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 811-3785
Fidelity Advisor Series I
(Exact name of registrant as specified in charter)
245 Summer St., Boston, MA 02210
(Address of principal executive offices) (Zip code)
Marc Bryant, Secretary
245 Summer St.
Boston, Massachusetts 02210
(Name and address of agent for service)
Registrant's telephone number, including area code:
617-563-7000
Date of fiscal year end: | November 30 |
Date of reporting period: | May 31, 2018 |
This report on Form N-CSR relates solely to the Registrant’s Fidelity Advisor Dividend Growth Fund, Fidelity Advisor Equity Growth Fund, Fidelity Advisor Equity Income Fund, Fidelity Advisor Equity Value Fund, Fidelity Advisor Growth & Income Fund, Fidelity Advisor Growth Opportunities Fund, Fidelity Advisor Large Cap Fund, Fidelity Advisor Series Equity Growth Fund, Fidelity Advisor Series Growth Opportunities Fund, Fidelity Advisor Series Small Cap Fund, Fidelity Advisor Small Cap Fund, Fidelity Advisor Stock Selector Mid Cap Fund, and Fidelity Advisor Value Strategies Fund series (each, a “Fund” and collectively, the “Funds”).
Item 1.
Reports to Stockholders
Fidelity Advisor® Dividend Growth Fund Semi-Annual Report May 31, 2018 |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-877-208-0098 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. © 2018 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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Apple, Inc. | 4.6 |
Exxon Mobil Corp. | 3.5 |
Comcast Corp. Class A | 3.2 |
Berkshire Hathaway, Inc. Class B | 3.0 |
Altria Group, Inc. | 2.6 |
Chevron Corp. | 2.5 |
Verizon Communications, Inc. | 2.2 |
Amgen, Inc. | 2.0 |
JPMorgan Chase & Co. | 1.9 |
Bank of America Corp. | 1.9 |
27.4 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Information Technology | 15.2 |
Financials | 15.0 |
Consumer Discretionary | 14.7 |
Industrials | 13.8 |
Health Care | 12.6 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018* | ||
Stocks | 98.9% | |
Short-Term Investments and Net Other Assets (Liabilities) | 1.1% |
* Foreign investments - 5.2%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 98.9% | |||
Shares | Value (000s) | ||
CONSUMER DISCRETIONARY - 14.7% | |||
Auto Components - 2.0% | |||
BorgWarner, Inc. | 96,100 | $4,688 | |
Delphi Technologies PLC | 21,300 | 1,067 | |
Gentex Corp. | 306,500 | 7,365 | |
Lear Corp. | 28,900 | 5,722 | |
Tenneco, Inc. | 40,700 | 1,798 | |
20,640 | |||
Automobiles - 0.2% | |||
Thor Industries, Inc. | 23,800 | 2,204 | |
Diversified Consumer Services - 0.6% | |||
Graham Holdings Co. | 1,255 | 729 | |
H&R Block, Inc. | 179,100 | 4,916 | |
5,645 | |||
Household Durables - 1.0% | |||
D.R. Horton, Inc. | 92,600 | 3,909 | |
Lennar Corp.: | |||
Class A | 79,200 | 4,098 | |
Class B | 1,908 | 79 | |
Tupperware Brands Corp. | 58,300 | 2,458 | |
10,544 | |||
Internet & Direct Marketing Retail - 0.2% | |||
Liberty Interactive Corp. QVC Group Series A (a) | 111,300 | 2,263 | |
Leisure Products - 0.2% | |||
Brunswick Corp. | 38,600 | 2,455 | |
Media - 8.6% | |||
AMC Networks, Inc. Class A (a) | 26,600 | 1,521 | |
CBS Corp. Class B | 69,400 | 3,496 | |
Charter Communications, Inc. Class A (a) | 13,300�� | 3,472 | |
Cinemark Holdings, Inc. | 106,900 | 3,610 | |
Comcast Corp. Class A | 1,035,050 | 32,273 | |
Discovery Communications, Inc. Class A (a) | 86,300 | 1,820 | |
Entercom Communications Corp. Class A | 111,756 | 766 | |
GCI Liberty, Inc. (a) | 12,100 | 506 | |
Interpublic Group of Companies, Inc. | 143,700 | 3,248 | |
Liberty Global PLC Class A (a) | 158,300 | 4,513 | |
Liberty Media Corp. Liberty Media Class A (a) | 56,700 | 1,716 | |
Omnicom Group, Inc. | 27,300 | 1,968 | |
The Walt Disney Co. | 135,500 | 13,478 | |
Time Warner, Inc. | 57,300 | 5,395 | |
Twenty-First Century Fox, Inc. Class A | 182,100 | 7,020 | |
Viacom, Inc. Class B (non-vtg.) | 75,100 | 2,035 | |
86,837 | |||
Multiline Retail - 0.4% | |||
Dollar General Corp. | 34,400 | 3,009 | |
Target Corp. | 7,400 | 539 | |
3,548 | |||
Specialty Retail - 1.2% | |||
Gap, Inc. | 43,100 | 1,206 | |
Lowe's Companies, Inc. | 57,500 | 5,463 | |
Ross Stores, Inc. | 12,700 | 1,002 | |
TJX Companies, Inc. | 45,800 | 4,137 | |
11,808 | |||
Textiles, Apparel & Luxury Goods - 0.3% | |||
Carter's, Inc. | 44 | 5 | |
Hanesbrands, Inc. | 180,800 | 3,296 | |
3,301 | |||
TOTAL CONSUMER DISCRETIONARY | 149,245 | ||
CONSUMER STAPLES - 11.6% | |||
Beverages - 0.8% | |||
PepsiCo, Inc. | 83,200 | 8,341 | |
Food & Staples Retailing - 0.7% | |||
Walgreens Boots Alliance, Inc. | 106,400 | 6,638 | |
Food Products - 3.9% | |||
Campbell Soup Co. (b) | 76,000 | 2,557 | |
ConAgra Foods, Inc. | 114,200 | 4,232 | |
General Mills, Inc. | 134,800 | 5,701 | |
Hostess Brands, Inc. Class A (a) | 39,800 | 542 | |
Ingredion, Inc. | 15,800 | 1,760 | |
Mondelez International, Inc. | 157,600 | 6,189 | |
The Hershey Co. | 50,100 | 4,511 | |
The J.M. Smucker Co. | 15,100 | 1,623 | |
The Kraft Heinz Co. | 170,000 | 9,772 | |
Tyson Foods, Inc. Class A | 34,600 | 2,334 | |
39,221 | |||
Household Products - 2.5% | |||
Energizer Holdings, Inc. | 82,600 | 5,017 | |
Kimberly-Clark Corp. | 84,900 | 8,562 | |
Procter & Gamble Co. | 116,600 | 8,532 | |
Spectrum Brands Holdings, Inc. | 44,300 | 3,530 | |
25,641 | |||
Personal Products - 0.4% | |||
Coty, Inc. Class A | 75,700 | 1,003 | |
Edgewell Personal Care Co. (a) | 57,400 | 2,510 | |
3,513 | |||
Tobacco - 3.3% | |||
Altria Group, Inc. | 483,600 | 26,956 | |
British American Tobacco PLC (United Kingdom) | 73,011 | 3,748 | |
Philip Morris International, Inc. | 37,400 | 2,975 | |
33,679 | |||
TOTAL CONSUMER STAPLES | 117,033 | ||
ENERGY - 6.9% | |||
Oil, Gas & Consumable Fuels - 6.9% | |||
Chevron Corp. | 206,490 | 25,667 | |
Exxon Mobil Corp. | 438,822 | 35,650 | |
Suncor Energy, Inc. | 71,080 | 2,831 | |
Total SA sponsored ADR (b) | 91,643 | 5,558 | |
69,706 | |||
FINANCIALS - 15.0% | |||
Banks - 5.6% | |||
Bank of America Corp. | 662,303 | 19,233 | |
JPMorgan Chase & Co. | 179,793 | 19,240 | |
Wells Fargo & Co. | 347,690 | 18,772 | |
57,245 | |||
Capital Markets - 1.0% | |||
Brighthouse Financial, Inc. | 35,600 | 1,677 | |
Diamond Hill Investment Group, Inc. | 6,900 | 1,352 | |
KKR & Co. LP | 312,700 | 6,951 | |
9,980 | |||
Consumer Finance - 0.0% | |||
Imperial Holdings, Inc. warrants 4/11/19 (a) | 4,481 | 0 | |
Diversified Financial Services - 3.0% | |||
Berkshire Hathaway, Inc. Class B (a) | 156,300 | 29,936 | |
Insurance - 5.4% | |||
Allstate Corp. | 69,400 | 6,488 | |
American International Group, Inc. | 114,000 | 6,018 | |
Chubb Ltd. | 91,200 | 11,919 | |
MetLife, Inc. | 207,100 | 9,525 | |
Prudential Financial, Inc. | 27,500 | 2,663 | |
The Travelers Companies, Inc. | 126,900 | 16,309 | |
Torchmark Corp. | 19,600 | 1,663 | |
54,585 | |||
TOTAL FINANCIALS | 151,746 | ||
HEALTH CARE - 12.6% | |||
Biotechnology - 2.7% | |||
Amgen, Inc. | 108,837 | 19,549 | |
Gilead Sciences, Inc. | 106,600 | 7,185 | |
26,734 | |||
Health Care Providers & Services - 7.1% | |||
AmerisourceBergen Corp. | 63,100 | 5,183 | |
Anthem, Inc. | 59,400 | 13,152 | |
Cardinal Health, Inc. | 126,200 | 6,574 | |
Cigna Corp. | 41,800 | 7,080 | |
CVS Health Corp. | 195,100 | 12,367 | |
Express Scripts Holding Co. (a) | 13,600 | 1,031 | |
HCA Holdings, Inc. | 25,400 | 2,620 | |
McKesson Corp. | 30,700 | 4,358 | |
Patterson Companies, Inc. | 135,100 | 2,826 | |
Quest Diagnostics, Inc. | 57,200 | 6,094 | |
UnitedHealth Group, Inc. | 23,500 | 5,675 | |
Universal Health Services, Inc. Class B | 45,500 | 5,232 | |
72,192 | |||
Pharmaceuticals - 2.8% | |||
GlaxoSmithKline PLC | 159,861 | 3,239 | |
Johnson & Johnson | 69,302 | 8,290 | |
Pfizer, Inc. | 424,900 | 15,267 | |
Sanofi SA | 25,327 | 1,941 | |
28,737 | |||
TOTAL HEALTH CARE | 127,663 | ||
INDUSTRIALS - 13.8% | |||
Aerospace & Defense - 1.2% | |||
General Dynamics Corp. | 6,900 | 1,392 | |
Rockwell Collins, Inc. | 4,900 | 674 | |
United Technologies Corp. | 78,400 | 9,786 | |
11,852 | |||
Air Freight & Logistics - 1.3% | |||
United Parcel Service, Inc. Class B | 116,200 | 13,493 | |
Airlines - 1.8% | |||
Allegiant Travel Co. | 6,897 | 1,044 | |
American Airlines Group, Inc. | 109,600 | 4,772 | |
Delta Air Lines, Inc. | 147,400 | 7,967 | |
Southwest Airlines Co. | 85,800 | 4,383 | |
18,166 | |||
Building Products - 0.2% | |||
Johnson Controls International PLC | 71,900 | 2,413 | |
Commercial Services & Supplies - 0.5% | |||
Deluxe Corp. | 68,074 | 4,530 | |
Stericycle, Inc. (a) | 15,900 | 1,010 | |
5,540 | |||
Construction & Engineering - 0.3% | |||
Fluor Corp. | 32,500 | 1,584 | |
KBR, Inc. | 79,700 | 1,468 | |
3,052 | |||
Electrical Equipment - 0.8% | |||
Acuity Brands, Inc. | 37,200 | 4,399 | |
EnerSys | 19,100 | 1,526 | |
Regal Beloit Corp. | 25,000 | 1,986 | |
7,911 | |||
Industrial Conglomerates - 1.3% | |||
General Electric Co. | 662,100 | 9,322 | |
Honeywell International, Inc. | 29,200 | 4,319 | |
13,641 | |||
Machinery - 2.9% | |||
Allison Transmission Holdings, Inc. | 54,043 | 2,233 | |
Crane Co. | 50,400 | 4,189 | |
Cummins, Inc. | 58,200 | 8,287 | |
PACCAR, Inc. | 128,000 | 7,965 | |
Snap-On, Inc. | 45,200 | 6,681 | |
29,355 | |||
Professional Services - 0.7% | |||
Dun & Bradstreet Corp. | 41,127 | 5,051 | |
Manpower, Inc. | 18,200 | 1,638 | |
6,689 | |||
Road & Rail - 2.8% | |||
Norfolk Southern Corp. | 64,900 | 9,842 | |
Union Pacific Corp. | 128,200 | 18,302 | |
28,144 | |||
TOTAL INDUSTRIALS | 140,256 | ||
INFORMATION TECHNOLOGY - 15.2% | |||
Communications Equipment - 2.0% | |||
Cisco Systems, Inc. | 301,279 | 12,868 | |
Juniper Networks, Inc. | 260,900 | 6,950 | |
19,818 | |||
Electronic Equipment & Components - 0.2% | |||
Avnet, Inc. | 28,200 | 1,075 | |
Jabil, Inc. | 30,600 | 865 | |
1,940 | |||
IT Services - 1.5% | |||
DXC Technology Co. | 42,000 | 3,869 | |
IBM Corp. | 56,200 | 7,942 | |
Leidos Holdings, Inc. | 26,300 | 1,580 | |
The Western Union Co. | 90,600 | 1,802 | |
15,193 | |||
Semiconductors & Semiconductor Equipment - 1.9% | |||
Analog Devices, Inc. | 21,800 | 2,119 | |
Intel Corp. | 203,900 | 11,255 | |
NXP Semiconductors NV (a) | 10,400 | 1,186 | |
Qualcomm, Inc. | 83,078 | 4,828 | |
19,388 | |||
Software - 3.2% | |||
CA Technologies, Inc. | 213,000 | 7,613 | |
Micro Focus International PLC | 112,800 | 1,998 | |
Microsoft Corp. | 60,163 | 5,947 | |
Oracle Corp. | 371,800 | 17,370 | |
32,928 | |||
Technology Hardware, Storage & Peripherals - 6.4% | |||
Apple, Inc. | 252,024 | 47,092 | |
Hewlett Packard Enterprise Co. | 295,900 | 4,510 | |
HP, Inc. | 341,100 | 7,514 | |
NCR Corp. (a) | 16,800 | 506 | |
Seagate Technology LLC | 28,800 | 1,623 | |
Xerox Corp. | 135,700 | 3,688 | |
64,933 | |||
TOTAL INFORMATION TECHNOLOGY | 154,200 | ||
MATERIALS - 3.1% | |||
Chemicals - 2.0% | |||
Huntsman Corp. | 112,900 | 3,609 | |
LyondellBasell Industries NV Class A | 92,000 | 10,315 | |
Monsanto Co. | 10,900 | 1,389 | |
PPG Industries, Inc. | 25,100 | 2,533 | |
The Chemours Co. LLC | 57,700 | 2,827 | |
20,673 | |||
Metals & Mining - 1.1% | |||
Freeport-McMoRan, Inc. | 92,600 | 1,565 | |
Nucor Corp. | 74,300 | 4,769 | |
Steel Dynamics, Inc. | 91,300 | 4,513 | |
10,847 | |||
TOTAL MATERIALS | 31,520 | ||
TELECOMMUNICATION SERVICES - 2.7% | |||
Diversified Telecommunication Services - 2.7% | |||
AT&T, Inc. | 157,000 | 5,074 | |
Verizon Communications, Inc. | 469,100 | 22,362 | |
27,436 | |||
UTILITIES - 3.3% | |||
Electric Utilities - 2.4% | |||
Exelon Corp. | 146,900 | 6,080 | |
NextEra Energy, Inc. | 28,300 | 4,692 | |
PG&E Corp. | 34,100 | 1,478 | |
PPL Corp. | 205,200 | 5,606 | |
Southern Co. | 135,100 | 6,066 | |
23,922 | |||
Independent Power and Renewable Electricity Producers - 0.6% | |||
The AES Corp. | 452,500 | 5,769 | |
Multi-Utilities - 0.3% | |||
Sempra Energy | 34,300 | 3,654 | |
TOTAL UTILITIES | 33,345 | ||
TOTAL COMMON STOCKS | |||
(Cost $929,664) | 1,002,150 | ||
Money Market Funds - 1.1% | |||
Fidelity Cash Central Fund, 1.76% (c) | 8,378,797 | 8,380 | |
Fidelity Securities Lending Cash Central Fund 1.76% (c)(d) | 2,164,704 | 2,165 | |
TOTAL MONEY MARKET FUNDS | |||
(Cost $10,544) | 10,545 | ||
TOTAL INVESTMENT IN SECURITIES - 100.0% | |||
(Cost $940,208) | 1,012,695 | ||
NET OTHER ASSETS (LIABILITIES) - 0.0% | 476 | ||
NET ASSETS - 100% | $1,013,171 |
Values shown as $0 in the Schedule of Investments may reflect amounts less than $500.
Legend
(a) Non-income producing
(b) Security or a portion of the security is on loan at period end.
(c) 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.
(d) Investment made with cash collateral received from securities on loan.
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 |
(Amounts in thousands) | |
Fidelity Cash Central Fund | $480 |
Fidelity Securities Lending Cash Central Fund | 10 |
Total | $490 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
(Amounts in thousands) | ||||
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $149,245 | $149,245 | $-- | $-- |
Consumer Staples | 117,033 | 113,285 | 3,748 | -- |
Energy | 69,706 | 69,706 | -- | -- |
Financials | 151,746 | 151,746 | -- | -- |
Health Care | 127,663 | 122,483 | 5,180 | -- |
Industrials | 140,256 | 140,256 | -- | -- |
Information Technology | 154,200 | 152,202 | 1,998 | -- |
Materials | 31,520 | 31,520 | -- | -- |
Telecommunication Services | 27,436 | 27,436 | -- | -- |
Utilities | 33,345 | 33,345 | -- | -- |
Money Market Funds | 10,545 | 10,545 | -- | -- |
Total Investments in Securities: | $1,012,695 | $1,001,769 | $10,926 | $-- |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | May 31, 2018 (Unaudited) | |
Assets | ||
Investment in securities, at value (including securities loaned of $2,081) — See accompanying schedule: Unaffiliated issuers (cost $929,664) | $1,002,150 | |
Fidelity Central Funds (cost $10,544) | 10,545 | |
Total Investment in Securities (cost $940,208) | $1,012,695 | |
Receivable for investments sold | 23,293 | |
Receivable for fund shares sold | 332 | |
Dividends receivable | 3,479 | |
Distributions receivable from Fidelity Central Funds | 68 | |
Other receivables | 26 | |
Total assets | 1,039,893 | |
Liabilities | ||
Payable to custodian bank | $617 | |
Payable for investments purchased | 22,597 | |
Payable for fund shares redeemed | 469 | |
Accrued management fee | 291 | |
Distribution and service plan fees payable | 341 | |
Other affiliated payables | 193 | |
Other payables and accrued expenses | 49 | |
Collateral on securities loaned | 2,165 | |
Total liabilities | 26,722 | |
Net Assets | $1,013,171 | |
Net Assets consist of: | ||
Paid in capital | $838,365 | |
Undistributed net investment income | 6,235 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 96,084 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 72,487 | |
Net Assets | $1,013,171 | |
Calculation of Maximum Offering Price | ||
Class A: | ||
Net Asset Value and redemption price per share ($352,664 ÷ 20,663.6 shares) | $17.07 | |
Maximum offering price per share (100/94.25 of $17.07) | $18.11 | |
Class M: | ||
Net Asset Value and redemption price per share ($356,367 ÷ 20,988.2 shares) | $16.98 | |
Maximum offering price per share (100/96.50 of $16.98) | $17.60 | |
Class C: | ||
Net Asset Value and offering price per share ($138,755 ÷ 8,599.9 shares)(a) | $16.13 | |
Class I: | ||
Net Asset Value, offering price and redemption price per share ($156,960 ÷ 8,720.6 shares) | $18.00 | |
Class Z: | ||
Net Asset Value, offering price and redemption price per share ($8,425 ÷ 461.1 shares) | $18.27 |
(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.
Statement of Operations
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | |
Investment Income | ||
Dividends | $11,994 | |
Interest | 32 | |
Income from Fidelity Central Funds | 490 | |
Total income | 12,516 | |
Expenses | ||
Management fee | ||
Basic fee | $2,876 | |
Performance adjustment | (1,026) | |
Transfer agent fees | 1,015 | |
Distribution and service plan fees | 2,145 | |
Accounting and security lending fees | 175 | |
Custodian fees and expenses | 25 | |
Independent trustees' fees and expenses | 2 | |
Registration fees | 37 | |
Audit | 35 | |
Legal | 4 | |
Miscellaneous | 5 | |
Total expenses before reductions | 5,293 | |
Expense reductions | (42) | |
Total expenses after reductions | 5,251 | |
Net investment income (loss) | 7,265 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 96,489 | |
Fidelity Central Funds | 2 | |
Foreign currency transactions | 3 | |
Total net realized gain (loss) | 96,494 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers | (109,546) | |
Fidelity Central Funds | (2) | |
Assets and liabilities in foreign currencies | (4) | |
Total change in net unrealized appreciation (depreciation) | (109,552) | |
Net gain (loss) | (13,058) | |
Net increase (decrease) in net assets resulting from operations | $(5,793) |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $7,265 | $12,222 |
Net realized gain (loss) | 96,494 | 158,486 |
Change in net unrealized appreciation (depreciation) | (109,552) | 13,915 |
Net increase (decrease) in net assets resulting from operations | (5,793) | 184,623 |
Distributions to shareholders from net investment income | (12,196) | (10,211) |
Distributions to shareholders from net realized gain | (143,270) | – |
Total distributions | (155,466) | (10,211) |
Share transactions - net increase (decrease) | 87,608 | (73,859) |
Total increase (decrease) in net assets | (73,651) | 100,553 |
Net Assets | ||
Beginning of period | 1,086,822 | 986,269 |
End of period | $1,013,171 | $1,086,822 |
Other Information | ||
Undistributed net investment income end of period | $6,235 | $11,166 |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Dividend Growth Fund Class A
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $20.01 | $16.90 | $17.35 | $19.65 | $17.23 | $13.33 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .14 | .25 | .21 | .20 | .23B | .13 |
Net realized and unrealized gain (loss) | (.18) | 3.07 | .46 | (.34)C | 2.29 | 3.87 |
Total from investment operations | (.04) | 3.32 | .67 | (.14) | 2.52 | 4.00 |
Distributions from net investment income | (.26) | (.21) | (.18) | (.19) | (.09) | (.10) |
Distributions from net realized gain | (2.65) | – | (.94) | (1.96) | (.01) | – |
Total distributions | (2.90)D | (.21) | (1.12) | (2.16)E | (.10) | (.10) |
Net asset value, end of period | $17.07 | $20.01 | $16.90 | $17.35 | $19.65 | $17.23 |
Total ReturnF,G,H | (.56)% | 19.81% | 4.36% | (.41)%C | 14.70% | 30.26% |
Ratios to Average Net AssetsI,J | ||||||
Expenses before reductions | .84%K | .85% | .90% | 1.01% | .94% | .98% |
Expenses net of fee waivers, if any | .84%K | .85% | .90% | 1.00% | .94% | .98% |
Expenses net of all reductions | .83%K | .84% | .90% | 1.00% | .94% | .97% |
Net investment income (loss) | 1.52%K | 1.36% | 1.33% | 1.13% | 1.29%B | .87% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $353 | $376 | $355 | $356 | $386 | $369 |
Portfolio turnover rateL | 111%K | 73% | 31% | 56% | 106% | 70% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.04 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.07%.
C Net realized and unrealized gain (loss) per share reflects proceeds received from litigation which amounted to $.02 per share. Excluding these litigation proceeds, the total return would have been (.51)%.
D Total distributions of $2.90 per share is comprised of distributions from net investment income of $.255 and distributions from net realized gain of $2.648 per share.
E Total distributions of $2.16 per share is comprised of distributions from net investment income of $.193 and distributions from net realized gain of $1.962 per share.
F Total returns for periods of less than one year are not annualized.
G Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
H Total returns do not include the effect of the sales charges.
I 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.
J 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.
K Annualized
L Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Dividend Growth Fund Class M
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $19.90 | $16.81 | $17.25 | $19.55 | $17.15 | $13.26 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .11 | .20 | .17 | .15 | .19B | .10 |
Net realized and unrealized gain (loss) | (.17) | 3.05 | .47 | (.34)C | 2.27 | 3.86 |
Total from investment operations | (.06) | 3.25 | .64 | (.19) | 2.46 | 3.96 |
Distributions from net investment income | (.21) | (.16) | (.14) | (.15) | (.06) | (.07) |
Distributions from net realized gain | (2.65) | – | (.94) | (1.96) | (.01) | – |
Total distributions | (2.86) | (.16) | (1.08) | (2.11) | (.06)D | (.07) |
Net asset value, end of period | $16.98 | $19.90 | $16.81 | $17.25 | $19.55 | $17.15 |
Total ReturnE,F,G | (.70)% | 19.50% | 4.15% | (.67)%C | 14.41% | 30.05% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | 1.09%J | 1.09% | 1.14% | 1.24% | 1.18% | 1.20% |
Expenses net of fee waivers, if any | 1.09%J | 1.09% | 1.14% | 1.24% | 1.18% | 1.20% |
Expenses net of all reductions | 1.08%J | 1.09% | 1.14% | 1.24% | 1.17% | 1.19% |
Net investment income (loss) | 1.27%J | 1.11% | 1.09% | .89% | 1.05%B | .65% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $356 | $374 | $351 | $372 | $412 | $375 |
Portfolio turnover rateK | 111%J | 73% | 31% | 56% | 106% | 70% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.04 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .83%.
C Net realized and unrealized gain (loss) per share reflects proceeds received from litigation which amounted to $.02 per share. Excluding these litigation proceeds, the total return would have been (.77)%.
D Total distributions of $.06 per share is comprised of distributions from net investment income of $.055 and distributions from net realized gain of $.007 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the sales charges.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Dividend Growth Fund Class C
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $19.00 | $16.06 | $16.53 | $18.82 | $16.54 | $12.79 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .06 | .10 | .09 | .06 | .09B | .02 |
Net realized and unrealized gain (loss) | (.17) | 2.92 | .44 | (.32)C | 2.20 | 3.73 |
Total from investment operations | (.11) | 3.02 | .53 | (.26) | 2.29 | 3.75 |
Distributions from net investment income | (.12) | (.08) | (.06) | (.06) | – | – |
Distributions from net realized gain | (2.65) | – | (.94) | (1.96) | (.01) | – |
Total distributions | (2.76)D | (.08) | (1.00) | (2.03)E | (.01) | – |
Net asset value, end of period | $16.13 | $19.00 | $16.06 | $16.53 | $18.82 | $16.54 |
Total ReturnF,G,H | (.99)% | 18.88% | 3.58% | (1.16)%C | 13.83% | 29.36% |
Ratios to Average Net AssetsI,J | ||||||
Expenses before reductions | 1.61%K | 1.61% | 1.66% | 1.76% | 1.69% | 1.72% |
Expenses net of fee waivers, if any | 1.61%K | 1.61% | 1.66% | 1.76% | 1.69% | 1.72% |
Expenses net of all reductions | 1.60%K | 1.61% | 1.66% | 1.76% | 1.69% | 1.71% |
Net investment income (loss) | .75%K | .59% | .57% | .37% | .54%B | .13% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $139 | $160 | $154 | $167 | $179 | $160 |
Portfolio turnover rateL | 111%K | 73% | 31% | 56% | 106% | 70% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.04 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .32%.
C Net realized and unrealized gain (loss) per share reflects proceeds received from litigation which amounted to $.02 per share. Excluding these litigation proceeds, the total return would have been (1.26)%
D Total distributions of $2.76 per share is comprised of distributions from net investment income of $.115 and distributions from net realized gain of $2.648 per share.
E Total distributions of $2.03 per share is comprised of distributions from net investment income of $.064 and distributions from net realized gain of $1.962 per share.
F Total returns for periods of less than one year are not annualized.
G Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
H Total returns do not include the effect of the contingent deferred sales charge.
I 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.
J 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.
K Annualized
L Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Dividend Growth Fund Class I
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $20.97 | $17.70 | $18.12 | $20.42 | $17.91 | $13.86 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .17 | .30 | .26 | .25 | .29B | .18 |
Net realized and unrealized gain (loss) | (.19) | 3.21 | .49 | (.35)C | 2.37 | 4.02 |
Total from investment operations | (.02) | 3.51 | .75 | (.10) | 2.66 | 4.20 |
Distributions from net investment income | (.30) | (.24) | (.22) | (.24) | (.14) | (.15) |
Distributions from net realized gain | (2.65) | – | (.94) | (1.96) | (.01) | – |
Total distributions | (2.95) | (.24) | (1.17)D | (2.20) | (.15) | (.15) |
Net asset value, end of period | $18.00 | $20.97 | $17.70 | $18.12 | $20.42 | $17.91 |
Total ReturnE,F | (.44)% | 20.07% | 4.60% | (.14)%C | 14.99% | 30.63% |
Ratios to Average Net AssetsG,H | ||||||
Expenses before reductions | .60%I | .61% | .67% | .76% | .69% | .70% |
Expenses net of fee waivers, if any | .60%I | .61% | .67% | .76% | .69% | .70% |
Expenses net of all reductions | .59%I | .60% | .66% | .76% | .69% | .69% |
Net investment income (loss) | 1.76%I | 1.59% | 1.57% | 1.37% | 1.54%B | 1.15% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $157 | $170 | $123 | $125 | $131 | $135 |
Portfolio turnover rateJ | 111%I | 73% | 31% | 56% | 106% | 70% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.04 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.32%.
C Net realized and unrealized gain (loss) per share reflects proceeds received from litigation which amounted to $.02 per share. Excluding these litigation proceeds, the total return would have been (.24)%
D Total distributions of $1.17 per share is comprised of distributions from net investment income of $.224 and distributions from net realized gain of $.941 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G 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.
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 Annualized
J Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Dividend Growth Fund Class Z
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 A | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $21.27 | $17.95 | $18.36 | $20.44 | $17.92 | $16.59 |
Income from Investment Operations | ||||||
Net investment income (loss)B | .18 | .34 | .29 | .28 | .31C | .06 |
Net realized and unrealized gain (loss) | (.19) | 3.24 | .50 | (.35)D | 2.38 | 1.27 |
Total from investment operations | (.01) | 3.58 | .79 | (.07) | 2.69 | 1.33 |
Distributions from net investment income | (.34) | (.26) | (.26) | (.05) | (.17) | – |
Distributions from net realized gain | (2.65) | – | (.94) | (1.96) | (.01) | – |
Total distributions | (2.99) | (.26) | (1.20) | (2.01) | (.17)E | – |
Net asset value, end of period | $18.27 | $21.27 | $17.95 | $18.36 | $20.44 | $17.92 |
Total ReturnF,G | (.40)% | 20.21% | 4.80% | (.01)%D | 15.20% | 8.02% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | .45%J | .45% | .49% | .59% | .52% | .54%J |
Expenses net of fee waivers, if any | .45%J | .45% | .49% | .59% | .52% | .54%J |
Expenses net of all reductions | .44%J | .44% | .49% | .59% | .52% | .52%J |
Net investment income (loss) | 1.92%J | 1.76% | 1.74% | 1.54% | 1.71%C | 1.26%J |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $8 | $7 | $2 | $9 | $– | $7 |
Portfolio turnover rateK | 111%J | 73% | 31% | 56% | 106% | 70% |
A For the period August 13, 2013 (commencement of sale of shares) to November 30, 2013.
B Calculated based on average shares outstanding during the period.
C Net Investment income per share reflects a large, non-recurring dividend which amounted to $.04 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.49%.
D Net realized and unrealized gain (loss) per share reflects proceeds received from litigation which amounted to $.02 per share. Excluding these litigation proceeds, the total return would have been (.11)%.
E Total distributions of $.17 per share is comprised of distributions from net investment income of $.166 and distributions from net realized gain of $.007 per share.
F Total returns for periods of less than one year are not annualized.
G Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
H 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.
I 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. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
(Amounts in thousands except percentages)
1. Organization.
Fidelity Advisor Dividend Growth Fund (the Fund) is a fund of Fidelity Advisor Series I (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 M, Class C, Class I and Class Z shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events. 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. For equity securities, including restricted securities, where observable inputs are limited, assumptions about market activity and risk are used and these securities may be categorized as Level 3 in the hierarchy.
Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of May 31, 2018, 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable. Paid in Kind (PIK) income is recorded at the fair market value of the securities received. 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.
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 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 foreign currency transactions, passive foreign investment companies (PFIC), market discount, partnerships, capital loss carryforwards, and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $111,796 |
Gross unrealized depreciation | (40,239) |
Net unrealized appreciation (depreciation) | $71,557 |
Tax cost | $941,138 |
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $556,873 and $557,664, 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 .30% of the Fund's average net assets and an annualized group fee rate that averaged .24% 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. In addition, the management fee is subject to a performance adjustment (up to a maximum of +/- .20% of the Fund's average net assets over a 36 month performance period). The upward or downward adjustment to the management fee is based on the relative investment performance of Class I of the Fund as compared to its benchmark index, the S&P 500 Index, over the same 36 month performance period. For the reporting period, the total annualized management fee rate, including the performance adjustment, was .35% of the Fund's average net assets. The performance adjustment included in the management fee rate may be higher or lower than the maximum performance adjustment rate due to the difference between the average net assets for the reporting and performance periods.
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 Fee | Service Fee | Total Fees | Retained by FDC | |
Class A | -% | .25% | $461 | $8 |
Class M | .25% | .25% | 928 | 9 |
Class C | .75% | .25% | 756 | 40 |
$2,145 | $57 |
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 M 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 M and Class C redemptions. The deferred sales charges are 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class M shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained by FDC | |
Class A | $36 |
Class M | 8 |
Class C(a) | 4 |
$48 |
(a) When Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of 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, except for Class Z. FIIOC receives an asset-based fee of Class Z's average net assets. 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-Level Average Net Assets(a) | |
Class A | $348 | .19 |
Class M | 345 | .19 |
Class C | 156 | .21 |
Class I | 164 | .20 |
Class Z | 2 | .05 |
$1,015 |
(a) 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. For the period, the fees were equivalent to an annualized rate of .03%.
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 $15 for the period.
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
6. 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 $2 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
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. The Fund or borrower may terminate the loan at any time, and 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. At period end, there were no security loans outstanding with FCM. 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 $10, including less than five hundred dollars from 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 $36 for the period.
In addition, during the period the investment adviser reimbursed and/or waived a portion of fund-level operating expenses in the amount of $6.
9. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended May 31, 2018 | Year ended November 30, 2017 | |
From net investment income | ||
Class A | $4,745 | $4,338 |
Class M | 3,921 | 3,360 |
Class C | 960 | 762 |
Class I | 2,448 | 1,715 |
Class Z | 122 | 36 |
Total | $12,196 | $10,211 |
From net realized gain | ||
Class A | $49,237 | $– |
Class M | 49,650 | – |
Class C | 22,110 | – |
Class I | 21,321 | – |
Class Z | 952 | – |
Total | $143,270 | $– |
10. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
Shares | Shares | Dollars | Dollars | |
Six months ended May 31, 2018 | Year ended November 30, 2017 | Six months ended May 31, 2018 | Year ended November 30, 2017 | |
Class A | ||||
Shares sold | 1,409 | 1,978 | $25,153 | $35,475 |
Reinvestment of distributions | 2,930 | 236 | 51,334 | 4,055 |
Shares redeemed | (2,465) | (4,436) | (43,646) | (80,259) |
Net increase (decrease) | 1,874 | (2,222) | $32,841 | $(40,729) |
Class M | ||||
Shares sold | 1,709 | 2,724 | $30,141 | $48,944 |
Reinvestment of distributions | 3,022 | 191 | 52,730 | 3,277 |
Shares redeemed | (2,555) | (5,008) | (44,985) | (90,160) |
Net increase (decrease) | 2,176 | (2,093) | $37,886 | $(37,939) |
Class C | ||||
Shares sold | 383 | 621 | $6,427 | $10,664 |
Reinvestment of distributions | 1,270 | 41 | 21,110 | 674 |
Shares redeemed | (1,455) | (1,840) | (24,577) | (31,830) |
Net increase (decrease) | 198 | (1,178) | $2,960 | $(20,492) |
Class I | ||||
Shares sold | 599 | 2,821 | $11,247 | $53,367 |
Reinvestment of distributions | 1,201 | 89 | 22,163 | 1,608 |
Shares redeemed | (1,178) | (1,786) | (22,005) | (33,740) |
Net increase (decrease) | 622 | 1,124 | $11,405 | $21,235 |
Class Z | ||||
Shares sold | 115 | 343 | $2,255 | $6,879 |
Reinvestment of distributions | 54 | 2 | 1,003 | 36 |
Shares redeemed | (40) | (150) | (742) | (2,849) |
Net increase (decrease) | 129 | 195 | $2,516 | $4,066 |
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.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
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. 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. 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.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Class A | .84% | |||
Actual | $1,000.00 | $994.40 | $4.18 | |
Hypothetical-C | $1,000.00 | $1,020.74 | $4.23 | |
Class M | 1.09% | |||
Actual | $1,000.00 | $993.00 | $5.42 | |
Hypothetical-C | $1,000.00 | $1,019.50 | $5.49 | |
Class C | 1.61% | |||
Actual | $1,000.00 | $990.10 | $7.99 | |
Hypothetical-C | $1,000.00 | $1,016.90 | $8.10 | |
Class I | .60% | |||
Actual | $1,000.00 | $995.60 | $2.99 | |
Hypothetical-C | $1,000.00 | $1,021.94 | $3.02 | |
Class Z | .45% | |||
Actual | $1,000.00 | $996.00 | $2.24 | |
Hypothetical-C | $1,000.00 | $1,022.69 | $2.27 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
ADGF-SANN-0718
1.721239.119
Fidelity Advisor® Equity Growth Fund Semi-Annual Report May 31, 2018 |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-877-208-0098 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. © 2018 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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Alphabet, Inc. Class A | 6.3 |
Microsoft Corp. | 6.1 |
Amazon.com, Inc. | 5.7 |
Home Depot, Inc. | 3.0 |
Charles Schwab Corp. | 3.0 |
Adobe Systems, Inc. | 2.8 |
Visa, Inc. Class A | 2.7 |
Apple, Inc. | 2.7 |
Facebook, Inc. Class A | 2.4 |
Cheniere Energy, Inc. | 1.9 |
36.6 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Information Technology | 42.9 |
Consumer Discretionary | 13.2 |
Financials | 11.2 |
Health Care | 10.3 |
Industrials | 7.4 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018* | ||
Stocks | 98.4% | |
Convertible Securities | 0.7% | |
Short-Term Investments and Net Other Assets (Liabilities) | 0.9% |
* Foreign investments - 11.0%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 98.2% | |||
Shares | Value (000s) | ||
CONSUMER DISCRETIONARY - 13.2% | |||
Diversified Consumer Services - 0.6% | |||
Grand Canyon Education, Inc. (a) | 192,800 | $21,420 | |
Hotels, Restaurants & Leisure - 0.8% | |||
Hilton Worldwide Holdings, Inc. | 177,918 | 14,360 | |
Marriott International, Inc. Class A | 26,600 | 3,601 | |
Wingstop, Inc. | 149,500 | 7,566 | |
25,527 | |||
Household Durables - 0.8% | |||
Panasonic Corp. | 1,834,000 | 24,868 | |
Internet & Direct Marketing Retail - 6.4% | |||
Amazon.com, Inc. (a) | 113,700 | 185,288 | |
The Booking Holdings, Inc. (a) | 10,300 | 21,722 | |
207,010 | |||
Media - 0.8% | |||
Charter Communications, Inc. Class A (a) | 100,000 | 26,104 | |
China Literature Ltd. (a)(b) | 569 | 5 | |
26,109 | |||
Specialty Retail - 3.0% | |||
Home Depot, Inc. | 524,144 | 97,779 | |
Textiles, Apparel & Luxury Goods - 0.8% | |||
Kering SA | 4,500 | 2,576 | |
LVMH Moet Hennessy - Louis Vuitton SA | 65,077 | 22,660 | |
Puma AG | 375 | 228 | |
25,464 | |||
TOTAL CONSUMER DISCRETIONARY | 428,177 | ||
CONSUMER STAPLES - 4.1% | |||
Beverages - 1.2% | |||
Constellation Brands, Inc. Class A (sub. vtg.) | 67,000 | 14,946 | |
Fever-Tree Drinks PLC | 141,635 | 5,656 | |
Kweichow Moutai Co. Ltd. (A Shares) | 82,313 | 9,645 | |
Pernod Ricard SA ADR | 241,700 | 8,127 | |
38,374 | |||
Food Products - 0.3% | |||
McCormick & Co., Inc. (non-vtg.) | 66,800 | 6,747 | |
The Simply Good Foods Co. | 254,700 | 3,375 | |
10,122 | |||
Household Products - 0.5% | |||
Energizer Holdings, Inc. | 292,900 | 17,791 | |
Personal Products - 1.6% | |||
Coty, Inc. Class A | 549,400 | 7,280 | |
Estee Lauder Companies, Inc. Class A | 152,200 | 22,745 | |
Unilever NV (NY Reg.) | 398,600 | 22,230 | |
52,255 | |||
Tobacco - 0.5% | |||
British American Tobacco PLC sponsored ADR | 311,900 | 15,969 | |
TOTAL CONSUMER STAPLES | 134,511 | ||
ENERGY - 3.0% | |||
Energy Equipment & Services - 0.6% | |||
Baker Hughes, a GE Co. Class A | 387,600 | 13,407 | |
Computer Modelling Group Ltd. | 541,600 | 3,989 | |
17,396 | |||
Oil, Gas & Consumable Fuels - 2.4% | |||
Cheniere Energy, Inc. (a) | 941,500 | 62,723 | |
Reliance Industries Ltd. | 1,183,261 | 16,168 | |
78,891 | |||
TOTAL ENERGY | 96,287 | ||
FINANCIALS - 11.0% | |||
Banks - 4.7% | |||
Bank of America Corp. | 1,170,300 | 33,986 | |
First Republic Bank | 252,000 | 25,099 | |
HDFC Bank Ltd. | 68,446 | 2,271 | |
HDFC Bank Ltd. sponsored ADR | 61,200 | 6,513 | |
Huntington Bancshares, Inc. | 1,178,500 | 17,524 | |
JPMorgan Chase & Co. | 532,100 | 56,940 | |
M&T Bank Corp. | 49,900 | 8,587 | |
Metro Bank PLC (a) | 50,300 | 2,223 | |
153,143 | |||
Capital Markets - 6.3% | |||
Cboe Global Markets, Inc. | 28,454 | 2,776 | |
Charles Schwab Corp. | 1,753,300 | 97,519 | |
CME Group, Inc. | 317,654 | 51,746 | |
Goldman Sachs Group, Inc. | 58,400 | 13,191 | |
JMP Group, Inc. | 141,100 | 722 | |
MSCI, Inc. | 137,800 | 22,402 | |
The Blackstone Group LP | 483,200 | 15,429 | |
203,785 | |||
TOTAL FINANCIALS | 356,928 | ||
HEALTH CARE - 10.2% | |||
Biotechnology - 3.3% | |||
Amgen, Inc. | 120,700 | 21,680 | |
Biogen, Inc. (a) | 104,800 | 30,807 | |
Calyxt, Inc. | 161,200 | 3,042 | |
Cytokinetics, Inc. (a) | 169,810 | 1,528 | |
Insmed, Inc. (a) | 741,220 | 20,650 | |
TESARO, Inc. (a) | 108,000 | 4,943 | |
Vertex Pharmaceuticals, Inc. (a) | 162,164 | 24,973 | |
107,623 | |||
Health Care Equipment & Supplies - 4.9% | |||
Becton, Dickinson & Co. | 215,800 | 47,819 | |
Boston Scientific Corp. (a) | 790,100 | 24,011 | |
Danaher Corp. | 226,314 | 22,468 | |
Intuitive Surgical, Inc. (a) | 109,300 | 50,242 | |
ResMed, Inc. | 98,000 | 10,075 | |
Sartorius Stedim Biotech | 49,000 | 4,858 | |
159,473 | |||
Health Care Providers & Services - 0.4% | |||
National Vision Holdings, Inc. | 10,800 | 393 | |
OptiNose, Inc. | 13,800 | 318 | |
UnitedHealth Group, Inc. | 47,800 | 11,544 | |
12,255 | |||
Health Care Technology - 0.2% | |||
Veeva Systems, Inc. Class A (a) | 100,700 | 7,790 | |
Life Sciences Tools & Services - 0.1% | |||
Codexis, Inc. (a) | 143,400 | 2,151 | |
Pharmaceuticals - 1.3% | |||
AstraZeneca PLC sponsored ADR | 606,900 | 22,474 | |
Mallinckrodt PLC (a)(c) | 310,000 | 5,224 | |
Mylan NV (a) | 381,800 | 14,684 | |
42,382 | |||
TOTAL HEALTH CARE | 331,674 | ||
INDUSTRIALS - 7.4% | |||
Aerospace & Defense - 0.3% | |||
TransDigm Group, Inc. | 33,377 | 11,152 | |
Commercial Services & Supplies - 0.9% | |||
Copart, Inc. (a) | 401,900 | 22,036 | |
Prosegur Compania de Seguridad SA (Reg.) | 809,100 | 5,562 | |
27,598 | |||
Electrical Equipment - 2.0% | |||
AMETEK, Inc. | 339,400 | 24,786 | |
Fortive Corp. | 400,207 | 29,091 | |
Nidec Corp. | 72,800 | 11,300 | |
65,177 | |||
Industrial Conglomerates - 0.8% | |||
3M Co. | 68,700 | 13,550 | |
Roper Technologies, Inc. | 49,569 | 13,671 | |
27,221 | |||
Machinery - 1.9% | |||
Allison Transmission Holdings, Inc. | 816,700 | 33,738 | |
Apergy Corp. (a) | 69,388 | 2,997 | |
Gardner Denver Holdings, Inc. | 716,500 | 23,551 | |
Rational AG | 3,600 | 2,252 | |
62,538 | |||
Professional Services - 1.5% | |||
IHS Markit Ltd. (a) | 307,000 | 15,129 | |
Robert Half International, Inc. | 183,800 | 11,704 | |
TransUnion Holding Co., Inc. | 311,500 | 21,369 | |
48,202 | |||
TOTAL INDUSTRIALS | 241,888 | ||
INFORMATION TECHNOLOGY - 42.3% | |||
Electronic Equipment & Components - 0.3% | |||
Cognex Corp. | 194,100 | 8,872 | |
Internet Software & Services - 14.1% | |||
Alibaba Group Holding Ltd. sponsored ADR (a) | 166,700 | 33,008 | |
Alphabet, Inc. Class A (a) | 186,350 | 204,987 | |
DocuSign, Inc. | 9,000 | 448 | |
Dropbox, Inc. Class A (a) | 15,400 | 462 | |
Facebook, Inc. Class A (a) | 411,800 | 78,975 | |
GoDaddy, Inc. (a) | 325,300 | 23,288 | |
MercadoLibre, Inc. | 27,100 | 7,881 | |
NetEase, Inc. ADR | 27,200 | 6,210 | |
Shopify, Inc. Class A (a) | 78,700 | 11,674 | |
Stamps.com, Inc. (a) | 166,168 | 41,675 | |
Tencent Holdings Ltd. | 578,600 | 29,539 | |
VeriSign, Inc. (a) | 165,500 | 21,588 | |
459,735 | |||
IT Services - 7.8% | |||
Cognizant Technology Solutions Corp. Class A | 424,398 | 31,978 | |
Fidelity National Information Services, Inc. | 214,700 | 21,947 | |
Global Payments, Inc. | 195,600 | 21,743 | |
MasterCard, Inc. Class A | 119,600 | 22,738 | |
PayPal Holdings, Inc. (a) | 586,000 | 48,093 | |
Square, Inc. (a) | 313,500 | 18,261 | |
Visa, Inc. Class A | 677,432 | 88,554 | |
253,314 | |||
Semiconductors & Semiconductor Equipment - 2.3% | |||
ASML Holding NV | 74,200 | 14,591 | |
Broadcom, Inc. | 24,800 | 6,251 | |
Cree, Inc. (a) | 114,900 | 5,357 | |
Maxim Integrated Products, Inc. | 271,028 | 15,896 | |
Monolithic Power Systems, Inc. | 66,832 | 8,809 | |
Qualcomm, Inc. | 391,500 | 22,754 | |
73,658 | |||
Software - 15.1% | |||
Activision Blizzard, Inc. | 304,400 | 21,585 | |
Adobe Systems, Inc. (a) | 362,700 | 90,414 | |
Autodesk, Inc. (a) | 146,100 | 18,862 | |
Black Knight, Inc. (a) | 328,000 | 16,597 | |
Electronic Arts, Inc. (a) | 188,145 | 24,630 | |
Intuit, Inc. | 197,600 | 39,836 | |
Microsoft Corp. | 2,020,300 | 199,686 | |
Pluralsight, Inc. | 67,400 | 1,450 | |
Red Hat, Inc. (a) | 133,500 | 21,683 | |
Salesforce.com, Inc. (a) | 393,692 | 50,916 | |
Splunk, Inc. (a) | 39,900 | 4,421 | |
Zscaler, Inc. (a) | 6,300 | 165 | |
490,245 | |||
Technology Hardware, Storage & Peripherals - 2.7% | |||
Apple, Inc. | 472,100 | 88,221 | |
TOTAL INFORMATION TECHNOLOGY | 1,374,045 | ||
MATERIALS - 4.6% | |||
Chemicals - 3.5% | |||
CF Industries Holdings, Inc. | 442,300 | 18,196 | |
DowDuPont, Inc. | 627,000 | 40,197 | |
Sherwin-Williams Co. | 43,500 | 16,497 | |
The Chemours Co. LLC | 348,100 | 17,053 | |
Umicore SA | 353,628 | 20,009 | |
111,952 | |||
Construction Materials - 1.1% | |||
Eagle Materials, Inc. | 260,800 | 28,266 | |
Summit Materials, Inc. | 263,979 | 7,502 | |
35,768 | |||
TOTAL MATERIALS | 147,720 | ||
REAL ESTATE - 2.4% | |||
Equity Real Estate Investment Trusts (REITs) - 1.9% | |||
American Tower Corp. | 335,100 | 46,368 | |
Equinix, Inc. | 18,500 | 7,342 | |
SBA Communications Corp. Class A (a) | 53,500 | 8,457 | |
62,167 | |||
Real Estate Management & Development - 0.5% | |||
Realogy Holdings Corp. | 688,818 | 16,387 | |
TOTAL REAL ESTATE | 78,554 | ||
TOTAL COMMON STOCKS | |||
(Cost $2,138,485) | 3,189,784 | ||
Preferred Stocks - 0.9% | |||
Convertible Preferred Stocks - 0.7% | |||
CONSUMER DISCRETIONARY - 0.0% | |||
Household Durables - 0.0% | |||
Blu Homes, Inc. Series A, 5.00% (a)(d)(e) | 875,350 | 18 | |
HEALTH CARE - 0.1% | |||
Biotechnology - 0.1% | |||
BioNTech AG Series A (d)(e) | 13,034 | 2,781 | |
INFORMATION TECHNOLOGY - 0.6% | |||
Internet Software & Services - 0.6% | |||
Uber Technologies, Inc. Series D, 8.00% (a)(d)(e) | 485,012 | 19,400 | |
IT Services - 0.0% | |||
AppNexus, Inc. Series E (a)(d)(e) | 105,425 | 2,499 | |
TOTAL INFORMATION TECHNOLOGY | 21,899 | ||
TOTAL CONVERTIBLE PREFERRED STOCKS | 24,698 | ||
Nonconvertible Preferred Stocks - 0.2% | |||
FINANCIALS - 0.2% | |||
Banks - 0.2% | |||
Itau Unibanco Holding SA sponsored ADR | 475,900 | 5,497 | |
TOTAL PREFERRED STOCKS | |||
(Cost $23,010) | 30,195 | ||
Money Market Funds - 1.1% | |||
Fidelity Cash Central Fund, 1.76% (f) | 33,022,120 | 33,029 | |
Fidelity Securities Lending Cash Central Fund 1.76% (f)(g) | 1,247,222 | 1,247 | |
TOTAL MONEY MARKET FUNDS | |||
(Cost $34,276) | 34,276 | ||
TOTAL INVESTMENT IN SECURITIES - 100.2% | |||
(Cost $2,195,771) | 3,254,255 | ||
NET OTHER ASSETS (LIABILITIES) - (0.2)% | (5,146) | ||
NET ASSETS - 100% | $3,249,109 |
Legend
(a) Non-income producing
(b) 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 $5,000 or 0.0% of net assets.
(c) Security or a portion of the security is on loan at period end.
(d) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $24,698,000 or 0.8% of net assets.
(e) Level 3 security
(f) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements are available on the SEC's website or upon request.
(g) Investment made with cash collateral received from securities on loan.
Additional information on each restricted holding is as follows:
Security | Acquisition Date | Acquisition Cost (000s) |
AppNexus, Inc. Series E | 8/1/14 | $2,112 |
BioNTech AG Series A | 12/29/17 | $2,855 |
Blu Homes, Inc. Series A, 5.00% | 6/21/13 | $4,044 |
Uber Technologies, Inc. Series D, 8.00% | 6/6/14 | $7,524 |
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 |
(Amounts in thousands) | |
Fidelity Cash Central Fund | $289 |
Fidelity Securities Lending Cash Central Fund | 47 |
Total | $336 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
(Amounts in thousands) | ||||
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $428,195 | $380,644 | $47,533 | $18 |
Consumer Staples | 134,511 | 134,511 | -- | -- |
Energy | 96,287 | 96,287 | -- | -- |
Financials | 362,425 | 360,154 | 2,271 | -- |
Health Care | 334,455 | 331,674 | -- | 2,781 |
Industrials | 241,888 | 241,888 | -- | -- |
Information Technology | 1,395,944 | 1,344,506 | 29,539 | 21,899 |
Materials | 147,720 | 147,720 | -- | -- |
Real Estate | 78,554 | 78,554 | -- | -- |
Money Market Funds | 34,276 | 34,276 | -- | -- |
Total Investments in Securities: | $3,254,255 | $3,150,214 | $79,343 | $24,698 |
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 89.0% |
Cayman Islands | 2.1% |
Netherlands | 1.5% |
United Kingdom | 1.5% |
France | 1.2% |
Japan | 1.1% |
Others (Individually Less Than 1%) | 3.6% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | May 31, 2018 (Unaudited) | |
Assets | ||
Investment in securities, at value (including securities loaned of $1,196) — See accompanying schedule: Unaffiliated issuers (cost $2,161,495) | $3,219,979 | |
Fidelity Central Funds (cost $34,276) | 34,276 | |
Total Investment in Securities (cost $2,195,771) | $3,254,255 | |
Receivable for fund shares sold | 1,875 | |
Dividends receivable | 3,873 | |
Distributions receivable from Fidelity Central Funds | 33 | |
Prepaid expenses | 1 | |
Other receivables | 233 | |
Total assets | 3,260,270 | |
Liabilities | ||
Payable for investments purchased | $72 | |
Payable for fund shares redeemed | 5,880 | |
Accrued management fee | 1,453 | |
Distribution and service plan fees payable | 932 | |
Other affiliated payables | 540 | |
Other payables and accrued expenses | 1,041 | |
Collateral on securities loaned | 1,243 | |
Total liabilities | 11,161 | |
Net Assets | $3,249,109 | |
Net Assets consist of: | ||
Paid in capital | $2,077,375 | |
Accumulated net investment loss | (1,275) | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 115,374 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 1,057,635 | |
Net Assets | $3,249,109 | |
Calculation of Maximum Offering Price | ||
Class A: | ||
Net Asset Value and redemption price per share ($894,664 ÷ 75,176 shares) | $11.90 | |
Maximum offering price per share (100/94.25 of $11.90) | $12.63 | |
Class M: | ||
Net Asset Value and redemption price per share ($1,398,883 ÷ 119,666 shares) | $11.69 | |
Maximum offering price per share (100/96.50 of $11.69) | $12.11 | |
Class C: | ||
Net Asset Value and offering price per share ($204,031 ÷ 20,070 shares)(a) | $10.17 | |
Class I: | ||
Net Asset Value, offering price and redemption price per share ($672,359 ÷ 51,592 shares) | $13.03 | |
Class Z: | ||
Net Asset Value, offering price and redemption price per share ($79,172 ÷ 6,038 shares) | $13.11 |
(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.
Statement of Operations
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | |
Investment Income | ||
Dividends | $15,917 | |
Income from Fidelity Central Funds | 336 | |
Total income | 16,253 | |
Expenses | ||
Management fee | $8,577 | |
Transfer agent fees | 2,781 | |
Distribution and service plan fees | 5,526 | |
Accounting and security lending fees | 469 | |
Custodian fees and expenses | 39 | |
Independent trustees' fees and expenses | 7 | |
Registration fees | 63 | |
Audit | 34 | |
Legal | 4 | |
Miscellaneous | 12 | |
Total expenses before reductions | 17,512 | |
Expense reductions | (146) | |
Total expenses after reductions | 17,366 | |
Net investment income (loss) | (1,113) | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 115,192 | |
Fidelity Central Funds | 2 | |
Foreign currency transactions | (59) | |
Total net realized gain (loss) | 115,135 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers (net of increase in deferred foreign taxes of $843) | 155,453 | |
Assets and liabilities in foreign currencies | (7) | |
Total change in net unrealized appreciation (depreciation) | 155,446 | |
Net gain (loss) | 270,581 | |
Net increase (decrease) in net assets resulting from operations | $269,468 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $(1,113) | $(6,082) |
Net realized gain (loss) | 115,135 | 354,388 |
Change in net unrealized appreciation (depreciation) | 155,446 | 508,546 |
Net increase (decrease) in net assets resulting from operations | 269,468 | 856,852 |
Distributions to shareholders from net realized gain | (337,552) | (153,216) |
Share transactions - net increase (decrease) | 185,019 | (131,973) |
Total increase (decrease) in net assets | 116,935 | 571,663 |
Net Assets | ||
Beginning of period | 3,132,174 | 2,560,511 |
End of period | $3,249,109 | $3,132,174 |
Other Information | ||
Accumulated net investment loss end of period | $(1,275) | $(162) |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Equity Growth Fund Class A
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share DataA | ||||||
Net asset value, beginning of period | $12.26 | $9.61 | $9.88 | $9.38 | $8.09 | $6.18 |
Income from Investment Operations | ||||||
Net investment income (loss)B | –C | (.01) | (.02) | (.01) | (.01) | (.01) |
Net realized and unrealized gain (loss) | .98 | 3.24 | (.01) | .51 | 1.30 | 1.92 |
Total from investment operations | .98 | 3.23 | (.03) | .50 | 1.29 | 1.91 |
Distributions from net investment income | – | – | – | – | – | – |
Distributions from net realized gain | (1.34) | (.58) | (.24) | – | – | – |
Total distributions | (1.34) | (.58) | (.24) | – | – | – |
Net asset value, end of period | $11.90 | $12.26 | $9.61 | $9.88 | $9.38 | $8.09 |
Total ReturnD,E,F | 8.93% | 35.72% | (.39)% | 5.34% | 15.96% | 30.92% |
Ratios to Average Net AssetsG,H | ||||||
Expenses before reductions | 1.02%I | 1.03% | 1.05% | 1.05% | 1.07% | 1.11% |
Expenses net of fee waivers, if any | 1.01%I | 1.03% | 1.05% | 1.05% | 1.07% | 1.11% |
Expenses net of all reductions | 1.01%I | 1.03% | 1.05% | 1.04% | 1.07% | 1.10% |
Net investment income (loss) | .02%I | (.12)% | (.25)% | (.13)% | (.08)% | (.07)% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $895 | $843 | $803 | $887 | $853 | $772 |
Portfolio turnover rateJ | 36%I | 48% | 60% | 63% | 49%K | 81% |
A Per share amounts have been adjusted to reflect the impact of the 10 for 1 share split that occurred on May 11, 2018.
B Calculated based on average shares outstanding during the period.
C Amount represents less than $.005 per share.
D Total returns for periods of less than one year are not annualized.
E Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
F Total returns do not include the effect of the sales charges.
G 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.
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 Annualized
J Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
K Portfolio turnover rate excludes securities received or delivered in-kind.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Equity Growth Fund Class M
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share DataA | ||||||
Net asset value, beginning of period | $12.05 | $9.47 | $9.77 | $9.29 | $8.03 | $6.15 |
Income from Investment Operations | ||||||
Net investment income (loss)B | (.01) | (.04) | (.04) | (.03) | (.03) | (.02) |
Net realized and unrealized gain (loss) | .96 | 3.20 | (.02) | .51 | 1.29 | 1.90 |
Total from investment operations | .95 | 3.16 | (.06) | .48 | 1.26 | 1.88 |
Distributions from net investment income | – | – | – | – | – | – |
Distributions from net realized gain | (1.31) | (.58) | (.24) | – | – | – |
Total distributions | (1.31) | (.58) | (.24) | – | – | – |
Net asset value, end of period | $11.69 | $12.05 | $9.47 | $9.77 | $9.29 | $8.03 |
Total ReturnC,D,E | 8.81% | 35.41% | (.62)% | 5.10% | 15.73% | 30.69% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | 1.25%H | 1.26% | 1.28% | 1.27% | 1.28% | 1.29% |
Expenses net of fee waivers, if any | 1.25%H | 1.26% | 1.27% | 1.27% | 1.28% | 1.29% |
Expenses net of all reductions | 1.24%H | 1.26% | 1.27% | 1.27% | 1.28% | 1.28% |
Net investment income (loss) | (.22)%H | (.36)% | (.48)% | (.36)% | (.29)% | (.25)% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $1,399 | $1,353 | $1,129 | $1,306 | $1,368 | $1,283 |
Portfolio turnover rateI | 36%H | 48% | 60% | 63% | 49%J | 81% |
A Per share amounts have been adjusted to reflect the impact of the 10 for 1 share split that occurred on May 11, 2018.
B Calculated based on average shares outstanding during the period.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
E Total returns do not include the effect of the sales charges.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
J Portfolio turnover rate excludes securities received or delivered in-kind.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Equity Growth Fund Class C
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share DataA | ||||||
Net asset value, beginning of period | $10.63 | $8.47 | $8.80 | $8.42 | $7.31 | $5.63 |
Income from Investment Operations | ||||||
Net investment income (loss)B | (.04) | (.08) | (.08) | (.08) | (.07) | (.05) |
Net realized and unrealized gain (loss) | .85 | 2.82 | (.01) | .46 | 1.18 | 1.73 |
Total from investment operations | .81 | 2.74 | (.09) | .38 | 1.11 | 1.68 |
Distributions from net investment income | – | – | – | – | – | – |
Distributions from net realized gain | (1.27) | (.58) | (.24) | – | – | – |
Total distributions | (1.27) | (.58) | (.24) | – | – | – |
Net asset value, end of period | $10.17 | $10.63 | $8.47 | $8.80 | $8.42 | $7.31 |
Total ReturnC,D,E | 8.57% | 34.70% | (1.15)% | 4.55% | 15.11% | 29.96% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | 1.78%H | 1.79% | 1.81% | 1.81% | 1.81% | 1.84% |
Expenses net of fee waivers, if any | 1.78%H | 1.79% | 1.81% | 1.81% | 1.81% | 1.84% |
Expenses net of all reductions | 1.77%H | 1.79% | 1.81% | 1.80% | 1.81% | 1.83% |
Net investment income (loss) | (.75)%H | (.89)% | (1.01)% | (.89)% | (.83)% | (.79)% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $204 | $200 | $161 | $183 | $175 | $157 |
Portfolio turnover rateI | 36%H | 48% | 60% | 63% | 49%J | 81% |
A Per share amounts have been adjusted to reflect the impact of the 10 for 1 share split that occurred on May 11, 2018.
B Calculated based on average shares outstanding during the period.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
E Total returns do not include the effect of the contingent deferred sales charge.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
J Portfolio turnover rate excludes securities received or delivered in-kind.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Equity Growth Fund Class I
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share DataA | ||||||
Net asset value, beginning of period | $13.32 | $10.36 | $10.61 | $10.04 | $8.63 | $6.59 |
Income from Investment Operations | ||||||
Net investment income (loss)B | .02 | .02 | –C | .02 | .02 | .02 |
Net realized and unrealized gain (loss) | 1.06 | 3.52 | (.01) | .55 | 1.39 | 2.04 |
Total from investment operations | 1.08 | 3.54 | (.01) | .57 | 1.41 | 2.06 |
Distributions from net investment income | – | – | – | – | – | (.02) |
Distributions from net realized gain | (1.37) | (.58) | (.24) | – | – | – |
Total distributions | (1.37) | (.58) | (.24) | – | – | (.02) |
Net asset value, end of period | $13.03 | $13.32 | $10.36 | $10.61 | $10.04 | $8.63 |
Total ReturnD,E | 9.06% | 36.08% | (.12)% | 5.64% | 16.31% | 31.36% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | .75%H | .77% | .78% | .78% | .77% | .78% |
Expenses net of fee waivers, if any | .75%H | .76% | .78% | .77% | .77% | .78% |
Expenses net of all reductions | .75%H | .76% | .77% | .77% | .77% | .77% |
Net investment income (loss) | .28%H | .14% | .02% | .14% | .21% | .27% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $672 | $677 | $434 | $463 | $432 | $1,266 |
Portfolio turnover rateI | 36%H | 48% | 60% | 63% | 49%J | 81% |
A Per share amounts have been adjusted to reflect the impact of the 10 for 1 share split that occurred on May 11, 2018.
B Calculated based on average shares outstanding during the period.
C Amount represents less than $.005 per share.
D Total returns for periods of less than one year are not annualized.
E Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
J Portfolio turnover rate excludes securities received or delivered in-kind.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Equity Growth Fund Class Z
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 A | |
Selected Per–Share DataB | ||||||
Net asset value, beginning of period | $13.40 | $10.41 | $10.64 | $10.06 | $8.64 | $7.85 |
Income from Investment Operations | ||||||
Net investment income (loss)C | .03 | .03 | .02 | .03 | .03 | .01 |
Net realized and unrealized gain (loss) | 1.07 | 3.54 | (.01) | .55 | 1.39 | .78 |
Total from investment operations | 1.10 | 3.57 | .01 | .58 | 1.42 | .79 |
Distributions from net investment income | – | – | – | – | – | – |
Distributions from net realized gain | (1.39) | (.58) | (.24) | – | – | – |
Total distributions | (1.39) | (.58) | (.24) | – | – | – |
Net asset value, end of period | $13.11 | $13.40 | $10.41 | $10.64 | $10.06 | $8.64 |
Total ReturnD,E | 9.13% | 36.27% | .02% | 5.77% | 16.48% | 10.03% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | .63%H | .63% | .64% | .64% | .64% | .64%H |
Expenses net of fee waivers, if any | .62%H | .63% | .63% | .64% | .64% | .64%H |
Expenses net of all reductions | .62%H | .63% | .63% | .63% | .64% | .63%H |
Net investment income (loss) | .41%H | .28% | .16% | .28% | .35% | .38%H |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $79 | $59 | $33 | $26 | $– | $– |
Portfolio turnover rateI | 36%H | 48% | 60% | 63% | 49%J | 81% |
A For the period August 13, 2013 (commencement of sale of shares) to November 30, 2013.
B Per share amounts have been adjusted to reflect the impact of the 10 for 1 share split that occurred on May 11, 2018.
C Calculated based on average shares outstanding during the period.
D Total returns for periods of less than one year are not annualized.
E Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
J Portfolio turnover rate excludes securities received or delivered in-kind.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
(Amounts in thousands except percentages)
1. Organization.
Fidelity Advisor Equity Growth Fund (the Fund) is a fund of Fidelity Advisor Series I (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 M, Class C, Class I and Class Z shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class.
Effective May 11, 2018, each class underwent a 10 for 1 share split. The effect of the share split transaction was to multiply the number of outstanding shares of each Class by a split factor of 10:1, with a corresponding decrease in net asset value (NAV) per share. This event does not impact the overall net assets of each class. The per share data presented in the Financial Highlights and Share Transactions presented in the Notes to Financial Statements have been retroactively adjusted to reflect this share split.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events. 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. 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. Equity securities, including restricted securities, for which observable inputs are not available are valued using alternate valuation approaches, including the market approach and the income approach and are categorized as Level 3 in the hierarchy. The market approach generally consists of using comparable market transactions while the income approach generally consists of using the net present value of estimated future cash flows, adjusted as appropriate for liquidity, credit, market and/or other risk factors.
Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of May 31, 2018, 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. 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.
Deferred Trustee Compensation. Under a Deferred Compensation Plan (the Plan), certain independent Trustees have elected to defer receipt of a portion of their annual compensation. Deferred amounts are invested in a cross-section of Fidelity funds, are marked-to-market and remain in the Fund until distributed in accordance with the Plan. The investment of deferred amounts and the offsetting payable to the Trustees are included in the accompanying Statement of Assets and Liabilities.
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. The Fund is subject to a tax imposed on capital gains by certain countries in which it invests. An estimated deferred tax liability for net unrealized appreciation on the applicable securities is included in Other payables and accrued expenses on the Statement of Assets & Liabilities.
Distributions are declared and recorded on the ex-dividend date. Income 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 futures contracts, foreign currency transactions, passive foreign investment companies (PFIC), market discount, partnerships, deferred trustees compensation, losses deferred due to wash sales and excise tax regulations.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $1,105,393 |
Gross unrealized depreciation | (47,346) |
Net unrealized appreciation (depreciation) | $1,058,047 |
Tax cost | $2,196,208 |
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.
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $559,220 and $650,730, 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 .30% of the Fund's average net assets and an annualized group fee rate that averaged .24% 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 .54% of the Fund's average net assets.
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 Fee | Service Fee | Total Fees | Retained by FDC | |
Class A | -% | .25% | $1,080 | $31 |
Class M | .25% | .25% | 3,433 | 57 |
Class C | .75% | .25% | 1,013 | 80 |
$5,526 | $168 |
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 M 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 M and Class C redemptions. The deferred sales charges are 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class M shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained by FDC | |
Class A | $104 |
Class M | 16 |
Class C(a) | 8 |
$128 |
(a) When Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of 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, except for Class Z. FIIOC receives an asset-based fee of Class Z's average net assets. 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-Level Average Net Assets(a) | |
Class A | $805 | .19 |
Class M | 1,183 | .17 |
Class C | 201 | .20 |
Class I | 575 | .17 |
Class Z | 17 | .05 |
$2,781 |
(a) 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. For the period, the fees were equivalent to an annualized rate of .03%.
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 $14 for the period.
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
6. 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 $4 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
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. The Fund or borrower may terminate the loan at any time, and 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. At period end, there were no security loans outstanding with FCM. 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 $47, including an amount less than five hundred dollars from 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 $130 for the period.
In addition, during the period the investment adviser reimbursed and/or waived a portion of fund-level operating expenses in the amount of $16.
9. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended May 31, 2018 | Year ended November 30, 2017 | |
From net realized gain | ||
Class A | $91,590 | $47,938 |
Class M | 146,455 | 68,793 |
Class C | 23,734 | 10,973 |
Class I | 68,882 | 23,651 |
Class Z | 6,891 | 1,861 |
Total | $337,552 | $153,216 |
10. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
Shares | Shares | Dollars | Dollars | |
Six months ended May 31, 2018(a) | Year ended November 30, 2017(a) | Six months ended May 31, 2018 | Year ended November 30, 2017 | |
Class A | ||||
Shares sold | 5,983 | 8,190 | $68,991 | $87,156 |
Reinvestment of distributions | 7,841 | 4,850 | 85,798 | 44,771 |
Shares redeemed | (7,438) | (27,890) | (85,453) | (287,483) |
Net increase (decrease) | 6,386 | (14,850) | $69,336 | $(155,556) |
Class M | ||||
Shares sold | 7,588 | 11,800 | $86,079 | $123,747 |
Reinvestment of distributions | 13,304 | 7,340 | 143,123 | 66,704 |
Shares redeemed | (13,486) | (26,090) | (152,645) | (271,208) |
Net increase (decrease) | 7,406 | (6,950) | $76,557 | $(80,757) |
Class C | ||||
Shares sold | 2,284 | 2,630 | $22,645 | $24,340 |
Reinvestment of distributions | 2,385 | 1,240 | 22,368 | 10,000 |
Shares redeemed | (3,399) | (4,110) | (33,885) | (38,054) |
Net increase (decrease) | 1,270 | (240) | $11,128 | $(3,714) |
Class I | ||||
Shares sold | 7,879 | 24,910 | $99,952 | $283,237 |
Reinvestment of distributions | 5,482 | 2,240 | 65,612 | 22,400 |
Shares redeemed | (12,619) | (18,170) | (158,489) | (211,175) |
Net increase (decrease) | 742 | 8,980 | $7,075 | $94,462 |
Class Z | ||||
Shares sold | 1,937 | 2,540 | $24,893 | $30,128 |
Reinvestment of distributions | 558 | 190 | 6,713 | 1,861 |
Shares redeemed | (837) | (1,530) | (10,683) | (18,397) |
Net increase (decrease) | 1,658 | 1,200 | $20,923 | $13,592 |
(a) Share activity prior to May 11, 2018 has been adjusted to reflect the impact of the 10 for 1 share split that occurred on that date.
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.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
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. 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. 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.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Class A | 1.01% | |||
Actual | $1,000.00 | $1,089.30 | $5.26 | |
Hypothetical-C | $1,000.00 | $1,019.90 | $5.09 | |
Class M | 1.25% | |||
Actual | $1,000.00 | $1,088.10 | $6.51 | |
Hypothetical-C | $1,000.00 | $1,018.70 | $6.29 | |
Class C | 1.78% | |||
Actual | $1,000.00 | $1,085.70 | $9.26 | |
Hypothetical-C | $1,000.00 | $1,016.06 | $8.95 | |
Class I | .75% | |||
Actual | $1,000.00 | $1,090.60 | $3.91 | |
Hypothetical-C | $1,000.00 | $1,021.19 | $3.78 | |
Class Z | .62% | |||
Actual | $1,000.00 | $1,091.30 | $3.23 | |
Hypothetical-C | $1,000.00 | $1,021.84 | $3.13 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
EPG-SANN-0718
1.704747.120
Fidelity Advisor® Equity Income Fund Semi-Annual Report May 31, 2018 |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-877-208-0098 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. © 2018 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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Wells Fargo & Co. | 4.4 |
Verizon Communications, Inc. | 3.9 |
Amgen, Inc. | 3.5 |
Johnson & Johnson | 3.5 |
United Technologies Corp. | 3.0 |
Cisco Systems, Inc. | 2.7 |
Chubb Ltd. | 2.7 |
Chevron Corp. | 2.6 |
British American Tobacco PLC sponsored ADR | 2.4 |
JPMorgan Chase & Co. | 2.4 |
31.1 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Financials | 22.1 |
Health Care | 14.6 |
Information Technology | 9.7 |
Consumer Staples | 9.6 |
Industrials | 8.9 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018* | ||
Stocks | 97.4% | |
Convertible Securities | 0.2% | |
Other Investments | 0.2% | |
Short-Term Investments and Net Other Assets (Liabilities) | 2.2% |
* Foreign investments - 19.0%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 97.4% | |||
Shares | Value (000s) | ||
CONSUMER DISCRETIONARY - 8.5% | |||
Automobiles - 0.2% | |||
Subaru Corp. | 111,900 | $3,412 | |
Hotels, Restaurants & Leisure - 0.8% | |||
Wyndham Worldwide Corp. | 131,500 | 14,260 | |
Leisure Products - 0.1% | |||
New Academy Holding Co. LLC unit (a)(b)(c)(d) | 52,800 | 1,865 | |
Media - 7.0% | |||
Cinemark Holdings, Inc. | 459,700 | 15,524 | |
Comcast Corp. Class A | 496,000 | 15,465 | |
Informa PLC | 1,774,705 | 18,506 | |
Interpublic Group of Companies, Inc. | 281,300 | 6,357 | |
Omnicom Group, Inc. | 286,700 | 20,665 | |
The Walt Disney Co. | 268,100 | 26,668 | |
Time Warner, Inc. | 228,000 | 21,468 | |
124,653 | |||
Specialty Retail - 0.4% | |||
Lowe's Companies, Inc. | 76,600 | 7,278 | |
TOTAL CONSUMER DISCRETIONARY | 151,468 | ||
CONSUMER STAPLES - 9.6% | |||
Beverages - 1.1% | |||
Molson Coors Brewing Co. Class B | 303,905 | 18,736 | |
Food Products - 1.9% | |||
Kellogg Co. | 157,500 | 10,141 | |
The J.M. Smucker Co. | 224,500 | 24,134 | |
34,275 | |||
Household Products - 1.5% | |||
Clorox Co. | 76,500 | 9,243 | |
Reckitt Benckiser Group PLC | 178,200 | 13,640 | |
Spectrum Brands Holdings, Inc. | 55,500 | 4,423 | |
27,306 | |||
Personal Products - 1.0% | |||
Unilever NV (NY Reg.) | 301,500 | 16,815 | |
Tobacco - 4.1% | |||
Altria Group, Inc. | 396,500 | 22,101 | |
British American Tobacco PLC sponsored ADR | 843,001 | 43,162 | |
Imperial Tobacco Group PLC | 208,598 | 7,515 | |
72,778 | |||
TOTAL CONSUMER STAPLES | 169,910 | ||
ENERGY - 8.7% | |||
Energy Equipment & Services - 0.6% | |||
Baker Hughes, a GE Co. Class A | 269,700 | 9,329 | |
Oil, Gas & Consumable Fuels - 8.1% | |||
Boardwalk Pipeline Partners, LP | 455,300 | 4,822 | |
Chevron Corp. | 375,969 | 46,733 | |
Enterprise Products Partners LP | 685,500 | 19,811 | |
Suncor Energy, Inc. | 1,048,100 | 41,743 | |
The Williams Companies, Inc. | 1,163,650 | 31,256 | |
144,365 | |||
TOTAL ENERGY | 153,694 | ||
FINANCIALS - 22.1% | |||
Banks - 10.2% | |||
Bank of America Corp. | 1,216,900 | 35,339 | |
Bank of the Ozarks, Inc. | 277,200 | 13,178 | |
First Hawaiian, Inc. | 193,600 | 5,669 | |
Huntington Bancshares, Inc. | 426,200 | 6,338 | |
JPMorgan Chase & Co. | 401,157 | 42,928 | |
Wells Fargo & Co. | 1,460,050 | 78,820 | |
182,272 | |||
Capital Markets - 5.0% | |||
Apollo Global Management LLC Class A | 528,700 | 16,559 | |
Ares Capital Corp. | 252,842 | 4,268 | |
KKR & Co. LP | 82,096 | 1,825 | |
Lazard Ltd. Class A | 113,100 | 5,818 | |
Northern Trust Corp. | 105,000 | 10,765 | |
State Street Corp. | 218,199 | 20,971 | |
The Blackstone Group LP | 879,403 | 28,079 | |
88,285 | |||
Consumer Finance - 2.7% | |||
Capital One Financial Corp. | 304,200 | 28,595 | |
Discover Financial Services | 259,100 | 19,137 | |
47,732 | |||
Insurance - 4.2% | |||
Chubb Ltd. | 370,284 | 48,392 | |
FNF Group | 272,900 | 10,086 | |
The Travelers Companies, Inc. | 128,700 | 16,541 | |
75,019 | |||
TOTAL FINANCIALS | 393,308 | ||
HEALTH CARE - 14.6% | |||
Biotechnology - 3.5% | |||
Amgen, Inc. | 342,349 | 61,493 | |
Health Care Equipment & Supplies - 0.4% | |||
Becton, Dickinson & Co. | 35,700 | 7,911 | |
Health Care Providers & Services - 3.9% | |||
AmerisourceBergen Corp. | 69,900 | 5,742 | |
CVS Health Corp. | 410,300 | 26,009 | |
McKesson Corp. | 147,000 | 20,865 | |
UnitedHealth Group, Inc. | 66,800 | 16,133 | |
68,749 | |||
Pharmaceuticals - 6.8% | |||
Allergan PLC | 625 | 94 | |
GlaxoSmithKline PLC | 1,343,400 | 27,217 | |
Johnson & Johnson | 511,418 | 61,176 | |
Roche Holding AG (participation certificate) | 64,200 | 13,765 | |
Sanofi SA sponsored ADR | 481,000 | 18,408 | |
120,660 | |||
TOTAL HEALTH CARE | 258,813 | ||
INDUSTRIALS - 8.9% | |||
Aerospace & Defense - 4.2% | |||
General Dynamics Corp. | 107,900 | 21,765 | |
United Technologies Corp. | 420,307 | 52,463 | |
74,228 | |||
Commercial Services & Supplies - 0.6% | |||
KAR Auction Services, Inc. | 212,804 | 11,230 | |
Electrical Equipment - 1.3% | |||
Eaton Corp. PLC | 293,400 | 22,469 | |
Industrial Conglomerates - 1.1% | |||
General Electric Co. | 1,409,654 | 19,848 | |
Machinery - 1.2% | |||
Allison Transmission Holdings, Inc. | 98,000 | 4,048 | |
Andritz AG | 187,000 | 9,335 | |
Snap-On, Inc. | 58,400 | 8,633 | |
22,016 | |||
Professional Services - 0.5% | |||
Nielsen Holdings PLC | 300,800 | 9,075 | |
TOTAL INDUSTRIALS | 158,866 | ||
INFORMATION TECHNOLOGY - 9.6% | |||
Communications Equipment - 3.1% | |||
Cisco Systems, Inc. | 1,144,553 | 48,884 | |
Juniper Networks, Inc. | 243,200 | 6,479 | |
55,363 | |||
Electronic Equipment & Components - 0.7% | |||
Dell Technologies, Inc. (a) | 68,000 | 5,485 | |
TE Connectivity Ltd. | 81,230 | 7,561 | |
13,046 | |||
IT Services - 1.9% | |||
Amdocs Ltd. | 245,400 | 16,555 | |
Capgemini SA | 64,000 | 8,428 | |
Leidos Holdings, Inc. | 132,200 | 7,940 | |
32,923 | |||
Semiconductors & Semiconductor Equipment - 1.0% | |||
Qualcomm, Inc. | 319,589 | 18,575 | |
Software - 1.3% | |||
Micro Focus International PLC | 346,700 | 6,142 | |
Microsoft Corp. | 165,638 | 16,372 | |
22,514 | |||
Technology Hardware, Storage & Peripherals - 1.6% | |||
Apple, Inc. | 154,400 | 28,853 | |
TOTAL INFORMATION TECHNOLOGY | 171,274 | ||
MATERIALS - 4.8% | |||
Chemicals - 2.1% | |||
CF Industries Holdings, Inc. | 102,200 | 4,205 | |
DowDuPont, Inc. | 461,800 | 29,606 | |
Olin Corp. | 92,300 | 2,984 | |
36,795 | |||
Containers & Packaging - 2.7% | |||
Graphic Packaging Holding Co. | 991,700 | 14,360 | |
Silgan Holdings, Inc. | 297,300 | 8,093 | |
WestRock Co. | 435,300 | 25,630 | |
48,083 | |||
TOTAL MATERIALS | 84,878 | ||
REAL ESTATE - 3.4% | |||
Equity Real Estate Investment Trusts (REITs) - 3.4% | |||
Brandywine Realty Trust (SBI) | 854,300 | 13,891 | |
CoreSite Realty Corp. | 34,200 | 3,631 | |
National Retail Properties, Inc. | 101,100 | 4,189 | |
Omega Healthcare Investors, Inc. | 216,800 | 6,645 | |
Public Storage | 55,400 | 11,736 | |
SL Green Realty Corp. | 68,800 | 6,709 | |
VEREIT, Inc. | 1,186,700 | 8,497 | |
WP Carey, Inc. | 85,700 | 5,760 | |
61,058 | |||
TELECOMMUNICATION SERVICES - 3.9% | |||
Diversified Telecommunication Services - 3.9% | |||
Verizon Communications, Inc. | 1,444,190 | 68,845 | |
Wireless Telecommunication Services - 0.0% | |||
T-Mobile U.S., Inc. (a) | 2,923 | 163 | |
TOTAL TELECOMMUNICATION SERVICES | 69,008 | ||
UTILITIES - 3.3% | |||
Electric Utilities - 3.3% | |||
Duke Energy Corp. | 116,900 | 9,020 | |
Exelon Corp. | 660,000 | 27,317 | |
PPL Corp. | 480,600 | 13,130 | |
Xcel Energy, Inc. | 204,300 | 9,300 | |
58,767 | |||
TOTAL COMMON STOCKS | |||
(Cost $1,548,682) | 1,731,044 | ||
Convertible Preferred Stocks - 0.0% | |||
HEALTH CARE - 0.0% | |||
Health Care Equipment & Supplies - 0.0% | |||
Becton, Dickinson & Co. Series A, 6.125% | 2,500 | 145 | |
UTILITIES - 0.0% | |||
Electric Utilities - 0.0% | |||
Vistra Energy Corp. 7.00% | 7,100 | 698 | |
Multi-Utilities - 0.0% | |||
CenterPoint Energy, Inc. 2.00% ZENS | 2,900 | 184 | |
TOTAL UTILITIES | 882 | ||
TOTAL CONVERTIBLE PREFERRED STOCKS | |||
(Cost $953) | 1,027 | ||
Principal Amount (000s) | Value (000s) | ||
Corporate Bonds - 0.2% | |||
Convertible Bonds - 0.2% | |||
CONSUMER DISCRETIONARY - 0.0% | |||
Media - 0.0% | |||
DISH Network Corp. 3.375% 8/15/26 | 290 | 257 | |
Liberty Media Corp. 1.375% 10/15/23 | 250 | 309 | |
566 | |||
ENERGY - 0.1% | |||
Oil, Gas & Consumable Fuels - 0.1% | |||
Chesapeake Energy Corp. 5.5% 9/15/26 | 220 | 212 | |
Scorpio Tankers, Inc. 3% 5/15/22 unit | 660 | 660 | |
872 | |||
INDUSTRIALS - 0.0% | |||
Electrical Equipment - 0.0% | |||
SolarCity Corp. 1.625% 11/1/19 | 220 | 203 | |
INFORMATION TECHNOLOGY - 0.1% | |||
Internet Software & Services - 0.0% | |||
Yahoo!, Inc. 0% 12/1/18 | 130 | 188 | |
IT Services - 0.0% | |||
Square, Inc. 0.375% 3/1/22 | 75 | 191 | |
Semiconductors & Semiconductor Equipment - 0.1% | |||
Intel Corp. 3.25% 8/1/39 | 45 | 119 | |
Microchip Technology, Inc. 1.625% 2/15/25 | 120 | 228 | |
Micron Technology, Inc. 3% 11/15/43 | 130 | 256 | |
ON Semiconductor Corp. 1.625% 10/15/23 | 175 | 246 | |
849 | |||
TOTAL INFORMATION TECHNOLOGY | 1,228 | ||
TOTAL CONVERTIBLE BONDS | 2,869 | ||
Nonconvertible Bonds - 0.0% | |||
CONSUMER DISCRETIONARY - 0.0% | |||
Diversified Consumer Services - 0.0% | |||
Laureate Education, Inc. 8.25% 5/1/25 (e) | 80 | 85 | |
HEALTH CARE - 0.0% | |||
Pharmaceuticals - 0.0% | |||
Valeant Pharmaceuticals International, Inc. 5.875% 5/15/23 (e) | 495 | 470 | |
TOTAL NONCONVERTIBLE BONDS | 555 | ||
TOTAL CORPORATE BONDS | |||
(Cost $3,219) | 3,424 | ||
Bank Loan Obligations - 0.0% | |||
INDUSTRIALS - 0.0% | |||
Commercial Services & Supplies - 0.0% | |||
Lineage Logistics Holdings, LLC. Tranche B, term loan 3 month U.S. LIBOR + 3.000% 4.9803% 2/27/25 (f)(g) | |||
(Cost $255) | 255 | 254 | |
Shares | Value (000s) | ||
Other - 0.2% | |||
ENERGY - 0.2% | |||
Oil, Gas, & Consumable Fuels - 0.2% | |||
Utica Shale Drilling Program (non-operating revenue interest) (c)(d)(h) | |||
(Cost $5,865) | 5,865,354 | 3,153 | |
Money Market Funds - 1.9% | |||
Fidelity Cash Central Fund, 1.76% (i) | |||
(Cost $33,417) | 33,410,629 | 33,417 | |
TOTAL INVESTMENT IN SECURITIES - 99.7% | |||
(Cost $1,592,391) | 1,772,319 | ||
NET OTHER ASSETS (LIABILITIES) - 0.3% | 5,381 | ||
NET ASSETS - 100% | $1,777,700 |
Legend
(a) Non-income producing
(b) Investment is owned by an entity that is treated as a U.S. Corporation for tax purposes in which the Fund holds a percentage ownership.
(c) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $5,018,000 or 0.3% of net assets.
(d) Level 3 security
(e) Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. At the end of the period, the value of these securities amounted to $555,000 or 0.0% of net assets.
(f) Coupon rates for floating and adjustable rate securities reflect the rates in effect at period end.
(g) Coupon is indexed to a floating interest rate which may be multiplied by a specified factor and/or subject to caps or floors.
(h) Investment is owned by a wholly-owned subsidiary (Subsidiary) that is treated as a corporation for U.S. tax purposes.
(i) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements are available on the SEC's website or upon request.
Additional information on each restricted holding is as follows:
Security | Acquisition Date | Acquisition Cost (000s) |
New Academy Holding Co. LLC unit | 8/1/11 | $5,565 |
Utica Shale Drilling Program (non-operating revenue interest) | 10/5/16 - 9/1/17 | $5,865 |
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 |
(Amounts in thousands) | |
Fidelity Cash Central Fund | $123 |
Fidelity Securities Lending Cash Central Fund | 41 |
Total | $164 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
(Amounts in thousands) | ||||
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $151,468 | $146,191 | $3,412 | $1,865 |
Consumer Staples | 169,910 | 156,270 | 13,640 | -- |
Energy | 153,694 | 153,694 | -- | -- |
Financials | 393,308 | 393,308 | -- | -- |
Health Care | 258,958 | 217,831 | 41,127 | -- |
Industrials | 158,866 | 158,866 | -- | -- |
Information Technology | 171,274 | 165,132 | 6,142 | -- |
Materials | 84,878 | 84,878 | -- | -- |
Real Estate | 61,058 | 61,058 | -- | -- |
Telecommunication Services | 69,008 | 69,008 | -- | -- |
Utilities | 59,649 | 58,767 | 882 | -- |
Corporate Bonds | 3,424 | -- | 3,424 | -- |
Bank Loan Obligations | 254 | -- | 254 | -- |
Other | 3,153 | -- | -- | 3,153 |
Money Market Funds | 33,417 | 33,417 | -- | -- |
Total Investments in Securities: | $1,772,319 | $1,698,420 | $68,881 | $5,018 |
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 81.0% |
United Kingdom | 7.0% |
Switzerland | 3.9% |
Canada | 2.3% |
France | 1.5% |
Ireland | 1.3% |
Netherlands | 1.0% |
Others (Individually Less Than 1%) | 2.0% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | May 31, 2018 (Unaudited) | |
Assets | ||
Investment in securities, at value — See accompanying schedule: Unaffiliated issuers (cost $1,558,974) | $1,738,902 | |
Fidelity Central Funds (cost $33,417) | 33,417 | |
Total Investment in Securities (cost $1,592,391) | $1,772,319 | |
Cash | 59 | |
Restricted cash | 51 | |
Receivable for investments sold | 9,466 | |
Receivable for fund shares sold | 332 | |
Dividends receivable | 5,706 | |
Interest receivable | 11 | |
Distributions receivable from Fidelity Central Funds | 52 | |
Prepaid expenses | 1 | |
Other receivables | 238 | |
Total assets | 1,788,235 | |
Liabilities | ||
Payable for investments purchased | $7,453 | |
Payable for fund shares redeemed | 1,378 | |
Accrued management fee | 660 | |
Distribution and service plan fees payable | 574 | |
Other affiliated payables | 328 | |
Other payables and accrued expenses | 142 | |
Total liabilities | 10,535 | |
Net Assets | $1,777,700 | |
Net Assets consist of: | ||
Paid in capital | $1,473,429 | |
Undistributed net investment income | 6,952 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 117,424 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 179,895 | |
Net Assets | $1,777,700 | |
Calculation of Maximum Offering Price | ||
Class A: | ||
Net Asset Value and redemption price per share ($632,755 ÷ 20,313.40 shares) | $31.15 | |
Maximum offering price per share (100/94.25 of $31.15) | $33.05 | |
Class M: | ||
Net Asset Value and redemption price per share ($702,724 ÷ 22,070.76 shares) | $31.84 | |
Maximum offering price per share (100/96.50 of $31.84) | $32.99 | |
Class C: | ||
Net Asset Value and offering price per share ($171,349 ÷ 5,465.91 shares)(a) | $31.35 | |
Class I: | ||
Net Asset Value, offering price and redemption price per share ($249,699 ÷ 7,667.21 shares) | $32.57 | |
Class Z: | ||
Net Asset Value, offering price and redemption price per share ($21,173 ÷ 650.58 shares) | $32.54 |
(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.
Statement of Operations
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | |
Investment Income | ||
Dividends | $27,329 | |
Interest | 101 | |
Income from Fidelity Central Funds | 163 | |
Total income | 27,593 | |
Expenses | ||
Management fee | $4,163 | |
Transfer agent fees | 1,743 | |
Distribution and service plan fees | 3,640 | |
Accounting and security lending fees | 289 | |
Custodian fees and expenses | 20 | |
Independent trustees' fees and expenses | 4 | |
Registration fees | 45 | |
Audit | 36 | |
Legal | 3 | |
Miscellaneous | 10 | |
Total expenses before reductions | 9,953 | |
Expense reductions | (230) | |
Total expenses after reductions | 9,723 | |
Net investment income (loss) | 17,870 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 123,713 | |
Fidelity Central Funds | (3) | |
Foreign currency transactions | 14 | |
Total net realized gain (loss) | 123,724 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers | (169,316) | |
Assets and liabilities in foreign currencies | (52) | |
Total change in net unrealized appreciation (depreciation) | (169,368) | |
Net gain (loss) | (45,644) | |
Net increase (decrease) in net assets resulting from operations | $(27,774) |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $17,870 | $36,396 |
Net realized gain (loss) | 123,724 | 167,705 |
Change in net unrealized appreciation (depreciation) | (169,368) | 36,469 |
Net increase (decrease) in net assets resulting from operations | (27,774) | 240,570 |
Distributions to shareholders from net investment income | (22,030) | (32,834) |
Distributions to shareholders from net realized gain | (161,070) | (30,058) |
Total distributions | (183,100) | (62,892) |
Share transactions - net increase (decrease) | 41,901 | (373,631) |
Total increase (decrease) in net assets | (168,973) | (195,953) |
Net Assets | ||
Beginning of period | 1,946,673 | 2,142,626 |
End of period | $1,777,700 | $1,946,673 |
Other Information | ||
Undistributed net investment income end of period | $6,952 | $11,112 |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Equity Income Fund Class A
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $34.96 | $32.05 | $31.10 | $34.44 | $31.60 | $25.55 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .33 | .62 | .59 | .92 | .84B | .60 |
Net realized and unrealized gain (loss) | (.77) | 3.32 | 3.13 | (2.15) | 2.67 | 6.06 |
Total from investment operations | (.44) | 3.94 | 3.72 | (1.23) | 3.51 | 6.66 |
Distributions from net investment income | (.42) | (.58)C | (.66) | (.98) | (.64) | (.58) |
Distributions from net realized gain | (2.95) | (.46)C | (2.11) | (1.14) | (.04) | (.03) |
Total distributions | (3.37) | (1.03)D | (2.77) | (2.11)E | (.67)F | (.61) |
Net asset value, end of period | $31.15 | $34.96 | $32.05 | $31.10 | $34.44 | $31.60 |
Total ReturnG,H,I | (1.55)% | 12.55% | 13.52% | (3.61)% | 11.28% | 26.43% |
Ratios to Average Net AssetsJ,K | ||||||
Expenses before reductions | .92%L | .94% | .95% | .95% | .96% | .98% |
Expenses net of fee waivers, if any | .92%L | .94% | .95% | .95% | .96% | .98% |
Expenses net of all reductions | .90%L | .93% | .95% | .94% | .95% | .97% |
Net investment income (loss) | 2.02%L | 1.88% | 2.01% | 2.85% | 2.55%B | 2.07% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $633 | $686 | $703 | $688 | $794 | $777 |
Portfolio turnover rateM | 68%L | 48% | 36% | 53% | 33% | 34% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.11 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 2.21%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $1.03 per share is comprised of distributions from net investment income of $.577 and distributions from net realized gain of $.456 per share.
E Total distributions of $2.11 per share is comprised of distributions from net investment income of $.975 and distributions from net realized gain of $1.136 per share.
F Total distributions of $.67 per share is comprised of distributions from net investment income of $.636 and distributions from net realized gain of $.038 per share.
G Total returns for periods of less than one year are not annualized.
H Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
I Total returns do not include the effect of the sales charges.
J 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.
K 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.
L Annualized
M Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Equity Income Fund Class M
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $35.65 | $32.66 | $31.64 | $34.99 | $32.09 | $25.94 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .30 | .56 | .53 | .86 | .78B | .55 |
Net realized and unrealized gain (loss) | (.78) | 3.38 | 3.19 | (2.18) | 2.72 | 6.15 |
Total from investment operations | (.48) | 3.94 | 3.72 | (1.32) | 3.50 | 6.70 |
Distributions from net investment income | (.38) | (.50)C | (.59) | (.89) | (.56) | (.52) |
Distributions from net realized gain | (2.95) | (.46)C | (2.11) | (1.14) | (.04) | (.03) |
Total distributions | (3.33) | (.95)D | (2.70) | (2.03) | (.60) | (.55) |
Net asset value, end of period | $31.84 | $35.65 | $32.66 | $31.64 | $34.99 | $32.09 |
Total ReturnE,F,G | (1.65)% | 12.29% | 13.24% | (3.83)% | 11.04% | 26.14% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | 1.16%J | 1.17% | 1.18% | 1.18% | 1.18% | 1.19% |
Expenses net of fee waivers, if any | 1.16%J | 1.17% | 1.18% | 1.18% | 1.18% | 1.19% |
Expenses net of all reductions | 1.14%J | 1.17% | 1.18% | 1.17% | 1.18% | 1.18% |
Net investment income (loss) | 1.78%J | 1.64% | 1.78% | 2.62% | 2.33%B | 1.86% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $703 | $775 | $787 | $813 | $974 | $984 |
Portfolio turnover rateK | 68%J | 48% | 36% | 53% | 33% | 34% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.11 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.98%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $.95 per share is comprised of distributions from net investment income of $.495 and distributions from net realized gain of $.456 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the sales charges.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Equity Income Fund Class C
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $35.15 | $32.21 | $31.24 | $34.57 | $31.73 | $25.66 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .20 | .37 | .37 | .68 | .59B | .38 |
Net realized and unrealized gain (loss) | (.76) | 3.35 | 3.14 | (2.15) | 2.69 | 6.09 |
Total from investment operations | (.56) | 3.72 | 3.51 | (1.47) | 3.28 | 6.47 |
Distributions from net investment income | (.28) | (.32)C | (.43) | (.72) | (.40) | (.37) |
Distributions from net realized gain | (2.95) | (.46)C | (2.11) | (1.14) | (.04) | (.03) |
Total distributions | (3.24)D | (.78) | (2.54) | (1.86) | (.44) | (.40) |
Net asset value, end of period | $31.35 | $35.15 | $32.21 | $31.24 | $34.57 | $31.73 |
Total ReturnE,F,G | (1.93)% | 11.72% | 12.63% | (4.34)% | 10.44% | 25.46% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | 1.69%J | 1.70% | 1.72% | 1.72% | 1.72% | 1.74% |
Expenses net of fee waivers, if any | 1.69%J | 1.70% | 1.72% | 1.71% | 1.72% | 1.74% |
Expenses net of all reductions | 1.67%J | 1.70% | 1.71% | 1.71% | 1.71% | 1.73% |
Net investment income (loss) | 1.25%J | 1.11% | 1.24% | 2.09% | 1.79%B | 1.32% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $171 | $195 | $198 | $187 | $214 | $195 |
Portfolio turnover rateK | 68%J | 48% | 36% | 53% | 33% | 34% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.11 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.45%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $3.24 per share is comprised of distributions from net investment income of $.283 and distributions from net realized gain of $2.952 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the contingent deferred sales charge.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Equity Income Fund Class I
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $36.40 | $33.31 | $32.21 | $35.59 | $32.62 | $26.36 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .39 | .74 | .69 | 1.04 | .95B | .70 |
Net realized and unrealized gain (loss) | (.80) | 3.46 | 3.26 | (2.23) | 2.77 | 6.24 |
Total from investment operations | (.41) | 4.20 | 3.95 | (1.19) | 3.72 | 6.94 |
Distributions from net investment income | (.47) | (.65)C | (.74) | (1.06) | (.72) | (.65) |
Distributions from net realized gain | (2.95) | (.46)C | (2.11) | (1.14) | (.04) | (.03) |
Total distributions | (3.42) | (1.11) | (2.85) | (2.19)D | (.75)E | (.68) |
Net asset value, end of period | $32.57 | $36.40 | $33.31 | $32.21 | $35.59 | $32.62 |
Total ReturnF,G | (1.42)% | 12.86% | 13.82% | (3.37)% | 11.59% | 26.72% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | .67%J | .68% | .69% | .69% | .70% | .72% |
Expenses net of fee waivers, if any | .67%J | .68% | .69% | .69% | .70% | .72% |
Expenses net of all reductions | .64%J | .68% | .68% | .69% | .70% | .71% |
Net investment income (loss) | 2.28%J | 2.14% | 2.27% | 3.11% | 2.81%B | 2.34% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $250 | $269 | $439 | $428 | $496 | $483 |
Portfolio turnover rateK | 68%J | 48% | 36% | 53% | 33% | 34% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.12 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 2.46%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $2.19 per share is comprised of distributions from net investment income of $1.058 and distributions from net realized gain of $1.136 per share.
E Total distributions of $.75 per share is comprised of distributions from net investment income of $.716 and distributions from net realized gain of $.038 per share.
F Total returns for periods of less than one year are not annualized.
G Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Equity Income Fund Class Z
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013A | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $36.38 | $33.30 | $32.21 | $35.59 | $32.63 | $31.44 |
Income from Investment Operations | ||||||
Net investment income (loss)B | .41 | .79 | .74 | 1.08 | 1.03C | .23 |
Net realized and unrealized gain (loss) | (.81) | 3.46 | 3.24 | (2.21) | 2.74 | 1.12 |
Total from investment operations | (.40) | 4.25 | 3.98 | (1.13) | 3.77 | 1.35 |
Distributions from net investment income | (.49) | (.71)D | (.79) | (1.11) | (.78) | (.16) |
Distributions from net realized gain | (2.95) | (.46)D | (2.11) | (1.14) | (.04) | – |
Total distributions | (3.44) | (1.17) | (2.89)E | (2.25) | (.81)F | (.16) |
Net asset value, end of period | $32.54 | $36.38 | $33.30 | $32.21 | $35.59 | $32.63 |
Total ReturnG,H | (1.37)% | 13.02% | 13.96% | (3.20)% | 11.75% | 4.30% |
Ratios to Average Net AssetsI,J | ||||||
Expenses before reductions | .53%K | .54% | .54% | .54% | .54% | .54%K |
Expenses net of fee waivers, if any | .53%K | .53% | .54% | .54% | .54% | .54%K |
Expenses net of all reductions | .50%K | .53% | .53% | .53% | .54% | .54%K |
Net investment income (loss) | 2.42%K | 2.28% | 2.42% | 3.26% | 2.97%C | 2.37%K |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $21 | $23 | $15 | $14 | $4 | $– |
Portfolio turnover rateL | 68%K | 48% | 36% | 53% | 33% | 34% |
A For the period August 13, 2013 (commencement of sale of shares) to November 30, 2013.
B Calculated based on average shares outstanding during the period.
C Net Investment income per share reflects a large, non-recurring dividend which amounted to $.12 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 2.62%.
D The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
E Total distributions of $2.89 per share is comprised of distributions from net investment income of $.788 and distributions from net realized gain of $2.106 per share.
F Total distributions of $.81 per share is comprised of distributions from net investment income of $.775 and distributions from net realized gain of $.038 per share.
G Total returns for periods of less than one year are not annualized.
H Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
I 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.
J 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.
K Annualized
L Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
(Amounts in thousands except percentages)
1. Organization.
Fidelity Advisor Equity Income Fund (the Fund) is a fund of Fidelity Advisor Series I (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 M, Class C, Class I and Class Z shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events, changes in interest rates and credit quality. The frequency with which these procedures are used cannot be predicted and they may be utilized to a significant extent. The Committee oversees the Fund's valuation policies and procedures and reports to the Board on the Committee's activities and fair value determinations. The Board monitors the appropriateness of the procedures used in valuing the Fund's investments and ratifies the fair value determinations of the Committee.
The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels as shown below:
- Level 1 – quoted prices in active markets for identical investments
- Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, etc.)
- Level 3 – unobservable inputs (including the Fund's own assumptions based on the best information available)
Valuation techniques used to value the Fund's investments by major category are as follows:
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. 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 and bank loan 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. 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.
Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of May 31, 2018 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable. Paid in Kind (PIK) income is recorded at the fair market value of the securities received. Investment income is recorded net of foreign taxes withheld where recovery of such taxes is uncertain. Debt obligations may be placed on non-accrual status and related interest income may be reduced by ceasing current accruals and writing off interest receivables when the collection of all or a portion of interest has become doubtful based on consistently applied procedures. A debt obligation is removed from non-accrual status when the issuer resumes interest payments or when collectability of interest is reasonably assured.
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.
Deferred Trustee Compensation. Under a Deferred Compensation Plan (the Plan), certain independent Trustees have elected to defer receipt of a portion of their annual compensation. Deferred amounts are invested in a cross-section of Fidelity funds, are marked-to-market and remain in the Fund until distributed in accordance with the Plan. The investment of deferred amounts and the offsetting payable to the Trustees are included in the accompanying Statement of Assets and Liabilities.
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 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. These differences resulted in distribution reclassifications for the period ended November 30, 2017.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Capital accounts are not adjusted for temporary book-tax differences which will reverse in a subsequent period.
Book-tax differences are primarily due to foreign currency transactions, partnerships, market discount, deferred trustees compensation, contingent interest, equity-debt classifications, certain conversion ratio adjustments and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $264,251 |
Gross unrealized depreciation | (91,388) |
Net unrealized appreciation (depreciation) | $172,863 |
Tax cost | $1,599,456 |
Restricted Securities. The Fund may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities is included at the end of the Fund's Schedule of Investments.
Loans and Other Direct Debt Instruments. The Fund invests in direct debt instruments which are interests in amounts owed to lenders by corporate or other borrowers. These instruments may be in the form of loans, trade claims or other receivables and may include standby financing commitments such as revolving credit facilities that obligate the Fund to supply additional cash to the borrower on demand. Loans may be acquired through assignment or participation. The Fund did not have any unfunded loan commitments, which are contractual obligations for future funding, at period end.
Consolidated Subsidiary. The Fund invests in certain investments through a wholly-owned subsidiary ("Subsidiary"), which may be subject to federal and state taxes upon disposition.
As of period end, the Fund held an investment of $3,204 in this Subsidiary, representing .18% of the Fund's net assets. The financial statements have been consolidated and include accounts of the Fund and the Subsidiary. Accordingly, all inter-company transactions and balances have been eliminated.
Any cash held by the Subsidiary is restricted as to its use and is presented as Restricted cash in the Statement of Assets and Liabilities.
4. Purchases and Sales of Investments.
Purchases and sales of securities (including the Underlying Fund shares), other than short-term securities, aggregated $629,818 and $763,457, 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 .20% of the Fund's average net assets and an annualized group fee rate that averaged .24% 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 .44% of the Fund's average net assets.
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 Fee | Service Fee | Total Fees | Retained by FDC | |
Class A | -% | .25% | $835 | $19 |
Class M | .25% | .25% | 1,875 | 19 |
Class C | .75% | .25% | 930 | 59 |
$3,640 | $ 97 |
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 M 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 M and Class C redemptions. The deferred sales charges are 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class M shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained by FDC | |
Class A | $41 |
Class M | 10 |
Class C(a) | 4 |
$55 |
(a) When Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of 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, except for Class Z. FIIOC receives an asset-based fee of Class Z's average net assets. 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-Level Average Net Assets(a) | |
Class A | $636 | .19 |
Class M | 667 | .18 |
Class C | 193 | .21 |
Class I | 242 | .18 |
Class Z | 5 | .05 |
$1,743 |
(a) 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. For the period, the fees were equivalent to an annualized rate of .03%.
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 $18 for the period.
Interfund Lending Program. Pursuant to an Exemptive Order issued by the SEC, the Fund, along with other registered investment companies having management contracts with Fidelity Management & Research Company (FMR) or other affiliated entities of FMR, may participate in an interfund lending program. This program provides an alternative credit facility allowing the funds to borrow from, or lend money to, other participating affiliated funds. At period end, there were no interfund loans outstanding. The Fund's activity in this program during the period for which loans were outstanding was as follows:
Borrower or Lender | Average Loan Balance | Weighted Average Interest Rate | Interest Expense |
Borrower | $10,289 | 1.60% | $–(a) |
(a) In the amount of less than five hundred dollars.
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
6. 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 $3 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
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. The Fund or borrower may terminate the loan at any time, and 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. At period end, there were no security loans outstanding. 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 $41, including less than five hundred dollars from 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 $220 for the period.
In addition, during the period the investment adviser reimbursed and/or waived a portion of fund-level operating expenses in the amount of $10.
9. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended May 31, 2018 | Year ended November 30, 2017 | |
From net investment income | ||
Class A | $8,398 | $12,166 |
Class M | 8,262 | 11,510 |
Class C | 1,564 | 1,935 |
Class I | 3,476 | 6,869 |
Class Z | 330 | 354 |
Total | $22,030 | $32,834 |
From net realized gain | ||
Class A | $57,550 | $10,013 |
Class M | 63,732 | 10,945 |
Class C | 16,223 | 2,825 |
Class I | 21,497 | 6,056 |
Class Z | 2,068 | 219 |
Total | $161,070 | $30,058 |
10. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
Shares | Shares | Dollars | Dollars | |
Six months ended May 31, 2018 | Year ended November 30, 2017 | Six months ended May 31, 2018 | Year ended November 30, 2017 | |
Class A | ||||
Shares sold | 896 | 1,839 | $29,107 | $60,638 |
Reinvestment of distributions | 1,942 | 640 | 62,761 | 20,942 |
Shares redeemed | (2,142) | (4,800) | (69,342) | (159,493) |
Net increase (decrease) | 696 | (2,321) | $22,526 | $(77,913) |
Class M | ||||
Shares sold | 891 | 2,155 | $29,683 | $72,567 |
Reinvestment of distributions | 2,142 | 657 | 70,799 | 21,912 |
Shares redeemed | (2,695) | (5,187) | (89,350) | (175,531) |
Net increase (decrease) | 338 | (2,375) | $11,132 | $(81,052) |
Class C | ||||
Shares sold | 177 | 679 | $5,841 | $22,478 |
Reinvestment of distributions | 510 | 132 | 16,608 | 4,349 |
Shares redeemed | (762) | (1,413) | (24,956) | (47,260) |
Net increase (decrease) | (75) | (602) | $(2,507) | $(20,433) |
Class I | ||||
Shares sold | 522 | 2,331 | $17,751 | $80,541 |
Reinvestment of distributions | 674 | 359 | 22,744 | 12,182 |
Shares redeemed | (914) | (8,490) | (31,107) | (292,840) |
Net increase (decrease) | 282 | (5,800) | $9,388 | $(200,117) |
Class Z | ||||
Shares sold | 176 | 366 | $6,137 | $12,769 |
Reinvestment of distributions | 68 | 17 | 2,303 | 567 |
Shares redeemed | (212) | (216) | (7,078) | (7,452) |
Net increase (decrease) | 32 | 167 | $1,362 | $5,884 |
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.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
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. 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. 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.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Class A | .92% | |||
Actual | $1,000.00 | $984.50 | $4.55 | |
Hypothetical-C | $1,000.00 | $1,020.34 | $4.63 | |
Class M | 1.16% | |||
Actual | $1,000.00 | $983.50 | $5.74 | |
Hypothetical-C | $1,000.00 | $1,019.15 | $5.84 | |
Class C | 1.69% | |||
Actual | $1,000.00 | $980.70 | $8.35 | |
Hypothetical-C | $1,000.00 | $1,016.50 | $8.50 | |
Class I | .67% | |||
Actual | $1,000.00 | $985.80 | $3.32 | |
Hypothetical-C | $1,000.00 | $1,021.59 | $3.38 | |
Class Z | .53% | |||
Actual | $1,000.00 | $986.30 | $2.62 | |
Hypothetical-C | $1,000.00 | $1,022.29 | $2.67 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
EPI-SANN-0718
1.704674.120
Fidelity Advisor® Equity Value Fund Semi-Annual Report May 31, 2018 |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-877-208-0098 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. © 2018 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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
JPMorgan Chase & Co. | 4.0 |
Wells Fargo & Co. | 3.3 |
Berkshire Hathaway, Inc. Class B | 3.3 |
Exxon Mobil Corp. | 2.4 |
Amgen, Inc. | 2.4 |
U.S. Bancorp | 2.0 |
CVS Health Corp. | 1.9 |
Chevron Corp. | 1.7 |
United Technologies Corp. | 1.7 |
Time Warner, Inc. | 1.7 |
24.4 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Financials | 27.0 |
Health Care | 14.6 |
Energy | 11.6 |
Consumer Discretionary | 11.1 |
Information Technology | 8.5 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018* | ||
Stocks | 97.0% | |
Short-Term Investments and Net Other Assets (Liabilities) | 3.0% |
* Foreign investments - 19.7%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 97.0% | |||
Shares | Value | ||
CONSUMER DISCRETIONARY - 11.1% | |||
Media - 9.5% | |||
Cinemark Holdings, Inc. | 47,700 | $1,610,829 | |
Comcast Corp. Class A | 93,300 | 2,909,094 | |
Entercom Communications Corp. Class A (a) | 156,500 | 1,072,025 | |
Interpublic Group of Companies, Inc. | 141,100 | 3,188,860 | |
Lions Gate Entertainment Corp. Class B | 106,881 | 2,333,212 | |
The Walt Disney Co. | 30,800 | 3,063,676 | |
Time Warner, Inc. | 47,000 | 4,425,520 | |
Twenty-First Century Fox, Inc. Class A | 111,700 | 4,306,035 | |
WPP PLC | 127,900 | 2,107,805 | |
25,017,056 | |||
Multiline Retail - 0.6% | |||
Dollar General Corp. | 17,700 | 1,548,396 | |
Textiles, Apparel & Luxury Goods - 1.0% | |||
PVH Corp. | 16,700 | 2,672,000 | |
TOTAL CONSUMER DISCRETIONARY | 29,237,452 | ||
CONSUMER STAPLES - 7.7% | |||
Beverages - 1.6% | |||
C&C Group PLC | 387,020 | 1,352,813 | |
Coca-Cola European Partners PLC | 24,100 | 915,077 | |
PepsiCo, Inc. | 18,900 | 1,894,725 | |
4,162,615 | |||
Food & Staples Retailing - 1.1% | |||
Sysco Corp. | 23,100 | 1,502,193 | |
Walmart, Inc. | 17,500 | 1,444,450 | |
2,946,643 | |||
Food Products - 3.7% | |||
Kellogg Co. | 36,000 | 2,318,040 | |
Mondelez International, Inc. | 30,000 | 1,178,100 | |
Seaboard Corp. | 228 | 929,102 | |
The Hershey Co. | 13,500 | 1,215,540 | |
The J.M. Smucker Co. | 37,279 | 4,007,493 | |
9,648,275 | |||
Tobacco - 1.3% | |||
British American Tobacco PLC: | |||
(United Kingdom) | 22,400 | 1,149,805 | |
sponsored ADR | 44,100 | 2,257,920 | |
3,407,725 | |||
TOTAL CONSUMER STAPLES | 20,165,258 | ||
ENERGY - 11.6% | |||
Energy Equipment & Services - 1.5% | |||
Baker Hughes, a GE Co. Class A | 89,400 | 3,092,346 | |
Dril-Quip, Inc. (b) | 17,500 | 840,875 | |
3,933,221 | |||
Oil, Gas & Consumable Fuels - 10.1% | |||
Chevron Corp. | 36,797 | 4,573,867 | |
Exxon Mobil Corp. | 78,800 | 6,401,712 | |
FLEX LNG Ltd. (a)(b) | 616,371 | 877,549 | |
GasLog Ltd. | 27,500 | 495,000 | |
GasLog Partners LP | 97,700 | 2,388,765 | |
Golar LNG Partners LP | 101,000 | 1,693,770 | |
Hoegh LNG Partners LP | 59,300 | 1,025,890 | |
Phillips 66 Co. | 27,200 | 3,168,528 | |
Suncor Energy, Inc. | 54,000 | 2,150,671 | |
Teekay Corp. (a) | 135,500 | 1,081,290 | |
Teekay LNG Partners LP | 121,300 | 2,098,490 | |
Teekay Offshore Partners LP | 247,613 | 668,555 | |
26,624,087 | |||
TOTAL ENERGY | 30,557,308 | ||
FINANCIALS - 27.0% | |||
Banks - 12.1% | |||
JPMorgan Chase & Co. | 97,652 | 10,449,741 | |
PNC Financial Services Group, Inc. | 23,800 | 3,413,158 | |
SunTrust Banks, Inc. | 56,600 | 3,821,066 | |
U.S. Bancorp | 105,866 | 5,292,241 | |
Wells Fargo & Co. | 162,932 | 8,796,699 | |
31,772,905 | |||
Capital Markets - 2.3% | |||
Goldman Sachs Group, Inc. | 16,400 | 3,704,432 | |
State Street Corp. | 24,100 | 2,316,251 | |
6,020,683 | |||
Consumer Finance - 3.0% | |||
Capital One Financial Corp. | 23,318 | 2,191,892 | |
Discover Financial Services | 37,700 | 2,784,522 | |
Synchrony Financial | 84,700 | 2,933,161 | |
7,909,575 | |||
Diversified Financial Services - 4.0% | |||
Berkshire Hathaway, Inc. Class B (b) | 45,869 | 8,785,290 | |
Cannae Holdings, Inc. (b) | 31,692 | 633,523 | |
Standard Life PLC | 233,599 | 1,088,425 | |
10,507,238 | |||
Insurance - 4.1% | |||
Allstate Corp. | 16,300 | 1,523,724 | |
Chubb Ltd. | 20,600 | 2,692,214 | |
FNF Group | 38,080 | 1,407,437 | |
Prudential PLC | 86,355 | 2,074,280 | |
The Travelers Companies, Inc. | 24,587 | 3,159,921 | |
10,857,576 | |||
Mortgage Real Estate Investment Trusts - 1.5% | |||
AGNC Investment Corp. | 76,501 | 1,439,749 | |
Annaly Capital Management, Inc. | 143,705 | 1,498,843 | |
MFA Financial, Inc. | 133,036 | 1,035,020 | |
3,973,612 | |||
TOTAL FINANCIALS | 71,041,589 | ||
HEALTH CARE - 14.6% | |||
Biotechnology - 3.8% | |||
Amgen, Inc. | 35,100 | 6,304,662 | |
Dyax Corp. rights 12/31/19 (b)(c) | 58,900 | 207,917 | |
Shire PLC sponsored ADR | 21,143 | 3,472,526 | |
9,985,105 | |||
Health Care Providers & Services - 6.3% | |||
Aetna, Inc. | 13,000 | 2,289,690 | |
Anthem, Inc. | 11,300 | 2,502,046 | |
Cigna Corp. | 20,200 | 3,421,274 | |
CVS Health Corp. | 79,100 | 5,014,149 | |
McKesson Corp. | 7,800 | 1,107,132 | |
UnitedHealth Group, Inc. | 9,500 | 2,294,345 | |
16,628,636 | |||
Pharmaceuticals - 4.5% | |||
Allergan PLC | 18,800 | 2,835,040 | |
Bayer AG | 31,600 | 3,771,579 | |
Johnson & Johnson | 9,492 | 1,135,433 | |
Pfizer, Inc. | 26,400 | 948,552 | |
Roche Holding AG (participation certificate) | 5,984 | 1,283,040 | |
Sanofi SA sponsored ADR | 50,900 | 1,947,943 | |
11,921,587 | |||
TOTAL HEALTH CARE | 38,535,328 | ||
INDUSTRIALS - 6.1% | |||
Aerospace & Defense - 2.6% | |||
Harris Corp. | 12,000 | 1,805,640 | |
Huntington Ingalls Industries, Inc. | 1,800 | 397,926 | |
United Technologies Corp. | 36,200 | 4,518,484 | |
6,722,050 | |||
Machinery - 1.1% | |||
Allison Transmission Holdings, Inc. | 22,743 | 939,513 | |
Deere & Co. | 13,510 | 2,019,880 | |
2,959,393 | |||
Professional Services - 1.2% | |||
Dun & Bradstreet Corp. | 4,400 | 540,364 | |
Nielsen Holdings PLC | 81,600 | 2,461,872 | |
3,002,236 | |||
Road & Rail - 1.2% | |||
Union Pacific Corp. | 22,700 | 3,240,652 | |
TOTAL INDUSTRIALS | 15,924,331 | ||
INFORMATION TECHNOLOGY - 8.5% | |||
Communications Equipment - 1.9% | |||
Cisco Systems, Inc. | 63,082 | 2,694,232 | |
F5 Networks, Inc. (b) | 12,800 | 2,215,808 | |
4,910,040 | |||
Electronic Equipment & Components - 0.9% | |||
TE Connectivity Ltd. | 26,498 | 2,466,434 | |
Internet Software & Services - 2.5% | |||
Alphabet, Inc. Class A (b) | 3,000 | 3,300,000 | |
comScore, Inc. (b) | 69,600 | 1,740,000 | |
eBay, Inc. (b) | 41,900 | 1,580,468 | |
6,620,468 | |||
IT Services - 2.0% | |||
Amdocs Ltd. | 25,400 | 1,713,484 | |
Cognizant Technology Solutions Corp. Class A | 25,000 | 1,883,750 | |
The Western Union Co. | 79,000 | 1,571,310 | |
5,168,544 | |||
Technology Hardware, Storage & Peripherals - 1.2% | |||
Apple, Inc. | 16,400 | 3,064,668 | |
TOTAL INFORMATION TECHNOLOGY | 22,230,154 | ||
MATERIALS - 4.7% | |||
Chemicals - 3.3% | |||
DowDuPont, Inc. | 39,900 | 2,557,989 | |
LyondellBasell Industries NV Class A | 29,000 | 3,251,480 | |
Monsanto Co. | 15,700 | 2,001,122 | |
The Scotts Miracle-Gro Co. Class A | 11,300 | 961,969 | |
8,772,560 | |||
Containers & Packaging - 1.4% | |||
Ball Corp. | 47,300 | 1,747,735 | |
Graphic Packaging Holding Co. | 135,800 | 1,966,384 | |
3,714,119 | |||
TOTAL MATERIALS | 12,486,679 | ||
REAL ESTATE - 1.2% | |||
Real Estate Management & Development - 1.2% | |||
CBRE Group, Inc. (b) | 65,900 | 3,043,921 | |
TELECOMMUNICATION SERVICES - 1.6% | |||
Diversified Telecommunication Services - 1.6% | |||
Verizon Communications, Inc. | 89,900 | 4,285,533 | |
UTILITIES - 2.9% | |||
Electric Utilities - 2.9% | |||
Exelon Corp. | 92,800 | 3,840,992 | |
PPL Corp. | 27,000 | 737,640 | |
Xcel Energy, Inc. | 69,200 | 3,149,984 | |
7,728,616 | |||
TOTAL COMMON STOCKS | |||
(Cost $221,891,392) | 255,236,169 | ||
Money Market Funds - 3.8% | |||
Fidelity Cash Central Fund, 1.76% (d) | 7,587,869 | 7,589,386 | |
Fidelity Securities Lending Cash Central Fund 1.76% (d)(e) | 2,443,705 | 2,443,949 | |
TOTAL MONEY MARKET FUNDS | |||
(Cost $10,033,284) | 10,033,335 | ||
TOTAL INVESTMENT IN SECURITIES - 100.8% | |||
(Cost $231,924,676) | 265,269,504 | ||
NET OTHER ASSETS (LIABILITIES) - (0.8)% | (2,032,002) | ||
NET ASSETS - 100% | $263,237,502 |
Legend
(a) Security or a portion of the security is on loan at period end.
(b) Non-income producing
(c) Level 3 security
(d) 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.
(e) Investment made with cash collateral received from securities on loan.
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 | $37,190 |
Fidelity Securities Lending Cash Central Fund | 51,813 |
Total | $89,003 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $29,237,452 | $27,129,647 | $2,107,805 | $-- |
Consumer Staples | 20,165,258 | 19,015,453 | 1,149,805 | -- |
Energy | 30,557,308 | 30,557,308 | -- | -- |
Financials | 71,041,589 | 68,967,309 | 2,074,280 | -- |
Health Care | 38,535,328 | 33,272,792 | 5,054,619 | 207,917 |
Industrials | 15,924,331 | 15,924,331 | -- | -- |
Information Technology | 22,230,154 | 22,230,154 | -- | -- |
Materials | 12,486,679 | 12,486,679 | -- | -- |
Real Estate | 3,043,921 | 3,043,921 | -- | -- |
Telecommunication Services | 4,285,533 | 4,285,533 | -- | -- |
Utilities | 7,728,616 | 7,728,616 | -- | -- |
Money Market Funds | 10,033,335 | 10,033,335 | -- | -- |
Total Investments in Securities: | $265,269,504 | $254,675,078 | $10,386,509 | $207,917 |
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 80.3% |
United Kingdom | 3.9% |
Marshall Islands | 3.5% |
Switzerland | 2.4% |
Bailiwick of Jersey | 2.1% |
Canada | 1.7% |
Ireland | 1.6% |
Germany | 1.4% |
Netherlands | 1.2% |
Others (Individually Less Than 1%) | 1.9% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
May 31, 2018 (Unaudited) | ||
Assets | ||
Investment in securities, at value (including securities loaned of $2,302,125) — See accompanying schedule: Unaffiliated issuers (cost $221,891,392) | $255,236,169 | |
Fidelity Central Funds (cost $10,033,284) | 10,033,335 | |
Total Investment in Securities (cost $231,924,676) | $265,269,504 | |
Receivable for investments sold | 74,190 | |
Receivable for fund shares sold | 410,461 | |
Dividends receivable | 714,739 | |
Distributions receivable from Fidelity Central Funds | 10,958 | |
Prepaid expenses | 74 | |
Other receivables | 3,652 | |
Total assets | 266,483,578 | |
Liabilities | ||
Payable to custodian bank | $10 | |
Payable for investments purchased | 39,053 | |
Payable for fund shares redeemed | 531,673 | |
Accrued management fee | 99,045 | |
Distribution and service plan fees payable | 47,087 | |
Other affiliated payables | 52,901 | |
Other payables and accrued expenses | 33,157 | |
Collateral on securities loaned | 2,443,150 | |
Total liabilities | 3,246,076 | |
Net Assets | $263,237,502 | |
Net Assets consist of: | ||
Paid in capital | $222,427,887 | |
Undistributed net investment income | 1,451,445 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 6,013,143 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 33,345,027 | |
Net Assets | $263,237,502 | |
Calculation of Maximum Offering Price | ||
Class A: | ||
Net Asset Value and redemption price per share ($70,042,724 ÷ 3,803,808 shares) | $18.41 | |
Maximum offering price per share (100/94.25 of $18.41) | $19.53 | |
Class M: | ||
Net Asset Value and redemption price per share ($31,196,810 ÷ 1,695,297 shares) | $18.40 | |
Maximum offering price per share (100/96.50 of $18.40) | $19.07 | |
Class C: | ||
Net Asset Value and offering price per share ($22,461,907 ÷ 1,249,534 shares)(a) | $17.98 | |
Class I: | ||
Net Asset Value, offering price and redemption price per share ($138,037,811 ÷ 7,378,954 shares) | $18.71 | |
Class Z: | ||
Net Asset Value, offering price and redemption price per share ($1,498,250 ÷ 80,019 shares) | $18.72 |
(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.
Statement of Operations
Six months ended May 31, 2018 (Unaudited) | ||
Investment Income | ||
Dividends | $2,908,911 | |
Income from Fidelity Central Funds | 89,003 | |
Total income | 2,997,914 | |
Expenses | ||
Management fee | ||
Basic fee | $748,228 | |
Performance adjustment | (100,081) | |
Transfer agent fees | 272,125 | |
Distribution and service plan fees | 306,567 | |
Accounting and security lending fees | 54,093 | |
Custodian fees and expenses | 8,013 | |
Independent trustees' fees and expenses | 626 | |
Registration fees | 68,220 | |
Audit | 31,468 | |
Legal | 2,737 | |
Miscellaneous | 910 | |
Total expenses before reductions | 1,392,906 | |
Expense reductions | (5,364) | |
Total expenses after reductions | 1,387,542 | |
Net investment income (loss) | 1,610,372 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 6,591,522 | |
Fidelity Central Funds | 32 | |
Foreign currency transactions | (4,700) | |
Total net realized gain (loss) | 6,586,854 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers | (11,874,728) | |
Fidelity Central Funds | (40) | |
Assets and liabilities in foreign currencies | (1,342) | |
Total change in net unrealized appreciation (depreciation) | (11,876,110) | |
Net gain (loss) | (5,289,256) | |
Net increase (decrease) in net assets resulting from operations | $(3,678,884) |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 | |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $1,610,372 | $2,567,475 |
Net realized gain (loss) | 6,586,854 | 3,171,857 |
Change in net unrealized appreciation (depreciation) | (11,876,110) | 26,265,201 |
Net increase (decrease) in net assets resulting from operations | (3,678,884) | 32,004,533 |
Distributions to shareholders from net investment income | (2,036,192) | (1,129,904) |
Distributions to shareholders from net realized gain | (638,905) | – |
Total distributions | (2,675,097) | (1,129,904) |
Share transactions - net increase (decrease) | (13,370,971) | 78,757,819 |
Total increase (decrease) in net assets | (19,724,952) | 109,632,448 |
Net Assets | ||
Beginning of period | 282,962,454 | 173,330,006 |
End of period | $263,237,502 | $282,962,454 |
Other Information | ||
Undistributed net investment income end of period | $1,451,445 | $1,877,265 |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Equity Value Fund Class A
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $18.84 | $16.46 | $15.66 | $16.00 | $13.93 | $10.60 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .11 | .21 | .17 | .35B | .17 | .13 |
Net realized and unrealized gain (loss) | (.37) | 2.30 | 1.00 | (.50)C | 2.01 | 3.33 |
Total from investment operations | (.26) | 2.51 | 1.17 | (.15) | 2.18 | 3.46 |
Distributions from net investment income | (.13) | (.13) | (.24)D | (.19) | (.11) | (.13) |
Distributions from net realized gain | (.05) | – | (.13)D | – | – | – |
Total distributions | (.17)E | (.13) | (.37) | (.19) | (.11) | (.13) |
Net asset value, end of period | $18.41 | $18.84 | $16.46 | $15.66 | $16.00 | $13.93 |
Total ReturnF,G,H | (1.40)% | 15.35% | 7.75% | (.91)%C | 15.79% | 33.09% |
Ratios to Average Net AssetsI,J | ||||||
Expenses before reductions | 1.04%K | 1.10% | 1.19% | 1.24% | 1.23% | 1.22% |
Expenses net of fee waivers, if any | 1.04%K | 1.09% | 1.19% | 1.23% | 1.23% | 1.22% |
Expenses net of all reductions | 1.04%K | 1.08% | 1.19% | 1.23% | 1.23% | 1.20% |
Net investment income (loss) | 1.13%K | 1.18% | 1.08% | 2.23%B | 1.15% | 1.07% |
Supplemental Data | ||||||
Net assets, end of period (000 omitted) | $70,043 | $81,229 | $77,787 | $67,005 | $50,957 | $39,538 |
Portfolio turnover rateL | 34%K | 42% | 46% | 49% | 68% | 68% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.14 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.31%.
C Net realized and unrealized gain (loss) per share reflects proceeds received from litigation which amounted to $.01 per share. Excluding these litigation proceeds, the total return would have been (.99)%.
D The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
E Total distributions of $.17 per share is comprised of distributions from net investment income of $.126 and distributions from net realized gain of $.045 per share.
F Total returns for periods of less than one year are not annualized.
G Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
H Total returns do not include the effect of the sales charges.
I 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.
J 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.
K Annualized
L Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Equity Value Fund Class M
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $18.80 | $16.43 | $15.62 | $15.96 | $13.90 | $10.57 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .08 | .16 | .12 | .31B | .13 | .10 |
Net realized and unrealized gain (loss) | (.36) | 2.30 | 1.01 | (.50)C | 2.01 | 3.34 |
Total from investment operations | (.28) | 2.46 | 1.13 | (.19) | 2.14 | 3.44 |
Distributions from net investment income | (.07) | (.09) | (.19)D | (.15) | (.08) | (.11) |
Distributions from net realized gain | (.05) | – | (.13)D | – | – | – |
Total distributions | (.12) | (.09) | (.32) | (.15) | (.08) | (.11) |
Net asset value, end of period | $18.40 | $18.80 | $16.43 | $15.62 | $15.96 | $13.90 |
Total ReturnE,F,G | (1.52)% | 15.02% | 7.49% | (1.19)%C | 15.46% | 32.82% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | 1.31%J | 1.36% | 1.46% | 1.50% | 1.49% | 1.48% |
Expenses net of fee waivers, if any | 1.31%J | 1.35% | 1.46% | 1.50% | 1.49% | 1.48% |
Expenses net of all reductions | 1.31%J | 1.35% | 1.45% | 1.50% | 1.49% | 1.46% |
Net investment income (loss) | .86%J | .91% | .81% | 1.96%B | .88% | .81% |
Supplemental Data | ||||||
Net assets, end of period (000 omitted) | $31,197 | $38,976 | $38,565 | $34,643 | $31,087 | $27,241 |
Portfolio turnover rateK | 34%J | 42% | 46% | 49% | 68% | 68% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.14 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.05%.
C Net realized and unrealized gain (loss) per share reflects proceeds received from litigation which amounted to $.01 per share. Excluding these litigation proceeds, the total return would have been (1.27)%.
D The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the sales charges.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Equity Value Fund Class C
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $18.33 | $16.04 | $15.27 | $15.63 | $13.63 | $10.37 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .03 | .07 | .05 | .23B | .06 | .04 |
Net realized and unrealized gain (loss) | (.35) | 2.24 | .98 | (.49)C | 1.97 | 3.28 |
Total from investment operations | (.32) | 2.31 | 1.03 | (.26) | 2.03 | 3.32 |
Distributions from net investment income | – | (.02) | (.13)D | (.10) | (.03) | (.06) |
Distributions from net realized gain | (.03) | – | (.13)D | – | – | – |
Total distributions | (.03) | (.02) | (.26) | (.10) | (.03) | (.06) |
Net asset value, end of period | $17.98 | $18.33 | $16.04 | $15.27 | $15.63 | $13.63 |
Total ReturnE,F,G | (1.77)% | 14.44% | 6.95% | (1.68)%C | 14.90% | 32.16% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | 1.82%J | 1.87% | 1.96% | 2.00% | 2.00% | 1.97% |
Expenses net of fee waivers, if any | 1.82%J | 1.86% | 1.96% | 2.00% | 2.00% | 1.97% |
Expenses net of all reductions | 1.82%J | 1.86% | 1.95% | 2.00% | 1.99% | 1.96% |
Net investment income (loss) | .35%J | .40% | .31% | 1.46%B | .38% | .32% |
Supplemental Data | ||||||
Net assets, end of period (000 omitted) | $22,462 | $25,427 | $34,006 | $28,295 | $18,614 | $12,329 |
Portfolio turnover rateK | 34%J | 42% | 46% | 49% | 68% | 68% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.14 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .55%.
C Net realized and unrealized gain (loss) per share reflects proceeds received from litigation which amounted to $.01 per share. Excluding these litigation proceeds, the total return would have been (1.76)%.
D The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the contingent deferred sales charge.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Equity Value Fund Class I
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $19.18 | $16.74 | $15.93 | $16.27 | $14.16 | $10.75 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .13 | .26 | .21 | .40B | .22 | .17 |
Net realized and unrealized gain (loss) | (.36) | 2.35 | 1.02 | (.50)C | 2.04 | 3.39 |
Total from investment operations | (.23) | 2.61 | 1.23 | (.10) | 2.26 | 3.56 |
Distributions from net investment income | (.19) | (.17) | (.29)D | (.24) | (.15) | (.15) |
Distributions from net realized gain | (.05) | – | (.13)D | – | – | – |
Total distributions | (.24) | (.17) | (.42) | (.24) | (.15) | (.15) |
Net asset value, end of period | $18.71 | $19.18 | $16.74 | $15.93 | $16.27 | $14.16 |
Total ReturnE,F | (1.26)% | 15.73% | 8.02% | (.60)%C | 16.16% | 33.61% |
Ratios to Average Net AssetsG,H | ||||||
Expenses before reductions | .77%I | .82% | .91% | .93% | .91% | .89% |
Expenses net of fee waivers, if any | .77%I | .82% | .91% | .93% | .91% | .89% |
Expenses net of all reductions | .77%I | .82% | .91% | .93% | .91% | .87% |
Net investment income (loss) | 1.40%I | 1.45% | 1.36% | 2.53%B | 1.46% | 1.40% |
Supplemental Data | ||||||
Net assets, end of period (000 omitted) | $138,038 | $136,750 | $22,972 | $25,984 | $5,162 | $3,126 |
Portfolio turnover rateJ | 34%I | 42% | 46% | 49% | 68% | 68% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.15 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.61%.
C Net realized and unrealized gain (loss) per share reflects proceeds received from litigation which amounted to $.01 per share. Excluding these litigation proceeds, the total return would have been (.68)%.
D The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G 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.
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 Annualized
J Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Equity Value Fund Class Z
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |
2018 | 2017 A | |
Selected Per–Share Data | ||
Net asset value, beginning of period | $19.20 | $17.46 |
Income from Investment Operations | ||
Net investment income (loss)B | .15 | .24 |
Net realized and unrealized gain (loss) | (.37) | 1.50 |
Total from investment operations | (.22) | 1.74 |
Distributions from net investment income | (.21) | – |
Distributions from net realized gain | (.05) | – |
Total distributions | (.26) | – |
Net asset value, end of period | $18.72 | $19.20 |
Total ReturnC,D | (1.20)% | 9.97% |
Ratios to Average Net AssetsE,F | ||
Expenses before reductions | .63%G | .69%G |
Expenses net of fee waivers, if any | .63%G | .69%G |
Expenses net of all reductions | .63%G | .68%G |
Net investment income (loss) | 1.54%G | 1.59%G |
Supplemental Data | ||
Net assets, end of period (000 omitted) | $1,498 | $581 |
Portfolio turnover rateH | 34%G | 42% |
A For the period February 1, 2017 (commencement of sale of shares) to November 30, 2017.
B Calculated based on average shares outstanding during the period.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of 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.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
1. Organization.
Fidelity Advisor Equity Value Fund (the Fund) is a fund of Fidelity Advisor Series I (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 M, Class C, Class I and Class Z shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events. 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. For equity securities, including restricted securities, where observable inputs are limited, assumptions about market activity and risk are used and these securities may be categorized as Level 3 in the hierarchy.
Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of May 31, 2018 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain.
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.
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 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 foreign currency transactions, passive foreign investment companies (PFIC), partnerships, capital loss carryforwards and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes as follows:
Gross unrealized appreciation | $43,344,912 |
Gross unrealized depreciation | (10,479,351) |
Net unrealized appreciation (depreciation) | $32,865,561 |
Tax cost | $232,403,943 |
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $45,399,149 and $59,473,513, 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 .30% of the Fund's average net assets and an annualized group fee rate that averaged .24% 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. In addition, the management fee is subject to a performance adjustment (up to a maximum of +/- .20% of the Fund's average net assets over a 36 month performance period. The upward or downward adjustment to the management fee is based on the relative investment performance of Class I of the Fund as compared to its benchmark index, the Russell 3000 Value Index, over the same 36 month performance period. For the reporting period, the total annualized management fee rate, including the performance adjustment, was .47% of the Fund's average net assets. The performance adjustment included in the management fee rate may be higher or lower than the maximum performance adjustment rate due to the difference between the average net assets for the reporting and performance periods.
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 Fee | Service Fee | Total Fees | Retained by FDC | |
Class A | -% | .25% | $96,422 | $2,127 |
Class M | .25% | .25% | 88,796 | 1,324 |
Class C | .75% | .25% | 121,349 | 10,313 |
$306,567 | $13,764 |
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 M 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 M and Class C redemptions. The deferred sales charges are 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class M shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained by FDC | |
Class A | $9,411 |
Class M | 1,733 |
Class C(a) | 1,178 |
$12,322 |
(a) When Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of 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, except for Class Z. FIIOC receives an asset-based fee of Class Z's average net assets. 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-Level Average Net Assets(a) | |
Class A | $78,887 | .20 |
Class M | 39,238 | .22 |
Class C | 28,212 | .23 |
Class I | 125,534 | .18 |
Class Z | 254 | .05 |
$272,125 |
(a) 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. For the period, the fees were equivalent to an annualized rate of .04%.
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 $1,171 for the period.
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
Other. During the period, the investment adviser reimbursed the Fund for certain losses in the amount of $3,015.
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 $399 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
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. The Fund or borrower may terminate the loan at any time, and 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 $51,813. 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 $3,947 for the period.
In addition, during the period the investment adviser reimbursed and/or waived a portion of fund-level operating expenses in the amount of $1,417.
9. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended May 31, 2018 | Year ended November 30, 2017 | |
From net investment income | ||
Class A | $536,463 | $626,176 |
Class M | 150,348 | 207,819 |
Class C | – | 51,210 |
Class I | 1,340,491 | 244,699 |
Class Z | 8,890 | – |
Total | $2,036,192 | $1,129,904 |
From net realized gain | ||
Class A | $191,594 | $– |
Class M | 92,682 | – |
Class C | 36,911 | – |
Class I | 315,822 | – |
Class Z | 1,896 | – |
Total | $638,905 | $– |
10. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
Shares | Shares | Dollars | Dollars | |
Six months ended May 31, 2018 | Year ended November 30, 2017(a) | Six months ended May 31, 2018 | Year ended November 30, 2017(a) | |
Class A | ||||
Shares sold | 235,057 | 865,189 | $4,477,614 | $15,229,834 |
Reinvestment of distributions | 37,430 | 35,742 | 710,804 | 606,547 |
Shares redeemed | (779,322) | (1,315,692) | (14,616,494) | (23,326,026) |
Net increase (decrease) | (506,835) | (414,761) | $(9,428,076) | $(7,489,645) |
Class M | ||||
Shares sold | 69,361 | 330,063 | $1,313,097 | $5,777,329 |
Reinvestment of distributions | 12,686 | 12,052 | 241,033 | 204,639 |
Shares redeemed | (459,442) | (616,921) | (8,625,943) | (10,915,731) |
Net increase (decrease) | (377,395) | (274,806) | $(7,071,813) | $(4,933,763) |
Class C | ||||
Shares sold | 76,052 | 247,472 | $1,407,152 | $4,232,230 |
Reinvestment of distributions | 1,869 | 2,866 | 34,762 | 47,668 |
Shares redeemed | (215,593) | (983,824) | (3,988,505) | (16,852,316) |
Net increase (decrease) | (137,672) | (733,486) | $(2,546,591) | $(12,572,418) |
Class I | ||||
Shares sold | 1,351,867 | 7,069,018 | $25,807,018 | $126,873,595 |
Reinvestment of distributions | 77,656 | 8,771 | 1,495,652 | 151,116 |
Shares redeemed | (1,180,811) | (1,319,482) | (22,594,395) | (23,819,535) |
Net increase (decrease) | 248,712 | 5,758,307 | $4,708,275 | $103,205,176 |
Class Z | ||||
Shares sold | 64,804 | 49,947 | $1,256,466 | $913,661 |
Reinvestment of distributions | 526 | – | 10,140 | – |
Shares redeemed | (15,571) | (19,687) | (299,372) | (365,192) |
Net increase (decrease) | 49,759 | 30,260 | $967,234 | $548,469 |
(a) Share transactions for Class Z are for the period February 1, 2017 (commencement of sale of shares) to November 30, 2017.
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.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
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. 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. 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.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Class A | 1.04% | |||
Actual | $1,000.00 | $986.00 | $5.15 | |
Hypothetical-C | $1,000.00 | $1,019.75 | $5.24 | |
Class M | 1.31% | |||
Actual | $1,000.00 | $984.80 | $6.48 | |
Hypothetical-C | $1,000.00 | $1,018.40 | $6.59 | |
Class C | 1.82% | |||
Actual | $1,000.00 | $982.30 | $8.99 | |
Hypothetical-C | $1,000.00 | $1,015.86 | $9.15 | |
Class I | .77% | |||
Actual | $1,000.00 | $987.40 | $3.82 | |
Hypothetical-C | $1,000.00 | $1,021.09 | $3.88 | |
Class Z | .63% | |||
Actual | $1,000.00 | $988.00 | $3.12 | |
Hypothetical-C | $1,000.00 | $1,021.79 | $3.18 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
AEV-SANN-0718
1.759108.117
Fidelity Advisor® Growth & Income Fund Semi-Annual Report May 31, 2018 |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-877-208-0098 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. © 2018 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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Microsoft Corp. | 4.0 |
Bank of America Corp. | 3.2 |
Exxon Mobil Corp. | 2.9 |
JPMorgan Chase & Co.(a) | 2.6 |
Citigroup, Inc. | 2.5 |
Apple, Inc. | 2.4 |
Comcast Corp. Class A | 2.3 |
Chevron Corp. | 2.2 |
Suncor Energy, Inc. | 2.1 |
Wells Fargo & Co. | 2.1 |
26.3 |
(a) Security or a portion of the security is pledged as collateral for call options written.
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Financials | 20.1 |
Information Technology | 16.2 |
Energy | 14.9 |
Health Care | 13.2 |
Industrials | 11.5 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018*,** | ||
Stocks | 97.0% | |
Convertible Securities | 0.5% | |
Other Investments | 0.1% | |
Short-Term Investments and Net Other Assets (Liabilities) | 2.4% |
* Foreign investments - 13.8%
** Written options - (0.0)%
Percentages shown as 0.0% may reflect amounts less than 0.05%.
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 97.0% | |||
Shares | Value (000s) | ||
CONSUMER DISCRETIONARY - 8.5% | |||
Hotels, Restaurants & Leisure - 0.7% | |||
Cedar Fair LP (depositary unit) | 2,500 | $166 | |
DineEquity, Inc. | 13,500 | 857 | |
Dunkin' Brands Group, Inc. | 36,900 | 2,363 | |
Papa John's International, Inc. | 9,400 | 483 | |
Starbucks Corp. | 5,500 | 312 | |
4,181 | |||
Media - 4.7% | |||
Comcast Corp. Class A | 439,458 | 13,702 | |
Interpublic Group of Companies, Inc. | 143,600 | 3,245 | |
Omnicom Group, Inc. | 15,900 | 1,146 | |
The Walt Disney Co. | 64,800 | 6,446 | |
Time Warner, Inc. | 28,100 | 2,646 | |
Viacom, Inc. Class B (non-vtg.) | 21,300 | 577 | |
27,762 | |||
Multiline Retail - 0.3% | |||
Target Corp. | 22,799 | 1,662 | |
Specialty Retail - 2.8% | |||
L Brands, Inc. | 64,200 | 2,177 | |
Lowe's Companies, Inc. | 72,257 | 6,865 | |
Ross Stores, Inc. | 25,800 | 2,035 | |
TJX Companies, Inc. | 48,120 | 4,346 | |
Williams-Sonoma, Inc. (a) | 19,900 | 1,102 | |
16,525 | |||
TOTAL CONSUMER DISCRETIONARY | 50,130 | ||
CONSUMER STAPLES - 7.3% | |||
Beverages - 1.2% | |||
The Coca-Cola Co. | 166,884 | 7,176 | |
Food & Staples Retailing - 1.1% | |||
Walmart, Inc. | 80,400 | 6,636 | |
Food Products - 0.3% | |||
Campbell Soup Co. | 15,900 | 535 | |
The Hershey Co. | 10,100 | 909 | |
1,444 | |||
Household Products - 1.8% | |||
Kimberly-Clark Corp. | 17,200 | 1,735 | |
Procter & Gamble Co. | 86,435 | 6,324 | |
Reckitt Benckiser Group PLC | 33,187 | 2,540 | |
Spectrum Brands Holdings, Inc. | 2,600 | 207 | |
10,806 | |||
Personal Products - 0.2% | |||
Unilever NV (NY Reg.) | 18,800 | 1,048 | |
Tobacco - 2.7% | |||
Altria Group, Inc. | 183,620 | 10,235 | |
British American Tobacco PLC sponsored ADR | 103,500 | 5,299 | |
15,534 | |||
TOTAL CONSUMER STAPLES | 42,644 | ||
ENERGY - 14.8% | |||
Energy Equipment & Services - 1.2% | |||
Baker Hughes, a GE Co. Class A | 92,400 | 3,196 | |
Nabors Industries Ltd. | 63,800 | 477 | |
National Oilwell Varco, Inc. | 46,000 | 1,905 | |
Oceaneering International, Inc. | 60,900 | 1,451 | |
7,029 | |||
Oil, Gas & Consumable Fuels - 13.6% | |||
Anadarko Petroleum Corp. | 17,900 | 1,249 | |
BP PLC sponsored ADR | 121,539 | 5,569 | |
Cabot Oil & Gas Corp. | 107,200 | 2,450 | |
Cenovus Energy, Inc. | 718,400 | 7,580 | |
Cenovus Energy, Inc. | 3,000 | 32 | |
Chevron Corp. | 104,563 | 12,997 | |
ConocoPhillips Co. | 89,295 | 6,018 | |
Enterprise Products Partners LP | 33,100 | 957 | |
Exxon Mobil Corp. | 206,000 | 16,735 | |
Golar LNG Ltd. | 52,000 | 1,351 | |
Imperial Oil Ltd. | 72,400 | 2,369 | |
Legacy Reserves LP (b) | 83,600 | 475 | |
Statoil ASA sponsored ADR | 71,600 | 1,880 | |
Suncor Energy, Inc. | 313,190 | 12,473 | |
Teekay LNG Partners LP | 39,500 | 683 | |
The Williams Companies, Inc. | 136,231 | 3,659 | |
Williams Partners LP | 81,720 | 3,252 | |
79,729 | |||
TOTAL ENERGY | 86,758 | ||
FINANCIALS - 20.1% | |||
Banks - 13.4% | |||
Bank of America Corp. | 648,442 | 18,831 | |
BNP Paribas SA (a) | 3,000 | 186 | |
Citigroup, Inc. | 216,427 | 14,434 | |
Cullen/Frost Bankers, Inc. | 900 | 103 | |
First Hawaiian, Inc. | 14,400 | 422 | |
JPMorgan Chase & Co. (c) | 141,643 | 15,157 | |
M&T Bank Corp. | 300 | 52 | |
PNC Financial Services Group, Inc. | 34,416 | 4,936 | |
SunTrust Banks, Inc. | 102,935 | 6,949 | |
U.S. Bancorp | 108,230 | 5,410 | |
Wells Fargo & Co. | 228,050 | 12,312 | |
78,792 | |||
Capital Markets - 5.8% | |||
Apollo Global Management LLC Class A | 40,300 | 1,262 | |
Charles Schwab Corp. | 57,213 | 3,182 | |
KKR & Co. LP | 169,613 | 3,770 | |
Morgan Stanley (c) | 81,130 | 4,068 | |
Northern Trust Corp. | 73,937 | 7,580 | |
Oaktree Capital Group LLC Class A | 28,900 | 1,183 | |
S&P Global, Inc. | 13,000 | 2,568 | |
State Street Corp. | 107,370 | 10,319 | |
33,932 | |||
Insurance - 0.7% | |||
Marsh & McLennan Companies, Inc. | 24,066 | 1,934 | |
MetLife, Inc. | 54,600 | 2,511 | |
4,445 | |||
Thrifts & Mortgage Finance - 0.2% | |||
Radian Group, Inc. | 75,790 | 1,205 | |
TOTAL FINANCIALS | 118,374 | ||
HEALTH CARE - 12.9% | |||
Biotechnology - 2.1% | |||
Alexion Pharmaceuticals, Inc. (b) | 28,000 | 3,252 | |
Amgen, Inc. | 41,006 | 7,365 | |
Biogen, Inc. (b) | 1,500 | 441 | |
Intercept Pharmaceuticals, Inc. (b) | 14,795 | 1,039 | |
12,097 | |||
Health Care Equipment & Supplies - 0.9% | |||
Becton, Dickinson & Co. | 1,500 | 332 | |
Boston Scientific Corp. (b) | 26,600 | 808 | |
Danaher Corp. | 21,500 | 2,135 | |
Fisher & Paykel Healthcare Corp. | 31,448 | 292 | |
ResMed, Inc. | 7,600 | 781 | |
Steris PLC | 4,800 | 498 | |
Zimmer Biomet Holdings, Inc. | 4,590 | 512 | |
5,358 | |||
Health Care Providers & Services - 5.1% | |||
AmerisourceBergen Corp. | 40,700 | 3,343 | |
Anthem, Inc. | 15,000 | 3,321 | |
Cardinal Health, Inc. | 71,500 | 3,724 | |
Cigna Corp. | 16,100 | 2,727 | |
CVS Health Corp. | 110,851 | 7,027 | |
Fresenius Medical Care AG & Co. KGaA sponsored ADR | 15,400 | 769 | |
Humana, Inc. | 4,900 | 1,426 | |
McKesson Corp. | 27,933 | 3,965 | |
Patterson Companies, Inc. | 56,200 | 1,176 | |
UnitedHealth Group, Inc. | 11,000 | 2,657 | |
30,135 | |||
Pharmaceuticals - 4.8% | |||
Allergan PLC | 7,600 | 1,146 | |
AstraZeneca PLC sponsored ADR | 62,200 | 2,303 | |
Bayer AG | 21,300 | 2,542 | |
GlaxoSmithKline PLC sponsored ADR | 233,809 | 9,474 | |
Johnson & Johnson | 60,601 | 7,249 | |
Novartis AG sponsored ADR | 3,401 | 253 | |
Perrigo Co. PLC | 2,400 | 176 | |
Pfizer, Inc. | 29,300 | 1,053 | |
Sanofi SA | 18,423 | 1,412 | |
Teva Pharmaceutical Industries Ltd. sponsored ADR | 126,074 | 2,711 | |
28,319 | |||
TOTAL HEALTH CARE | 75,909 | ||
INDUSTRIALS - 11.4% | |||
Aerospace & Defense - 2.2% | |||
General Dynamics Corp. | 12,000 | 2,421 | |
Meggitt PLC | 17,077 | 112 | |
Rolls-Royce Holdings PLC | 113,400 | 1,241 | |
United Technologies Corp. | 71,331 | 8,904 | |
12,678 | |||
Air Freight & Logistics - 1.7% | |||
C.H. Robinson Worldwide, Inc. | 21,500 | 1,871 | |
Expeditors International of Washington, Inc. | 8,200 | 611 | |
United Parcel Service, Inc. Class B | 62,679 | 7,278 | |
9,760 | |||
Commercial Services & Supplies - 0.1% | |||
Healthcare Services Group, Inc. | 13,300 | 481 | |
Ritchie Brothers Auctioneers, Inc. | 8,900 | 303 | |
784 | |||
Electrical Equipment - 0.7% | |||
Acuity Brands, Inc. | 18,400 | 2,176 | |
Hubbell, Inc. Class B | 15,812 | 1,703 | |
3,879 | |||
Industrial Conglomerates - 1.7% | |||
3M Co. | 300 | 59 | |
General Electric Co. | 707,993 | 9,969 | |
10,028 | |||
Machinery - 1.1% | |||
Donaldson Co., Inc. | 12,200 | 576 | |
Flowserve Corp. | 74,200 | 3,067 | |
PACCAR, Inc. | 1,700 | 106 | |
Snap-On, Inc. | 5,200 | 769 | |
Wabtec Corp. | 20,900 | 2,038 | |
6,556 | |||
Professional Services - 0.3% | |||
Nielsen Holdings PLC | 50,200 | 1,515 | |
Road & Rail - 2.6% | |||
CSX Corp. | 37,633 | 2,433 | |
J.B. Hunt Transport Services, Inc. | 31,120 | 3,986 | |
Norfolk Southern Corp. | 20,608 | 3,125 | |
Union Pacific Corp. | 40,800 | 5,825 | |
15,369 | |||
Trading Companies & Distributors - 1.0% | |||
Bunzl PLC | 12,900 | 393 | |
Fastenal Co. | 38,800 | 2,065 | |
Howden Joinery Group PLC | 18,000 | 120 | |
MSC Industrial Direct Co., Inc. Class A | 8,800 | 808 | |
Watsco, Inc. | 15,064 | 2,772 | |
6,158 | |||
TOTAL INDUSTRIALS | 66,727 | ||
INFORMATION TECHNOLOGY - 16.2% | |||
Communications Equipment - 1.3% | |||
Cisco Systems, Inc. (c) | 179,371 | 7,661 | |
Electronic Equipment & Components - 0.1% | |||
Avnet, Inc. | 10,400 | 396 | |
Philips Lighting NV (d) | 10,118 | 289 | |
685 | |||
Internet Software & Services - 1.4% | |||
Alphabet, Inc.: | |||
Class A (b) | 3,773 | 4,150 | |
Class C (b) | 3,613 | 3,920 | |
LogMeIn, Inc. | 2,000 | 216 | |
8,286 | |||
IT Services - 3.3% | |||
Accenture PLC Class A | 6,000 | 934 | |
IBM Corp. | 6,600 | 933 | |
MasterCard, Inc. Class A | 10,090 | 1,918 | |
Paychex, Inc. | 89,309 | 5,857 | |
Unisys Corp. (b) | 106,992 | 1,289 | |
Visa, Inc. Class A | 67,040 | 8,763 | |
19,694 | |||
Semiconductors & Semiconductor Equipment - 1.8% | |||
Analog Devices, Inc. | 5,800 | 564 | |
Qualcomm, Inc. | 168,098 | 9,770 | |
United Microelectronics Corp. sponsored ADR | 130,000 | 361 | |
10,695 | |||
Software - 5.9% | |||
Micro Focus International PLC | 76,643 | 1,358 | |
Microsoft Corp. | 235,773 | 23,308 | |
Oracle Corp. | 138,984 | 6,493 | |
SAP SE sponsored ADR | 28,700 | 3,237 | |
34,396 | |||
Technology Hardware, Storage & Peripherals - 2.4% | |||
Apple, Inc. | 73,973 | 13,823 | |
TOTAL INFORMATION TECHNOLOGY | 95,240 | ||
MATERIALS - 1.9% | |||
Chemicals - 1.6% | |||
CF Industries Holdings, Inc. | 46,600 | 1,917 | |
LyondellBasell Industries NV Class A | 32,700 | 3,666 | |
Nutrien Ltd. | 61,780 | 3,126 | |
The Scotts Miracle-Gro Co. Class A | 11,200 | 953 | |
9,662 | |||
Metals & Mining - 0.3% | |||
BHP Billiton Ltd. sponsored ADR (a) | 35,200 | 1,752 | |
TOTAL MATERIALS | 11,414 | ||
REAL ESTATE - 1.4% | |||
Equity Real Estate Investment Trusts (REITs) - 1.4% | |||
American Tower Corp. | 12,100 | 1,674 | |
CoreSite Realty Corp. | 14,000 | 1,486 | |
Equinix, Inc. | 4,510 | 1,790 | |
Omega Healthcare Investors, Inc. | 12,000 | 368 | |
Public Storage | 7,700 | 1,631 | |
Sabra Health Care REIT, Inc. | 21,600 | 448 | |
Spirit Realty Capital, Inc. | 80,300 | 703 | |
8,100 | |||
TELECOMMUNICATION SERVICES - 1.2% | |||
Diversified Telecommunication Services - 1.2% | |||
Verizon Communications, Inc. | 145,109 | 6,917 | |
UTILITIES - 1.3% | |||
Electric Utilities - 1.2% | |||
Exelon Corp. | 128,400 | 5,314 | |
PPL Corp. | 47,300 | 1,292 | |
Southern Co. | 8,300 | 373 | |
6,979 | |||
Independent Power and Renewable Electricity Producers - 0.1% | |||
The AES Corp. | 50,900 | 649 | |
Multi-Utilities - 0.0% | |||
Sempra Energy | 2,900 | 309 | |
TOTAL UTILITIES | 7,937 | ||
TOTAL COMMON STOCKS | |||
(Cost $438,071) | 570,150 | ||
Preferred Stocks - 0.4% | |||
Convertible Preferred Stocks - 0.4% | |||
HEALTH CARE - 0.2% | |||
Health Care Equipment & Supplies - 0.2% | |||
Becton, Dickinson & Co. Series A, 6.125% | 16,700 | 968 | |
INDUSTRIALS - 0.1% | |||
Commercial Services & Supplies - 0.1% | |||
Stericycle, Inc. 2.25% | 9,300 | 443 | |
UTILITIES - 0.1% | |||
Electric Utilities - 0.1% | |||
Vistra Energy Corp. 7.00% | 5,200 | 511 | |
TOTAL CONVERTIBLE PREFERRED STOCKS | 1,922 | ||
Nonconvertible Preferred Stocks - 0.0% | |||
INDUSTRIALS - 0.0% | |||
Aerospace & Defense - 0.0% | |||
Rolls-Royce Holdings PLC: | |||
(C Shares) (b) | 25,796,430 | 34 | |
Series C (b) | 8,051,400 | 11 | |
45 | |||
TOTAL PREFERRED STOCKS | |||
(Cost $1,982) | 1,967 | ||
Principal Amount (000s)(e) | Value (000s) | ||
Convertible Bonds - 0.1% | |||
HEALTH CARE - 0.1% | |||
Pharmaceuticals - 0.1% | |||
Bayer Capital Corp. BV 5.625% 11/22/19 (d) | EUR | ||
(Cost $534) | EUR 500 | 647 | |
Shares | Value (000s) | ||
Other - 0.1% | |||
ENERGY - 0.1% | |||
Oil, Gas & Consumable Fuels - 0.1% | |||
Utica Shale Drilling Program (non-operating revenue interest) (f)(g)(h) | |||
(Cost $1,470) | 1,469,796 | 790 | |
Money Market Funds - 2.7% | |||
Fidelity Cash Central Fund, 1.76% (i) | 13,826,663 | 13,829 | |
Fidelity Securities Lending Cash Central Fund 1.76% (i)(j) | 2,086,267 | 2,086 | |
TOTAL MONEY MARKET FUNDS | |||
(Cost $15,915) | 15,915 | ||
TOTAL INVESTMENT IN SECURITIES - 100.3% | |||
(Cost $457,972) | 589,469 | ||
NET OTHER ASSETS (LIABILITIES) - (0.3)% | (1,620) | ||
NET ASSETS - 100% | $587,849 |
Written Options | ||||||
Counterparty | Number of Contracts | Notional Amount (000s) | Exercise Price | Expiration Date | Value (000s) | |
Call Options | ||||||
Cisco Systems, Inc. | Chicago Board Options Exchange | 231 | $987 | $48.00 | 6/15/18 | $0 |
JPMorgan Chase & Co. | Chicago Board Options Exchange | 254 | 2,718 | 120.00 | 6/15/18 | (1) |
Morgan Stanley | Chicago Board Options Exchange | 137 | 687 | 60.00 | 6/15/18 | 0 |
MSC Industrial Direct, Inc. | Deutsche Bank AG London Branch | 36 | 331 | 95.00 | 6/15/18 | (2) |
TOTAL WRITTEN OPTIONS | $(3) |
Currency Abbreviations
EUR – European Monetary Unit
Values shown as $0 in the Schedule of Investments may reflect amounts less than $500.
Legend
(a) Security or a portion of the security is on loan at period end.
(b) Non-income producing
(c) Security or a portion of the security is pledged as collateral for call options written. At period end, the value of securities pledged amounted to $4,392,000.
(d) 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 $936,000 or 0.2% of net assets.
(e) Amount is stated in United States dollars unless otherwise noted.
(f) Investment is owned by a wholly-owned subsidiary (Subsidiary) that is treated as a corporation for U.S. tax purposes.
(g) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $790,000 or 0.1% of net assets.
(h) Level 3 security
(i) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements are available on the SEC's website or upon request.
(j) Investment made with cash collateral received from securities on loan.
Additional information on each restricted holding is as follows:
Security | Acquisition Date | Acquisition Cost (000s) |
Utica Shale Drilling Program (non-operating revenue interest) | 10/5/16 - 9/1/17 | $1,470 |
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 |
(Amounts in thousands) | |
Fidelity Cash Central Fund | $60 |
Fidelity Securities Lending Cash Central Fund | 11 |
Total | $71 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
(Amounts in thousands) | ||||
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $50,130 | $50,130 | $-- | $-- |
Consumer Staples | 42,644 | 40,104 | 2,540 | -- |
Energy | 86,758 | 86,758 | -- | -- |
Financials | 118,374 | 118,374 | -- | -- |
Health Care | 76,877 | 71,955 | 4,922 | -- |
Industrials | 67,215 | 65,531 | 1,684 | -- |
Information Technology | 95,240 | 93,882 | 1,358 | -- |
Materials | 11,414 | 11,414 | -- | -- |
Real Estate | 8,100 | 8,100 | -- | -- |
Telecommunication Services | 6,917 | 6,917 | -- | -- |
Utilities | 8,448 | 7,937 | 511 | -- |
Corporate Bonds | 647 | -- | 647 | -- |
Other | 790 | -- | -- | 790 |
Money Market Funds | 15,915 | 15,915 | -- | -- |
Total Investments in Securities: | $589,469 | $577,017 | $11,662 | $790 |
Derivative Instruments: | ||||
Liabilities | ||||
Written Options | $(3) | $(1) | $(2) | $-- |
Total Liabilities | $(3) | $(1) | $(2) | $-- |
Total Derivative Instruments: | $(3) | $(1) | $(2) | $-- |
Value of Derivative Instruments
The following table is a summary of the Fund's value of derivative instruments by primary risk exposure as of May 31, 2018. For additional information on derivative instruments, please refer to the Derivative Instruments section in the accompanying Notes to Financial Statements.
Primary Risk Exposure / Derivative Type | Value | |
Asset | Liability | |
(Amounts in thousands) | ||
Equity Risk | ||
Written Options(a) | $0 | $(3) |
Total Value of Derivatives | $0 | $(3) |
(a) Gross value is presented in the Statement of Assets and Liabilities in the written options, at value line-item.
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 86.2% |
United Kingdom | 5.3% |
Canada | 4.3% |
Germany | 1.1% |
Others (Individually Less Than 1%) | 3.1% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | May 31, 2018 (Unaudited) | |
Assets | ||
Investment in securities, at value (including securities loaned of $2,023) — See accompanying schedule: Unaffiliated issuers (cost $442,057) | $573,554 | |
Fidelity Central Funds (cost $15,915) | 15,915 | |
Total Investment in Securities (cost $457,972) | $589,469 | |
Cash | 5 | |
Restricted cash | 13 | |
Receivable for investments sold | 852 | |
Receivable for fund shares sold | 105 | |
Dividends receivable | 1,636 | |
Interest receivable | 30 | |
Distributions receivable from Fidelity Central Funds | 23 | |
Other receivables | 9 | |
Total assets | 592,142 | |
Liabilities | ||
Payable for investments purchased | $1,454 | |
Payable for fund shares redeemed | 184 | |
Accrued management fee | 218 | |
Distribution and service plan fees payable | 193 | |
Written options, at value (premium received $169) | 3 | |
Other affiliated payables | 110 | |
Other payables and accrued expenses | 42 | |
Collateral on securities loaned | 2,089 | |
Total liabilities | 4,293 | |
Net Assets | $587,849 | |
Net Assets consist of: | ||
Paid in capital | $425,021 | |
Undistributed net investment income | 1,786 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 29,383 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 131,659 | |
Net Assets | $587,849 | |
Calculation of Maximum Offering Price | ||
Class A: | ||
Net Asset Value and redemption price per share ($248,948 ÷ 8,844.5 shares) | $28.15 | |
Maximum offering price per share (100/94.25 of $28.15) | $29.87 | |
Class M: | ||
Net Asset Value and redemption price per share ($177,928 ÷ 6,319.8 shares) | $28.15 | |
Maximum offering price per share (100/96.50 of $28.15) | $29.17 | |
Class C: | ||
Net Asset Value and offering price per share ($77,964 ÷ 2,955.9 shares)(a) | $26.38 | |
Class I: | ||
Net Asset Value, offering price and redemption price per share ($49,488 ÷ 1,722.6 shares) | $28.73 | |
Class Z: | ||
Net Asset Value, offering price and redemption price per share ($33,521 ÷ 1,166.5 shares) | $28.74 |
(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.
Statement of Operations
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | |
Investment Income | ||
Dividends | $6,890 | |
Interest | 16 | |
Income from Fidelity Central Funds | 71 | |
Total income | 6,977 | |
Expenses | ||
Management fee | $1,323 | |
Transfer agent fees | 563 | |
Distribution and service plan fees | 1,194 | |
Accounting and security lending fees | 112 | |
Custodian fees and expenses | 23 | |
Independent trustees' fees and expenses | 1 | |
Registration fees | 45 | |
Audit | 35 | |
Legal | 2 | |
Miscellaneous | 2 | |
Total expenses before reductions | 3,300 | |
Expense reductions | (15) | |
Total expenses after reductions | 3,285 | |
Net investment income (loss) | 3,692 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 32,058 | |
Fidelity Central Funds | (2) | |
Foreign currency transactions | (6) | |
Written options | 492 | |
Total net realized gain (loss) | 32,542 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers | (28,474) | |
Assets and liabilities in foreign currencies | (1) | |
Written options | 339 | |
Total change in net unrealized appreciation (depreciation) | (28,136) | |
Net gain (loss) | 4,406 | |
Net increase (decrease) in net assets resulting from operations | $8,098 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $3,692 | $7,388 |
Net realized gain (loss) | 32,542 | 47,220 |
Change in net unrealized appreciation (depreciation) | (28,136) | 29,353 |
Net increase (decrease) in net assets resulting from operations | 8,098 | 83,961 |
Distributions to shareholders from net investment income | (6,137) | (7,084) |
Distributions to shareholders from net realized gain | (44,491) | (9,088) |
Total distributions | (50,628) | (16,172) |
Share transactions - net increase (decrease) | 34,684 | (17,017) |
Total increase (decrease) in net assets | (7,846) | 50,772 |
Net Assets | ||
Beginning of period | 595,695 | 544,923 |
End of period | $587,849 | $595,695 |
Other Information | ||
Undistributed net investment income end of period | $1,786 | $4,231 |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Growth & Income Fund Class A
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $30.29 | $26.89 | $26.36 | $28.95 | $25.87 | $19.67 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .20 | .41 | .37 | .42 | .40 | .37 |
Net realized and unrealized gain (loss) | .27 | 3.83 | 2.12 | (.76)B | 2.97 | 5.88 |
Total from investment operations | .47 | 4.24 | 2.49 | (.34) | 3.37 | 6.25 |
Distributions from net investment income | (.36) | (.39)C | (.39) | (.36) | (.11) | (.05) |
Distributions from net realized gain | (2.26) | (.45)C | (1.57) | (1.88) | (.18) | – |
Total distributions | (2.61)D | (.84) | (1.96) | (2.25)E | (.29) | (.05) |
Net asset value, end of period | $28.15 | $30.29 | $26.89 | $26.36 | $28.95 | $25.87 |
Total ReturnF,G,H | 1.47% | 16.15% | 10.59% | (.96)%B | 13.20% | 31.86% |
Ratios to Average Net AssetsI,J | ||||||
Expenses before reductions | .96%K | .97% | .99% | .99% | 1.01% | 1.02% |
Expenses net of fee waivers, if any | .96%K | .97% | .99% | .98% | 1.01% | 1.02% |
Expenses net of all reductions | .95%K | .97% | .99% | .98% | 1.01% | 1.00% |
Net investment income (loss) | 1.37%K | 1.47% | 1.51% | 1.57% | 1.48% | 1.61% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $249 | $255 | $253 | $244 | $276 | $255 |
Portfolio turnover rateL | 44%K | 36% | 31% | 35% | 44% | 48% |
A Calculated based on average shares outstanding during the period.
B Net realized and unrealized gain (loss) per share reflects proceeds received from litigation which amounted to $.0.04 per share. Excluding these litigation proceeds, the total return would have been (1.10)%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $2.61 per share is comprised of distributions from net investment income of $.355 and distributions from net realized gain of $2.257 per share.
E Total distributions of $2.25 per share is comprised of distributions from net investment income of $.363 and distributions from net realized gain of $1.883 per share.
F Total returns for periods of less than one year are not annualized.
G Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
H Total returns do not include the effect of the sales charges.
I 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.
J 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.
K Annualized
L Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Growth & Income Fund Class M
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $30.26 | $26.87 | $26.32 | $28.91 | $25.84 | $19.68 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .16 | .34 | .31 | .35 | .33 | .32 |
Net realized and unrealized gain (loss) | .27 | 3.82 | 2.12 | (.76)B | 2.97 | 5.89 |
Total from investment operations | .43 | 4.16 | 2.43 | (.41) | 3.30 | 6.21 |
Distributions from net investment income | (.28) | (.32)C | (.32) | (.29) | (.05) | (.05) |
Distributions from net realized gain | (2.26) | (.45)C | (1.57) | (1.88) | (.18) | – |
Total distributions | (2.54) | (.77) | (1.88)D | (2.18)E | (.23) | (.05) |
Net asset value, end of period | $28.15 | $30.26 | $26.87 | $26.32 | $28.91 | $25.84 |
Total ReturnF,G,H | 1.31% | 15.85% | 10.36% | (1.22)%B | 12.91% | 31.62% |
Ratios to Average Net AssetsI,J | ||||||
Expenses before reductions | 1.21%K | 1.23% | 1.24% | 1.23% | 1.25% | 1.25% |
Expenses net of fee waivers, if any | 1.21%K | 1.22% | 1.24% | 1.23% | 1.25% | 1.25% |
Expenses net of all reductions | 1.20%K | 1.22% | 1.24% | 1.23% | 1.24% | 1.23% |
Net investment income (loss) | 1.12%K | 1.22% | 1.26% | 1.32% | 1.24% | 1.38% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $178 | $186 | $176 | $180 | $216 | $214 |
Portfolio turnover rateL | 44%K | 36% | 31% | 35% | 44% | 48% |
A Calculated based on average shares outstanding during the period.
B Net realized and unrealized gain (loss) per share reflects proceeds received from litigation which amounted to $0.04 per share. Excluding these litigation proceeds, the total return would have been (1.36)%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $1.88 per share is comprised of distributions from net investment income of $.319 and distributions from net realized gain of $1.565 per share.
E Total distributions of $2.18 per share is comprised of distributions from net investment income of $.293 and distributions from net realized gain of $1.883 per share.
F Total returns for periods of less than one year are not annualized.
G Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
H Total returns do not include the effect of the sales charges.
I 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.
J 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.
K Annualized
L Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Growth & Income Fund Class C
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $28.45 | $25.33 | $24.92 | $27.51 | $24.66 | $18.87 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .08 | .19 | .17 | .21 | .19 | .19 |
Net realized and unrealized gain (loss) | .26 | 3.60 | 2.01 | (.73)B | 2.84 | 5.64 |
Total from investment operations | .34 | 3.79 | 2.18 | (.52) | 3.03 | 5.83 |
Distributions from net investment income | (.15) | (.22)C | (.21) | (.18) | – | (.04) |
Distributions from net realized gain | (2.26) | (.45)C | (1.57) | (1.88) | (.18) | – |
Total distributions | (2.41) | (.67) | (1.77)D | (2.07)E | (.18) | (.04) |
Net asset value, end of period | $26.38 | $28.45 | $25.33 | $24.92 | $27.51 | $24.66 |
Total ReturnF,G,H | 1.07% | 15.28% | 9.81% | (1.74)%B | 12.38% | 30.95% |
Ratios to Average Net AssetsI,J | ||||||
Expenses before reductions | 1.72%K | 1.73% | 1.74% | 1.73% | 1.74% | 1.74% |
Expenses net of fee waivers, if any | 1.71%K | 1.73% | 1.74% | 1.73% | 1.74% | 1.74% |
Expenses net of all reductions | 1.71%K | 1.72% | 1.74% | 1.73% | 1.74% | 1.73% |
Net investment income (loss) | .61%K | .72% | .76% | .82% | .74% | .89% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $78 | $86 | $80 | $79 | $85 | $74 |
Portfolio turnover rateL | 44%K | 36% | 31% | 35% | 44% | 48% |
A Calculated based on average shares outstanding during the period.
B Net realized and unrealized gain (loss) per share reflects proceeds received from litigation which amounted to $0.04 per share. Excluding these litigation proceeds, the total return would have been (1.88)%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $1.77 per share is comprised of distributions from net investment income of $.206 and distributions from net realized gain of $1.565 per share.
E Total distributions of $2.07 per share is comprised of distributions from net investment income of $.183 and distributions from net realized gain of $1.883 per share.
F Total returns for periods of less than one year are not annualized.
G Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
H Total returns do not include the effect of the contingent deferred sales charge.
I 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.
J 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.
K Annualized
L Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Growth & Income Fund Class I
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $30.91 | $27.41 | $26.85 | $29.47 | $26.13 | $19.79 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .24 | .50 | .44 | .50 | .49 | .43 |
Net realized and unrealized gain (loss) | .28 | 3.90 | 2.16 | (.78)B | 3.03 | 5.97 |
Total from investment operations | .52 | 4.40 | 2.60 | (.28) | 3.52 | 6.40 |
Distributions from net investment income | (.44) | (.45)C | (.48) | (.45) | – | (.06) |
Distributions from net realized gain | (2.26) | (.45)C | (1.57) | (1.88) | (.18) | – |
Total distributions | (2.70) | (.90) | (2.04)D | (2.34)E | (.18) | (.06) |
Net asset value, end of period | $28.73 | $30.91 | $27.41 | $26.85 | $29.47 | $26.13 |
Total ReturnF,G | 1.58% | 16.45% | 10.91% | (.70)%B | 13.56% | 32.41% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | .69%J | .70% | .73% | .71% | .70% | .70% |
Expenses net of fee waivers, if any | .69%J | .70% | .73% | .70% | .70% | .70% |
Expenses net of all reductions | .69%J | .70% | .73% | .70% | .70% | .68% |
Net investment income (loss) | 1.64%J | 1.74% | 1.77% | 1.86% | 1.78% | 1.93% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $49 | $53 | $35 | $36 | $28 | $24 |
Portfolio turnover rateK | 44%J | 36% | 31% | 35% | 44% | 48% |
A Calculated based on average shares outstanding during the period.
B Net realized and unrealized gain (loss) per share reflects proceeds received from litigation which amounted to $0.04 per share. Excluding these litigation proceeds, the total return would have been (.84)%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $2.04 per share is comprised of distributions from net investment income of $.478 and distributions from net realized gain of $1.565 per share.
E Total distributions of $2.34 per share is comprised of distributions from net investment income of $.454 and distributions from net realized gain of $1.883 per share.
F Total returns for periods of less than one year are not annualized.
G Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Growth & Income Fund Class Z
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |
2018 | 2017 A | |
Selected Per–Share Data | ||
Net asset value, beginning of period | $30.94 | $27.35 |
Income from Investment Operations | ||
Net investment income (loss)B | .26 | .51 |
Net realized and unrealized gain (loss) | .28 | 3.08 |
Total from investment operations | .54 | 3.59 |
Distributions from net investment income | (.49) | – |
Distributions from net realized gain | (2.26) | – |
Total distributions | (2.74)C | – |
Net asset value, end of period | $28.74 | $30.94 |
Total ReturnD,E | 1.68% | 13.13% |
Ratios to Average Net AssetsF,G | ||
Expenses before reductions | .56%H | .57%H |
Expenses net of fee waivers, if any | .56%H | .57%H |
Expenses net of all reductions | .55%H | .57%H |
Net investment income (loss) | 1.77%H | 2.13%H |
Supplemental Data | ||
Net assets, end of period (in millions) | $34 | $16 |
Portfolio turnover rateI | 44%H | 36% |
A For the period February 1, 2017 (commencement of sale of shares) to November 30, 2017.
B Calculated based on average shares outstanding during the period.
C Total distributions of $2.74 per share is comprised of distributions from net investment income of $.486 and distributions from net realized gain of $2.257 per share.
D Total returns for periods of less than one year are not annualized.
E Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
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. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. 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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
(Amounts in thousands except percentages)
1. Organization.
Fidelity Advisor Growth & Income Fund (the Fund) is a fund of Fidelity Advisor Series I (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 M, Class C, Class I and Class Z shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events, changes in interest rates and credit quality. The frequency with which these procedures are used cannot be predicted and they may be utilized to a significant extent. The Committee oversees the Fund's valuation policies and procedures and reports to the Board on the Committee's activities and fair value determinations. The Board monitors the appropriateness of the procedures used in valuing the Fund's investments and ratifies the fair value determinations of the Committee.
The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels as shown below:
- Level 1 – quoted prices in active markets for identical investments
- Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, etc.)
- Level 3 – unobservable inputs (including the Fund's own assumptions based on the best information available)
Valuation techniques used to value the Fund's investments by major category are as follows:
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. 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 are valued by pricing vendors who utilize matrix pricing which considers yield or price of bonds of comparable quality, coupon, maturity and type or by broker-supplied prices. When independent prices are unavailable or unreliable, debt securities may be valued utilizing pricing methodologies which consider similar factors that would be used by third party pricing vendors. Debt securities are generally categorized as Level 2 in the hierarchy but may be Level 3 depending on the circumstances.
Exchange-traded options are valued using the last sale price or, in the absence of a sale, the last offering price and are categorized as Level 1 in the hierarchy. Options traded over-the-counter are valued using vendor or broker-supplied valuations and are categorized as Level 2 in the hierarchy. Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of May 31, 2018 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable. 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.
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 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 foreign currency transactions, passive foreign investment companies (PFIC), partnerships, equity-debt classifications, certain conversion ratio adjustments and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $160,322 |
Gross unrealized depreciation | (31,587) |
Net unrealized appreciation (depreciation) | $128,735 |
Tax cost | $460,900 |
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.
Consolidated Subsidiary. The Fund invests in certain investments through a wholly-owned subsidiary ("Subsidiary"), which may be subject to federal and state taxes upon disposition.
As of period end, the Fund held an investment of $803 in this Subsidiary, representing .14% of the Fund's net assets. The financial statements have been consolidated and include accounts of the Fund and the Subsidiary. Accordingly, all inter-company transactions and balances have been eliminated.
Any cash held by the Subsidiary is restricted as to its use and is presented as Restricted cash in the Statement of Assets and Liabilities.
4. Derivative Instruments.
Risk Exposures and the Use of Derivative Instruments. The Fund's investment objective allows the Fund to enter into various types of derivative contracts, including options. Derivatives are investments whose value is primarily derived from underlying assets, indices or reference rates and may be transacted on an exchange or over-the-counter (OTC). Derivatives may involve a future commitment to buy or sell a specified asset based on specified terms, to exchange future cash flows at periodic intervals based on a notional principal amount, or for one party to make one or more payments upon the occurrence of specified events in exchange for periodic payments from the other party.
The Fund used derivatives to increase returns and to manage exposure to certain risks as defined below. The success of any strategy involving derivatives depends on analysis of numerous economic factors, and if the strategies for investment do not work as intended, the Fund may not achieve its objectives.
The Fund's use of derivatives increased or decreased its exposure to the following risk:
Equity Risk | Equity risk relates to the fluctuations in the value of financial instruments as a result of changes in market prices (other than those arising from interest rate risk or foreign exchange risk), whether caused by factors specific to an individual investment, its issuer, or all factors affecting all instruments traded in a market or market segment. |
The Fund is also exposed to additional risks from investing in derivatives, such as liquidity risk and counterparty credit risk. Liquidity risk is the risk that the Fund will be unable to close out the derivative in the open market in a timely manner. Counterparty credit risk is the risk that the counterparty will not be able to fulfill its obligation to the Fund. Derivative counterparty credit risk is managed through formal evaluation of the creditworthiness of all potential counterparties. On certain OTC derivatives such as options, the Fund attempts to reduce its exposure to counterparty credit risk by entering into an International Swaps and Derivatives Association, Inc. (ISDA) Master Agreement with each of its counterparties. The ISDA Master Agreement gives the Fund the right to terminate all transactions traded under such agreement upon the deterioration in the credit quality of the counterparty beyond specified levels. The ISDA Master Agreement gives each party the right, upon an event of default by the other party or a termination of the agreement, to close out all transactions traded under such agreement and to net amounts owed under each transaction to one net payable by one party to the other. To mitigate counterparty credit risk on bi-lateral OTC derivatives, the Fund receives collateral in the form of cash or securities once the Fund's net unrealized appreciation on outstanding derivative contracts under an ISDA Master Agreement exceeds certain applicable thresholds, subject to certain minimum transfer provisions. The collateral received is held in segregated accounts with the Fund's custodian bank in accordance with the collateral agreements entered into between the Fund, the counterparty and the Fund's custodian bank. The Fund could experience delays and costs in gaining access to the collateral even though it is held by the Fund's custodian bank. The Fund's maximum risk of loss from counterparty credit risk related to bi-lateral OTC derivatives is generally the aggregate unrealized appreciation and unpaid counterparty payments in excess of any collateral pledged by the counterparty to the Fund. The Fund may be required to pledge collateral for the benefit of the counterparties on bi-lateral OTC derivatives in an amount not less than each counterparty's unrealized appreciation on outstanding derivative contracts, subject to certain minimum transfer provisions, and any such pledged collateral is identified in the Schedule of Investments. Counterparty credit risk related to exchange-traded options may be mitigated by the protection provided by the exchange on which they trade.
Investing in derivatives may involve greater risks than investing in the underlying assets directly and, to varying degrees, may involve risk of loss in excess of any initial investment and collateral received and amounts recognized in the Statement of Assets and Liabilities. In addition, there may be the risk that the change in value of the derivative contract does not correspond to the change in value of the underlying instrument.
Options. Options give the purchaser the right, but not the obligation, to buy (call) or sell (put) an underlying security or financial instrument at an agreed exercise or strike price between or on certain dates. Options obligate the seller (writer) to buy (put) or sell (call) an underlying instrument at the exercise or strike price or cash settle an underlying derivative instrument if the holder exercises the option on or before the expiration date.
The Fund used exchange-traded and OTC written covered call options to manage its exposure to the market. When the Fund writes a covered call option, the Fund holds the underlying instrument which must be delivered to the holder upon the exercise of the option.
Upon entering into a written options contract, the Fund will receive a premium. Premiums received are reflected as a liability on the Statement of Assets and Liabilities. Options are valued daily and any unrealized appreciation (depreciation) is reflected on the Statement of Assets and Liabilities. When a written option is exercised, the premium is added to the proceeds from the sale of the underlying instrument in determining the gain or loss realized on that investment. When an option is closed the Fund will realize a gain or loss depending on whether the proceeds or amount paid for the closing sale transaction are greater or less than the premium received. When an option expires, gains and losses are realized to the extent of premiums received. The net realized gain (loss) on closed and expired written options and the change in net unrealized appreciation (depreciation) on written options are presented in the Statement of Operations.
Writing call options tends to decrease exposure to the underlying instrument and risk of loss is the change in value in excess of the premium received.
Any open options at period end are presented in the Schedule of Investments under the caption "Written Options".
The following is a summary of the Fund's written options activity:
Number of Contracts | Amount of Premiums | |
Outstanding at beginning of period | 2 | $108 |
Options Opened | 9 | 1,064 |
Options Exercised | (5) | (414) |
Options Closed | (3) | (349) |
Options Expired | (2) | (240) |
Outstanding at end of period | 1 | $169 |
5. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $129,631 and $150,738, respectively.
6. 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 .20% of the Fund's average net assets and an annualized group fee rate that averaged .24% 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 .44% of the Fund's average net assets.
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 Fee | Service Fee | Total Fees | Retained by FDC | |
Class A | -% | .25% | $319 | $7 |
Class M | .25% | .25% | 461 | 9 |
Class C | .75% | .25% | 414 | 31 |
$1,194 | $47 |
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 M 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 M and Class C redemptions. The deferred sales charges are 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class M shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained by FDC | |
Class A | $26 |
Class M | 7 |
Class C(a) | 3 |
$36 |
(a) When Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of 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, except for Class Z. FIIOC receives an asset-based fee of Class Z's average net assets. 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-Level Average Net Assets(a) | |
Class A | $249 | .20 |
Class M | 180 | .19 |
Class C | 83 | .20 |
Class I | 44 | .18 |
Class Z | 7 | .05 |
$563 |
(a) 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. For the period, the fees were equivalent to an annualized rate of .04%.
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 $2 for the period.
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
7. 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 $1 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
8. 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. The Fund or borrower may terminate the loan at any time, and 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. At period end, there were no security loans outstanding with FCM. 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 $11, including less than five hundred dollars from securities loaned to FCM.
9. 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 $12 for the period.
In addition, during the period the investment adviser reimbursed and/or waived a portion of fund-level operating expenses in the amount of $3.
10. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended May 31, 2018 | Year ended November 30, 2017 | |
From net investment income | ||
Class A | $2,973 | $3,625 |
Class M | 1,713 | 2,157 |
Class C | 451 | 717 |
Class I | 706 | 585 |
Class Z | 294 | – |
Total | $6,137 | $7,084 |
From net realized gain | ||
Class A | $18,901 | $4,131 |
Class M | 13,806 | 2,946 |
Class C | 6,780 | 1,429 |
Class I | 3,637 | 582 |
Class Z | 1,367 | – |
Total | $44,491 | $9,088 |
11. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
Shares | Shares | Dollars | Dollars | |
Six months ended May 31, 2018 | Year ended November 30, 2017(a) | Six months ended May 31, 2018 | Year ended November 30, 2017(a) | |
Class A | ||||
Shares sold | 452 | 831 | $12,994 | $23,130 |
Reinvestment of distributions | 728 | 268 | 20,716 | 7,224 |
Shares redeemed | (757) | (2,104) | (21,721) | (58,668) |
Net increase (decrease) | 423 | (1,005) | $11,989 | $(28,314) |
Class M | ||||
Shares sold | 171 | 474 | $4,859 | $13,200 |
Reinvestment of distributions | 533 | 183 | 15,179 | 4,948 |
Shares redeemed | (522) | (1,071) | (14,987) | (30,045) |
Net increase (decrease) | 182 | (414) | $5,051 | $(11,897) |
Class C | ||||
Shares sold | 150 | 381 | $4,068 | $10,013 |
Reinvestment of distributions | 251 | 76 | 6,699 | 1,930 |
Shares redeemed | (471) | (586) | (12,744) | (15,527) |
Net increase (decrease) | (70) | (129) | $(1,977) | $(3,584) |
Class I | ||||
Shares sold | 224 | 1,079 | $6,537 | $30,698 |
Reinvestment of distributions | 136 | 39 | 3,952 | 1,063 |
Shares redeemed | (344) | (705) | (10,252) | (20,133) |
Net increase (decrease) | 16 | 413 | $237 | $11,628 |
Class Z | ||||
Shares sold | 665 | 538 | $19,784 | $15,811 |
Reinvestment of distributions | 15 | – | 433 | – |
Shares redeemed | (29) | (22) | (833) | (661) |
Net increase (decrease) | 651 | 516 | $19,384 | $15,150 |
(a) Share transactions for Class Z are for the period February 1, 2017 (commencement of sale of shares) to November 30, 2017
12. 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.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
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. 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. 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.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Class A | .96% | |||
Actual | $1,000.00 | $1,014.70 | $4.82 | |
Hypothetical-C | $1,000.00 | $1,020.14 | $4.84 | |
Class M | 1.21% | |||
Actual | $1,000.00 | $1,013.10 | $6.07 | |
Hypothetical-C | $1,000.00 | $1,018.90 | $6.09 | |
Class C | 1.71% | |||
Actual | $1,000.00 | $1,010.70 | $8.57 | |
Hypothetical-C | $1,000.00 | $1,016.40 | $8.60 | |
Class I | .69% | |||
Actual | $1,000.00 | $1,015.80 | $3.47 | |
Hypothetical-C | $1,000.00 | $1,021.49 | $3.48 | |
Class Z | .56% | |||
Actual | $1,000.00 | $1,016.80 | $2.82 | |
Hypothetical-C | $1,000.00 | $1,022.14 | $2.82 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
AGAI-SANN-0718
1.704634.120
Fidelity Advisor® Growth Opportunities Fund Semi-Annual Report May 31, 2018 |
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Contents
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You may also call 1-877-208-0098 to request a free copy of the proxy voting guidelines.
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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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Apple, Inc. | 5.6 |
Amazon.com, Inc. | 5.3 |
Microsoft Corp. | 4.7 |
Alphabet, Inc. Class C | 4.6 |
Facebook, Inc. Class A | 3.8 |
Salesforce.com, Inc. | 2.3 |
Alphabet, Inc. Class A | 2.3 |
Wix.com Ltd. | 2.1 |
American Tower Corp. | 1.9 |
T-Mobile U.S., Inc. | 1.8 |
34.4 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Information Technology | 50.5 |
Consumer Discretionary | 16.0 |
Health Care | 12.1 |
Consumer Staples | 4.8 |
Financials | 4.6 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018* | ||
Stocks | 97.8% | |
Convertible Securities | 2.2% |
* Foreign investments - 10.5%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 97.8% | |||
Shares | Value (000s) | ||
CONSUMER DISCRETIONARY - 16.0% | |||
Automobiles - 1.6% | |||
Tesla, Inc. (a)(b) | 168,977 | $48,113 | |
Hotels, Restaurants & Leisure - 1.2% | |||
Hilton Grand Vacations, Inc. (a) | 154,900 | 6,159 | |
Hilton Worldwide Holdings, Inc. | 32,500 | 2,623 | |
U.S. Foods Holding Corp. (a) | 779,703 | 27,820 | |
36,602 | |||
Household Durables - 1.0% | |||
Mohawk Industries, Inc. (a) | 32,600 | 6,652 | |
Roku, Inc. Class A (b) | 684,640 | 25,647 | |
32,299 | |||
Internet & Direct Marketing Retail - 8.2% | |||
Amazon.com, Inc. (a) | 100,500 | 163,777 | |
Groupon, Inc. (a) | 1,891,238 | 9,097 | |
JD.com, Inc. sponsored ADR (a) | 199,200 | 7,008 | |
Netflix, Inc. (a) | 133,000 | 46,763 | |
The Booking Holdings, Inc. (a) | 5,200 | 10,966 | |
Wayfair LLC Class A (a) | 198,965 | 18,374 | |
255,985 | |||
Media - 2.3% | |||
Charter Communications, Inc. Class A (a) | 115,860 | 30,244 | |
Comcast Corp. Class A | 738,800 | 23,036 | |
Criteo SA sponsored ADR (a)(b) | 308,800 | 7,458 | |
Naspers Ltd. Class N | 3,900 | 927 | |
The Walt Disney Co. | 40,200 | 3,999 | |
Vivendi SA | 178,800 | 4,498 | |
70,162 | |||
Multiline Retail - 0.4% | |||
Dollar Tree, Inc. (a) | 155,200 | 12,818 | |
Specialty Retail - 1.0% | |||
Home Depot, Inc. | 53,700 | 10,018 | |
Lowe's Companies, Inc. | 130,000 | 12,351 | |
TJX Companies, Inc. | 76,200 | 6,882 | |
Ulta Beauty, Inc. (a) | 3,200 | 790 | |
30,041 | |||
Textiles, Apparel & Luxury Goods - 0.3% | |||
Carbon Black, Inc. | 4,900 | 115 | |
Kering SA | 600 | 343 | |
lululemon athletica, Inc. (a) | 91,316 | 9,593 | |
Puma AG | 50 | 30 | |
10,081 | |||
TOTAL CONSUMER DISCRETIONARY | 496,101 | ||
CONSUMER STAPLES - 3.1% | |||
Beverages - 0.6% | |||
Constellation Brands, Inc. Class A (sub. vtg.) | 44,200 | 9,860 | |
Fever-Tree Drinks PLC | 42,317 | 1,690 | |
Monster Beverage Corp. (a) | 94,700 | 4,845 | |
The Coca-Cola Co. | 72,100 | 3,100 | |
19,495 | |||
Food & Staples Retailing - 1.2% | |||
Costco Wholesale Corp. | 25,300 | 5,015 | |
Performance Food Group Co. (a) | 872,550 | 31,194 | |
Walmart, Inc. | 3,700 | 305 | |
36,514 | |||
Food Products - 0.1% | |||
nLIGHT, Inc. (a) | 66,300 | 2,463 | |
Personal Products - 0.2% | |||
Unilever NV (Certificaten Van Aandelen) (Bearer) | 124,900 | 6,966 | |
Tobacco - 1.0% | |||
British American Tobacco PLC (United Kingdom) | 245,800 | 12,617 | |
Juul Labs, Inc. (c) | 2,772 | 139 | |
Philip Morris International, Inc. | 217,300 | 17,284 | |
30,040 | |||
TOTAL CONSUMER STAPLES | 95,478 | ||
ENERGY - 1.5% | |||
Oil, Gas & Consumable Fuels - 1.5% | |||
NuVista Energy Ltd. (a) | 45,800 | 330 | |
Petronet LNG Ltd. | 3,811,810 | 12,417 | |
Reliance Industries Ltd. | 1,938,997 | 26,494 | |
Teekay LNG Partners LP | 214,200 | 3,706 | |
Whiting Petroleum Corp. (a) | 75,000 | 3,932 | |
46,879 | |||
FINANCIALS - 4.5% | |||
Banks - 0.3% | |||
HDFC Bank Ltd. sponsored ADR | 94,211 | 10,026 | |
Capital Markets - 3.5% | |||
BlackRock, Inc. Class A | 56,500 | 30,184 | |
Cboe Global Markets, Inc. | 252,300 | 24,614 | |
Charles Schwab Corp. | 323,200 | 17,976 | |
MSCI, Inc. | 13,300 | 2,162 | |
S&P Global, Inc. | 10,800 | 2,133 | |
TD Ameritrade Holding Corp. | 442,800 | 26,214 | |
Virtu Financial, Inc. Class A | 151,200 | 4,695 | |
107,978 | |||
Consumer Finance - 0.2% | |||
Synchrony Financial | 190,800 | 6,607 | |
Diversified Financial Services - 0.2% | |||
GDS Holdings Ltd. ADR (a) | 156,100 | 5,902 | |
Thrifts & Mortgage Finance - 0.3% | |||
Lendingtree, Inc. (a)(b) | 40,700 | 10,537 | |
TOTAL FINANCIALS | 141,050 | ||
HEALTH CARE - 12.1% | |||
Biotechnology - 6.9% | |||
ACADIA Pharmaceuticals, Inc. (a) | 75,100 | 1,359 | |
Acorda Therapeutics, Inc. (a) | 63,800 | 1,675 | |
Agios Pharmaceuticals, Inc. (a) | 54,400 | 5,086 | |
Alexion Pharmaceuticals, Inc. (a) | 325,800 | 37,835 | |
Alkermes PLC (a) | 89,600 | 4,229 | |
Alnylam Pharmaceuticals, Inc. (a) | 82,212 | 8,178 | |
Amgen, Inc. | 61,900 | 11,118 | |
AnaptysBio, Inc. (a) | 55,800 | 4,341 | |
Ascendis Pharma A/S sponsored ADR (a) | 35,900 | 2,586 | |
aTyr Pharma, Inc. (a) | 124,576 | 112 | |
BioMarin Pharmaceutical, Inc. (a) | 34,200 | 3,090 | |
bluebird bio, Inc. (a) | 56,600 | 10,134 | |
Blueprint Medicines Corp. (a) | 23,100 | 1,942 | |
Coherus BioSciences, Inc. (a)(b) | 409,894 | 6,394 | |
Epizyme, Inc. (a) | 114,500 | 1,998 | |
FibroGen, Inc. (a) | 63,600 | 3,428 | |
Five Prime Therapeutics, Inc. (a) | 121,500 | 2,134 | |
Insmed, Inc. (a) | 387,879 | 10,806 | |
Intercept Pharmaceuticals, Inc. (a) | 27,735 | 1,947 | |
Ionis Pharmaceuticals, Inc. (a) | 336,453 | 15,696 | |
Mirati Therapeutics, Inc. (a) | 104,900 | 4,458 | |
Neurocrine Biosciences, Inc. (a) | 183,875 | 17,700 | |
Opko Health, Inc. (a) | 1 | 0 | |
Prothena Corp. PLC (a) | 155,702 | 2,100 | |
Regeneron Pharmaceuticals, Inc. (a) | 39,400 | 11,833 | |
Rigel Pharmaceuticals, Inc. (a) | 498,548 | 1,620 | |
Sage Therapeutics, Inc. (a) | 34,344 | 5,244 | |
Sarepta Therapeutics, Inc. (a) | 92,900 | 8,719 | |
Sienna Biopharmaceuticals, Inc. (b) | 46,400 | 696 | |
Spark Therapeutics, Inc. (a)(b) | 98,900 | 7,891 | |
TESARO, Inc. (a)(b) | 156,700 | 7,172 | |
Vertex Pharmaceuticals, Inc. (a) | 55,090 | 8,484 | |
Xencor, Inc. (a) | 91,000 | 3,641 | |
213,646 | |||
Health Care Equipment & Supplies - 2.0% | |||
Becton, Dickinson & Co. | 24,800 | 5,495 | |
Boston Scientific Corp. (a) | 1,167,300 | 35,474 | |
Danaher Corp. | 29,500 | 2,929 | |
Insulet Corp. (a) | 108,600 | 10,186 | |
Intuitive Surgical, Inc. (a) | 3,500 | 1,609 | |
Novocure Ltd. (a) | 217,000 | 6,825 | |
62,518 | |||
Health Care Providers & Services - 2.7% | |||
Anthem, Inc. | 90,000 | 19,928 | |
Cigna Corp. | 47,000 | 7,960 | |
CVS Health Corp. | 13,200 | 837 | |
G1 Therapeutics, Inc. | 54,300 | 2,352 | |
Humana, Inc. | 75,000 | 21,824 | |
OptiNose, Inc. | 32,600 | 752 | |
UnitedHealth Group, Inc. | 124,800 | 30,140 | |
83,793 | |||
Health Care Technology - 0.0% | |||
Cerner Corp. (a) | 4,300 | 257 | |
Pharmaceuticals - 0.5% | |||
Akcea Therapeutics, Inc. (b) | 257,023 | 6,230 | |
Nektar Therapeutics (a) | 91,800 | 7,369 | |
Theravance Biopharma, Inc. (a)(b) | 152,125 | 3,703 | |
17,302 | |||
TOTAL HEALTH CARE | 377,516 | ||
INDUSTRIALS - 3.6% | |||
Aerospace & Defense - 0.0% | |||
The Boeing Co. | 900 | 317 | |
Air Freight & Logistics - 0.1% | |||
FedEx Corp. | 16,300 | 4,061 | |
Airlines - 1.4% | |||
Alaska Air Group, Inc. | 105,800 | 6,434 | |
Allegiant Travel Co. | 10,100 | 1,529 | |
JetBlue Airways Corp. (a) | 69,800 | 1,319 | |
Ryanair Holdings PLC sponsored ADR (a) | 2,600 | 301 | |
Southwest Airlines Co. | 5,400 | 276 | |
Spirit Airlines, Inc. (a) | 946,200 | 34,716 | |
44,575 | |||
Commercial Services & Supplies - 0.1% | |||
Copart, Inc. (a) | 34,500 | 1,892 | |
Tomra Systems ASA | 13,999 | 320 | |
2,212 | |||
Construction & Engineering - 0.1% | |||
Fluor Corp. | 38,400 | 1,872 | |
Electrical Equipment - 0.4% | |||
Sunrun, Inc. (a)(b) | 1,137,300 | 13,761 | |
Machinery - 0.1% | |||
Allison Transmission Holdings, Inc. | 86,600 | 3,577 | |
Professional Services - 0.4% | |||
TransUnion Holding Co., Inc. | 160,100 | 10,983 | |
Road & Rail - 0.1% | |||
Union Pacific Corp. | 22,000 | 3,141 | |
Trading Companies & Distributors - 0.9% | |||
Bunzl PLC | 901,100 | 27,431 | |
TOTAL INDUSTRIALS | 111,930 | ||
INFORMATION TECHNOLOGY - 50.2% | |||
Communications Equipment - 1.1% | |||
Carvana Co. Class A (a)(b) | 1,207,441 | 34,835 | |
Electronic Equipment & Components - 0.1% | |||
TTM Technologies, Inc. (a) | 211,000 | 3,804 | |
Internet Software & Services - 16.9% | |||
Alibaba Group Holding Ltd. sponsored ADR (a) | 145,500 | 28,810 | |
Alphabet, Inc.: | |||
Class A (a) | 63,465 | 69,812 | |
Class C (a) | 130,575 | 141,673 | |
ANGI Homeservices, Inc. Class A (a) | 547,700 | 8,248 | |
CarGurus, Inc. Class A | 108,400 | 3,595 | |
DocuSign, Inc. | 8,500 | 423 | |
Dropbox, Inc. Class A (a) | 14,700 | 441 | |
Facebook, Inc. Class A (a) | 622,541 | 119,391 | |
GoDaddy, Inc. (a) | 429,049 | 30,716 | |
IAC/InterActiveCorp (a) | 75,500 | 11,713 | |
The Trade Desk, Inc. (a)(b) | 518,400 | 44,339 | |
Wix.com Ltd. (a) | 749,135 | 65,137 | |
524,298 | |||
IT Services - 7.7% | |||
Accenture PLC Class A | 12,700 | 1,978 | |
Alliance Data Systems Corp. | 159,800 | 33,689 | |
Cognizant Technology Solutions Corp. Class A | 330,792 | 24,925 | |
EPAM Systems, Inc. (a) | 53,400 | 6,578 | |
FleetCor Technologies, Inc. (a) | 23,500 | 4,685 | |
Global Payments, Inc. | 234,800 | 26,100 | |
Luxoft Holding, Inc. (a) | 637,974 | 22,967 | |
MasterCard, Inc. Class A | 200,600 | 38,138 | |
PayPal Holdings, Inc. (a) | 253,300 | 20,788 | |
Visa, Inc. Class A | 379,600 | 49,621 | |
Worldpay, Inc. (a) | 136,600 | 10,856 | |
240,325 | |||
Semiconductors & Semiconductor Equipment - 5.2% | |||
Analog Devices, Inc. | 134,100 | 13,032 | |
Broadcom, Inc. | 188,900 | 47,616 | |
Marvell Technology Group Ltd. | 363,900 | 7,838 | |
Micron Technology, Inc. (a) | 368,200 | 21,205 | |
NVIDIA Corp. | 165,230 | 41,669 | |
NXP Semiconductors NV (a) | 76,000 | 8,664 | |
ON Semiconductor Corp. (a) | 307,900 | 7,738 | |
Qualcomm, Inc. | 213,600 | 12,414 | |
160,176 | |||
Software - 13.6% | |||
Activision Blizzard, Inc. | 334,400 | 23,712 | |
Adobe Systems, Inc. (a) | 181,500 | 45,244 | |
Autodesk, Inc. (a) | 199,800 | 25,794 | |
Citrix Systems, Inc. (a) | 160,700 | 16,973 | |
Electronic Arts, Inc. (a) | 121,400 | 15,892 | |
Intuit, Inc. | 47,000 | 9,475 | |
Microsoft Corp. | 1,493,300 | 147,598 | |
Parametric Technology Corp. (a) | 59,500 | 5,131 | |
Red Hat, Inc. (a) | 55,730 | 9,052 | |
Salesforce.com, Inc. (a) | 555,600 | 71,856 | |
ServiceNow, Inc. (a) | 170,000 | 30,194 | |
Take-Two Interactive Software, Inc. (a) | 3,100 | 347 | |
Workday, Inc. Class A (a) | 172,600 | 22,604 | |
Zscaler, Inc. (a) | 6,300 | 165 | |
424,037 | |||
Technology Hardware, Storage & Peripherals - 5.6% | |||
Apple, Inc. | 921,806 | 172,259 | |
TOTAL INFORMATION TECHNOLOGY | 1,559,734 | ||
MATERIALS - 2.8% | |||
Chemicals - 2.8% | |||
DowDuPont, Inc. | 221,462 | 14,198 | |
LG Chemical Ltd. | 39,056 | 12,239 | |
LyondellBasell Industries NV Class A | 310,800 | 34,847 | |
The Chemours Co. LLC | 516,600 | 25,308 | |
86,592 | |||
Containers & Packaging - 0.0% | |||
Ball Corp. | 43,900 | 1,622 | |
TOTAL MATERIALS | 88,214 | ||
REAL ESTATE - 2.2% | |||
Equity Real Estate Investment Trusts (REITs) - 2.2% | |||
American Tower Corp. | 433,100 | 59,928 | |
Equinix, Inc. | 23,600 | 9,366 | |
69,294 | |||
TELECOMMUNICATION SERVICES - 1.8% | |||
Wireless Telecommunication Services - 1.8% | |||
T-Mobile U.S., Inc. (a) | 1,010,600 | 56,290 | |
TOTAL COMMON STOCKS | |||
(Cost $1,746,473) | 3,042,486 | ||
Preferred Stocks - 2.2% | |||
Convertible Preferred Stocks - 2.2% | |||
CONSUMER STAPLES - 1.7% | |||
Tobacco - 1.7% | |||
JUUL Labs, Inc. Series C (a)(c)(d) | 1,069,313 | 53,754 | |
FINANCIALS - 0.1% | |||
Insurance - 0.1% | |||
Clover Health Series D (c)(d) | 282,226 | 2,647 | |
INDUSTRIALS - 0.1% | |||
Aerospace & Defense - 0.1% | |||
Space Exploration Technologies Corp. Series I (c)(d) | 16,438 | 2,778 | |
INFORMATION TECHNOLOGY - 0.3% | |||
Internet Software & Services - 0.3% | |||
Uber Technologies, Inc. Series D, 8.00% (a)(c)(d) | 221,104 | 8,844 | |
TOTAL CONVERTIBLE PREFERRED STOCKS | 68,023 | ||
Nonconvertible Preferred Stocks - 0.0% | |||
CONSUMER STAPLES - 0.0% | |||
Tobacco - 0.0% | |||
PAX Labs, Inc. Series A (c)(d) | 1,069,313 | 1,411 | |
INDUSTRIALS - 0.0% | |||
Aerospace & Defense - 0.0% | |||
Rolls-Royce Holdings PLC Series C(a) | 9,159,000 | 12 | |
TOTAL NONCONVERTIBLE PREFERRED STOCKS | 1,423 | ||
TOTAL PREFERRED STOCKS | |||
(Cost $12,985) | 69,446 | ||
Money Market Funds - 4.0% | |||
Fidelity Cash Central Fund, 1.76% (e) | 8,284,111 | 8,286 | |
Fidelity Securities Lending Cash Central Fund 1.76% (e)(f) | 115,411,077 | 115,423 | |
TOTAL MONEY MARKET FUNDS | |||
(Cost $123,709) | 123,709 | ||
TOTAL INVESTMENT IN SECURITIES - 104.0% | |||
(Cost $1,883,167) | 3,235,641 | ||
NET OTHER ASSETS (LIABILITIES) - (4.0)% | (125,092) | ||
NET ASSETS - 100% | $3,110,549 |
Values shown as $0 in the Schedule of Investments may reflect amounts less than $500.
Legend
(a) Non-income producing
(b) Security or a portion of the security is on loan at period end.
(c) Level 3 security
(d) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $69,434,000 or 2.2% of net assets.
(e) 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.
(f) Investment made with cash collateral received from securities on loan.
Additional information on each restricted holding is as follows:
Security | Acquisition Date | Acquisition Cost (000s) |
Clover Health Series D | 6/7/17 | $2,647 |
JUUL Labs, Inc. Series C | 5/22/15 | $3,326 |
PAX Labs, Inc. Series A | 5/22/15 | $791 |
Space Exploration Technologies Corp. Series I | 4/5/18 | $2,778 |
Uber Technologies, Inc. Series D, 8.00% | 6/6/14 | $3,430 |
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 |
(Amounts in thousands) | |
Fidelity Cash Central Fund | $52 |
Fidelity Securities Lending Cash Central Fund | 1,592 |
Total | $1,644 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
(Amounts in thousands) | ||||
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $496,101 | $496,101 | $-- | $-- |
Consumer Staples | 150,643 | 75,756 | 19,583 | 55,304 |
Energy | 46,879 | 46,879 | -- | -- |
Financials | 143,697 | 141,050 | -- | 2,647 |
Health Care | 377,516 | 377,516 | -- | -- |
Industrials | 114,720 | 111,942 | -- | 2,778 |
Information Technology | 1,568,578 | 1,559,734 | -- | 8,844 |
Materials | 88,214 | 88,214 | -- | -- |
Real Estate | 69,294 | 69,294 | -- | -- |
Telecommunication Services | 56,290 | 56,290 | -- | -- |
Money Market Funds | 123,709 | 123,709 | -- | -- |
Total Investments in Securities: | $3,235,641 | $3,146,485 | $19,583 | $69,573 |
The following is a reconciliation of Investments in Securities and Derivative Instruments for which Level 3 inputs were used in determining value:
(Amounts in thousands) | |
Investments in Securities: | |
Equities - Consumer Staples | |
Beginning Balance | $22,993 |
Net Realized Gain (Loss) on Investment Securities | -- |
Net Unrealized Gain (Loss) on Investment Securities | 32,311 |
Cost of Purchases | -- |
Proceeds of Sales | -- |
Amortization/Accretion | -- |
Transfers into Level 3 | -- |
Transfers out of Level 3 | -- |
Ending Balance | $55,304 |
The change in unrealized gain (loss) for the period attributable to Level 3 securities held at May 31, 2018 | $32,311 |
Other Investments in Securities | |
Beginning Balance | $10,289 |
Net Realized Gain (Loss) on Investment Securities | -- |
Net Unrealized Gain (Loss) on Investment Securities | 1,202 |
Cost of Purchases | 2,778 |
Proceeds of Sales | -- |
Amortization/Accretion | -- |
Transfers into Level 3 | -- |
Transfers out of Level 3 | -- |
Ending Balance | $14,269 |
The change in unrealized gain (loss) for the period attributable to Level 3 securities held at May 31, 2018 | $1,202 |
The information used in the above reconciliation represents fiscal year to date activity for any Investments in Securities identified as using Level 3 inputs at either the beginning or the end of the current fiscal period. Transfers in or out of Level 3 represent the beginning value of any Security or Instrument where a change in the pricing level occurred from the beginning to the end of the period. The cost of purchases and the proceeds of sales may include securities received or delivered through corporate actions or exchanges.
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 89.5% |
Israel | 2.1% |
Netherlands | 1.6% |
India | 1.6% |
United Kingdom | 1.3% |
Cayman Islands | 1.2% |
Others (Individually Less Than 1%) | 2.7% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | May 31, 2018 (Unaudited) | |
Assets | ||
Investment in securities, at value (including securities loaned of $111,934) — See accompanying schedule: Unaffiliated issuers (cost $1,759,458) | $3,111,932 | |
Fidelity Central Funds (cost $123,709) | 123,709 | |
Total Investment in Securities (cost $1,883,167) | $3,235,641 | |
Receivable for investments sold | 762 | |
Receivable for fund shares sold | 1,565 | |
Dividends receivable | 1,996 | |
Distributions receivable from Fidelity Central Funds | 174 | |
Prepaid expenses | 1 | |
Other receivables | 195 | |
Total assets | 3,240,334 | |
Liabilities | ||
Payable for investments purchased | $5,475 | |
Payable for fund shares redeemed | 5,982 | |
Accrued management fee | 1,305 | |
Distribution and service plan fees payable | 947 | |
Other affiliated payables | 508 | |
Other payables and accrued expenses | 157 | |
Collateral on securities loaned | 115,411 | |
Total liabilities | 129,785 | |
Net Assets | $3,110,549 | |
Net Assets consist of: | ||
Paid in capital | $1,582,116 | |
Accumulated net investment loss | (4,751) | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 180,715 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 1,352,469 | |
Net Assets | $3,110,549 | |
Calculation of Maximum Offering Price | ||
Class A: | ||
Net Asset Value and redemption price per share ($589,820 ÷ 8,255.59 shares) | $71.44 | |
Maximum offering price per share (100/94.25 of $71.44) | $75.80 | |
Class M: | ||
Net Asset Value and redemption price per share ($1,590,507 ÷ 22,407.01 shares) | $70.98 | |
Maximum offering price per share (100/96.50 of $70.98) | $73.55 | |
Class C: | ||
Net Asset Value and offering price per share ($209,511 ÷ 3,350.14 shares)(a) | $62.54 | |
Class I: | ||
Net Asset Value, offering price and redemption price per share ($681,065 ÷ 8,902.54 shares) | $76.50 | |
Class Z: | ||
Net Asset Value, offering price and redemption price per share ($39,646 ÷ 514.94 shares) | $76.99 |
(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.
Statement of Operations
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | |
Investment Income | ||
Dividends | $10,618 | |
Income from Fidelity Central Funds (including $1,592 from security lending) | 1,644 | |
Total income | 12,262 | |
Expenses | ||
Management fee | ||
Basic fee | $8,330 | |
Performance adjustment | (1,207) | |
Transfer agent fees | 2,629 | |
Distribution and service plan fees | 5,585 | |
Accounting and security lending fees | 463 | |
Custodian fees and expenses | 52 | |
Independent trustees' fees and expenses | 7 | |
Registration fees | 45 | |
Audit | 36 | |
Legal | 6 | |
Interest | 4 | |
Miscellaneous | 11 | |
Total expenses before reductions | 15,961 | |
Expense reductions | (171) | |
Total expenses after reductions | 15,790 | |
Net investment income (loss) | (3,528) | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers (net of foreign taxes of $10) | 182,258 | |
Fidelity Central Funds | 1 | |
Foreign currency transactions | (3) | |
Total net realized gain (loss) | 182,256 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers | 166,634 | |
Assets and liabilities in foreign currencies | (9) | |
Total change in net unrealized appreciation (depreciation) | 166,625 | |
Net gain (loss) | 348,881 | |
Net increase (decrease) in net assets resulting from operations | $345,353 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $(3,528) | $(1,058) |
Net realized gain (loss) | 182,256 | 247,904 |
Change in net unrealized appreciation (depreciation) | 166,625 | 540,784 |
Net increase (decrease) in net assets resulting from operations | 345,353 | 787,630 |
Distributions to shareholders from net investment income | (104) | – |
Distributions to shareholders from net realized gain | (214,439) | (308,776) |
Total distributions | (214,543) | (308,776) |
Share transactions - net increase (decrease) | (47,388) | 49,313 |
Total increase (decrease) in net assets | 83,422 | 528,167 |
Net Assets | ||
Beginning of period | 3,027,127 | 2,498,960 |
End of period | $3,110,549 | $3,027,127 |
Other Information | ||
Accumulated net investment loss end of period | $(4,751) | $(1,119) |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Growth Opportunities Fund Class A
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $68.76 | $58.24 | $66.87 | $63.52 | $54.89 | $41.34 |
Income from Investment Operations | ||||||
Net investment income (loss)A | (.05) | .04 | .07 | (.08) | (.11) | (.10) |
Net realized and unrealized gain (loss) | 7.70 | 17.86 | (1.46) | 3.43 | 8.74 | 13.65 |
Total from investment operations | 7.65 | 17.90 | (1.39) | 3.35 | 8.63 | 13.55 |
Distributions from net realized gain | (4.97) | (7.38) | (7.24) | – | – | – |
Total distributions | (4.97) | (7.38) | (7.24) | – | – | – |
Net asset value, end of period | $71.44 | $68.76 | $58.24 | $66.87 | $63.52 | $54.89 |
Total ReturnB,C,D | 11.85% | 34.64% | (2.37)% | 5.27% | 15.72% | 32.78% |
Ratios to Average Net AssetsE,F | ||||||
Expenses before reductions | .94%G | .91% | .86% | 1.05% | 1.08% | 1.23% |
Expenses net of fee waivers, if any | .94%G | .91% | .86% | 1.05% | 1.08% | 1.23% |
Expenses net of all reductions | .93%G | .91% | .86% | 1.05% | 1.08% | 1.23% |
Net investment income (loss) | (.14)%G | .06% | .13% | (.12)% | (.18)% | (.20)% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $590 | $540 | $502 | $664 | $648 | $555 |
Portfolio turnover rateH | 42%G | 52% | 66% | 51% | 13% | 17% |
A Calculated based on average shares outstanding during the period.
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the sales charges.
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.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or 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.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Growth Opportunities Fund Class M
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $68.27 | $57.99 | $66.75 | $63.55 | $55.04 | $41.54 |
Income from Investment Operations | ||||||
Net investment income (loss)A | (.12) | (.10) | (.06) | (.23) | (.24) | (.19) |
Net realized and unrealized gain (loss) | 7.65 | 17.76 | (1.46) | 3.43 | 8.75 | 13.69 |
Total from investment operations | 7.53 | 17.66 | (1.52) | 3.20 | 8.51 | 13.50 |
Distributions from net realized gain | (4.82) | (7.38) | (7.24) | – | – | – |
Total distributions | (4.82) | (7.38) | (7.24) | – | – | – |
Net asset value, end of period | $70.98 | $68.27 | $57.99 | $66.75 | $63.55 | $55.04 |
Total ReturnB,C,D | 11.72% | 34.34% | (2.59)% | 5.04% | 15.46% | 32.50% |
Ratios to Average Net AssetsE,F | ||||||
Expenses before reductions | 1.17%G | 1.14% | 1.09% | 1.28% | 1.31% | 1.43% |
Expenses net of fee waivers, if any | 1.17%G | 1.14% | 1.09% | 1.28% | 1.31% | 1.43% |
Expenses net of all reductions | 1.16%G | 1.13% | 1.09% | 1.28% | 1.31% | 1.43% |
Net investment income (loss) | (.37)%G | (.17)% | (.10)% | (.35)% | (.40)% | (.40)% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $1,591 | $1,492 | $1,250 | $1,461 | $1,504 | $1,426 |
Portfolio turnover rateH | 42%G | 52% | 66% | 51% | 13% | 17% |
A Calculated based on average shares outstanding during the period.
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the sales charges.
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.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or 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.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Growth Opportunities Fund Class C
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $60.60 | $52.52 | $61.42 | $58.78 | $51.17 | $38.83 |
Income from Investment Operations | ||||||
Net investment income (loss)A | (.27) | (.37) | (.32) | (.52) | (.50) | (.42) |
Net realized and unrealized gain (loss) | 6.76 | 15.83 | (1.34) | 3.16 | 8.11 | 12.76 |
Total from investment operations | 6.49 | 15.46 | (1.66) | 2.64 | 7.61 | 12.34 |
Distributions from net realized gain | (4.55) | (7.38) | (7.24) | – | – | – |
Total distributions | (4.55) | (7.38) | (7.24) | – | – | – |
Net asset value, end of period | $62.54 | $60.60 | $52.52 | $61.42 | $58.78 | $51.17 |
Total ReturnB,C,D | 11.44% | 33.64% | (3.10)% | 4.49% | 14.87% | 31.78% |
Ratios to Average Net AssetsE,F | ||||||
Expenses before reductions | 1.70%G | 1.66% | 1.61% | 1.80% | 1.83% | 1.96% |
Expenses net of fee waivers, if any | 1.70%G | 1.66% | 1.61% | 1.80% | 1.83% | 1.96% |
Expenses net of all reductions | 1.69%G | 1.66% | 1.61% | 1.80% | 1.83% | 1.96% |
Net investment income (loss) | (.89)%G | (.69)% | (.62)% | (.87)% | (.93)% | (.93)% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $210 | $201 | $178 | $238 | $212 | $159 |
Portfolio turnover rateH | 42%G | 52% | 66% | 51% | 13% | 17% |
A Calculated based on average shares outstanding during the period.
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the contingent deferred sales charge.
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.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or 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.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Growth Opportunities Fund Class I
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $73.38 | $61.52 | $70.05 | $66.35 | $57.18 | $42.94 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .05 | .22 | .25 | .11 | .05 | .05 |
Net realized and unrealized gain (loss) | 8.23 | 19.02 | (1.54) | 3.59 | 9.12 | 14.19 |
Total from investment operations | 8.28 | 19.24 | (1.29) | 3.70 | 9.17 | 14.24 |
Distributions from net realized gain | (5.16) | (7.38) | (7.24) | – | – | – |
Total distributions | (5.16) | (7.38) | (7.24) | – | – | – |
Net asset value, end of period | $76.50 | $73.38 | $61.52 | $70.05 | $66.35 | $57.18 |
Total ReturnB,C | 12.00% | 35.01% | (2.09)% | 5.58% | 16.04% | 33.16% |
Ratios to Average Net AssetsD,E | ||||||
Expenses before reductions | .67%F | .63% | .58% | .77% | .81% | .93% |
Expenses net of fee waivers, if any | .67%F | .63% | .58% | .77% | .81% | .93% |
Expenses net of all reductions | .66%F | .63% | .58% | .77% | .81% | .93% |
Net investment income (loss) | .14%F | .34% | .41% | .16% | .09% | .09% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $681 | $642 | $562 | $1,061 | $1,357 | $1,112 |
Portfolio turnover rateG | 42%F | 52% | 66% | 51% | 13% | 17% |
A Calculated based on average shares outstanding during the period.
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.
E Expense ratios reflect operating expenses of the 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.
F Annualized
G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Growth Opportunities Fund Class Z
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 A | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $73.88 | $61.82 | $70.27 | $66.48 | $57.20 | $53.30 |
Income from Investment Operations | ||||||
Net investment income (loss)B | .10 | .32 | .33 | .20 | .14 | .02 |
Net realized and unrealized gain (loss) | 8.28 | 19.12 | (1.54) | 3.59 | 9.14 | 3.88 |
Total from investment operations | 8.38 | 19.44 | (1.21) | 3.79 | 9.28 | 3.90 |
Distributions from net investment income | (.05) | – | – | – | – | – |
Distributions from net realized gain | (5.22) | (7.38) | (7.24) | – | – | – |
Total distributions | (5.27) | (7.38) | (7.24) | – | – | – |
Net asset value, end of period | $76.99 | $73.88 | $61.82 | $70.27 | $66.48 | $57.20 |
Total ReturnC,D | 12.08% | 35.18% | (1.96)% | 5.70% | 16.22% | 7.32% |
Ratios to Average Net AssetsE,F | ||||||
Expenses before reductions | .55%G | .51% | .45% | .64% | .67% | .78%G |
Expenses net of fee waivers, if any | .55%G | .50% | .45% | .64% | .67% | .78%G |
Expenses net of all reductions | .54%G | .50% | .45% | .64% | .67% | .78%G |
Net investment income (loss) | .26%G | .47% | .54% | .29% | .24% | .14%G |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $40 | $152 | $7 | $5 | $3 | $– |
Portfolio turnover rateH | 42%G | 52% | 66% | 51% | 13% | 17% |
A For the period August 13, 2013 (commencement of sale of shares) to November 30, 2013.
B Calculated based on average shares outstanding during the period.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of 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.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
(Amounts in thousands except percentages)
1. Organization.
Fidelity Advisor Growth Opportunities Fund (the Fund) is a fund of Fidelity Advisor Series I (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 M, Class C, Class I and Class Z shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class.
2. Investments in Fidelity Central Funds.
The Fund may invest in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events. 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. 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. Equity securities, including restricted securities, for which observable inputs are not available are valued using alternate valuation approaches, including the market approach and the income approach and are categorized as Level 3 in the hierarchy. The market approach generally consists of using comparable market transactions while the income approach generally consists of using the net present value of estimated future cash flows, adjusted as appropriate for liquidity, credit, market and/or other risk factors.
Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
The following provides information on Level 3 securities held by the Fund that were valued at period end based on unobservable inputs. These amounts exclude valuations provided by a broker.
Asset Type | Fair Value | Valuation Technique(s) | Unobservable Input | Amount or Range/Weighted Average | Impact to Valuation from an Increase in Input(a) |
Equities | $69,573 | Market approach | Transaction price | $9.38 - $169.00 / $59.44 | Increase |
Market comparable | Enterprise value/Sales multiple (EV/S) | 1.17 - 5.9 / 5.7 | Increase | ||
Discount rate | 10.0% | Decrease |
(a) Represents the expected directional change in the fair value of the Level 3 investments that would result from an increase in the corresponding input. A decrease to the unobservable input would have the opposite effect. Significant changes in these inputs could result in significantly higher or lower fair value measurements.
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 May 31, 2018, as well as a roll forward of Level 3 investments, 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. 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.
Deferred Trustee Compensation. Under a Deferred Compensation Plan (the Plan), certain independent Trustees have elected to defer receipt of a portion of their annual compensation. Deferred amounts are invested in a cross-section of Fidelity funds, are marked-to-market and remain in the Fund until distributed in accordance with the Plan. The investment of deferred amounts and the offsetting payable to the Trustees are included in the accompanying Statement of Assets and Liabilities.
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. The Fund is subject to a tax imposed on capital gains by certain countries in which it invests.
Distributions are declared and recorded on the ex-dividend date. Income 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 foreign currency transactions, partnerships, passive foreign investment companies (PFIC), deferred trustees compensation, net operating losses and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $1,401,413 |
Gross unrealized depreciation | (54,337) |
Net unrealized appreciation (depreciation) | $1,347,076 |
Tax cost | $1,888,565 |
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.
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $640,674 and $904,093, 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 .30% of the Fund's average net assets and an annualized group fee rate that averaged .24% 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. In addition, the management fee is subject to a performance adjustment (up to a maximum of +/- .20% of the Fund's average net assets over a 36 month performance period). The upward or downward adjustment to the management fee is based on the investment performance of the asset-weighted return of all classes as compared to its benchmark index, the Russell 1000 Growth Index, over the same 36 month performance period. For the reporting period, the total annualized management fee rate, including the performance adjustment, was .46% of the Fund's average net assets. The performance adjustment included in the management fee rate may be higher or lower than the maximum performance adjustment rate due to the difference between the average net assets for the reporting and performance periods.
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 Fee | Service Fee | Total Fees | Retained by FDC | |
Class A | -% | .25% | $705 | $21 |
Class M | .25% | .25% | 3,858 | 87 |
Class C | .75% | .25% | 1,022 | 72 |
$5,585 | $180 |
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 M 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 M and Class C redemptions. The deferred sales charges are 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class M shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained by FDC | |
Class A | $82 |
Class C(a) | 5 |
$87 |
(a) When Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of 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, except for Class Z. FIIOC receives an asset-based fee of Class Z's average net assets. 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-Level Average Net Assets(a) | |
Class A | $535 | .19 |
Class M | 1,321 | .17 |
Class C | 200 | .20 |
Class I | 547 | .17 |
Class Z | 26 | .05 |
$2,629 |
(a) 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. For the period, the fees were equivalent to an annualized rate of .03%.
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 $20 for the period.
Interfund Lending Program. Pursuant to an Exemptive Order issued by the SEC, the Fund, along with other registered investment companies having management contracts with Fidelity Management & Research Company (FMR) or other affiliated entities of FMR, may participate in an interfund lending program. This program provides an alternative credit facility allowing the funds to borrow from, or lend money to, other participating affiliated funds. At period end, there were no interfund loans outstanding. The Fund's activity in this program during the period for which loans were outstanding was as follows:
Borrower or Lender | Average Loan Balance | Weighted Average Interest Rate | Interest Expense |
Borrower | $8,929 | 1.64% | $4 |
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
Other. During the period, the investment adviser reimbursed the Fund for certain losses in the amount of $2.
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 $4 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
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. The Fund or borrower may terminate the loan at any time, and 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. The value of securities loaned to FCM at period end was $832. 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, and includes $232 from 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 $155 for the period. In addition, through arrangements with the Fund's custodian, credits realized as a result of certain uninvested cash balances were used to reduce the Fund's expenses. During the period, these credits reduced the Fund's custody expenses by $1.
In addition, during the period the investment adviser reimbursed and/or waived a portion of fund-level operating expenses in the amount of $15.
9. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended May 31, 2018 | Year ended November 30, 2017 | |
From net investment income | ||
Class Z | $104 | $– |
Total | $104 | $– |
From net realized gain | ||
Class A | $38,843 | $61,177 |
Class M | 104,766 | 157,755 |
Class C | 14,984 | 23,721 |
Class I | 45,003 | 65,238 |
Class Z | 10,843 | 885 |
Total | $214,439 | $308,776 |
10. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
Shares | Shares | Dollars | Dollars | |
Six months ended May 31, 2018 | Year ended November 30, 2017 | Six months ended May 31, 2018 | Year ended November 30, 2017 | |
Class A | ||||
Shares sold | 637 | 965 | $43,622 | $59,048 |
Reinvestment of distributions | 567 | 1,085 | 36,792 | 57,029 |
Shares redeemed | (808) | (2,807) | (55,107) | (166,066) |
Net increase (decrease) | 396 | (757) | $25,307 | $(49,989) |
Class M | ||||
Shares sold | 1,011 | 1,699 | $68,403 | $101,570 |
Reinvestment of distributions | 1,564 | 2,861 | 100,981 | 149,667 |
Shares redeemed | (2,019) | (4,259) | (136,540) | (254,711) |
Net increase (decrease) | 556 | 301 | $32,844 | $(3,474) |
Class C | ||||
Shares sold | 240 | 530 | $14,406 | $28,137 |
Reinvestment of distributions | 240 | 437 | 13,699 | 20,384 |
Shares redeemed | (448) | (1,042) | (26,852) | (54,837) |
Net increase (decrease) | 32 | (75) | $1,253 | $(6,316) |
Class I | ||||
Shares sold | 890 | 2,197 | $64,900 | $141,765 |
Reinvestment of distributions | 448 | 782 | 31,123 | 43,776 |
Shares redeemed | (1,188) | (3,359) | (86,418) | (209,655) |
Net increase (decrease) | 150 | (380) | $9,605 | $(24,114) |
Class Z | ||||
Shares sold | 321 | 2,133 | $23,628 | $146,967 |
Reinvestment of distributions | 150 | 16 | 10,498 | 885 |
Shares redeemed | (2,008) | (217) | (150,523) | (14,646) |
Net increase (decrease) | (1,537) | 1,932 | $(116,397) | $133,206 |
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.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including 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 (December 1, 2017 to May 31, 2018).
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. 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. 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.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Class A | .94% | |||
Actual | $1,000.00 | $1,118.50 | $4.96 | |
Hypothetical-C | $1,000.00 | $1,020.24 | $4.73 | |
Class M | 1.17% | |||
Actual | $1,000.00 | $1,117.20 | $6.18 | |
Hypothetical-C | $1,000.00 | $1,019.10 | $5.89 | |
Class C | 1.70% | |||
Actual | $1,000.00 | $1,114.40 | $8.96 | |
Hypothetical-C | $1,000.00 | $1,016.45 | $8.55 | |
Class I | .67% | |||
Actual | $1,000.00 | $1,120.00 | $3.54 | |
Hypothetical-C | $1,000.00 | $1,021.59 | $3.38 | |
Class Z | .55% | |||
Actual | $1,000.00 | $1,120.80 | $2.91 | |
Hypothetical-C | $1,000.00 | $1,022.19 | $2.77 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
GO-SANN-0718
1.704615.120
Fidelity Advisor® Large Cap Fund Semi-Annual Report May 31, 2018 |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-877-208-0098 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. © 2018 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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Microsoft Corp. | 4.3 |
Bank of America Corp. | 3.5 |
JPMorgan Chase & Co. | 2.9 |
Exxon Mobil Corp. | 2.7 |
Citigroup, Inc. | 2.5 |
Comcast Corp. Class A | 2.3 |
Apple, Inc. | 2.4 |
Suncor Energy, Inc. | 2.1 |
Chevron Corp. | 1.9 |
State Street Corp. | 1.9 |
26.5 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Financials | 21.1 |
Information Technology | 18.2 |
Health Care | 15.1 |
Energy | 14.7 |
Industrials | 10.4 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018 * | ||
Stocks | 99.3% | |
Other Investments | 0.1% | |
Short-Term Investments and Net Other Assets (Liabilities) | 0.6% |
* Foreign investments - 13.1%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 99.3% | |||
Shares | Value | ||
CONSUMER DISCRETIONARY - 8.0% | |||
Hotels, Restaurants & Leisure - 0.2% | |||
Drive Shack, Inc. (a) | 81,300 | $530,889 | |
Dunkin' Brands Group, Inc. | 27,800 | 1,780,034 | |
Starbucks Corp. | 4,800 | 272,016 | |
2,582,939 | |||
Media - 4.9% | |||
Charter Communications, Inc. Class A (a) | 5,000 | 1,305,200 | |
Comcast Corp. Class A | 965,574 | 30,106,597 | |
Discovery Communications, Inc. Class A (a)(b) | 116,600 | 2,459,094 | |
Interpublic Group of Companies, Inc. | 216,800 | 4,899,680 | |
Liberty Global PLC Class A (a) | 22,900 | 652,879 | |
Omnicom Group, Inc. | 19,300 | 1,391,144 | |
Sinclair Broadcast Group, Inc. Class A | 71,400 | 1,956,360 | |
The Walt Disney Co. | 144,300 | 14,353,521 | |
Time Warner, Inc. | 48,600 | 4,576,176 | |
Viacom, Inc. Class B (non-vtg.) | 70,100 | 1,899,710 | |
63,600,361 | |||
Multiline Retail - 0.4% | |||
Target Corp. | 61,540 | 4,485,651 | |
Specialty Retail - 2.5% | |||
L Brands, Inc. | 119,900 | 4,065,809 | |
Lowe's Companies, Inc. | 165,279 | 15,703,158 | |
O'Reilly Automotive, Inc. (a) | 4,500 | 1,212,345 | |
Ross Stores, Inc. | 7,900 | 623,152 | |
Sally Beauty Holdings, Inc. (a) | 217,400 | 3,291,436 | |
TJX Companies, Inc. | 81,300 | 7,343,016 | |
32,238,916 | |||
TOTAL CONSUMER DISCRETIONARY | 102,907,867 | ||
CONSUMER STAPLES - 6.5% | |||
Beverages - 1.1% | |||
The Coca-Cola Co. | 324,975 | 13,973,925 | |
Food & Staples Retailing - 1.2% | |||
Kroger Co. | 42,300 | 1,029,159 | |
Walmart, Inc. | 175,700 | 14,502,278 | |
15,531,437 | |||
Food Products - 0.2% | |||
Campbell Soup Co. | 31,800 | 1,069,752 | |
The Hershey Co. | 15,300 | 1,377,612 | |
2,447,364 | |||
Household Products - 1.5% | |||
Kimberly-Clark Corp. | 19,000 | 1,916,150 | |
Procter & Gamble Co. | 192,052 | 14,052,445 | |
Reckitt Benckiser Group PLC | 52,098 | 3,987,747 | |
19,956,342 | |||
Personal Products - 0.1% | |||
Unilever NV (NY Reg.) | 15,400 | 858,858 | |
Tobacco - 2.4% | |||
Altria Group, Inc. | 392,700 | 21,889,098 | |
British American Tobacco PLC sponsored ADR | 179,900 | 9,210,880 | |
31,099,978 | |||
TOTAL CONSUMER STAPLES | 83,867,904 | ||
ENERGY - 14.6% | |||
Energy Equipment & Services - 1.4% | |||
Baker Hughes, a GE Co. Class A | 219,700 | 7,599,423 | |
Ensco PLC Class A | 86,850 | 564,525 | |
National Oilwell Varco, Inc. | 142,232 | 5,891,249 | |
Oceaneering International, Inc. | 142,800 | 3,402,924 | |
17,458,121 | |||
Oil, Gas & Consumable Fuels - 13.2% | |||
Aker Bp ASA | 4,400 | 160,778 | |
Amyris, Inc. (a)(b) | 54,556 | 282,055 | |
Anadarko Petroleum Corp. | 85,100 | 5,939,980 | |
BP PLC sponsored ADR | 221,141 | 10,132,681 | |
Cabot Oil & Gas Corp. | 309,500 | 7,072,075 | |
Cenovus Energy, Inc. | 1,683,500 | 17,762,055 | |
Chevron Corp. | 197,107 | 24,500,400 | |
ConocoPhillips Co. | 202,000 | 13,612,780 | |
Enterprise Products Partners LP | 15,600 | 450,840 | |
Exxon Mobil Corp. | 434,200 | 35,274,408 | |
Golar LNG Ltd. | 70,900 | 1,841,982 | |
Hess Corp. | 4,900 | 296,058 | |
Imperial Oil Ltd. | 141,800 | 4,639,176 | |
Legacy Reserves LP (a) | 113,300 | 643,544 | |
Noble Energy, Inc. | 14,600 | 521,220 | |
Statoil ASA sponsored ADR | 149,100 | 3,913,875 | |
Suncor Energy, Inc. | 680,900 | 27,118,368 | |
Teekay Offshore Partners LP | 250,200 | 675,540 | |
The Williams Companies, Inc. | 293,529 | 7,884,189 | |
Williams Partners LP | 188,100 | 7,486,380 | |
170,208,384 | |||
TOTAL ENERGY | 187,666,505 | ||
FINANCIALS - 21.1% | |||
Banks - 13.8% | |||
Bank of America Corp. | 1,540,389 | 44,732,897 | |
BNP Paribas SA (b) | 6,800 | 421,803 | |
Citigroup, Inc. | 486,597 | 32,451,154 | |
First Hawaiian, Inc. | 2,300 | 67,344 | |
JPMorgan Chase & Co. | 352,768 | 37,749,704 | |
PNC Financial Services Group, Inc. | 68,585 | 9,835,775 | |
Signature Bank (a) | 9,400 | 1,198,406 | |
Standard Chartered PLC (United Kingdom) | 113,064 | 1,134,176 | |
SunTrust Banks, Inc. | 226,208 | 15,271,302 | |
U.S. Bancorp | 230,465 | 11,520,945 | |
Wells Fargo & Co. | 431,694 | 23,307,159 | |
177,690,665 | |||
Capital Markets - 5.4% | |||
Charles Schwab Corp. | 170,453 | 9,480,596 | |
KKR & Co. LP | 323,636 | 7,194,428 | |
Morgan Stanley | 244,243 | 12,246,344 | |
Northern Trust Corp. | 155,786 | 15,971,181 | |
State Street Corp. | 250,658 | 24,090,740 | |
68,983,289 | |||
Diversified Financial Services - 0.6% | |||
KKR Renaissance Co-Invest LP unit (a)(c) | 18,300 | 7,286,640 | |
Insurance - 0.4% | |||
MetLife, Inc. | 120,600 | 5,546,394 | |
Thrifts & Mortgage Finance - 0.9% | |||
MGIC Investment Corp. (a) | 255,092 | 2,650,406 | |
Radian Group, Inc. | 599,668 | 9,534,721 | |
12,185,127 | |||
TOTAL FINANCIALS | 271,692,115 | ||
HEALTH CARE - 15.1% | |||
Biotechnology - 3.3% | |||
Alexion Pharmaceuticals, Inc. (a) | 76,005 | 8,826,461 | |
Alnylam Pharmaceuticals, Inc. (a) | 16,000 | 1,591,520 | |
Amgen, Inc. | 88,823 | 15,954,387 | |
Atara Biotherapeutics, Inc. (a) | 40,100 | 1,996,980 | |
Biogen, Inc. (a) | 7,900 | 2,322,284 | |
Insmed, Inc. (a) | 63,764 | 1,776,465 | |
Intercept Pharmaceuticals, Inc. (a) | 67,931 | 4,769,436 | |
Mirati Therapeutics, Inc. (a) | 13,700 | 582,250 | |
Regeneron Pharmaceuticals, Inc. (a) | 3,500 | 1,051,120 | |
Spark Therapeutics, Inc. (a) | 31,400 | 2,505,406 | |
TESARO, Inc. (a) | 6,700 | 306,659 | |
Trevena, Inc. (a) | 238,100 | 445,247 | |
42,128,215 | |||
Health Care Equipment & Supplies - 2.1% | |||
Boston Scientific Corp. (a) | 640,086 | 19,452,214 | |
Danaher Corp. | 48,900 | 4,854,792 | |
ResMed, Inc. | 6,100 | 627,141 | |
Zimmer Biomet Holdings, Inc. | 17,200 | 1,917,972 | |
26,852,119 | |||
Health Care Providers & Services - 4.7% | |||
AmerisourceBergen Corp. | 82,000 | 6,735,480 | |
Anthem, Inc. | 26,895 | 5,955,091 | |
Cardinal Health, Inc. | 150,600 | 7,844,754 | |
Cigna Corp. | 38,500 | 6,520,745 | |
CVS Health Corp. | 213,111 | 13,509,106 | |
Henry Schein, Inc. (a) | 3,400 | 235,280 | |
Humana, Inc. | 11,000 | 3,200,780 | |
McKesson Corp. | 73,096 | 10,375,246 | |
UnitedHealth Group, Inc. | 24,200 | 5,844,542 | |
60,221,024 | |||
Health Care Technology - 0.0% | |||
Castlight Health, Inc. Class B (a) | 203,380 | 732,168 | |
Pharmaceuticals - 5.0% | |||
Allergan PLC | 20,429 | 3,080,693 | |
AstraZeneca PLC sponsored ADR | 72,400 | 2,680,972 | |
Bayer AG | 46,200 | 5,514,144 | |
CymaBay Therapeutics, Inc. (a) | 50,321 | 652,663 | |
GlaxoSmithKline PLC sponsored ADR | 494,229 | 20,026,159 | |
Jazz Pharmaceuticals PLC (a) | 51,007 | 8,620,183 | |
Johnson & Johnson | 89,263 | 10,677,640 | |
Nektar Therapeutics (a) | 16,200 | 1,300,374 | |
Novartis AG sponsored ADR | 2,300 | 171,396 | |
Pfizer, Inc. | 18,300 | 657,519 | |
Sanofi SA | 12,674 | 971,511 | |
Teva Pharmaceutical Industries Ltd. sponsored ADR | 311,191 | 6,690,607 | |
TherapeuticsMD, Inc. (a)(b) | 707,800 | 4,183,098 | |
65,226,959 | |||
TOTAL HEALTH CARE | 195,160,485 | ||
INDUSTRIALS - 10.4% | |||
Aerospace & Defense - 1.8% | |||
General Dynamics Corp. | 16,300 | 3,287,873 | |
The Boeing Co. | 563 | 198,266 | |
United Technologies Corp. | 156,682 | 19,557,047 | |
23,043,186 | |||
Air Freight & Logistics - 1.7% | |||
C.H. Robinson Worldwide, Inc. | 42,059 | 3,659,133 | |
FedEx Corp. | 10,900 | 2,715,408 | |
United Parcel Service, Inc. Class B | 131,575 | 15,278,489 | |
21,653,030 | |||
Commercial Services & Supplies - 0.2% | |||
ADS Waste Holdings, Inc. (a) | 43,900 | 1,026,382 | |
Stericycle, Inc. (a) | 21,100 | 1,339,850 | |
2,366,232 | |||
Electrical Equipment - 0.8% | |||
Acuity Brands, Inc. | 43,300 | 5,120,225 | |
Hubbell, Inc. Class B | 22,082 | 2,378,011 | |
Melrose Industries PLC | 1,024,927 | 3,215,469 | |
10,713,705 | |||
Industrial Conglomerates - 1.7% | |||
General Electric Co. | 1,554,544 | 21,887,980 | |
ITT, Inc. | 2,600 | 134,212 | |
22,022,192 | |||
Machinery - 0.9% | |||
Flowserve Corp. | 177,100 | 7,321,314 | |
Wabtec Corp. | 51,200 | 4,992,512 | |
12,313,826 | |||
Marine - 0.1% | |||
A.P. Moller - Maersk A/S Series B | 844 | 1,258,417 | |
Professional Services - 0.3% | |||
Acacia Research Corp. (a) | 36,900 | 142,065 | |
IHS Markit Ltd. (a) | 66,736 | 3,288,750 | |
3,430,815 | |||
Road & Rail - 2.9% | |||
CSX Corp. | 98,601 | 6,374,555 | |
Genesee & Wyoming, Inc. Class A (a) | 43,600 | 3,405,596 | |
J.B. Hunt Transport Services, Inc. | 73,800 | 9,453,780 | |
Norfolk Southern Corp. | 42,658 | 6,469,086 | |
Union Pacific Corp. | 81,700 | 11,663,492 | |
37,366,509 | |||
Trading Companies & Distributors - 0.0% | |||
Fastenal Co. | 4,900 | 260,827 | |
Univar, Inc. (a) | 7,700 | 209,979 | |
470,806 | |||
TOTAL INDUSTRIALS | 134,638,718 | ||
INFORMATION TECHNOLOGY - 18.2% | |||
Communications Equipment - 1.6% | |||
Cisco Systems, Inc. | 462,254 | 19,742,868 | |
F5 Networks, Inc. (a) | 6,600 | 1,142,526 | |
20,885,394 | |||
Electronic Equipment & Components - 0.2% | |||
ADT, Inc. (b) | 83,900 | 630,928 | |
Itron, Inc. (a) | 32,700 | 1,867,170 | |
2,498,098 | |||
Internet Software & Services - 1.5% | |||
Alphabet, Inc.: | |||
Class A (a) | 8,936 | 9,829,600 | |
Class C (a) | 8,617 | 9,349,359 | |
19,178,959 | |||
IT Services - 4.3% | |||
Cognizant Technology Solutions Corp. Class A | 19,884 | 1,498,259 | |
FleetCor Technologies, Inc. (a) | 10,000 | 1,993,500 | |
IBM Corp. | 5,700 | 805,467 | |
Interxion Holding N.V. (a) | 32,300 | 2,062,678 | |
MasterCard, Inc. Class A | 61,500 | 11,692,380 | |
Paychex, Inc. | 159,522 | 10,461,453 | |
PayPal Holdings, Inc. (a) | 8,200 | 672,974 | |
Unisys Corp. (a) | 307,187 | 3,701,603 | |
Visa, Inc. Class A | 171,610 | 22,432,859 | |
55,321,173 | |||
Semiconductors & Semiconductor Equipment - 2.0% | |||
Analog Devices, Inc. | 12,500 | 1,214,750 | |
NXP Semiconductors NV (a) | 21,400 | 2,439,600 | |
Qualcomm, Inc. | 382,050 | 22,204,746 | |
25,859,096 | |||
Software - 6.2% | |||
Adobe Systems, Inc. (a) | 22,310 | 5,561,437 | |
Autodesk, Inc. (a) | 1,481 | 191,197 | |
Microsoft Corp. | 562,554 | 55,602,837 | |
Oracle Corp. | 231,300 | 10,806,336 | |
SAP SE sponsored ADR | 51,500 | 5,808,685 | |
Ultimate Software Group, Inc. (a) | 8,600 | 2,254,490 | |
80,224,982 | |||
Technology Hardware, Storage & Peripherals - 2.4% | |||
Apple, Inc. | 161,021 | 30,089,994 | |
TOTAL INFORMATION TECHNOLOGY | 234,057,696 | ||
MATERIALS - 2.5% | |||
Chemicals - 2.0% | |||
CF Industries Holdings, Inc. | 123,600 | 5,084,904 | |
Intrepid Potash, Inc. (a) | 612,760 | 2,745,165 | |
LyondellBasell Industries NV Class A | 65,400 | 7,332,648 | |
Nutrien Ltd. | 142,460 | 7,208,700 | |
The Scotts Miracle-Gro Co. Class A | 13,700 | 1,166,281 | |
W.R. Grace & Co. | 25,900 | 1,854,181 | |
25,391,879 | |||
Metals & Mining - 0.5% | |||
BHP Billiton Ltd. sponsored ADR (b) | 44,500 | 2,215,210 | |
Freeport-McMoRan, Inc. | 179,200 | 3,028,480 | |
Lundin Mining Corp. | 281,200 | 1,763,193 | |
7,006,883 | |||
TOTAL MATERIALS | 32,398,762 | ||
REAL ESTATE - 0.5% | |||
Equity Real Estate Investment Trusts (REITs) - 0.5% | |||
American Tower Corp. | 11,100 | 1,535,907 | |
Equinix, Inc. | 7,000 | 2,777,950 | |
Public Storage | 8,800 | 1,864,192 | |
6,178,049 | |||
TELECOMMUNICATION SERVICES - 1.0% | |||
Diversified Telecommunication Services - 1.0% | |||
Verizon Communications, Inc. | 265,494 | 12,656,099 | |
Zayo Group Holdings, Inc. (a) | 10,700 | 372,360 | |
13,028,459 | |||
UTILITIES - 1.4% | |||
Electric Utilities - 1.3% | |||
Exelon Corp. | 248,800 | 10,297,832 | |
PPL Corp. | 48,400 | 1,322,288 | |
Southern Co. | 5,900 | 264,910 | |
Vistra Energy Corp. (a) | 217,116 | 5,325,855 | |
17,210,885 | |||
Independent Power and Renewable Electricity Producers - 0.1% | |||
The AES Corp. | 61,200 | 780,300 | |
TOTAL UTILITIES | 17,991,185 | ||
TOTAL COMMON STOCKS | |||
(Cost $969,012,123) | 1,279,587,745 | ||
Other - 0.1% | |||
Energy - 0.1% | |||
Oil, Gas & Consumable Fuels - 0.1% | |||
Utica Shale Drilling Program (non-operating revenue interest) (c)(d)(e) | |||
(Cost $3,301,608) | 3,301,608 | 1,774,944 | |
Money Market Funds - 1.7% | |||
Fidelity Cash Central Fund, 1.76% (f) | 11,343,742 | 11,346,010 | |
Fidelity Securities Lending Cash Central Fund 1.76% (f)(g) | 9,768,827 | 9,769,804 | |
TOTAL MONEY MARKET FUNDS | |||
(Cost $21,115,814) | 21,115,814 | ||
TOTAL INVESTMENT IN SECURITIES - 101.1% | |||
(Cost $993,429,545) | 1,302,478,503 | ||
NET OTHER ASSETS (LIABILITIES) - (1.1)% | (13,777,228) | ||
NET ASSETS - 100% | $1,288,701,275 |
Legend
(a) Non-income producing
(b) Security or a portion of the security is on loan at period end.
(c) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $9,061,584 or 0.7% of net assets.
(d) Investment is owned by a wholly-owned subsidiary (Subsidiary) that is treated as a corporation for U.S. tax purposes.
(e) Level 3 security
(f) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements are available on the SEC's website or upon request.
(g) Investment made with cash collateral received from securities on loan.
Additional information on each restricted holding is as follows:
Security | Acquisition Date | Acquisition Cost |
KKR Renaissance Co-Invest LP unit | 7/25/13 | $1,930,650 |
Utica Shale Drilling Program (non-operating revenue interest) | 10/5/16 - 9/1/17 | $3,301,608 |
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 | $64,497 |
Fidelity Securities Lending Cash Central Fund | 90,160 |
Total | $154,657 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $102,907,867 | $102,907,867 | $-- | $-- |
Consumer Staples | 83,867,904 | 79,880,157 | 3,987,747 | -- |
Energy | 187,666,505 | 187,666,505 | -- | -- |
Financials | 271,692,115 | 264,405,475 | 7,286,640 | -- |
Health Care | 195,160,485 | 188,674,830 | 6,485,655 | -- |
Industrials | 134,638,718 | 133,380,301 | 1,258,417 | -- |
Information Technology | 234,057,696 | 234,057,696 | -- | -- |
Materials | 32,398,762 | 32,398,762 | -- | -- |
Real Estate | 6,178,049 | 6,178,049 | -- | -- |
Telecommunication Services | 13,028,459 | 13,028,459 | -- | -- |
Utilities | 17,991,185 | 17,991,185 | -- | -- |
Other | 1,774,944 | -- | -- | 1,774,944 |
Money Market Funds | 21,115,814 | 21,115,814 | -- | -- |
Total Investments in Securities: | $1,302,478,503 | $1,281,685,100 | $19,018,459 | $1,774,944 |
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 86.9% |
Canada | 4.6% |
United Kingdom | 3.9% |
Netherlands | 1.1% |
Others (Individually Less Than 1%) | 3.5% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
May 31, 2018 (Unaudited) | ||
Assets | ||
Investment in securities, at value (including securities loaned of $9,362,174) — See accompanying schedule: Unaffiliated issuers (cost $972,313,731) | $1,281,362,689 | |
Fidelity Central Funds (cost $21,115,814) | 21,115,814 | |
Total Investment in Securities (cost $993,429,545) | $1,302,478,503 | |
Restricted cash | 28,984 | |
Receivable for investments sold | 2,408,679 | |
Receivable for fund shares sold | 408,989 | |
Dividends receivable | 3,196,148 | |
Distributions receivable from Fidelity Central Funds | 38,315 | |
Prepaid expenses | 357 | |
Other receivables | 19,697 | |
Total assets | 1,308,579,672 | |
Liabilities | ||
Payable to custodian bank | $468 | |
Payable for investments purchased | 3,622,983 | |
Payable for fund shares redeemed | 5,469,503 | |
Accrued management fee | 428,292 | |
Distribution and service plan fees payable | 307,826 | |
Other affiliated payables | 232,566 | |
Other payables and accrued expenses | 42,596 | |
Collateral on securities loaned | 9,774,163 | |
Total liabilities | 19,878,397 | |
Net Assets | $1,288,701,275 | |
Net Assets consist of: | ||
Paid in capital | $893,087,229 | |
Undistributed net investment income | 4,226,240 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 82,341,706 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 309,046,100 | |
Net Assets | $1,288,701,275 | |
Calculation of Maximum Offering Price | ||
Class A: | ||
Net Asset Value and redemption price per share ($431,750,781 ÷ 12,946,996 shares) | $33.35 | |
Maximum offering price per share (100/94.25 of $33.35) | $35.38 | |
Class M: | ||
Net Asset Value and redemption price per share ($182,285,530 ÷ 5,480,152 shares) | $33.26 | |
Maximum offering price per share (100/96.50 of $33.26) | $34.47 | |
Class C: | ||
Net Asset Value and offering price per share ($164,467,475 ÷ 5,449,331 shares)(a) | $30.18 | |
Class I: | ||
Net Asset Value, offering price and redemption price per share ($492,730,851 ÷ 14,118,730 shares) | $34.90 | |
Class Z: | ||
Net Asset Value, offering price and redemption price per share ($17,466,638 ÷ 500,335 shares) | $34.91 |
(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.
Statement of Operations
Six months ended May 31, 2018 (Unaudited) | ||
Investment Income | ||
Dividends | $13,162,823 | |
Income from Fidelity Central Funds | 154,657 | |
Total income | 13,317,480 | |
Expenses | ||
Management fee | ||
Basic fee | $3,640,562 | |
Performance adjustment | (771,807) | |
Transfer agent fees | 1,223,457 | |
Distribution and service plan fees | 1,921,875 | |
Accounting and security lending fees | 215,451 | |
Custodian fees and expenses | 27,580 | |
Independent trustees' fees and expenses | 3,041 | |
Registration fees | 53,991 | |
Audit | 35,773 | |
Legal | 3,859 | |
Interest | 6,219 | |
Miscellaneous | 5,391 | |
Total expenses before reductions | 6,365,392 | |
Expense reductions | (30,798) | |
Total expenses after reductions | 6,334,594 | |
Net investment income (loss) | 6,982,886 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 88,081,734 | |
Fidelity Central Funds | (779) | |
Foreign currency transactions | (9,974) | |
Total net realized gain (loss) | 88,070,981 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers | (60,211,921) | |
Fidelity Central Funds | 194 | |
Assets and liabilities in foreign currencies | 166 | |
Total change in net unrealized appreciation (depreciation) | (60,211,561) | |
Net gain (loss) | 27,859,420 | |
Net increase (decrease) in net assets resulting from operations | $34,842,306 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 | |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $6,982,886 | $15,830,363 |
Net realized gain (loss) | 88,070,981 | 85,078,526 |
Change in net unrealized appreciation (depreciation) | (60,211,561) | 117,521,302 |
Net increase (decrease) in net assets resulting from operations | 34,842,306 | 218,430,191 |
Distributions to shareholders from net investment income | (14,212,298) | (13,125,307) |
Distributions to shareholders from net realized gain | (83,224,419) | (11,235,798) |
Total distributions | (97,436,717) | (24,361,105) |
Share transactions - net increase (decrease) | (33,518,447) | (40,158,418) |
Total increase (decrease) in net assets | (96,112,858) | 153,910,668 |
Net Assets | ||
Beginning of period | 1,384,814,133 | 1,230,903,465 |
End of period | $1,288,701,275 | $1,384,814,133 |
Other Information | ||
Undistributed net investment income end of period | $4,226,240 | $11,455,652 |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Large Cap Fund Class A
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $34.98 | $30.27 | $28.12 | $29.60 | $28.11 | $20.43 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .18 | .39 | .34 | .25 | .20 | .16 |
Net realized and unrealized gain (loss) | .70 | 4.93 | 2.64 | (.74) | 3.45 | 7.61 |
Total from investment operations | .88 | 5.32 | 2.98 | (.49) | 3.65 | 7.77 |
Distributions from net investment income | (.38) | (.33) | (.23) | (.14) | (.22) | (.02) |
Distributions from net realized gain | (2.13) | (.27) | (.60) | (.85) | (1.94) | (.07) |
Total distributions | (2.51) | (.61)B | (.83) | (.99) | (2.16) | (.09) |
Net asset value, end of period | $33.35 | $34.98 | $30.27 | $28.12 | $29.60 | $28.11 |
Total ReturnC,D,E | 2.51% | 17.84% | 11.09% | (1.57)% | 14.13% | 38.16% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | .91%H | .91% | .92% | 1.15% | 1.30% | 1.26% |
Expenses net of fee waivers, if any | .91%H | .91% | .92% | 1.15% | 1.25% | 1.26% |
Expenses net of all reductions | .91%H | .90% | .91% | 1.15% | 1.25% | 1.24% |
Net investment income (loss) | 1.07%H | 1.22% | 1.25% | .90% | .72% | .68% |
Supplemental Data | ||||||
Net assets, end of period (000 omitted) | $431,751 | $461,949 | $455,182 | $469,026 | $414,421 | $214,686 |
Portfolio turnover rateI | 36%H | 31% | 28% | 31% | 28% | 54% |
A Calculated based on average shares outstanding during the period.
B Total distributions of $.61 per share is comprised of distributions from net investment income of $.334 and distributions from net realized gain of $.273 per share.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
E Total returns do not include the effect of the sales charges.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Large Cap Fund Class M
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $34.86 | $30.17 | $28.02 | $29.50 | $28.02 | $20.41 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .14 | .31 | .27 | .18 | .13 | .10 |
Net realized and unrealized gain (loss) | .69 | 4.91 | 2.64 | (.74) | 3.44 | 7.59 |
Total from investment operations | .83 | 5.22 | 2.91 | (.56) | 3.57 | 7.69 |
Distributions from net investment income | (.29) | (.26) | (.16) | (.07) | (.15) | (.01) |
Distributions from net realized gain | (2.13) | (.27) | (.60) | (.85) | (1.94) | (.07) |
Total distributions | (2.43)B | (.53) | (.76) | (.92) | (2.09) | (.08) |
Net asset value, end of period | $33.26 | $34.86 | $30.17 | $28.02 | $29.50 | $28.02 |
Total ReturnC,D,E | 2.36% | 17.54% | 10.81% | (1.84)% | 13.83% | 37.82% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | 1.17%H | 1.17% | 1.18% | 1.41% | 1.56% | 1.51% |
Expenses net of fee waivers, if any | 1.17%H | 1.17% | 1.18% | 1.41% | 1.50% | 1.51% |
Expenses net of all reductions | 1.17%H | 1.17% | 1.18% | 1.41% | 1.50% | 1.49% |
Net investment income (loss) | .81%H | .96% | .99% | .63% | .47% | .42% |
Supplemental Data | ||||||
Net assets, end of period (000 omitted) | $182,286 | $193,882 | $173,119 | $177,560 | $170,613 | $114,864 |
Portfolio turnover rateI | 36%H | 31% | 28% | 31% | 28% | 54% |
A Calculated based on average shares outstanding during the period.
B Total distributions of $2.43 per share is comprised of distributions from net investment income of $.294 and distributions from net realized gain of $2.132 per share.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
E Total returns do not include the effect of the sales charges.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Large Cap Fund Class C
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $31.78 | $27.58 | $25.70 | $27.21 | $26.07 | $19.08 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .05 | .14 | .12 | .04 | (.01) | (.02) |
Net realized and unrealized gain (loss) | .63 | 4.49 | 2.40 | (.69) | 3.19 | 7.08 |
Total from investment operations | .68 | 4.63 | 2.52 | (.65) | 3.18 | 7.06 |
Distributions from net investment income | (.15) | (.15) | (.04) | (.01) | (.10) | –B |
Distributions from net realized gain | (2.13) | (.27) | (.60) | (.85) | (1.94) | (.07) |
Total distributions | (2.28) | (.43)C | (.64) | (.86) | (2.04) | (.07) |
Net asset value, end of period | $30.18 | $31.78 | $27.58 | $25.70 | $27.21 | $26.07 |
Total ReturnD,E,F | 2.13% | 16.97% | 10.21% | (2.33)% | 13.31% | 37.14% |
Ratios to Average Net AssetsG,H | ||||||
Expenses before reductions | 1.68%I | 1.67% | 1.67% | 1.90% | 2.05% | 2.00% |
Expenses net of fee waivers, if any | 1.68%I | 1.67% | 1.67% | 1.90% | 2.00% | 2.00% |
Expenses net of all reductions | 1.67%I | 1.66% | 1.67% | 1.90% | 2.00% | 1.99% |
Net investment income (loss) | .31%I | .46% | .49% | .14% | (.03)% | (.07)% |
Supplemental Data | ||||||
Net assets, end of period (000 omitted) | $164,467 | $194,553 | $169,524 | $181,957 | $168,763 | $67,780 |
Portfolio turnover rateJ | 36%I | 31% | 28% | 31% | 28% | 54% |
A Calculated based on average shares outstanding during the period.
B Amount represents less than $.005 per share.
C Total distributions of $.43 per share is comprised of distributions from net investment income of $.152 and distributions from net realized gain of $.273 per share.
D Total returns for periods of less than one year are not annualized.
E Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
F Total returns do not include the effect of the contingent deferred sales charge.
G 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.
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 Annualized
J Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Large Cap Fund Class I
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $36.53 | $31.57 | $29.30 | $30.78 | $29.03 | $21.03 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .24 | .50 | .43 | .34 | .28 | .24 |
Net realized and unrealized gain (loss) | .73 | 5.14 | 2.74 | (.78) | 3.59 | 7.85 |
Total from investment operations | .97 | 5.64 | 3.17 | (.44) | 3.87 | 8.09 |
Distributions from net investment income | (.47) | (.40) | (.30) | (.20) | (.18) | (.02) |
Distributions from net realized gain | (2.13) | (.27) | (.60) | (.85) | (1.94) | (.07) |
Total distributions | (2.60) | (.68)B | (.90) | (1.04)C | (2.12) | (.09) |
Net asset value, end of period | $34.90 | $36.53 | $31.57 | $29.30 | $30.78 | $29.03 |
Total ReturnD,E | 2.66% | 18.16% | 11.34% | (1.33)% | 14.43% | 38.62% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | .65%H | .64% | .65% | .89% | 1.04% | .95% |
Expenses net of fee waivers, if any | .65%H | .64% | .65% | .89% | 1.00% | .95% |
Expenses net of all reductions | .65%H | .64% | .65% | .89% | 1.00% | .94% |
Net investment income (loss) | 1.33%H | 1.48% | 1.51% | 1.15% | .97% | .98% |
Supplemental Data | ||||||
Net assets, end of period (000 omitted) | $492,731 | $520,465 | $433,079 | $498,404 | $515,771 | $242,897 |
Portfolio turnover rateI | 36%H | 31% | 28% | 31% | 28% | 54% |
A Calculated based on average shares outstanding during the period.
B Total distributions of $.68 per share is comprised of distributions from net investment income of $.404 and distributions from net realized gain of $.273 per share.
C Total distributions of $1.04 per share is comprised of distributions from net investment income of $.195 and distributions from net realized gain of $.849 per share.
D Total returns for periods of less than one year are not annualized.
E Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Large Cap Fund Class Z
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |
2018 | 2017 A | |
Selected Per–Share Data | ||
Net asset value, beginning of period | $36.57 | $32.04 |
Income from Investment Operations | ||
Net investment income (loss)B | .26 | .51 |
Net realized and unrealized gain (loss) | .73 | 4.02 |
Total from investment operations | .99 | 4.53 |
Distributions from net investment income | (.52) | – |
Distributions from net realized gain | (2.13) | – |
Total distributions | (2.65) | – |
Net asset value, end of period | $34.91 | $36.57 |
Total ReturnC,D | 2.72% | 14.14% |
Ratios to Average Net AssetsE,F | ||
Expenses before reductions | .52%G | .51%G |
Expenses net of fee waivers, if any | .52%G | .51%G |
Expenses net of all reductions | .52%G | .51%G |
Net investment income (loss) | 1.46%G | 1.80%G |
Supplemental Data | ||
Net assets, end of period (000 omitted) | $17,467 | $13,966 |
Portfolio turnover rateH | 36%G | 31% |
A For the period February 1, 2017 (commencement of sale of shares) to November 30, 2017.
B Calculated based on average shares outstanding during the period.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of 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.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
1. Organization.
Fidelity Advisor Large Cap Fund (the Fund) is a fund of Fidelity Advisor Series I (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 M, Class C, Class I and Class Z shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events. 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. For equity securities, including restricted securities, where observable inputs are limited, assumptions about market activity and risk are used and these securities may be categorized as Level 3 in the hierarchy.
Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of May 31, 2018 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. 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.
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 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 partnerships, foreign currency transactions, deferred trustees compensation and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $378,144,163 |
Gross unrealized depreciation | (74,874,093) |
Net unrealized appreciation (depreciation) | $303,270,070 |
Tax cost | $999,208,433 |
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.
Consolidated Subsidiary. The Fund invests in certain investments through a wholly-owned subsidiary ("Subsidiary"), which may be subject to federal and state taxes upon disposition.
As of period end, the Fund held an investment of $1,803,928 in this Subsidiary, representing .14% of the Fund's net assets. The financial statements have been consolidated and include accounts of the Fund and the Subsidiary. Accordingly, all inter-company transactions and balances have been eliminated.
Any cash held by the Subsidiary is restricted as to its use and is presented as Restricted cash in the Statement of Assets and Liabilities.
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $237,477,934 and $365,161,061, 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 .30% of the Fund's average net assets and an annualized group fee rate that averaged .24% 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. In addition, the management fee is subject to a performance adjustment (up to a maximum of +/- .20% of the Fund's average net assets over a 36 month performance period). The upward or downward adjustment to the management fee is based on the relative investment performance of Class I of the Fund as compared to its benchmark index, the S&P 500 Index, over the same 36 month performance period. For the reporting period, the total annualized management fee rate, including the performance adjustment, was .43% of the Fund's average net assets. The performance adjustment included in the management fee rate may be higher or lower than the maximum performance adjustment rate due to the difference between the average net assets for the reporting and performance periods.
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 Fee | Service Fee | Total Fees | Retained by FDC | |
Class A | -% | .25% | $562,486 | $13,966 |
Class M | .25% | .25% | 471,380 | 3,209 |
Class C | .75% | .25% | 888,009 | 99,445 |
$1,921,875 | $116,620 |
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 M 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 M and Class C redemptions. The deferred sales charges are 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class M shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained by FDC | |
Class A | $56,243 |
Class M | 8,961 |
Class C(a) | 6,998 |
$72,202 |
(a) When Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of 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, except for Class Z. FIIOC receives an asset-based fee of Class Z's average net assets. 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-Level Average Net Assets(a) | |
Class A | $417,042 | .19 |
Class M | 184,151 | .20 |
Class C | 175,905 | .20 |
Class I | 442,331 | .17 |
Class Z | 4,028 | .05 |
$1,223,457 |
(a) 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. For the period, the fees were equivalent to an annualized rate of .03%.
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 $5,636 for the period.
Interfund Lending Program. Pursuant to an Exemptive Order issued by the SEC, the Fund, along with other registered investment companies having management contracts with Fidelity Management & Research Company (FMR) or other affiliated entities of FMR, may participate in an interfund lending program. This program provides an alternative credit facility allowing the funds to borrow from, or lend money to, other participating affiliated funds. At period end, there were no interfund loans outstanding. The Fund's activity in this program during the period for which loans were outstanding was as follows:
Borrower or Lender | Average Loan Balance | Weighted Average Interest Rate | Interest Expense |
Borrower | $9,932,643 | 1.61% | $6,219 |
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
6. 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 $1,956 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
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. The Fund or borrower may terminate the loan at any time, and 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. The value of securities loaned to FCM at period end was $166,662. 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 $90,160, including $18,759 from 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 $23,865 for the period.
In addition, during the period the investment adviser reimbursed and/or waived a portion of fund-level operating expenses in the amount of $6,933.
9. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended May 31, 2018 | Year ended November 30, 2017 | |
From net investment income | ||
Class A | $4,898,986 | $5,099,262 |
Class M | 1,625,307 | 1,475,469 |
Class C | 914,652 | 953,207 |
Class I | 6,575,017 | 5,597,369 |
Class Z | 198,336 | – |
Total | $14,212,298 | $13,125,307 |
From net realized gain | ||
Class A | $27,767,191 | $4,167,959 |
Class M | 11,783,484 | 1,573,449 |
Class C | 12,904,576 | 1,712,010 |
Class I | 29,952,850 | 3,782,380 |
Class Z | 816,318 | – |
Total | $83,224,419 | $11,235,798 |
10. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
Shares | Shares | Dollars | Dollars | |
Six months ended May 31, 2018 | Year ended November 30, 2017(a) | Six months ended May 31, 2018 | Year ended November 30, 2017(a) | |
Class A | ||||
Shares sold | 902,202 | 3,335,635 | $30,579,244 | $105,955,818 |
Reinvestment of distributions | 950,552 | 289,062 | 31,700,917 | 8,882,868 |
Shares redeemed | (2,113,379) | (5,456,801) | (71,464,985) | (175,106,485) |
Net increase (decrease) | (260,625) | (1,832,104) | $(9,184,824) | $(60,267,799) |
Class M | ||||
Shares sold | 346,881 | 966,917 | $11,673,186 | $30,770,230 |
Reinvestment of distributions | 395,478 | 96,794 | 13,169,411 | 2,971,572 |
Shares redeemed | (824,674) | (1,240,208) | (27,631,401) | (39,777,162) |
Net increase (decrease) | (82,315) | (176,497) | $(2,788,804) | $(6,035,360) |
Class C | ||||
Shares sold | 272,379 | 1,666,007 | $8,359,201 | $47,964,478 |
Reinvestment of distributions | 423,097 | 83,161 | 12,811,392 | 2,338,494 |
Shares redeemed | (1,367,740) | (1,773,151) | (42,339,200) | (51,988,707) |
Net increase (decrease) | (672,264) | (23,983) | $(21,168,607) | $(1,685,735) |
Class I | ||||
Shares sold | 1,464,445 | 5,289,459 | $52,131,290 | $176,163,579 |
Reinvestment of distributions | 973,077 | 273,175 | 33,921,480 | 8,747,051 |
Shares redeemed | (2,564,894) | (5,033,155) | (90,717,459) | (169,303,967) |
Net increase (decrease) | (127,372) | 529,479 | $(4,664,689) | $15,606,663 |
Class Z | ||||
Shares sold | 291,482 | 789,170 | $10,189,111 | $26,644,229 |
Reinvestment of distributions | 25,324 | – | 882,557 | – |
Shares redeemed | (198,356) | (407,285) | (6,783,191) | (14,420,416) |
Net increase (decrease) | 118,450 | 381,885 | $4,288,477 | $12,223,813 |
(a) Share transactions for Class Z are for the period February 1, 2017 (commencement of sale of shares) to November 30, 2017.
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.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
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. 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. 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.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Class A | .91% | |||
Actual | $1,000.00 | $1,025.10 | $4.59 | |
Hypothetical-C | $1,000.00 | $1,020.39 | $4.58 | |
Class M | 1.17% | |||
Actual | $1,000.00 | $1,023.60 | $5.90 | |
Hypothetical-C | $1,000.00 | $1,019.10 | $5.89 | |
Class C | 1.68% | |||
Actual | $1,000.00 | $1,021.30 | $8.47 | |
Hypothetical-C | $1,000.00 | $1,016.55 | $8.45 | |
Class I | .65% | |||
Actual | $1,000.00 | $1,026.60 | $3.28 | |
Hypothetical-C | $1,000.00 | $1,021.69 | $3.28 | |
Class Z | .52% | |||
Actual | $1,000.00 | $1,027.20 | $2.63 | |
Hypothetical-C | $1,000.00 | $1,022.34 | $2.62 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
LC-SANN-0718
1.704742.120
Fidelity Advisor® Series Equity Growth Fund Semi-Annual Report May 31, 2018 |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
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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.institutional.fidelity.com, or http://www.401k.com, as applicable.
NOT FDIC INSURED •MAY LOSE VALUE •NO BANK GUARANTEE
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Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Alphabet, Inc. Class A | 6.4 |
Microsoft Corp. | 6.2 |
Amazon.com, Inc. | 5.8 |
Home Depot, Inc. | 3.0 |
Charles Schwab Corp. | 3.0 |
Adobe Systems, Inc. | 2.8 |
Visa, Inc. Class A | 2.7 |
Apple, Inc. | 2.7 |
Facebook, Inc. Class A | 2.5 |
Cheniere Energy, Inc. | 2.0 |
37.1 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Information Technology | 42.6 |
Consumer Discretionary | 13.3 |
Financials | 11.1 |
Health Care | 10.4 |
Industrials | 7.4 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018 * | ||
Stocks | 98.6% | |
Convertible Securities | 0.2% | |
Short-Term Investments and Net Other Assets (Liabilities) | 1.2% |
* Foreign investments - 10.6%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 98.5% | |||
Shares | Value | ||
CONSUMER DISCRETIONARY - 13.3% | |||
Diversified Consumer Services - 0.7% | |||
Grand Canyon Education, Inc. (a) | 57,900 | $6,432,690 | |
Hotels, Restaurants & Leisure - 0.8% | |||
Hilton Worldwide Holdings, Inc. | 54,059 | 4,363,102 | |
Marriott International, Inc. Class A | 8,400 | 1,137,024 | |
Wingstop, Inc. | 46,700 | 2,363,487 | |
7,863,613 | |||
Household Durables - 0.8% | |||
Panasonic Corp. | 553,100 | 7,499,752 | |
Internet & Direct Marketing Retail - 6.4% | |||
Amazon.com, Inc. (a) | 35,100 | 57,199,662 | |
The Booking Holdings, Inc. (a) | 3,100 | 6,537,652 | |
63,737,314 | |||
Media - 0.8% | |||
Charter Communications, Inc. Class A (a) | 30,800 | 8,040,032 | |
China Literature Ltd. (a)(b) | 177 | 1,645 | |
8,041,677 | |||
Specialty Retail - 3.0% | |||
Home Depot, Inc. | 161,500 | 30,127,825 | |
Textiles, Apparel & Luxury Goods - 0.8% | |||
Kering SA | 1,500 | 858,726 | |
LVMH Moet Hennessy - Louis Vuitton SA | 20,089 | 6,994,962 | |
Puma AG | 125 | 75,842 | |
7,929,530 | |||
TOTAL CONSUMER DISCRETIONARY | 131,632,401 | ||
CONSUMER STAPLES - 4.1% | |||
Beverages - 1.2% | |||
Constellation Brands, Inc. Class A (sub. vtg.) | 20,700 | 4,617,756 | |
Fever-Tree Drinks PLC | 42,782 | 1,708,442 | |
Kweichow Moutai Co. Ltd. (A Shares) | 24,280 | 2,845,021 | |
Pernod Ricard SA ADR | 76,300 | 2,565,588 | |
11,736,807 | |||
Food Products - 0.3% | |||
McCormick & Co., Inc. (non-vtg.) | 20,300 | 2,050,300 | |
The Simply Good Foods Co. | 75,700 | 1,003,025 | |
3,053,325 | |||
Household Products - 0.5% | |||
Energizer Holdings, Inc. | 88,700 | 5,387,638 | |
Personal Products - 1.6% | |||
Coty, Inc. Class A | 161,200 | 2,135,900 | |
Estee Lauder Companies, Inc. Class A | 47,000 | 7,023,680 | |
Unilever NV (NY Reg.) | 121,300 | 6,764,901 | |
15,924,481 | |||
Tobacco - 0.5% | |||
British American Tobacco PLC sponsored ADR | 92,800 | 4,751,360 | |
TOTAL CONSUMER STAPLES | 40,853,611 | ||
ENERGY - 3.0% | |||
Energy Equipment & Services - 0.5% | |||
Baker Hughes, a GE Co. Class A | 117,300 | 4,057,407 | |
Computer Modelling Group Ltd. | 166,300 | 1,224,869 | |
5,282,276 | |||
Oil, Gas & Consumable Fuels - 2.5% | |||
Cheniere Energy, Inc. (a) | 290,200 | 19,333,124 | |
Reliance Industries Ltd. | 352,016 | 4,809,876 | |
24,143,000 | |||
TOTAL ENERGY | 29,425,276 | ||
FINANCIALS - 11.0% | |||
Banks - 4.7% | |||
Bank of America Corp. | 355,200 | 10,315,008 | |
First Republic Bank | 76,400 | 7,609,440 | |
HDFC Bank Ltd. | 20,604 | 683,740 | |
HDFC Bank Ltd. sponsored ADR | 18,700 | 1,990,054 | |
Huntington Bancshares, Inc. | 353,700 | 5,259,519 | |
JPMorgan Chase & Co. | 164,000 | 17,549,640 | |
M&T Bank Corp. | 15,200 | 2,615,616 | |
Metro Bank PLC (a) | 16,900 | 746,770 | |
46,769,787 | |||
Capital Markets - 6.3% | |||
Cboe Global Markets, Inc. | 9,552 | 931,893 | |
Charles Schwab Corp. | 540,400 | 30,057,048 | |
CME Group, Inc. | 97,938 | 15,954,100 | |
Goldman Sachs Group, Inc. | 17,200 | 3,885,136 | |
JMP Group, Inc. | 50,300 | 257,536 | |
MSCI, Inc. | 41,300 | 6,714,141 | |
The Blackstone Group LP | 146,200 | 4,668,166 | |
62,468,020 | |||
TOTAL FINANCIALS | 109,237,807 | ||
HEALTH CARE - 10.3% | |||
Biotechnology - 3.4% | |||
Amgen, Inc. | 36,600 | 6,574,092 | |
Biogen, Inc. (a) | 32,400 | 9,524,304 | |
Calyxt, Inc. | 49,608 | 936,103 | |
Cytokinetics, Inc. (a) | 51,110 | 459,990 | |
Insmed, Inc. (a) | 247,075 | 6,883,510 | |
TESARO, Inc. (a) | 33,200 | 1,519,564 | |
Vertex Pharmaceuticals, Inc. (a) | 49,067 | 7,556,318 | |
33,453,881 | |||
Health Care Equipment & Supplies - 4.9% | |||
Becton, Dickinson & Co. | 66,200 | 14,669,258 | |
Boston Scientific Corp. (a) | 242,300 | 7,363,497 | |
Danaher Corp. | 69,900 | 6,939,672 | |
Intuitive Surgical, Inc. (a) | 33,700 | 15,490,879 | |
ResMed, Inc. | 30,600 | 3,145,986 | |
Sartorius Stedim Biotech | 14,800 | 1,467,205 | |
49,076,497 | |||
Health Care Providers & Services - 0.4% | |||
National Vision Holdings, Inc. | 3,300 | 120,120 | |
OptiNose, Inc. | 4,300 | 99,201 | |
UnitedHealth Group, Inc. | 14,200 | 3,429,442 | |
3,648,763 | |||
Health Care Technology - 0.2% | |||
Veeva Systems, Inc. Class A (a) | 30,400 | 2,351,744 | |
Life Sciences Tools & Services - 0.1% | |||
Codexis, Inc.(a) | 43,200 | 648,000 | |
Pharmaceuticals - 1.3% | |||
AstraZeneca PLC sponsored ADR | 184,300 | 6,824,629 | |
Mallinckrodt PLC (a) | 94,200 | 1,587,270 | |
Mylan NV (a) | 115,200 | 4,430,592 | |
12,842,491 | |||
TOTAL HEALTH CARE | 102,021,376 | ||
INDUSTRIALS - 7.4% | |||
Aerospace & Defense - 0.3% | |||
TransDigm Group, Inc. | 9,800 | 3,274,278 | |
Commercial Services & Supplies - 0.9% | |||
Copart, Inc. (a) | 124,000 | 6,798,920 | |
Prosegur Compania de Seguridad SA (Reg.) | 248,300 | 1,706,818 | |
8,505,738 | |||
Electrical Equipment - 2.0% | |||
AMETEK, Inc. | 102,600 | 7,492,878 | |
Fortive Corp. | 120,950 | 8,791,856 | |
Nidec Corp. | 22,200 | 3,445,760 | |
19,730,494 | |||
Industrial Conglomerates - 0.8% | |||
3M Co. | 21,400 | 4,220,722 | |
Roper Technologies, Inc. | 15,100 | 4,164,429 | |
8,385,151 | |||
Machinery - 1.9% | |||
Allison Transmission Holdings, Inc. | 240,900 | 9,951,579 | |
Apergy Corp. (a) | 21,000 | 906,990 | |
Gardner Denver Holdings, Inc. | 217,800 | 7,159,086 | |
Rational AG | 1,200 | 750,530 | |
18,768,185 | |||
Professional Services - 1.5% | |||
IHS Markit Ltd. (a) | 92,600 | 4,563,328 | |
Robert Half International, Inc. | 55,400 | 3,527,872 | |
TransUnion Holding Co., Inc. | 93,439 | 6,409,915 | |
14,501,115 | |||
TOTAL INDUSTRIALS | 73,164,961 | ||
INFORMATION TECHNOLOGY - 42.5% | |||
Electronic Equipment & Components - 0.3% | |||
Cognex Corp. | 58,600 | 2,678,606 | |
Internet Software & Services - 14.2% | |||
Alibaba Group Holding Ltd. sponsored ADR (a) | 51,600 | 10,217,316 | |
Alphabet, Inc. Class A (a) | 57,400 | 63,139,997 | |
DocuSign, Inc. | 2,700 | 134,487 | |
Dropbox, Inc. Class A (a) | 4,700 | 140,953 | |
Facebook, Inc. Class A (a) | 127,100 | 24,375,238 | |
GoDaddy, Inc. (a) | 100,400 | 7,187,636 | |
MercadoLibre, Inc. | 8,100 | 2,355,723 | |
NetEase, Inc. ADR | 8,600 | 1,963,552 | |
Shopify, Inc. Class A (a) | 23,500 | 3,485,851 | |
Stamps.com, Inc. (a) | 49,900 | 12,514,920 | |
Tencent Holdings Ltd. | 178,500 | 9,112,805 | |
VeriSign, Inc. (a) | 49,600 | 6,469,824 | |
141,098,302 | |||
IT Services - 7.8% | |||
Cognizant Technology Solutions Corp. Class A | 128,592 | 9,689,407 | |
Fidelity National Information Services, Inc. | 65,800 | 6,726,076 | |
Global Payments, Inc. | 58,900 | 6,547,324 | |
MasterCard, Inc. Class A | 35,900 | 6,825,308 | |
PayPal Holdings, Inc. (a) | 180,900 | 14,846,463 | |
Square, Inc. (a) | 94,200 | 5,487,150 | |
Visa, Inc. Class A | 208,600 | 27,268,192 | |
77,389,920 | |||
Semiconductors & Semiconductor Equipment - 2.3% | |||
ASML Holding NV | 22,900 | 4,503,285 | |
Broadcom, Inc. | 8,000 | 2,016,560 | |
Cree, Inc. (a) | 34,600 | 1,613,052 | |
Maxim Integrated Products, Inc. | 80,614 | 4,728,011 | |
Monolithic Power Systems, Inc. | 19,648 | 2,589,803 | |
Qualcomm, Inc. | 120,000 | 6,974,400 | |
22,425,111 | |||
Software - 15.2% | |||
Activision Blizzard, Inc. | 91,200 | 6,466,992 | |
Adobe Systems, Inc. (a) | 111,900 | 27,894,432 | |
Autodesk, Inc. (a) | 43,700 | 5,641,670 | |
Black Knight, Inc. (a) | 98,500 | 4,984,100 | |
Electronic Arts, Inc. (a) | 57,100 | 7,474,961 | |
Intuit, Inc. | 60,900 | 12,277,440 | |
Microsoft Corp. | 621,700 | 61,448,828 | |
Pluralsight, Inc. | 20,600 | 443,312 | |
Red Hat, Inc. (a) | 41,200 | 6,691,704 | |
Salesforce.com, Inc. (a) | 121,300 | 15,687,729 | |
Splunk, Inc. (a) | 12,000 | 1,329,720 | |
Zscaler, Inc. (a) | 1,900 | 49,894 | |
150,390,782 | |||
Technology Hardware, Storage & Peripherals - 2.7% | |||
Apple, Inc. | 145,700 | 27,226,959 | |
TOTAL INFORMATION TECHNOLOGY | 421,209,680 | ||
MATERIALS - 4.5% | |||
Chemicals - 3.4% | |||
CF Industries Holdings, Inc. | 132,600 | 5,455,164 | |
DowDuPont, Inc. | 193,600 | 12,411,696 | |
Sherwin-Williams Co. | 13,000 | 4,930,250 | |
The Chemours Co. LLC | 103,700 | 5,080,263 | |
Umicore SA | 105,941 | 5,994,356 | |
33,871,729 | |||
Construction Materials - 1.1% | |||
Eagle Materials, Inc. | 79,200 | 8,583,696 | |
Summit Materials, Inc. | 81,419 | 2,313,928 | |
10,897,624 | |||
TOTAL MATERIALS | 44,769,353 | ||
REAL ESTATE - 2.4% | |||
Equity Real Estate Investment Trusts (REITs) - 1.9% | |||
American Tower Corp. | 103,300 | 14,293,621 | |
Equinix, Inc. | 5,800 | 2,301,730 | |
SBA Communications Corp. Class A (a) | 16,800 | 2,655,576 | |
19,250,927 | |||
Real Estate Management & Development - 0.5% | |||
Realogy Holdings Corp. | 212,600 | 5,057,754 | |
TOTAL REAL ESTATE | 24,308,681 | ||
TOTAL COMMON STOCKS | |||
(Cost $658,297,108) | 976,623,146 | ||
Preferred Stocks - 0.3% | |||
Convertible Preferred Stocks - 0.2% | |||
HEALTH CARE - 0.1% | |||
Biotechnology - 0.1% | |||
BioNTech AG Series A (c)(d) | 3,869 | 825,593 | |
INFORMATION TECHNOLOGY - 0.1% | |||
IT Services - 0.1% | |||
AppNexus, Inc. Series E (a)(c)(d) | 38,419 | 910,530 | |
TOTAL CONVERTIBLE PREFERRED STOCKS | 1,736,123 | ||
Nonconvertible Preferred Stocks - 0.1% | |||
FINANCIALS - 0.1% | |||
Banks - 0.1% | |||
Itau Unibanco Holding SA sponsored ADR | 134,700 | 1,555,785 | |
TOTAL PREFERRED STOCKS | |||
(Cost $3,443,358) | 3,291,908 | ||
Money Market Funds - 1.1% | |||
Fidelity Cash Central Fund, 1.76% (e) | |||
(Cost $10,659,798) | 10,657,666 | 10,659,798 | |
TOTAL INVESTMENT IN SECURITIES - 99.9% | |||
(Cost $672,400,264) | 990,574,852 | ||
NET OTHER ASSETS (LIABILITIES) - 0.1% | 562,544 | ||
NET ASSETS - 100% | $991,137,396 |
Legend
(a) Non-income producing
(b) 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 $1,645 or 0.0% of net assets.
(c) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $1,736,123 or 0.2% of net assets.
(d) Level 3 security
(e) 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.
Additional information on each restricted holding is as follows:
Security | Acquisition Date | Acquisition Cost |
AppNexus, Inc. Series E | 8/1/14 | $769,617 |
BioNTech AG Series A | 12/29/17 | $847,344 |
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 | $113,816 |
Fidelity Securities Lending Cash Central Fund | 9,074 |
Total | $122,890 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $131,632,401 | $117,136,042 | $14,496,359 | $-- |
Consumer Staples | 40,853,611 | 40,853,611 | -- | -- |
Energy | 29,425,276 | 29,425,276 | -- | -- |
Financials | 110,793,592 | 110,109,852 | 683,740 | -- |
Health Care | 102,846,969 | 102,021,376 | -- | 825,593 |
Industrials | 73,164,961 | 73,164,961 | -- | -- |
Information Technology | 422,120,210 | 412,096,875 | 9,112,805 | 910,530 |
Materials | 44,769,353 | 44,769,353 | -- | -- |
Real Estate | 24,308,681 | 24,308,681 | -- | -- |
Money Market Funds | 10,659,798 | 10,659,798 | -- | -- |
Total Investments in Securities: | $990,574,852 | $964,545,825 | $24,292,904 | $1,736,123 |
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 89.4% |
Cayman Islands | 2.1% |
Netherlands | 1.5% |
United Kingdom | 1.5% |
France | 1.1% |
Japan | 1.1% |
Others (Individually Less Than 1%) | 3.3% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
May 31, 2018 (Unaudited) | ||
Assets | ||
Investment in securities, at value — See accompanying schedule: Unaffiliated issuers (cost $661,740,466) | $979,915,054 | |
Fidelity Central Funds (cost $10,659,798) | 10,659,798 | |
Total Investment in Securities (cost $672,400,264) | $990,574,852 | |
Cash | 338 | |
Receivable for investments sold | 3,926 | |
Receivable for fund shares sold | 141,241 | |
Dividends receivable | 1,194,940 | |
Distributions receivable from Fidelity Central Funds | 22,163 | |
Other receivables | 30,017 | |
Total assets | 991,967,477 | |
Liabilities | ||
Payable for investments purchased | $22,585 | |
Payable for fund shares redeemed | 424,395 | |
Other payables and accrued expenses | 383,101 | |
Total liabilities | 830,081 | |
Net Assets | $991,137,396 | |
Net Assets consist of: | ||
Paid in capital | $633,876,011 | |
Undistributed net investment income | 4,169,032 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 35,285,252 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 317,807,101 | |
Net Assets, for 69,532,630 shares outstanding | $991,137,396 | |
Net Asset Value, offering price and redemption price per share ($991,137,396 ÷ 69,532,630 shares) | $14.25 |
See accompanying notes which are an integral part of the financial statements.
Statement of Operations
Six months ended May 31, 2018 (Unaudited) | ||
Investment Income | ||
Dividends | $4,841,482 | |
Income from Fidelity Central Funds | 122,890 | |
Total income | 4,964,372 | |
Expenses | ||
Custodian fees and expenses | $27,876 | |
Independent trustees' fees and expenses | 2,131 | |
Interest | 241 | |
Miscellaneous | 1,341 | |
Total expenses | 31,589 | |
Net investment income (loss) | 4,932,783 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 35,638,715 | |
Fidelity Central Funds | 899 | |
Foreign currency transactions | (24,233) | |
Total net realized gain (loss) | 35,615,381 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers (net of increase in deferred foreign taxes of $144,613) | 45,720,620 | |
Assets and liabilities in foreign currencies | (2,179) | |
Total change in net unrealized appreciation (depreciation) | 45,718,441 | |
Net gain (loss) | 81,333,822 | |
Net increase (decrease) in net assets resulting from operations | $86,266,605 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 | |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $4,932,783 | $5,302,623 |
Net realized gain (loss) | 35,615,381 | 143,283,224 |
Change in net unrealized appreciation (depreciation) | 45,718,441 | 148,758,288 |
Net increase (decrease) in net assets resulting from operations | 86,266,605 | 297,344,135 |
Distributions to shareholders from net investment income | (5,178,211) | (1,111,461) |
Distributions to shareholders from net realized gain | (138,426,831) | – |
Total distributions | (143,605,042) | (1,111,461) |
Share transactions | ||
Proceeds from sales of shares | 46,747,761 | 64,402,665 |
Reinvestment of distributions | 143,605,042 | 1,111,461 |
Cost of shares redeemed | (75,438,854) | (330,174,404) |
Net increase (decrease) in net assets resulting from share transactions | 114,913,949 | (264,660,278) |
Total increase (decrease) in net assets | 57,575,512 | 31,572,396 |
Net Assets | ||
Beginning of period | 933,561,884 | 901,989,488 |
End of period | $991,137,396 | $933,561,884 |
Other Information | ||
Undistributed net investment income end of period | $4,169,032 | $4,414,460 |
Shares | ||
Sold | 3,364,868 | 4,902,858 |
Issued in reinvestment of distributions | 10,987,379 | 97,497 |
Redeemed | (5,392,079) | (24,836,652) |
Net increase (decrease) | 8,960,168 | (19,836,297) |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Series Equity Growth Fund
Six months ended (Unaudited) May 31, | Years endedNovember 30, | ||||
2018 | 2017 | 2016 | 2015 | 2014 A | |
Selected Per–Share Data | |||||
Net asset value, beginning of period | $15.41 | $11.22 | $11.25 | $10.65 | $10.00 |
Income from Investment Operations | |||||
Net investment income (loss)B | .07 | .08 | .02 | .02 | .01 |
Net realized and unrealized gain (loss) | 1.16 | 4.12 | (.03) | .59 | .64 |
Total from investment operations | 1.23 | 4.20 | (.01) | .61 | .65 |
Distributions from net investment income | (.09) | (.01) | (.02) | (.01) | – |
Distributions from net realized gain | (2.30) | – | – | – | – |
Total distributions | (2.39) | (.01) | (.02) | (.01) | – |
Net asset value, end of period | $14.25 | $15.41 | $11.22 | $11.25 | $10.65 |
Total ReturnC,D | 9.35% | 37.51% | (.11)% | 5.70% | 6.50% |
Ratios to Average Net AssetsE,F | |||||
Expenses before reductions | .01%G | .32% | .65% | .74% | .77%G |
Expenses net of fee waivers, if any | .01%G | .32% | .65% | .74% | .77%G |
Expenses net of all reductions | .01%G | .32% | .65% | .73% | .77%G |
Net investment income (loss) | 1.03%G | .57% | .15% | .19% | .23%G |
Supplemental Data | |||||
Net assets, end of period (000 omitted) | $991,137 | $933,562 | $901,989 | $964,918 | $986,534 |
Portfolio turnover rateH | 41%G | 48% | 60% | 65% | 26%I,J |
A For the period June 6, 2014 (commencement of operations) to November 30, 2014.
B Calculated based on average shares outstanding during the period.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
F Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or reductions from other expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer term operating periods. Expenses net of 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 Fund.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
I Portfolio turnover rate excludes securities received or delivered in-kind.
J Amount not annualized.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
1. Organization.
Fidelity Advisor Series Equity Growth Fund (the Fund) is a fund of Fidelity Advisor Series I (the Trust) and is authorized to issue an unlimited number of shares. Shares of the Fund are only available for purchase by mutual funds for which Fidelity Management & Research Company (FMR) or an affiliate serves as an investment manager. 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.
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, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events. 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. For equity securities, including restricted securities, where observable inputs are limited, assumptions about market activity and risk are used and these securities may be categorized as Level 3 in the hierarchy.
Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of May 31, 2018 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. Investment income is recorded net of foreign taxes withheld where recovery of such taxes is uncertain.
Expenses. Expenses directly attributable to a fund are charged to that fund. Expenses attributable to more than one fund are allocated among the respective funds on the basis of relative net assets or other appropriate methods. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code, including distributing substantially all of its taxable income and realized gains. As a result, no provision for U.S. Federal income taxes is required. The Fund files a U.S. federal tax return, in addition to state and local tax returns as required. The Fund's federal income tax returns are subject to examination by the Internal Revenue Service (IRS) for a period of three fiscal years after they are filed. State and local tax returns may be subject to examination for an additional fiscal year depending on the jurisdiction. 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. The Fund is subject to a tax imposed on capital gains by certain countries in which it invests. An estimated deferred tax liability for net unrealized appreciation on the applicable securities is included in Other payables and accrued expenses on the Statement of Assets & Liabilities.
Distributions are declared and recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Capital accounts are not adjusted for temporary book-tax differences which will reverse in a subsequent period.
Book-tax differences are primarily due to futures contracts, foreign currency transactions, certain foreign taxes, passive foreign investment companies (PFIC), market discount, partnerships, capital loss carryforwards and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $331,552,210 |
Gross unrealized depreciation | (13,647,342) |
Net unrealized appreciation (depreciation) | $317,904,868 |
Tax cost | $672,669,984 |
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.
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $192,214,999 and $200,140,407, 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 does not pay a management fee. Under the management contract, the investment adviser or an affiliate pays all ordinary operating expenses of the Fund, except custody fees, fees and expenses of the independent Trustees, and certain miscellaneous expenses such as proxy and shareholder meeting expenses.
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 $4,236 for the period.
Interfund Lending Program. Pursuant to an Exemptive Order issued by the SEC, the Fund, along with other registered investment companies having management contracts with FMR or other affiliated entities of FMR, may participate in an interfund lending program. This program provides an alternative credit facility allowing the funds to borrow from, or lend money to, other participating affiliated funds. At period end, there were no interfund loans outstanding. The Fund's activity in this program during the period for which loans were outstanding was as follows:
Borrower or Lender | Average Loan Balance | Weighted Average Interest Rate | Interest Expense |
Borrower | $5,536,000 | 1.57% | $241 |
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
6. 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 $1,350 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
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. The Fund or borrower may terminate the loan at any time, and 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. At period end, there were no security loans outstanding. 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 $9,074. During the period, there were no securities loaned to FCM.
8. Other.
The Fund's organizational documents provide former and current trustees and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Fund. In the normal course of business, the Fund may also enter into contracts that provide general indemnifications. The Fund's maximum exposure under these arrangements is unknown as this would be dependent on future claims that may be made against the Fund. The risk of material loss from such claims is considered remote.
At the end of the period, mutual funds managed by the investment adviser or its affiliates were the owners of record of all of the outstanding shares of the Fund.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs and (2) ongoing costs, including other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
Actual Expenses
The first line of the accompanying table provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund's actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Actual | .01% | $1,000.00 | $1,093.50 | $.05 |
Hypothetical-C | $1,000.00 | $1,024.88 | $.05 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
Corporate Headquarters
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Fidelity Advisor® Series Growth Opportunities Fund Semi-Annual Report May 31, 2018 |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-877-208-0098 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. © 2018 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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Apple, Inc. | 5.5 |
Amazon.com, Inc. | 5.2 |
Microsoft Corp. | 4.7 |
Alphabet, Inc. Class C | 4.6 |
Facebook, Inc. Class A | 3.8 |
Salesforce.com, Inc. | 2.3 |
Alphabet, Inc. Class A | 2.2 |
Wix.com Ltd. | 2.1 |
JUUL Labs, Inc. Series C | 2.1 |
American Tower Corp. | 1.9 |
34.4 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Information Technology | 50.1 |
Consumer Discretionary | 15.9 |
Health Care | 12.0 |
Consumer Staples | 5.1 |
Financials | 4.6 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018* | ||
Stocks | 97.1% | |
Convertible Securities | 2.6% | |
Short-Term Investments and Net Other Assets (Liabilities) | 0.3% |
* Foreign investments - 10.7%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 97.1% | |||
Shares | Value | ||
CONSUMER DISCRETIONARY - 15.9% | |||
Automobiles - 1.6% | |||
Tesla, Inc. (a) | 35,921 | $10,227,786 | |
Hotels, Restaurants & Leisure - 1.2% | |||
Hilton Grand Vacations, Inc. (a) | 32,900 | 1,308,104 | |
Hilton Worldwide Holdings, Inc. | 6,800 | 548,828 | |
U.S. Foods Holding Corp. (a) | 165,100 | 5,890,768 | |
7,747,700 | |||
Household Durables - 1.0% | |||
Mohawk Industries, Inc. (a) | 6,900 | 1,407,876 | |
Roku, Inc. Class A (b) | 145,400 | 5,446,684 | |
6,854,560 | |||
Internet & Direct Marketing Retail - 8.2% | |||
Amazon.com, Inc. (a) | 21,200 | 34,547,944 | |
Groupon, Inc. (a) | 402,300 | 1,935,063 | |
JD.com, Inc. sponsored ADR (a) | 42,000 | 1,477,560 | |
Netflix, Inc. (a) | 28,200 | 9,915,120 | |
The Booking Holdings, Inc. (a) | 1,100 | 2,319,812 | |
Wayfair LLC Class A (a) | 44,400 | 4,100,340 | |
54,295,839 | |||
Media - 2.2% | |||
Charter Communications, Inc. Class A (a) | 24,462 | 6,385,560 | |
Comcast Corp. Class A | 156,900 | 4,892,142 | |
Criteo SA sponsored ADR (a)(b) | 65,700 | 1,586,655 | |
Liberty Latin America Ltd. Class A (a) | 2 | 43 | |
Naspers Ltd. Class N | 800 | 190,165 | |
The Walt Disney Co. | 8,500 | 845,495 | |
Vivendi SA | 37,400 | 940,908 | |
14,840,968 | |||
Multiline Retail - 0.4% | |||
Dollar Tree, Inc. (a) | 33,000 | 2,725,470 | |
Specialty Retail - 1.0% | |||
Home Depot, Inc. | 11,300 | 2,108,015 | |
Lowe's Companies, Inc. | 27,600 | 2,622,276 | |
TJX Companies, Inc. | 16,100 | 1,454,152 | |
Ulta Beauty, Inc. (a) | 600 | 148,146 | |
6,332,589 | |||
Textiles, Apparel & Luxury Goods - 0.3% | |||
Carbon Black, Inc. | 1,000 | 23,510 | |
Kering SA | 100 | 57,248 | |
lululemon athletica, Inc. (a) | 19,400 | 2,037,970 | |
Puma AG | 8 | 4,854 | |
2,123,582 | |||
TOTAL CONSUMER DISCRETIONARY | 105,148,494 | ||
CONSUMER STAPLES - 3.0% | |||
Beverages - 0.6% | |||
Constellation Brands, Inc. Class A (sub. vtg.) | 9,300 | 2,074,644 | |
Fever-Tree Drinks PLC | 8,989 | 358,964 | |
Monster Beverage Corp. (a) | 19,400 | 992,504 | |
The Coca-Cola Co. | 15,200 | 653,600 | |
4,079,712 | |||
Food & Staples Retailing - 1.2% | |||
Costco Wholesale Corp. | 5,400 | 1,070,496 | |
Performance Food Group Co. (a) | 185,300 | 6,624,475 | |
Walmart, Inc. | 700 | 57,778 | |
7,752,749 | |||
Food Products - 0.1% | |||
nLIGHT, Inc. (a) | 14,000 | 520,100 | |
Personal Products - 0.2% | |||
Unilever NV (Certificaten Van Aandelen) (Bearer) | 26,100 | 1,455,567 | |
Tobacco - 0.9% | |||
British American Tobacco PLC (United Kingdom) | 52,300 | 2,684,588 | |
Juul Labs, Inc. (c) | 709 | 35,641 | |
Philip Morris International, Inc. | 45,900 | 3,650,886 | |
6,371,115 | |||
TOTAL CONSUMER STAPLES | 20,179,243 | ||
ENERGY - 1.5% | |||
Oil, Gas & Consumable Fuels - 1.5% | |||
NuVista Energy Ltd. (a) | 9,700 | 69,948 | |
Petronet LNG Ltd. | 805,630 | 2,624,301 | |
Reliance Industries Ltd. | 410,526 | 5,609,345 | |
Teekay LNG Partners LP | 44,800 | 775,040 | |
Whiting Petroleum Corp. (a) | 15,900 | 833,478 | |
9,912,112 | |||
FINANCIALS - 4.5% | |||
Banks - 0.3% | |||
HDFC Bank Ltd. sponsored ADR | 19,600 | 2,085,832 | |
Capital Markets - 3.5% | |||
BlackRock, Inc. Class A | 12,000 | 6,410,760 | |
Cboe Global Markets, Inc. | 53,600 | 5,229,216 | |
Charles Schwab Corp. | 68,100 | 3,787,722 | |
MSCI, Inc. | 2,600 | 422,682 | |
S&P Global, Inc. | 2,100 | 414,750 | |
TD Ameritrade Holding Corp. | 93,700 | 5,547,040 | |
Virtu Financial, Inc. Class A | 32,100 | 996,705 | |
22,808,875 | |||
Consumer Finance - 0.2% | |||
Synchrony Financial | 39,100 | 1,354,033 | |
Diversified Financial Services - 0.2% | |||
GDS Holdings Ltd. ADR (a) | 33,200 | 1,255,292 | |
Thrifts & Mortgage Finance - 0.3% | |||
Lendingtree, Inc. (a)(b) | 8,600 | 2,226,540 | |
TOTAL FINANCIALS | 29,730,572 | ||
HEALTH CARE - 12.0% | |||
Biotechnology - 6.7% | |||
ACADIA Pharmaceuticals, Inc. (a) | 17,846 | 323,013 | |
Acorda Therapeutics, Inc. (a) | 12,907 | 338,809 | |
Agios Pharmaceuticals, Inc. (a) | 8,000 | 748,000 | |
Alexion Pharmaceuticals, Inc. (a) | 68,700 | 7,978,131 | |
Alkermes PLC (a) | 17,361 | 819,439 | |
Alnylam Pharmaceuticals, Inc. (a) | 16,677 | 1,658,861 | |
Amgen, Inc. | 13,200 | 2,370,984 | |
AnaptysBio, Inc. (a) | 11,000 | 855,800 | |
Ascendis Pharma A/S sponsored ADR (a) | 7,150 | 514,943 | |
BioMarin Pharmaceutical, Inc. (a) | 7,300 | 659,482 | |
bluebird bio, Inc. (a) | 11,300 | 2,023,265 | |
Blueprint Medicines Corp. (a) | 4,800 | 403,584 | |
Coherus BioSciences, Inc. (a)(b) | 86,900 | 1,355,640 | |
Epizyme, Inc. (a) | 24,100 | 420,545 | |
FibroGen, Inc. (a) | 13,400 | 722,260 | |
Five Prime Therapeutics, Inc. (a) | 25,600 | 449,536 | |
Insmed, Inc. (a) | 80,800 | 2,251,088 | |
Intercept Pharmaceuticals, Inc. (a) | 6,700 | 470,407 | |
Ionis Pharmaceuticals, Inc. (a) | 67,056 | 3,128,162 | |
Mirati Therapeutics, Inc. (a) | 22,100 | 939,250 | |
Neurocrine Biosciences, Inc. (a) | 38,955 | 3,749,808 | |
Prothena Corp. PLC (a) | 32,805 | 442,539 | |
Regeneron Pharmaceuticals, Inc. (a) | 8,392 | 2,520,285 | |
Rigel Pharmaceuticals, Inc. (a) | 181,900 | 591,175 | |
Sage Therapeutics, Inc. (a) | 7,300 | 1,114,637 | |
Sarepta Therapeutics, Inc. (a) | 19,500 | 1,830,075 | |
Sienna Biopharmaceuticals, Inc. | 10,300 | 154,397 | |
Spark Therapeutics, Inc. (a) | 20,900 | 1,667,611 | |
TESARO, Inc. (a)(b) | 33,000 | 1,510,410 | |
Vertex Pharmaceuticals, Inc. (a) | 11,600 | 1,786,400 | |
Xencor, Inc. (a) | 21,500 | 860,215 | |
44,658,751 | |||
Health Care Equipment & Supplies - 2.0% | |||
Becton, Dickinson & Co. | 5,100 | 1,130,109 | |
Boston Scientific Corp. (a) | 247,100 | 7,509,369 | |
Danaher Corp. | 6,200 | 615,536 | |
Insulet Corp. (a) | 22,000 | 2,063,380 | |
Intuitive Surgical, Inc. (a) | 700 | 321,769 | |
Novocure Ltd. (a) | 45,900 | 1,443,555�� | |
13,083,718 | |||
Health Care Providers & Services - 2.7% | |||
Anthem, Inc. | 19,000 | 4,206,980 | |
Cigna Corp. | 9,900 | 1,676,763 | |
CVS Health Corp. | 2,600 | 164,814 | |
G1 Therapeutics, Inc. | 10,800 | 467,748 | |
Humana, Inc. | 15,900 | 4,626,582 | |
OptiNose, Inc. | 11,500 | 265,305 | |
UnitedHealth Group, Inc. | 26,500 | 6,400,015 | |
17,808,207 | |||
Health Care Technology - 0.0% | |||
Cerner Corp. (a) | 900 | 53,712 | |
Pharmaceuticals - 0.6% | |||
Akcea Therapeutics, Inc. | 52,800 | 1,279,872 | |
Nektar Therapeutics (a) | 19,400 | 1,557,238 | |
Theravance Biopharma, Inc. (a) | 37,400 | 910,316 | |
3,747,426 | |||
TOTAL HEALTH CARE | 79,351,814 | ||
INDUSTRIALS - 3.6% | |||
Aerospace & Defense - 0.0% | |||
The Boeing Co. | 200 | 70,432 | |
Air Freight & Logistics - 0.1% | |||
FedEx Corp. | 3,500 | 871,920 | |
Airlines - 1.4% | |||
Alaska Air Group, Inc. | 22,200 | 1,349,982 | |
Allegiant Travel Co. | 2,000 | 302,700 | |
JetBlue Airways Corp. (a) | 13,500 | 255,015 | |
Ryanair Holdings PLC sponsored ADR (a) | 500 | 57,955 | |
Southwest Airlines Co. | 1,100 | 56,188 | |
Spirit Airlines, Inc. (a) | 199,700 | 7,326,993 | |
9,348,833 | |||
Commercial Services & Supplies - 0.1% | |||
Copart, Inc. (a) | 7,300 | 400,259 | |
Tomra Systems ASA | 3,100 | 70,845 | |
471,104 | |||
Construction & Engineering - 0.1% | |||
Fluor Corp. | 8,100 | 394,794 | |
Electrical Equipment - 0.5% | |||
Sunrun, Inc. (a)(b) | 250,200 | 3,027,420 | |
Machinery - 0.1% | |||
Allison Transmission Holdings, Inc. | 18,299 | 755,932 | |
Professional Services - 0.3% | |||
TransUnion Holding Co., Inc. | 33,700 | 2,311,820 | |
Road & Rail - 0.1% | |||
Union Pacific Corp. | 4,700 | 670,972 | |
Trading Companies & Distributors - 0.9% | |||
Bunzl PLC | 190,800 | 5,808,356 | |
TOTAL INDUSTRIALS | 23,731,583 | ||
INFORMATION TECHNOLOGY - 49.8% | |||
Communications Equipment - 1.1% | |||
Carvana Co. Class A (a)(b) | 256,950 | 7,413,008 | |
Electronic Equipment & Components - 0.1% | |||
TTM Technologies, Inc. (a) | 44,900 | 809,547 | |
Internet Software & Services - 16.8% | |||
Alibaba Group Holding Ltd. sponsored ADR (a) | 30,800 | 6,098,708 | |
Alphabet, Inc.: | |||
Class A (a) | 13,300 | 14,630,000 | |
Class C (a) | 27,800 | 30,162,722 | |
ANGI Homeservices, Inc. Class A (a)(b) | 115,800 | 1,743,948 | |
CarGurus, Inc. Class A | 23,600 | 782,576 | |
DocuSign, Inc. | 1,800 | 89,658 | |
Dropbox, Inc. Class A (a) | 3,100 | 92,969 | |
Facebook, Inc. Class A (a) | 131,800 | 25,276,604 | |
GoDaddy, Inc. (a) | 91,200 | 6,529,008 | |
IAC/InterActiveCorp (a) | 16,000 | 2,482,240 | |
The Trade Desk, Inc. (a)(b) | 110,100 | 9,416,853 | |
Wix.com Ltd. (a) | 159,369 | 13,857,135 | |
111,162,421 | |||
IT Services - 7.7% | |||
Accenture PLC Class A | 2,600 | 404,924 | |
Alliance Data Systems Corp. | 34,000 | 7,167,880 | |
Cognizant Technology Solutions Corp. Class A | 70,300 | 5,297,105 | |
EPAM Systems, Inc. (a) | 11,200 | 1,379,616 | |
FleetCor Technologies, Inc. (a) | 5,000 | 996,750 | |
Global Payments, Inc. | 49,700 | 5,524,652 | |
Luxoft Holding, Inc. (a) | 133,599 | 4,809,564 | |
MasterCard, Inc. Class A | 42,500 | 8,080,100 | |
PayPal Holdings, Inc. (a) | 53,400 | 4,382,538 | |
Visa, Inc. Class A | 80,400 | 10,509,888 | |
Worldpay, Inc. (a) | 29,100 | 2,312,577 | |
50,865,594 | |||
Semiconductors & Semiconductor Equipment - 5.1% | |||
Analog Devices, Inc. | 28,400 | 2,759,912 | |
Broadcom, Inc. | 39,900 | 10,057,593 | |
Marvell Technology Group Ltd. | 77,300 | 1,665,042 | |
Micron Technology, Inc. (a) | 78,400 | 4,515,056 | |
NVIDIA Corp. | 35,100 | 8,851,869 | |
NXP Semiconductors NV (a) | 16,100 | 1,835,400 | |
ON Semiconductor Corp. (a) | 63,100 | 1,585,703 | |
Qualcomm, Inc. | 45,100 | 2,621,212 | |
33,891,787 | |||
Software - 13.5% | |||
Activision Blizzard, Inc. | 70,900 | 5,027,519 | |
Adobe Systems, Inc. (a) | 38,400 | 9,572,352 | |
Autodesk, Inc. (a) | 42,300 | 5,460,930 | |
Citrix Systems, Inc. (a) | 34,100 | 3,601,642 | |
Electronic Arts, Inc. (a) | 25,500 | 3,338,205 | |
Intuit, Inc. | 10,000 | 2,016,000 | |
Microsoft Corp. | 315,300 | 31,164,252 | |
Parametric Technology Corp. (a) | 12,600 | 1,086,624 | |
Red Hat, Inc. (a) | 11,700 | 1,900,314 | |
Salesforce.com, Inc. (a) | 117,648 | 15,215,416 | |
ServiceNow, Inc. (a) | 36,100 | 6,411,721 | |
Take-Two Interactive Software, Inc. (a) | 600 | 67,248 | |
Workday, Inc. Class A (a) | 36,500 | 4,780,040 | |
Zscaler, Inc. (a) | 1,300 | 34,138 | |
89,676,401 | |||
Technology Hardware, Storage & Peripherals - 5.5% | |||
Apple, Inc. | 195,900 | 36,607,834 | |
TOTAL INFORMATION TECHNOLOGY | 330,426,592 | ||
MATERIALS - 2.8% | |||
Chemicals - 2.8% | |||
DowDuPont, Inc. | 46,774 | 2,998,681 | |
LG Chemical Ltd. | 8,331 | 2,610,668 | |
LyondellBasell Industries NV Class A | 65,800 | 7,377,496 | |
The Chemours Co. LLC | 108,800 | 5,330,112 | |
18,316,957 | |||
Containers & Packaging - 0.0% | |||
Ball Corp. | 9,200 | 339,940 | |
TOTAL MATERIALS | 18,656,897 | ||
REAL ESTATE - 2.2% | |||
Equity Real Estate Investment Trusts (REITs) - 2.2% | |||
American Tower Corp. | 91,500 | 12,660,855 | |
Equinix, Inc. | 5,000 | 1,984,250 | |
14,645,105 | |||
TELECOMMUNICATION SERVICES - 1.8% | |||
Wireless Telecommunication Services - 1.8% | |||
T-Mobile U.S., Inc. (a) | 214,100 | 11,925,370 | |
TOTAL COMMON STOCKS | |||
(Cost $414,965,549) | 643,707,782 | ||
Preferred Stocks - 2.6% | |||
Convertible Preferred Stocks - 2.6% | |||
CONSUMER STAPLES - 2.1% | |||
Tobacco - 2.1% | |||
JUUL Labs, Inc. Series C (a)(c)(d) | 273,248 | 13,736,177 | |
FINANCIALS - 0.1% | |||
Insurance - 0.1% | |||
Clover Health Series D (c)(d) | 67,979 | 637,493 | |
INDUSTRIALS - 0.1% | |||
Aerospace & Defense - 0.1% | |||
Space Exploration Technologies Corp. Series I (c)(d) | 3,290 | 556,010 | |
INFORMATION TECHNOLOGY - 0.3% | |||
Internet Software & Services - 0.3% | |||
Uber Technologies, Inc. Series D, 8.00% (a)(c)(d) | 55,696 | 2,227,840 | |
TOTAL CONVERTIBLE PREFERRED STOCKS | 17,157,520 | ||
Nonconvertible Preferred Stocks - 0.0% | |||
CONSUMER STAPLES - 0.0% | |||
Tobacco - 0.0% | |||
PAX Labs, Inc. Series A (c)(d) | 273,248 | 360,687 | |
INDUSTRIALS - 0.0% | |||
Aerospace & Defense - 0.0% | |||
Rolls-Royce Holdings PLC Series C(a) | 1,831,800 | 2,435 | |
TOTAL NONCONVERTIBLE PREFERRED STOCKS | 363,122 | ||
TOTAL PREFERRED STOCKS | |||
(Cost $3,112,073) | 17,520,642 | ||
Money Market Funds - 2.7% | |||
Fidelity Cash Central Fund, 1.76% (e) | 2,362,415 | 2,362,888 | |
Fidelity Securities Lending Cash Central Fund 1.76% (e)(f) | 15,299,949 | 15,301,479 | |
TOTAL MONEY MARKET FUNDS | |||
(Cost $17,664,367) | 17,664,367 | ||
TOTAL INVESTMENT IN SECURITIES - 102.4% | |||
(Cost $435,741,989) | 678,892,791 | ||
NET OTHER ASSETS (LIABILITIES) - (2.4)% | (16,109,443) | ||
NET ASSETS - 100% | $662,783,348 |
Legend
(a) Non-income producing
(b) Security or a portion of the security is on loan at period end.
(c) Level 3 security
(d) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $17,518,207 or 2.6% of net assets.
(e) 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.
(f) Investment made with cash collateral received from securities on loan.
Additional information on each restricted holding is as follows:
Security | Acquisition Date | Acquisition Cost |
Clover Health Series D | 6/7/17 | $637,493 |
JUUL Labs, Inc. Series C | 5/22/15 | $849,801 |
PAX Labs, Inc. Series A | 5/22/15 | $202,204 |
Space Exploration Technologies Corp. Series I | 4/5/18 | $556,010 |
Uber Technologies, Inc. Series D, 8.00% | 6/6/14 | $864,015 |
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 | $22,745 |
Fidelity Securities Lending Cash Central Fund | 422,940 |
Total | $445,685 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $105,148,494 | $105,148,494 | $-- | $-- |
Consumer Staples | 34,276,107 | 16,003,447 | 4,140,155 | 14,132,505 |
Energy | 9,912,112 | 9,912,112 | -- | -- |
Financials | 30,368,065 | 29,730,572 | -- | 637,493 |
Health Care | 79,351,814 | 79,351,814 | -- | -- |
Industrials | 24,290,028 | 23,734,018 | -- | 556,010 |
Information Technology | 332,654,432 | 330,426,592 | -- | 2,227,840 |
Materials | 18,656,897 | 18,656,897 | -- | -- |
Real Estate | 14,645,105 | 14,645,105 | -- | -- |
Telecommunication Services | 11,925,370 | 11,925,370 | -- | -- |
Money Market Funds | 17,664,367 | 17,664,367 | -- | -- |
Total Investments in Securities: | $678,892,791 | $657,198,788 | $4,140,155 | $17,553,848 |
The following is a reconciliation of Investments in Securities and Derivative Instruments for which Level 3 inputs were used in determining value:
Investments in Securities: | |
Equities - Consumer Staples | |
Beginning Balance | $5,875,407 |
Net Realized Gain (Loss) on Investment Securities | -- |
Net Unrealized Gain (Loss) on Investment Securities | 8,257,098 |
Cost of Purchases | -- |
Proceeds of Sales | -- |
Amortization/Accretion | -- |
Transfers into Level 3 | -- |
Transfers out of Level 3 | -- |
Ending Balance | $14,132,505 |
The change in unrealized gain (loss) for the period attributable to Level 3 securities held at May 31, 2018 | $8,257,098 |
Other Investments in Securities | |
Beginning Balance | $2,563,513 |
Net Realized Gain (Loss) on Investment Securities | -- |
Net Unrealized Gain (Loss) on Investment Securities | 301,820 |
Cost of Purchases | 556,010 |
Proceeds of Sales | -- |
Amortization/Accretion | -- |
Transfers into Level 3 | -- |
Transfers out of Level 3 | -- |
Ending Balance | $3,421,343 |
The change in unrealized gain (loss) for the period attributable to Level 3 securities held at May 31, 2018 | $301,820 |
The information used in the above reconciliation represents fiscal year to date activity for any Investments in Securities identified as using Level 3 inputs at either the beginning or the end of the current fiscal period. Transfers in or out of Level 3 represent the beginning value of any Security or Instrument where a change in the pricing level occurred from the beginning to the end of the period. The cost of purchases and the proceeds of sales may include securities received or delivered through corporate actions or exchanges. Realized and unrealized gains (losses) disclosed in the reconciliation are included in Net Gain (Loss) on the Fund's Statement of Operations.
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 89.3% |
Israel | 2.1% |
Netherlands | 1.6% |
India | 1.6% |
United Kingdom | 1.4% |
Cayman Islands | 1.3% |
Others (Individually Less Than 1%) | 2.7% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
May 31, 2018 (Unaudited) | ||
Assets | ||
Investment in securities, at value (including securities loaned of $14,980,136) — See accompanying schedule: Unaffiliated issuers (cost $418,077,622) | $661,228,424 | |
Fidelity Central Funds (cost $17,664,367) | 17,664,367 | |
Total Investment in Securities (cost $435,741,989)�� | $678,892,791 | |
Receivable for investments sold | 111,368 | |
Receivable for fund shares sold | 93,384 | |
Dividends receivable | 418,167 | |
Distributions receivable from Fidelity Central Funds | 18,557 | |
Other receivables | 20,754 | |
Total assets | 679,555,021 | |
Liabilities | ||
Payable for investments purchased | $1,170,138 | |
Payable for fund shares redeemed | 278,229 | |
Other payables and accrued expenses | 20,508 | |
Collateral on securities loaned | 15,302,798 | |
Total liabilities | 16,771,673 | |
Net Assets | $662,783,348 | |
Net Assets consist of: | ||
Paid in capital | $388,701,721 | |
Undistributed net investment income | 2,101,195 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 28,830,543 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 243,149,889 | |
Net Assets, for 46,893,630 shares outstanding | $662,783,348 | |
Net Asset Value, offering price and redemption price per share ($662,783,348 ÷ 46,893,630 shares) | $14.13 |
See accompanying notes which are an integral part of the financial statements.
Statement of Operations
Six months ended May 31, 2018 (Unaudited) | ||
Investment Income | ||
Dividends | $2,166,604 | |
Income from Fidelity Central Funds (including $422,940 from security lending) | 445,685 | |
Total income | 2,612,289 | |
Expenses | ||
Custodian fees and expenses | $29,208 | |
Independent trustees' fees and expenses | 1,405 | |
Interest | 1,119 | |
Miscellaneous | 888 | |
Total expenses before reductions | 32,620 | |
Expense reductions | (30,658) | |
Total expenses after reductions | 1,962 | |
Net investment income (loss) | 2,610,327 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers (net of foreign taxes of $18,314) | 29,100,171 | |
Fidelity Central Funds | 238 | |
Foreign currency transactions | (5,503) | |
Total net realized gain (loss) | 29,094,906 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers (net of decrease in deferred foreign taxes of $32,684) | 43,685,162 | |
Assets and liabilities in foreign currencies | (2,188) | |
Total change in net unrealized appreciation (depreciation) | 43,682,974 | |
Net gain (loss) | 72,777,880 | |
Net increase (decrease) in net assets resulting from operations | $75,388,207 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 | |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $2,610,327 | $4,329,238 |
Net realized gain (loss) | 29,094,906 | 54,829,929 |
Change in net unrealized appreciation (depreciation) | 43,682,974 | 126,039,175 |
Net increase (decrease) in net assets resulting from operations | 75,388,207 | 185,198,342 |
Distributions to shareholders from net investment income | (4,578,543) | (2,032,804) |
Distributions to shareholders from net realized gain | (53,198,309) | (19,503,931) |
Total distributions | (57,776,852) | (21,536,735) |
Share transactions | ||
Proceeds from sales of shares | 28,473,390 | 44,288,542 |
Reinvestment of distributions | 57,776,852 | 21,536,735 |
Cost of shares redeemed | (59,565,395) | (201,987,626) |
Net increase (decrease) in net assets resulting from share transactions | 26,684,847 | (136,162,349) |
Total increase (decrease) in net assets | 44,296,202 | 27,499,258 |
Net Assets | ||
Beginning of period | 618,487,146 | 590,987,888 |
End of period | $662,783,348 | $618,487,146 |
Other Information | ||
Undistributed net investment income end of period | $2,101,195 | $4,069,411 |
Shares | ||
Sold | 2,118,853 | 3,681,047 |
Issued in reinvestment of distributions | 4,527,966 | 2,060,932 |
Redeemed | (4,388,385) | (16,754,045) |
Net increase (decrease) | 2,258,434 | (11,012,066) |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Series Growth Opportunities Fund
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 A | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $13.86 | $10.62 | $12.23 | $11.79 | $10.23 | $10.00 |
Income from Investment Operations | ||||||
Net investment income (loss)B | .06 | .09 | .05 | .05C | .02 | –D |
Net realized and unrealized gain (loss) | 1.54 | 3.54 | (.32) | .60 | 1.56 | .23 |
Total from investment operations | 1.60 | 3.63 | (.27) | .65 | 1.58 | .23 |
Distributions from net investment income | (.11) | (.04) | (.07) | (.02) | –D | – |
Distributions from net realized gain | (1.22) | (.36) | (1.27) | (.20) | (.02) | – |
Total distributions | (1.33) | (.39)E | (1.34) | (.21)F | (.02) | – |
Net asset value, end of period | $14.13 | $13.86 | $10.62 | $12.23 | $11.79 | $10.23 |
Total ReturnG,H | 12.53% | 35.40% | (2.09)% | 5.71% | 15.51% | 2.30% |
Ratios to Average Net AssetsI,J | ||||||
Expenses before reductions | .01%K | .31% | .62% | .74% | .77% | .85%K |
Expenses net of fee waivers, if any | .01%K | .31% | .62% | .74% | .77% | .85%K |
Expenses net of all reductions | - %K,L | .30% | .61% | .74% | .77% | .85%K |
Net investment income (loss) | .83%K | .71% | .45% | .44%C | .16% | .38%K |
Supplemental Data | ||||||
Net assets, end of period (000 omitted) | $662,783 | $618,487 | $590,988 | $633,109 | $974,463 | $852,281 |
Portfolio turnover rateM | 44%K | 50% | 67% | 50% | 16% | 65%N |
A For the period November 7, 2013 (commencement of operations) to November 30, 2013.
B Calculated based on average shares outstanding during the period.
C Net Investment income per share reflects a large, non-recurring dividend which amounted to $.03 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .22%.
D Amount represents less than $.005 per share.
E Total distributions of $.39 per share is comprised of distributions from net investment income of $.037 and distributions from net realized gain of $.355 per share.
F Total distributions of $.21 per share is comprised of distributions from net investment income of $.016 and distributions from net realized gain of $.197 per share.
G Total returns for periods of less than one year are not annualized.
H Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
I 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.
J Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or reductions from other expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer term operating periods. Expenses net of 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 Fund.
K Annualized
L Amount represents less than .005%.
M Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
N Amount not annualized.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
1. Organization.
Fidelity Advisor Series Growth Opportunities Fund (the Fund) is a fund of Fidelity Advisor Series I (the Trust) and is authorized to issue an unlimited number of shares. Shares of the Fund are only available for purchase by mutual funds for which Fidelity Management & Research Company (FMR) or an affiliate serves as an investment manager. 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.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events. 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. 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. Equity securities, including restricted securities, for which observable inputs are not available are valued using alternate valuation approaches, including the market approach and the income approach and are categorized as Level 3 in the hierarchy. The market approach generally consists of using comparable market transactions while the income approach generally consists of using the net present value of estimated future cash flows, adjusted as appropriate for liquidity, credit, market and/or other risk factors.
Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
The following provides information on Level 3 securities held by the Fund that were valued at period end based on unobservable inputs. These amounts exclude valuations provided by a broker.
Asset Type | Fair Value | Valuation Technique(s) | Unobservable Input | Amount or Range/Weighted Average | Impact to Valuation from an Increase in Input(a) |
Equities | $17,553,848 | Market approach | Transaction price | $9.38 - $169.00 / $55.26 | Increase |
Market comparable | Enterprise value/Sales multiple (EV/S) | 1.2 - 5.8 / 5.7 | Increase | ||
Discount rate | 10.0% | Decrease |
(a) Represents the expected directional change in the fair value of the Level 3 investments that would result from an increase in the corresponding input. A decrease to the unobservable input would have the opposite effect. Significant changes in these inputs could result in significantly higher or lower fair value measurements.
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 May 31, 2018, as well as a roll forward of Level 3 investments, 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. Investment income is recorded net of foreign taxes withheld where recovery of such taxes is uncertain.
Expenses. Expenses directly attributable to a fund are charged to that fund. Expenses attributable to more than one fund are allocated among the respective funds on the basis of relative net assets or other appropriate methods. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code, including distributing substantially all of its taxable income and realized gains. As a result, no provision for U.S. Federal income taxes is required. The Fund files a U.S. federal tax return, in addition to state and local tax returns as required. The Fund's federal income tax returns are subject to examination by the Internal Revenue Service (IRS) for a period of three fiscal years after they are filed. State and local tax returns may be subject to examination for an additional fiscal year depending on the jurisdiction. 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. The Fund is subject to a tax imposed on capital gains by certain countries in which it invests.
Distributions are declared and recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Capital accounts are not adjusted for temporary book-tax differences which will reverse in a subsequent period.
Book-tax differences are primarily due to foreign currency transactions, partnerships and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $254,414,859 |
Gross unrealized depreciation | (12,036,269) |
Net unrealized appreciation (depreciation) | $242,378,590 |
Tax cost | $436,514,201 |
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.
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $136,883,439 and $167,238,965, 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 does not pay a management fee. Under the management contract, the investment adviser or an affiliate pays all ordinary operating expenses of the Fund, except custody fees, fees and expenses of the independent Trustees, and certain miscellaneous expenses such as proxy and shareholder meeting expenses.
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 $3,839 for the period.
Interfund Lending Program. Pursuant to an Exemptive Order issued by the SEC, the Fund, along with other registered investment companies having management contracts with FMR or other affiliated entities of FMR, may participate in an interfund lending program. This program provides an alternative credit facility allowing the funds to borrow from, or lend money to, other participating affiliated funds. At period end, there were no interfund loans outstanding. The Fund's activity in this program during the period for which loans were outstanding was as follows:
Borrower or Lender | Average Loan Balance | Weighted Average Interest Rate | Interest Expense |
Borrower | $13,166,000 | 1.53% | $1,119 |
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
6. 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 $888 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
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. The Fund or borrower may terminate the loan at any time, and 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. At period end, there were no security loans outstanding with FCM. 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, and includes $35,303 from 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 $30,658 for the period.
9. 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.
At the end of the period, mutual funds managed by the investment adviser or its affiliates were the owners of record of all of the outstanding shares of the Fund.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, and (2) ongoing costs, including other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
Actual Expenses
The first line of the accompanying table provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund's actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Actual | .01% | $1,000.00 | $1,125.30 | $.05 |
Hypothetical-C | $1,000.00 | $1,024.88 | $.05 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
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Fidelity Advisor® Series Small Cap Fund Semi-Annual Report May 31, 2018 |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-877-208-0098 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. © 2018 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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Stamps.com, Inc. | 3.5 |
Conduent, Inc. | 3.2 |
SYNNEX Corp. | 2.4 |
CDW Corp. | 2.2 |
Asgn, Inc. | 2.1 |
Spectrum Brands Holdings, Inc. | 2.1 |
Hilton Grand Vacations, Inc. | 2.1 |
Charles River Laboratories International, Inc. | 1.9 |
Marriott Vacations Worldwide Corp. | 1.9 |
j2 Global, Inc. | 1.9 |
23.3 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Information Technology | 21.0 |
Industrials | 19.1 |
Health Care | 14.3 |
Financials | 13.4 |
Consumer Discretionary | 12.4 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018* | ||
Stocks and Equity Futures | 99.3% | |
Short-Term Investments and Net Other Assets (Liabilities) | 0.7% |
* Foreign investments - 16.0%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 95.0% | |||
Shares | Value | ||
CONSUMER DISCRETIONARY - 12.4% | |||
Auto Components - 1.5% | |||
Dorman Products, Inc. (a) | 116,000 | $7,484,320 | |
Diversified Consumer Services - 1.4% | |||
Grand Canyon Education, Inc. (a) | 59,200 | 6,577,120 | |
Hotels, Restaurants & Leisure - 4.0% | |||
Hilton Grand Vacations, Inc. (a) | 248,756 | 9,890,539 | |
Marriott Vacations Worldwide Corp. | 76,700 | 9,222,408 | |
19,112,947 | |||
Household Durables - 2.1% | |||
NVR, Inc. (a) | 700 | 2,093,378 | |
TopBuild Corp. (a) | 96,600 | 8,109,570 | |
10,202,948 | |||
Leisure Products - 1.7% | |||
Polaris Industries, Inc. | 71,300 | 7,978,470 | |
Media - 0.5% | |||
Criteo SA sponsored ADR (a) | 106,700 | 2,576,805 | |
Textiles, Apparel & Luxury Goods - 1.2% | |||
G-III Apparel Group Ltd. (a) | 141,800 | 5,941,420 | |
TOTAL CONSUMER DISCRETIONARY | 59,874,030 | ||
CONSUMER STAPLES - 5.3% | |||
Food & Staples Retailing - 1.1% | |||
Sundrug Co. Ltd. | 57,000 | 2,593,648 | |
Tsuruha Holdings, Inc. | 19,600 | 2,916,983 | |
5,510,631 | |||
Food Products - 2.1% | |||
Nomad Foods Ltd. (a) | 434,700 | 7,563,780 | |
TreeHouse Foods, Inc. (a) | 48,300 | 2,314,053 | |
9,877,833 | |||
Household Products - 2.1% | |||
Spectrum Brands Holdings, Inc. (b) | 124,640 | 9,932,562 | |
TOTAL CONSUMER STAPLES | 25,321,026 | ||
ENERGY - 2.7% | |||
Energy Equipment & Services - 0.7% | |||
Hess Midstream Partners LP | 157,199 | 3,294,891 | |
Oil, Gas & Consumable Fuels - 2.0% | |||
Alliance Resource Partners LP | 130,400 | 2,510,200 | |
Noble Midstream Partners LP | 102,100 | 5,265,297 | |
Noble Midstream Partners LP (c) | 34,123 | 1,759,723 | |
9,535,220 | |||
TOTAL ENERGY | 12,830,111 | ||
FINANCIALS - 13.4% | |||
Banks - 7.9% | |||
Allegiance Bancshares, Inc. (a) | 173,897 | 7,573,214 | |
Bank of the Ozarks, Inc. | 116,700 | 5,547,918 | |
ConnectOne Bancorp, Inc. | 248,776 | 6,530,370 | |
German American Bancorp, Inc. | 72,791 | 2,625,571 | |
Home Bancshares, Inc. | 310,200 | 7,140,804 | |
ServisFirst Bancshares, Inc. | 98,000 | 4,116,980 | |
Signature Bank (a) | 36,200 | 4,615,138 | |
Skandiabanken ASA (d) | 1,300 | 12,630 | |
38,162,625 | |||
Capital Markets - 1.8% | |||
LPL Financial | 122,400 | 8,417,448 | |
Insurance - 1.9% | |||
Enstar Group Ltd. (a) | 23,100 | 4,695,075 | |
Hastings Group Holdings PLC (d) | 1,352,096 | 4,608,556 | |
9,303,631 | |||
Thrifts & Mortgage Finance - 1.8% | |||
Essent Group Ltd. (a) | 254,100 | 8,715,630 | |
TOTAL FINANCIALS | 64,599,334 | ||
HEALTH CARE - 14.3% | |||
Biotechnology - 0.6% | |||
Swedish Orphan Biovitrum AB (a) | 152,100 | 3,094,050 | |
Health Care Equipment & Supplies - 1.9% | |||
Interojo Co. Ltd. | 6,543 | 205,037 | |
LivaNova PLC (a) | 92,300 | 8,680,815 | |
8,885,852 | |||
Health Care Providers & Services - 6.4% | |||
Addus HomeCare Corp. (a) | 65,542 | 3,752,280 | |
AMN Healthcare Services, Inc. (a) | 157,631 | 8,906,152 | |
Amplifon SpA | 95,955 | 1,729,757 | |
HealthSouth Corp. | 125,700 | 8,139,075 | |
LHC Group, Inc. (a) | 46,824 | 3,604,043 | |
Premier, Inc. (a) | 143,582 | 4,683,645 | |
30,814,952 | |||
Life Sciences Tools & Services - 4.0% | |||
Charles River Laboratories International, Inc. (a) | 86,100 | 9,257,472 | |
ICON PLC (a) | 57,200 | 7,377,656 | |
PRA Health Sciences, Inc. (a) | 28,500 | 2,419,650 | |
19,054,778 | |||
Pharmaceuticals - 1.4% | |||
Huons Co. Ltd. | 8,126 | 727,443 | |
Korea United Pharm, Inc. | 55,775 | 1,326,993 | |
Supernus Pharmaceuticals, Inc. (a) | 86,000 | 4,846,100 | |
6,900,536 | |||
TOTAL HEALTH CARE | 68,750,168 | ||
INDUSTRIALS - 19.1% | |||
Aerospace & Defense - 1.0% | |||
Wesco Aircraft Holdings, Inc. (a) | 405,600 | 4,664,400 | |
Building Products - 3.0% | |||
Apogee Enterprises, Inc. | 48,800 | 2,130,120 | |
Gibraltar Industries, Inc. (a) | 97,500 | 3,865,875 | |
GMS, Inc. (a) | 174,000 | 5,211,300 | |
Patrick Industries, Inc. (a) | 56,500 | 3,423,900 | |
14,631,195 | |||
Commercial Services & Supplies - 0.4% | |||
Coor Service Management Holding AB | 263,300 | 1,880,906 | |
Construction & Engineering - 1.1% | |||
Argan, Inc. | 56,230 | 2,176,101 | |
EMCOR Group, Inc. | 41,700 | 3,166,281 | |
5,342,382 | |||
Electrical Equipment - 1.2% | |||
Generac Holdings, Inc. (a) | 115,200 | 5,770,368 | |
Industrial Conglomerates - 0.5% | |||
ITT, Inc. | 44,601 | 2,302,304 | |
Machinery - 5.3% | |||
AGCO Corp. | 49,900 | 3,173,640 | |
Crane Co. | 61,200 | 5,086,332 | |
Gardner Denver Holdings, Inc. | 157,600 | 5,180,312 | |
Hy-Lok Corp. | 83,553 | 2,324,354 | |
Oshkosh Corp. | 77,900 | 5,667,225 | |
SPX Flow, Inc. (a) | 96,600 | 4,208,862 | |
25,640,725 | |||
Professional Services - 3.5% | |||
Asgn, Inc. (a) | 131,300 | 10,110,100 | |
ICF International, Inc. | 93,276 | 6,589,949 | |
16,700,049 | |||
Trading Companies & Distributors - 3.1% | |||
MSC Industrial Direct Co., Inc. Class A | 77,800 | 7,144,374 | |
Univar, Inc. (a) | 284,200 | 7,750,134 | |
14,894,508 | |||
TOTAL INDUSTRIALS | 91,826,837 | ||
INFORMATION TECHNOLOGY - 21.0% | |||
Communications Equipment - 0.5% | |||
Finisar Corp. (a) | 154,700 | 2,507,687 | |
Electronic Equipment & Components - 5.8% | |||
CDW Corp. | 133,700 | 10,702,685 | |
ePlus, Inc. (a) | 65,613 | 5,967,502 | |
SYNNEX Corp. | 107,413 | 11,473,857 | |
28,144,044 | |||
Internet Software & Services - 6.5% | |||
Care.com, Inc. (a) | 42,298 | 877,261 | |
j2 Global, Inc. | 107,800 | 9,102,632 | |
LogMeIn, Inc. | 38,400 | 4,143,360 | |
Stamps.com, Inc. (a) | 67,600 | 16,954,080 | |
31,077,333 | |||
IT Services - 7.3% | |||
Booz Allen Hamilton Holding Corp. Class A | 163,600 | 7,376,724 | |
Conduent, Inc. (a) | 791,800 | 15,242,150 | |
Genpact Ltd. | 214,000 | 6,426,420 | |
Syntel, Inc. (a) | 196,000 | 6,174,000 | |
35,219,294 | |||
Semiconductors & Semiconductor Equipment - 0.3% | |||
Versum Materials, Inc. | 34,900 | 1,394,953 | |
Software - 0.6% | |||
Zensar Technologies Ltd. | 154,741 | 2,992,470 | |
TOTAL INFORMATION TECHNOLOGY | 101,335,781 | ||
MATERIALS - 2.7% | |||
Chemicals - 1.5% | |||
Ferro Corp. (a) | 94,400 | 1,931,424 | |
Platform Specialty Products Corp. (a) | 425,100 | 5,126,706 | |
7,058,130 | |||
Containers & Packaging - 0.7% | |||
Berry Global Group, Inc. (a) | 71,600 | 3,457,564 | |
Paper & Forest Products - 0.5% | |||
Neenah, Inc. | 30,600 | 2,483,190 | |
TOTAL MATERIALS | 12,998,884 | ||
REAL ESTATE - 2.5% | |||
Real Estate Management & Development - 2.5% | |||
CBRE Group, Inc. (a) | 173,400 | 8,009,346 | |
Daito Trust Construction Co. Ltd. | 25,800 | 4,214,423 | |
12,223,769 | |||
UTILITIES - 1.6% | |||
Gas Utilities - 1.1% | |||
Amerigas Partners LP | 43,600 | 1,803,732 | |
Star Gas Partners LP | 368,578 | 3,438,833 | |
5,242,565 | |||
Multi-Utilities - 0.5% | |||
Telecom Plus PLC | 178,300 | 2,455,559 | |
TOTAL UTILITIES | 7,698,124 | ||
TOTAL COMMON STOCKS | |||
(Cost $372,694,236) | 457,458,064 | ||
Principal Amount | Value | ||
U.S. Treasury Obligations - 0.2% | |||
U.S. Treasury Bills, yield at date of purchase 1.71% to 1.89% 6/14/18 to 8/30/18 (e) | |||
(Cost $917,908) | 920,000 | 917,933 | |
Shares | Value | ||
Money Market Funds - 6.7% | |||
Fidelity Cash Central Fund, 1.76% (f) | 23,175,713 | $23,180,348 | |
Fidelity Securities Lending Cash Central Fund 1.76% (f)(g) | 8,873,458 | 8,874,345 | |
TOTAL MONEY MARKET FUNDS | |||
(Cost $32,054,728) | 32,054,693 | ||
TOTAL INVESTMENT IN SECURITIES - 101.9% | |||
(Cost $405,666,872) | 490,430,690 | ||
NET OTHER ASSETS (LIABILITIES) - (1.9)% | (9,122,066) | ||
NET ASSETS - 100% | $481,308,624 |
Futures Contracts | |||||
Number of contracts | Expiration Date | Notional Amount | Value | Unrealized Appreciation/(Depreciation) | |
Purchased | |||||
Equity Index Contracts | |||||
CME E-mini Russell 2000 Index Contracts (United States) | 252 | June 2018 | $20,590,920 | $992,823 | $992,823 |
The notional amount of futures purchased as a percentage of Net Assets is 4.3%
For the period, the average monthly underlying face amount at value for futures contracts in the aggregate was $27,067,785.
Legend
(a) Non-income producing
(b) Security or a portion of the security is on loan at period end.
(c) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $1,759,723 or 0.4% of net assets.
(d) 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 $4,621,186 or 1.0% of net assets.
(e) Security or a portion of the security was pledged to cover margin requirements for futures contracts. At period end, the value of securities pledged amounted to $708,876.
(f) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements are available on the SEC's website or upon request.
(g) Investment made with cash collateral received from securities on loan.
Additional information on each restricted holding is as follows:
Security | Acquisition Date | Acquisition Cost |
Noble Midstream Partners LP | 6/21/17 | $1,380,275 |
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 | $213,890 |
Fidelity Securities Lending Cash Central Fund | 45,408 |
Total | $259,298 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $59,874,030 | $59,874,030 | $-- | $-- |
Consumer Staples | 25,321,026 | 25,321,026 | -- | -- |
Energy | 12,830,111 | 12,830,111 | -- | -- |
Financials | 64,599,334 | 64,599,334 | -- | -- |
Health Care | 68,750,168 | 68,750,168 | -- | -- |
Industrials | 91,826,837 | 91,826,837 | -- | -- |
Information Technology | 101,335,781 | 101,335,781 | -- | -- |
Materials | 12,998,884 | 12,998,884 | -- | -- |
Real Estate | 12,223,769 | 12,223,769 | -- | -- |
Utilities | 7,698,124 | 7,698,124 | -- | -- |
U.S. Government and Government Agency Obligations | 917,933 | -- | 917,933 | -- |
Money Market Funds | 32,054,693 | 32,054,693 | -- | -- |
Total Investments in Securities: | $490,430,690 | $489,512,757 | $917,933 | $-- |
Derivative Instruments: | ||||
Assets | ||||
Futures Contracts | $992,823 | $992,823 | $-- | $-- |
Total Assets | $992,823 | $992,823 | $-- | $-- |
Total Derivative Instruments: | $992,823 | $992,823 | $-- | $-- |
The following is a summary of transfers between Level 1 and Level 2 for the period ended May 31, 2018. 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 | $0 |
Level 2 to Level 1 | $9,403,380 |
Value of Derivative Instruments
The following table is a summary of the Fund's value of derivative instruments by primary risk exposure as of May 31, 2018. For additional information on derivative instruments, please refer to the Derivative Instruments section in the accompanying Notes to Financial Statements.
Primary Risk Exposure / Derivative Type | Value | |
Asset | Liability | |
Equity Risk | ||
Futures Contracts(a) | $992,823 | $0 |
Total Value of Derivatives | $992,823 | $0 |
(a) Reflects gross cumulative appreciation (depreciation) on futures contracts as presented in the Schedule of Investments. In the Statement of Assets and Liabilities, the period end daily variation margin is included in receivable or payable for daily variation margin on futures contracts, and the net cumulative appreciation (depreciation) is included in net unrealized appreciation (depreciation).
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 84.0% |
Bermuda | 4.1% |
United Kingdom | 3.2% |
Japan | 2.0% |
British Virgin Islands | 1.6% |
Ireland | 1.6% |
Sweden | 1.0% |
Korea (South) | 1.0% |
Others (Individually Less Than 1%) | 1.5% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
May 31, 2018 (Unaudited) | ||
Assets | ||
Investment in securities, at value (including securities loaned of $8,295,729) — See accompanying schedule: Unaffiliated issuers (cost $373,612,144) | $458,375,997 | |
Fidelity Central Funds (cost $32,054,728) | 32,054,693 | |
Total Investment in Securities (cost $405,666,872) | $490,430,690 | |
Foreign currency held at value (cost $152,780) | 152,780 | |
Receivable for investments sold | 3,578,073 | |
Receivable for fund shares sold | 68,497 | |
Dividends receivable | 421,397 | |
Distributions receivable from Fidelity Central Funds | 45,218 | |
Other receivables | 19,362 | |
Total assets | 494,716,017 | |
Liabilities | ||
Payable for investments purchased | $4,028,969 | |
Payable for fund shares redeemed | 212,087 | |
Payable for daily variation margin on futures contracts | 208,139 | |
Other payables and accrued expenses | 83,673 | |
Collateral on securities loaned | 8,874,525 | |
Total liabilities | 13,407,393 | |
Net Assets | $481,308,624 | |
Net Assets consist of: | ||
Paid in capital | $382,843,631 | |
Undistributed net investment income | 1,366,872 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 11,415,434 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 85,682,687 | |
Net Assets, for 39,519,900 shares outstanding | $481,308,624 | |
Net Asset Value, offering price and redemption price per share ($481,308,624 ÷ 39,519,900 shares) | $12.18 |
See accompanying notes which are an integral part of the financial statements.
Statement of Operations
Six months ended May 31, 2018 (Unaudited) | ||
Investment Income | ||
Dividends | $2,050,961 | |
Interest | 10,208 | |
Income from Fidelity Central Funds | 259,298 | |
Total income | 2,320,467 | |
Expenses | ||
Custodian fees and expenses | $10,529 | |
Independent trustees' fees and expenses | 1,056 | |
Miscellaneous | 668 | |
Total expenses | 12,253 | |
Net investment income (loss) | 2,308,214 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 12,306,941 | |
Fidelity Central Funds | 228 | |
Foreign currency transactions | 460 | |
Futures contracts | (1,082,475) | |
Total net realized gain (loss) | 11,225,154 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers (net of increase in deferred foreign taxes of $73,514) | (2,817,420) | |
Fidelity Central Funds | (35) | |
Assets and liabilities in foreign currencies | (2,043) | |
Futures contracts | 434,981 | |
Total change in net unrealized appreciation (depreciation) | (2,384,517) | |
Net gain (loss) | 8,840,637 | |
Net increase (decrease) in net assets resulting from operations | $11,148,851 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 | |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $2,308,214 | $3,287,292 |
Net realized gain (loss) | 11,225,154 | 43,804,772 |
Change in net unrealized appreciation (depreciation) | (2,384,517) | 26,559,479 |
Net increase (decrease) in net assets resulting from operations | 11,148,851 | 73,651,543 |
Distributions to shareholders from net investment income | (2,420,650) | (3,874,433) |
Distributions to shareholders from net realized gain | (27,984,184) | – |
Total distributions | (30,404,834) | (3,874,433) |
Share transactions | ||
Proceeds from sales of shares | 32,019,946 | 39,758,702 |
Reinvestment of distributions | 30,404,834 | 3,874,433 |
Cost of shares redeemed | (24,955,541) | (101,683,132) |
Net increase (decrease) in net assets resulting from share transactions | 37,469,239 | (58,049,997) |
Total increase (decrease) in net assets | 18,213,256 | 11,727,113 |
Net Assets | ||
Beginning of period | 463,095,368 | 451,368,255 |
End of period | $481,308,624 | $463,095,368 |
Other Information | ||
Undistributed net investment income end of period | $1,366,872 | $1,479,308 |
Shares | ||
Sold | 2,620,424 | 3,439,672 |
Issued in reinvestment of distributions | 2,567,976 | 347,795 |
Redeemed | (2,062,955) | (8,693,635) |
Net increase (decrease) | 3,125,445 | (4,906,168) |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Series Small Cap Fund
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 A | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $12.72 | $10.93 | $11.26 | $11.19 | $10.39 | $10.00 |
Income from Investment Operations | ||||||
Net investment income (loss)B | .06 | .08 | .09C | .03D | .02 | –E,F |
Net realized and unrealized gain (loss) | .23 | 1.81 | .10 | .38 | .82 | .39 |
Total from investment operations | .29 | 1.89 | .19 | .41 | .84 | .39 |
Distributions from net investment income | (.07) | (.10) | (.03) | (.02) | (.01) | – |
Distributions from net realized gain | (.76) | – | (.50) | (.32) | (.03) | – |
Total distributions | (.83) | (.10) | (.52)G | (.34) | (.04) | – |
Net asset value, end of period | $12.18 | $12.72 | $10.93 | $11.26 | $11.19 | $10.39 |
Total ReturnH,I | 2.46% | 17.37% | 1.96% | 3.81% | 8.12% | 3.90% |
Ratios to Average Net AssetsJ,K | ||||||
Expenses before reductions | .01%L | .41% | .97% | 1.04% | .94% | 1.07%L |
Expenses net of fee waivers, if any | .01%L | .41% | .97% | 1.03% | .94% | .95%L |
Expenses net of all reductions | .01%L | .40% | .97% | 1.02% | .94% | .95%L |
Net investment income (loss) | .98%L | .72% | .85%C | .30%D | .16% | (.25)%E,L |
Supplemental Data | ||||||
Net assets, end of period (000 omitted) | $481,309 | $463,095 | $451,368 | $483,566 | $517,827 | $485,539 |
Portfolio turnover rateM | 70%L | 88% | 90% | 35% | 58% | 4%N |
A For the period November 7, 2013 (commencement of operations) to November 30, 2013.
B Calculated based on average shares outstanding during the period.
C Net Investment income per share reflects a large, non-recurring dividend which amounted to $.05 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .40%.
D Net Investment income per share reflects a large, non-recurring dividend which amounted to $.03 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .06%.
E Net Investment income per share reflects a large, non-recurring dividend which amounted to $.01 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been (.36%).
F Amount represents less than $.005 per share.
G Total distributions of $.52 per share is comprised of distributions from net investment income of $.027 and distributions from net realized gain of $.496 per share.
H Total returns for periods of less than one year are not annualized.
I Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
J 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.
K Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or reductions from other expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer term operating periods. Expenses net of 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 Fund.
L Annualized
M Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
N Amount not annualized.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
1. Organization.
Fidelity Advisor Series Small Cap Fund (the Fund) is a fund of Fidelity Advisor Series I (the Trust) and is authorized to issue an unlimited number of shares. Shares of the Fund are only available for purchase by mutual funds for which Fidelity Management & Research Company (FMR) or an affiliate serves as an investment manager. 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.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events, changes in interest rates and credit quality. The frequency with which these procedures are used cannot be predicted and they may be utilized to a significant extent. The Committee oversees the Fund's valuation policies and procedures and reports to the Board on the Committee's activities and fair value determinations. The Board monitors the appropriateness of the procedures used in valuing the Fund's investments and ratifies the fair value determinations of the Committee.
The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels as shown below:
- Level 1 – quoted prices in active markets for identical investments
- Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, etc.)
- Level 3 – unobservable inputs (including the Fund's own assumptions based on the best information available)
Valuation techniques used to value the Fund's investments by major category are as follows:
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. 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. 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. 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.
Futures contracts are valued at the settlement price established each day by the board of trade or exchange on which they are traded and are categorized as Level 1 in the hierarchy. Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of May 31, 2018, 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.
Investment Transactions and Income. For financial reporting purposes, the Fund's investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day. Gains and losses on securities sold are determined on the basis of identified cost. Dividend income is recorded on the ex-dividend date, except for certain dividends from foreign securities where the ex-dividend date may have passed, which are recorded as soon as the Fund is informed of the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at the fair market value of the securities received. Income and capital gain distributions from Fidelity Central Funds, if any, are recorded on the ex-dividend date. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable. Investment income is recorded net of foreign taxes withheld where recovery of such taxes is uncertain.
Expenses. Expenses directly attributable to a fund are charged to that fund. Expenses attributable to more than one fund are allocated among the respective funds on the basis of relative net assets or other appropriate methods. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code, including distributing substantially all of its taxable income and realized gains. As a result, no provision for U.S. Federal income taxes is required. The Fund files a U.S. federal tax return, in addition to state and local tax returns as required. The Fund's federal income tax returns are subject to examination by the Internal Revenue Service (IRS) for a period of three fiscal years after they are filed. State and local tax returns may be subject to examination for an additional fiscal year depending on the jurisdiction. 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. The Fund is subject to a tax imposed on capital gains by certain countries in which it invests. An estimated deferred tax liability for net unrealized appreciation on the applicable securities is included in Other payables and accrued expenses on the Statement of Assets & Liabilities.
Distributions are declared and recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Capital accounts are not adjusted for temporary book-tax differences which will reverse in a subsequent period.
Book-tax differences are primarily due to futures contracts, foreign currency transactions, market discount, partnerships, capital loss carryforwards and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $97,688,604 |
Gross unrealized depreciation | (11,869,122) |
Net unrealized appreciation (depreciation) | $85,819,482 |
Tax cost | $405,604,031 |
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.
4. Derivative Instruments.
Risk Exposures and the Use of Derivative Instruments. The Fund's investment objective allows the Fund to enter into various types of derivative contracts, including futures contracts. Derivatives are investments whose value is primarily derived from underlying assets, indices or reference rates and may be transacted on an exchange or over-the-counter (OTC). Derivatives may involve a future commitment to buy or sell a specified asset based on specified terms, to exchange future cash flows at periodic intervals based on a notional principal amount, or for one party to make one or more payments upon the occurrence of specified events in exchange for periodic payments from the other party.
The Fund used derivatives to increase returns and to manage exposure to certain risks as defined below. The success of any strategy involving derivatives depends on analysis of numerous economic factors, and if the strategies for investment do not work as intended, the Fund may not achieve its objectives.
The Fund's use of derivatives increased or decreased its exposure to the following risk:
Equity Risk | Equity risk relates to the fluctuations in the value of financial instruments as a result of changes in market prices (other than those arising from interest rate risk or foreign exchange risk), whether caused by factors specific to an individual investment, its issuer, or all factors affecting all instruments traded in a market or market segment. |
The Fund is also exposed to additional risks from investing in derivatives, such as liquidity risk and counterparty credit risk. Liquidity risk is the risk that the Fund will be unable to close out the derivative in the open market in a timely manner. Counterparty credit risk is the risk that the counterparty will not be able to fulfill its obligation to the Fund. Counterparty credit risk related to exchange-traded futures contracts may be mitigated by the protection provided by the exchange on which they trade.
Investing in derivatives may involve greater risks than investing in the underlying assets directly and, to varying degrees, may involve risk of loss in excess of any initial investment and collateral received and amounts recognized in the Statement of Assets and Liabilities. In addition, there may be the risk that the change in value of the derivative contract does not correspond to the change in value of the underlying instrument.
Futures Contracts. A futures contract is an agreement between two parties to buy or sell a specified underlying instrument for a fixed price at a specified future date. The Fund used futures contracts to manage its exposure to the stock market.
Upon entering into a futures contract, a fund is required to deposit either cash or securities (initial margin) with a clearing broker in an amount equal to a certain percentage of the face value of the contract. Futures contracts are marked-to-market daily and subsequent daily payments (variation margin) are made or received by a fund depending on the daily fluctuations in the value of the futures contracts and are recorded as unrealized appreciation or (depreciation). This receivable and/or payable, if any, is included in daily variation margin on futures contracts in the Statement of Assets and Liabilities. Realized gain or (loss) is recorded upon the expiration or closing of a futures contract. The net realized gain (loss) and change in net unrealized appreciation (depreciation) on futures contracts during the period is presented in the Statement of Operations.
Any open futures contracts at period end are presented in the Schedule of Investments under the caption "Futures Contracts". The notional amount at value reflects each contract's exposure to the underlying instrument or index at period end. Securities deposited to meet initial margin requirements are identified in the Schedule of Investments.
5. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $162,389,572 and $154,234,732, respectively.
6. 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 does not pay a management fee. Under the management contract, the investment adviser or an affiliate pays all ordinary operating expenses of the Fund, except custody fees, fees and expenses of the independent Trustees, and certain miscellaneous expenses such as proxy and shareholder meeting expenses.
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 $7,395 for the period.
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
7. 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 $668 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
8. 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. The Fund or borrower may terminate the loan at any time, and 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 $45,408. During the period, there were no securities loaned to FCM.
9. 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.
At the end of the period, mutual funds managed by the investment adviser or its affiliates were the owners of record of all of the outstanding shares of the Fund.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, and (2) ongoing costs, including other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
Actual Expenses
The first line of the accompanying table provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund's actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Actual | .01% | $1,000.00 | $1,024.60 | $.05 |
Hypothetical-C | $1,000.00 | $1,024.88 | $.05 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
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Fidelity Advisor® Small Cap Fund Semi-Annual Report May 31, 2018 |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-877-208-0098 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. © 2018 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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Stamps.com, Inc. | 3.5 |
Conduent, Inc. | 3.5 |
SYNNEX Corp. | 2.6 |
CDW Corp. | 2.4 |
Hilton Grand Vacations, Inc. | 2.2 |
Asgn, Inc. | 2.1 |
Marriott Vacations Worldwide Corp. | 2.1 |
Spectrum Brands Holdings, Inc. | 2.1 |
LivaNova PLC | 2.0 |
Charles River Laboratories International, Inc. | 1.9 |
24.4 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Information Technology | 22.3 |
Industrials | 19.6 |
Health Care | 14.7 |
Financials | 14.3 |
Consumer Discretionary | 13.4 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018* | ||
Stocks and Equity Futures | 99.6% | |
Short-Term Investments and Net Other Assets (Liabilities) | 0.4% |
* Foreign investments - 17.2%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 99.3% | |||
Shares | Value (000s) | ||
CONSUMER DISCRETIONARY - 13.4% | |||
Auto Components - 1.7% | |||
Dorman Products, Inc. (a) | 650,000 | $41,938 | |
Diversified Consumer Services - 1.5% | |||
Grand Canyon Education, Inc. (a) | 330,000 | 36,663 | |
Hotels, Restaurants & Leisure - 4.3% | |||
Hilton Grand Vacations, Inc. (a) | 1,380,413 | 54,885 | |
Marriott Vacations Worldwide Corp. | 430,000 | 51,703 | |
106,588 | |||
Household Durables - 2.2% | |||
NVR, Inc. (a) | 4,000 | 11,962 | |
TopBuild Corp. (a) | 500,000 | 41,975 | |
53,937 | |||
Leisure Products - 1.8% | |||
Polaris Industries, Inc. | 400,000 | 44,760 | |
Media - 0.5% | |||
Criteo SA sponsored ADR (a) | 550,000 | 13,283 | |
Textiles, Apparel & Luxury Goods - 1.4% | |||
G-III Apparel Group Ltd. (a) | 800,000 | 33,520 | |
TOTAL CONSUMER DISCRETIONARY | 330,689 | ||
CONSUMER STAPLES - 5.5% | |||
Food & Staples Retailing - 1.2% | |||
Sundrug Co. Ltd. | 320,000 | 14,561 | |
Tsuruha Holdings, Inc. | 110,000 | 16,371 | |
30,932 | |||
Food Products - 2.2% | |||
Nomad Foods Ltd. (a) | 2,400,000 | 41,760 | |
TreeHouse Foods, Inc. (a) | 250,000 | 11,978 | |
53,738 | |||
Household Products - 2.1% | |||
Spectrum Brands Holdings, Inc. (b) | 643,500 | 51,281 | |
TOTAL CONSUMER STAPLES | 135,951 | ||
ENERGY - 2.5% | |||
Energy Equipment & Services - 0.7% | |||
Hess Midstream Partners LP | 820,848 | 17,205 | |
Oil, Gas & Consumable Fuels - 1.8% | |||
Alliance Resource Partners LP | 700,000 | 13,475 | |
Noble Midstream Partners LP | 575,833 | 29,696 | |
43,171 | |||
TOTAL ENERGY | 60,376 | ||
FINANCIALS - 14.3% | |||
Banks - 8.5% | |||
Allegiance Bancshares, Inc. (a)(c) | 965,584 | 42,051 | |
Bank of the Ozarks, Inc. | 610,000 | 28,999 | |
ConnectOne Bancorp, Inc. | 1,400,000 | 36,750 | |
German American Bancorp, Inc. | 379,406 | 13,685 | |
Home Bancshares, Inc. | 1,750,000 | 40,285 | |
ServisFirst Bancshares, Inc. | 550,000 | 23,106 | |
Signature Bank (a) | 200,000 | 25,498 | |
Skandiabanken ASA (d) | 6,678 | 65 | |
210,439 | |||
Capital Markets - 1.8% | |||
LPL Financial | 650,000 | 44,701 | |
Insurance - 2.1% | |||
Enstar Group Ltd. (a) | 130,000 | 26,423 | |
Hastings Group Holdings PLC (d) | 7,542,733 | 25,709 | |
52,132 | |||
Thrifts & Mortgage Finance - 1.9% | |||
Essent Group Ltd. (a) | 1,318,423 | 45,222 | |
TOTAL FINANCIALS | 352,494 | ||
HEALTH CARE - 14.7% | |||
Biotechnology - 0.7% | |||
Swedish Orphan Biovitrum AB (a) | 800,000 | 16,274 | |
Health Care Equipment & Supplies - 2.0% | |||
Interojo Co. Ltd. | 34,635 | 1,085 | |
LivaNova PLC (a) | 529,000 | 49,752 | |
50,837 | |||
Health Care Providers & Services - 6.5% | |||
Addus HomeCare Corp. (a) | 340,585 | 19,498 | |
AMN Healthcare Services, Inc. (a) | 815,282 | 46,063 | |
Amplifon SpA | 508,591 | 9,168 | |
HealthSouth Corp. | 650,000 | 42,088 | |
LHC Group, Inc. (a) | 245,577 | 18,902 | |
Premier, Inc. (a) | 750,300 | 24,475 | |
160,194 | |||
Life Sciences Tools & Services - 4.0% | |||
Charles River Laboratories International, Inc. (a) | 450,000 | 48,384 | |
ICON PLC (a) | 300,000 | 38,694 | |
PRA Health Sciences, Inc. (a) | 150,000 | 12,735 | |
99,813 | |||
Pharmaceuticals - 1.5% | |||
Huons Co. Ltd. | 43,047 | 3,854 | |
Korea United Pharm, Inc. | 287,656 | 6,844 | |
Supernus Pharmaceuticals, Inc. (a) | 450,000 | 25,358 | |
36,056 | |||
TOTAL HEALTH CARE | 363,174 | ||
INDUSTRIALS - 19.6% | |||
Aerospace & Defense - 1.0% | |||
Wesco Aircraft Holdings, Inc. (a) | 2,103,100 | 24,186 | |
Building Products - 3.1% | |||
Apogee Enterprises, Inc. | 250,000 | 10,913 | |
Gibraltar Industries, Inc. (a) | 500,000 | 19,825 | |
GMS, Inc. (a) | 950,000 | 28,453 | |
Patrick Industries, Inc. (a) | 300,000 | 18,180 | |
77,371 | |||
Commercial Services & Supplies - 0.4% | |||
Coor Service Management Holding AB | 1,535,502 | 10,969 | |
Construction & Engineering - 1.2% | |||
Argan, Inc. | 291,109 | 11,266 | |
EMCOR Group, Inc. | 241,600 | 18,345 | |
29,611 | |||
Electrical Equipment - 1.2% | |||
Generac Holdings, Inc. (a) | 600,000 | 30,054 | |
Industrial Conglomerates - 0.5% | |||
ITT, Inc. | 230,577 | 11,902 | |
Machinery - 5.4% | |||
AGCO Corp. | 260,000 | 16,536 | |
Crane Co. | 320,100 | 26,604 | |
Gardner Denver Holdings, Inc. | 821,600 | 27,006 | |
Hy-Lok Corp. | 468,708 | 13,039 | |
Oshkosh Corp. | 400,000 | 29,100 | |
SPX Flow, Inc. (a) | 500,000 | 21,785 | |
134,070 | |||
Professional Services - 3.5% | |||
Asgn, Inc. (a) | 680,000 | 52,360 | |
ICF International, Inc. | 484,379 | 34,221 | |
86,581 | |||
Trading Companies & Distributors - 3.3% | |||
MSC Industrial Direct Co., Inc. Class A | 400,000 | 36,732 | |
Univar, Inc. (a) | 1,600,000 | 43,632 | |
80,364 | |||
TOTAL INDUSTRIALS | 485,108 | ||
INFORMATION TECHNOLOGY - 22.3% | |||
Communications Equipment - 0.5% | |||
Finisar Corp. (a) | 800,000 | 12,968 | |
Electronic Equipment & Components - 6.4% | |||
CDW Corp. | 750,000 | 60,038 | |
ePlus, Inc. (a) | 369,489 | 33,605 | |
SYNNEX Corp. | 600,000 | 64,092 | |
157,735 | |||
Internet Software & Services - 6.5% | |||
Care.com, Inc. (a) | 213,317 | 4,424 | |
j2 Global, Inc. | 565,700 | 47,768 | |
LogMeIn, Inc. | 200,000 | 21,580 | |
Stamps.com, Inc. (a) | 350,309 | 87,850 | |
161,622 | |||
IT Services - 7.9% | |||
Booz Allen Hamilton Holding Corp. Class A | 850,000 | 38,327 | |
Conduent, Inc. (a) | 4,450,000 | 85,663 | |
Genpact Ltd. | 1,200,000 | 36,036 | |
Syntel, Inc. (a) | 1,100,000 | 34,650 | |
194,676 | |||
Semiconductors & Semiconductor Equipment - 0.3% | |||
Versum Materials, Inc. | 181,600 | 7,259 | |
Software - 0.7% | |||
Zensar Technologies Ltd. | 868,049 | 16,787 | |
TOTAL INFORMATION TECHNOLOGY | 551,047 | ||
MATERIALS - 2.7% | |||
Chemicals - 1.5% | |||
Ferro Corp. (a) | 500,000 | 10,230 | |
Platform Specialty Products Corp. (a) | 2,200,000 | 26,532 | |
36,762 | |||
Containers & Packaging - 0.7% | |||
Berry Global Group, Inc. (a) | 370,000 | 17,867 | |
Paper & Forest Products - 0.5% | |||
Neenah, Inc. | 161,400 | 13,098 | |
TOTAL MATERIALS | 67,727 | ||
REAL ESTATE - 2.6% | |||
Real Estate Management & Development - 2.6% | |||
CBRE Group, Inc. (a) | 900,000 | 41,571 | |
Daito Trust Construction Co. Ltd. | 145,000 | 23,686 | |
65,257 | |||
UTILITIES - 1.7% | |||
Gas Utilities - 1.1% | |||
Amerigas Partners LP | 230,000 | 9,515 | |
Star Gas Partners LP | 1,950,000 | 18,194 | |
27,709 | |||
Multi-Utilities - 0.6% | |||
Telecom Plus PLC | 1,000,000 | 13,772 | |
TOTAL UTILITIES | 41,481 | ||
TOTAL COMMON STOCKS | |||
(Cost $1,946,432) | 2,453,304 | ||
Principal Amount (000s) | Value (000s) | ||
U.S. Treasury Obligations - 0.1% | |||
U.S. Treasury Bills, yield at date of purchase 1.69% to 1.8% 6/14/18 to 7/26/18 (e) | |||
(Cost $2,565) | 2,570 | 2,565 | |
Shares | Value (000s) | ||
Money Market Funds - 2.0% | |||
Fidelity Cash Central Fund, 1.76% (f) | 18,931,825 | $18,936 | |
Fidelity Securities Lending Cash Central Fund 1.76% (f)(g) | 31,223,012 | 31,226 | |
TOTAL MONEY MARKET FUNDS | |||
(Cost $50,162) | 50,162 | ||
TOTAL INVESTMENT IN SECURITIES - 101.4% | |||
(Cost $1,999,159) | 2,506,031 | ||
NET OTHER ASSETS (LIABILITIES) - (1.4)% | (35,060) | ||
NET ASSETS - 100% | $2,470,971 |
Futures Contracts | |||||
Number of contracts | Expiration Date | Notional Amount (000s) | Value (000s) | Unrealized Appreciation/(Depreciation) (000s) | |
Purchased | |||||
Equity Index Contracts | |||||
CME E-mini Russell 2000 Index Contracts (United States) | 82 | June 2018 | $6,700 | $137 | $137 |
The notional amount of futures purchased as a percentage of Net Assets is 0.3%
For the period, the average monthly underlying face amount at value for futures contracts in the aggregate was $55,940,683.
Legend
(a) Non-income producing
(b) Security or a portion of the security is on loan at period end.
(c) Affiliated company
(d) 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 $25,774,000 or 1.0% of net assets.
(e) Security or a portion of the security was pledged to cover margin requirements for futures contracts. At period end, the value of securities pledged amounted to $709,000.
(f) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements are available on the SEC's website or upon request.
(g) Investment made with cash collateral received from securities on loan.
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 |
(Amounts in thousands) | |
Fidelity Cash Central Fund | $483 |
Fidelity Securities Lending Cash Central Fund | 370 |
Total | $853 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Other Affiliated Issuers
An affiliated company is a company in which the Fund has ownership of at least 5% of the voting securities. Fiscal year to date transactions with companies which are or were affiliates are as follows:
Affiliate (Amounts in thousands) | Value, beginning of period | Purchases | Sales Proceeds | Dividend Income | Realized Gain (loss) | Change in Unrealized appreciation (depreciation) | Value, end of period |
Allegiance Bancshares, Inc. | $40,010 | $-- | $1,649 | $-- | $127 | $3,563 | $42,051 |
Hess Midstream Partners LP | 30,037 | -- | 12,403 | -- | (2,721) | 3,021 | -- |
Total | $70,047 | $-- | $14,052 | $-- | $(2,594) | $6,584 | $42,051 |
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
(Amounts in thousands) | ||||
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $330,689 | $330,689 | $-- | $-- |
Consumer Staples | 135,951 | 135,951 | -- | -- |
Energy | 60,376 | 60,376 | -- | -- |
Financials | 352,494 | 352,494 | -- | -- |
Health Care | 363,174 | 363,174 | -- | -- |
Industrials | 485,108 | 485,108 | -- | -- |
Information Technology | 551,047 | 551,047 | -- | -- |
Materials | 67,727 | 67,727 | -- | -- |
Real Estate | 65,257 | 65,257 | -- | -- |
Utilities | 41,481 | 41,481 | -- | -- |
U.S. Government and Government Agency Obligations | 2,565 | -- | 2,565 | -- |
Money Market Funds | 50,162 | 50,162 | -- | -- |
Total Investments in Securities: | $2,506,031 | $2,503,466 | $2,565 | $-- |
Derivative Instruments: | ||||
Assets | ||||
Futures Contracts | $137 | $137 | $-- | $-- |
Total Assets | $137 | $137 | $-- | $-- |
Total Derivative Instruments: | $137 | $137 | $-- | $-- |
The following is a summary of transfers between Level 1 and Level 2 for the period ended May 31, 2018. 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 (000s) |
Level 1 to Level 2 | $0 |
Level 2 to Level 1 | $56,502 |
Value of Derivative Instruments
The following table is a summary of the Fund's value of derivative instruments by primary risk exposure as of May 31, 2018. For additional information on derivative instruments, please refer to the Derivative Instruments section in the accompanying Notes to Financial Statements.
Primary Risk Exposure / Derivative Type | Value | |
Asset | Liability | |
(Amounts in thousands) | ||
Equity Risk | ||
Futures Contracts(a) | $137 | $0 |
Total Equity Risk | 137 | 0 |
Total Value of Derivatives | $137 | $0 |
(a) Reflects gross cumulative appreciation (depreciation) on futures contracts as presented in the Schedule of Investments. In the Statement of Assets and Liabilities, the period end daily variation margin is included in receivable or payable for daily variation margin on futures contracts, and the net cumulative appreciation (depreciation) is included in net unrealized appreciation (depreciation).
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 82.8% |
Bermuda | 4.5% |
United Kingdom | 3.6% |
Japan | 2.1% |
British Virgin Islands | 1.7% |
Ireland | 1.6% |
Sweden | 1.1% |
Korea (South) | 1.0% |
Others (Individually Less Than 1%) | 1.6% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | May 31, 2018 (Unaudited) | |
Assets | ||
Investment in securities, at value (including securities loaned of $29,182) — See accompanying schedule: Unaffiliated issuers (cost $1,917,213) | $2,413,818 | |
Fidelity Central Funds (cost $50,162) | 50,162 | |
Other affiliated issuers (cost $31,784) | 42,051 | |
Total Investment in Securities (cost $1,999,159) | $2,506,031 | |
Foreign currency held at value (cost $852) | 852 | |
Receivable for investments sold | 21,039 | |
Receivable for fund shares sold | 2,105 | |
Dividends receivable | 2,310 | |
Distributions receivable from Fidelity Central Funds | 85 | |
Prepaid expenses | 1 | |
Other receivables | 109 | |
Total assets | 2,532,532 | |
Liabilities | ||
Payable for investments purchased | $20,722 | |
Payable for fund shares redeemed | 7,371 | |
Accrued management fee | 968 | |
Distribution and service plan fees payable | 631 | |
Payable for daily variation margin on futures contracts | 150 | |
Other affiliated payables | 460 | |
Other payables and accrued expenses | 47 | |
Collateral on securities loaned | 31,212 | |
Total liabilities | 61,561 | |
Net Assets | $2,470,971 | |
Net Assets consist of: | ||
Paid in capital | $1,880,112 | |
Distributions in excess of net investment income | (6,351) | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 90,203 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 507,007 | |
Net Assets | $2,470,971 | |
Calculation of Maximum Offering Price | ||
Class A: | ||
Net Asset Value and redemption price per share ($741,139 ÷ 28,252.6 shares) | $26.23 | |
Maximum offering price per share (100/94.25 of $26.23) | $27.83 | |
Class M: | ||
Net Asset Value and redemption price per share ($677,006 ÷ 27,921.0 shares) | $24.25 | |
Maximum offering price per share (100/96.50 of $24.25) | $25.13 | |
Class C: | ||
Net Asset Value and offering price per share ($234,894 ÷ 11,910.4 shares)(a) | $19.72 | |
Class I: | ||
Net Asset Value, offering price and redemption price per share ($734,579 ÷ 25,504.9 shares) | $28.80 | |
Class Z: | ||
Net Asset Value, offering price and redemption price per share ($83,353 ÷ 2,894.5 shares) | $28.80 |
(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.
Statement of Operations
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | |
Investment Income | ||
Dividends | $11,287 | |
Interest | 31 | |
Income from Fidelity Central Funds | 853 | |
Total income | 12,171 | |
Expenses | ||
Management fee | ||
Basic fee | $8,753 | |
Performance adjustment | (2,736) | |
Transfer agent fees | 2,441 | |
Distribution and service plan fees | 3,959 | |
Accounting and security lending fees | 384 | |
Custodian fees and expenses | 34 | |
Independent trustees' fees and expenses | 6 | |
Registration fees | 54 | |
Audit | 30 | |
Legal | 3 | |
Interest | 6 | |
Miscellaneous | 11 | |
Total expenses before reductions | 12,945 | |
Expense reductions | (149) | |
Total expenses after reductions | 12,796 | |
Net investment income (loss) | (625) | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 96,877 | |
Fidelity Central Funds | (1) | |
Other affiliated issuers | (2,594) | |
Foreign currency transactions | (4) | |
Futures contracts | (6,102) | |
Total net realized gain (loss) | 88,176 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers | (48,704) | |
Other affiliated issuers | 6,584 | |
Assets and liabilities in foreign currencies | (12) | |
Futures contracts | (3,321) | |
Total change in net unrealized appreciation (depreciation) | (45,453) | |
Net gain (loss) | 42,723 | |
Net increase (decrease) in net assets resulting from operations | $42,098 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $(625) | $886 |
Net realized gain (loss) | 88,176 | 381,285 |
Change in net unrealized appreciation (depreciation) | (45,453) | 19,433 |
Net increase (decrease) in net assets resulting from operations | 42,098 | 401,604 |
Distributions to shareholders from net investment income | – | (7,493) |
Distributions to shareholders from net realized gain | (325,472) | (31,569) |
Total distributions | (325,472) | (39,062) |
Share transactions - net increase (decrease) | 126,909 | (393,358) |
Total increase (decrease) in net assets | (156,465) | (30,816) |
Net Assets | ||
Beginning of period | 2,627,436 | 2,658,252 |
End of period | $2,470,971 | $2,627,436 |
Other Information | ||
Distributions in excess of net investment income end of period | $(6,351) | $(5,726) |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Small Cap Fund Class A
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $29.35 | $25.52 | $27.56 | $29.85 | $30.96 | $22.45 |
Income from Investment Operations | ||||||
Net investment income (loss)A | –B | .03 | .12C | .02D | .04 | .12E |
Net realized and unrealized gain (loss) | .45 | 4.18 | .05 | 1.10 | 2.36 | 8.45 |
Total from investment operations | .45 | 4.21 | .17 | 1.12 | 2.40 | 8.57 |
Distributions from net investment income | – | (.08) | – | – | (.01) | (.05) |
Distributions from net realized gain | (3.57) | (.30) | (2.21) | (3.41) | (3.50) | (.01) |
Total distributions | (3.57) | (.38) | (2.21) | (3.41) | (3.51) | (.06) |
Net asset value, end of period | $26.23 | $29.35 | $25.52 | $27.56 | $29.85 | $30.96 |
Total ReturnF,G,H | 1.68% | 16.68% | 1.31% | 4.17% | 9.06% | 38.30% |
Ratios to Average Net AssetsI,J | ||||||
Expenses before reductions | .97%K | 1.05% | 1.32% | 1.26% | .98% | 1.01% |
Expenses net of fee waivers, if any | .97%K | 1.05% | 1.32% | 1.26% | .98% | 1.01% |
Expenses net of all reductions | .96%K | 1.04% | 1.31% | 1.25% | .97% | 1.00% |
Net investment income (loss) | - %K,L | .10% | .52%C | .07%D | .14% | .46%E |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $741 | $805 | $932 | $1,047 | $1,097 | $1,263 |
Portfolio turnover rateM | 68%K | 84% | 81% | 33% | 39% | 34% |
A Calculated based on average shares outstanding during the period.
B Amount represents less than $.005 per share.
C Net Investment income per share reflects a large, non-recurring dividend which amounted to $.11 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .07%.
D Net Investment income per share reflects a large, non-recurring dividend which amounted to $.06 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been (.16)%.
E Net Investment income per share reflects a large, non-recurring dividend which amounted to $.04 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .29%.
F Total returns for periods of less than one year are not annualized.
G Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
H Total returns do not include the effect of the sales charges.
I 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.
J 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.
K Annualized
L Amount represents less than .005%.
M Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Small Cap Fund Class M
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $27.43 | $23.88 | $25.99 | $28.40 | $29.69 | $21.52 |
Income from Investment Operations | ||||||
Net investment income (loss)A | (.03) | (.03) | .07B | (.04)C | (.02) | .06D |
Net realized and unrealized gain (loss) | .42 | 3.91 | .03 | 1.04 | 2.23 | 8.13 |
Total from investment operations | .39 | 3.88 | .10 | 1.00 | 2.21 | 8.19 |
Distributions from net investment income | – | (.03) | – | – | – | (.01) |
Distributions from net realized gain | (3.57) | (.30) | (2.21) | (3.41) | (3.50) | (.01) |
Total distributions | (3.57) | (.33) | (2.21) | (3.41) | (3.50) | (.02) |
Net asset value, end of period | $24.25 | $27.43 | $23.88 | $25.99 | $28.40 | $29.69 |
Total ReturnE,F,G | 1.57% | 16.41% | 1.10% | 3.93% | 8.79% | 38.11% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | 1.20%J | 1.28% | 1.54% | 1.49% | 1.20% | 1.22% |
Expenses net of fee waivers, if any | 1.20%J | 1.28% | 1.54% | 1.49% | 1.20% | 1.22% |
Expenses net of all reductions | 1.19%J | 1.27% | 1.54% | 1.49% | 1.20% | 1.21% |
Net investment income (loss) | (.23)%J | (.13)% | .29%B | (.16)%C | (.08)% | .25%D |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $677 | $734 | $756 | $888 | $958 | $1,113 |
Portfolio turnover rateK | 68%J | 84% | 81% | 33% | 39% | 34% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.10 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been (.16)%.
C Net Investment income per share reflects a large, non-recurring dividend which amounted to $.06 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been (.39)%.
D Net Investment income per share reflects a large, non-recurring dividend which amounted to $.04 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .09%.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the sales charges.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Small Cap Fund Class C
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $23.02 | $20.17 | $22.44 | $25.10 | $26.77 | $19.50 |
Income from Investment Operations | ||||||
Net investment income (loss)A | (.08) | (.14) | (.05)B | (.16)C | (.15) | (.07)D |
Net realized and unrealized gain (loss) | .35 | 3.29 | (.01) | .91 | 1.98 | 7.34 |
Total from investment operations | .27 | 3.15 | (.06) | .75 | 1.83 | 7.27 |
Distributions from net realized gain | (3.57) | (.30) | (2.21) | (3.41) | (3.50) | – |
Total distributions | (3.57) | (.30) | (2.21) | (3.41) | (3.50) | – |
Net asset value, end of period | $19.72 | $23.02 | $20.17 | $22.44 | $25.10 | $26.77 |
Total ReturnE,F,G | 1.32% | 15.80% | .50% | 3.38% | 8.26% | 37.28% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | 1.73%J | 1.81% | 2.08% | 2.02% | 1.73% | 1.76% |
Expenses net of fee waivers, if any | 1.73%J | 1.81% | 2.08% | 2.02% | 1.73% | 1.76% |
Expenses net of all reductions | 1.72%J | 1.80% | 2.07% | 2.01% | 1.73% | 1.75% |
Net investment income (loss) | (.76)%J | (.66)% | (.24)%B | (.69)%C | (.62)% | (.29)%D |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $235 | $273 | $274 | $318 | $317 | $334 |
Portfolio turnover rateK | 68%J | 84% | 81% | 33% | 39% | 34% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.08 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been (.69)%.
C Net Investment income per share reflects a large, non-recurring dividend which amounted to $.05 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been (.91)%.
D Net Investment income per share reflects a large, non-recurring dividend which amounted to $.04 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been (.45)%.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the contingent deferred sales charge.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Small Cap Fund Class I
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $31.84 | $27.65 | $29.59 | $31.80 | $32.73 | $23.73 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .04 | .11 | .20B | .10C | .13 | .21D |
Net realized and unrealized gain (loss) | .49 | 4.54 | .07 | 1.18 | 2.50 | 8.94 |
Total from investment operations | .53 | 4.65 | .27 | 1.28 | 2.63 | 9.15 |
Distributions from net investment income | – | (.15) | – | (.08) | (.06) | (.13) |
Distributions from net realized gain | (3.57) | (.30) | (2.21) | (3.41) | (3.50) | (.01) |
Total distributions | (3.57) | (.46)E | (2.21) | (3.49) | (3.56) | (.15)F |
Net asset value, end of period | $28.80 | $31.84 | $27.65 | $29.59 | $31.80 | $32.73 |
Total ReturnG,H | 1.82% | 17.01% | 1.58% | 4.46% | 9.33% | 38.79% |
Ratios to Average Net AssetsI,J | ||||||
Expenses before reductions | .71%K | .78% | 1.05% | .99% | .70% | .71% |
Expenses net of fee waivers, if any | .71%K | .78% | 1.04% | .99% | .70% | .71% |
Expenses net of all reductions | .70%K | .77% | 1.04% | .99% | .70% | .70% |
Net investment income (loss) | .26%K | .37% | .79%B | .34%C | .41% | .76%D |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $735 | $758 | $652 | $704 | $627 | $718 |
Portfolio turnover rateL | 68%K | 84% | 81% | 33% | 39% | 34% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.12 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .34%.
C Net Investment income per share reflects a large, non-recurring dividend which amounted to $.07 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .11%.
D Net Investment income per share reflects a large, non-recurring dividend which amounted to $.05 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .59%.
E Total distributions of $.46 per share is comprised of distributions from net investment income of $.152 and distributions from net realized gain of $.304 per share.
F Total distributions of $.15 per share is comprised of distributions from net investment income of $.133 and distributions from net realized gain of $.014 per share.
G Total returns for periods of less than one year are not annualized.
H Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
I 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.
J 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.
K Annualized
L Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Small Cap Fund Class Z
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013A | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $31.81 | $27.63 | $29.53 | $31.76 | $32.74 | $29.79 |
Income from Investment Operations | ||||||
Net investment income (loss)B | .06 | .15 | .24C | .14D | .17 | .02E |
Net realized and unrealized gain (loss) | .50 | 4.53 | .07 | 1.17 | 2.51 | 2.93 |
Total from investment operations | .56 | 4.68 | .31 | 1.31 | 2.68 | 2.95 |
Distributions from net investment income | – | (.20) | – | (.14) | (.16) | – |
Distributions from net realized gain | (3.57) | (.30) | (2.21) | (3.41) | (3.50) | – |
Total distributions | (3.57) | (.50) | (2.21) | (3.54)F | (3.66) | – |
Net asset value, end of period | $28.80 | $31.81 | $27.63 | $29.53 | $31.76 | $32.74 |
Total ReturnG,H | 1.92% | 17.17% | 1.73% | 4.59% | 9.52% | 9.90% |
Ratios to Average Net AssetsI,J | ||||||
Expenses before reductions | .56%K | .63% | .89% | .84% | .55% | .56%K |
Expenses net of fee waivers, if any | .56%K | .63% | .89% | .84% | .55% | .56%K |
Expenses net of all reductions | .55%K | .62% | .89% | .84% | .54% | .55%K |
Net investment income (loss) | .41%K | .51% | .94%C | .48%D | .57% | .26%E,K |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $83 | $57 | $44 | $41 | $20 | $5 |
Portfolio turnover rateL | 68%K | 84% | 81% | 33% | 39% | 34% |
A For the period August 13, 2013 (commencement of sale of shares) to November 30, 2013.
B Calculated based on average shares outstanding during the period.
C Net Investment income per share reflects a large, non-recurring dividend which amounted to $.12 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .50%.
D Net Investment income per share reflects a large, non-recurring dividend which amounted to $.07 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .26%.
E Net Investment income per share reflects a large, non-recurring dividend which amounted to $.01 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .09%.
F Total distributions of $3.54 per share is comprised of distributions from net investment income of $.136 and distributions from net realized gain of $3.406 per share.
G Total returns for periods of less than one year are not annualized.
H Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
I 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.
J 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. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. 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.
K Annualized
L Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
(Amounts in thousands except percentages)
1. Organization.
Fidelity Advisor Small Cap Fund (the Fund) is a fund of Fidelity Advisor Series I (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 M, Class C, Class I and Class Z shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events, changes in interest rates and credit quality. The frequency with which these procedures are used cannot be predicted and they may be utilized to a significant extent. The Committee oversees the Fund's valuation policies and procedures and reports to the Board on the Committee's activities and fair value determinations. The Board monitors the appropriateness of the procedures used in valuing the Fund's investments and ratifies the fair value determinations of the Committee.
The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels as shown below:
- Level 1 – quoted prices in active markets for identical investments
- Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, etc.)
- Level 3 – unobservable inputs (including the Fund's own assumptions based on the best information available)
Valuation techniques used to value the Fund's investments by major category are as follows:
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. 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. 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. 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.
Futures contracts are valued at the settlement price established each day by the board of trade or exchange on which they are traded and are categorized as Level 1 in the hierarchy. Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of May 31, 2018, 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable. 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.
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 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 futures contracts, market discount, foreign currency transactions, partnerships and losses deferred due to wash sales and excise tax regulations.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $567,991 |
Gross unrealized depreciation | (60,583) |
Net unrealized appreciation (depreciation) | $507,408 |
Tax cost | $1,998,760 |
The Fund elected to defer to its next fiscal year approximately $2,696 of ordinary losses recognized during the period January 1, 2017 to November 30, 2017.
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.
4. Derivative Instruments.
Risk Exposures and the Use of Derivative Instruments. The Fund's investment objective allows the Fund to enter into various types of derivative contracts, including futures contracts. Derivatives are investments whose value is primarily derived from underlying assets, indices or reference rates and may be transacted on an exchange or over-the-counter (OTC). Derivatives may involve a future commitment to buy or sell a specified asset based on specified terms, to exchange future cash flows at periodic intervals based on a notional principal amount, or for one party to make one or more payments upon the occurrence of specified events in exchange for periodic payments from the other party.
The Fund used derivatives to increase returns and to manage exposure to certain risks as defined below. The success of any strategy involving derivatives depends on analysis of numerous economic factors, and if the strategies for investment do not work as intended, the Fund may not achieve its objectives.
The Fund's use of derivatives increased or decreased its exposure to the following risk:
Equity Risk | Equity risk relates to the fluctuations in the value of financial instruments as a result of changes in market prices (other than those arising from interest rate risk or foreign exchange risk), whether caused by factors specific to an individual investment, its issuer, or all factors affecting all instruments traded in a market or market segment. |
The Fund is also exposed to additional risks from investing in derivatives, such as liquidity risk and counterparty credit risk. Liquidity risk is the risk that the Fund will be unable to close out the derivative in the open market in a timely manner. Counterparty credit risk is the risk that the counterparty will not be able to fulfill its obligation to the Fund. Counterparty credit risk related to exchange-traded futures contracts may be mitigated by the protection provided by the exchange on which they trade.
Investing in derivatives may involve greater risks than investing in the underlying assets directly and, to varying degrees, may involve risk of loss in excess of any initial investment and collateral received and amounts recognized in the Statement of Assets and Liabilities. In addition, there may be the risk that the change in value of the derivative contract does not correspond to the change in value of the underlying instrument.
Futures Contracts. A futures contract is an agreement between two parties to buy or sell a specified underlying instrument for a fixed price at a specified future date. The Fund used futures contracts to manage its exposure to the stock market.
Upon entering into a futures contract, a fund is required to deposit either cash or securities (initial margin) with a clearing broker in an amount equal to a certain percentage of the face value of the contract. Futures contracts are marked-to-market daily and subsequent daily payments (variation margin) are made or received by a fund depending on the daily fluctuations in the value of the futures contracts and are recorded as unrealized appreciation or (depreciation). This receivable and/or payable, if any, is included in daily variation margin on futures contracts in the Statement of Assets and Liabilities. Realized gain or (loss) is recorded upon the expiration or closing of a futures contract. The net realized gain (loss) and change in net unrealized appreciation (depreciation) on futures contracts during the period is presented in the Statement of Operations.
Any open futures contracts at period end are presented in the Schedule of Investments under the caption "Futures Contracts". The notional amount at value reflects each contract's exposure to the underlying instrument or index at period end. Securities deposited to meet initial margin requirements are identified in the Schedule of Investments.
5. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $833,277 and $961,052, respectively.
6. 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 .24% 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. In addition, the management fee is subject to a performance adjustment (up to a maximum of +/- .20% of the Fund's average net assets over a 36 month performance period). The upward or downward adjustment to the management fee is based on the relative investment performance of Class I of the Fund as compared to its benchmark index, the Russell 2000 Index, over the same 36 month performance period. For the reporting period, the total annualized management fee rate, including the performance adjustment, was .47% of the Fund's average net assets. The performance adjustment included in the management fee rate may be higher or lower than the maximum performance adjustment rate due to the difference between the average net assets for the reporting and performance periods.
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 Fee | Service Fee | Total Fees | Retained by FDC | |
Class A | -% | .25% | $956 | $13 |
Class M | .25% | .25% | 1,755 | 12 |
Class C | .75% | .25% | 1,248 | 75 |
$3,959 | $100 |
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 M 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 M and Class C redemptions. The deferred sales charges are 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class M shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained by FDC | |
Class A | $56 |
Class M | 9 |
Class C(a) | 3 |
$68 |
(a) When Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of 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, except for Class Z. FIIOC receives an asset-based fee of Class Z's average net assets. 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-Level Average Net Assets(a) | |
Class A | $777 | .20 |
Class M | 655 | .19 |
Class C | 270 | .22 |
Class I | 721 | .19 |
Class Z | 18 | .05 |
$2,441 |
(a) 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. For the period, the fees were equivalent to an annualized rate of .03%.
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 $41 for the period.
Interfund Lending Program. Pursuant to an Exemptive Order issued by the SEC, the Fund, along with other registered investment companies having management contracts with Fidelity Management & Research Company (FMR) or other affiliated entities of FMR, may participate in an interfund lending program. This program provides an alternative credit facility allowing the funds to borrow from, or lend money to, other participating affiliated funds. At period end, there were no interfund loans outstanding. The Fund's activity in this program during the period for which loans were outstanding was as follows:
Borrower or Lender | Average Loan Balance | Weighted Average Interest Rate | Interest Expense |
Borrower | $15,835 | 1.61% | $6 |
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
7. 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 $4 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
8. 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. The Fund or borrower may terminate the loan at any time, and 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. At period end, there were no security loans outstanding with FCM. 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 $370, including $37 from securities loaned to FCM.
9. 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 $136 for the period.
In addition, during the period the investment adviser reimbursed and/or waived a portion of fund-level operating expenses in the amount of $13.
10. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended May 31, 2018 | Year ended November 30, 2017 | |
From net investment income | ||
Class A | $– | $2,808 |
Class M | – | 819 |
Class I | – | 3,550 |
Class Z | – | 316 |
Total | $– | $7,493 |
From net realized gain | ||
Class A | $97,007 | $10,566 |
Class M | 94,774 | 9,377 |
Class C | 42,142 | 4,017 |
Class I | 84,511 | 7,137 |
Class Z | 7,038 | 472 |
Total | $325,472 | $31,569 |
11. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
Shares | Shares | Dollars | Dollars | |
Six months ended May 31, 2018 | Year ended November 30, 2017 | Six months ended May 31, 2018 | Year ended November 30, 2017 | |
Class A | ||||
Shares sold | 1,487 | 3,169 | $39,239 | $85,030 |
Reinvestment of distributions | 3,654 | 494 | 94,669 | 12,957 |
Shares redeemed | (4,310) | (12,763) | (113,411) | (342,606) |
Net increase (decrease) | 831 | (9,100) | $20,497 | $(244,619) |
Class M | ||||
Shares sold | 1,627 | 3,520 | $39,748 | $88,385 |
Reinvestment of distributions | 3,900 | 405 | 93,479 | 9,963 |
Shares redeemed | (4,361) | (8,820) | (106,274) | (222,262) |
Net increase (decrease) | 1,166 | (4,895) | $26,953 | $(123,914) |
Class C | ||||
Shares sold | 636 | 1,392 | $12,739 | $29,232 |
Reinvestment of distributions | 2,060 | 181 | 40,250 | 3,752 |
Shares redeemed | (2,663) | (3,288) | (53,047) | (69,702) |
Net increase (decrease) | 33 | (1,715) | $(58) | $(36,718) |
Class I | ||||
Shares sold | 3,213 | 9,426 | $92,987 | $274,662 |
Reinvestment of distributions | 2,708 | 331 | 76,927 | 9,396 |
Shares redeemed | (4,236) | (9,521) | (122,549) | (278,258) |
Net increase (decrease) | 1,685 | 236 | $47,365 | $5,800 |
Class Z | ||||
Shares sold | 1,283 | 1,353 | $37,262 | $40,314 |
Reinvestment of distributions | 228 | 28 | 6,486 | 785 |
Shares redeemed | (405) | (1,193) | (11,596) | (35,006) |
Net increase (decrease) | 1,106 | 188 | $32,152 | $6,093 |
12. 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.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
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. 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. 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.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Class A | .97% | |||
Actual | $1,000.00 | $1,016.80 | $4.88 | |
Hypothetical-C | $1,000.00 | $1,020.09 | $4.89 | |
Class M | 1.20% | |||
Actual | $1,000.00 | $1,015.70 | $6.03 | |
Hypothetical-C | $1,000.00 | $1,018.95 | $6.04 | |
Class C | 1.73% | |||
Actual | $1,000.00 | $1,013.20 | $8.68 | |
Hypothetical-C | $1,000.00 | $1,016.31 | $8.70 | |
Class I | .71% | |||
Actual | $1,000.00 | $1,018.20 | $3.57 | |
Hypothetical-C | $1,000.00 | $1,021.39 | $3.58 | |
Class Z | .56% | |||
Actual | $1,000.00 | $1,019.20 | $2.82 | |
Hypothetical-C | $1,000.00 | $1,022.14 | $2.82 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
ASCF-SANN-0718
1.721218.119
Fidelity Advisor® Stock Selector Mid Cap Fund Semi-Annual Report May 31, 2018 |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-877-208-0098 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. © 2018 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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Capital One Financial Corp. | 2.5 |
Huntington Bancshares, Inc. | 2.4 |
AECOM | 1.7 |
OneMain Holdings, Inc. | 1.7 |
Orbital ATK, Inc. | 1.7 |
HollyFrontier Corp. | 1.6 |
Allison Transmission Holdings, Inc. | 1.4 |
Steel Dynamics, Inc. | 1.4 |
First Horizon National Corp. | 1.3 |
Great Plains Energy, Inc. | 1.1 |
16.8 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Financials | 16.0 |
Information Technology | 15.6 |
Industrials | 13.4 |
Consumer Discretionary | 13.2 |
Real Estate | 9.7 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018* | ||
Stocks and Equity Futures | 96.8% | |
Short-Term Investments and Net Other Assets (Liabilities) | 3.2% |
* Foreign investments - 9.6%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 96.7% | |||
Shares | Value (000s) | ||
CONSUMER DISCRETIONARY - 13.2% | |||
Auto Components - 1.0% | |||
Gentex Corp. | 881,000 | $21,170 | |
Diversified Consumer Services - 2.3% | |||
Graham Holdings Co. | 14,900 | 8,655 | |
Grand Canyon Education, Inc. (a) | 89,800 | 9,977 | |
H&R Block, Inc. | 274,800 | 7,543 | |
ServiceMaster Global Holdings, Inc. (a) | 393,856 | 22,505 | |
48,680 | |||
Hotels, Restaurants & Leisure - 0.8% | |||
Papa John's International, Inc. (b) | 212,800 | 10,927 | |
U.S. Foods Holding Corp. (a) | 156,800 | 5,595 | |
16,522 | |||
Household Durables - 0.4% | |||
iRobot Corp. (a)(b) | 138,400 | 8,638 | |
Internet & Direct Marketing Retail - 0.2% | |||
Liberty Interactive Corp. QVC Group Series A (a) | 236,900 | 4,816 | |
Leisure Products - 0.5% | |||
Brunswick Corp. | 169,700 | 10,793 | |
Media - 4.0% | |||
AMC Networks, Inc. Class A (a) | 105,000 | 6,003 | |
Cinemark Holdings, Inc. | 390,200 | 13,177 | |
Discovery Communications, Inc. Class A (a)(b) | 424,400 | 8,951 | |
Entercom Communications Corp. Class A (b) | 607,200 | 4,159 | |
GCI Liberty, Inc. (a) | 154,490 | 6,458 | |
Interpublic Group of Companies, Inc. | 388,600 | 8,782 | |
Liberty Broadband Corp. Class A (a) | 213,200 | 14,559 | |
Liberty Media Corp. Liberty Media Class A (a) | 255,000 | 7,719 | |
Omnicom Group, Inc. | 133,300 | 9,608 | |
The Madison Square Garden Co. (a) | 24,800 | 6,499 | |
85,915 | |||
Multiline Retail - 0.7% | |||
Dollar General Corp. | 111,000 | 9,710 | |
Dollar Tree, Inc. (a) | 77,300 | 6,384 | |
16,094 | |||
Specialty Retail - 2.5% | |||
AutoZone, Inc. (a) | 16,500 | 10,714 | |
Foot Locker, Inc. | 118,200 | 6,379 | |
L Brands, Inc. | 75,000 | 2,543 | |
O'Reilly Automotive, Inc. (a) | 45,400 | 12,231 | |
Ross Stores, Inc. | 83,200 | 6,563 | |
Sally Beauty Holdings, Inc. (a) | 422,400 | 6,395 | |
Williams-Sonoma, Inc. (b) | 171,300 | 9,485 | |
54,310 | |||
Textiles, Apparel & Luxury Goods - 0.8% | |||
Carter's, Inc. | 82,600 | 9,004 | |
PVH Corp. | 48,800 | 7,808 | |
16,812 | |||
TOTAL CONSUMER DISCRETIONARY | 283,750 | ||
CONSUMER STAPLES - 3.0% | |||
Beverages - 0.3% | |||
Coca-Cola European Partners PLC | 98,000 | 3,721 | |
Dr. Pepper Snapple Group, Inc. | 22,500 | 2,684 | |
6,405 | |||
Food Products - 1.4% | |||
Campbell Soup Co. (b) | 108,100 | 3,636 | |
ConAgra Foods, Inc. | 89,400 | 3,313 | |
Ingredion, Inc. | 115,800 | 12,899 | |
Pinnacle Foods, Inc. | 79,500 | 5,083 | |
The J.M. Smucker Co. | 37,800 | 4,064 | |
28,995 | |||
Household Products - 0.7% | |||
Church & Dwight Co., Inc. | 64,000 | 3,005 | |
Energizer Holdings, Inc. | 127,300 | 7,732 | |
Spectrum Brands Holdings, Inc. | 63,400 | 5,052 | |
15,789 | |||
Personal Products - 0.3% | |||
Coty, Inc. Class A | 289,100 | 3,831 | |
Edgewell Personal Care Co. (a) | 59,700 | 2,610 | |
6,441 | |||
Tobacco - 0.3% | |||
Universal Corp. | 96,200 | 6,364 | |
TOTAL CONSUMER STAPLES | 63,994 | ||
ENERGY - 5.3% | |||
Energy Equipment & Services - 1.0% | |||
Dril-Quip, Inc. (a) | 158,500 | 7,616 | |
Ensco PLC Class A (b) | 1,201,500 | 7,810 | |
Nabors Industries Ltd. | 942,800 | 7,043 | |
22,469 | |||
Oil, Gas & Consumable Fuels - 4.3% | |||
Boardwalk Pipeline Partners, LP | 224,300 | 2,375 | |
Cimarex Energy Co. | 64,000 | 5,947 | |
Energen Corp. (a) | 264,800 | 17,964 | |
HollyFrontier Corp. | 439,500 | 33,921 | |
PDC Energy, Inc. (a) | 97,200 | 5,880 | |
Whiting Petroleum Corp. (a) | 106,700 | 5,593 | |
WPX Energy, Inc. (a) | 1,117,600 | 20,351 | |
92,031 | |||
TOTAL ENERGY | 114,500 | ||
FINANCIALS - 16.0% | |||
Banks - 6.7% | |||
Banco Comercial Portugues SA (Reg.) (a) | 20,000,000 | 5,873 | |
Bank of the Ozarks, Inc. | 341,000 | 16,211 | |
CIT Group, Inc. | 150,836 | 7,531 | |
First Horizon National Corp. | 1,481,900 | 27,474 | |
First Republic Bank | 25,600 | 2,550 | |
Huntington Bancshares, Inc. | 3,494,106 | 51,957 | |
Signature Bank (a) | 116,700 | 14,878 | |
Synovus Financial Corp. | 313,227 | 16,949 | |
143,423 | |||
Capital Markets - 1.8% | |||
E*TRADE Financial Corp. (a) | 326,600 | 20,690 | |
Monex Group, Inc. (b) | 575,000 | 3,415 | |
Oaktree Capital Group LLC Class A | 215,000 | 8,804 | |
Virtu Financial, Inc. Class A | 202,570 | 6,290 | |
39,199 | |||
Consumer Finance - 5.4% | |||
Capital One Financial Corp. | 574,300 | 53,982 | |
OneMain Holdings, Inc. (a) | 1,128,414 | 36,707 | |
SLM Corp. (a) | 2,147,962 | 24,551 | |
115,240 | |||
Insurance - 1.0% | |||
Arthur J. Gallagher & Co. | 164,100 | 10,877 | |
Aspen Insurance Holdings Ltd. | 100,000 | 4,340 | |
Direct Line Insurance Group PLC | 1,229,920 | 5,845 | |
21,062 | |||
Mortgage Real Estate Investment Trusts - 0.3% | |||
Redwood Trust, Inc. | 428,100 | 7,004 | |
Thrifts & Mortgage Finance - 0.8% | |||
Essent Group Ltd. (a) | 507,700 | 17,414 | |
TOTAL FINANCIALS | 343,342 | ||
HEALTH CARE - 8.6% | |||
Biotechnology - 0.5% | |||
Sarepta Therapeutics, Inc. (a) | 124,000 | 11,637 | |
Health Care Equipment & Supplies - 3.5% | |||
Boston Scientific Corp. (a) | 610,000 | 18,538 | |
DexCom, Inc. (a) | 106,000 | 9,327 | |
Insulet Corp. (a) | 160,000 | 15,006 | |
Integra LifeSciences Holdings Corp. (a) | 170,000 | 10,972 | |
Teleflex, Inc. | 30,000 | 8,015 | |
Wright Medical Group NV (a) | 500,000 | 12,480 | |
74,338 | |||
Health Care Providers & Services - 2.3% | |||
Henry Schein, Inc. (a) | 106,000 | 7,335 | |
Molina Healthcare, Inc. (a) | 166,000 | 14,098 | |
Premier, Inc. (a) | 212,000 | 6,915 | |
Wellcare Health Plans, Inc. (a) | 95,000 | 21,059 | |
49,407 | |||
Health Care Technology - 0.5% | |||
Teladoc, Inc. (a)(b) | 230,000 | 11,707 | |
Life Sciences Tools & Services - 0.2% | |||
Bio-Rad Laboratories, Inc. Class A (a) | 12,000 | 3,446 | |
Pharmaceuticals - 1.6% | |||
Amneal Pharmaceuticals, Inc. (c) | 297,297 | 5,869 | |
Indivior PLC (a) | 1,400,000 | 8,950 | |
Jazz Pharmaceuticals PLC (a) | 36,000 | 6,084 | |
Nektar Therapeutics (a) | 64,900 | 5,210 | |
Perrigo Co. PLC | 106,000 | 7,755 | |
33,868 | |||
TOTAL HEALTH CARE | 184,403 | ||
INDUSTRIALS - 13.4% | |||
Aerospace & Defense - 2.1% | |||
Orbital ATK, Inc. | 263,847 | 35,282 | |
United Technologies Corp. | 75,700 | 9,449 | |
44,731 | |||
Airlines - 0.9% | |||
American Airlines Group, Inc. | 215,291 | 9,374 | |
JetBlue Airways Corp. (a) | 548,700 | 10,365 | |
19,739 | |||
Building Products - 0.3% | |||
Allegion PLC | 80,910 | 6,184 | |
Construction & Engineering - 2.8% | |||
AECOM (a) | 1,115,737 | 36,819 | |
Arcadis NV (b) | 1,118,112 | 22,639 | |
59,458 | |||
Electrical Equipment - 1.2% | |||
Sensata Technologies, Inc. PLC (a) | 492,151 | 25,144 | |
Machinery - 1.7% | |||
Allison Transmission Holdings, Inc. | 732,363 | 30,254 | |
IDEX Corp. | 35,458 | 4,917 | |
WABCO Holdings, Inc. (a) | 21,900 | 2,648 | |
37,819 | |||
Marine - 0.4% | |||
A.P. Moller - Maersk A/S Series B | 6,529 | 9,735 | |
Professional Services - 0.8% | |||
Nielsen Holdings PLC | 601,400 | 18,144 | |
Road & Rail - 1.4% | |||
CSX Corp. | 297,100 | 19,208 | |
Norfolk Southern Corp. | 73,100 | 11,086 | |
30,294 | |||
Trading Companies & Distributors - 1.8% | |||
HD Supply Holdings, Inc. (a) | 589,649 | 24,016 | |
MRC Global, Inc. (a) | 691,453 | 14,279 | |
38,295 | |||
TOTAL INDUSTRIALS | 289,543 | ||
INFORMATION TECHNOLOGY - 15.6% | |||
Communications Equipment - 0.1% | |||
CommScope Holding Co., Inc. (a) | 42,100 | 1,234 | |
Electronic Equipment & Components - 4.1% | |||
Avnet, Inc. | 335,100 | 12,774 | |
Belden, Inc. | 169,800 | 9,383 | |
Cognex Corp. | 179,300 | 8,196 | |
Coherent, Inc. (a) | 18,500 | 3,090 | |
Corning, Inc. | 387,700 | 10,534 | |
Fabrinet | 255,500 | 8,976 | |
Jabil, Inc. | 595,400 | 16,838 | |
Trimble, Inc. (a) | 10,700 | 354 | |
TTM Technologies, Inc. (a) | 495,900 | 8,941 | |
Vishay Intertechnology, Inc. | 475,100 | 10,072 | |
89,158 | |||
Internet Software & Services - 0.9% | |||
Akamai Technologies, Inc. (a) | 126,000 | 9,498 | |
SPS Commerce, Inc. (a) | 91,200 | 6,788 | |
Twilio, Inc. Class A (a)(b) | 47,100 | 2,542 | |
Velti PLC (a)(c)(d) | 215,084 | 0 | |
18,828 | |||
IT Services - 3.6% | |||
Alliance Data Systems Corp. | 48,900 | 10,309 | |
Capgemini SA | 105,000 | 13,828 | |
Cognizant Technology Solutions Corp. Class A | 144,400 | 10,881 | |
ExlService Holdings, Inc. (a) | 43,700 | 2,477 | |
Gartner, Inc. (a) | 74,100 | 9,836 | |
Leidos Holdings, Inc. | 332,300 | 19,958 | |
Total System Services, Inc. | 108,900 | 9,277 | |
76,566 | |||
Semiconductors & Semiconductor Equipment - 2.4% | |||
Analog Devices, Inc. | 166,000 | 16,132 | |
Cirrus Logic, Inc. (a) | 352,800 | 13,223 | |
Skyworks Solutions, Inc. | 105,400 | 10,393 | |
Versum Materials, Inc. | 295,200 | 11,799 | |
51,547 | |||
Software - 4.5% | |||
Autodesk, Inc. (a) | 43,800 | 5,655 | |
Check Point Software Technologies Ltd. (a) | 106,500 | 10,369 | |
Citrix Systems, Inc. (a) | 57,300 | 6,052 | |
Constellation Software, Inc. | 11,300 | 8,900 | |
Electronic Arts, Inc. (a) | 81,500 | 10,669 | |
Micro Focus International PLC | 409,800 | 7,260 | |
Monotype Imaging Holdings, Inc. | 391,000 | 8,446 | |
Parametric Technology Corp. (a) | 72,700 | 6,270 | |
Paylocity Holding Corp. (a) | 92,700 | 5,539 | |
Symantec Corp. | 352,800 | 7,331 | |
Ultimate Software Group, Inc. (a) | 57,100 | 14,969 | |
Workday, Inc. Class A (a) | 49,200 | 6,443 | |
97,903 | |||
TOTAL INFORMATION TECHNOLOGY | 335,236 | ||
MATERIALS - 7.2% | |||
Chemicals - 3.9% | |||
Ashland Global Holdings, Inc. | 173,500 | 13,484 | |
Axalta Coating Systems Ltd. (a) | 274,400 | 8,537 | |
Olin Corp. | 465,800 | 15,059 | |
PPG Industries, Inc. | 61,500 | 6,207 | |
RPM International, Inc. | 273,000 | 13,514 | |
The Chemours Co. LLC | 428,800 | 21,007 | |
W.R. Grace & Co. | 96,097 | 6,880 | |
84,688 | |||
Containers & Packaging - 1.5% | |||
Greif, Inc. Class A | 99,600 | 5,808 | |
Packaging Corp. of America | 91,200 | 10,716 | |
Sonoco Products Co. | 320,100 | 16,367 | |
32,891 | |||
Metals & Mining - 1.8% | |||
Steel Dynamics, Inc. | 603,000 | 29,806 | |
United States Steel Corp. | 218,500 | 8,056 | |
37,862 | |||
TOTAL MATERIALS | 155,441 | ||
REAL ESTATE - 9.7% | |||
Equity Real Estate Investment Trusts (REITs) - 9.0% | |||
CareTrust (REIT), Inc. | 784,400 | 12,935 | |
CoreSite Realty Corp. | 108,700 | 11,540 | |
Corporate Office Properties Trust (SBI) | 592,100 | 16,520 | |
Corrections Corp. of America | 295,196 | 6,353 | |
DCT Industrial Trust, Inc. | 311,290 | 20,274 | |
DiamondRock Hospitality Co. | 773,300 | 9,844 | |
Douglas Emmett, Inc. | 549,600 | 21,154 | |
Education Realty Trust, Inc. | 286,300 | 10,461 | |
Equity Lifestyle Properties, Inc. | 111,700 | 10,154 | |
Extra Space Storage, Inc. | 57,000 | 5,486 | |
Front Yard Residential Corp. Class B | 536,121 | 5,640 | |
Healthcare Realty Trust, Inc. | 592,500 | 16,140 | |
InfraReit, Inc. | 336,614 | 7,190 | |
Outfront Media, Inc. | 361,400 | 7,170 | |
Potlatch Corp. | 155,200 | 7,838 | |
SBA Communications Corp. Class A (a) | 12,170 | 1,924 | |
Spirit Realty Capital, Inc. | 1,339,500 | 11,734 | |
Taubman Centers, Inc. | 104,000 | 5,677 | |
Urban Edge Properties | 279,168 | 6,105 | |
194,139 | |||
Real Estate Management & Development - 0.7% | |||
CBRE Group, Inc. (a) | 192,850 | 8,908 | |
Howard Hughes Corp. (a) | 53,500 | 6,753 | |
15,661 | |||
TOTAL REAL ESTATE | 209,800 | ||
TELECOMMUNICATION SERVICES - 0.1% | |||
Wireless Telecommunication Services - 0.1% | |||
T-Mobile U.S., Inc. (a) | 27,650 | 1,540 | |
UTILITIES - 4.6% | |||
Electric Utilities - 2.2% | |||
Great Plains Energy, Inc. | 741,900 | 25,180 | |
PNM Resources, Inc. | 201,400 | 8,046 | |
Westar Energy, Inc. | 255,400 | 14,481 | |
47,707 | |||
Gas Utilities - 1.3% | |||
Atmos Energy Corp. | 39,240 | 3,501 | |
National Fuel Gas Co. | 169,311 | 8,913 | |
South Jersey Industries, Inc. (b) | 438,600 | 14,526 | |
26,940 | |||
Independent Power and Renewable Electricity Producers - 0.2% | |||
NRG Energy, Inc. | 148,500 | 5,083 | |
Multi-Utilities - 0.9% | |||
Avangrid, Inc. | 208,586 | 11,074 | |
MDU Resources Group, Inc. | 265,905 | 7,392 | |
18,466 | |||
TOTAL UTILITIES | 98,196 | ||
TOTAL COMMON STOCKS | |||
(Cost $1,801,021) | 2,079,745 | ||
Principal Amount (000s) | Value (000s) | ||
U.S. Treasury Obligations - 0.4% | |||
U.S. Treasury Bills, yield at date of purchase 1.71% to 1.76% 6/14/18 to 7/12/18 (e) | |||
(Cost $9,532) | 9,550 | 9,532 | |
Shares | Value (000s) | ||
Money Market Funds - 5.8% | |||
Fidelity Cash Central Fund, 1.76% (f) | 62,068,692 | $62,081 | |
Fidelity Securities Lending Cash Central Fund 1.76% (f)(g) | 62,329,577 | 62,336 | |
TOTAL MONEY MARKET FUNDS | |||
(Cost $124,414) | 124,417 | ||
TOTAL INVESTMENT IN SECURITIES - 102.9% | |||
(Cost $1,934,967) | 2,213,694 | ||
NET OTHER ASSETS (LIABILITIES) - (2.9)% | (62,044) | ||
NET ASSETS - 100% | $2,151,650 |
Futures Contracts | |||||
Number of contracts | Expiration Date | Notional Amount (000s) | Value (000s) | Unrealized Appreciation/(Depreciation) (000s) | |
Purchased | |||||
Equity Index Contracts | |||||
CME E-mini S&P MidCap 400 Index Contracts (United States) | 15 | June 2018 | $2,921 | $58 | $58 |
The notional amount of futures purchased as a percentage of Net Assets is 0.1%
Values shown as $0 in the Schedule of Investments may reflect amounts less than $500.
Legend
(a) Non-income producing
(b) Security or a portion of the security is on loan at period end.
(c) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $5,869,000 or 0.3% of net assets.
(d) Level 3 security
(e) Security or a portion of the security was pledged to cover margin requirements for futures contracts. At period end, the value of securities pledged amounted to $302,000.
(f) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements are available on the SEC's website or upon request.
(g) Investment made with cash collateral received from securities on loan.
Additional information on each restricted holding is as follows:
Security | Acquisition Date | Acquisition Cost (000s) |
Amneal Pharmaceuticals, Inc. | 5/4/18 | $5,426 |
Velti PLC | 4/19/13 | $323 |
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 |
(Amounts in thousands) | |
Fidelity Cash Central Fund | $542 |
Fidelity Securities Lending Cash Central Fund | 130 |
Total | $672 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
(Amounts in thousands) | ||||
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $283,750 | $283,750 | $-- | $-- |
Consumer Staples | 63,994 | 63,994 | -- | -- |
Energy | 114,500 | 114,500 | -- | -- |
Financials | 343,342 | 343,342 | -- | -- |
Health Care | 184,403 | 184,403 | -- | -- |
Industrials | 289,543 | 279,808 | 9,735 | -- |
Information Technology | 335,236 | 327,976 | 7,260 | -- |
Materials | 155,441 | 155,441 | -- | -- |
Real Estate | 209,800 | 209,800 | -- | -- |
Telecommunication Services | 1,540 | 1,540 | -- | -- |
Utilities | 98,196 | 98,196 | -- | -- |
U.S. Government and Government Agency Obligations | 9,532 | -- | 9,532 | -- |
Money Market Funds | 124,417 | 124,417 | -- | -- |
Total Investments in Securities: | $2,213,694 | $2,187,167 | $26,527 | $-- |
Derivative Instruments: | ||||
Assets | ||||
Futures Contracts | $58 | $58 | $-- | $-- |
Total Assets | $58 | $58 | $-- | $-- |
Total Derivative Instruments: | $58 | $58 | $-- | $-- |
Value of Derivative Instruments
The following table is a summary of the Fund's value of derivative instruments by primary risk exposure as of May 31, 2018. For additional information on derivative instruments, please refer to the Derivative Instruments section in the accompanying Notes to Financial Statements.
Primary Risk Exposure / Derivative Type | Value | |
Asset | Liability | |
(Amounts in thousands) | ||
Equity Risk | ||
Futures Contracts(a) | $58 | $0 |
Total Equity Risk | 58 | 0 |
Total Value of Derivatives | $58 | $0 |
(a) Reflects gross cumulative appreciation (depreciation) on futures contracts as presented in the Schedule of Investments. In the Statement of Assets and Liabilities, the period end daily variation margin is included in receivable or payable for daily variation margin on futures contracts, and the net cumulative appreciation (depreciation) is included in net unrealized appreciation (depreciation).
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | May 31, 2018 (Unaudited) | |
Assets | ||
Investment in securities, at value (including securities loaned of $59,872) — See accompanying schedule: Unaffiliated issuers (cost $1,810,553) | $2,089,277 | |
Fidelity Central Funds (cost $124,414) | 124,417 | |
Total Investment in Securities (cost $1,934,967) | $2,213,694 | |
Cash | 1,667 | |
Receivable for investments sold | 4,363 | |
Receivable for fund shares sold | 536 | |
Dividends receivable | 1,713 | |
Distributions receivable from Fidelity Central Funds | 125 | |
Prepaid expenses | 1 | |
Other receivables | 139 | |
Total assets | 2,222,238 | |
Liabilities | ||
Payable for investments purchased | $5,292 | |
Payable for fund shares redeemed | 1,208 | |
Accrued management fee | 737 | |
Distribution and service plan fees payable | 469 | |
Payable for daily variation margin on futures contracts | 34 | |
Other affiliated payables | 462 | |
Other payables and accrued expenses | 51 | |
Collateral on securities loaned | 62,335 | |
Total liabilities | 70,588 | |
Net Assets | $2,151,650 | |
Net Assets consist of: | ||
Paid in capital | $1,647,996 | |
Undistributed net investment income | 3,196 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 221,682 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 278,776 | |
Net Assets | $2,151,650 | |
Calculation of Maximum Offering Price | ||
Class A: | ||
Net Asset Value and redemption price per share ($567,439 ÷ 14,170.8 shares) | $40.04 | |
Maximum offering price per share (100/94.25 of $40.04) | $42.48 | |
Class M: | ||
Net Asset Value and redemption price per share ($586,804 ÷ 14,579.6 shares) | $40.25 | |
Maximum offering price per share (100/96.50 of $40.25) | $41.71 | |
Class C: | ||
Net Asset Value and offering price per share ($127,863 ÷ 3,503.0 shares)(a) | $36.50 | |
Fidelity Stock Selector Mid Cap Fund: | ||
Net Asset Value, offering price and redemption price per share ($556,422 ÷ 13,323.4 shares) | $41.76 | |
Class I: | ||
Net Asset Value, offering price and redemption price per share ($298,811 ÷ 7,139.8 shares) | $41.85 | |
Class Z: | ||
Net Asset Value, offering price and redemption price per share ($14,311 ÷ 341.8 shares) | $41.87 |
(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.
Statement of Operations
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | |
Investment Income | ||
Dividends | $15,674 | |
Interest | 27 | |
Income from Fidelity Central Funds | 672 | |
Total income | 16,373 | |
Expenses | ||
Management fee | ||
Basic fee | $6,674 | |
Performance adjustment | (1,421) | |
Transfer agent fees | 2,597 | |
Distribution and service plan fees | 2,867 | |
Accounting and security lending fees | 373 | |
Custodian fees and expenses | 37 | |
Independent trustees' fees and expenses | 6 | |
Registration fees | 77 | |
Audit | 30 | |
Legal | 9 | |
Miscellaneous | 7 | |
Total expenses before reductions | 11,256 | |
Expense reductions | (198) | |
Total expenses after reductions | 11,058 | |
Net investment income (loss) | 5,315 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 227,727 | |
Foreign currency transactions | (12) | |
Futures contracts | (1,092) | |
Total net realized gain (loss) | 226,623 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers | (109,680) | |
Assets and liabilities in foreign currencies | (1) | |
Futures contracts | (782) | |
Total change in net unrealized appreciation (depreciation) | (110,463) | |
Net gain (loss) | 116,160 | |
Net increase (decrease) in net assets resulting from operations | $121,475 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $5,315 | $7,692 |
Net realized gain (loss) | 226,623 | 194,741 |
Change in net unrealized appreciation (depreciation) | (110,463) | 222,265 |
Net increase (decrease) in net assets resulting from operations | 121,475 | 424,698 |
Distributions to shareholders from net investment income | (7,748) | (10,708) |
Distributions to shareholders from net realized gain | (102,733) | (333) |
Total distributions | (110,481) | (11,041) |
Share transactions - net increase (decrease) | (408,558) | 112,615 |
Total increase (decrease) in net assets | (397,564) | 526,272 |
Net Assets | ||
Beginning of period | 2,549,214 | 2,022,942 |
End of period | $2,151,650 | $2,549,214 |
Other Information | ||
Undistributed net investment income end of period | $3,196 | $5,629 |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Stock Selector Mid Cap Fund Class A
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $39.74 | $33.13 | $32.01 | $31.80 | $28.37 | $22.16 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .09 | .13 | .20 | .08 | .08 | .10 |
Net realized and unrealized gain (loss) | 1.97 | 6.68 | 1.49 | .13 | 3.36 | 6.29 |
Total from investment operations | 2.06 | 6.81 | 1.69 | .21 | 3.44 | 6.39 |
Distributions from net investment income | (.11) | (.19) | (.04) | – | (.01) | (.14) |
Distributions from net realized gain | (1.65) | (.01) | (.53) | – | – | (.04) |
Total distributions | (1.76) | (.20) | (.57) | – | (.01) | (.18) |
Net asset value, end of period | $40.04 | $39.74 | $33.13 | $32.01 | $31.80 | $28.37 |
Total ReturnB,C,D | 5.36% | 20.64% | 5.49% | .66% | 12.11% | 29.07% |
Ratios to Average Net AssetsE,F | ||||||
Expenses before reductions | .91%G | .87% | .88% | .98% | 1.05% | .95% |
Expenses net of fee waivers, if any | .90%G | .87% | .88% | .98% | 1.05% | .95% |
Expenses net of all reductions | .89%G | .86% | .88% | .97% | 1.05% | .92% |
Net investment income (loss) | .44%G | .36% | .64% | .24% | .26% | .39% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $567 | $564 | $546 | $593 | $652 | $692 |
Portfolio turnover rateH | 87%G | 84% | 98% | 109% | 89% | 79%I |
A Calculated based on average shares outstanding during the period.
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the sales charges.
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.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or 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.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
I The portfolio turnover rate does not include the assets acquired in the merger.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Stock Selector Mid Cap Fund Class M
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $39.89 | $33.25 | $32.16 | $32.02 | $28.63 | $22.36 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .04 | .04 | .13 | – | .01 | .04 |
Net realized and unrealized gain (loss) | 1.98 | 6.71 | 1.49 | .14 | 3.38 | 6.36 |
Total from investment operations | 2.02 | 6.75 | 1.62 | .14 | 3.39 | 6.40 |
Distributions from net investment income | (.01) | (.11) | – | – | – | (.09) |
Distributions from net realized gain | (1.65) | (.01) | (.53) | – | – | (.04) |
Total distributions | (1.66) | (.11)B | (.53) | – | – | (.13) |
Net asset value, end of period | $40.25 | $39.89 | $33.25 | $32.16 | $32.02 | $28.63 |
Total ReturnC,D,E | 5.24% | 20.37% | 5.22% | .44% | 11.84% | 28.80% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | 1.15%H | 1.11% | 1.12% | 1.22% | 1.28% | 1.16% |
Expenses net of fee waivers, if any | 1.15%H | 1.11% | 1.12% | 1.21% | 1.28% | 1.16% |
Expenses net of all reductions | 1.13%H | 1.10% | 1.11% | 1.21% | 1.27% | 1.13% |
Net investment income (loss) | .20%H | .11% | .41% | .01% | .03% | .17% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $587 | $606 | $591 | $681 | $794 | $817 |
Portfolio turnover rateI | 87%H | 84% | 98% | 109% | 89% | 79%J |
A Calculated based on average shares outstanding during the period.
B Total distributions of $.11 per share is comprised of distributions from net investment income of $.106 and distributions from net realized gain of $.006 per share.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
E Total returns do not include the effect of the sales charges.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
J The portfolio turnover rate does not include the assets acquired in the merger.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Stock Selector Mid Cap Fund Class C
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $36.25 | $30.28 | $29.48 | $29.51 | $26.52 | $20.73 |
Income from Investment Operations | ||||||
Net investment income (loss)A | (.06) | (.13) | (.03) | (.15) | (.14) | (.09) |
Net realized and unrealized gain (loss) | 1.80 | 6.10 | 1.36 | .12 | 3.13 | 5.91 |
Total from investment operations | 1.74 | 5.97 | 1.33 | (.03) | 2.99 | 5.82 |
Distributions from net investment income | – | – | – | – | – | (.02) |
Distributions from net realized gain | (1.49) | – | (.53) | – | – | (.01) |
Total distributions | (1.49) | – | (.53) | – | – | (.03) |
Net asset value, end of period | $36.50 | $36.25 | $30.28 | $29.48 | $29.51 | $26.52 |
Total ReturnB,C,D | 4.97% | 19.72% | 4.71% | (.10)% | 11.27% | 28.09% |
Ratios to Average Net AssetsE,F | ||||||
Expenses before reductions | 1.67%G | 1.63% | 1.63% | 1.74% | 1.80% | 1.69% |
Expenses net of fee waivers, if any | 1.67%G | 1.63% | 1.63% | 1.73% | 1.80% | 1.69% |
Expenses net of all reductions | 1.65%G | 1.62% | 1.63% | 1.73% | 1.80% | 1.67% |
Net investment income (loss) | (.32)%G | (.40)% | (.11)% | (.51)% | (.49)% | (.36)% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $128 | $142 | $140 | $155 | $172 | $172 |
Portfolio turnover rateH | 87%G | 84% | 98% | 109% | 89% | 79%I |
A Calculated based on average shares outstanding during the period.
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the contingent deferred sales charge.
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.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or 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.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
I The portfolio turnover rate does not include the assets acquired in the merger.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Stock Selector Mid Cap Fund
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $41.43 | $34.53 | $33.34 | $33.14 | $29.56 | $23.14 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .12 | .20 | .28 | .16 | .16 | .17 |
Net realized and unrealized gain (loss) | 2.06 | 6.96 | 1.55 | .14 | 3.49 | 6.54 |
Total from investment operations | 2.18 | 7.16 | 1.83 | .30 | 3.65 | 6.71 |
Distributions from net investment income | (.20) | (.26) | (.12) | (.10) | (.07) | (.25) |
Distributions from net realized gain | (1.65) | (.01) | (.53) | – | – | (.04) |
Total distributions | (1.85) | (.26)B | (.64)C | (.10) | (.07) | (.29) |
Net asset value, end of period | $41.76 | $41.43 | $34.53 | $33.34 | $33.14 | $29.56 |
Total ReturnD,E | 5.45% | 20.87% | 5.73% | .90% | 12.38% | 29.36% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | .75%H | .70% | .64% | .75% | .81% | .71% |
Expenses net of fee waivers, if any | .75%H | .70% | .64% | .74% | .81% | .71% |
Expenses net of all reductions | .73%H | .69% | .63% | .74% | .81% | .69% |
Net investment income (loss) | .60%H | .53% | .89% | .48% | .50% | .62% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $556 | $545 | $222 | $486 | $553 | $225 |
Portfolio turnover rateI | 87%H | 84% | 98% | 109% | 89% | 79%J |
A Calculated based on average shares outstanding during the period.
B Total distributions of $.26 per share is comprised of distributions from net investment income of $.255 and distributions from net realized gain of $.006 per share.
C Total distributions of $.64 per share is comprised of distributions from net investment income of $.115 and distributions from net realized gain of $.529 per share.
D Total returns for periods of less than one year are not annualized.
E Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
J The portfolio turnover rate does not include the assets acquired in the merger.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Stock Selector Mid Cap Fund Class I
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $41.51 | $34.60 | $33.39 | $33.22 | $29.64 | $23.14 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .14 | .23 | .28 | .13 | .16 | .18 |
Net realized and unrealized gain (loss) | 2.06 | 6.96 | 1.56 | .14 | 3.50 | 6.56 |
Total from investment operations | 2.20 | 7.19 | 1.84 | .27 | 3.66 | 6.74 |
Distributions from net investment income | (.21) | (.27) | (.11) | (.10) | (.08) | (.20) |
Distributions from net realized gain | (1.65) | (.01) | (.53) | – | – | (.04) |
Total distributions | (1.86) | (.28) | (.63)B | (.10) | (.08) | (.24) |
Net asset value, end of period | $41.85 | $41.51 | $34.60 | $33.39 | $33.22 | $29.64 |
Total ReturnC,D | 5.49% | 20.92% | 5.75% | .80% | 12.39% | 29.44% |
Ratios to Average Net AssetsE,F | ||||||
Expenses before reductions | .68%G | .63% | .64% | .83% | .80% | .67% |
Expenses net of fee waivers, if any | .68%G | .63% | .64% | .83% | .80% | .67% |
Expenses net of all reductions | .67%G | .62% | .64% | .82% | .80% | .65% |
Net investment income (loss) | .66%G | .60% | .88% | .39% | .51% | .66% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $299 | $683 | $523 | $479 | $371 | $214 |
Portfolio turnover rateH | 87%G | 84% | 98% | 109% | 89% | 79%I |
A Calculated based on average shares outstanding during the period.
B Total distributions of $.63 per share is comprised of distributions from net investment income of $.105 and distributions from net realized gain of $.529 per share.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or 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.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
I The portfolio turnover rate does not include the assets acquired in the merger.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Stock Selector Mid Cap Fund Class Z
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |
2018 | 2017 A | |
Selected Per–Share Data | ||
Net asset value, beginning of period | $41.57 | $35.79 |
Income from Investment Operations | ||
Net investment income (loss)B | .17 | .23 |
Net realized and unrealized gain (loss) | 2.06 | 5.55 |
Total from investment operations | 2.23 | 5.78 |
Distributions from net investment income | (.28) | – |
Distributions from net realized gain | (1.65) | – |
Total distributions | (1.93) | – |
Net asset value, end of period | $41.87 | $41.57 |
Total ReturnC,D | 5.56% | 16.15% |
Ratios to Average Net AssetsE,F | ||
Expenses before reductions | .52%G | .48%G |
Expenses net of fee waivers, if any | .51%G | .47%G |
Expenses net of all reductions | .50%G | .46%G |
Net investment income (loss) | .83%G | .69%G |
Supplemental Data | ||
Net assets, end of period (in millions) | $14 | $9 |
Portfolio turnover rateH | 87%G | 84% |
A For the period February 1, 2017 (commencement of sale of shares) to November 30, 2017.
B Calculated based on average shares outstanding during the period.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of 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.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
(Amounts in thousands except percentages)
1. Organization.
Fidelity Advisor Stock Selector Mid Cap Fund (the Fund) is a fund of Fidelity Advisor Series I (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 M, Class C, Fidelity Stock Selector Mid Cap Fund, Class I and Class Z shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events, changes in interest rates and credit quality. The frequency with which these procedures are used cannot be predicted and they may be utilized to a significant extent. The Committee oversees the Fund's valuation policies and procedures and reports to the Board on the Committee's activities and fair value determinations. The Board monitors the appropriateness of the procedures used in valuing the Fund's investments and ratifies the fair value determinations of the Committee.
The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels as shown below:
- Level 1 – quoted prices in active markets for identical investments
- Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, etc.)
- Level 3 – unobservable inputs (including the Fund's own assumptions based on the best information available)
Valuation techniques used to value the Fund's investments by major category are as follows:
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. 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. 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. 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.
Futures contracts are valued at the settlement price established each day by the board of trade or exchange on which they are traded and are categorized as Level 1 in the hierarchy. Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of May 31, 2018, 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable. 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.
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 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 futures contracts, foreign currency transactions, market discount, deferred trustees compensation, capital loss carryforwards and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $360,529 |
Gross unrealized depreciation | (84,191) |
Net unrealized appreciation (depreciation) | $276,338 |
Tax cost | $1,937,414 |
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.
4. Derivative Instruments.
Risk Exposures and the Use of Derivative Instruments. The Fund's investment objective allows the Fund to enter into various types of derivative contracts, including futures contracts. Derivatives are investments whose value is primarily derived from underlying assets, indices or reference rates and may be transacted on an exchange or over-the-counter (OTC). Derivatives may involve a future commitment to buy or sell a specified asset based on specified terms, to exchange future cash flows at periodic intervals based on a notional principal amount, or for one party to make one or more payments upon the occurrence of specified events in exchange for periodic payments from the other party.
The Fund used derivatives to increase returns and to manage exposure to certain risks as defined below. The success of any strategy involving derivatives depends on analysis of numerous economic factors, and if the strategies for investment do not work as intended, the Fund may not achieve its objectives.
The Fund's use of derivatives increased or decreased its exposure to the following risk:
Equity Risk | Equity risk relates to the fluctuations in the value of financial instruments as a result of changes in market prices (other than those arising from interest rate risk or foreign exchange risk), whether caused by factors specific to an individual investment, its issuer, or all factors affecting all instruments traded in a market or market segment. |
The Fund is also exposed to additional risks from investing in derivatives, such as liquidity risk and counterparty credit risk. Liquidity risk is the risk that the Fund will be unable to close out the derivative in the open market in a timely manner. Counterparty credit risk is the risk that the counterparty will not be able to fulfill its obligation to the Fund. Counterparty credit risk related to exchange-traded futures contracts may be mitigated by the protection provided by the exchange on which they trade.
Investing in derivatives may involve greater risks than investing in the underlying assets directly and, to varying degrees, may involve risk of loss in excess of any initial investment and collateral received and amounts recognized in the Statement of Assets and Liabilities. In addition, there may be the risk that the change in value of the derivative contract does not correspond to the change in value of the underlying instrument.
Futures Contracts. A futures contract is an agreement between two parties to buy or sell a specified underlying instrument for a fixed price at a specified future date. The Fund used futures contracts to manage its exposure to the stock market.
Upon entering into a futures contract, a fund is required to deposit either cash or securities (initial margin) with a clearing broker in an amount equal to a certain percentage of the face value of the contract. Futures contracts are marked-to-market daily and subsequent daily payments (variation margin) are made or received by a fund depending on the daily fluctuations in the value of the futures contracts and are recorded as unrealized appreciation or (depreciation). This receivable and/or payable, if any, is included in daily variation margin on futures contracts in the Statement of Assets and Liabilities. Realized gain or (loss) is recorded upon the expiration or closing of a futures contract. The net realized gain (loss) and change in net unrealized appreciation (depreciation) on futures contracts during the period is presented in the Statement of Operations.
Any open futures contracts at period end are presented in the Schedule of Investments under the caption "Futures Contracts". The notional amount at value reflects each contract's exposure to the underlying instrument or index at period end and is representative of volume of activity during the period. Securities deposited to meet initial margin requirements are identified in the Schedule of Investments.
5. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $1,021,503 and $1,548,202, respectively.
6. 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 .30% of the Fund's average net assets and an annualized group fee rate that averaged .24% 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. In addition, the management fee is subject to a performance adjustment (up to a maximum of +/- .20% of the Fund's average net assets over a 36 month performance period). The upward or downward adjustment to the management fee is based on the relative investment performance of Class I of the Fund as compared to its benchmark index, the S&P MidCap 400 Index, over the same 36 month performance period. For the reporting period, the total annualized management fee rate, including the performance adjustment, was .43% of the Fund's average net assets. The performance adjustment included in the management fee rate may be higher or lower than the maximum performance adjustment rate due to the difference between the average net assets for the reporting and performance periods.
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 Fee | Service Fee | Total Fees | Retained by FDC | |
Class A | -% | .25% | $706 | $11 |
Class M | .25% | .25% | 1,486 | 24 |
Class C | .75% | .25% | 675 | 17 |
$2,867 | $52 |
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 M 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 M and Class C redemptions. The deferred sales charges are 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class M shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained by FDC | |
Class A | $14 |
Class M | 5 |
Class C(a) | 1 |
$20 |
(a) When Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of 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, except for Class Z. FIIOC receives an asset-based fee of Class Z's average net assets. 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-Level Average Net Assets(a) | |
Class A | $526 | .19 |
Class M | 534 | .18 |
Class C | 132 | .20 |
Fidelity Stock Selector Mid Cap Fund | 758 | .28 |
Class I | 644 | .21 |
Class Z | 3 | .05 |
$2,597 |
(a) 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. For the period, the fees were equivalent to an annualized rate of .03%.
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 $40 for the period.
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
7. 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 $4 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
8. 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. The Fund or borrower may terminate the loan at any time, and 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. At period end, there were no security loans outstanding with FCM. 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 $130, including $1 from securities loaned to FCM.
9. 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 $185 for the period.
In addition, during the period the investment adviser reimbursed and/or waived a portion of fund-level operating expenses in the amount of $13.
10. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended May 31, 2018 | Year ended November 30, 2017 | |
From net investment income | ||
Class A | $1,504 | $3,079 |
Class M | 180 | 1,865 |
Fidelity Stock Selector Mid Cap Fund | 2,559 | 1,644 |
Class I | 3,435 | 4,120 |
Class Z | 70 | – |
Total | $7,748 | $10,708 |
From net realized gain | ||
Class A | $23,158 | $98 |
Class M | 24,722 | 105 |
Class C | 5,817 | – |
Fidelity Stock Selector Mid Cap Fund | 21,403 | 39 |
Class I | 27,216 | 91 |
Class Z | 417 | – |
Total | $102,733 | $333 |
11. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
Shares | Shares | Dollars | Dollars | |
Six months ended May 31, 2018 | Year ended November 30, 2017(a) | Six months ended May 31, 2018 | Year ended November 30, 2017(a) | |
Class A | ||||
Shares sold | 591 | 914 | $23,216 | $33,050 |
Reinvestment of distributions | 603 | 88 | 23,126 | 2,963 |
Shares redeemed | (1,218) | (3,286) | (47,657) | (118,879) |
Net increase (decrease) | (24) | (2,284) | $(1,315) | $(82,866) |
Class M | ||||
Shares sold | 463 | 1,370 | $18,178 | $50,634 |
Reinvestment of distributions | 628 | 55 | 24,265 | 1,885 |
Shares redeemed | (1,706) | (4,007) | (66,972) | (145,515) |
Net increase (decrease) | (615) | (2,582) | $(24,529) | $(92,996) |
Class C | ||||
Shares sold | 45 | 131 | $1,641 | $4,256 |
Reinvestment of distributions | 153 | – | 5,355 | – |
Shares redeemed | (619) | (835) | (22,210) | (27,684) |
Net increase (decrease) | (421) | (704) | $(15,214) | $(23,428) |
Fidelity Stock Selector Mid Cap Fund | ||||
Shares sold | 1,065 | 8,585 | $43,673 | $325,907 |
Reinvestment of distributions | 590 | 47 | 23,601 | 1,639 |
Shares redeemed | (1,489) | (1,916) | (61,012) | (73,800) |
Net increase (decrease) | 166 | 6,716 | $6,262 | $253,746 |
Class I | ||||
Shares sold | 11,975 | 4,203 | $484,838 | $158,956 |
Reinvestment of distributions | 746 | 114 | 29,881 | 4,019 |
Shares redeemed | (22,032) | (2,996) | (893,774) | (113,072) |
Net increase (decrease) | (9,311) | 1,321 | $(379,055) | $49,903 |
Class Z | ||||
Shares sold | 151 | 234 | $6,187 | $9,125 |
Reinvestment of distributions | 12 | – | 461 | – |
Shares redeemed | (33) | (22) | (1,355) | (869) |
Net increase (decrease) | 130 | 212 | $5,293 | $8,256 |
(a) Share transactions for Class Z are for the period February 1, 2017 (commencement of sale of shares) to November 30, 2017.
12. 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.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
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.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Class A | .90% | |||
Actual | $1,000.00 | $1,053.60 | $4.61 | |
Hypothetical-C | $1,000.00 | $1,020.44 | $4.53 | |
Class M | 1.15% | |||
Actual | $1,000.00 | $1,052.40 | $5.88 | |
Hypothetical-C | $1,000.00 | $1,019.20 | $5.79 | |
Class C | 1.67% | |||
Actual | $1,000.00 | $1,049.70 | $8.53 | |
Hypothetical-C | $1,000.00 | $1,016.60 | $8.40 | |
Fidelity Stock Selector Mid Cap Fund | .75% | |||
Actual | $1,000.00 | $1,054.50 | $3.84 | |
Hypothetical-C | $1,000.00 | $1,021.19 | $3.78 | |
Class I | .68% | |||
Actual | $1,000.00 | $1,054.90 | $3.48 | |
Hypothetical-C | $1,000.00 | $1,021.54 | $3.43 | |
Class Z | .51% | |||
Actual | $1,000.00 | $1,055.60 | $2.61 | |
Hypothetical-C | $1,000.00 | $1,022.39 | $2.57 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
MC-SANN-0718
1.704677.120
Fidelity® Stock Selector Mid Cap Fund Semi-Annual Report May 31, 2018 Fidelity® Stock Selector Mid Cap Fund is a class of Fidelity Advisor® Stock Selector Mid Cap Fund |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third-party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company. © 2018 FMR LLC. All rights reserved.
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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Capital One Financial Corp. | 2.5 |
Huntington Bancshares, Inc. | 2.4 |
AECOM | 1.7 |
OneMain Holdings, Inc. | 1.7 |
Orbital ATK, Inc. | 1.7 |
HollyFrontier Corp. | 1.6 |
Allison Transmission Holdings, Inc. | 1.4 |
Steel Dynamics, Inc. | 1.4 |
First Horizon National Corp. | 1.3 |
Great Plains Energy, Inc. | 1.1 |
16.8 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Financials | 16.0 |
Information Technology | 15.6 |
Industrials | 13.4 |
Consumer Discretionary | 13.2 |
Real Estate | 9.7 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018* | ||
Stocks and Equity Futures | 96.8% | |
Short-Term Investments and Net Other Assets (Liabilities) | 3.2% |
* Foreign investments - 9.6%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 96.7% | |||
Shares | Value (000s) | ||
CONSUMER DISCRETIONARY - 13.2% | |||
Auto Components - 1.0% | |||
Gentex Corp. | 881,000 | $21,170 | |
Diversified Consumer Services - 2.3% | |||
Graham Holdings Co. | 14,900 | 8,655 | |
Grand Canyon Education, Inc. (a) | 89,800 | 9,977 | |
H&R Block, Inc. | 274,800 | 7,543 | |
ServiceMaster Global Holdings, Inc. (a) | 393,856 | 22,505 | |
48,680 | |||
Hotels, Restaurants & Leisure - 0.8% | |||
Papa John's International, Inc. (b) | 212,800 | 10,927 | |
U.S. Foods Holding Corp. (a) | 156,800 | 5,595 | |
16,522 | |||
Household Durables - 0.4% | |||
iRobot Corp. (a)(b) | 138,400 | 8,638 | |
Internet & Direct Marketing Retail - 0.2% | |||
Liberty Interactive Corp. QVC Group Series A (a) | 236,900 | 4,816 | |
Leisure Products - 0.5% | |||
Brunswick Corp. | 169,700 | 10,793 | |
Media - 4.0% | |||
AMC Networks, Inc. Class A (a) | 105,000 | 6,003 | |
Cinemark Holdings, Inc. | 390,200 | 13,177 | |
Discovery Communications, Inc. Class A (a)(b) | 424,400 | 8,951 | |
Entercom Communications Corp. Class A (b) | 607,200 | 4,159 | |
GCI Liberty, Inc. (a) | 154,490 | 6,458 | |
Interpublic Group of Companies, Inc. | 388,600 | 8,782 | |
Liberty Broadband Corp. Class A (a) | 213,200 | 14,559 | |
Liberty Media Corp. Liberty Media Class A (a) | 255,000 | 7,719 | |
Omnicom Group, Inc. | 133,300 | 9,608 | |
The Madison Square Garden Co. (a) | 24,800 | 6,499 | |
85,915 | |||
Multiline Retail - 0.7% | |||
Dollar General Corp. | 111,000 | 9,710 | |
Dollar Tree, Inc. (a) | 77,300 | 6,384 | |
16,094 | |||
Specialty Retail - 2.5% | |||
AutoZone, Inc. (a) | 16,500 | 10,714 | |
Foot Locker, Inc. | 118,200 | 6,379 | |
L Brands, Inc. | 75,000 | 2,543 | |
O'Reilly Automotive, Inc. (a) | 45,400 | 12,231 | |
Ross Stores, Inc. | 83,200 | 6,563 | |
Sally Beauty Holdings, Inc. (a) | 422,400 | 6,395 | |
Williams-Sonoma, Inc. (b) | 171,300 | 9,485 | |
54,310 | |||
Textiles, Apparel & Luxury Goods - 0.8% | |||
Carter's, Inc. | 82,600 | 9,004 | |
PVH Corp. | 48,800 | 7,808 | |
16,812 | |||
TOTAL CONSUMER DISCRETIONARY | 283,750 | ||
CONSUMER STAPLES - 3.0% | |||
Beverages - 0.3% | |||
Coca-Cola European Partners PLC | 98,000 | 3,721 | |
Dr. Pepper Snapple Group, Inc. | 22,500 | 2,684 | |
6,405 | |||
Food Products - 1.4% | |||
Campbell Soup Co. (b) | 108,100 | 3,636 | |
ConAgra Foods, Inc. | 89,400 | 3,313 | |
Ingredion, Inc. | 115,800 | 12,899 | |
Pinnacle Foods, Inc. | 79,500 | 5,083 | |
The J.M. Smucker Co. | 37,800 | 4,064 | |
28,995 | |||
Household Products - 0.7% | |||
Church & Dwight Co., Inc. | 64,000 | 3,005 | |
Energizer Holdings, Inc. | 127,300 | 7,732 | |
Spectrum Brands Holdings, Inc. | 63,400 | 5,052 | |
15,789 | |||
Personal Products - 0.3% | |||
Coty, Inc. Class A | 289,100 | 3,831 | |
Edgewell Personal Care Co. (a) | 59,700 | 2,610 | |
6,441 | |||
Tobacco - 0.3% | |||
Universal Corp. | 96,200 | 6,364 | |
TOTAL CONSUMER STAPLES | 63,994 | ||
ENERGY - 5.3% | |||
Energy Equipment & Services - 1.0% | |||
Dril-Quip, Inc. (a) | 158,500 | 7,616 | |
Ensco PLC Class A (b) | 1,201,500 | 7,810 | |
Nabors Industries Ltd. | 942,800 | 7,043 | |
22,469 | |||
Oil, Gas & Consumable Fuels - 4.3% | |||
Boardwalk Pipeline Partners, LP | 224,300 | 2,375 | |
Cimarex Energy Co. | 64,000 | 5,947 | |
Energen Corp. (a) | 264,800 | 17,964 | |
HollyFrontier Corp. | 439,500 | 33,921 | |
PDC Energy, Inc. (a) | 97,200 | 5,880 | |
Whiting Petroleum Corp. (a) | 106,700 | 5,593 | |
WPX Energy, Inc. (a) | 1,117,600 | 20,351 | |
92,031 | |||
TOTAL ENERGY | 114,500 | ||
FINANCIALS - 16.0% | |||
Banks - 6.7% | |||
Banco Comercial Portugues SA (Reg.) (a) | 20,000,000 | 5,873 | |
Bank of the Ozarks, Inc. | 341,000 | 16,211 | |
CIT Group, Inc. | 150,836 | 7,531 | |
First Horizon National Corp. | 1,481,900�� | 27,474 | |
First Republic Bank | 25,600 | 2,550 | |
Huntington Bancshares, Inc. | 3,494,106 | 51,957 | |
Signature Bank (a) | 116,700 | 14,878 | |
Synovus Financial Corp. | 313,227 | 16,949 | |
143,423 | |||
Capital Markets - 1.8% | |||
E*TRADE Financial Corp. (a) | 326,600 | 20,690 | |
Monex Group, Inc. (b) | 575,000 | 3,415 | |
Oaktree Capital Group LLC Class A | 215,000 | 8,804 | |
Virtu Financial, Inc. Class A | 202,570 | 6,290 | |
39,199 | |||
Consumer Finance - 5.4% | |||
Capital One Financial Corp. | 574,300 | 53,982 | |
OneMain Holdings, Inc. (a) | 1,128,414 | 36,707 | |
SLM Corp. (a) | 2,147,962 | 24,551 | |
115,240 | |||
Insurance - 1.0% | |||
Arthur J. Gallagher & Co. | 164,100 | 10,877 | |
Aspen Insurance Holdings Ltd. | 100,000 | 4,340 | |
Direct Line Insurance Group PLC | 1,229,920 | 5,845 | |
21,062 | |||
Mortgage Real Estate Investment Trusts - 0.3% | |||
Redwood Trust, Inc. | 428,100 | 7,004 | |
Thrifts & Mortgage Finance - 0.8% | |||
Essent Group Ltd. (a) | 507,700 | 17,414 | |
TOTAL FINANCIALS | 343,342 | ||
HEALTH CARE - 8.6% | |||
Biotechnology - 0.5% | |||
Sarepta Therapeutics, Inc. (a) | 124,000 | 11,637 | |
Health Care Equipment & Supplies - 3.5% | |||
Boston Scientific Corp. (a) | 610,000 | 18,538 | |
DexCom, Inc. (a) | 106,000 | 9,327 | |
Insulet Corp. (a) | 160,000 | 15,006 | |
Integra LifeSciences Holdings Corp. (a) | 170,000 | 10,972 | |
Teleflex, Inc. | 30,000 | 8,015 | |
Wright Medical Group NV (a) | 500,000 | 12,480 | |
74,338 | |||
Health Care Providers & Services - 2.3% | |||
Henry Schein, Inc. (a) | 106,000 | 7,335 | |
Molina Healthcare, Inc. (a) | 166,000 | 14,098 | |
Premier, Inc. (a) | 212,000 | 6,915 | |
Wellcare Health Plans, Inc. (a) | 95,000 | 21,059 | |
49,407 | |||
Health Care Technology - 0.5% | |||
Teladoc, Inc. (a)(b) | 230,000 | 11,707 | |
Life Sciences Tools & Services - 0.2% | |||
Bio-Rad Laboratories, Inc. Class A (a) | 12,000 | 3,446 | |
Pharmaceuticals - 1.6% | |||
Amneal Pharmaceuticals, Inc. (c) | 297,297 | 5,869 | |
Indivior PLC (a) | 1,400,000 | 8,950 | |
Jazz Pharmaceuticals PLC (a) | 36,000 | 6,084 | |
Nektar Therapeutics (a) | 64,900 | 5,210 | |
Perrigo Co. PLC | 106,000 | 7,755 | |
33,868 | |||
TOTAL HEALTH CARE | 184,403 | ||
INDUSTRIALS - 13.4% | |||
Aerospace & Defense - 2.1% | |||
Orbital ATK, Inc. | 263,847 | 35,282 | |
United Technologies Corp. | 75,700 | 9,449 | |
44,731 | |||
Airlines - 0.9% | |||
American Airlines Group, Inc. | 215,291 | 9,374 | |
JetBlue Airways Corp. (a) | 548,700 | 10,365 | |
19,739 | |||
Building Products - 0.3% | |||
Allegion PLC | 80,910 | 6,184 | |
Construction & Engineering - 2.8% | |||
AECOM (a) | 1,115,737 | 36,819 | |
Arcadis NV (b) | 1,118,112 | 22,639 | |
59,458 | |||
Electrical Equipment - 1.2% | |||
Sensata Technologies, Inc. PLC (a) | 492,151 | 25,144 | |
Machinery - 1.7% | |||
Allison Transmission Holdings, Inc. | 732,363 | 30,254 | |
IDEX Corp. | 35,458 | 4,917 | |
WABCO Holdings, Inc. (a) | 21,900 | 2,648 | |
37,819 | |||
Marine - 0.4% | |||
A.P. Moller - Maersk A/S Series B | 6,529 | 9,735 | |
Professional Services - 0.8% | |||
Nielsen Holdings PLC | 601,400 | 18,144 | |
Road & Rail - 1.4% | |||
CSX Corp. | 297,100 | 19,208 | |
Norfolk Southern Corp. | 73,100 | 11,086 | |
30,294 | |||
Trading Companies & Distributors - 1.8% | |||
HD Supply Holdings, Inc. (a) | 589,649 | 24,016 | |
MRC Global, Inc. (a) | 691,453 | 14,279 | |
38,295 | |||
TOTAL INDUSTRIALS | 289,543 | ||
INFORMATION TECHNOLOGY - 15.6% | |||
Communications Equipment - 0.1% | |||
CommScope Holding Co., Inc. (a) | 42,100 | 1,234 | |
Electronic Equipment & Components - 4.1% | |||
Avnet, Inc. | 335,100 | 12,774 | |
Belden, Inc. | 169,800 | 9,383 | |
Cognex Corp. | 179,300 | 8,196 | |
Coherent, Inc. (a) | 18,500 | 3,090 | |
Corning, Inc. | 387,700 | 10,534 | |
Fabrinet | 255,500 | 8,976 | |
Jabil, Inc. | 595,400 | 16,838 | |
Trimble, Inc. (a) | 10,700 | 354 | |
TTM Technologies, Inc. (a) | 495,900 | 8,941 | |
Vishay Intertechnology, Inc. | 475,100 | 10,072 | |
89,158 | |||
Internet Software & Services - 0.9% | |||
Akamai Technologies, Inc. (a) | 126,000 | 9,498 | |
SPS Commerce, Inc. (a) | 91,200 | 6,788 | |
Twilio, Inc. Class A (a)(b) | 47,100 | 2,542 | |
Velti PLC (a)(c)(d) | 215,084 | 0 | |
18,828 | |||
IT Services - 3.6% | |||
Alliance Data Systems Corp. | 48,900 | 10,309 | |
Capgemini SA | 105,000 | 13,828 | |
Cognizant Technology Solutions Corp. Class A | 144,400 | 10,881 | |
ExlService Holdings, Inc. (a) | 43,700 | 2,477 | |
Gartner, Inc. (a) | 74,100 | 9,836 | |
Leidos Holdings, Inc. | 332,300 | 19,958 | |
Total System Services, Inc. | 108,900 | 9,277 | |
76,566 | |||
Semiconductors & Semiconductor Equipment - 2.4% | |||
Analog Devices, Inc. | 166,000 | 16,132 | |
Cirrus Logic, Inc. (a) | 352,800 | 13,223 | |
Skyworks Solutions, Inc. | 105,400 | 10,393 | |
Versum Materials, Inc. | 295,200 | 11,799 | |
51,547 | |||
Software - 4.5% | |||
Autodesk, Inc. (a) | 43,800 | 5,655 | |
Check Point Software Technologies Ltd. (a) | 106,500 | 10,369 | |
Citrix Systems, Inc. (a) | 57,300 | 6,052 | |
Constellation Software, Inc. | 11,300 | 8,900 | |
Electronic Arts, Inc. (a) | 81,500 | 10,669 | |
Micro Focus International PLC | 409,800 | 7,260 | |
Monotype Imaging Holdings, Inc. | 391,000 | 8,446 | |
Parametric Technology Corp. (a) | 72,700 | 6,270 | |
Paylocity Holding Corp. (a) | 92,700 | 5,539 | |
Symantec Corp. | 352,800 | 7,331 | |
Ultimate Software Group, Inc. (a) | 57,100 | 14,969 | |
Workday, Inc. Class A (a) | 49,200 | 6,443 | |
97,903 | |||
TOTAL INFORMATION TECHNOLOGY | 335,236 | ||
MATERIALS - 7.2% | |||
Chemicals - 3.9% | |||
Ashland Global Holdings, Inc. | 173,500 | 13,484 | |
Axalta Coating Systems Ltd. (a) | 274,400 | 8,537 | |
Olin Corp. | 465,800 | 15,059 | |
PPG Industries, Inc. | 61,500 | 6,207 | |
RPM International, Inc. | 273,000 | 13,514 | |
The Chemours Co. LLC | 428,800 | 21,007 | |
W.R. Grace & Co. | 96,097 | 6,880 | |
84,688 | |||
Containers & Packaging - 1.5% | |||
Greif, Inc. Class A | 99,600 | 5,808 | |
Packaging Corp. of America | 91,200 | 10,716 | |
Sonoco Products Co. | 320,100 | 16,367 | |
32,891 | |||
Metals & Mining - 1.8% | |||
Steel Dynamics, Inc. | 603,000 | 29,806 | |
United States Steel Corp. | 218,500 | 8,056 | |
37,862 | |||
TOTAL MATERIALS | 155,441 | ||
REAL ESTATE - 9.7% | |||
Equity Real Estate Investment Trusts (REITs) - 9.0% | |||
CareTrust (REIT), Inc. | 784,400 | 12,935 | |
CoreSite Realty Corp. | 108,700 | 11,540 | |
Corporate Office Properties Trust (SBI) | 592,100 | 16,520 | |
Corrections Corp. of America | 295,196 | 6,353 | |
DCT Industrial Trust, Inc. | 311,290 | 20,274 | |
DiamondRock Hospitality Co. | 773,300 | 9,844 | |
Douglas Emmett, Inc. | 549,600 | 21,154 | |
Education Realty Trust, Inc. | 286,300 | 10,461 | |
Equity Lifestyle Properties, Inc. | 111,700 | 10,154 | |
Extra Space Storage, Inc. | 57,000 | 5,486 | |
Front Yard Residential Corp. Class B | 536,121 | 5,640 | |
Healthcare Realty Trust, Inc. | 592,500 | 16,140 | |
InfraReit, Inc. | 336,614 | 7,190 | |
Outfront Media, Inc. | 361,400 | 7,170 | |
Potlatch Corp. | 155,200 | 7,838 | |
SBA Communications Corp. Class A (a) | 12,170 | 1,924 | |
Spirit Realty Capital, Inc. | 1,339,500 | 11,734 | |
Taubman Centers, Inc. | 104,000 | 5,677 | |
Urban Edge Properties | 279,168 | 6,105 | |
194,139 | |||
Real Estate Management & Development - 0.7% | |||
CBRE Group, Inc. (a) | 192,850 | 8,908 | |
Howard Hughes Corp. (a) | 53,500 | 6,753 | |
15,661 | |||
TOTAL REAL ESTATE | 209,800 | ||
TELECOMMUNICATION SERVICES - 0.1% | |||
Wireless Telecommunication Services - 0.1% | |||
T-Mobile U.S., Inc. (a) | 27,650 | 1,540 | |
UTILITIES - 4.6% | |||
Electric Utilities - 2.2% | |||
Great Plains Energy, Inc. | 741,900 | 25,180 | |
PNM Resources, Inc. | 201,400 | 8,046 | |
Westar Energy, Inc. | 255,400 | 14,481 | |
47,707 | |||
Gas Utilities - 1.3% | |||
Atmos Energy Corp. | 39,240 | 3,501 | |
National Fuel Gas Co. | 169,311 | 8,913 | |
South Jersey Industries, Inc. (b) | 438,600 | 14,526 | |
26,940 | |||
Independent Power and Renewable Electricity Producers - 0.2% | |||
NRG Energy, Inc. | 148,500 | 5,083 | |
Multi-Utilities - 0.9% | |||
Avangrid, Inc. | 208,586 | 11,074 | |
MDU Resources Group, Inc. | 265,905 | 7,392 | |
18,466 | |||
TOTAL UTILITIES | 98,196 | ||
TOTAL COMMON STOCKS | |||
(Cost $1,801,021) | 2,079,745 | ||
Principal Amount (000s) | Value (000s) | ||
U.S. Treasury Obligations - 0.4% | |||
U.S. Treasury Bills, yield at date of purchase 1.71% to 1.76% 6/14/18 to 7/12/18 (e) | |||
(Cost $9,532) | 9,550 | 9,532 | |
Shares | Value (000s) | ||
Money Market Funds - 5.8% | |||
Fidelity Cash Central Fund, 1.76% (f) | 62,068,692 | $62,081 | |
Fidelity Securities Lending Cash Central Fund 1.76% (f)(g) | 62,329,577 | 62,336 | |
TOTAL MONEY MARKET FUNDS | |||
(Cost $124,414) | 124,417 | ||
TOTAL INVESTMENT IN SECURITIES - 102.9% | |||
(Cost $1,934,967) | 2,213,694 | ||
NET OTHER ASSETS (LIABILITIES) - (2.9)% | (62,044) | ||
NET ASSETS - 100% | $2,151,650 |
Futures Contracts | |||||
Number of contracts | Expiration Date | Notional Amount (000s) | Value (000s) | Unrealized Appreciation/(Depreciation) (000s) | |
Purchased | |||||
Equity Index Contracts | |||||
CME E-mini S&P MidCap 400 Index Contracts (United States) | 15 | June 2018 | $2,921 | $58 | $58 |
The notional amount of futures purchased as a percentage of Net Assets is 0.1%
Values shown as $0 in the Schedule of Investments may reflect amounts less than $500.
Legend
(a) Non-income producing
(b) Security or a portion of the security is on loan at period end.
(c) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $5,869,000 or 0.3% of net assets.
(d) Level 3 security
(e) Security or a portion of the security was pledged to cover margin requirements for futures contracts. At period end, the value of securities pledged amounted to $302,000.
(f) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements are available on the SEC's website or upon request.
(g) Investment made with cash collateral received from securities on loan.
Additional information on each restricted holding is as follows:
Security | Acquisition Date | Acquisition Cost (000s) |
Amneal Pharmaceuticals, Inc. | 5/4/18 | $5,426 |
Velti PLC | 4/19/13 | $323 |
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 |
(Amounts in thousands) | |
Fidelity Cash Central Fund | $542 |
Fidelity Securities Lending Cash Central Fund | 130 |
Total | $672 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
(Amounts in thousands) | ||||
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $283,750 | $283,750 | $-- | $-- |
Consumer Staples | 63,994 | 63,994 | -- | -- |
Energy | 114,500 | 114,500 | -- | -- |
Financials | 343,342 | 343,342 | -- | -- |
Health Care | 184,403 | 184,403 | -- | -- |
Industrials | 289,543 | 279,808 | 9,735 | -- |
Information Technology | 335,236 | 327,976 | 7,260 | -- |
Materials | 155,441 | 155,441 | -- | -- |
Real Estate | 209,800 | 209,800 | -- | -- |
Telecommunication Services | 1,540 | 1,540 | -- | -- |
Utilities | 98,196 | 98,196 | -- | -- |
U.S. Government and Government Agency Obligations | 9,532 | -- | 9,532 | -- |
Money Market Funds | 124,417 | 124,417 | -- | -- |
Total Investments in Securities: | $2,213,694 | $2,187,167 | $26,527 | $-- |
Derivative Instruments: | ||||
Assets | ||||
Futures Contracts | $58 | $58 | $-- | $-- |
Total Assets | $58 | $58 | $-- | $-- |
Total Derivative Instruments: | $58 | $58 | $-- | $-- |
Value of Derivative Instruments
The following table is a summary of the Fund's value of derivative instruments by primary risk exposure as of May 31, 2018. For additional information on derivative instruments, please refer to the Derivative Instruments section in the accompanying Notes to Financial Statements.
Primary Risk Exposure / Derivative Type | Value | |
Asset | Liability | |
(Amounts in thousands) | ||
Equity Risk | ||
Futures Contracts(a) | $58 | $0 |
Total Equity Risk | 58 | 0 |
Total Value of Derivatives | $58 | $0 |
(a) Reflects gross cumulative appreciation (depreciation) on futures contracts as presented in the Schedule of Investments. In the Statement of Assets and Liabilities, the period end daily variation margin is included in receivable or payable for daily variation margin on futures contracts, and the net cumulative appreciation (depreciation) is included in net unrealized appreciation (depreciation).
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | May 31, 2018 (Unaudited) | |
Assets | ||
Investment in securities, at value (including securities loaned of $59,872) — See accompanying schedule: Unaffiliated issuers (cost $1,810,553) | $2,089,277 | |
Fidelity Central Funds (cost $124,414) | 124,417 | |
Total Investment in Securities (cost $1,934,967) | $2,213,694 | |
Cash | 1,667 | |
Receivable for investments sold | 4,363 | |
Receivable for fund shares sold | 536 | |
Dividends receivable | 1,713 | |
Distributions receivable from Fidelity Central Funds | 125 | |
Prepaid expenses | 1 | |
Other receivables | 139 | |
Total assets | 2,222,238 | |
Liabilities | ||
Payable for investments purchased | $5,292 | |
Payable for fund shares redeemed | 1,208 | |
Accrued management fee | 737 | |
Distribution and service plan fees payable | 469 | |
Payable for daily variation margin on futures contracts | 34 | |
Other affiliated payables | 462 | |
Other payables and accrued expenses | 51 | |
Collateral on securities loaned | 62,335 | |
Total liabilities | 70,588 | |
Net Assets | $2,151,650 | |
Net Assets consist of: | ||
Paid in capital | $1,647,996 | |
Undistributed net investment income | 3,196 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 221,682 | |
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies | 278,776 | |
Net Assets | $2,151,650 | |
Calculation of Maximum Offering Price | ||
Class A: | ||
Net Asset Value and redemption price per share ($567,439 ÷ 14,170.8 shares) | $40.04 | |
Maximum offering price per share (100/94.25 of $40.04) | $42.48 | |
Class M: | ||
Net Asset Value and redemption price per share ($586,804 ÷ 14,579.6 shares) | $40.25 | |
Maximum offering price per share (100/96.50 of $40.25) | $41.71 | |
Class C: | ||
Net Asset Value and offering price per share ($127,863 ÷ 3,503.0 shares)(a) | $36.50 | |
Fidelity Stock Selector Mid Cap Fund: | ||
Net Asset Value, offering price and redemption price per share ($556,422 ÷ 13,323.4 shares) | $41.76 | |
Class I: | ||
Net Asset Value, offering price and redemption price per share ($298,811 ÷ 7,139.8 shares) | $41.85 | |
Class Z: | ||
Net Asset Value, offering price and redemption price per share ($14,311 ÷ 341.8 shares) | $41.87 |
(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.
Statement of Operations
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | |
Investment Income | ||
Dividends | $15,674 | |
Interest | 27 | |
Income from Fidelity Central Funds | 672 | |
Total income | 16,373 | |
Expenses | ||
Management fee | ||
Basic fee | $6,674 | |
Performance adjustment | (1,421) | |
Transfer agent fees | 2,597 | |
Distribution and service plan fees | 2,867 | |
Accounting and security lending fees | 373 | |
Custodian fees and expenses | 37 | |
Independent trustees' fees and expenses | 6 | |
Registration fees | 77 | |
Audit | 30 | |
Legal | 9 | |
Miscellaneous | 7 | |
Total expenses before reductions | 11,256 | |
Expense reductions | (198) | |
Total expenses after reductions | 11,058 | |
Net investment income (loss) | 5,315 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 227,727 | |
Foreign currency transactions | (12) | |
Futures contracts | (1,092) | |
Total net realized gain (loss) | 226,623 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers | (109,680) | |
Assets and liabilities in foreign currencies | (1) | |
Futures contracts | (782) | |
Total change in net unrealized appreciation (depreciation) | (110,463) | |
Net gain (loss) | 116,160 | |
Net increase (decrease) in net assets resulting from operations | $121,475 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $5,315 | $7,692 |
Net realized gain (loss) | 226,623 | 194,741 |
Change in net unrealized appreciation (depreciation) | (110,463) | 222,265 |
Net increase (decrease) in net assets resulting from operations | 121,475 | 424,698 |
Distributions to shareholders from net investment income | (7,748) | (10,708) |
Distributions to shareholders from net realized gain | (102,733) | (333) |
Total distributions | (110,481) | (11,041) |
Share transactions - net increase (decrease) | (408,558) | 112,615 |
Total increase (decrease) in net assets | (397,564) | 526,272 |
Net Assets | ||
Beginning of period | 2,549,214 | 2,022,942 |
End of period | $2,151,650 | $2,549,214 |
Other Information | ||
Undistributed net investment income end of period | $3,196 | $5,629 |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Stock Selector Mid Cap Fund Class A
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $39.74 | $33.13 | $32.01 | $31.80 | $28.37 | $22.16 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .09 | .13 | .20 | .08 | .08 | .10 |
Net realized and unrealized gain (loss) | 1.97 | 6.68 | 1.49 | .13 | 3.36 | 6.29 |
Total from investment operations | 2.06 | 6.81 | 1.69 | .21 | 3.44 | 6.39 |
Distributions from net investment income | (.11) | (.19) | (.04) | – | (.01) | (.14) |
Distributions from net realized gain | (1.65) | (.01) | (.53) | – | – | (.04) |
Total distributions | (1.76) | (.20) | (.57) | – | (.01) | (.18) |
Net asset value, end of period | $40.04 | $39.74 | $33.13 | $32.01 | $31.80 | $28.37 |
Total ReturnB,C,D | 5.36% | 20.64% | 5.49% | .66% | 12.11% | 29.07% |
Ratios to Average Net AssetsE,F | ||||||
Expenses before reductions | .91%G | .87% | .88% | .98% | 1.05% | .95% |
Expenses net of fee waivers, if any | .90%G | .87% | .88% | .98% | 1.05% | .95% |
Expenses net of all reductions | .89%G | .86% | .88% | .97% | 1.05% | .92% |
Net investment income (loss) | .44%G | .36% | .64% | .24% | .26% | .39% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $567 | $564 | $546 | $593 | $652 | $692 |
Portfolio turnover rateH | 87%G | 84% | 98% | 109% | 89% | 79%I |
A Calculated based on average shares outstanding during the period.
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the sales charges.
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.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or 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.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
I The portfolio turnover rate does not include the assets acquired in the merger.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Stock Selector Mid Cap Fund Class M
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $39.89 | $33.25 | $32.16 | $32.02 | $28.63 | $22.36 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .04 | .04 | .13 | – | .01 | .04 |
Net realized and unrealized gain (loss) | 1.98 | 6.71 | 1.49 | .14 | 3.38 | 6.36 |
Total from investment operations | 2.02 | 6.75 | 1.62 | .14 | 3.39 | 6.40 |
Distributions from net investment income | (.01) | (.11) | – | – | – | (.09) |
Distributions from net realized gain | (1.65) | (.01) | (.53) | – | – | (.04) |
Total distributions | (1.66) | (.11)B | (.53) | – | – | (.13) |
Net asset value, end of period | $40.25 | $39.89 | $33.25 | $32.16 | $32.02 | $28.63 |
Total ReturnC,D,E | 5.24% | 20.37% | 5.22% | .44% | 11.84% | 28.80% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | 1.15%H | 1.11% | 1.12% | 1.22% | 1.28% | 1.16% |
Expenses net of fee waivers, if any | 1.15%H | 1.11% | 1.12% | 1.21% | 1.28% | 1.16% |
Expenses net of all reductions | 1.13%H | 1.10% | 1.11% | 1.21% | 1.27% | 1.13% |
Net investment income (loss) | .20%H | .11% | .41% | .01% | .03% | .17% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $587 | $606 | $591 | $681 | $794 | $817 |
Portfolio turnover rateI | 87%H | 84% | 98% | 109% | 89% | 79%J |
A Calculated based on average shares outstanding during the period.
B Total distributions of $.11 per share is comprised of distributions from net investment income of $.106 and distributions from net realized gain of $.006 per share.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
E Total returns do not include the effect of the sales charges.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
J The portfolio turnover rate does not include the assets acquired in the merger.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Stock Selector Mid Cap Fund Class C
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $36.25 | $30.28 | $29.48 | $29.51 | $26.52 | $20.73 |
Income from Investment Operations | ||||||
Net investment income (loss)A | (.06) | (.13) | (.03) | (.15) | (.14) | (.09) |
Net realized and unrealized gain (loss) | 1.80 | 6.10 | 1.36 | .12 | 3.13 | 5.91 |
Total from investment operations | 1.74 | 5.97 | 1.33 | (.03) | 2.99 | 5.82 |
Distributions from net investment income | – | – | – | – | – | (.02) |
Distributions from net realized gain | (1.49) | – | (.53) | – | – | (.01) |
Total distributions | (1.49) | – | (.53) | – | – | (.03) |
Net asset value, end of period | $36.50 | $36.25 | $30.28 | $29.48 | $29.51 | $26.52 |
Total ReturnB,C,D | 4.97% | 19.72% | 4.71% | (.10)% | 11.27% | 28.09% |
Ratios to Average Net AssetsE,F | ||||||
Expenses before reductions | 1.67%G | 1.63% | 1.63% | 1.74% | 1.80% | 1.69% |
Expenses net of fee waivers, if any | 1.67%G | 1.63% | 1.63% | 1.73% | 1.80% | 1.69% |
Expenses net of all reductions | 1.65%G | 1.62% | 1.63% | 1.73% | 1.80% | 1.67% |
Net investment income (loss) | (.32)%G | (.40)% | (.11)% | (.51)% | (.49)% | (.36)% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $128 | $142 | $140 | $155 | $172 | $172 |
Portfolio turnover rateH | 87%G | 84% | 98% | 109% | 89% | 79%I |
A Calculated based on average shares outstanding during the period.
B Total returns for periods of less than one year are not annualized.
C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
D Total returns do not include the effect of the contingent deferred sales charge.
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.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or 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.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
I The portfolio turnover rate does not include the assets acquired in the merger.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Stock Selector Mid Cap Fund
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $41.43 | $34.53 | $33.34 | $33.14 | $29.56 | $23.14 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .12 | .20 | .28 | .16 | .16 | .17 |
Net realized and unrealized gain (loss) | 2.06 | 6.96 | 1.55 | .14 | 3.49 | 6.54 |
Total from investment operations | 2.18 | 7.16 | 1.83 | .30 | 3.65 | 6.71 |
Distributions from net investment income | (.20) | (.26) | (.12) | (.10) | (.07) | (.25) |
Distributions from net realized gain | (1.65) | (.01) | (.53) | – | – | (.04) |
Total distributions | (1.85) | (.26)B | (.64)C | (.10) | (.07) | (.29) |
Net asset value, end of period | $41.76 | $41.43 | $34.53 | $33.34 | $33.14 | $29.56 |
Total ReturnD,E | 5.45% | 20.87% | 5.73% | .90% | 12.38% | 29.36% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | .75%H | .70% | .64% | .75% | .81% | .71% |
Expenses net of fee waivers, if any | .75%H | .70% | .64% | .74% | .81% | .71% |
Expenses net of all reductions | .73%H | .69% | .63% | .74% | .81% | .69% |
Net investment income (loss) | .60%H | .53% | .89% | .48% | .50% | .62% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $556 | $545 | $222 | $486 | $553 | $225 |
Portfolio turnover rateI | 87%H | 84% | 98% | 109% | 89% | 79%J |
A Calculated based on average shares outstanding during the period.
B Total distributions of $.26 per share is comprised of distributions from net investment income of $.255 and distributions from net realized gain of $.006 per share.
C Total distributions of $.64 per share is comprised of distributions from net investment income of $.115 and distributions from net realized gain of $.529 per share.
D Total returns for periods of less than one year are not annualized.
E Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
J The portfolio turnover rate does not include the assets acquired in the merger.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Stock Selector Mid Cap Fund Class I
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $41.51 | $34.60 | $33.39 | $33.22 | $29.64 | $23.14 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .14 | .23 | .28 | .13 | .16 | .18 |
Net realized and unrealized gain (loss) | 2.06 | 6.96 | 1.56 | .14 | 3.50 | 6.56 |
Total from investment operations | 2.20 | 7.19 | 1.84 | .27 | 3.66 | 6.74 |
Distributions from net investment income | (.21) | (.27) | (.11) | (.10) | (.08) | (.20) |
Distributions from net realized gain | (1.65) | (.01) | (.53) | – | – | (.04) |
Total distributions | (1.86) | (.28) | (.63)B | (.10) | (.08) | (.24) |
Net asset value, end of period | $41.85 | $41.51 | $34.60 | $33.39 | $33.22 | $29.64 |
Total ReturnC,D | 5.49% | 20.92% | 5.75% | .80% | 12.39% | 29.44% |
Ratios to Average Net AssetsE,F | ||||||
Expenses before reductions | .68%G | .63% | .64% | .83% | .80% | .67% |
Expenses net of fee waivers, if any | .68%G | .63% | .64% | .83% | .80% | .67% |
Expenses net of all reductions | .67%G | .62% | .64% | .82% | .80% | .65% |
Net investment income (loss) | .66%G | .60% | .88% | .39% | .51% | .66% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $299 | $683 | $523 | $479 | $371 | $214 |
Portfolio turnover rateH | 87%G | 84% | 98% | 109% | 89% | 79%I |
A Calculated based on average shares outstanding during the period.
B Total distributions of $.63 per share is comprised of distributions from net investment income of $.105 and distributions from net realized gain of $.529 per share.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or 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.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
I The portfolio turnover rate does not include the assets acquired in the merger.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Stock Selector Mid Cap Fund Class Z
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |
2018 | 2017 A | |
Selected Per–Share Data | ||
Net asset value, beginning of period | $41.57 | $35.79 |
Income from Investment Operations | ||
Net investment income (loss)B | .17 | .23 |
Net realized and unrealized gain (loss) | 2.06 | 5.55 |
Total from investment operations | 2.23 | 5.78 |
Distributions from net investment income | (.28) | – |
Distributions from net realized gain | (1.65) | – |
Total distributions | (1.93) | – |
Net asset value, end of period | $41.87 | $41.57 |
Total ReturnC,D | 5.56% | 16.15% |
Ratios to Average Net AssetsE,F | ||
Expenses before reductions | .52%G | .48%G |
Expenses net of fee waivers, if any | .51%G | .47%G |
Expenses net of all reductions | .50%G | .46%G |
Net investment income (loss) | .83%G | .69%G |
Supplemental Data | ||
Net assets, end of period (in millions) | $14 | $9 |
Portfolio turnover rateH | 87%G | 84% |
A For the period February 1, 2017 (commencement of sale of shares) to November 30, 2017.
B Calculated based on average shares outstanding during the period.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
F Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from brokerage service arrangements or reductions from other expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of 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.
G Annualized
H Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
(Amounts in thousands except percentages)
1. Organization.
Fidelity Advisor Stock Selector Mid Cap Fund (the Fund) is a fund of Fidelity Advisor Series I (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 M, Class C, Fidelity Stock Selector Mid Cap Fund, Class I and Class Z shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class.
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events, changes in interest rates and credit quality. The frequency with which these procedures are used cannot be predicted and they may be utilized to a significant extent. The Committee oversees the Fund's valuation policies and procedures and reports to the Board on the Committee's activities and fair value determinations. The Board monitors the appropriateness of the procedures used in valuing the Fund's investments and ratifies the fair value determinations of the Committee.
The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels as shown below:
- Level 1 – quoted prices in active markets for identical investments
- Level 2 – other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, etc.)
- Level 3 – unobservable inputs (including the Fund's own assumptions based on the best information available)
Valuation techniques used to value the Fund's investments by major category are as follows:
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. 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. 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. 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.
Futures contracts are valued at the settlement price established each day by the board of trade or exchange on which they are traded and are categorized as Level 1 in the hierarchy. Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of May 31, 2018, 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable. 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.
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 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 futures contracts, foreign currency transactions, market discount, deferred trustees compensation, capital loss carryforwards and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $360,529 |
Gross unrealized depreciation | (84,191) |
Net unrealized appreciation (depreciation) | $276,338 |
Tax cost | $1,937,414 |
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.
4. Derivative Instruments.
Risk Exposures and the Use of Derivative Instruments. The Fund's investment objective allows the Fund to enter into various types of derivative contracts, including futures contracts. Derivatives are investments whose value is primarily derived from underlying assets, indices or reference rates and may be transacted on an exchange or over-the-counter (OTC). Derivatives may involve a future commitment to buy or sell a specified asset based on specified terms, to exchange future cash flows at periodic intervals based on a notional principal amount, or for one party to make one or more payments upon the occurrence of specified events in exchange for periodic payments from the other party.
The Fund used derivatives to increase returns and to manage exposure to certain risks as defined below. The success of any strategy involving derivatives depends on analysis of numerous economic factors, and if the strategies for investment do not work as intended, the Fund may not achieve its objectives.
The Fund's use of derivatives increased or decreased its exposure to the following risk:
Equity Risk | Equity risk relates to the fluctuations in the value of financial instruments as a result of changes in market prices (other than those arising from interest rate risk or foreign exchange risk), whether caused by factors specific to an individual investment, its issuer, or all factors affecting all instruments traded in a market or market segment. |
The Fund is also exposed to additional risks from investing in derivatives, such as liquidity risk and counterparty credit risk. Liquidity risk is the risk that the Fund will be unable to close out the derivative in the open market in a timely manner. Counterparty credit risk is the risk that the counterparty will not be able to fulfill its obligation to the Fund. Counterparty credit risk related to exchange-traded futures contracts may be mitigated by the protection provided by the exchange on which they trade.
Investing in derivatives may involve greater risks than investing in the underlying assets directly and, to varying degrees, may involve risk of loss in excess of any initial investment and collateral received and amounts recognized in the Statement of Assets and Liabilities. In addition, there may be the risk that the change in value of the derivative contract does not correspond to the change in value of the underlying instrument.
Futures Contracts. A futures contract is an agreement between two parties to buy or sell a specified underlying instrument for a fixed price at a specified future date. The Fund used futures contracts to manage its exposure to the stock market.
Upon entering into a futures contract, a fund is required to deposit either cash or securities (initial margin) with a clearing broker in an amount equal to a certain percentage of the face value of the contract. Futures contracts are marked-to-market daily and subsequent daily payments (variation margin) are made or received by a fund depending on the daily fluctuations in the value of the futures contracts and are recorded as unrealized appreciation or (depreciation). This receivable and/or payable, if any, is included in daily variation margin on futures contracts in the Statement of Assets and Liabilities. Realized gain or (loss) is recorded upon the expiration or closing of a futures contract. The net realized gain (loss) and change in net unrealized appreciation (depreciation) on futures contracts during the period is presented in the Statement of Operations.
Any open futures contracts at period end are presented in the Schedule of Investments under the caption "Futures Contracts". The notional amount at value reflects each contract's exposure to the underlying instrument or index at period end and is representative of volume of activity during the period. Securities deposited to meet initial margin requirements are identified in the Schedule of Investments.
5. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $1,021,503 and $1,548,202, respectively.
6. 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 .30% of the Fund's average net assets and an annualized group fee rate that averaged .24% 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. In addition, the management fee is subject to a performance adjustment (up to a maximum of +/- .20% of the Fund's average net assets over a 36 month performance period). The upward or downward adjustment to the management fee is based on the relative investment performance of Class I of the Fund as compared to its benchmark index, the S&P MidCap 400 Index, over the same 36 month performance period. For the reporting period, the total annualized management fee rate, including the performance adjustment, was .43% of the Fund's average net assets. The performance adjustment included in the management fee rate may be higher or lower than the maximum performance adjustment rate due to the difference between the average net assets for the reporting and performance periods.
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 Fee | Service Fee | Total Fees | Retained by FDC | |
Class A | -% | .25% | $706 | $11 |
Class M | .25% | .25% | 1,486 | 24 |
Class C | .75% | .25% | 675 | 17 |
$2,867 | $52 |
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 M 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 M and Class C redemptions. The deferred sales charges are 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class M shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained by FDC | |
Class A | $14 |
Class M | 5 |
Class C(a) | 1 |
$20 |
(a) When Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of 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, except for Class Z. FIIOC receives an asset-based fee of Class Z's average net assets. 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-Level Average Net Assets(a) | |
Class A | $526 | .19 |
Class M | 534 | .18 |
Class C | 132 | .20 |
Fidelity Stock Selector Mid Cap Fund | 758 | .28 |
Class I | 644 | .21 |
Class Z | 3 | .05 |
$2,597 |
(a) 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. For the period, the fees were equivalent to an annualized rate of .03%.
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 $40 for the period.
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
7. 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 $4 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
8. 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. The Fund or borrower may terminate the loan at any time, and 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. At period end, there were no security loans outstanding with FCM. 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 $130, including $1 from securities loaned to FCM.
9. 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 $185 for the period.
In addition, during the period the investment adviser reimbursed and/or waived a portion of fund-level operating expenses in the amount of $13.
10. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended May 31, 2018 | Year ended November 30, 2017 | |
From net investment income | ||
Class A | $1,504 | $3,079 |
Class M | 180 | 1,865 |
Fidelity Stock Selector Mid Cap Fund | 2,559 | 1,644 |
Class I | 3,435 | 4,120 |
Class Z | 70 | – |
Total | $7,748 | $10,708 |
From net realized gain | ||
Class A | $23,158 | $98 |
Class M | 24,722 | 105 |
Class C | 5,817 | – |
Fidelity Stock Selector Mid Cap Fund | 21,403 | 39 |
Class I | 27,216 | 91 |
Class Z | 417 | – |
Total | $102,733 | $333 |
11. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
Shares | Shares | Dollars | Dollars | |
Six months ended May 31, 2018 | Year ended November 30, 2017(a) | Six months ended May 31, 2018 | Year ended November 30, 2017(a) | |
Class A | ||||
Shares sold | 591 | 914 | $23,216 | $33,050 |
Reinvestment of distributions | 603 | 88 | 23,126 | 2,963 |
Shares redeemed | (1,218) | (3,286) | (47,657) | (118,879) |
Net increase (decrease) | (24) | (2,284) | $(1,315) | $(82,866) |
Class M | ||||
Shares sold | 463 | 1,370 | $18,178 | $50,634 |
Reinvestment of distributions | 628 | 55 | 24,265 | 1,885 |
Shares redeemed | (1,706) | (4,007) | (66,972) | (145,515) |
Net increase (decrease) | (615) | (2,582) | $(24,529) | $(92,996) |
Class C | ||||
Shares sold | 45 | 131 | $1,641 | $4,256 |
Reinvestment of distributions | 153 | – | 5,355 | – |
Shares redeemed | (619) | (835) | (22,210) | (27,684) |
Net increase (decrease) | (421) | (704) | $(15,214) | $(23,428) |
Fidelity Stock Selector Mid Cap Fund | ||||
Shares sold | 1,065 | 8,585 | $43,673 | $325,907 |
Reinvestment of distributions | 590 | 47 | 23,601 | 1,639 |
Shares redeemed | (1,489) | (1,916) | (61,012) | (73,800) |
Net increase (decrease) | 166 | 6,716 | $6,262 | $253,746 |
Class I | ||||
Shares sold | 11,975 | 4,203 | $484,838 | $158,956 |
Reinvestment of distributions | 746 | 114 | 29,881 | 4,019 |
Shares redeemed | (22,032) | (2,996) | (893,774) | (113,072) |
Net increase (decrease) | (9,311) | 1,321 | $(379,055) | $49,903 |
Class Z | ||||
Shares sold | 151 | 234 | $6,187 | $9,125 |
Reinvestment of distributions | 12 | – | 461 | – |
Shares redeemed | (33) | (22) | (1,355) | (869) |
Net increase (decrease) | 130 | 212 | $5,293 | $8,256 |
(a) Share transactions for Class Z are for the period February 1, 2017 (commencement of sale of shares) to November 30, 2017.
12. 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.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
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.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Class A | .90% | |||
Actual | $1,000.00 | $1,053.60 | $4.61 | |
Hypothetical-C | $1,000.00 | $1,020.44 | $4.53 | |
Class M | 1.15% | |||
Actual | $1,000.00 | $1,052.40 | $5.88 | |
Hypothetical-C | $1,000.00 | $1,019.20 | $5.79 | |
Class C | 1.67% | |||
Actual | $1,000.00 | $1,049.70 | $8.53 | |
Hypothetical-C | $1,000.00 | $1,016.60 | $8.40 | |
Fidelity Stock Selector Mid Cap Fund | .75% | |||
Actual | $1,000.00 | $1,054.50 | $3.84 | |
Hypothetical-C | $1,000.00 | $1,021.19 | $3.78 | |
Class I | .68% | |||
Actual | $1,000.00 | $1,054.90 | $3.48 | |
Hypothetical-C | $1,000.00 | $1,021.54 | $3.43 | |
Class Z | .51% | |||
Actual | $1,000.00 | $1,055.60 | $2.61 | |
Hypothetical-C | $1,000.00 | $1,022.39 | $2.57 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
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Fidelity Advisor® Value Strategies Fund Semi-Annual Report May 31, 2018 |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-877-208-0098 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. © 2018 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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Sempra Energy | 2.6 |
Synchrony Financial | 2.6 |
American Tower Corp. | 2.4 |
Extra Space Storage, Inc. | 2.2 |
Discover Financial Services | 2.1 |
Wells Fargo & Co. | 2.1 |
U.S. Bancorp | 2.1 |
Jazz Pharmaceuticals PLC | 2.0 |
Exelon Corp. | 1.8 |
Equity Lifestyle Properties, Inc. | 1.8 |
21.7 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Financials | 19.9 |
Real Estate | 13.6 |
Consumer Discretionary | 12.1 |
Information Technology | 10.4 |
Industrials | 10.2 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018 * | ||
Stocks | 99.9% | |
Short-Term Investments and Net Other Assets (Liabilities) | 0.1% |
* Foreign investments - 16.8%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 99.9% | |||
Shares | Value (000s) | ||
CONSUMER DISCRETIONARY - 12.1% | |||
Diversified Consumer Services - 0.7% | |||
Houghton Mifflin Harcourt Co. (a) | 931,156 | $6,332 | |
Hotels, Restaurants & Leisure - 2.9% | |||
Eldorado Resorts, Inc. (a) | 262,400 | 11,860 | |
U.S. Foods Holding Corp. (a) | 464,800 | 16,584 | |
28,444 | |||
Household Durables - 0.6% | |||
D.R. Horton, Inc. | 141,900 | 5,990 | |
Internet & Direct Marketing Retail - 0.6% | |||
Liberty Interactive Corp. QVC Group Series A (a) | 306,600 | 6,233 | |
Leisure Products - 1.0% | |||
Mattel, Inc. (b) | 647,900 | 10,055 | |
Media - 4.1% | |||
Discovery Communications, Inc. Class A (a)(b) | 264,900 | 5,587 | |
GCI Liberty, Inc. (a) | 217,100 | 9,075 | |
Liberty Global PLC Class C (a) | 305,000 | 8,442 | |
Omnicom Group, Inc. | 137,900 | 9,940 | |
Sinclair Broadcast Group, Inc. Class A (b) | 279,199 | 7,650 | |
40,694 | |||
Specialty Retail - 2.2% | |||
Lowe's Companies, Inc. | 83,000 | 7,886 | |
O'Reilly Automotive, Inc. (a) | 27,200 | 7,328 | |
Signet Jewelers Ltd. | 143,100 | 6,153 | |
21,367 | |||
TOTAL CONSUMER DISCRETIONARY | 119,115 | ||
CONSUMER STAPLES - 4.2% | |||
Beverages - 1.0% | |||
Cott Corp. | 617,564 | 9,731 | |
Food Products - 2.6% | |||
Darling International, Inc. (a) | 792,922 | 14,899 | |
The J.M. Smucker Co. | 98,000 | 10,535 | |
25,434 | |||
Household Products - 0.6% | |||
Spectrum Brands Holdings, Inc. | 81,600 | 6,503 | |
TOTAL CONSUMER STAPLES | 41,668 | ||
ENERGY - 9.6% | |||
Energy Equipment & Services - 1.3% | |||
Baker Hughes, a GE Co. Class A | 368,400 | 12,743 | |
Oil, Gas & Consumable Fuels - 8.3% | |||
Andeavor | 64,700 | 9,345 | |
Boardwalk Pipeline Partners, LP | 805,636 | 8,532 | |
Cheniere Energy, Inc. (a) | 199,300 | 13,277 | |
Encana Corp. | 597,400 | 7,602 | |
EQT Corp. | 169,600 | 8,741 | |
GasLog Ltd. | 530,261 | 9,545 | |
Lundin Petroleum AB | 423,700 | 13,433 | |
Teekay Corp. (b) | 1,472,713 | 11,752 | |
82,227 | |||
TOTAL ENERGY | 94,970 | ||
FINANCIALS - 19.9% | |||
Banks - 4.2% | |||
U.S. Bancorp | 413,584 | 20,675 | |
Wells Fargo & Co. | 385,670 | 20,822 | |
41,497 | |||
Capital Markets - 6.7% | |||
Apollo Global Management LLC Class A | 498,550 | 15,615 | |
Ares Management LP | 230,300 | 5,101 | |
Legg Mason, Inc. | 412,417 | 15,371 | |
State Street Corp. | 137,500 | 13,215 | |
The Blackstone Group LP | 545,300 | 17,411 | |
66,713 | |||
Consumer Finance - 6.7% | |||
Discover Financial Services | 286,600 | 21,168 | |
OneMain Holdings, Inc. (a) | 317,300 | 10,322 | |
SLM Corp. (a) | 808,900 | 9,246 | |
Synchrony Financial | 728,913 | 25,242 | |
65,978 | |||
Diversified Financial Services - 0.7% | |||
Donnelley Financial Solutions, Inc. (a) | 474,600 | 7,290 | |
Insurance - 1.6% | |||
Chubb Ltd. | 120,382 | 15,733 | |
TOTAL FINANCIALS | 197,211 | ||
HEALTH CARE - 5.5% | |||
Biotechnology - 1.4% | |||
Amgen, Inc. | 75,300 | 13,525 | |
Health Care Providers & Services - 1.6% | |||
CVS Health Corp. | 167,900 | 10,643 | |
McKesson Corp. | 39,900 | 5,663 | |
16,306 | |||
Pharmaceuticals - 2.5% | |||
Allergan PLC | 33,300 | 5,022 | |
Jazz Pharmaceuticals PLC (a) | 117,300 | 19,824 | |
24,846 | |||
TOTAL HEALTH CARE | 54,677 | ||
INDUSTRIALS - 10.2% | |||
Aerospace & Defense - 1.3% | |||
Huntington Ingalls Industries, Inc. | 56,100 | 12,402 | |
Airlines - 1.4% | |||
American Airlines Group, Inc. | 308,000 | 13,410 | |
Commercial Services & Supplies - 0.9% | |||
The Brink's Co. | 118,200 | 9,367 | |
Construction & Engineering - 1.6% | |||
AECOM (a) | 472,100 | 15,579 | |
Electrical Equipment - 0.7% | |||
Acuity Brands, Inc. | 60,600 | 7,166 | |
Machinery - 1.2% | |||
Allison Transmission Holdings, Inc. | 299,475 | 12,371 | |
Trading Companies & Distributors - 2.6% | |||
AerCap Holdings NV (a) | 269,337 | 14,897 | |
HD Supply Holdings, Inc. (a) | 274,200 | 11,168 | |
26,065 | |||
Transportation Infrastructure - 0.5% | |||
Macquarie Infrastructure Co. LLC | 127,800 | 4,946 | |
TOTAL INDUSTRIALS | 101,306 | ||
INFORMATION TECHNOLOGY - 10.4% | |||
Communications Equipment - 0.8% | |||
CommScope Holding Co., Inc. (a) | 253,368 | 7,429 | |
IT Services - 6.1% | |||
Amdocs Ltd. | 185,900 | 12,541 | |
Booz Allen Hamilton Holding Corp. Class A | 147,900 | 6,669 | |
Cognizant Technology Solutions Corp. Class A | 116,400 | 8,771 | |
Conduent, Inc. (a) | 574,200 | 11,053 | |
DXC Technology Co. | 78,300 | 7,212 | |
First Data Corp. Class A (a) | 743,440 | 14,125 | |
60,371 | |||
Semiconductors & Semiconductor Equipment - 2.7% | |||
Analog Devices, Inc. | 124,300 | 12,079 | |
Qualcomm, Inc. | 245,600 | 14,274 | |
26,353 | |||
Software - 0.8% | |||
Micro Focus International PLC | 471,400 | 8,352 | |
TOTAL INFORMATION TECHNOLOGY | 102,505 | ||
MATERIALS - 8.3% | |||
Chemicals - 7.0% | |||
DowDuPont, Inc. | 243,612 | 15,618 | |
Eastman Chemical Co. | 129,334 | 13,491 | |
LyondellBasell Industries NV Class A | 132,692 | 14,877 | |
Nutrien Ltd. | 171,600 | 8,683 | |
Westlake Chemical Corp. | 137,303 | 15,890 | |
68,559 | |||
Construction Materials - 1.3% | |||
Eagle Materials, Inc. | 121,400 | 13,157 | |
TOTAL MATERIALS | 81,716 | ||
REAL ESTATE - 13.6% | |||
Equity Real Estate Investment Trusts (REITs) - 12.5% | |||
American Tower Corp. | 169,908 | 23,510 | |
Douglas Emmett, Inc. | 435,400 | 16,759 | |
Equinix, Inc. | 38,800 | 15,398 | |
Equity Lifestyle Properties, Inc. | 192,500 | 17,498 | |
Extra Space Storage, Inc. | 225,428 | 21,697 | |
National Retail Properties, Inc. | 416,500 | 17,256 | |
Outfront Media, Inc. | 606,804 | 12,039 | |
124,157 | |||
Real Estate Management & Development - 1.1% | |||
CBRE Group, Inc. (a) | 230,600 | 10,651 | |
TOTAL REAL ESTATE | 134,808 | ||
UTILITIES - 6.1% | |||
Electric Utilities - 3.5% | |||
Exelon Corp. | 441,100 | 18,257 | |
PPL Corp. | 601,100 | 16,422 | |
34,679 | |||
Multi-Utilities - 2.6% | |||
Sempra Energy | 237,088 | 25,261 | |
TOTAL UTILITIES | 59,940 | ||
TOTAL COMMON STOCKS | |||
(Cost $877,067) | 987,916 | ||
Money Market Funds - 3.3% | |||
Fidelity Cash Central Fund, 1.76% (c) | 1,344,108 | 1,344 | |
Fidelity Securities Lending Cash Central Fund 1.76% (c)(d) | 30,738,945 | 30,742 | |
TOTAL MONEY MARKET FUNDS | |||
(Cost $32,086) | 32,086 | ||
TOTAL INVESTMENT IN SECURITIES - 103.2% | |||
(Cost $909,153) | 1,020,002 | ||
NET OTHER ASSETS (LIABILITIES) - (3.2)% | (31,155) | ||
NET ASSETS - 100% | $988,847 |
Legend
(a) Non-income producing
(b) Security or a portion of the security is on loan at period end.
(c) 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.
(d) Investment made with cash collateral received from securities on loan.
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 |
(Amounts in thousands) | |
Fidelity Cash Central Fund | $18 |
Fidelity Securities Lending Cash Central Fund | 292 |
Total | $310 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
(Amounts in thousands) | ||||
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $119,115 | $119,115 | $-- | $-- |
Consumer Staples | 41,668 | 41,668 | -- | -- |
Energy | 94,970 | 94,970 | -- | -- |
Financials | 197,211 | 197,211 | -- | -- |
Health Care | 54,677 | 54,677 | -- | -- |
Industrials | 101,306 | 101,306 | -- | -- |
Information Technology | 102,505 | 94,153 | 8,352 | -- |
Materials | 81,716 | 81,716 | -- | -- |
Real Estate | 134,808 | 134,808 | -- | -- |
Utilities | 59,940 | 59,940 | -- | -- |
Money Market Funds | 32,086 | 32,086 | -- | -- |
Total Investments in Securities: | $1,020,002 | $1,011,650 | $8,352 | $-- |
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 83.2% |
Netherlands | 3.0% |
Canada | 2.7% |
Ireland | 2.5% |
United Kingdom | 1.6% |
Switzerland | 1.6% |
Bermuda | 1.6% |
Sweden | 1.3% |
Bailiwick of Guernsey | 1.3% |
Marshall Islands | 1.2% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | May 31, 2018 (Unaudited) | |
Assets | ||
Investment in securities, at value (including securities loaned of $29,453) — See accompanying schedule: Unaffiliated issuers (cost $877,067) | $987,916 | |
Fidelity Central Funds (cost $32,086) | 32,086 | |
Total Investment in Securities (cost $909,153) | $1,020,002 | |
Receivable for fund shares sold | 232 | |
Dividends receivable | 1,322 | |
Distributions receivable from Fidelity Central Funds | 46 | |
Other receivables | 29 | |
Total assets | 1,021,631 | |
Liabilities | ||
Payable for fund shares redeemed | $1,347 | |
Accrued management fee | 297 | |
Distribution and service plan fees payable | 181 | |
Other affiliated payables | 176 | |
Other payables and accrued expenses | 36 | |
Collateral on securities loaned | 30,747 | |
Total liabilities | 32,784 | |
Net Assets | $988,847 | |
Net Assets consist of: | ||
Paid in capital | $808,423 | |
Undistributed net investment income | 5,598 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 63,977 | |
Net unrealized appreciation (depreciation) on investments | 110,849 | |
Net Assets | $988,847 | |
Calculation of Maximum Offering Price | ||
Class A: | ||
Net Asset Value and redemption price per share ($195,904 ÷ 5,548.7 shares) | $35.31 | |
Maximum offering price per share (100/94.25 of $35.31) | $37.46 | |
Class M: | ||
Net Asset Value and redemption price per share ($251,691 ÷ 6,779.6 shares) | $37.12 | |
Maximum offering price per share (100/96.50 of $37.12) | $38.47 | |
Class C: | ||
Net Asset Value and offering price per share ($40,843 ÷ 1,332.8 shares)(a) | $30.64 | |
Fidelity Value Strategies Fund: | ||
Net Asset Value, offering price and redemption price per share ($376,016 ÷ 9,146.2 shares) | $41.11 | |
Class K: | ||
Net Asset Value, offering price and redemption price per share ($56,185 ÷ 1,367.7 shares) | $41.08 | |
Class I: | ||
Net Asset Value, offering price and redemption price per share ($68,208 ÷ 1,766.9 shares) | $38.60 |
(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.
Statement of Operations
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | |
Investment Income | ||
Dividends | $8,981 | |
Income from Fidelity Central Funds | 310 | |
Total income | 9,291 | |
Expenses | ||
Management fee | ||
Basic fee | $2,852 | |
Performance adjustment | (457) | |
Transfer agent fees | 924 | |
Distribution and service plan fees | 1,128 | |
Accounting and security lending fees | 178 | |
Custodian fees and expenses | 11 | |
Independent trustees' fees and expenses | 2 | |
Registration fees | 68 | |
Audit | 32 | |
Legal | 1 | |
Interest | 6 | |
Miscellaneous | 4 | |
Total expenses before reductions | 4,749 | |
Expense reductions | (47) | |
Total expenses after reductions | 4,702 | |
Net investment income (loss) | 4,589 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 62,919 | |
Foreign currency transactions | 5 | |
Total net realized gain (loss) | 62,924 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers | (77,970) | |
Total change in net unrealized appreciation (depreciation) | (77,970) | |
Net gain (loss) | (15,046) | |
Net increase (decrease) in net assets resulting from operations | $(10,457) |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $4,589 | $19,237 |
Net realized gain (loss) | 62,924 | 81,495 |
Change in net unrealized appreciation (depreciation) | (77,970) | 107,647 |
Net increase (decrease) in net assets resulting from operations | (10,457) | 208,379 |
Distributions to shareholders from net investment income | (13,913) | (18,090) |
Distributions to shareholders from net realized gain | (73,150) | (229,818) |
Total distributions | (87,063) | (247,908) |
Share transactions - net increase (decrease) | (30,341) | (206,873) |
Total increase (decrease) in net assets | (127,861) | (246,402) |
Net Assets | ||
Beginning of period | 1,116,708 | 1,363,110 |
End of period | $988,847 | $1,116,708 |
Other Information | ||
Undistributed net investment income end of period | $5,598 | $14,922 |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Value Strategies Fund Class A
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $38.91 | $40.25 | $39.01 | $38.91 | $36.02 | $27.62 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .15 | .60B | .56 | .35 | .25 | .23 |
Net realized and unrealized gain (loss) | (.47) | 6.13 | 1.09 | .06 | 2.87 | 8.25 |
Total from investment operations | (.32) | 6.73 | 1.65 | .41 | 3.12 | 8.48 |
Distributions from net investment income | (.51) | (.56) | (.40) | (.28)C | (.23) | (.08) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.28) | (8.07)D | (.41) | (.31) | (.23) | (.08) |
Net asset value, end of period | $35.31 | $38.91 | $40.25 | $39.01 | $38.91 | $36.02 |
Total ReturnE,F,G | (1.03)% | 19.84% | 4.33% | 1.07% | 8.74% | 30.77% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | .96%J | .91% | .86% | .93% | .96% | 1.04% |
Expenses net of fee waivers, if any | .96%J | .91% | .86% | .93% | .96% | 1.04% |
Expenses net of all reductions | .95%J | .90% | .86% | .93% | .96% | 1.03% |
Net investment income (loss) | .81%J | 1.64%B | 1.48% | .89% | .68% | .73% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $196 | $212 | $203 | $215 | $233 | $243 |
Portfolio turnover rateK | 65%J | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.13 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.29%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $8.07 per share is comprised of distributions from net investment income of $.555 and distributions from net realized gain of $7.517 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the sales charges.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Value Strategies Fund Class M
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $40.69 | $41.72 | $40.40 | $40.28 | $37.28 | $28.58 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .11 | .54B | .49 | .28 | .18 | .18 |
Net realized and unrealized gain (loss) | (.50) | 6.40 | 1.14 | .06 | 2.98 | 8.54 |
Total from investment operations | (.39) | 6.94 | 1.63 | .34 | 3.16 | 8.72 |
Distributions from net investment income | (.41) | (.46) | (.30) | (.19)C | (.16) | (.02) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.18) | (7.97)D | (.31) | (.22) | (.16) | (.02) |
Net asset value, end of period | $37.12 | $40.69 | $41.72 | $40.40 | $40.28 | $37.28 |
Total ReturnE,F,G | (1.16)% | 19.57% | 4.11% | .86% | 8.51% | 30.52% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | 1.19%J | 1.13% | 1.08% | 1.15% | 1.17% | 1.23% |
Expenses net of fee waivers, if any | 1.19%J | 1.13% | 1.08% | 1.14% | 1.17% | 1.23% |
Expenses net of all reductions | 1.18%J | 1.13% | 1.07% | 1.14% | 1.17% | 1.22% |
Net investment income (loss) | .58%J | 1.42%B | 1.27% | .68% | .47% | .54% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $252 | $271 | $263 | $294 | $324 | $335 |
Portfolio turnover rateK | 65%J | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.13 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.06%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $7.97 per share is comprised of distributions from net investment income of $.456 and distributions from net realized gain of $7.517 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the sales charges.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Value Strategies Fund Class C
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $34.09 | $36.19 | $35.12 | $35.07 | $32.52 | $25.06 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .01 | .28B | .24 | .05 | (.03) | (.01) |
Net realized and unrealized gain (loss) | (.42) | 5.43 | .97 | .07 | 2.60 | 7.47 |
Total from investment operations | (.41) | 5.71 | 1.21 | .12 | 2.57 | 7.46 |
Distributions from net investment income | (.27) | (.30) | (.13) | (.04)C | (.02) | – |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.04) | (7.81)D | (.14) | (.07) | (.02) | – |
Net asset value, end of period | $30.64 | $34.09 | $36.19 | $35.12 | $35.07 | $32.52 |
Total ReturnE,F,G | (1.45)% | 18.97% | 3.49% | .33% | 7.91% | 29.77% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | 1.74%J | 1.68% | 1.63% | 1.70% | 1.72% | 1.78% |
Expenses net of fee waivers, if any | 1.74%J | 1.68% | 1.63% | 1.69% | 1.72% | 1.78% |
Expenses net of all reductions | 1.73%J | 1.67% | 1.63% | 1.69% | 1.72% | 1.77% |
Net investment income (loss) | .04 %J | .87%B | .72% | .13% | (.08)% | (.02)% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $41 | $46 | $44 | $49 | $53 | $54 |
Portfolio turnover rateK | 65%J | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.11 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .52%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $7.81 per share is comprised of distributions from net investment income of $.295 and distributions from net realized gain of $7.517 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the contingent deferred sales charge.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Value Strategies Fund
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $44.81 | $45.17 | $43.72 | $43.56 | $40.28 | $30.89 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .23 | .81B | .76 | .51 | .40 | .37 |
Net realized and unrealized gain (loss) | (.56) | 7.01 | 1.21 | .07 | 3.21 | 9.20 |
Total from investment operations | (.33) | 7.82 | 1.97 | .58 | 3.61 | 9.57 |
Distributions from net investment income | (.61) | (.66) | (.51) | (.39)C | (.33) | (.18) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.37)D | (8.18) | (.52) | (.42) | (.33) | (.18) |
Net asset value, end of period | $41.11 | $44.81 | $45.17 | $43.72 | $43.56 | $40.28 |
Total ReturnE,F | (.90)% | 20.18% | 4.64% | 1.35% | 9.05% | 31.14% |
Ratios to Average Net AssetsG,H | ||||||
Expenses before reductions | .69%I | .62% | .56% | .67% | .69% | .73% |
Expenses net of fee waivers, if any | .68%I | .62% | .56% | .67% | .69% | .73% |
Expenses net of all reductions | .68%I | .62% | .55% | .66% | .69% | .72% |
Net investment income (loss) | 1.09%I | 1.93%B | 1.79% | 1.16% | .95% | 1.03% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $376 | $436 | $713 | $716 | $786 | $681 |
Portfolio turnover rateJ | 65%I | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.15 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.57%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $3.37 per share is comprised of distributions from net investment income of $.608 and distributions from net realized gain of $2.765 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G 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.
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 Annualized
J Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Value Strategies Fund Class K
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $44.82 | $45.18 | $43.74 | $43.57 | $40.28 | $30.89 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .25 | .86B | .80 | .58 | .47 | .43 |
Net realized and unrealized gain (loss) | (.55) | 7.02 | 1.22 | .07 | 3.20 | 9.18 |
Total from investment operations | (.30) | 7.88 | 2.02 | .65 | 3.67 | 9.61 |
Distributions from net investment income | (.67) | (.72) | (.57) | (.45)C | (.38) | (.22) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.44) | (8.24) | (.58) | (.48) | (.38) | (.22) |
Net asset value, end of period | $41.08 | $44.82 | $45.18 | $43.74 | $43.57 | $40.28 |
Total ReturnD,E | (.85)% | 20.36% | 4.76% | 1.51% | 9.21% | 31.34% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | .56%H | .50% | .44% | .51% | .53% | .58% |
Expenses net of fee waivers, if any | .56%H | .50% | .44% | .51% | .53% | .58% |
Expenses net of all reductions | .55%H | .49% | .43% | .51% | .53% | .57% |
Net investment income (loss) | 1.21%H | 2.05%B | 1.91% | 1.31% | 1.11% | 1.18% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $56 | $79 | $68 | $72 | $97 | $119 |
Portfolio turnover rateI | 65%H | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.15 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.70%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total returns for periods of less than one year are not annualized.
E Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Value Strategies Fund Class I
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $42.27 | $43.07 | $41.71 | $41.57 | $38.46 | $29.51 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .21 | .74B | .70 | .48 | .37 | .34 |
Net realized and unrealized gain (loss) | (.52) | 6.64 | 1.15 | .08 | 3.06 | 8.79 |
Total from investment operations | (.31) | 7.38 | 1.85 | .56 | 3.43 | 9.13 |
Distributions from net investment income | (.59) | (.66) | (.48) | (.39)C | (.32) | (.18) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.36) | (8.18) | (.49) | (.42) | (.32) | (.18) |
Net asset value, end of period | $38.60 | $42.27 | $43.07 | $41.71 | $41.57 | $38.46 |
Total ReturnD,E | (.92)% | 20.13% | 4.57% | 1.36% | 9.01% | 31.11% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | .73%H | .67% | .61% | .68% | .71% | .76% |
Expenses net of fee waivers, if any | .72%H | .67% | .61% | .68% | .71% | .76% |
Expenses net of all reductions | .72%H | .66% | .61% | .68% | .71% | .75% |
Net investment income (loss) | 1.05%H | 1.88%B | 1.74% | 1.14% | .93% | 1.00% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $68 | $72 | $73 | $65 | $86 | $74 |
Portfolio turnover rateI | 65%H | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.14 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.53%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total returns for periods of less than one year are not annualized.
E Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
(Amounts in thousands except percentages)
1. Organization.
Fidelity Advisor Value Strategies Fund (the Fund) is a fund of Fidelity Advisor Series I (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 M, Class C, Fidelity Value Strategies Fund, Class K and Class I shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events. 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. For equity securities, including restricted securities, where observable inputs are limited, assumptions about market activity and risk are used and these securities may be categorized as Level 3 in the hierarchy.
Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of May 31, 2018 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. 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.
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 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 foreign currency transactions, market discount, deferred trustees compensation, partnerships and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $151,618 |
Gross unrealized depreciation | (41,393) |
Net unrealized appreciation (depreciation) | $110,225 |
Tax cost | $909,777 |
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $340,881 and $438,127, 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 .30% of the Fund's average net assets and an annualized group fee rate that averaged .24% 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. In addition, the management fee is subject to a performance adjustment (up to a maximum of +/- .20% of the Fund's average net assets over a 36 month performance period). The upward or downward adjustment to the management fee is based on the relative investment performance of the Fidelity Value Strategies Fund as compared to its benchmark index, the Russell Midcap Value Index, over the same 36 month performance period. For the reporting period, the total annualized management fee rate, including the performance adjustment, was .45% of the Fund's average net assets. The performance adjustment included in the management fee rate may be higher or lower than the maximum performance adjustment rate due to the difference between the average net assets for the reporting and performance periods.
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 Fee | Service Fee | Total Fees | Retained by FDC | |
Class A | -% | .25% | $254 | $6 |
Class M | .25% | .25% | 652 | 19 |
Class C | .75% | .25% | 222 | 10 |
$1,128 | $35 |
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 M 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 M and Class C redemptions. The deferred sales charges are 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class M shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained by FDC | |
Class A | $11 |
Class M | 3 |
Class C(a) | 3 |
$17 |
(a) When Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of 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, except for Class K. FIIOC receives an asset-based fee of Class K's average net assets. 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-Level Average Net Assets(a) | |
Class A | $201 | .20 |
Class M | 231 | .18 |
Class C | 49 | .22 |
Fidelity Value Strategies Fund | 351 | .17 |
Class K | 16 | .05 |
Class I | 76 | .21 |
$924 |
(a) 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. For the period, the fees were equivalent to an annualized rate of .03%.
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 $8 for the period.
Interfund Lending Program. Pursuant to an Exemptive Order issued by the SEC, the Fund, along with other registered investment companies having management contracts with Fidelity Management & Research Company (FMR) or other affiliated entities of FMR, may participate in an interfund lending program. This program provides an alternative credit facility allowing the funds to borrow from, or lend money to, other participating affiliated funds. At period end, there were no interfund loans outstanding. The Fund's activity in this program during the period for which loans were outstanding was as follows:
Borrower or Lender | Average Loan Balance | Weighted Average Interest Rate | Interest Expense |
Borrower | $12,060 | 1.63% | $6 |
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
6. 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 $2 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
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. The Fund or borrower may terminate the loan at any time, and 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 $292. 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 $41 for the period
In addition, during the period the investment adviser reimbursed and/or waived a portion of fund-level operating expenses in the amount of $6.
9. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended May 31, 2018 | Year ended November 30, 2017 | |
From net investment income | ||
Class A | $2,758 | $2,766 |
Class M | 2,730 | 2,831 |
Class C | 365 | 357 |
Fidelity Value Strategies Fund | 5,863 | 9,926 |
Class K | 1,178 | 1,087 |
Class I | 1,019 | 1,123 |
Total | $13,913 | $18,090 |
From net realized gain | ||
Class A | $14,864 | $37,462 |
Class M | 18,324 | 46,673 |
Class C | 3,697 | 9,088 |
Fidelity Value Strategies Fund | 26,664 | 112,547 |
Class K | 4,859 | 11,298 |
Class I | 4,742 | 12,750 |
Total | $73,150 | $229,818 |
10. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
Shares | Shares | Dollars | Dollars | |
Six months ended May 31, 2018 | Year ended November 30, 2017 | Six months ended May 31, 2018 | Year ended November 30, 2017 | |
Class A | ||||
Shares sold | 135 | 296 | $4,845 | $10,638 |
Reinvestment of distributions | 464 | 1,127 | 16,785 | 37,943 |
Shares redeemed | (493) | (1,026) | (17,826) | (36,865) |
Net increase (decrease) | 106 | 397 | $3,804 | $11,716 |
Class M | ||||
Shares sold | 150 | 349 | $5,650 | $13,029 |
Reinvestment of distributions | 516 | 1,294 | 19,633 | 45,666 |
Shares redeemed | (550) | (1,277) | (20,794) | (48,234) |
Net increase (decrease) | 116 | 366 | $4,489 | $10,461 |
Class C | ||||
Shares sold | 64 | 89 | $2,031 | $2,827 |
Reinvestment of distributions | 126 | 307 | 3,972 | 9,116 |
Shares redeemed | (209) | (264) | (6,546) | (8,379) |
Net increase (decrease) | (19) | 132 | $(543) | $3,564 |
Fidelity Value Strategies Fund | ||||
Shares sold | 330 | 1,169 | $14,000 | $50,402 |
Reinvestment of distributions | 730 | 2,966 | 30,693 | 114,742 |
Shares redeemed | (1,640) | (10,188) | (68,549) | (409,648) |
Net increase (decrease) | (580) | (6,053) | $(23,856) | $(244,504) |
Class K | ||||
Shares sold | 220 | 617 | $9,345 | $26,514 |
Reinvestment of distributions | 144 | 321 | 6,037 | 12,384 |
Shares redeemed | (767) | (665) | (31,819) | (27,215) |
Net increase (decrease) | (403) | 273 | $(16,437) | $11,683 |
Class I | ||||
Shares sold | 123 | 459 | $4,901 | $17,823 |
Reinvestment of distributions | 139 | 339 | 5,482 | 12,386 |
Shares redeemed | (209) | (774) | (8,181) | (30,001) |
Net increase (decrease) | 53 | 24 | $2,202 | $208 |
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.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
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.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Class A | .96% | |||
Actual | $1,000.00 | $989.70 | $4.76 | |
Hypothetical-C | $1,000.00 | $1,020.14 | $4.84 | |
Class M | 1.19% | |||
Actual | $1,000.00 | $988.40 | $5.90 | |
Hypothetical-C | $1,000.00 | $1,019.00 | $5.99 | |
Class C | 1.74% | |||
Actual | $1,000.00 | $985.50 | $8.61 | |
Hypothetical-C | $1,000.00 | $1,016.26 | $8.75 | |
Fidelity Value Strategies Fund | .68% | |||
Actual | $1,000.00 | $991.00 | $3.38 | |
Hypothetical-C | $1,000.00 | $1,021.54 | $3.43 | |
Class K | .56% | |||
Actual | $1,000.00 | $991.50 | $2.78 | |
Hypothetical-C | $1,000.00 | $1,022.14 | $2.82 | |
Class I | .72% | |||
Actual | $1,000.00 | $990.80 | $3.57 | |
Hypothetical-C | $1,000.00 | $1,021.34 | $3.63 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
SO-SANN-0718
1.704744.120
Fidelity® Value Strategies Fund Semi-Annual Report May 31, 2018 (A class of Fidelity Advisor® Value Strategies Fund) |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-800-835-5092 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third-party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company. © 2018 FMR LLC. All rights reserved.
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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Sempra Energy | 2.6 |
Synchrony Financial | 2.6 |
American Tower Corp. | 2.4 |
Extra Space Storage, Inc. | 2.2 |
Discover Financial Services | 2.1 |
Wells Fargo & Co. | 2.1 |
U.S. Bancorp | 2.1 |
Jazz Pharmaceuticals PLC | 2.0 |
Exelon Corp. | 1.8 |
Equity Lifestyle Properties, Inc. | 1.8 |
21.7 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Financials | 19.9 |
Real Estate | 13.6 |
Consumer Discretionary | 12.1 |
Information Technology | 10.4 |
Industrials | 10.2 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018 * | ||
Stocks | 99.9% | |
Short-Term Investments and Net Other Assets (Liabilities) | 0.1% |
* Foreign investments - 16.8%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 99.9% | |||
Shares | Value (000s) | ||
CONSUMER DISCRETIONARY - 12.1% | |||
Diversified Consumer Services - 0.7% | |||
Houghton Mifflin Harcourt Co. (a) | 931,156 | $6,332 | |
Hotels, Restaurants & Leisure - 2.9% | |||
Eldorado Resorts, Inc. (a) | 262,400 | 11,860 | |
U.S. Foods Holding Corp. (a) | 464,800 | 16,584 | |
28,444 | |||
Household Durables - 0.6% | |||
D.R. Horton, Inc. | 141,900 | 5,990 | |
Internet & Direct Marketing Retail - 0.6% | |||
Liberty Interactive Corp. QVC Group Series A (a) | 306,600 | 6,233 | |
Leisure Products - 1.0% | |||
Mattel, Inc. (b) | 647,900 | 10,055 | |
Media - 4.1% | |||
Discovery Communications, Inc. Class A (a)(b) | 264,900 | 5,587 | |
GCI Liberty, Inc. (a) | 217,100 | 9,075 | |
Liberty Global PLC Class C (a) | 305,000 | 8,442 | |
Omnicom Group, Inc. | 137,900 | 9,940 | |
Sinclair Broadcast Group, Inc. Class A (b) | 279,199 | 7,650 | |
40,694 | |||
Specialty Retail - 2.2% | |||
Lowe's Companies, Inc. | 83,000 | 7,886 | |
O'Reilly Automotive, Inc. (a) | 27,200 | 7,328 | |
Signet Jewelers Ltd. | 143,100 | 6,153 | |
21,367 | |||
TOTAL CONSUMER DISCRETIONARY | 119,115 | ||
CONSUMER STAPLES - 4.2% | |||
Beverages - 1.0% | |||
Cott Corp. | 617,564 | 9,731 | |
Food Products - 2.6% | |||
Darling International, Inc. (a) | 792,922 | 14,899 | |
The J.M. Smucker Co. | 98,000 | 10,535 | |
25,434 | |||
Household Products - 0.6% | |||
Spectrum Brands Holdings, Inc. | 81,600 | 6,503 | |
TOTAL CONSUMER STAPLES | 41,668 | ||
ENERGY - 9.6% | |||
Energy Equipment & Services - 1.3% | |||
Baker Hughes, a GE Co. Class A | 368,400 | 12,743 | |
Oil, Gas & Consumable Fuels - 8.3% | |||
Andeavor | 64,700 | 9,345 | |
Boardwalk Pipeline Partners, LP | 805,636 | 8,532 | |
Cheniere Energy, Inc. (a) | 199,300 | 13,277 | |
Encana Corp. | 597,400 | 7,602 | |
EQT Corp. | 169,600 | 8,741 | |
GasLog Ltd. | 530,261 | 9,545 | |
Lundin Petroleum AB | 423,700 | 13,433 | |
Teekay Corp. (b) | 1,472,713 | 11,752 | |
82,227 | |||
TOTAL ENERGY | 94,970 | ||
FINANCIALS - 19.9% | |||
Banks - 4.2% | |||
U.S. Bancorp | 413,584 | 20,675 | |
Wells Fargo & Co. | 385,670 | 20,822 | |
41,497 | |||
Capital Markets - 6.7% | |||
Apollo Global Management LLC Class A | 498,550 | 15,615 | |
Ares Management LP | 230,300 | 5,101 | |
Legg Mason, Inc. | 412,417 | 15,371 | |
State Street Corp. | 137,500 | 13,215 | |
The Blackstone Group LP | 545,300 | 17,411 | |
66,713 | |||
Consumer Finance - 6.7% | |||
Discover Financial Services | 286,600 | 21,168 | |
OneMain Holdings, Inc. (a) | 317,300 | 10,322 | |
SLM Corp. (a) | 808,900 | 9,246 | |
Synchrony Financial | 728,913 | 25,242 | |
65,978 | |||
Diversified Financial Services - 0.7% | |||
Donnelley Financial Solutions, Inc. (a) | 474,600 | 7,290 | |
Insurance - 1.6% | |||
Chubb Ltd. | 120,382 | 15,733 | |
TOTAL FINANCIALS | 197,211 | ||
HEALTH CARE - 5.5% | |||
Biotechnology - 1.4% | |||
Amgen, Inc. | 75,300 | 13,525 | |
Health Care Providers & Services - 1.6% | |||
CVS Health Corp. | 167,900 | 10,643 | |
McKesson Corp. | 39,900 | 5,663 | |
16,306 | |||
Pharmaceuticals - 2.5% | |||
Allergan PLC | 33,300 | 5,022 | |
Jazz Pharmaceuticals PLC (a) | 117,300 | 19,824 | |
24,846 | |||
TOTAL HEALTH CARE | 54,677 | ||
INDUSTRIALS - 10.2% | |||
Aerospace & Defense - 1.3% | |||
Huntington Ingalls Industries, Inc. | 56,100 | 12,402 | |
Airlines - 1.4% | |||
American Airlines Group, Inc. | 308,000 | 13,410 | |
Commercial Services & Supplies - 0.9% | |||
The Brink's Co. | 118,200 | 9,367 | |
Construction & Engineering - 1.6% | |||
AECOM (a) | 472,100 | 15,579 | |
Electrical Equipment - 0.7% | |||
Acuity Brands, Inc. | 60,600 | 7,166 | |
Machinery - 1.2% | |||
Allison Transmission Holdings, Inc. | 299,475 | 12,371 | |
Trading Companies & Distributors - 2.6% | |||
AerCap Holdings NV (a) | 269,337 | 14,897 | |
HD Supply Holdings, Inc. (a) | 274,200 | 11,168 | |
26,065 | |||
Transportation Infrastructure - 0.5% | |||
Macquarie Infrastructure Co. LLC | 127,800 | 4,946 | |
TOTAL INDUSTRIALS | 101,306 | ||
INFORMATION TECHNOLOGY - 10.4% | |||
Communications Equipment - 0.8% | |||
CommScope Holding Co., Inc. (a) | 253,368 | 7,429 | |
IT Services - 6.1% | |||
Amdocs Ltd. | 185,900 | 12,541 | |
Booz Allen Hamilton Holding Corp. Class A | 147,900 | 6,669 | |
Cognizant Technology Solutions Corp. Class A | 116,400 | 8,771 | |
Conduent, Inc. (a) | 574,200 | 11,053 | |
DXC Technology Co. | 78,300 | 7,212 | |
First Data Corp. Class A (a) | 743,440 | 14,125 | |
60,371 | |||
Semiconductors & Semiconductor Equipment - 2.7% | |||
Analog Devices, Inc. | 124,300 | 12,079 | |
Qualcomm, Inc. | 245,600 | 14,274 | |
26,353 | |||
Software - 0.8% | |||
Micro Focus International PLC | 471,400 | 8,352 | |
TOTAL INFORMATION TECHNOLOGY | 102,505 | ||
MATERIALS - 8.3% | |||
Chemicals - 7.0% | |||
DowDuPont, Inc. | 243,612 | 15,618 | |
Eastman Chemical Co. | 129,334 | 13,491 | |
LyondellBasell Industries NV Class A | 132,692 | 14,877 | |
Nutrien Ltd. | 171,600 | 8,683 | |
Westlake Chemical Corp. | 137,303 | 15,890 | |
68,559 | |||
Construction Materials - 1.3% | |||
Eagle Materials, Inc. | 121,400 | 13,157 | |
TOTAL MATERIALS | 81,716 | ||
REAL ESTATE - 13.6% | |||
Equity Real Estate Investment Trusts (REITs) - 12.5% | |||
American Tower Corp. | 169,908 | 23,510 | |
Douglas Emmett, Inc. | 435,400 | 16,759 | |
Equinix, Inc. | 38,800 | 15,398 | |
Equity Lifestyle Properties, Inc. | 192,500 | 17,498 | |
Extra Space Storage, Inc. | 225,428 | 21,697 | |
National Retail Properties, Inc. | 416,500 | 17,256 | |
Outfront Media, Inc. | 606,804 | 12,039 | |
124,157 | |||
Real Estate Management & Development - 1.1% | |||
CBRE Group, Inc. (a) | 230,600 | 10,651 | |
TOTAL REAL ESTATE | 134,808 | ||
UTILITIES - 6.1% | |||
Electric Utilities - 3.5% | |||
Exelon Corp. | 441,100 | 18,257 | |
PPL Corp. | 601,100 | 16,422 | |
34,679 | |||
Multi-Utilities - 2.6% | |||
Sempra Energy | 237,088 | 25,261 | |
TOTAL UTILITIES | 59,940 | ||
TOTAL COMMON STOCKS | |||
(Cost $877,067) | 987,916 | ||
Money Market Funds - 3.3% | |||
Fidelity Cash Central Fund, 1.76% (c) | 1,344,108 | 1,344 | |
Fidelity Securities Lending Cash Central Fund 1.76% (c)(d) | 30,738,945 | 30,742 | |
TOTAL MONEY MARKET FUNDS | |||
(Cost $32,086) | 32,086 | ||
TOTAL INVESTMENT IN SECURITIES - 103.2% | |||
(Cost $909,153) | 1,020,002 | ||
NET OTHER ASSETS (LIABILITIES) - (3.2)% | (31,155) | ||
NET ASSETS - 100% | $988,847 |
Legend
(a) Non-income producing
(b) Security or a portion of the security is on loan at period end.
(c) 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.
(d) Investment made with cash collateral received from securities on loan.
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 |
(Amounts in thousands) | |
Fidelity Cash Central Fund | $18 |
Fidelity Securities Lending Cash Central Fund | 292 |
Total�� | $310 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
(Amounts in thousands) | ||||
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $119,115 | $119,115 | $-- | $-- |
Consumer Staples | 41,668 | 41,668 | -- | -- |
Energy | 94,970 | 94,970 | -- | -- |
Financials | 197,211 | 197,211 | -- | -- |
Health Care | 54,677 | 54,677 | -- | -- |
Industrials | 101,306 | 101,306 | -- | -- |
Information Technology | 102,505 | 94,153 | 8,352 | -- |
Materials | 81,716 | 81,716 | -- | -- |
Real Estate | 134,808 | 134,808 | -- | -- |
Utilities | 59,940 | 59,940 | -- | -- |
Money Market Funds | 32,086 | 32,086 | -- | -- |
Total Investments in Securities: | $1,020,002 | $1,011,650 | $8,352 | $-- |
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 83.2% |
Netherlands | 3.0% |
Canada | 2.7% |
Ireland | 2.5% |
United Kingdom | 1.6% |
Switzerland | 1.6% |
Bermuda | 1.6% |
Sweden | 1.3% |
Bailiwick of Guernsey | 1.3% |
Marshall Islands | 1.2% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | May 31, 2018 (Unaudited) | |
Assets | ||
Investment in securities, at value (including securities loaned of $29,453) — See accompanying schedule: Unaffiliated issuers (cost $877,067) | $987,916 | |
Fidelity Central Funds (cost $32,086) | 32,086 | |
Total Investment in Securities (cost $909,153) | $1,020,002 | |
Receivable for fund shares sold | 232 | |
Dividends receivable | 1,322 | |
Distributions receivable from Fidelity Central Funds | 46 | |
Other receivables | 29 | |
Total assets | 1,021,631 | |
Liabilities | ||
Payable for fund shares redeemed | $1,347 | |
Accrued management fee | 297 | |
Distribution and service plan fees payable | 181 | |
Other affiliated payables | 176 | |
Other payables and accrued expenses | 36 | |
Collateral on securities loaned | 30,747 | |
Total liabilities | 32,784 | |
Net Assets | $988,847 | |
Net Assets consist of: | ||
Paid in capital | $808,423 | |
Undistributed net investment income | 5,598 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 63,977 | |
Net unrealized appreciation (depreciation) on investments | 110,849 | |
Net Assets | $988,847 | |
Calculation of Maximum Offering Price | ||
Class A: | ||
Net Asset Value and redemption price per share ($195,904 ÷ 5,548.7 shares) | $35.31 | |
Maximum offering price per share (100/94.25 of $35.31) | $37.46 | |
Class M: | ||
Net Asset Value and redemption price per share ($251,691 ÷ 6,779.6 shares) | $37.12 | |
Maximum offering price per share (100/96.50 of $37.12) | $38.47 | |
Class C: | ||
Net Asset Value and offering price per share ($40,843 ÷ 1,332.8 shares)(a) | $30.64 | |
Fidelity Value Strategies Fund: | ||
Net Asset Value, offering price and redemption price per share ($376,016 ÷ 9,146.2 shares) | $41.11 | |
Class K: | ||
Net Asset Value, offering price and redemption price per share ($56,185 ÷ 1,367.7 shares) | $41.08 | |
Class I: | ||
Net Asset Value, offering price and redemption price per share ($68,208 ÷ 1,766.9 shares) | $38.60 |
(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.
Statement of Operations
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | |
Investment Income | ||
Dividends | $8,981 | |
Income from Fidelity Central Funds | 310 | |
Total income | 9,291 | |
Expenses | ||
Management fee | ||
Basic fee | $2,852 | |
Performance adjustment | (457) | |
Transfer agent fees | 924 | |
Distribution and service plan fees | 1,128 | |
Accounting and security lending fees | 178 | |
Custodian fees and expenses | 11 | |
Independent trustees' fees and expenses | 2 | |
Registration fees | 68 | |
Audit | 32 | |
Legal | 1 | |
Interest | 6 | |
Miscellaneous | 4 | |
Total expenses before reductions | 4,749 | |
Expense reductions | (47) | |
Total expenses after reductions | 4,702 | |
Net investment income (loss) | 4,589 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 62,919 | |
Foreign currency transactions | 5 | |
Total net realized gain (loss) | 62,924 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers | (77,970) | |
Total change in net unrealized appreciation (depreciation) | (77,970) | |
Net gain (loss) | (15,046) | |
Net increase (decrease) in net assets resulting from operations | $(10,457) |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $4,589 | $19,237 |
Net realized gain (loss) | 62,924 | 81,495 |
Change in net unrealized appreciation (depreciation) | (77,970) | 107,647 |
Net increase (decrease) in net assets resulting from operations | (10,457) | 208,379 |
Distributions to shareholders from net investment income | (13,913) | (18,090) |
Distributions to shareholders from net realized gain | (73,150) | (229,818) |
Total distributions | (87,063) | (247,908) |
Share transactions - net increase (decrease) | (30,341) | (206,873) |
Total increase (decrease) in net assets | (127,861) | (246,402) |
Net Assets | ||
Beginning of period | 1,116,708 | 1,363,110 |
End of period | $988,847 | $1,116,708 |
Other Information | ||
Undistributed net investment income end of period | $5,598 | $14,922 |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Value Strategies Fund Class A
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $38.91 | $40.25 | $39.01 | $38.91 | $36.02 | $27.62 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .15 | .60B | .56 | .35 | .25 | .23 |
Net realized and unrealized gain (loss) | (.47) | 6.13 | 1.09 | .06 | 2.87 | 8.25 |
Total from investment operations | (.32) | 6.73 | 1.65 | .41 | 3.12 | 8.48 |
Distributions from net investment income | (.51) | (.56) | (.40) | (.28)C | (.23) | (.08) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.28) | (8.07)D | (.41) | (.31) | (.23) | (.08) |
Net asset value, end of period | $35.31 | $38.91 | $40.25 | $39.01 | $38.91 | $36.02 |
Total ReturnE,F,G | (1.03)% | 19.84% | 4.33% | 1.07% | 8.74% | 30.77% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | .96%J | .91% | .86% | .93% | .96% | 1.04% |
Expenses net of fee waivers, if any | .96%J | .91% | .86% | .93% | .96% | 1.04% |
Expenses net of all reductions | .95%J | .90% | .86% | .93% | .96% | 1.03% |
Net investment income (loss) | .81%J | 1.64%B | 1.48% | .89% | .68% | .73% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $196 | $212 | $203 | $215 | $233 | $243 |
Portfolio turnover rateK | 65%J | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.13 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.29%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $8.07 per share is comprised of distributions from net investment income of $.555 and distributions from net realized gain of $7.517 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the sales charges.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Value Strategies Fund Class M
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $40.69 | $41.72 | $40.40 | $40.28 | $37.28 | $28.58 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .11 | .54B | .49 | .28 | .18 | .18 |
Net realized and unrealized gain (loss) | (.50) | 6.40 | 1.14 | .06 | 2.98 | 8.54 |
Total from investment operations | (.39) | 6.94 | 1.63 | .34 | 3.16 | 8.72 |
Distributions from net investment income | (.41) | (.46) | (.30) | (.19)C | (.16) | (.02) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.18) | (7.97)D | (.31) | (.22) | (.16) | (.02) |
Net asset value, end of period | $37.12 | $40.69 | $41.72 | $40.40 | $40.28 | $37.28 |
Total ReturnE,F,G | (1.16)% | 19.57% | 4.11% | .86% | 8.51% | 30.52% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | 1.19%J | 1.13% | 1.08% | 1.15% | 1.17% | 1.23% |
Expenses net of fee waivers, if any | 1.19%J | 1.13% | 1.08% | 1.14% | 1.17% | 1.23% |
Expenses net of all reductions | 1.18%J | 1.13% | 1.07% | 1.14% | 1.17% | 1.22% |
Net investment income (loss) | .58%J | 1.42%B | 1.27% | .68% | .47% | .54% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $252 | $271 | $263 | $294 | $324 | $335 |
Portfolio turnover rateK | 65%J | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.13 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.06%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $7.97 per share is comprised of distributions from net investment income of $.456 and distributions from net realized gain of $7.517 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the sales charges.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Value Strategies Fund Class C
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $34.09 | $36.19 | $35.12 | $35.07 | $32.52 | $25.06 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .01 | .28B | .24 | .05 | (.03) | (.01) |
Net realized and unrealized gain (loss) | (.42) | 5.43 | .97 | .07 | 2.60 | 7.47 |
Total from investment operations | (.41) | 5.71 | 1.21 | .12 | 2.57 | 7.46 |
Distributions from net investment income | (.27) | (.30) | (.13) | (.04)C | (.02) | – |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.04) | (7.81)D | (.14) | (.07) | (.02) | – |
Net asset value, end of period | $30.64 | $34.09 | $36.19 | $35.12 | $35.07 | $32.52 |
Total ReturnE,F,G | (1.45)% | 18.97% | 3.49% | .33% | 7.91% | 29.77% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | 1.74%J | 1.68% | 1.63% | 1.70% | 1.72% | 1.78% |
Expenses net of fee waivers, if any | 1.74%J | 1.68% | 1.63% | 1.69% | 1.72% | 1.78% |
Expenses net of all reductions | 1.73%J | 1.67% | 1.63% | 1.69% | 1.72% | 1.77% |
Net investment income (loss) | .04 %J | .87%B | .72% | .13% | (.08)% | (.02)% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $41 | $46 | $44 | $49 | $53 | $54 |
Portfolio turnover rateK | 65%J | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.11 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .52%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $7.81 per share is comprised of distributions from net investment income of $.295 and distributions from net realized gain of $7.517 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the contingent deferred sales charge.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Value Strategies Fund
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $44.81 | $45.17 | $43.72 | $43.56 | $40.28 | $30.89 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .23 | .81B | .76 | .51 | .40 | .37 |
Net realized and unrealized gain (loss) | (.56) | 7.01 | 1.21 | .07 | 3.21 | 9.20 |
Total from investment operations | (.33) | 7.82 | 1.97 | .58 | 3.61 | 9.57 |
Distributions from net investment income | (.61) | (.66) | (.51) | (.39)C | (.33) | (.18) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.37)D | (8.18) | (.52) | (.42) | (.33) | (.18) |
Net asset value, end of period | $41.11 | $44.81 | $45.17 | $43.72 | $43.56 | $40.28 |
Total ReturnE,F | (.90)% | 20.18% | 4.64% | 1.35% | 9.05% | 31.14% |
Ratios to Average Net AssetsG,H | ||||||
Expenses before reductions | .69%I | .62% | .56% | .67% | .69% | .73% |
Expenses net of fee waivers, if any | .68%I | .62% | .56% | .67% | .69% | .73% |
Expenses net of all reductions | .68%I | .62% | .55% | .66% | .69% | .72% |
Net investment income (loss) | 1.09%I | 1.93%B | 1.79% | 1.16% | .95% | 1.03% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $376 | $436 | $713 | $716 | $786 | $681 |
Portfolio turnover rateJ | 65%I | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.15 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.57%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $3.37 per share is comprised of distributions from net investment income of $.608 and distributions from net realized gain of $2.765 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G 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.
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 Annualized
J Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Value Strategies Fund Class K
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $44.82 | $45.18 | $43.74 | $43.57 | $40.28 | $30.89 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .25 | .86B | .80 | .58 | .47 | .43 |
Net realized and unrealized gain (loss) | (.55) | 7.02 | 1.22 | .07 | 3.20 | 9.18 |
Total from investment operations | (.30) | 7.88 | 2.02 | .65 | 3.67 | 9.61 |
Distributions from net investment income | (.67) | (.72) | (.57) | (.45)C | (.38) | (.22) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.44) | (8.24) | (.58) | (.48) | (.38) | (.22) |
Net asset value, end of period | $41.08 | $44.82 | $45.18 | $43.74 | $43.57 | $40.28 |
Total ReturnD,E | (.85)% | 20.36% | 4.76% | 1.51% | 9.21% | 31.34% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | .56%H | .50% | .44% | .51% | .53% | .58% |
Expenses net of fee waivers, if any | .56%H | .50% | .44% | .51% | .53% | .58% |
Expenses net of all reductions | .55%H | .49% | .43% | .51% | .53% | .57% |
Net investment income (loss) | 1.21%H | 2.05%B | 1.91% | 1.31% | 1.11% | 1.18% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $56 | $79 | $68 | $72 | $97 | $119 |
Portfolio turnover rateI | 65%H | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.15 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.70%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total returns for periods of less than one year are not annualized.
E Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Value Strategies Fund Class I
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $42.27 | $43.07 | $41.71 | $41.57 | $38.46 | $29.51 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .21 | .74B | .70 | .48 | .37 | .34 |
Net realized and unrealized gain (loss) | (.52) | 6.64 | 1.15 | .08 | 3.06 | 8.79 |
Total from investment operations | (.31) | 7.38 | 1.85 | .56 | 3.43 | 9.13 |
Distributions from net investment income | (.59) | (.66) | (.48) | (.39)C | (.32) | (.18) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.36) | (8.18) | (.49) | (.42) | (.32) | (.18) |
Net asset value, end of period | $38.60 | $42.27 | $43.07 | $41.71 | $41.57 | $38.46 |
Total ReturnD,E | (.92)% | 20.13% | 4.57% | 1.36% | 9.01% | 31.11% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | .73%H | .67% | .61% | .68% | .71% | .76% |
Expenses net of fee waivers, if any | .72%H | .67% | .61% | .68% | .71% | .76% |
Expenses net of all reductions | .72%H | .66% | .61% | .68% | .71% | .75% |
Net investment income (loss) | 1.05%H | 1.88%B | 1.74% | 1.14% | .93% | 1.00% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $68 | $72 | $73 | $65 | $86 | $74 |
Portfolio turnover rateI | 65%H | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.14 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.53%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total returns for periods of less than one year are not annualized.
E Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
(Amounts in thousands except percentages)
1. Organization.
Fidelity Advisor Value Strategies Fund (the Fund) is a fund of Fidelity Advisor Series I (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 M, Class C, Fidelity Value Strategies Fund, Class K and Class I shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events. 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. For equity securities, including restricted securities, where observable inputs are limited, assumptions about market activity and risk are used and these securities may be categorized as Level 3 in the hierarchy.
Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of May 31, 2018 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. 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.
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 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 foreign currency transactions, market discount, deferred trustees compensation, partnerships and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $151,618 |
Gross unrealized depreciation | (41,393) |
Net unrealized appreciation (depreciation) | $110,225 |
Tax cost | $909,777 |
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $340,881 and $438,127, 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 .30% of the Fund's average net assets and an annualized group fee rate that averaged .24% 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. In addition, the management fee is subject to a performance adjustment (up to a maximum of +/- .20% of the Fund's average net assets over a 36 month performance period). The upward or downward adjustment to the management fee is based on the relative investment performance of the Fidelity Value Strategies Fund as compared to its benchmark index, the Russell Midcap Value Index, over the same 36 month performance period. For the reporting period, the total annualized management fee rate, including the performance adjustment, was .45% of the Fund's average net assets. The performance adjustment included in the management fee rate may be higher or lower than the maximum performance adjustment rate due to the difference between the average net assets for the reporting and performance periods.
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 Fee | Service Fee | Total Fees | Retained by FDC | |
Class A | -% | .25% | $254 | $6 |
Class M | .25% | .25% | 652 | 19 |
Class C | .75% | .25% | 222 | 10 |
$1,128 | $35 |
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 M 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 M and Class C redemptions. The deferred sales charges are 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class M shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained by FDC | |
Class A | $11 |
Class M | 3 |
Class C(a) | 3 |
$17 |
(a) When Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of 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, except for Class K. FIIOC receives an asset-based fee of Class K's average net assets. 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-Level Average Net Assets(a) | |
Class A | $201 | .20 |
Class M | 231 | .18 |
Class C | 49 | .22 |
Fidelity Value Strategies Fund | 351 | .17 |
Class K | 16 | .05 |
Class I | 76 | .21 |
$924 |
(a) 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. For the period, the fees were equivalent to an annualized rate of .03%.
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 $8 for the period.
Interfund Lending Program. Pursuant to an Exemptive Order issued by the SEC, the Fund, along with other registered investment companies having management contracts with Fidelity Management & Research Company (FMR) or other affiliated entities of FMR, may participate in an interfund lending program. This program provides an alternative credit facility allowing the funds to borrow from, or lend money to, other participating affiliated funds. At period end, there were no interfund loans outstanding. The Fund's activity in this program during the period for which loans were outstanding was as follows:
Borrower or Lender | Average Loan Balance | Weighted Average Interest Rate | Interest Expense |
Borrower | $12,060 | 1.63% | $6 |
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
6. 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 $2 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
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. The Fund or borrower may terminate the loan at any time, and 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 $292. 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 $41 for the period
In addition, during the period the investment adviser reimbursed and/or waived a portion of fund-level operating expenses in the amount of $6.
9. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended May 31, 2018 | Year ended November 30, 2017 | |
From net investment income | ||
Class A | $2,758 | $2,766 |
Class M | 2,730 | 2,831 |
Class C | 365 | 357 |
Fidelity Value Strategies Fund | 5,863 | 9,926 |
Class K | 1,178 | 1,087 |
Class I | 1,019 | 1,123 |
Total | $13,913 | $18,090 |
From net realized gain | ||
Class A | $14,864 | $37,462 |
Class M | 18,324 | 46,673 |
Class C | 3,697 | 9,088 |
Fidelity Value Strategies Fund | 26,664 | 112,547 |
Class K | 4,859 | 11,298 |
Class I | 4,742 | 12,750 |
Total | $73,150 | $229,818 |
10. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
Shares | Shares | Dollars | Dollars | |
Six months ended May 31, 2018 | Year ended November 30, 2017 | Six months ended May 31, 2018 | Year ended November 30, 2017 | |
Class A | ||||
Shares sold | 135 | 296 | $4,845 | $10,638 |
Reinvestment of distributions | 464 | 1,127 | 16,785 | 37,943 |
Shares redeemed | (493) | (1,026) | (17,826) | (36,865) |
Net increase (decrease) | 106 | 397 | $3,804 | $11,716 |
Class M | ||||
Shares sold | 150 | 349 | $5,650 | $13,029 |
Reinvestment of distributions | 516 | 1,294 | 19,633 | 45,666 |
Shares redeemed | (550) | (1,277) | (20,794) | (48,234) |
Net increase (decrease) | 116 | 366 | $4,489 | $10,461 |
Class C | ||||
Shares sold | 64 | 89 | $2,031 | $2,827 |
Reinvestment of distributions | 126 | 307 | 3,972 | 9,116 |
Shares redeemed | (209) | (264) | (6,546) | (8,379) |
Net increase (decrease) | (19) | 132 | $(543) | $3,564 |
Fidelity Value Strategies Fund | ||||
Shares sold | 330 | 1,169 | $14,000 | $50,402 |
Reinvestment of distributions | 730 | 2,966 | 30,693 | 114,742 |
Shares redeemed | (1,640) | (10,188) | (68,549) | (409,648) |
Net increase (decrease) | (580) | (6,053) | $(23,856) | $(244,504) |
Class K | ||||
Shares sold | 220 | 617 | $9,345 | $26,514 |
Reinvestment of distributions | 144 | 321 | 6,037 | 12,384 |
Shares redeemed | (767) | (665) | (31,819) | (27,215) |
Net increase (decrease) | (403) | 273 | $(16,437) | $11,683 |
Class I | ||||
Shares sold | 123 | 459 | $4,901 | $17,823 |
Reinvestment of distributions | 139 | 339 | 5,482 | 12,386 |
Shares redeemed | (209) | (774) | (8,181) | (30,001) |
Net increase (decrease) | 53 | 24 | $2,202 | $208 |
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.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
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.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Class A | .96% | |||
Actual | $1,000.00 | $989.70 | $4.76 | |
Hypothetical-C | $1,000.00 | $1,020.14 | $4.84 | |
Class M | 1.19% | |||
Actual | $1,000.00 | $988.40 | $5.90 | |
Hypothetical-C | $1,000.00 | $1,019.00 | $5.99 | |
Class C | 1.74% | |||
Actual | $1,000.00 | $985.50 | $8.61 | |
Hypothetical-C | $1,000.00 | $1,016.26 | $8.75 | |
Fidelity Value Strategies Fund | .68% | |||
Actual | $1,000.00 | $991.00 | $3.38 | |
Hypothetical-C | $1,000.00 | $1,021.54 | $3.43 | |
Class K | .56% | |||
Actual | $1,000.00 | $991.50 | $2.78 | |
Hypothetical-C | $1,000.00 | $1,022.14 | $2.82 | |
Class I | .72% | |||
Actual | $1,000.00 | $990.80 | $3.57 | |
Hypothetical-C | $1,000.00 | $1,021.34 | $3.63 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
Corporate Headquarters
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Boston, MA 02210
www.fidelity.com
SOI-K-SANN-0718
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Fidelity® Value Strategies Fund Semi-Annual Report May 31, 2018 Fidelity® Value Strategies Fund is a class of Fidelity Advisor® Value Strategies Fund |
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Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third-party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company. © 2018 FMR LLC. All rights reserved.
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.institutional.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.
Investment Summary (Unaudited)
Top Ten Stocks as of May 31, 2018
% of fund's net assets | |
Sempra Energy | 2.6 |
Synchrony Financial | 2.6 |
American Tower Corp. | 2.4 |
Extra Space Storage, Inc. | 2.2 |
Discover Financial Services | 2.1 |
Wells Fargo & Co. | 2.1 |
U.S. Bancorp | 2.1 |
Jazz Pharmaceuticals PLC | 2.0 |
Exelon Corp. | 1.8 |
Equity Lifestyle Properties, Inc. | 1.8 |
21.7 |
Top Five Market Sectors as of May 31, 2018
% of fund's net assets | |
Financials | 19.9 |
Real Estate | 13.6 |
Consumer Discretionary | 12.1 |
Information Technology | 10.4 |
Industrials | 10.2 |
Asset Allocation (% of fund's net assets)
As of May 31, 2018 * | ||
Stocks | 99.9% | |
Short-Term Investments and Net Other Assets (Liabilities) | 0.1% |
* Foreign investments - 16.8%
Schedule of Investments May 31, 2018 (Unaudited)
Showing Percentage of Net Assets
Common Stocks - 99.9% | |||
Shares | Value (000s) | ||
CONSUMER DISCRETIONARY - 12.1% | |||
Diversified Consumer Services - 0.7% | |||
Houghton Mifflin Harcourt Co. (a) | 931,156 | $6,332 | |
Hotels, Restaurants & Leisure - 2.9% | |||
Eldorado Resorts, Inc. (a) | 262,400 | 11,860 | |
U.S. Foods Holding Corp. (a) | 464,800 | 16,584 | |
28,444 | |||
Household Durables - 0.6% | |||
D.R. Horton, Inc. | 141,900 | 5,990 | |
Internet & Direct Marketing Retail - 0.6% | |||
Liberty Interactive Corp. QVC Group Series A (a) | 306,600 | 6,233 | |
Leisure Products - 1.0% | |||
Mattel, Inc. (b) | 647,900 | 10,055 | |
Media - 4.1% | |||
Discovery Communications, Inc. Class A (a)(b) | 264,900 | 5,587 | |
GCI Liberty, Inc. (a) | 217,100 | 9,075 | |
Liberty Global PLC Class C (a) | 305,000 | 8,442 | |
Omnicom Group, Inc. | 137,900 | 9,940 | |
Sinclair Broadcast Group, Inc. Class A (b) | 279,199 | 7,650 | |
40,694 | |||
Specialty Retail - 2.2% | |||
Lowe's Companies, Inc. | 83,000 | 7,886 | |
O'Reilly Automotive, Inc. (a) | 27,200 | 7,328 | |
Signet Jewelers Ltd. | 143,100 | 6,153 | |
21,367 | |||
TOTAL CONSUMER DISCRETIONARY | 119,115 | ||
CONSUMER STAPLES - 4.2% | |||
Beverages - 1.0% | |||
Cott Corp. | 617,564 | 9,731 | |
Food Products - 2.6% | |||
Darling International, Inc. (a) | 792,922 | 14,899 | |
The J.M. Smucker Co. | 98,000 | 10,535 | |
25,434 | |||
Household Products - 0.6% | |||
Spectrum Brands Holdings, Inc. | 81,600 | 6,503 | |
TOTAL CONSUMER STAPLES | 41,668 | ||
ENERGY - 9.6% | |||
Energy Equipment & Services - 1.3% | |||
Baker Hughes, a GE Co. Class A | 368,400 | 12,743 | |
Oil, Gas & Consumable Fuels - 8.3% | |||
Andeavor | 64,700 | 9,345 | |
Boardwalk Pipeline Partners, LP | 805,636 | 8,532 | |
Cheniere Energy, Inc. (a) | 199,300 | 13,277 | |
Encana Corp. | 597,400 | 7,602 | |
EQT Corp. | 169,600 | 8,741 | |
GasLog Ltd. | 530,261 | 9,545 | |
Lundin Petroleum AB | 423,700 | 13,433 | |
Teekay Corp. (b) | 1,472,713 | 11,752 | |
82,227 | |||
TOTAL ENERGY | 94,970 | ||
FINANCIALS - 19.9% | |||
Banks - 4.2% | |||
U.S. Bancorp | 413,584 | 20,675 | |
Wells Fargo & Co. | 385,670 | 20,822 | |
41,497 | |||
Capital Markets - 6.7% | |||
Apollo Global Management LLC Class A | 498,550 | 15,615 | |
Ares Management LP | 230,300 | 5,101 | |
Legg Mason, Inc. | 412,417 | 15,371 | |
State Street Corp. | 137,500 | 13,215 | |
The Blackstone Group LP | 545,300 | 17,411 | |
66,713 | |||
Consumer Finance - 6.7% | |||
Discover Financial Services | 286,600 | 21,168 | |
OneMain Holdings, Inc. (a) | 317,300 | 10,322 | |
SLM Corp. (a) | 808,900 | 9,246 | |
Synchrony Financial | 728,913 | 25,242 | |
65,978 | |||
Diversified Financial Services - 0.7% | |||
Donnelley Financial Solutions, Inc. (a) | 474,600 | 7,290 | |
Insurance - 1.6% | |||
Chubb Ltd. | 120,382 | 15,733 | |
TOTAL FINANCIALS | 197,211 | ||
HEALTH CARE - 5.5% | |||
Biotechnology - 1.4% | |||
Amgen, Inc. | 75,300 | 13,525 | |
Health Care Providers & Services - 1.6% | |||
CVS Health Corp. | 167,900 | 10,643 | |
McKesson Corp. | 39,900 | 5,663 | |
16,306 | |||
Pharmaceuticals - 2.5% | |||
Allergan PLC | 33,300 | 5,022 | |
Jazz Pharmaceuticals PLC (a) | 117,300 | 19,824 | |
24,846 | |||
TOTAL HEALTH CARE | 54,677 | ||
INDUSTRIALS - 10.2% | |||
Aerospace & Defense - 1.3% | |||
Huntington Ingalls Industries, Inc. | 56,100 | 12,402 | |
Airlines - 1.4% | |||
American Airlines Group, Inc. | 308,000 | 13,410 | |
Commercial Services & Supplies - 0.9% | |||
The Brink's Co. | 118,200 | 9,367 | |
Construction & Engineering - 1.6% | |||
AECOM (a) | 472,100 | 15,579 | |
Electrical Equipment - 0.7% | |||
Acuity Brands, Inc. | 60,600 | 7,166 | |
Machinery - 1.2% | |||
Allison Transmission Holdings, Inc. | 299,475 | 12,371 | |
Trading Companies & Distributors - 2.6% | |||
AerCap Holdings NV (a) | 269,337 | 14,897 | |
HD Supply Holdings, Inc. (a) | 274,200 | 11,168 | |
26,065 | |||
Transportation Infrastructure - 0.5% | |||
Macquarie Infrastructure Co. LLC | 127,800 | 4,946 | |
TOTAL INDUSTRIALS | 101,306 | ||
INFORMATION TECHNOLOGY - 10.4% | |||
Communications Equipment - 0.8% | |||
CommScope Holding Co., Inc. (a) | 253,368 | 7,429 | |
IT Services - 6.1% | |||
Amdocs Ltd. | 185,900 | 12,541 | |
Booz Allen Hamilton Holding Corp. Class A | 147,900 | 6,669 | |
Cognizant Technology Solutions Corp. Class A | 116,400 | 8,771 | |
Conduent, Inc. (a) | 574,200 | 11,053 | |
DXC Technology Co. | 78,300 | 7,212 | |
First Data Corp. Class A (a) | 743,440 | 14,125 | |
60,371 | |||
Semiconductors & Semiconductor Equipment - 2.7% | |||
Analog Devices, Inc. | 124,300 | 12,079 | |
Qualcomm, Inc. | 245,600 | 14,274 | |
26,353 | |||
Software - 0.8% | |||
Micro Focus International PLC | 471,400 | 8,352 | |
TOTAL INFORMATION TECHNOLOGY | 102,505 | ||
MATERIALS - 8.3% | |||
Chemicals - 7.0% | |||
DowDuPont, Inc. | 243,612 | 15,618 | |
Eastman Chemical Co. | 129,334 | 13,491 | |
LyondellBasell Industries NV Class A | 132,692 | 14,877 | |
Nutrien Ltd. | 171,600 | 8,683 | |
Westlake Chemical Corp. | 137,303 | 15,890 | |
68,559 | |||
Construction Materials - 1.3% | |||
Eagle Materials, Inc. | 121,400 | 13,157 | |
TOTAL MATERIALS | 81,716 | ||
REAL ESTATE - 13.6% | |||
Equity Real Estate Investment Trusts (REITs) - 12.5% | |||
American Tower Corp. | 169,908 | 23,510 | |
Douglas Emmett, Inc. | 435,400 | 16,759 | |
Equinix, Inc. | 38,800 | 15,398 | |
Equity Lifestyle Properties, Inc. | 192,500 | 17,498 | |
Extra Space Storage, Inc. | 225,428 | 21,697 | |
National Retail Properties, Inc. | 416,500 | 17,256 | |
Outfront Media, Inc. | 606,804 | 12,039 | |
124,157 | |||
Real Estate Management & Development - 1.1% | |||
CBRE Group, Inc. (a) | 230,600 | 10,651 | |
TOTAL REAL ESTATE | 134,808 | ||
UTILITIES - 6.1% | |||
Electric Utilities - 3.5% | |||
Exelon Corp. | 441,100 | 18,257 | |
PPL Corp. | 601,100 | 16,422 | |
34,679 | |||
Multi-Utilities - 2.6% | |||
Sempra Energy | 237,088 | 25,261 | |
TOTAL UTILITIES | 59,940 | ||
TOTAL COMMON STOCKS | |||
(Cost $877,067) | 987,916 | ||
Money Market Funds - 3.3% | |||
Fidelity Cash Central Fund, 1.76% (c) | 1,344,108 | 1,344 | |
Fidelity Securities Lending Cash Central Fund 1.76% (c)(d) | 30,738,945 | 30,742 | |
TOTAL MONEY MARKET FUNDS | |||
(Cost $32,086) | 32,086 | ||
TOTAL INVESTMENT IN SECURITIES - 103.2% | |||
(Cost $909,153) | 1,020,002 | ||
NET OTHER ASSETS (LIABILITIES) - (3.2)% | (31,155) | ||
NET ASSETS - 100% | $988,847 |
Legend
(a) Non-income producing
(b) Security or a portion of the security is on loan at period end.
(c) 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.
(d) Investment made with cash collateral received from securities on loan.
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 |
(Amounts in thousands) | |
Fidelity Cash Central Fund | $18 |
Fidelity Securities Lending Cash Central Fund | 292 |
Total | $310 |
Amounts in the income column in the above table include any capital gain distributions from underlying funds, which are presented in the corresponding line-item in the Statement of Operations if applicable.
Investment Valuation
The following is a summary of the inputs used, as of May 31, 2018, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Valuation Inputs at Reporting Date: | ||||
Description | Total | Level 1 | Level 2 | Level 3 |
(Amounts in thousands) | ||||
Investments in Securities: | ||||
Equities: | ||||
Consumer Discretionary | $119,115 | $119,115 | $-- | $-- |
Consumer Staples | 41,668 | 41,668 | -- | -- |
Energy | 94,970 | 94,970 | -- | -- |
Financials | 197,211 | 197,211 | -- | -- |
Health Care | 54,677 | 54,677 | -- | -- |
Industrials | 101,306 | 101,306 | -- | -- |
Information Technology | 102,505 | 94,153 | 8,352 | -- |
Materials | 81,716 | 81,716 | -- | -- |
Real Estate | 134,808 | 134,808 | -- | -- |
Utilities | 59,940 | 59,940 | -- | -- |
Money Market Funds | 32,086 | 32,086 | -- | -- |
Total Investments in Securities: | $1,020,002 | $1,011,650 | $8,352 | $-- |
Other Information
Distribution of investments by country or territory of incorporation, as a percentage of Total Net Assets, is as follows (Unaudited):
United States of America | 83.2% |
Netherlands | 3.0% |
Canada | 2.7% |
Ireland | 2.5% |
United Kingdom | 1.6% |
Switzerland | 1.6% |
Bermuda | 1.6% |
Sweden | 1.3% |
Bailiwick of Guernsey | 1.3% |
Marshall Islands | 1.2% |
100.0% |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
Amounts in thousands (except per-share amounts) | May 31, 2018 (Unaudited) | |
Assets | ||
Investment in securities, at value (including securities loaned of $29,453) — See accompanying schedule: Unaffiliated issuers (cost $877,067) | $987,916 | |
Fidelity Central Funds (cost $32,086) | 32,086 | |
Total Investment in Securities (cost $909,153) | $1,020,002 | |
Receivable for fund shares sold | 232 | |
Dividends receivable | 1,322 | |
Distributions receivable from Fidelity Central Funds | 46 | |
Other receivables | 29 | |
Total assets | 1,021,631 | |
Liabilities | ||
Payable for fund shares redeemed | $1,347 | |
Accrued management fee | 297 | |
Distribution and service plan fees payable | 181 | |
Other affiliated payables | 176 | |
Other payables and accrued expenses | 36 | |
Collateral on securities loaned | 30,747 | |
Total liabilities | 32,784 | |
Net Assets | $988,847 | |
Net Assets consist of: | ||
Paid in capital | $808,423 | |
Undistributed net investment income | 5,598 | |
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions | 63,977 | |
Net unrealized appreciation (depreciation) on investments | 110,849 | |
Net Assets | $988,847 | |
Calculation of Maximum Offering Price | ||
Class A: | ||
Net Asset Value and redemption price per share ($195,904 ÷ 5,548.7 shares) | $35.31 | |
Maximum offering price per share (100/94.25 of $35.31) | $37.46 | |
Class M: | ||
Net Asset Value and redemption price per share ($251,691 ÷ 6,779.6 shares) | $37.12 | |
Maximum offering price per share (100/96.50 of $37.12) | $38.47 | |
Class C: | ||
Net Asset Value and offering price per share ($40,843 ÷ 1,332.8 shares)(a) | $30.64 | |
Fidelity Value Strategies Fund: | ||
Net Asset Value, offering price and redemption price per share ($376,016 ÷ 9,146.2 shares) | $41.11 | |
Class K: | ||
Net Asset Value, offering price and redemption price per share ($56,185 ÷ 1,367.7 shares) | $41.08 | |
Class I: | ||
Net Asset Value, offering price and redemption price per share ($68,208 ÷ 1,766.9 shares) | $38.60 |
(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.
Statement of Operations
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | |
Investment Income | ||
Dividends | $8,981 | |
Income from Fidelity Central Funds | 310 | |
Total income | 9,291 | |
Expenses | ||
Management fee | ||
Basic fee | $2,852 | |
Performance adjustment | (457) | |
Transfer agent fees | 924 | |
Distribution and service plan fees | 1,128 | |
Accounting and security lending fees | 178 | |
Custodian fees and expenses | 11 | |
Independent trustees' fees and expenses | 2 | |
Registration fees | 68 | |
Audit | 32 | |
Legal | 1 | |
Interest | 6 | |
Miscellaneous | 4 | |
Total expenses before reductions | 4,749 | |
Expense reductions | (47) | |
Total expenses after reductions | 4,702 | |
Net investment income (loss) | 4,589 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | 62,919 | |
Foreign currency transactions | 5 | |
Total net realized gain (loss) | 62,924 | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers | (77,970) | |
Total change in net unrealized appreciation (depreciation) | (77,970) | |
Net gain (loss) | (15,046) | |
Net increase (decrease) in net assets resulting from operations | $(10,457) |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Amounts in thousands | Six months ended May 31, 2018 (Unaudited) | Year ended November 30, 2017 |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $4,589 | $19,237 |
Net realized gain (loss) | 62,924 | 81,495 |
Change in net unrealized appreciation (depreciation) | (77,970) | 107,647 |
Net increase (decrease) in net assets resulting from operations | (10,457) | 208,379 |
Distributions to shareholders from net investment income | (13,913) | (18,090) |
Distributions to shareholders from net realized gain | (73,150) | (229,818) |
Total distributions | (87,063) | (247,908) |
Share transactions - net increase (decrease) | (30,341) | (206,873) |
Total increase (decrease) in net assets | (127,861) | (246,402) |
Net Assets | ||
Beginning of period | 1,116,708 | 1,363,110 |
End of period | $988,847 | $1,116,708 |
Other Information | ||
Undistributed net investment income end of period | $5,598 | $14,922 |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Advisor Value Strategies Fund Class A
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $38.91 | $40.25 | $39.01 | $38.91 | $36.02 | $27.62 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .15 | .60B | .56 | .35 | .25 | .23 |
Net realized and unrealized gain (loss) | (.47) | 6.13 | 1.09 | .06 | 2.87 | 8.25 |
Total from investment operations | (.32) | 6.73 | 1.65 | .41 | 3.12 | 8.48 |
Distributions from net investment income | (.51) | (.56) | (.40) | (.28)C | (.23) | (.08) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.28) | (8.07)D | (.41) | (.31) | (.23) | (.08) |
Net asset value, end of period | $35.31 | $38.91 | $40.25 | $39.01 | $38.91 | $36.02 |
Total ReturnE,F,G | (1.03)% | 19.84% | 4.33% | 1.07% | 8.74% | 30.77% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | .96%J | .91% | .86% | .93% | .96% | 1.04% |
Expenses net of fee waivers, if any | .96%J | .91% | .86% | .93% | .96% | 1.04% |
Expenses net of all reductions | .95%J | .90% | .86% | .93% | .96% | 1.03% |
Net investment income (loss) | .81%J | 1.64%B | 1.48% | .89% | .68% | .73% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $196 | $212 | $203 | $215 | $233 | $243 |
Portfolio turnover rateK | 65%J | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.13 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.29%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $8.07 per share is comprised of distributions from net investment income of $.555 and distributions from net realized gain of $7.517 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the sales charges.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Value Strategies Fund Class M
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $40.69 | $41.72 | $40.40 | $40.28 | $37.28 | $28.58 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .11 | .54B | .49 | .28 | .18 | .18 |
Net realized and unrealized gain (loss) | (.50) | 6.40 | 1.14 | .06 | 2.98 | 8.54 |
Total from investment operations | (.39) | 6.94 | 1.63 | .34 | 3.16 | 8.72 |
Distributions from net investment income | (.41) | (.46) | (.30) | (.19)C | (.16) | (.02) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.18) | (7.97)D | (.31) | (.22) | (.16) | (.02) |
Net asset value, end of period | $37.12 | $40.69 | $41.72 | $40.40 | $40.28 | $37.28 |
Total ReturnE,F,G | (1.16)% | 19.57% | 4.11% | .86% | 8.51% | 30.52% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | 1.19%J | 1.13% | 1.08% | 1.15% | 1.17% | 1.23% |
Expenses net of fee waivers, if any | 1.19%J | 1.13% | 1.08% | 1.14% | 1.17% | 1.23% |
Expenses net of all reductions | 1.18%J | 1.13% | 1.07% | 1.14% | 1.17% | 1.22% |
Net investment income (loss) | .58%J | 1.42%B | 1.27% | .68% | .47% | .54% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $252 | $271 | $263 | $294 | $324 | $335 |
Portfolio turnover rateK | 65%J | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.13 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.06%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $7.97 per share is comprised of distributions from net investment income of $.456 and distributions from net realized gain of $7.517 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the sales charges.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Value Strategies Fund Class C
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $34.09 | $36.19 | $35.12 | $35.07 | $32.52 | $25.06 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .01 | .28B | .24 | .05 | (.03) | (.01) |
Net realized and unrealized gain (loss) | (.42) | 5.43 | .97 | .07 | 2.60 | 7.47 |
Total from investment operations | (.41) | 5.71 | 1.21 | .12 | 2.57 | 7.46 |
Distributions from net investment income | (.27) | (.30) | (.13) | (.04)C | (.02) | – |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.04) | (7.81)D | (.14) | (.07) | (.02) | – |
Net asset value, end of period | $30.64 | $34.09 | $36.19 | $35.12 | $35.07 | $32.52 |
Total ReturnE,F,G | (1.45)% | 18.97% | 3.49% | .33% | 7.91% | 29.77% |
Ratios to Average Net AssetsH,I | ||||||
Expenses before reductions | 1.74%J | 1.68% | 1.63% | 1.70% | 1.72% | 1.78% |
Expenses net of fee waivers, if any | 1.74%J | 1.68% | 1.63% | 1.69% | 1.72% | 1.78% |
Expenses net of all reductions | 1.73%J | 1.67% | 1.63% | 1.69% | 1.72% | 1.77% |
Net investment income (loss) | .04 %J | .87%B | .72% | .13% | (.08)% | (.02)% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $41 | $46 | $44 | $49 | $53 | $54 |
Portfolio turnover rateK | 65%J | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.11 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been .52%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $7.81 per share is comprised of distributions from net investment income of $.295 and distributions from net realized gain of $7.517 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G Total returns do not include the effect of the contingent deferred sales charge.
H 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.
I 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.
J Annualized
K Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Value Strategies Fund
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $44.81 | $45.17 | $43.72 | $43.56 | $40.28 | $30.89 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .23 | .81B | .76 | .51 | .40 | .37 |
Net realized and unrealized gain (loss) | (.56) | 7.01 | 1.21 | .07 | 3.21 | 9.20 |
Total from investment operations | (.33) | 7.82 | 1.97 | .58 | 3.61 | 9.57 |
Distributions from net investment income | (.61) | (.66) | (.51) | (.39)C | (.33) | (.18) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.37)D | (8.18) | (.52) | (.42) | (.33) | (.18) |
Net asset value, end of period | $41.11 | $44.81 | $45.17 | $43.72 | $43.56 | $40.28 |
Total ReturnE,F | (.90)% | 20.18% | 4.64% | 1.35% | 9.05% | 31.14% |
Ratios to Average Net AssetsG,H | ||||||
Expenses before reductions | .69%I | .62% | .56% | .67% | .69% | .73% |
Expenses net of fee waivers, if any | .68%I | .62% | .56% | .67% | .69% | .73% |
Expenses net of all reductions | .68%I | .62% | .55% | .66% | .69% | .72% |
Net investment income (loss) | 1.09%I | 1.93%B | 1.79% | 1.16% | .95% | 1.03% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $376 | $436 | $713 | $716 | $786 | $681 |
Portfolio turnover rateJ | 65%I | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.15 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.57%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total distributions of $3.37 per share is comprised of distributions from net investment income of $.608 and distributions from net realized gain of $2.765 per share.
E Total returns for periods of less than one year are not annualized.
F Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
G 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.
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 Annualized
J Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Value Strategies Fund Class K
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $44.82 | $45.18 | $43.74 | $43.57 | $40.28 | $30.89 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .25 | .86B | .80 | .58 | .47 | .43 |
Net realized and unrealized gain (loss) | (.55) | 7.02 | 1.22 | .07 | 3.20 | 9.18 |
Total from investment operations | (.30) | 7.88 | 2.02 | .65 | 3.67 | 9.61 |
Distributions from net investment income | (.67) | (.72) | (.57) | (.45)C | (.38) | (.22) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.44) | (8.24) | (.58) | (.48) | (.38) | (.22) |
Net asset value, end of period | $41.08 | $44.82 | $45.18 | $43.74 | $43.57 | $40.28 |
Total ReturnD,E | (.85)% | 20.36% | 4.76% | 1.51% | 9.21% | 31.34% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | .56%H | .50% | .44% | .51% | .53% | .58% |
Expenses net of fee waivers, if any | .56%H | .50% | .44% | .51% | .53% | .58% |
Expenses net of all reductions | .55%H | .49% | .43% | .51% | .53% | .57% |
Net investment income (loss) | 1.21%H | 2.05%B | 1.91% | 1.31% | 1.11% | 1.18% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $56 | $79 | $68 | $72 | $97 | $119 |
Portfolio turnover rateI | 65%H | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.15 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.70%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total returns for periods of less than one year are not annualized.
E Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Fidelity Advisor Value Strategies Fund Class I
Six months ended (Unaudited) May 31, | Years endedNovember 30, | |||||
2018 | 2017 | 2016 | 2015 | 2014 | 2013 | |
Selected Per–Share Data | ||||||
Net asset value, beginning of period | $42.27 | $43.07 | $41.71 | $41.57 | $38.46 | $29.51 |
Income from Investment Operations | ||||||
Net investment income (loss)A | .21 | .74B | .70 | .48 | .37 | .34 |
Net realized and unrealized gain (loss) | (.52) | 6.64 | 1.15 | .08 | 3.06 | 8.79 |
Total from investment operations | (.31) | 7.38 | 1.85 | .56 | 3.43 | 9.13 |
Distributions from net investment income | (.59) | (.66) | (.48) | (.39)C | (.32) | (.18) |
Distributions from net realized gain | (2.77) | (7.52) | (.01) | (.03)C | – | – |
Total distributions | (3.36) | (8.18) | (.49) | (.42) | (.32) | (.18) |
Net asset value, end of period | $38.60 | $42.27 | $43.07 | $41.71 | $41.57 | $38.46 |
Total ReturnD,E | (.92)% | 20.13% | 4.57% | 1.36% | 9.01% | 31.11% |
Ratios to Average Net AssetsF,G | ||||||
Expenses before reductions | .73%H | .67% | .61% | .68% | .71% | .76% |
Expenses net of fee waivers, if any | .72%H | .67% | .61% | .68% | .71% | .76% |
Expenses net of all reductions | .72%H | .66% | .61% | .68% | .71% | .75% |
Net investment income (loss) | 1.05%H | 1.88%B | 1.74% | 1.14% | .93% | 1.00% |
Supplemental Data | ||||||
Net assets, end of period (in millions) | $68 | $72 | $73 | $65 | $86 | $74 |
Portfolio turnover rateI | 65%H | 46% | 121% | 9% | 6% | 22% |
A Calculated based on average shares outstanding during the period.
B Net Investment income per share reflects a large, non-recurring dividend which amounted to $.14 per share. Excluding this non-recurring dividend, the ratio of net investment income (loss) to average net assets would have been 1.53%.
C The amounts shown reflect certain reclassifications related to book to tax differences that were made in the year shown.
D Total returns for periods of less than one year are not annualized.
E Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
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.
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 Annualized
I Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements (Unaudited)
For the period ended May 31, 2018
(Amounts in thousands except percentages)
1. Organization.
Fidelity Advisor Value Strategies Fund (the Fund) is a fund of Fidelity Advisor Series I (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 M, Class C, Fidelity Value Strategies Fund, Class K and Class I shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class
2. Investments in Fidelity Central Funds.
The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by the investment adviser and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, if any, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.
The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .005%.
A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.
3. Significant Accounting Policies.
The Fund is an investment company and applies the accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification Topic 946 Financial Services – Investments Companies. The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:
Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. The Board of Trustees (the Board) has delegated the day to day responsibility for the valuation of the Fund's investments to the Fair Value Committee (the Committee) established by the Fund's investment adviser. In accordance with valuation policies and procedures approved by the Board, the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the Committee, in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events. 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. For equity securities, including restricted securities, where observable inputs are limited, assumptions about market activity and risk are used and these securities may be categorized as Level 3 in the hierarchy.
Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.
Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level as of May 31, 2018 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.
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 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. Certain distributions received by the Fund represent a return of capital or capital gain. The Fund determines the components of these distributions subsequent to the ex-dividend date, based upon receipt of tax filings or other correspondence relating to the underlying investment. These distributions are recorded as a reduction of cost of investments and/or as a realized gain. 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.
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 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 foreign currency transactions, market discount, deferred trustees compensation, partnerships and losses deferred due to wash sales.
As of period end, the cost and unrealized appreciation (depreciation) in securities, and derivatives if applicable, for federal income tax purposes were as follows:
Gross unrealized appreciation | $151,618 |
Gross unrealized depreciation | (41,393) |
Net unrealized appreciation (depreciation) | $110,225 |
Tax cost | $909,777 |
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, aggregated $340,881 and $438,127, 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 .30% of the Fund's average net assets and an annualized group fee rate that averaged .24% 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. In addition, the management fee is subject to a performance adjustment (up to a maximum of +/- .20% of the Fund's average net assets over a 36 month performance period). The upward or downward adjustment to the management fee is based on the relative investment performance of the Fidelity Value Strategies Fund as compared to its benchmark index, the Russell Midcap Value Index, over the same 36 month performance period. For the reporting period, the total annualized management fee rate, including the performance adjustment, was .45% of the Fund's average net assets. The performance adjustment included in the management fee rate may be higher or lower than the maximum performance adjustment rate due to the difference between the average net assets for the reporting and performance periods.
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 Fee | Service Fee | Total Fees | Retained by FDC | |
Class A | -% | .25% | $254 | $6 |
Class M | .25% | .25% | 652 | 19 |
Class C | .75% | .25% | 222 | 10 |
$1,128 | $35 |
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 M 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 M and Class C redemptions. The deferred sales charges are 1.00% for Class C shares, 1.00% for certain purchases of Class A shares and .25% for certain purchases of Class M shares.
For the period, sales charge amounts retained by FDC were as follows:
Retained by FDC | |
Class A | $11 |
Class M | 3 |
Class C(a) | 3 |
$17 |
(a) When Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of 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, except for Class K. FIIOC receives an asset-based fee of Class K's average net assets. 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-Level Average Net Assets(a) | |
Class A | $201 | .20 |
Class M | 231 | .18 |
Class C | 49 | .22 |
Fidelity Value Strategies Fund | 351 | .17 |
Class K | 16 | .05 |
Class I | 76 | .21 |
$924 |
(a) 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. For the period, the fees were equivalent to an annualized rate of .03%.
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 $8 for the period.
Interfund Lending Program. Pursuant to an Exemptive Order issued by the SEC, the Fund, along with other registered investment companies having management contracts with Fidelity Management & Research Company (FMR) or other affiliated entities of FMR, may participate in an interfund lending program. This program provides an alternative credit facility allowing the funds to borrow from, or lend money to, other participating affiliated funds. At period end, there were no interfund loans outstanding. The Fund's activity in this program during the period for which loans were outstanding was as follows:
Borrower or Lender | Average Loan Balance | Weighted Average Interest Rate | Interest Expense |
Borrower | $12,060 | 1.63% | $6 |
Interfund Trades. The Fund may purchase from or sell securities to other Fidelity Funds under procedures adopted by the Board. The procedures have been designed to ensure these interfund trades are executed in accordance with Rule 17a-7 of the 1940 Act. Interfund trades are included within the respective purchases and sales amounts shown in the Purchases and Sales of Investments note.
6. 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 $2 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.
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. The Fund or borrower may terminate the loan at any time, and 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 $292. 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 $41 for the period
In addition, during the period the investment adviser reimbursed and/or waived a portion of fund-level operating expenses in the amount of $6.
9. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
Six months ended May 31, 2018 | Year ended November 30, 2017 | |
From net investment income | ||
Class A | $2,758 | $2,766 |
Class M | 2,730 | 2,831 |
Class C | 365 | 357 |
Fidelity Value Strategies Fund | 5,863 | 9,926 |
Class K | 1,178 | 1,087 |
Class I | 1,019 | 1,123 |
Total | $13,913 | $18,090 |
From net realized gain | ||
Class A | $14,864 | $37,462 |
Class M | 18,324 | 46,673 |
Class C | 3,697 | 9,088 |
Fidelity Value Strategies Fund | 26,664 | 112,547 |
Class K | 4,859 | 11,298 |
Class I | 4,742 | 12,750 |
Total | $73,150 | $229,818 |
10. Share Transactions.
Share transactions for each class were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
Shares | Shares | Dollars | Dollars | |
Six months ended May 31, 2018 | Year ended November 30, 2017 | Six months ended May 31, 2018 | Year ended November 30, 2017 | |
Class A | ||||
Shares sold | 135 | 296 | $4,845 | $10,638 |
Reinvestment of distributions | 464 | 1,127 | 16,785 | 37,943 |
Shares redeemed | (493) | (1,026) | (17,826) | (36,865) |
Net increase (decrease) | 106 | 397 | $3,804 | $11,716 |
Class M | ||||
Shares sold | 150 | 349 | $5,650 | $13,029 |
Reinvestment of distributions | 516 | 1,294 | 19,633 | 45,666 |
Shares redeemed | (550) | (1,277) | (20,794) | (48,234) |
Net increase (decrease) | 116 | 366 | $4,489 | $10,461 |
Class C | ||||
Shares sold | 64 | 89 | $2,031 | $2,827 |
Reinvestment of distributions | 126 | 307 | 3,972 | 9,116 |
Shares redeemed | (209) | (264) | (6,546) | (8,379) |
Net increase (decrease) | (19) | 132 | $(543) | $3,564 |
Fidelity Value Strategies Fund | ||||
Shares sold | 330 | 1,169 | $14,000 | $50,402 |
Reinvestment of distributions | 730 | 2,966 | 30,693 | 114,742 |
Shares redeemed | (1,640) | (10,188) | (68,549) | (409,648) |
Net increase (decrease) | (580) | (6,053) | $(23,856) | $(244,504) |
Class K | ||||
Shares sold | 220 | 617 | $9,345 | $26,514 |
Reinvestment of distributions | 144 | 321 | 6,037 | 12,384 |
Shares redeemed | (767) | (665) | (31,819) | (27,215) |
Net increase (decrease) | (403) | 273 | $(16,437) | $11,683 |
Class I | ||||
Shares sold | 123 | 459 | $4,901 | $17,823 |
Reinvestment of distributions | 139 | 339 | 5,482 | 12,386 |
Shares redeemed | (209) | (774) | (8,181) | (30,001) |
Net increase (decrease) | 53 | 24 | $2,202 | $208 |
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.
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (December 1, 2017 to May 31, 2018).
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.
Annualized Expense Ratio-A | Beginning Account Value December 1, 2017 | Ending Account Value May 31, 2018 | Expenses Paid During Period-B December 1, 2017 to May 31, 2018 | |
Class A | .96% | |||
Actual | $1,000.00 | $989.70 | $4.76 | |
Hypothetical-C | $1,000.00 | $1,020.14 | $4.84 | |
Class M | 1.19% | |||
Actual | $1,000.00 | $988.40 | $5.90 | |
Hypothetical-C | $1,000.00 | $1,019.00 | $5.99 | |
Class C | 1.74% | |||
Actual | $1,000.00 | $985.50 | $8.61 | |
Hypothetical-C | $1,000.00 | $1,016.26 | $8.75 | |
Fidelity Value Strategies Fund | .68% | |||
Actual | $1,000.00 | $991.00 | $3.38 | |
Hypothetical-C | $1,000.00 | $1,021.54 | $3.43 | |
Class K | .56% | |||
Actual | $1,000.00 | $991.50 | $2.78 | |
Hypothetical-C | $1,000.00 | $1,022.14 | $2.82 | |
Class I | .72% | |||
Actual | $1,000.00 | $990.80 | $3.57 | |
Hypothetical-C | $1,000.00 | $1,021.34 | $3.63 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
C 5% return per year before expenses
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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 Advisor Series I’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 Advisor Series I’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 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.
Disclosure of Securities Lending Activities for Closed-End Management
Investment Companies
Not applicable.
Item 13.
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 Advisor Series I
By: | /s/Stacie M. Smith |
Stacie M. Smith | |
President and Treasurer | |
Date: | July 24, 2018 |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By: | /s/Stacie M. Smith |
Stacie M. Smith | |
President and Treasurer | |
Date: | July 24, 2018 |
By: | /s/Howard J. Galligan III |
Howard J. Galligan III | |
Chief Financial Officer | |
Date: | July 24, 2018 |