 21.65 | $ 19.49 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) E | (.04) | (.05) | (.06) | .09 | .05 | .03 |
Net realized and unrealized gain (loss) | .26 | .49 | 3.08 | 1.41 | .22 | 2.40 |
Total from investment operations | .22 | .44 | 3.02 | 1.50 | .27 | 2.43 |
Distributions from net investment income | - | - | (.06) | (.05) | (.08) | (.20) |
Distributions from net realized gain | (1.52) | (2.03) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.52) | (2.03) | (.35) | (.14) | (.19) | (.27)J |
Redemption fees added to paid in capital E, I | - | - | - | - | - | - |
Net asset value, end of period | $ 22.87 | $ 24.17 | $ 25.76 | $ 23.09 | $ 21.73 | $ 21.65 |
Total ReturnB, C, D | 1.07% | 1.89% | 13.27% | 6.94% | 1.24% | 12.58% |
Ratios to Average Net Assets F, H |
|
|
|
|
| |
Expenses before reductions | 2.10%A | 2.08% | 2.12% | 2.13% | 2.13% | 2.12% |
Expenses net of fee waivers, if any | 2.10%A | 2.08% | 2.12% | 2.13% | 2.13% | 2.12% |
Expenses net of all reductions | 2.10%A | 2.07% | 2.10% | 2.12% | 2.11% | 2.10% |
Net investment income (loss) | (.32)%A | (.22)% | (.26)% | .39% | .21% | .14% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 29,367 | $ 29,809 | $ 20,997 | $ 13,797 | $ 9,598 | $ 5,463 |
Portfolio turnover rateG | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the contingent deferred sales charge.
E Calculated based on average shares outstanding during the period.
F Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
H 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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
I Amount represents less than $.01 per share.
J Total distributions of $.27 per share is comprised of distributions from net investment income of $.196 and distributions from net realized gain of $.075 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Global Balanced
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.87 | $ 26.38 | $ 23.62 | $ 22.18 | $ 21.99 | $ 19.62 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) D | .09 | .22 | .21 | .33 | .29 | .24 |
Net realized and unrealized gain (loss) | .27 | .50 | 3.14 | 1.44 | .22 | 2.43 |
Total from investment operations | .36 | .72 | 3.35 | 1.77 | .51 | 2.67 |
Distributions from net investment income | (.08) | (.16) | (.30) | (.24) | (.21) | (.23) |
Distributions from net realized gain | (1.70) | (2.07) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.77)J | (2.23) | (.59) | (.33) | (.32) | (.30)I |
Redemption fees added to paid in capital D, H | - | - | - | - | - | - |
Net asset value, end of period | $ 23.46 | $ 24.87 | $ 26.38 | $ 23.62 | $ 22.18 | $ 21.99 |
Total ReturnB, C | 1.67% | 3.00% | 14.52% | 8.11% | 2.34% | 13.76% |
Ratios to Average Net Assets E, G |
|
|
|
|
| |
Expenses before reductions | 1.01%A | .99% | 1.02% | 1.03% | 1.05% | 1.11% |
Expenses net of fee waivers, if any | 1.01%A | .99% | 1.02% | 1.03% | 1.05% | 1.10% |
Expenses net of all reductions | 1.00%A | .99% | 1.00% | 1.02% | 1.04% | 1.08% |
Net investment income (loss) | .78%A | .87% | .84% | 1.48% | 1.29% | 1.16% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 504,278 | $ 554,896 | $ 540,412 | $ 468,758 | $ 520,753 | $ 542,319 |
Portfolio turnover rateF | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Calculated based on average shares outstanding during the period.
E Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
F Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
H Amount represents less than $.01 per share.
I Total distributions of $.30 per share is comprised of distributions from net investment income of $.229 and distributions from net realized gain of $.075 per share.
J Total distributions of $1.77 per share is comprised of distributions from net investment income of $.075 and distributions from net realized gain of $1.697 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Financial Highlights - Institutional Class
| Six months ended April 30, 2015 | Years ended October 31, | ||||
| (Unaudited) | 2014 | 2013 | 2012 | 2011 | 2010 |
Selected Per-Share Data |
|
|
|
|
|
|
Net asset value, beginning of period | $ 24.80 | $ 26.33 | $ 23.58 | $ 22.16 | $ 21.99 | $ 19.64 |
Income from Investment Operations |
|
|
|
|
|
|
Net investment income (loss) D | .09 | .21 | .20 | .33 | .28 | .23 |
Net realized and unrealized gain (loss) | .27 | .49 | 3.14 | 1.43 | .21 | 2.44 |
Total from investment operations | .36 | .70 | 3.34 | 1.76 | .49 | 2.67 |
Distributions from net investment income | (.07) | (.17) | (.30) | (.25) | (.21) | (.25) |
Distributions from net realized gain | (1.70) | (2.07) | (.29) | (.09) | (.11) | (.08) |
Total distributions | (1.77) | (2.23)J | (.59) | (.34) | (.32) | (.32)I |
Redemption fees added to paid in capital D,H | - | - | - | - | - | - |
Net asset value, end of period | $ 23.39 | $ 24.80 | $ 26.33 | $ 23.58 | $ 22.16 | $ 21.99 |
Total ReturnB, C | 1.66% | 2.95% | 14.50% | 8.10% | 2.25% | 13.75% |
Ratios to Average Net Assets E, G |
|
|
|
|
| |
Expenses before reductions | 1.03%A | 1.02% | 1.03% | 1.04% | 1.11% | 1.14% |
Expenses net of fee waivers, if any | 1.03%A | 1.02% | 1.03% | 1.04% | 1.11% | 1.14% |
Expenses net of all reductions | 1.03%A | 1.02% | 1.01% | 1.03% | 1.10% | 1.12% |
Net investment income (loss) | .75%A | .84% | .83% | 1.48% | 1.23% | 1.12% |
Supplemental Data |
|
|
|
|
|
|
Net assets, end of period (000 omitted) | $ 5,615 | $ 6,537 | $ 3,183 | $ 1,966 | $ 1,149 | $ 541 |
Portfolio turnover rateF | 141% A | 157% | 181% | 157% | 197% | 178% |
A Annualized
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Calculated based on average shares outstanding during the period.
E Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds. Based on their most recent shareholder report date, the expenses of any underlying non-money market Fidelity Central Funds ranged from less than .01% to .01%.
F Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
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 reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from brokerage service arrangements or other expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
H Amount represents less than $.01 per share.
I Total distributions of $.32 per share is comprised of distributions from net investment income of $.248 and distributions from net realized gain of $.075 per share.
J Total distributions of $2.23 per share is comprised of distributions from net investment income of $.167 and distributions from net realized gain of $2.065 per share.
See accompanying notes which are an integral part of the financial statements.
Semiannual Report
Notes to Financial Statements
For the period ended April 30, 2015 (Unaudited)
1. Organization.
Fidelity® Global Balanced Fund (the Fund) is a fund of Fidelity Charles Street Trust (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 C, Global Balanced and Institutional Class shares, each of which, along with Class B shares, has equal rights as to assets and voting privileges. Class B shares are closed to new accounts and additional purchases, except for exchanges and reinvestments. 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.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
Based on its investment objective, each Fidelity Central Fund may invest or participate in various investment vehicles or strategies that are similar to those of the Fund. These strategies are consistent with the investment objectives of the Fund and may involve certain economic risks which may cause a decline in value of each of the Fidelity Central Funds and thus a decline in the value of the Fund. The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .01%. The following summarizes the Fund's investment in each non-money market Fidelity Central Fund.
Semiannual Report
2. Investments in Fidelity Central Funds - continued
Fidelity | Investment Manager | Investment | Investment | Expense Ratio* |
Fidelity Emerging Markets Debt Central Fund | FMR Co., Inc. (FMRC) | Seeks high total return by normally investing in debt securities of issuers in emerging markets and other debt investments that are tied economically to emerging markets. | Foreign Securities Loans & Direct Debt Instruments Restricted Securities
| .01% |
Fidelity High Income Central Fund 1 | FMRC | Seeks a high level of income and may also seek capital appreciation by investing primarily in debt securities, preferred stocks, and convertible securities, with an emphasis on lower-quality debt securities. | Delayed Delivery & When Issued Securities Loans & Direct Debt Instruments Restricted Securities Swaps | Less than .01% |
* Expenses expressed as a percentage of average net assets and are as of each underlying Central Fund's most recent annual or semi-annual
shareholder report.
An unaudited holdings listing for the Fund, which presents direct holdings as well as the pro-rata share of any securities and other investments held indirectly through each Fund's investment in underlying non-money market Fidelity Central Funds, is available at fidelity.com and/or advisor.fidelity.com, as applicable. A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds which contain the significant accounting policies (including investment valuation policies) of those funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
3. Significant Accounting Policies - continued
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fidelity Management & Research Company (FMR) Fair Value Committee (the Committee). In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events, changes in interest rates and credit quality. The frequency with which these procedures are used cannot be predicted and they may be utilized to a significant extent. The Committee oversees the Fund's valuation policies and procedures and reports to the Board on the Committee's activities and fair value determinations. The Board monitors the appropriateness of the procedures used in valuing the Fund's investments and ratifies the fair value determinations of the Committee.
The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels as shown below:
Level 1 - quoted prices in active markets for identical investments
Level 2 - other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, etc.)
Level 3 - unobservable inputs (including the Fund's own assumptions based on the best information available)
Valuation techniques used to value the Fund's investments by major category are as follows:
Equity securities, including restricted securities, for which market quotations are readily available, are valued at the last reported sale price or official closing price as reported by a third party pricing vendor on the primary market or exchange on which they are traded and are categorized as Level 1 in the hierarchy. In the event there were no sales during the day or closing prices are not available, securities are valued at the last quoted bid price or may be valued using the last available price and are generally categorized as Level 2 in the hierarchy. For foreign equity securities, when market or security specific events arise, comparisons to the valuation of American Depositary Receipts (ADRs), futures contracts, Exchange-Traded Funds (ETFs) and certain indexes as well as quoted prices for similar securities may be used and would be categorized as Level 2 in the hierarchy. Utilizing these techniques may result in transfers between Level 1 and Level 2.
Semiannual Report
3. Significant Accounting Policies - continued
Investment Valuation - continued
For equity securities, including restricted securities, where observable inputs are limited, assumptions about market activity and risk are used and these securities may be categorized as Level 3 in the hierarchy.
Debt securities, including restricted securities, are valued based on evaluated prices received from third party pricing vendors or from brokers who make markets in such securities. Corporate bonds, foreign government and government agency obligations, preferred securities, supranational obligations and U.S. government and government agency obligations are valued by pricing vendors who utilize matrix pricing which considers yield or price of bonds of comparable quality, coupon, maturity and type or by broker-supplied prices. Asset backed securities, collateralized mortgage obligations and commercial mortgage securities are valued by pricing vendors who utilize matrix pricing which considers prepayment speed assumptions, attributes of the collateral, yield or price of bonds of comparable quality, coupon, maturity and type or by broker-supplied prices. When independent prices are unavailable or unreliable, debt securities may be valued utilizing pricing methodologies which consider similar factors that would be used by third party pricing vendors. Debt securities are generally categorized as Level 2 in the hierarchy but may be Level 3 depending on the circumstances.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level, as of April 30, 2015, including information on transfers between Levels 1 and 2, is included at the end of the Fund's Schedule of Investments.
Foreign Currency. The Fund may use foreign currency contracts to facilitate transactions in foreign-denominated securities. Gains and 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 rates 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.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
3. Significant Accounting Policies - continued
Investment Transactions and Income. For financial reporting purposes, the Fund's investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day. Gains and losses on securities sold are determined on the basis of identified cost and 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. Income and capital gain distributions from Fidelity Central Funds, if any, are recorded on the ex-dividend date. 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. Subsequent to ex-dividend date the Fund determines the components of these distributions, based upon receipt of tax filings or other correspondence relating to the underlying investment. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable. The principal amount on inflation-indexed securities is periodically adjusted to the rate of inflation and interest is accrued based on the principal amount. The adjustments to principal due to inflation are reflected as increases or decreases to Interest in the accompanying Statement of Operations. Investment income is recorded net of foreign taxes withheld where recovery of such taxes is uncertain.
Class Allocations and Expenses. Investment income, realized and unrealized capital gains and losses, common expenses of the Fund, and certain fund-level expense reductions, if any, are allocated daily 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 may also differ by class. For the reporting period, the allocated portion of income and expenses to each class as a percent of its average net assets may vary due to the timing of recording these transactions in relation to fluctuating net assets of the classes. Expenses directly attributable to a fund are charged to that fund. Expenses attributable to more than one fund are allocated among the respective funds on the basis of relative net assets or other appropriate methods. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Semiannual Report
3. Significant Accounting Policies - continued
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code, including distributing substantially all of its taxable income and realized gains. As a result, no provision for U.S. Federal income taxes is required. The Fund files a U.S. federal tax return, in addition to state and local tax returns as required. The Fund's federal income tax returns are subject to examination by the Internal Revenue Service (IRS) for a period of three fiscal years after they are filed. State and local tax returns may be subject to examination for an additional fiscal year depending on the jurisdiction. 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 declared and 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 GAAP.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Capital accounts are not adjusted for temporary book-tax differences which will reverse in a subsequent period.
Book-tax differences are primarily due to the short-term gain distributions from the Fidelity Central Funds, foreign currency transactions, passive foreign investment companies (PFIC), market discount, partnerships (including allocations from Fidelity Central Funds), deferred trustees compensation and losses deferred due to wash sales.
The federal tax cost of investment securities and unrealized appreciation (depreciation) as of period end were as follows:
Gross unrealized appreciation | $ 56,908,628 |
Gross unrealized depreciation | (20,740,825) |
Net unrealized appreciation (depreciation) on securities | $ 36,167,803 |
|
|
Tax cost | $ 571,573,750 |
Short-Term Trading (Redemption) Fees. Shares held by investors in the Fund less than 30 days may have been subject to a redemption fee equal to 1.00% of the NAV of shares redeemed. All redemption fees, which reduce the proceeds of the shareholder redemption, are retained by the Fund and accounted for as an addition to paid in capital.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
3. Significant Accounting Policies - continued
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.
New Accounting Pronouncement. In June 2014, the Financial Accounting Standards Board issued Accounting Standard Update No. 2014-11, Repurchase-to-Maturity Transactions, Repurchase Financings, and Disclosures (the Update). The Update amends the accounting for certain repurchase agreements and expands disclosure requirements for reverse repurchase agreements, securities lending and other similar transactions. The disclosure requirements are effective for annual and interim reporting periods beginning after December 15, 2014. Management is currently evaluating the impact of the Update on the Fund's financial statements and related disclosures.
4. Purchases and Sales of Investments.
Purchases and sales of securities, including the Equity and Fixed-Income Central Funds, other than short-term securities and U.S. government securities, aggregated $406,882,191 and $460,877,362, respectively.
5. Fees and Other Transactions with Affiliates.
Management Fee. Fidelity Management & Research Company (the investment adviser) 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 .45% of the Fund's average net assets and an annualized group fee rate that averaged .25% during the period. The group fee rate is based upon the average net assets of all the mutual funds advised by the investment adviser, including any mutual funds previously advised by the investment adviser that are currently advised by Fidelity SelectCo, LLC, an affiliate of the investment adviser. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the reporting period, the total annualized management fee rate was .70% of the Fund's average net assets.
Semiannual Report
5. Fees and Other Transactions with Affiliates - continued
Distribution and Service Plan Fees. 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 the investment adviser, 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, total fees and amounts retained by FDC were as follows:
| Distribution | Service | Total Fees | Retained |
Class A | -% | .25% | $ 56,466 | $ 4,241 |
Class T | .25% | .25% | 44,348 | 1,213 |
Class B | .75% | .25% | 9,053 | 6,837 |
Class C | .75% | .25% | 146,875 | 39,084 |
|
|
| $ 256,742 | $ 51,375 |
Sales Load. FDC may receive 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. Depending on the holding period, FDC may receive contingent deferred sales charges levied on Class A, Class T, Class B, and Class C redemptions. The deferred sales charges range from 5.00% to 1.00% for Class B shares, 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class T shares.
For the period, sales charge amounts retained by FDC were as follows:
| Retained |
Class A | $ 11,643 |
Class T | 3,564 |
Class B* | 600 |
Class C* | 2,569 |
| $ 18,376 |
* When Class B Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
5. Fees and Other Transactions with Affiliates - continued
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of the investment adviser, 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, transfer agent fees for each class were as follows:
| Amount | % of |
Class A | $ 48,242 | .21 |
Class T | 21,058 | .24 |
Class B | 2,130 | .24 |
Class C | 39,695 | .27 |
Global Balanced | 467,031 | .18 |
Institutional Class | 6,028 | .20 |
| $ 584,184 |
|
* Annualized
Accounting and Security Lending Fees. Fidelity Service Company, Inc. (FSC), an affiliate of the investment adviser, maintains the Fund's accounting records. The accounting fee is based on the level of average net assets for each 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.
Brokerage Commissions. The Fund placed a portion of its portfolio transactions with brokerage firms which are affiliates of the investment adviser. Brokerage commissions are included in net realized gain (loss) and change in net unrealized appreciation (depreciation) in the Statement of Operations. The commissions paid to these affiliated firms were $3,757 for the period.
6. Committed Line of Credit.
The Fund participates with other funds managed by the investment adviser or an affiliate in a $4.25 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, which amounted to $500 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
Semiannual Report
7. Security Lending.
The Fund lends portfolio securities through a lending agent from time to time in order to earn additional income. For equity securities, a lending agent is used and may loan securities to certain qualified borrowers, including Fidelity Capital Markets (FCM), a broker-dealer affiliated with the Fund. On the settlement date of the loan, 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, the Fund may apply collateral received from the borrower against the obligation. The Fund may experience delays and costs in recovering the securities loaned. Any cash collateral received 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. Security lending income represents the income earned on investing cash collateral, less rebates paid to borrowers and any lending agent fees associated with the loan, plus any premium payments received for lending certain types of securities. Security lending income is presented in the Statement of Operations as a component of income from Fidelity Central Funds. Total security lending income during the period amounted to $23,580. During the period, there were no securities loaned to FCM.
8. Expense Reductions.
Commissions paid to certain brokers with whom the investment adviser, or its affiliates, places trades on behalf of the Fund include an amount in addition to trade execution, which may be rebated back to the Fund to offset certain expenses. This amount totaled $15,041 for the period.
In addition, the investment adviser reimbursed a portion of the Fund's operating expenses, including certain Global Balanced expenses during the period in the amount of $1,211.
Semiannual Report
Notes to Financial Statements (Unaudited) - continued
9. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended | Year ended | |
From net investment income |
|
|
Class A | $ 21,068 | $ 152,819 |
Class T | - | 11,268 |
Global Balanced | 1,632,478 | 3,316,756 |
Institutional Class | 18,583 | 22,894 |
Total | $ 1,672,129 | $ 3,503,737 |
From net realized gain |
|
|
Class A | $ 3,250,151 | $ 3,093,845 |
Class T | 1,204,951 | 1,163,373 |
Class B | 119,044 | 180,282 |
Class C | 1,878,431 | 1,920,811 |
Global Balanced | 36,937,336 | 42,540,993 |
Institutional Class | 426,152 | 283,096 |
Total | $ 43,816,065 | $ 49,182,400 |
10. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between funds:
| Shares | Dollars | ||
Six months ended April 30, | Year ended | Six months ended April 30, | Year ended | |
Class A |
|
|
|
|
Shares sold | 188,241 | 636,858 | $ 4,414,032 | $ 15,926,414 |
Reinvestment of distributions | 138,033 | 126,868 | 3,123,694 | 3,032,156 |
Shares redeemed | (335,104) | (343,862) | (7,754,611) | (8,612,014) |
Net increase (decrease) | (8,830) | 419,864 | $ (216,885) | $ 10,346,556 |
Class T |
|
|
|
|
Shares sold | 75,862 | 243,034 | $ 1,773,776 | $ 6,062,322 |
Reinvestment of distributions | 52,572 | 45,887 | 1,186,019 | 1,093,477 |
Shares redeemed | (80,784) | (131,285) | (1,864,493) | (3,273,584) |
Net increase (decrease) | 47,650 | 157,636 | $ 1,095,302 | $ 3,882,215 |
Class B |
|
|
|
|
Shares sold | 1,153 | 9,864 | $ 26,724 | $ 248,678 |
Reinvestment of distributions | 5,016 | 6,875 | 113,421 | 163,899 |
Shares redeemed | (18,846) | (23,467) | (433,739) | (580,083) |
Net increase (decrease) | (12,677) | (6,728) | $ (293,594) | $ (167,506) |
Semiannual Report
10. Share Transactions - continued
| Shares | Dollars | ||
Six months ended April 30, | Year ended | Six months ended April 30, | Year ended | |
Class C |
|
|
|
|
Shares sold | 153,266 | 684,092 | $ 3,532,565 | $ 16,931,953 |
Reinvestment of distributions | 76,970 | 75,134 | 1,717,971 | 1,772,408 |
Shares redeemed | (179,890) | (340,818) | (4,133,939) | (8,322,676) |
Net increase (decrease) | 50,346 | 418,408 | $ 1,116,597 | $ 10,381,685 |
Global Balanced |
|
|
|
|
Shares sold | 1,306,011 | 5,401,197 | $ 30,615,716 | $ 136,284,595 |
Reinvestment of distributions | 1,612,167 | 1,818,963 | 36,741,286 | 43,746,063 |
Shares redeemed | (3,733,858) | (5,392,045) | (87,556,014) | (135,719,200) |
Net increase (decrease) | (815,680) | 1,828,115 | $ (20,199,012) | $ 44,311,458 |
Institutional Class |
|
|
|
|
Shares sold | 39,439 | 174,398 | $ 921,426 | $ 4,401,096 |
Reinvestment of distributions | 15,294 | 11,057 | 347,634 | 265,261 |
Shares redeemed | (78,199) | (42,801) | (1,837,866) | (1,072,645) |
Net increase (decrease) | (23,466) | 142,654 | $ (568,806) | $ 3,593,712 |
11. 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
Investment Adviser
Fidelity Management & Research Company
Boston, MA
Investment Sub-Advisers
FMR Co., Inc.
FIL Investments (Japan) Limited
FIL Investment Advisors
FIL Investment Advisors (U.K.) Limited
FMR Investment Management
(U.K.) Limited
Fidelity Management & Research
(Japan) Limited
Fidelity Management & Research
(Hong Kong) Limited
General Distributor
Fidelity Distributors Corporation
Smithfield, RI
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
(Fidelity Investment logo)(registered trademark)
AGBLI-USAN-0615 1.883458.106
Item 2. Code of Ethics
Not applicable.
Item 3. Audit Committee Financial Expert
Not applicable.
Item 4. Principal Accountant Fees and Services
Not applicable.
Item 5. Audit Committee of Listed Registrants
Not applicable.
Item 6. Investments
(a) Not applicable.
(b) Not applicable
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies
Not applicable.
Item 8. Portfolio Managers of Closed-End Management Investment Companies
Not applicable.
Item 9. Purchase of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers
Not applicable.
Item 10. Submission of Matters to a Vote of Security Holders
There were no material changes to the procedures by which shareholders may recommend nominees to the Fidelity Charles Street Trust'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 Charles Street Trust'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 Charles Street Trust
By: | /s/Stephanie J. Dorsey |
| Stephanie J. Dorsey |
| President and Treasurer |
|
|
Date: | June 26, 2015 |
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/Stephanie J. Dorsey |
| Stephanie J. Dorsey |
| President and Treasurer |
|
|
Date: | June 26, 2015 |
By: | /s/Howard J. Galligan III |
| Howard J. Galligan III |
| Chief Financial Officer |
|
|
Date: | June 26, 2015 |