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, Massachusetts 02210
(Address of principal executive offices) (Zip code)
William C. Coffey, 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 |
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Date of reporting period: | November 30, 2018 |
This report on Form N-CSR relates solely to the Registrant’s Fidelity Real Estate High Income Fund series (the “Fund”).
Item 1.
Reports to Stockholders
Fidelity® Real Estate High Income Fund Annual Report November 30, 2018 |
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Account Type | Website | Phone Number |
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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 (collect) 1-401-292-6402 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. © 2019 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.
Performance: The Bottom Line
Average annual total return reflects the change in the value of an investment, assuming reinvestment of distributions from dividend income and capital gains (the profits earned upon the sale of securities that have grown in value, if any) and assuming a constant rate of performance each year. The hypothetical investment and the average annual total returns do not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. During periods of reimbursement by Fidelity, a fund’s total return will be greater than it would be had the reimbursement not occurred. How a fund did yesterday is no guarantee of how it will do tomorrow.
Average Annual Total Returns
For the periods ended November 30, 2018 | Past 1 year | Past 5 years | Past 10 years |
Fidelity® Real Estate High Income Fund | 3.23% | 4.64% | 10.72% |
$1,000,000 Over 10 Years
The chart shows how the value of your investment would have changed, and also shows how the Bloomberg Barclays U.S. CMBS ex AAA Index performed over the same period.
Let's say hypothetically that $1,000,000 was invested in Fidelity® Real Estate High Income Fund on November 30, 2008.
![](https://capedge.com/proxy/N-CSR/0001379491-19-000317/img446434821_740.jpg)
Period Ending Values | ||
$2,769,398 | Fidelity® Real Estate High Income Fund | |
$2,884,734 | Bloomberg Barclays U.S. CMBS ex AAA Index |
Management's Discussion of Fund Performance
Market Recap: Commercial mortgage-backed securities, as measured by the Bloomberg Barclays U.S. CMBS ex AAA Index, returned 1.49% for the 12 months ending November 30, 2018. Rising interest rates were a headwind, especially for higher-quality fixed-income securities. This period, the bellwether 10-year U.S. Treasury note yield rose from 2.42% to 3.01%, with much of that increase occurring in January 2018. Partly fueling this advance was concern that higher federal budget deficits necessitated by the combination of tax cuts and new spending programs would require more borrowing in the U.S. Treasury market, with the supply of Treasuries potentially outstripping demand. Meanwhile, the U.S. Federal Reserve implemented rate hikes of 0.25% in December 2017, as well as in March, June and September 2018. This kept upward pressure on the shorter end of the yield curve. Overall, credit fundamentals remained favorable, with low delinquency and default rates, although both of these crept higher versus the previous 12 months. Commercial property fundamentals also remained in good shape, except for mid- to lower-tier malls, where the secular migration to online shopping was a drag.Comments from Lead Portfolio Manager Stephen Rosen: For the fiscal year, the fund gained 3.23%, topping the benchmark Bloomberg Barclays index. Versus the benchmark, the fund benefited from underweighting securities rated A and higher, positioning that is consistent with the fund’s mandate to buy higher-yielding real estate securities. The fund’s result was further bolstered by an overweighting in BBB-rated securities, by far the best-performing credit-quality group this period. Security choices in the BB and B categories were other positives for the fund. In terms of security type, selection in CMBS was a strong point for the fund, as our holdings here – representing 76% of fund assets, on average, the past 12 months – gained about 4%. GMACC 1999-C2I K was the fund’s top contributor. Most of the loans underlying this security have paid down, and, with very little risk left in the deal, this CMBS was upgraded by Moody’s from Caa2 to B3. Another CMBS contributor from roughly the same era was GMACC 1997-C2 H. This security was priced relatively low to start the period and recovered significantly, as its risk profile improved. Conversely, performance was hampered our stake in WFRBS 2012-C10. We sold this CMBS at a loss in April, given its exposure to small and mid-sized malls in deteriorating markets.The views expressed above reflect those of the portfolio manager(s) only through the end of the period as stated on the cover of this report and do not necessarily represent the views of Fidelity or any other person in the Fidelity organization. Any such views are subject to change at any time based upon market or other conditions and Fidelity disclaims any responsibility to update such views. These views may not be relied on as investment advice and, because investment decisions for a Fidelity fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Fidelity fund.
Investment Summary (Unaudited)
Quality Diversification (% of fund's net assets)
As of November 30, 2018 | ||
AAA,AA,A | 5.7% | |
BBB | 23.1% | |
BB | 18.8% | |
B | 17.5% | |
CCC,CC,C | 1.9% | |
Not Rated | 29.1% | |
Equities | 3.1% | |
Short-Term Investments and Net Other Assets | 0.8% |
We have used ratings from Moody's Investors Service, Inc. Where Moody's® ratings are not available, we have used S&P® ratings. Where neither Moody's nor S&P ratings are available, we have used Fitch® ratings. All ratings are as of the date indicated and do not reflect subsequent changes.
Asset Allocation (% of fund's net assets)
As of November 30, 2018 | ||
CMOs and Other Mortgage Related Securities | 82.2% | |
Asset-Backed Securities | 5.2% | |
Nonconvertible Bonds | 3.6% | |
Convertible Bonds, Preferred Stocks | 2.8% | |
Common Stocks | 0.3% | |
Bank Loan Obligations | 5.1% | |
Short-Term Investments and Net Other Assets (Liabilities) | 0.8% |
Schedule of Investments November 30, 2018
Showing Percentage of Net Assets
Nonconvertible Bonds - 3.6% | |||
Principal Amount | Value | ||
Diversified Financial Services - 0.2% | |||
American Homes 4 Rent 4.25% 2/15/28 | $1,836,000 | $1,734,120 | |
Healthcare - 0.6% | |||
CTR Partnership LP/CareTrust Capital Corp. 5.25% 6/1/25 | 1,433,000 | 1,386,428 | |
MPT Operating Partnership LP/MPT Finance Corp. 5.25% 8/1/26 | 333,000 | 325,508 | |
Omega Healthcare Investors, Inc. 4.95% 4/1/24 | 259,000 | 261,675 | |
Sabra Health Care LP/Sabra Capital Corp. 5.375% 6/1/23 | 2,499,000 | 2,495,876 | |
TOTAL HEALTHCARE | 4,469,487 | ||
Homebuilders/Real Estate - 1.2% | |||
DDR Corp.: | |||
4.625% 7/15/22 | 240,000 | 244,735 | |
4.7% 6/1/27 | 2,794,000 | 2,763,859 | |
Howard Hughes Corp. 5.375% 3/15/25 (a) | 2,712,000 | 2,569,620 | |
iStar Financial, Inc. 6% 4/1/22 | 2,562,000 | 2,527,541 | |
Realogy Group LLC/Realogy Co.-Issuer Corp. 4.5% 4/15/19 (a) | 974,000 | 971,565 | |
TOTAL HOMEBUILDERS/REAL ESTATE | 9,077,320 | ||
Hotels - 1.6% | |||
ESH Hospitality, Inc. 5.25% 5/1/25 (a) | 3,540,000 | 3,385,125 | |
RHP Hotel Properties LP/RHP Finance Corp. 5% 4/15/23 | 1,915,000 | 1,891,063 | |
Times Square Hotel Trust 8.528% 8/1/26 (a) | 5,382,386 | 6,134,781 | |
TOTAL HOTELS | 11,410,969 | ||
TOTAL NONCONVERTIBLE BONDS | |||
(Cost $26,882,838) | 26,691,896 | ||
Asset-Backed Securities - 5.2% | |||
American Homes 4 Rent: | |||
Series 2014-SFR2 Class E, 6.231% 10/17/36 (a) | 598,000 | 645,050 | |
Series 2014-SFR3 Class E, 6.418% 12/17/36 (a) | 1,553,000 | 1,697,784 | |
Series 2015-SFR1 Class E, 5.639% 4/17/52 (a) | 2,130,223 | 2,235,375 | |
Series 2015-SFR2: | |||
Class E, 6.07% 10/17/45 (a) | 3,728,000 | 4,005,301 | |
Class XS, 0% 10/17/45 (a)(b)(c)(d) | 2,662,891 | 27 | |
Argent Securities, Inc. pass-thru certificates Series 2004-W9 Class M7, 1 month U.S. LIBOR + 4.200% 4.2753% 6/26/34 (a)(b)(e) | 61,458 | 118,143 | |
Capital Trust RE CDO Ltd. Series 2005-1A: | |||
Class D, 1 month U.S. LIBOR + 1.500% 3.8009% 3/20/50 (a)(b)(d)(e) | 750,000 | 75 | |
Class E, 1 month U.S. LIBOR + 2.100% 4.4009% 3/20/50 (a)(b)(d)(e) | 2,670,000 | 267 | |
Crest Ltd. Series 2004-1A Class H1, 3 month U.S. LIBOR + 3.690% 6.1993% 1/28/40 (a)(b)(d)(e) | 2,556,408 | 256 | |
Home Partners of America Credit Trust Series 2017-1: | |||
Class E, 1 month U.S. LIBOR + 2.650% 4.9525% 7/17/34 (a)(b)(e) | 772,000 | 777,150 | |
Class F, 1 month U.S. LIBOR + 3.539% 5.8415% 7/17/34 (a)(b)(e) | 1,122,000 | 1,128,957 | |
Home Partners of America Trust Series 2018-1 Class F, 1 month U.S. LIBOR + 2.350% 4.6525% 7/17/37 (a)(b)(e) | 2,045,000 | 2,034,617 | |
Invitation Homes Trust: | |||
Series 2017-SFR2: | |||
Class E, 1 month U.S. LIBOR + 2.250% 4.5525% 12/17/36 (a)(b)(e) | 1,719,000 | 1,731,727 | |
Class F, 1 month U.S. LIBOR + 3.000% 5.3025% 12/17/36 (a)(b)(e) | 1,452,000 | 1,463,229 | |
Series 2018-SFR1 Class F, 1 month U.S. LIBOR + 2.500% 4.8025% 3/17/37 (a)(b)(e) | 2,082,000 | 2,094,376 | |
Series 2018-SFR2 Class F, 1 month U.S. LIBOR + 2.250% 4.5565% 6/17/37 (a)(b)(e) | 3,682,000 | 3,692,335 | |
Merit Securities Corp. Series 13 Class M1, 7.9375% 12/28/33 (b) | 1,360,940 | 1,415,322 | |
Residential Asset Securities Corp. Series 2003-KS10 Class MI3, 5.6051% 12/25/33 | 213,941 | 135,589 | |
Starwood Waypoint Homes Trust Series 2017-1: | |||
Class E, 1 month U.S. LIBOR + 2.600% 4.9065% 1/17/35 (a)(b)(e) | 2,202,000 | 2,210,230 | |
Class F, 1 month U.S. LIBOR + 3.400% 5.7065% 1/17/35 (a)(b)(e) | 2,935,000 | 2,956,642 | |
Taberna Preferred Funding III Ltd. Series 2005-3A: | |||
Class D, 3 month U.S. LIBOR + 2.650% 5.2315% 2/5/36 (a)(b)(d)(e) | 2,597,764 | 195 | |
Class E, 3 month U.S. LIBOR + 4.500% 7.0815% 2/5/36 (a)(b)(d)(e) | 942,574 | 71 | |
Taberna Preferred Funding VI Ltd. Series 2006-6A Class F1, 3 month U.S. LIBOR + 4.500% 7.0815% 12/5/36 (a)(b)(d)(e) | 4,644,347 | 348 | |
Tricon American Homes: | |||
Series 2017-SFR1 Class F, 5.151% 9/17/34 (a) | 3,708,000 | 3,727,572 | |
Series 2017-SFR2 Class F, 5.104% 1/17/36 (a) | 664,000 | 666,199 | |
Series 2018-SFR1 Class F, 4.96% 5/17/37 (a) | 833,000 | 820,784 | |
Tricon American Homes Trust Series 2016-SFR1 Class F, 5.769% 11/17/33 (a) | 2,486,000 | 2,533,122 | |
VB-S1 Issuer LLC Series 2018-1A Class F, 5.25% 2/15/48 (a) | 2,142,000 | 2,136,154 | |
TOTAL ASSET-BACKED SECURITIES | |||
(Cost $46,583,107) | 38,226,897 | ||
Collateralized Mortgage Obligations - 0.0% | |||
Private Sponsor - 0.0% | |||
Countrywide Home Loans, Inc. Series 2003-R1: | |||
Class 2B4, 3.3614% 2/25/43 (a)(b)(d) | 36,947 | 8,203 | |
Class 2B5, 3.3614% 2/25/43 (a)(b) | 20,978 | 424 | |
Credit Suisse First Boston Mortgage Securities Corp. Series 2002-26 Class 4B3, 7% 10/25/17 (d) | 33,888 | 160 | |
RESI Finance LP/RESI Finance DE Corp. floater Series 2003-B Class B9, 1 month U.S. LIBOR + 11.950% 14.2644% 6/10/35 (a)(b)(e) | 79,850 | 43,459 | |
TOTAL PRIVATE SPONSOR | 52,246 | ||
U.S. Government Agency - 0.0% | |||
Fannie Mae REMIC Trust: | |||
Series 2002-W1 subordinate REMIC pass thru certificates, Class 3B3, 4.0651% 2/25/42 (a)(b) | 40,227 | 14,403 | |
Series 2002-W6 subordinate REMIC pass thru certificates, Class 3B4, 4.2203% 1/25/42 (a)(b) | 8,354 | 145 | |
Series 2003-W10 subordinate REMIC pass thru certificates: | |||
Class 2B4, 4.0016% 6/25/43 (b)(d)(f) | 168,006 | 44,136 | |
Class 2B5, 4.0016% 6/25/43 (b)(d)(f) | 1,610 | 11 | |
TOTAL U.S. GOVERNMENT AGENCY | 58,695 | ||
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS | |||
(Cost $206,136) | 110,941 | ||
Commercial Mortgage Securities - 82.2% | |||
280 Park Avenue Mortgage Trust floater Series 2017-280P Class F, 1 month U.S. LIBOR + 2.827% 5.1335% 9/15/34 (a)(b)(e) | 3,684,000 | 3,677,059 | |
Americold LLC Trust Series 2010-ARTA Class D, 7.443% 1/14/29 (a) | 1,024,000 | 1,089,294 | |
BAMLL Trust Series 2015-200P Class F, 3.7157% 4/14/33 (a)(b) | 2,588,000 | 2,414,876 | |
BANK: | |||
Series 2017-BNK4 Class D, 3.357% 5/15/50 (a) | 4,416,000 | 3,639,000 | |
Series 2017-BNK6 Class D, 3.1% 7/15/60 (a) | 2,593,000 | 2,078,057 | |
Series 2017-BNK8 Class D, 2.6% 11/15/50 (a) | 3,097,000 | 2,356,569 | |
Bank of America Commercial Mortgage Securities Trust Series 2017-BNK3 Class D, 3.25% 2/15/50 (a) | 2,201,000 | 1,805,712 | |
Bank of America Commercial Mortgage Trust Series 2015-UBS7 Class C, 4.5071% 9/15/48 (b) | 1,521,000 | 1,521,501 | |
Barclays Commercial Mortgage Securities LLC Series 2015-STP Class E, 4.4272% 9/10/28 (a)(b) | 6,580,000 | 6,340,795 | |
BBCMS Mortgage Trust Series 2016-ETC Class D, 3.7292% 8/14/36 (a)(b) | 1,749,000 | 1,639,260 | |
Benchmark Mortgage Trust Series 2018-B7: | |||
Class D, 3% 11/15/51 (a)(b) | 833,000 | 688,116 | |
Class E, 3% 11/15/51 (a)(b) | 833,000 | 634,094 | |
BKB Commercial Mortgage Trust Series 1997-C1 Class H, 2.0042% 10/25/22 (a)(b) | 14,278 | 13,971 | |
BX Commercial Mortgage Trust floater Series 2018-BIOA Class F, 1 month U.S. LIBOR + 2.471% 4.7776% 3/15/37 (a)(b)(e) | 1,801,000 | 1,798,167 | |
BX Trust: | |||
floater Series 2018-IND Class H, 1 month U.S. LIBOR + 3.000% 5.3065% 11/15/35 (a)(b)(e) | 1,250,000 | 1,247,258 | |
Series 2017-IMC Class F, 1 month U.S. LIBOR + 4.250% 6.5565% 10/15/32 (a)(b)(e) | 3,990,000 | 3,987,420 | |
CCRESG Commercial Mortgage Trust Series 2016-HEAT Class E, 5.6712% 4/10/29 (a)(b) | 2,896,000 | 2,919,979 | |
CD Mortgage Trust Series 2017-CD3: | |||
Class C, 4.7137% 2/10/50 (b) | 4,665,000 | 4,582,429 | |
Class D, 3.25% 2/10/50 (a) | 4,073,000 | 3,276,856 | |
CG-CCRE Commercial Mortgage Trust Series 2014-FL1: | |||
Class YTC1, 1 month U.S. LIBOR + 2.489% 4.7955% 6/15/31 (a)(b)(e) | 1,724,184 | 1,702,630 | |
Class YTC2, 1 month U.S. LIBOR + 2.489% 4.7955% 6/15/31 (a)(b)(e) | 1,724,184 | 1,699,659 | |
Class YTC3, 1 month U.S. LIBOR + 2.489% 4.7955% 6/15/31 (a)(b)(e) | 662,427 | 651,542 | |
CGBAM Commercial Mortgage Trust Series 2015-SMRT: | |||
Class E, 3.9121% 4/10/28 (a)(b) | 608,000 | 603,127 | |
Class F, 3.9121% 4/10/28 (a)(b) | 3,321,000 | 3,286,256 | |
Citigroup Commercial Mortgage Trust: | |||
Series 2013-375P Class E, 3.6348% 5/10/35 (a)(b) | 4,069,000 | 3,875,084 | |
Series 2013-GC15 Class D, 5.3909% 9/10/46 (a)(b) | 7,323,000 | 7,288,299 | |
Series 2015-SHP2 Class E, 1 month U.S. LIBOR + 4.350% 6.6565% 7/15/27 (a)(b)(e) | 2,972,000 | 2,986,975 | |
Series 2016-C3 Class D, 3% 11/15/49 (a) | 4,412,000 | 3,395,035 | |
COMM Mortgage Trust: | |||
floater: | |||
Series 2014-PAT Class E, 1 month U.S. LIBOR + 3.150% 5.4653% 8/13/27 (a)(b)(e) | 2,781,000 | 2,807,434 | |
Series 2018-HCLV Class G, 1 month U.S. LIBOR + 5.056% 7.3628% 9/15/33 (a)(b)(e) | 1,487,000 | 1,399,912 | |
sequential payer Series 2013-LC6 Class E, 3.5% 1/10/46 (a) | 4,373,000 | 3,456,800 | |
Series 2012-CR1: | |||
Class C, 5.4981% 5/15/45 (b) | 1,715,000 | 1,754,850 | |
Class D, 5.4981% 5/15/45 (a)(b) | 5,826,000 | 5,779,590 | |
Class G, 2.462% 5/15/45 (a) | 2,322,000 | 1,720,964 | |
Series 2012-CR5 Class D, 4.4642% 12/10/45 (a)(b) | 1,291,000 | 1,252,944 | |
Series 2012-LC4 Class D, 5.7237% 12/10/44 (a)(b) | 6,592,000 | 5,912,240 | |
Series 2013-CCRE6 Class E, 4.2221% 3/10/46 (a)(b) | 158,000 | 134,122 | |
Series 2013-CR10: | |||
Class C, 4.9523% 8/10/46 (a)(b) | 1,091,000 | 1,110,118 | |
Class D, 4.9523% 8/10/46 (a)(b) | 3,673,000 | 3,506,262 | |
Series 2013-CR12 Class D, 5.2542% 10/10/46 (a)(b) | 4,043,000 | 3,510,940 | |
Series 2013-CR6 Class F, 4.2221% 3/10/46 (a)(b) | 1,439,000 | 1,012,302 | |
Series 2013-LC6 Class D, 4.4057% 1/10/46 (a)(b) | 5,644,000 | 5,463,424 | |
Series 2014-CR15 Class D, 4.8692% 2/10/47 (a)(b) | 1,060,000 | 1,058,655 | |
Series 2014-CR17 Class E, 4.9613% 5/10/47 (a)(b) | 589,000 | 528,512 | |
Series 2014-UBS2 Class D, 5.1897% 3/10/47 (a)(b) | 3,454,000 | 3,045,271 | |
Series 2015-3BP Class F, 3.3463% 2/10/35 (a)(b) | 4,405,000 | 3,981,032 | |
Series 2016-CD1 Class D, 2.9034% 8/10/49 (a)(b) | 2,318,000 | 1,823,470 | |
Series 2017-CD4 Class D, 3.3% 5/10/50 (a) | 3,234,000 | 2,596,608 | |
COMM Trust Series 2017-COR2 Class D, 3% 9/10/50 (a) | 1,146,000 | 911,048 | |
Commercial Mortgage Asset Trust Series 1999-C2 Class H, 6% 11/17/32 (a) | 603,859 | 604,014 | |
Commercial Mortgage Trust Series 2016-CD2 Class D, 2.914% 11/10/49 (b) | 1,680,000 | 1,310,642 | |
Commercial Mortgage Trust pass-thru certificates: | |||
Series 2012-CR2: | |||
Class E, 4.9926% 8/15/45 (a)(b) | 5,306,000 | 5,054,254 | |
Class F, 4.25% 8/15/45 (a) | 6,580,000 | 5,499,453 | |
Series 2014-CR2 Class G, 4.25% 8/15/45 (a) | 1,556,000 | 1,048,411 | |
Core Industrial Trust: | |||
Series 2015-CALW Class G, 3.9787% 2/10/34 (a)(b) | 2,588,000 | 2,503,465 | |
Series 2015-TEXW Class F, 3.977% 2/10/34 (a)(b) | 1,733,000 | 1,686,202 | |
Series 2015-WEST Class F, 4.2268% 2/10/37 (a)(b) | 5,394,000 | 5,136,000 | |
Credit Suisse First Boston Mortgage Securities Corp. Series 1998-C1 Class H, 6% 5/17/40 (a) | 1,573,759 | 1,281,197 | |
CSAIL Commercial Mortgage Trust: | |||
Series 2017-C8 Class D, 4.47% 6/15/50 (a) | 3,902,000 | 3,442,398 | |
Series 2017-CX10 Class UESD, 4.3778% 10/15/32 (a)(b) | 1,890,000 | 1,805,257 | |
Series 2017-CX9 Class D, 4.2964% 9/15/50 (a)(b) | 1,615,000 | 1,414,706 | |
CSMC Trust Series 2016-MFF Class F, 1 month U.S. LIBOR + 7.250% 9.5565% 11/15/33 (a)(b)(e) | 3,334,000 | 3,365,996 | |
DBCCRE Mortgage Trust Series 2014-ARCP: | |||
Class D, 5.099% 1/10/34 (a)(b) | 833,000 | 814,757 | |
Class E, 5.099% 1/10/34 (a)(b) | 4,264,000 | 4,064,084 | |
DBUBS Mortgage Trust: | |||
Series 2011-LC1A: | |||
Class E, 5.8844% 11/10/46 (a)(b) | 7,437,000 | 7,629,142 | |
Class F, 5.8844% 11/10/46 (a)(b) | 7,292,000 | 7,321,352 | |
Class G, 4.652% 11/10/46 (a) | 7,812,000 | 7,085,577 | |
Series 2011-LC3A Class D, 5.5158% 8/10/44 (a)(b) | 3,425,000 | 3,490,894 | |
Freddie Mac: | |||
pass-thru certificates Series K013 Class X3, 2.9097% 1/25/43 (b)(c) | 4,473,000 | 255,196 | |
Series KAIV Class X2, 3.6147% 6/25/41 (b)(c) | 2,316,000 | 188,977 | |
GAHR Commercial Mortgage Trust Series 2015-NRF: | |||
Class FFX, 3.4949% 12/15/34 (a)(b) | 4,845,000 | 4,739,944 | |
Class GFX, 3.4949% 12/15/34 (a)(b) | 10,554,000 | 10,292,240 | |
GMAC Commercial Mortgage Securities, Inc.: | |||
Series 1997-C1 Class H, 6.6% 7/15/29 | 418,925 | 403,868 | |
Series 1997-C2 Class H, 6.75% 4/15/29 (b) | 4,607,729 | 3,720,177 | |
Series 1999-C2I Class K, 6.481% 9/15/33 | 6,559,000 | 6,522,182 | |
GPMT Ltd. floater Series 2018-FL1 Class D, 1 month U.S. LIBOR + 2.950% 5.2503% 11/21/35 (a)(b)(e) | 1,227,000 | 1,231,590 | |
GS Mortgage Securities Trust: | |||
Series 2010-C2 Class D, 5.3541% 12/10/43 (a)(b) | 3,415,000 | 3,436,571 | |
Series 2011-GC3 Class D, 5.8252% 3/10/44 (a)(b) | 1,032,000 | 1,044,073 | |
Series 2011-GC5: | |||
Class D, 5.5575% 8/10/44 (a)(b) | 6,673,000 | 6,520,675 | |
Class E, 5.5575% 8/10/44 (a)(b) | 2,432,000 | 2,161,697 | |
Class F, 4.5% 8/10/44 (a) | 4,308,000 | 2,467,368 | |
Series 2012-GC6: | |||
Class D, 5.8401% 1/10/45 (a)(b) | 3,753,000 | 3,714,165 | |
Class E, 5% 1/10/45 (a)(b) | 1,517,000 | 1,314,912 | |
Series 2012-GC6I Class F, 5% 1/10/45 (b) | 1,508,000 | 1,073,307 | |
Series 2012-GCJ7: | |||
Class C, 5.8921% 5/10/45 (b) | 4,855,000 | 4,950,776 | |
Class D, 5.8921% 5/10/45 (a)(b) | 8,756,500 | 8,191,551 | |
Class E, 5% 5/10/45 (a) | 2,893,996 | 1,924,941 | |
Class F, 5% 5/10/45 (a) | 7,032,000 | 2,153,468 | |
Series 2012-GCJ9 Class D, 4.9048% 11/10/45 (a)(b) | 4,238,000 | 4,134,013 | |
Series 2013-GC12 Class D, 4.5873% 6/10/46 (a)(b) | 869,000 | 794,621 | |
Series 2013-GC13 Class D, 4.2179% 7/10/46 (a)(b) | 5,470,000 | 5,053,667 | |
Series 2013-GC16: | |||
Class D, 5.4876% 11/10/46 (a)(b) | 3,923,000 | 3,943,461 | |
Class F, 3.5% 11/10/46 (a) | 2,530,000 | 1,854,285 | |
Series 2016-GS2: | |||
Class C, 4.6794% 5/10/49 (b) | 2,464,000 | 2,482,142 | |
Class D, 2.753% 5/10/49 (a) | 2,058,050 | 1,687,389 | |
Series 2016-GS3 Class D, 2.62% 10/10/49 (a) | 6,086,000 | 4,813,646 | |
Series 2016-REMZ Class MZB, 7.727% 2/10/21 (a) | 3,902,000 | 3,979,926 | |
Series 2016-RENT: | |||
Class E, 4.2022% 2/10/29 (a)(b) | 7,178,000 | 7,055,693 | |
Class F, 4.2022% 2/10/29 (a)(b) | 5,309,000 | 5,191,851 | |
Series 2017-GS6 Class D, 3.243% 5/10/50 (a) | 3,676,000 | 3,003,030 | |
Hilton U.S.A. Trust: | |||
Series 2016-HHV Class F, 4.3333% 11/5/38 (a)(b) | 5,550,000 | 4,937,750 | |
Series 2016-SFP Class F, 6.1552% 11/5/35 (a) | 4,195,000 | 4,213,322 | |
IMT Trust Series 2017-APTS: | |||
Class EFL, 1 month U.S. LIBOR + 2.150% 4.4565% 6/15/34 (a)(b)(e) | 1,886,000 | 1,882,450 | |
Class FFL, 1 month U.S. LIBOR + 2.850% 5.1565% 6/15/34 (a)(b)(e) | 774,000 | 772,786 | |
Independence Plaza Trust Series 2018-INDP Class E, 4.996% 7/10/35 (a) | 2,083,000 | 2,052,314 | |
Invitation Homes Trust floater Series 2018-SFR3 Class F, 1 month U.S. LIBOR + 2.250% 4.5525% 7/17/37 (a)(b)(e) | 2,582,000 | 2,575,543 | |
JPMBB Commercial Mortgage Securities Trust: | |||
Series 2014-C23 Class UH5, 4.7094% 9/15/47 (a) | 604,000 | 517,553 | |
Series 2014-C26 Class D, 4.0651% 1/15/48 (a)(b) | 2,329,000 | 2,048,089 | |
Series 2015-C32 Class C, 4.817% 11/15/48 (b) | 3,481,000 | 3,428,949 | |
JPMCC Commercial Mortgage Securities Trust Series 2016-JP4 Class D, 3.5943% 12/15/49 (a)(b) | 2,418,000 | 2,032,683 | |
JPMDB Commercial Mortgage Securities Trust: | |||
Series 2016-C4 Class D, 3.2218% 12/15/49 (a)(b) | 3,867,000 | 3,119,575 | |
Series 2017-C7 Class D, 3% 10/15/50 (a) | 1,813,000 | 1,420,569 | |
Series 2018-C8 Class D, 3.4037% 6/15/51 (a)(b) | 1,171,000 | 943,857 | |
JPMorgan Chase Commercial Mortgage Securities Corp.: | |||
Series 2003-C1 Class F, 5.6578% 1/12/37 (a)(b) | 332,195 | 339,269 | |
Series 2012-CBX: | |||
Class D, 5.1909% 6/15/45 (a)(b) | 3,373,000 | 3,321,054 | |
Class E, 5.1909% 6/15/45 (a)(b) | 3,178,000 | 2,898,770 | |
Class F, 4% 6/15/45 (a) | 3,743,000 | 2,897,956 | |
Class G 4% 6/15/45 (a) | 4,129,000 | 2,167,386 | |
JPMorgan Chase Commercial Mortgage Securities Trust: | |||
Series 2004-CBX Class D, 5.097% 1/12/37 (b) | 1,012,000 | 1,019,326 | |
Series 2005-LDP2 Class F, 5.01% 7/15/42 (b) | 451,867 | 457,146 | |
Series 2011-C3: | |||
Class E, 5.849% 2/15/46 (a)(b) | 3,008,000 | 2,951,003 | |
Class G, 4.409% 2/15/46 (a)(b) | 1,082,000 | 894,067 | |
Class H, 4.409% 2/15/46 (a)(b) | 2,622,000 | 1,981,835 | |
Series 2011-C4: | |||
Class E, 5.7202% 7/15/46 (a)(b) | 5,131,000 | 5,248,976 | |
Class F, 3.873% 7/15/46 (a) | 494,000 | 480,192 | |
Class H, 3.873% 7/15/46 (a) | 2,683,000 | 2,460,335 | |
Class NR, 3.873% 7/15/46 (a) | 1,322,500 | 942,497 | |
Series 2013-LC11: | |||
Class C, 3.9582% 4/15/46 (b) | 167,000 | 162,106 | |
Class D, 4.3077% 4/15/46 (b) | 3,661,000 | 3,078,228 | |
Class E, 3.25% 4/15/46 (a)(b) | 104,000 | 73,898 | |
Class F, 3.25% 4/15/46 (a)(b) | 5,894,000 | 3,577,347 | |
Series 2014-DSTY: | |||
Class D, 3.9314% 6/10/27 (a)(b) | 3,213,000 | 2,474,010 | |
Class E, 3.9314% 6/10/27 (a)(b) | 3,476,000 | 2,363,680 | |
Series 2015-UES Class F, 3.7417% 9/5/32 (a)(b) | 2,499,000 | 2,433,444 | |
Series 2018-AON Class F, 4.767% 7/5/31 (a) | 2,150,000 | 2,105,103 | |
JPMorgan Commercial Mortgage Finance Corp. Series 1999-C8 Class H, 6% 7/15/31 (a) | 49,061 | 47,613 | |
Ladder Capital Commercial Mortgage Securities Trust Series 2014-909 Class E, 4.0278% 5/15/31 (a)(b) | 4,262,000 | 4,085,075 | |
Liberty Street Trust Series 2016-225L Class E, 4.8035% 2/10/36 (a)(b) | 2,063,000 | 1,963,861 | |
LSTAR Commercial Mortgage Trust Series 2014-2: | |||
Class D, 5.2007% 1/20/41 (a)(b) | 1,023,000 | 1,019,259 | |
Class E, 5.2007% 1/20/41 (a)(b) | 1,593,000 | 1,474,925 | |
Mach One Trust LLC Series 2004-1A Class M, 5.45% 5/28/40 (a)(b) | 1,183,257 | 1,166,542 | |
Merrill Lynch Mortgage Trust Series 2006-C1 Class AJ, 5.7802% 5/12/39 (b) | 970,893 | 975,699 | |
Morgan Stanley BAML Trust: | |||
sequential payer Series 2014-C18 Class 300E, 4.6896% 8/15/31 | 1,666,000 | 1,606,096 | |
Series 2012-C5 Class E, 4.842% 8/15/45 (a)(b) | 889,000 | 874,302 | |
Series 2012-C6 Class D, 4.6104% 11/15/45 (a)(b) | 3,633,000 | 3,612,903 | |
Series 2013-C12 Class D, 4.9199% 10/15/46 (a)(b) | 3,996,000 | 3,850,370 | |
Series 2013-C13: | |||
Class D, 5.0728% 11/15/46 (a)(b) | 5,150,000 | 5,124,039 | |
Class E, 5.0728% 11/15/46 (a)(b) | 1,666,000 | 1,481,270 | |
Series 2013-C7: | |||
Class D, 4.3703% 2/15/46 (a)(b) | 4,791,000 | 4,331,754 | |
Class E, 4.3703% 2/15/46 (a)(b) | 1,316,000 | 1,042,629 | |
Series 2013-C8 Class D, 4.1939% 12/15/48 (a)(b) | 1,883,000 | 1,697,878 | |
Series 2013-C9: | |||
Class C, 4.176% 5/15/46 (b) | 3,152,000 | 3,128,414 | |
Class D, 4.264% 5/15/46 (a)(b) | 4,440,000 | 4,127,006 | |
Series 2016-C30 Class D, 3% 9/15/49 (a) | 1,565,000 | 1,271,819 | |
Series 2016-C31 Class D, 3% 11/15/49 (a)(b) | 2,453,000 | 1,880,933 | |
Series 2016-C32 Class D, 3.396% 12/15/49 (a) | 3,084,000 | 2,517,182 | |
Series 2017-C33 Class D, 3.356% 5/15/50 (a) | 2,932,000 | 2,369,647 | |
Morgan Stanley Capital I Trust: | |||
sequential payer Series 2012-C4 Class E, 5.6007% 3/15/45 (a)(b) | 2,092,000 | 1,816,988 | |
Series 1998-CF1 Class G, 7.35% 7/15/32 (a) | 188,214 | 161,236 | |
Series 2011-C1 Class D, 5.5992% 9/15/47 (a)(b) | 4,000,000 | 4,124,346 | |
Series 2011-C2: | |||
Class D, 5.6675% 6/15/44 (a)(b) | 6,083,000 | 6,027,010 | |
Class E, 5.6675% 6/15/44 (a)(b) | 4,081,000 | 3,879,459 | |
Class F, 5.6675% 6/15/44 (a)(b) | 3,015,000 | 2,572,323 | |
Series 2011-C3: | |||
Class D, 5.3257% 7/15/49 (a)(b) | 8,074,000 | 8,235,930 | |
Class E, 5.3257% 7/15/49 (a)(b) | 2,610,000 | 2,593,148 | |
Class F, 5.3257% 7/15/49 (a)(b) | 984,000 | 949,101 | |
Class G, 5.3257% 7/15/49 (a)(b) | 3,523,000 | 3,108,084 | |
Series 2012-C4 Class D, 5.6007% 3/15/45 (a)(b) | 1,624,000 | 1,540,263 | |
Series 2014-150E Class F, 4.4382% 9/9/32 (a)(b) | 2,416,000 | 2,306,632 | |
Series 2015-MS1 Class D, 4.1649% 5/15/48 (a)(b) | 4,300,000 | 3,809,177 | |
Series 2015-UBS8 Class D, 3.18% 12/15/48 (a) | 2,839,000 | 2,377,413 | |
Series 2016-BNK2 Class C, 3% 11/15/49 (a) | 4,506,000 | 3,639,779 | |
Series 2017-CLS Class F, 1 month U.S. LIBOR + 2.600% 4.9065% 11/15/34 (a)(b)(e) | 916,000 | 914,258 | |
Series 2018-MP Class E, 4.4185% 7/11/40 (a) | 2,499,000 | 2,247,725 | |
Morgan Stanley Dean Witter Capital I Trust Series 2001-TOP3 Class E, 7.8627% 7/15/33 (a)(b) | 471,190 | 494,353 | |
Motel 6 Trust floater: | |||
Series 2017-M6MZ, Class M, 1 month U.S. LIBOR + 6.927% 9.233% 8/15/19 (a)(b)(e) | 1,435,597 | 1,449,279 | |
Series 2017-MTL6, Class F, 1 month U.S. LIBOR + 4.250% 6.5565% 8/15/34 (a)(b)(e) | 10,768,137 | 10,788,319 | |
MSCG Trust Series 2016-SNR: | |||
Class D, 6.55% 11/15/34 (a) | 6,236,450 | 6,181,582 | |
Class E, 6.8087% 11/15/34 (a) | 1,727,200 | 1,644,921 | |
MSJP Commercial Securities Mortgage Trust Series 2015-HAUL Class E, 5.0127% 9/5/47 (a)(b) | 1,014,000 | 916,311 | |
NationsLink Funding Corp. Series 1999-LTL1 Class D, 6.45% 1/22/26 (a) | 510,272 | 514,734 | |
Natixis Commercial Mortgage Securities Trust: | |||
floater Series 2018-FL1: | |||
Class WAN1, 1 month U.S. LIBOR + 2.750% 5.03% 6/15/35 (a)(b)(e) | 262,000 | 263,278 | |
Class WAN2, 1 month U.S. LIBOR + 3.750% 6.03% 6/15/35 (a)(b)(e) | 222,000 | 220,843 | |
Series 2018-285M Class F, 3.9167% 11/15/32 (a)(b) | 909,000 | 849,163 | |
Series 2018-TECH: | |||
Class E, 1 month U.S. LIBOR + 2.250% 4.5565% 11/15/34 (a)(b)(e) | 638,000 | 638,841 | |
Class F, 1 month U.S. LIBOR + 3.000% 5.3065% 11/15/34 (a)(b)(e) | 96,000 | 96,186 | |
Class G, 1 month U.S. LIBOR + 4.000% 6.3065% 11/15/34 (a)(b)(e) | 572,000 | 569,027 | |
Providence Place Group Ltd. Partnership Series 2000-C1 Class A2, 7.75% 7/20/28 (a) | 2,077,757 | 2,423,501 | |
RETL floater Series 2018-RVP: | |||
Class E, 1 month U.S. LIBOR + 4.500% 6.8065% 3/15/33 (a)(b)(e) | 1,358,339 | 1,356,605 | |
Class F, 1 month U.S. LIBOR + 6.000% 8.3065% 3/15/33 (a)(b)(e) | 1,398,724 | 1,396,943 | |
Starwood Retail Property Trust Series 2014-STAR Class D, 1 month U.S. LIBOR + 3.250% 5.5565% 11/15/27 (a)(b)(e) | 2,062,000 | 2,009,095 | |
TIAA Seasoned Commercial Mortgage Trust: | |||
sequential payer Series 2007-C4 Class AJ, 5.4812% 8/15/39 (b) | 141,638 | 141,829 | |
Series 2007-C4 Class F, 5.4812% 8/15/39 (b) | 4,452,000 | 4,130,856 | |
TPG Real Estate Finance floater Series 2018-FL1 Class D, 1 month U.S. LIBOR + 2.700% 5.0025% 2/15/35 (a)(b)(e) | 934,000 | 938,920 | |
UBS Commercial Mortgage Trust Series 2012-C1: | |||
Class D, 5.7286% 5/10/45 (a)(b) | 4,574,000 | 4,497,840 | |
Class E, 5% 5/10/45 (a)(b) | 1,911,000 | 1,683,357 | |
Class F, 5% 5/10/45 (a)(b) | 2,484,000 | 1,798,978 | |
UBS-BAMLL Trust: | |||
Series 12-WRM Class D, 4.3793% 6/10/30 (a)(b) | 1,291,000 | 1,158,678 | |
Series 2012-WRM Class C, 4.3793% 6/10/30 (a)(b) | 890,000 | 867,984 | |
Wells Fargo Commercial Mortgage Trust: | |||
Series 2010-C1 Class XB, 0.6614% 11/15/43 (a)(b)(c) | 21,422,306 | 217,693 | |
Series 2012-LC5: | |||
Class D, 4.9217% 10/15/45 (a)(b) | 6,116,000 | 6,001,562 | |
Class E, 4.9217% 10/15/45 (a)(b) | 1,051,000 | 1,019,548 | |
Series 2013-LC12 Class C, 4.4222% 7/15/46 (b) | 2,697,000 | 2,627,218 | |
Series 2015-NXS4 Class E, 3.7522% 12/15/48 (a)(b) | 2,047,000 | 1,655,298 | |
Series 2016-BNK1 Class D, 3% 8/15/49 (a) | 1,526,000 | 1,236,773 | |
Series 2016-C35 Class D, 3.142% 7/15/48 (a) | 5,461,000 | 4,359,474 | |
Series 2016-NXS6 Class D, 3.059% 11/15/49 (a) | 4,250,000 | 3,402,864 | |
Series 2017-C38 Class D, 3% 7/15/50 (a)(b) | 4,605,000 | 3,627,918 | |
Series 2017-RB1 Class D, 3.401% 3/15/50 (a) | 1,824,000 | 1,497,332 | |
WF-RBS Commercial Mortgage Trust: | |||
sequential payer Series 2011-C4I Class G, 5% 6/15/44 | 1,252,600 | 754,623 | |
Series 2011-C3: | |||
Class D, 5.8551% 3/15/44 (a)(b) | 3,318,000 | 2,923,831 | |
Class E, 5% 3/15/44 (a) | 1,258,000 | 640,766 | |
Class F, 5% 3/15/44 (a) | 2,421,350 | 600,536 | |
Series 2011-C4: | |||
Class D, 5.3973% 6/15/44 (a)(b) | 1,616,000 | 1,579,197 | |
Class E, 5.3973% 6/15/44 (a)(b) | 1,274,000 | 1,220,353 | |
Series 2011-C5: | |||
Class D, 5.8614% 11/15/44 (a)(b) | 2,978,000 | 3,025,287 | |
Class E, 5.8614% 11/15/44 (a)(b) | 3,706,655 | 3,670,078 | |
Class F, 5.25% 11/15/44 (a)(b) | 3,820,000 | 3,353,719 | |
Class G, 5.25% 11/15/44 (a)(b) | 1,255,150 | 1,048,629 | |
Series 2012-C6 Class D, 5.7686% 4/15/45 (a)(b) | 2,707,000 | 2,706,714 | |
Series 2012-C7: | |||
Class C, 4.9762% 6/15/45 (b) | 3,160,000 | 3,165,819 | |
Class E, 4.9762% 6/15/45 (a)(b) | 3,644,000 | 2,927,042 | |
Class F, 4.5% 6/15/45 (a) | 1,470,000 | 937,737 | |
Class G, 4.5% 6/15/45 (a) | 4,218,750 | 1,347,043 | |
Series 2012-C8: | |||
Class D, 5.0559% 8/15/45 (a)(b) | 833,000 | 804,614 | |
Class E, 5.0559% 8/15/45 (a)(b) | 1,167,000 | 1,133,440 | |
Series 2013-C11: | |||
Class D, 4.4078% 3/15/45 (a)(b) | 1,865,000 | 1,781,198 | |
Class E, 4.4078% 3/15/45 (a)(b) | 4,999,000 | 4,390,792 | |
Series 2013-C13 Class D, 4.2706% 5/15/45 (a)(b) | 1,499,000 | 1,399,966 | |
Series 2013-C16 Class D, 5.2058% 9/15/46 (a)(b) | 668,000 | 621,805 | |
Series 2013-UBS1 Class D, 4.8476% 3/15/46 (a)(b) | 2,638,000 | 2,422,523 | |
WFCG Commercial Mortgage Trust floater Series 2015-BXRP: | |||
Class F, 1 month U.S. LIBOR + 3.720% 6.0268% 11/15/29 (a)(b)(e) | 3,647,559 | 3,640,859 | |
Class G, 1 month U.S. LIBOR + 3.020% 5.3265% 11/15/29 (a)(b)(e) | 1,556,238 | 1,538,985 | |
Worldwide Plaza Trust Series 2017-WWP Class F, 3.7154% 11/10/36 (a)(b) | 5,095,000 | 4,325,119 | |
WP Glimcher Mall Trust Series 2015-WPG: | |||
Class PR1, 3.6332% 6/5/35 (a)(b) | 1,638,000 | 1,288,614 | |
Class PR2, 3.6332% 6/5/35 (a)(b) | 4,354,000 | 3,170,905 | |
TOTAL COMMERCIAL MORTGAGE SECURITIES | |||
(Cost $607,379,366) | 602,147,174 | ||
Shares | Value | ||
Common Stocks - 0.3% | |||
Homebuilders/Real Estate - 0.3% | |||
Spirit Realty Capital, Inc. | |||
(Cost $2,056,422) | 251,700 | 1,867,614 | |
Preferred Stocks - 2.8% | |||
Convertible Preferred Stocks - 0.5% | |||
Homebuilders/Real Estate - 0.5% | |||
Alexandria Real Estate Equities, Inc. Series D, 7.00% | 53,300 | 1,802,542 | |
RLJ Lodging Trust Series A, 1.95% | 70,550 | 1,792,323 | |
3,594,865 | |||
Nonconvertible Preferred Stocks - 2.3% | |||
Diversified Financial Services - 0.6% | |||
Annaly Capital Management, Inc. Series C, 7.625% | 23,350 | 587,953 | |
MFA Financial, Inc. Series B, 7.50% | 80,525 | 2,005,612 | |
Two Harbors Investment Corp. 7.50% | 67,075 | 1,605,776 | |
4,199,341 | |||
Homebuilders/Real Estate - 1.7% | |||
American Homes 4 Rent Series D, 6.50% | 86,125 | 2,002,406 | |
Cedar Realty Trust, Inc.: | |||
Series B, 7.25% | 4,508 | 104,450 | |
Series C, 6.50% | 79,625 | 1,580,668 | |
DDR Corp. Series K, 6.25% | 75,512 | 1,665,040 | |
National Storage Affiliates Trust Series A, 6.00% | 37,975 | 883,678 | |
Public Storage Series F, 5.15% | 122,800 | 2,659,848 | |
Rexford Industrial Realty, Inc. Series B, 5.875% | 91,475 | 2,090,204 | |
Spirit Realty Capital, Inc. Series A, 6.00% | 17,968 | 395,476 | |
Taubman Centers, Inc. Series J, 6.50% | 55,202 | 1,339,311 | |
12,721,081 | |||
TOTAL NONCONVERTIBLE PREFERRED STOCKS | 16,920,422 | ||
TOTAL PREFERRED STOCKS | |||
(Cost $21,709,173) | 20,515,287 | ||
Principal Amount | Value | ||
Bank Loan Obligations - 5.1% | |||
Air Transportation - 0.3% | |||
Hanjin International Corp. Tranche B, term loan 3 month U.S. LIBOR + 2.500% 4.9446% 10/18/20 (b)(e) | 2,120,000 | 2,093,500 | |
Diversified Financial Services - 0.9% | |||
Extell Boston 5.154% 8/31/21 (b)(d) | 3,464,616 | 3,464,616 | |
Veritas-B Junior Mezz C LLC 10.48% 2/6/21 (b)(d) | 3,212,000 | 3,358,146 | |
TOTAL DIVERSIFIED FINANCIAL SERVICES | 6,822,762 | ||
Food & Drug Retail - 0.5% | |||
Albertson's LLC Tranche B, term loan 3 month U.S. LIBOR + 3.000% 5.381% 12/21/22 (b)(e) | 3,465,945 | 3,407,994 | |
Homebuilders/Real Estate - 2.1% | |||
Capital Automotive LP: | |||
Tranche 2LN, term loan 3 month U.S. LIBOR + 6.000% 8.3446% 3/24/25 (b)(e) | 2,884,248 | 2,887,854 | |
Tranche B 1LN, term loan 3 month U.S. LIBOR + 2.500% 4.85% 3/24/24 (b)(e) | 3,200,121 | 3,147,319 | |
DTZ U.S. Borrower LLC Tranche B, term loan 3 month U.S. LIBOR + 3.250% 5.5946% 8/21/25 (b)(e) | 1,666,000 | 1,639,444 | |
Invitation Homes Operating Par Tranche B, term loan 3 month U.S. LIBOR + 1.700% 4.0055% 2/6/22 (b)(e) | 4,165,000 | 4,081,700 | |
iStar Financial, Inc. Tranche B 1LN, term loan 3 month U.S. LIBOR + 2.750% 5.059% 6/28/23 (b)(e) | 3,257,200 | 3,228,700 | |
Realogy Group LLC Tranche B, term loan 3 month U.S. LIBOR + 2.250% 4.5565% 2/8/25 (b)(e) | 95,138 | 92,521 | |
TOTAL HOMEBUILDERS/REAL ESTATE | 15,077,538 | ||
Hotels - 1.1% | |||
ESH Hospitality, Inc. Tranche B, term loan 3 month U.S. LIBOR + 2.000% 4.3446% 8/30/23 (b)(e) | 1,677,390 | 1,656,423 | |
Hilton Worldwide Finance LLC Tranche B 2LN, term loan 3 month U.S. LIBOR + 1.750% 4.0651% 10/25/23 (b)(e) | 3,502,619 | 3,466,122 | |
Playa Resorts Holding BV Tranche B, term loan 3 month U.S. LIBOR + 2.750% 5.09% 4/27/24 (b)(e) | 942,111 | 908,939 | |
Ryman Hospitality Properties, Inc. Tranche B, term loan 3 month U.S. LIBOR + 2.000% 4.44% 5/11/24 (b)(e) | 2,190,801 | 2,169,813 | |
TOTAL HOTELS | 8,201,297 | ||
Services - 0.0% | |||
Lineage Logistics Holdings, LLC. Tranche B, term loan 3 month U.S. LIBOR + 3.000% 5.3446% 2/27/25 (b)(e) | 29,912 | 29,301 | |
Telecommunications - 0.2% | |||
SBA Senior Finance II, LLC Tranche B, term loan 3 month U.S. LIBOR + 2.000% 4.35% 4/11/25 (b)(e) | 1,661,000 | 1,641,018 | |
TOTAL BANK LOAN OBLIGATIONS | |||
(Cost $37,524,979) | 37,273,410 | ||
Preferred Securities - 0.0% | |||
Homebuilders/Real Estate - 0.0% | |||
Crest Clarendon Street 2002-1 Ltd. Series 2002-1A Class PS, 12/28/35 (a)(d) | 3,000,000 | 170,703 | |
Crest Dartmouth Street 2003-1 Ltd. Series 2003-1A Class PS, (a)(d) | 2,582,175 | 258 | |
TOTAL HOMEBUILDERS/REAL ESTATE | |||
(Cost $5,790,279) | 170,961 | ||
Shares | Value | ||
Money Market Funds - 0.3% | |||
Fidelity Cash Central Fund, 2.27%(g) | |||
(Cost $2,413,823) | 2,413,340 | 2,413,823 | |
TOTAL INVESTMENT IN SECURITIES - 99.5% | |||
(Cost $750,546,123) | 729,418,003 | ||
NET OTHER ASSETS (LIABILITIES) - 0.5% | 3,573,738 | ||
NET ASSETS - 100% | $732,991,741 |
Legend
(a) Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. At the end of the period, the value of these securities amounted to $598,679,490 or 81.7% of net assets.
(b) Coupon rates for floating and adjustable rate securities reflect the rates in effect at period end.
(c) Security represents right to receive monthly interest payments on an underlying pool of mortgages or assets. Principal shown is the outstanding par amount of the pool as of the end of the period.
(d) Level 3 security
(e) Coupon is indexed to a floating interest rate which may be multiplied by a specified factor and/or subject to caps or floors.
(f) 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 $44,147 or 0.0% of net assets.
(g) 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, which are not covered by the Fund's Report of Independent Registered Public Accounting Firm, are available on the SEC's website or upon request.
Additional information on each restricted holding is as follows:
Security | Acquisition Date | Acquisition Cost |
Fannie Mae REMIC Trust Series 2003-W10 subordinate REMIC pass thru certificates, Class 2B4, 4.0016% 6/25/43 | 9/29/03 | $68,226 |
Fannie Mae REMIC Trust Series 2003-W10 subordinate REMIC pass thru certificates, Class 2B5, 4.0016% 6/25/43 | 9/29/03 | $220 |
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 | $886,262 |
Total | $886,262 |
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 November 30, 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: | ||||
Financials | $4,199,341 | $4,199,341 | $-- | $-- |
Real Estate | 18,183,560 | 14,588,695 | 3,594,865 | -- |
Corporate Bonds | 26,691,896 | -- | 26,691,896 | -- |
Asset-Backed Securities | 38,226,897 | -- | 38,225,658 | 1,239 |
Collateralized Mortgage Obligations | 110,941 | -- | 58,431 | 52,510 |
Commercial Mortgage Securities | 602,147,174 | -- | 602,147,174 | -- |
Bank Loan Obligations | 37,273,410 | -- | 30,450,648 | 6,822,762 |
Preferred Securities | 170,961 | -- | -- | 170,961 |
Money Market Funds | 2,413,823 | 2,413,823 | -- | -- |
Total Investments in Securities: | $729,418,003 | $21,201,859 | $701,168,672 | $7,047,472 |
The following is a reconciliation of Investments in Securities for which Level 3 inputs were used in determining value:
Investments in Securities: | |
Bank Loan Obligations | |
Beginning Balance | $10,367,500 |
Net Realized Gain (Loss) on Investment Securities | 10,440 |
Net Unrealized Gain (Loss) on Investment Securities | (33,426) |
Cost of Purchases | 3,393,574 |
Proceeds of Sales | (6,590,516) |
Amortization/Accretion | (28,264) |
Transfers into Level 3 | 4,540,954 |
Transfers out of Level 3 | (4,837,500) |
Ending Balance | $6,822,762 |
The change in unrealized gain (loss) for the period attributable to Level 3 securities held at November 30, 2018 | $(20,448) |
Other Investments in Securities | |
Beginning Balance | $4,682,403 |
Net Realized Gain (Loss) on Investment Securities | (2,031,539) |
Net Unrealized Gain (Loss) on Investment Securities | 2,136,425 |
Cost of Purchases | 536,710 |
Proceeds of Sales | (510,499) |
Amortization/Accretion | (535,266) |
Transfers into Level 3 | - |
Transfers out of Level 3 | (4,053,524) |
Ending Balance | $224,710 |
The change in unrealized gain (loss) for the period attributable to Level 3 securities held at November 30, 2018 | $1,036,991 |
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 and proceeds of sales includes securities delivered through in-kind transactions. Transfers into Level 3 were attributable to a lack of observable market data resulting from decreases in market activity, decreases in liquidity, security restructurings or corporate actions. Transfers out of Level 3 were attributable to observable market data becoming available for those securities. 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.
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
November 30, 2018 | ||
Assets | ||
Investment in securities, at value — See accompanying schedule: Unaffiliated issuers (cost $748,132,300) | $727,004,180 | |
Fidelity Central Funds (cost $2,413,823) | 2,413,823 | |
Total Investment in Securities (cost $750,546,123) | $729,418,003 | |
Receivable for investments sold | 1,457,156 | |
Dividends receivable | 11,128 | |
Interest receivable | 3,296,107 | |
Distributions receivable from Fidelity Central Funds | 28,536 | |
Prepaid expenses | 1,805 | |
Other receivables | 74 | |
Total assets | 734,212,809 | |
Liabilities | ||
Distributions payable | $482,098 | |
Accrued management fee | 524,686 | |
Other affiliated payables | 43,216 | |
Other payables and accrued expenses | 171,068 | |
Total liabilities | 1,221,068 | |
Net Assets | $732,991,741 | |
Net Assets consist of: | ||
Paid in capital | $769,960,516 | |
Total distributable earnings (loss) | (36,968,775) | |
Net Assets, for 86,856,804 shares outstanding | $732,991,741 | |
Net Asset Value, offering price and redemption price per share ($732,991,741 ÷ 86,856,804 shares) | $8.44 |
See accompanying notes which are an integral part of the financial statements.
Statement of Operations
Year ended November 30, 2018 | ||
Investment Income | ||
Dividends | $2,623,112 | |
Interest | 57,173,723 | |
Income from Fidelity Central Funds | 886,262 | |
Total income | 60,683,097 | |
Expenses | ||
Management fee | $7,503,797 | |
Transfer agent fees | 159,560 | |
Accounting fees and expenses | 444,999 | |
Custodian fees and expenses | 19,926 | |
Independent trustees' fees and expenses | 5,543 | |
Audit | 343,702 | |
Legal | 1,686 | |
Miscellaneous | 7,725 | |
Total expenses before reductions | 8,486,938 | |
Expense reductions | (9,093) | |
Total expenses after reductions | 8,477,845 | |
Net investment income (loss) | 52,205,252 | |
Realized and Unrealized Gain (Loss) | ||
Net realized gain (loss) on: | ||
Investment securities: | ||
Unaffiliated issuers | (2,476,751) | |
Redemptions in-kind with affiliated entities | 916,170 | |
Fidelity Central Funds | (1,321) | |
Foreign currency transactions | 42,994 | |
Total net realized gain (loss) | (1,518,908) | |
Change in net unrealized appreciation (depreciation) on: | ||
Investment securities: | ||
Unaffiliated issuers | (16,722,326) | |
Fidelity Central Funds | 1,156 | |
Assets and liabilities in foreign currencies | 108 | |
Total change in net unrealized appreciation (depreciation) | (16,721,062) | |
Net gain (loss) | (18,239,970) | |
Net increase (decrease) in net assets resulting from operations | $33,965,282 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
Year ended November 30, 2018 | Year ended November 30, 2017 | |
Increase (Decrease) in Net Assets | ||
Operations | ||
Net investment income (loss) | $52,205,252 | $54,247,515 |
Net realized gain (loss) | (1,518,908) | (531,104) |
Change in net unrealized appreciation (depreciation) | (16,721,062) | 7,597,758 |
Net increase (decrease) in net assets resulting from operations | 33,965,282 | 61,314,169 |
Distributions to shareholders | (53,762,837) | – |
Distributions to shareholders from net investment income | – | (50,959,518) |
Total distributions | (53,762,837) | (50,959,518) |
Share transactions | ||
Proceeds from sales of shares | 356,936,471 | 78,799,000 |
Reinvestment of distributions | 49,618,853 | 48,189,200 |
Cost of shares redeemed | (756,871,686) | (67,468,713) |
Net increase (decrease) in net assets resulting from share transactions | (350,316,362) | 59,519,487 |
Total increase (decrease) in net assets | (370,113,917) | 69,874,138 |
Net Assets | ||
Beginning of period | 1,103,105,658 | 1,033,231,520 |
End of period | $732,991,741 | $1,103,105,658 |
Other Information | ||
Undistributed net investment income end of period | $2,745,679 | |
Shares | ||
Sold | 42,169,778 | 9,157,768 |
Issued in reinvestment of distributions | 5,851,171 | 5,595,916 |
Redeemed | (89,472,668) | (7,835,017) |
Net increase (decrease) | (41,451,719) | 6,918,667 |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights
Fidelity Real Estate High Income Fund
Years ended November 30, | 2018 | 2017 | 2016 | 2015 | 2014 |
Selected Per–Share Data | |||||
Net asset value, beginning of period | $8.60 | $8.51 | $8.80 | $8.99 | $8.77 |
Income from Investment Operations | |||||
Net investment income (loss)A | .417 | .433 | .451 | .539 | .560 |
Net realized and unrealized gain (loss) | (.148) | .064 | (.343) | (.190) | .205 |
Total from investment operations | .269 | .497 | .108 | .349 | .765 |
Distributions from net investment income | (.429) | (.407) | (.398) | (.462) | (.495) |
Distributions from net realized gain | – | – | – | (.050) | (.050) |
Tax return of capital | – | – | – | (.027) | – |
Total distributions | (.429) | (.407) | (.398) | (.539) | (.545) |
Net asset value, end of period | $8.44 | $8.60 | $8.51 | $8.80 | $8.99 |
Total ReturnB | 3.23% | 5.94% | 1.26% | 3.96% | 8.98% |
Ratios to Average Net AssetsC,D | |||||
Expenses before reductions | .80% | .80% | .80% | .80% | .81% |
Expenses net of fee waivers, if any | .80% | .80% | .80% | .80% | .81% |
Expenses net of all reductions | .80% | .80% | .80% | .80% | .81% |
Net investment income (loss) | 4.91% | 5.03% | 5.23% | 6.05% | 6.31% |
Supplemental Data | |||||
Net assets, end of period (000 omitted) | $732,992 | $1,103,106 | $1,033,232 | $1,052,173 | $953,814 |
Portfolio turnover rateE | 13%F | 18% | 19% | 20% | 20% |
A Calculated based on average shares outstanding during the period.
B Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
C 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.
D 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. 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.
E Amount does not include the portfolio activity of any underlying Fidelity Central Funds.
F 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
For the period ended November 30, 2018
1. Organization.
Fidelity Real Estate High 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.
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, which are not covered by the Fund's Report of Independent Registered Public Accounting Firm, 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:
Debt securities, including restricted securities, are valued based on evaluated prices received from third party pricing vendors or from brokers who make markets in such securities. Corporate bonds, bank loan obligations and preferred securities are valued by pricing vendors who utilize matrix pricing which considers yield or price of bonds of comparable quality, coupon, maturity and type or by broker-supplied prices. Asset backed securities, collateralized mortgage obligations and commercial mortgage securities are valued by pricing vendors who utilize matrix pricing which considers prepayment speed assumptions, attributes of the collateral, yield or price of bonds of comparable quality, coupon, maturity and type or by broker-supplied prices. When independent prices are unavailable or unreliable, debt securities may be valued utilizing pricing methodologies which consider similar factors that would be used by third party pricing vendors. Debt securities are generally categorized as Level 2 in the hierarchy but may be Level 3 depending on the circumstances. The Fund invests a significant portion of its assets in below investment grade securities. The value of these securities can be more volatile due to changes in the credit quality of the issuer and is sensitive to changes in economic, market and regulatory conditions.
Equity securities, including restricted securities, for which market quotations are readily available, are valued at the last reported sale price or official closing price as reported by a third party pricing vendor on the primary market or exchange on which they are traded and are categorized as Level 1 in the hierarchy. In the event there were no sales during the day or closing prices are not available, securities are valued at the last quoted bid price or may be valued using the last available price and are generally categorized as Level 2 in the hierarchy. For 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. 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.
The Fund attempts to obtain prices from one or more third party pricing vendors or brokers. For certain securities, independent prices may be unavailable, unreliable or limited to a single third party pricing vendor or broker, and the values reflected may differ from the amount that would be realized if the securities were sold.
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 November 30, 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. 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. For certain lower credit quality securitized assets that have contractual cash flows (for example, asset backed securities, collateralized mortgage obligations and commercial mortgage-backed securities), changes in estimated cash flows are periodically evaluated and the estimated yield is adjusted on a prospective basis, resulting in increases or decreases to Interest Income in the accompanying Statement of Operations. 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.
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. As of November 30, 2018, the Fund did not have any unrecognized tax benefits in the financial statements; nor is the Fund aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will significantly change in the next twelve months. 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 daily and paid monthly from net investment income. Distributions from realized gains, if any, are declared and recorded on the ex-dividend date. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Capital accounts are not adjusted for temporary book-tax differences which will reverse in a subsequent period.
Book-tax differences are primarily due to foreign currency transactions, passive foreign investment companies (PFIC), market discount, redemptions in-kind, certain conversion ratio adjustments, capital loss carryforwards.
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 | $21,419,930 |
Gross unrealized depreciation | (42,199,769) |
Net unrealized appreciation (depreciation) | $(20,779,839) |
Tax Cost | $750,197,842 |
The tax-based components of distributable earnings as of period end were as follows:
Undistributed ordinary income | $1,795,190 |
Capital loss carryforward | $(17,984,125) |
Net unrealized appreciation (depreciation) on securities and other investments | $(20,779,839) |
Capital loss carryforwards are only available to offset future capital gains of the Fund to the extent provided by regulations and may be limited. Under the Regulated Investment Company Modernization Act of 2010 (the Act), the Fund is permitted to carry forward capital losses incurred in taxable years beginning after December 22, 2010 for an unlimited period and such capital losses are required to be used prior to any losses that expire. The capital loss carryforward information presented below, including any applicable limitation, is estimated as of fiscal period end and is subject to adjustment.
Fiscal year of expiration | |
2019 | $(10,705,214) |
No expiration | |
Short-term | $(2,367,065) |
Long-term | (4,911,846) |
Total no expiration | $(7,278,911) |
Total capital loss carryforward | $(17,984,125) |
Due to large redemptions and subscriptions in the period, approximately $22,625,878 of the Fund's realized capital losses and approximately $19,222,227 of the Fund's unrealized capital losses are subject to limitation. Due to this limitation, the Fund will only be permitted to use approximately $17,968,928 of those capital losses per year to offset capital gains and at least $4,656,949 of those capital losses will expire unused and is not included in the table above.
The tax character of distributions paid was as follows:
November 30, 2018 | November 30, 2017 | |
Ordinary Income | $53,762,837 | $ 50,959,518 |
Restricted Securities. The Fund may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities is included at the end of the Fund's Schedule of Investments.
Loans and Other Direct Debt Instruments. The Fund invests in direct debt instruments which are interests in amounts owed to lenders by corporate or other borrowers. These instruments may be in the form of loans, trade claims or other receivables and may include standby financing commitments such as revolving credit facilities that obligate the Fund to supply additional cash to the borrower on demand. Loans may be acquired through assignment or participation. The Fund did not have any unfunded loan commitments, which are contractual obligations for future funding, at period end.
New Accounting Pronouncement. In March 2017, the Financial Accounting Standards Board (FASB) issued an Accounting Standards Update (ASU), ASU 2017-08, which amends the amortization period for certain callable debt securities that are held at a premium. The amendment requires the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount. The ASU is effective for annual periods beginning after December 15, 2018. Management is currently evaluating the potential impact of these changes to the financial statements.
New Rule Issuance. During August 2018, the U.S. Securities and Exchange Commission issued Final Rule Release No. 33-10532, Disclosure Update and Simplification. This Final Rule includes amendments specific to registered investment companies that are intended to eliminate overlap in disclosure requirements between Regulation S-X and GAAP. In accordance with these amendments, certain line-items in the Fund's financial statements have been combined or removed for the current period as outlined in the table below.
Financial Statement | Current Line-Item Presentation | Prior Line-Item Presentation |
Statement of Assets and Liabilities | Total distributable earnings (loss) | Undistributed/Distributions in excess of/Accumulated net investment income (loss) Accumulated/Undistributed net realized gain (loss) Net unrealized appreciation (depreciation) |
Statement of Changes in Net Assets | N/A - removed | Undistributed/Distributions in excess of/Accumulated net investment income (loss) end of period |
Statement of Changes in Net Assets | Distributions to shareholders | Distributions to shareholders from net investment income Distributions to shareholders from net realized gain |
4. Purchases and Sales of Investments.
Purchases and sales of securities, other than short-term securities, U.S. government securities and in-kind transactions, aggregated $132,470,190 and $262,256,064, 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 .60% of the Fund's average net assets and an annualized group fee rate that averaged .11% 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 annual management fee rate was .71% of the Fund's average net assets.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc. (FIIOC), an affiliate of the investment adviser, is the Fund's transfer, dividend disbursing and shareholder servicing agent. FIIOC receives an asset-based fee of .02% of the Fund's average net assets. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements.
Accounting Fees. Fidelity Service Company, Inc. (FSC), an affiliate of the investment adviser, maintains the Fund's accounting records. The fee is based on the level of average net assets for each month. For the period, the fees were equivalent to an annual 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 $29 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.
Affiliated Redemptions In-Kind. During the period, 17,894,579 shares of the Fund were redeemed in-kind for investments, including accrued interest, and cash with a value of $151,030,249. The net realized gain of $916,170 on investments delivered through in-kind redemptions is included in the accompanying Statement of Operations. The amount of the in-kind redemptions is included in share transactions in the accompanying Statement of Changes in Net Assets. The Fund recognized no gain or loss for federal income tax purposes.
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 $2,971 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. 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 $917 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 $1,728.
In addition, during the period the investment adviser reimbursed and/or waived a portion of operating expenses in the amount of $6,448.
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, two otherwise unaffiliated shareholders were the owners of record of 30% of the total outstanding shares of the Fund.
9. Credit and Liquidity Risk.
The Fund invests a significant portion of its assets in below investment grade securities with contractual cash flows, such as asset backed securities, collateralized mortgage obligations and commercial mortgage backed securities. As these securities have a higher degree of sensitivity to changes in economic conditions, including real estate values, the risk of default is higher, and the liquidity and/or value of such securities may be adversely affected.
Report of Independent Registered Public Accounting Firm
To the Board of Trustees of Fidelity Advisor Series I and Shareholders of Fidelity Real Estate High Income Fund:
Opinion on the Financial Statements
We have audited the accompanying statement of assets and liabilities, including the schedule of investments, of Fidelity Real Estate High Income Fund (one of the funds constituting Fidelity Advisor Series I, referred to hereafter as the "Fund") as of November 30, 2018, the related statement of operations for the year ended November 30, 2018, the statement of changes in net assets for each of the two years in the period ended November 30, 2018, including the related notes, and the financial highlights for each of the five years in the period ended November 30, 2018 (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Fund as of November 30, 2018, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period ended November 30, 2018 and the financial highlights for each of the five years in the period ended November 30, 2018 in conformity with accounting principles generally accepted in the United States of America.
Basis for Opinion
These financial statements are the responsibility of the Fund’s management. Our responsibility is to express an opinion on the Fund’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Fund in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits of these financial statements in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.
Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of November 30, 2018 by correspondence with the custodian, agent banks and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audits provide a reasonable basis for our opinion.
PricewaterhouseCoopers LLP
Boston, Massachusetts
January 24, 2019
We have served as the auditor of one or more investment companies in the Fidelity group of funds since 1932.
Trustees and Officers
The Trustees, Members of the Advisory Board (if any), and officers of the trust and fund, as applicable, are listed below. The Board of Trustees governs the fund and is responsible for protecting the interests of shareholders. The Trustees are experienced executives who meet periodically throughout the year to oversee the fund's activities, review contractual arrangements with companies that provide services to the fund, oversee management of the risks associated with such activities and contractual arrangements, and review the fund's performance. Except for Michael E. Wiley, each of the Trustees oversees 281 funds. Mr. Wiley oversees 192 funds.
The Trustees hold office without limit in time except that (a) any Trustee may resign; (b) any Trustee may be removed by written instrument, signed by at least two-thirds of the number of Trustees prior to such removal; (c) any Trustee who requests to be retired or who has become incapacitated by illness or injury may be retired by written instrument signed by a majority of the other Trustees; and (d) any Trustee may be removed at any special meeting of shareholders by a two-thirds vote of the outstanding voting securities of the trust. Each Trustee who is not an interested person (as defined in the 1940 Act) of the trust and the fund is referred to herein as an Independent Trustee. Each Independent Trustee shall retire not later than the last day of the calendar year in which his or her 75th birthday occurs. The Independent Trustees may waive this mandatory retirement age policy with respect to individual Trustees. Officers and Advisory Board Members hold office without limit in time, except that any officer or Advisory Board Member may resign or may be removed by a vote of a majority of the Trustees at any regular meeting or any special meeting of the Trustees. Except as indicated, each individual has held the office shown or other offices in the same company for the past five years.
The fund’s Statement of Additional Information (SAI) includes more information about the Trustees. To request a free copy, call Fidelity at 1-401-292-6402.
Experience, Skills, Attributes, and Qualifications of the Trustees. The Governance and Nominating Committee has adopted a statement of policy that describes the experience, qualifications, attributes, and skills that are necessary and desirable for potential Independent Trustee candidates (Statement of Policy). The Board believes that each Trustee satisfied at the time he or she was initially elected or appointed a Trustee, and continues to satisfy, the standards contemplated by the Statement of Policy. The Governance and Nominating Committee also engages professional search firms to help identify potential Independent Trustee candidates who have the experience, qualifications, attributes, and skills consistent with the Statement of Policy. From time to time, additional criteria based on the composition and skills of the current Independent Trustees, as well as experience or skills that may be appropriate in light of future changes to board composition, business conditions, and regulatory or other developments, have also been considered by the professional search firms and the Governance and Nominating Committee. In addition, the Board takes into account the Trustees' commitment and participation in Board and committee meetings, as well as their leadership of standing and ad hoc committees throughout their tenure.
In determining that a particular Trustee was and continues to be qualified to serve as a Trustee, the Board has considered a variety of criteria, none of which, in isolation, was controlling. The Board believes that, collectively, the Trustees have balanced and diverse experience, qualifications, attributes, and skills, which allow the Board to operate effectively in governing the fund and protecting the interests of shareholders. Information about the specific experience, skills, attributes, and qualifications of each Trustee, which in each case led to the Board's conclusion that the Trustee should serve (or continue to serve) as a trustee of the fund, is provided below.
Board Structure and Oversight Function. James C. Curvey is an interested person and currently serves as Chairman. The Trustees have determined that an interested Chairman is appropriate and benefits shareholders because an interested Chairman has a personal and professional stake in the quality and continuity of services provided to the fund. Independent Trustees exercise their informed business judgment to appoint an individual of their choosing to serve as Chairman, regardless of whether the Trustee happens to be independent or a member of management. The Independent Trustees have determined that they can act independently and effectively without having an Independent Trustee serve as Chairman and that a key structural component for assuring that they are in a position to do so is for the Independent Trustees to constitute a substantial majority for the Board. The Independent Trustees also regularly meet in executive session. Ned C. Lautenbach serves as Chairman of the Independent Trustees and as such (i) acts as a liaison between the Independent Trustees and management with respect to matters important to the Independent Trustees and (ii) with management prepares agendas for Board meetings.
Fidelity® funds are overseen by different Boards of Trustees. The fund's Board oversees Fidelity's high income and certain equity funds, and other Boards oversee Fidelity's investment-grade bond, money market, asset allocation, and other equity funds. The asset allocation funds may invest in Fidelity® funds overseen by the fund's Board. The use of separate Boards, each with its own committee structure, allows the Trustees of each group of Fidelity® funds to focus on the unique issues of the funds they oversee, including common research, investment, and operational issues. On occasion, the separate Boards establish joint committees to address issues of overlapping consequences for the Fidelity® funds overseen by each Board.
The Trustees operate using a system of committees to facilitate the timely and efficient consideration of all matters of importance to the Trustees, the fund, and fund shareholders and to facilitate compliance with legal and regulatory requirements and oversight of the fund's activities and associated risks. The Board, acting through its committees, has charged FMR and its affiliates with (i) identifying events or circumstances the occurrence of which could have demonstrably adverse effects on the fund's business and/or reputation; (ii) implementing processes and controls to lessen the possibility that such events or circumstances occur or to mitigate the effects of such events or circumstances if they do occur; and (iii) creating and maintaining a system designed to evaluate continuously business and market conditions in order to facilitate the identification and implementation processes described in (i) and (ii) above. Because the day-to-day operations and activities of the fund are carried out by or through FMR, its affiliates, and other service providers, the fund's exposure to risks is mitigated but not eliminated by the processes overseen by the Trustees. While each of the Board's committees has responsibility for overseeing different aspects of the fund's activities, oversight is exercised primarily through the Operations, Audit, and Compliance Committees. In addition, the Independent Trustees have worked with Fidelity to enhance the Board's oversight of investment and financial risks, legal and regulatory risks, technology risks, and operational risks, including the development of additional risk reporting to the Board. Appropriate personnel, including but not limited to the fund's Chief Compliance Officer (CCO), FMR's internal auditor, the independent accountants, the fund's Treasurer and portfolio management personnel, make periodic reports to the Board's committees, as appropriate, including an annual review of Fidelity's risk management program for the Fidelity® funds. The responsibilities of each standing committee, including their oversight responsibilities, are described further under "Standing Committees of the Trustees."
Interested Trustees*:
Correspondence intended for a Trustee who is an interested person may be sent to Fidelity Investments, 245 Summer Street, Boston, Massachusetts 02210.
Name, Year of Birth; Principal Occupations and Other Relevant Experience+
James C. Curvey (1935)
Year of Election or Appointment: 2007
Trustee
Chairman of the Board of Trustees
Mr. Curvey also serves as Trustee of other Fidelity® funds. Mr. Curvey is Vice Chairman (2007-present) and Director of FMR LLC (diversified financial services company). In addition, Mr. Curvey is an Overseer Emeritus for the Boston Symphony Orchestra, a Director of Artis-Naples, and a Trustee of Brewster Academy in Wolfeboro, New Hampshire. Previously, Mr. Curvey served as a Director of Fidelity Research & Analysis Co. (investment adviser firm, 2009-2018), Director of Fidelity Investments Money Management, Inc. (investment adviser firm, 2009-2014) and a Director of FMR and FMR Co., Inc. (investment adviser firms, 2007-2014).
* Determined to be an “Interested Trustee” by virtue of, among other things, his or her affiliation with the trust or various entities under common control with FMR.
+ The information includes the Trustee's principal occupation during the last five years and other information relating to the experience, attributes, and skills relevant to the Trustee's qualifications to serve as a Trustee, which led to the conclusion that the Trustee should serve as a Trustee for the fund.
Independent Trustees:
Correspondence intended for an Independent Trustee may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235.
Name, Year of Birth; Principal Occupations and Other Relevant Experience+
Dennis J. Dirks (1948)
Year of Election or Appointment: 2005
Trustee
Mr. Dirks also serves as Trustee of other Fidelity® funds. Prior to his retirement in May 2003, Mr. Dirks was Chief Operating Officer and a member of the Board of The Depository Trust & Clearing Corporation (DTCC). He also served as President, Chief Operating Officer, and Board member of The Depository Trust Company (DTC) and President and Board member of the National Securities Clearing Corporation (NSCC). In addition, Mr. Dirks served as Chief Executive Officer and Board member of the Government Securities Clearing Corporation, Chief Executive Officer and Board member of the Mortgage-Backed Securities Clearing Corporation, as a Trustee and a member of the Finance Committee of Manhattan College (2005-2008), as a Trustee and a member of the Finance Committee of AHRC of Nassau County (2006-2008), as a member of the Independent Directors Council (IDC) Governing Council (2010-2015), and as a member of the Board of Directors for The Brookville Center for Children’s Services, Inc. (2009-2017). Mr. Dirks is a member of the Finance Committee (2016-present) and Board of Directors (2017-present) and is Treasurer (2018-present) of the Asolo Repertory Theatre.
Donald F. Donahue (1950)
Year of Election or Appointment: 2018
Trustee
Mr. Donahue also serves as a Trustee of other Fidelity® funds. Mr. Donahue is President and Chief Executive Officer of Miranda Partners, LLC (risk consulting for the financial services industry, 2012-present). Previously, Mr. Donahue served as a Member of the Advisory Board of certain Fidelity® funds (2015-2018) and Chief Executive Officer (2006-2012), Chief Operating Officer (2003-2006), and Managing Director, Customer Marketing and Development (1999-2003) of The Depository Trust & Clearing Corporation (financial markets infrastructure). Mr. Donahue serves as a Member (2007-present) and Co-Chairman (2016-present) of the Board of Directors of United Way of New York, Member of the Board of Directors of NYC Leadership Academy (2012-present) and Member of the Board of Advisors of Ripple Labs, Inc. (financial services, 2015-present). He also served as Chairman (2010-2012) and Member of the Board of Directors (2012-2013) of Omgeo, LLC (financial services), Treasurer of United Way of New York (2012-2016), and Member of the Board of Directors of XBRL US (financial services non-profit, 2009-2012) and the International Securities Services Association (2009-2012).
Alan J. Lacy (1953)
Year of Election or Appointment: 2008
Trustee
Mr. Lacy also serves as Trustee of other Fidelity® funds. Mr. Lacy serves as a Director of Bristol-Myers Squibb Company (global pharmaceuticals, 2008-present). He is a Trustee of the California Chapter of The Nature Conservancy (2015-present) and a Director of the Center for Advanced Study in the Behavioral Sciences at Stanford University (2015-present). In addition, Mr. Lacy served as Senior Adviser (2007-2014) of Oak Hill Capital Partners, L.P. (private equity) and also served as Chief Executive Officer (2005) and Vice Chairman (2005-2006) of Sears Holdings Corporation (retail) and Chief Executive Officer and Chairman of the Board of Sears, Roebuck and Co. (retail, 2000-2005). Previously, Mr. Lacy served as Chairman (2014-2017) and a member (2010-2017) of the Board of Directors of Dave & Buster’s Entertainment, Inc. (restaurant and entertainment complexes), as Chairman (2008-2011) and a member (2006-2015) of the Board of Trustees of the National Parks Conservation Association, and as a member of the Board of Directors for The Hillman Companies, Inc. (hardware wholesalers, 2010-2014), Earth Fare, Inc. (retail grocery, 2010-2014), and The Western Union Company (global money transfer, 2006-2011).
Ned C. Lautenbach (1944)
Year of Election or Appointment: 2000
Trustee
Chairman of the Independent Trustees
Mr. Lautenbach also serves as Trustee of other Fidelity® funds. Mr. Lautenbach currently serves as Chair (2018-present) and Member (2013-present) of the Board of Governors, State University System of Florida and is a member of the Council on Foreign Relations (1994-present). He is also a member and has most recently served as Chairman of the Board of Directors of Artis-Naples (2012-present). Previously, Mr. Lautenbach served as a member and then Lead Director of the Board of Directors of Eaton Corporation (diversified industrial, 1997-2016). He was also a Partner and Advisory Partner at Clayton, Dubilier & Rice, LLC (private equity investment, 1998-2010), as well as a Director of Sony Corporation (2006-2007). In addition, Mr. Lautenbach also had a 30-year career with IBM (technology company) during which time he served as Senior Vice President and a member of the Corporate Executive Committee (1968-1998).
Joseph Mauriello (1944)
Year of Election or Appointment: 2008
Trustee
Mr. Mauriello also serves as Trustee of other Fidelity® funds. Prior to his retirement in January 2006, Mr. Mauriello served in numerous senior management positions including Deputy Chairman and Chief Operating Officer (2004-2005), and Vice Chairman of Financial Services (2002-2004) of KPMG LLP US (professional services, 1965-2005). Mr. Mauriello currently serves as a member of the Independent Directors Council (IDC) Governing Council (2015-present). Previously, Mr. Mauriello served as a member of the Board of Directors of XL Group plc. (global insurance and re-insurance, 2006-2018).
Cornelia M. Small (1944)
Year of Election or Appointment: 2005
Trustee
Ms. Small also serves as Trustee of other Fidelity® funds. Ms. Small is a member of the Board of Directors (2009-present) and Chair of the Investment Committee (2010-present) of the Teagle Foundation. Ms. Small also serves on the Investment Committee of the Berkshire Taconic Community Foundation (2008-present). Previously, Ms. Small served as Chairperson (2002-2008) and a member of the Investment Committee and Chairperson (2008-2012) and a member of the Board of Trustees of Smith College. In addition, Ms. Small served as Chief Investment Officer, Director of Global Equity Investments, and a member of the Board of Directors of Scudder, Stevens & Clark and Scudder Kemper Investments.
Garnett A. Smith (1947)
Year of Election or Appointment: 2018
Trustee
Mr. Smith also serves as Trustee of other Fidelity® funds. Prior to Mr. Smith's retirement, he served as Chairman and Chief Executive Officer of Inbrand Corp. (manufacturer of personal absorbent products, 1990-1997). He also served as President (1986-1990) of Inbrand Corp. Prior to his employment with Inbrand Corp., he was employed by a retail fabric chain and North Carolina National Bank. In addition, Mr. Smith served as a Member of the Advisory Board of certain Fidelity® funds (2012-2013) and as a board member of the Jackson Hole Land Trust (2009-2012).
David M. Thomas (1949)
Year of Election or Appointment: 2008
Trustee
Mr. Thomas also serves as Trustee of other Fidelity® funds. Mr. Thomas serves as Non-Executive Chairman of the Board of Directors of Fortune Brands Home and Security (home and security products, 2011-present) and as a member of the Board of Directors (2004-present) and Presiding Director (2013-present) of Interpublic Group of Companies, Inc. (marketing communication). Previously, Mr. Thomas served as Executive Chairman (2005-2006) and Chairman and Chief Executive Officer (2000-2005) of IMS Health, Inc. (pharmaceutical and healthcare information solutions), a Director of Fortune Brands, Inc. (consumer products, 2000-2011), and a member of the Board of Trustees of the University of Florida (2013-2018).
Michael E. Wiley (1950)
Year of Election or Appointment: 2018
Trustee
Mr. Wiley also serves as Trustee or Member of the Advisory Board of other Fidelity® funds. Mr. Wiley serves as a Director of High Point Resources (exploration and production, 2005-present). Previously, Mr. Wiley served as a Director of Andeavor Corporation (independent oil refiner and marketer, 2005-2018), a Director of Andeavor Logistics LP (natural resources logistics, 2015-2018), a Director of Post Oak Bank (privately-held bank, 2004-2018), a Director of Asia Pacific Exploration Consolidated (international oil and gas exploration and production, 2008-2013), a member of the Board of Trustees of the University of Tulsa (2000-2006; 2007-2010), a Senior Energy Advisor of Katzenbach Partners, LLC (consulting, 2006-2007), an Advisory Director of Riverstone Holdings (private investment), a Director of Spinnaker Exploration Company (exploration and production, 2001-2005) and Chairman, President, and CEO of Baker Hughes, Inc. (oilfield services, 2000-2004).
+ The information includes the Trustee's principal occupation during the last five years and other information relating to the experience, attributes, and skills relevant to the Trustee's qualifications to serve as a Trustee, which led to the conclusion that the Trustee should serve as a Trustee for the fund.
Advisory Board Members and Officers:
Correspondence intended for a Member of the Advisory Board (if any) may be sent to Fidelity Investments, P.O. Box 55235, Boston, Massachusetts 02205-5235. Correspondence intended for an officer or Peter S. Lynch may be sent to Fidelity Investments, 245 Summer Street, Boston, Massachusetts 02210. Officers appear below in alphabetical order.
Name, Year of Birth; Principal Occupation
Vicki L. Fuller (1957)
Year of Election or Appointment: 2018
Member of the Advisory Board
Ms. Fuller also serves as Member of the Advisory Board of other Fidelity® funds. Ms. Fuller serves as a member of the Board of Directors, Audit Committee, and Nominating and Governance Committee of The Williams Companies, Inc. (natural gas infrastructure, 2018-present). Previously, Ms. Fuller served as the Chief Investment Officer of the New York State Common Retirement Fund (2012-2018) and held a variety of positions at AllianceBernstein L.P. (global asset management, 1985-2012), including Managing Director (2006-2012) and Senior Vice President and Senior Portfolio Manager (2001-2006).
Peter S. Lynch (1944)
Year of Election or Appointment: 2003
Member of the Advisory Board
Mr. Lynch also serves as Member of the Advisory Board of other Fidelity® funds. Mr. Lynch is Vice Chairman and a Director of FMR (investment adviser firm) and FMR Co., Inc. (investment adviser firm). In addition, Mr. Lynch serves as a Trustee of Boston College and as the Chairman of the Inner-City Scholarship Fund. Previously, Mr. Lynch served on the Special Olympics International Board of Directors (1997-2006).
Carol B. Tomé (1957)
Year of Election or Appointment: 2018
Member of the Advisory Board
Ms. Tomé also serves as Member of the Advisory Board of other Fidelity® funds. Ms. Tomé is Chief Financial Officer (2001-present) and Executive Vice President of Corporate Services (2007-present) of The Home Depot, Inc. (home improvement retailer) and a Director (2003-present) and Chair of the Audit Committee (2004-present) of United Parcel Service, Inc. (package delivery and supply chain management). Previously, Ms. Tomé served as Trustee of certain Fidelity® funds (2017), Senior Vice President of Finance and Accounting/Treasurer (2000-2007) and Vice President and Treasurer (1995-2000) of The Home Depot, Inc. and Chair of the Board (2010-2012), Vice Chair of the Board (2009 and 2013), and a Director (2008-2013) of the Federal Reserve Bank of Atlanta. Ms. Tomé is also a director or trustee of many community and professional organizations.
Elizabeth Paige Baumann (1968)
Year of Election or Appointment: 2017
Anti-Money Laundering (AML) Officer
Ms. Baumann also serves as AML Officer of other funds. She is Chief AML Officer (2012-present) and Senior Vice President (2014-present) of FMR LLC (diversified financial services company) and is an employee of Fidelity Investments. Previously, Ms. Baumann served as AML Officer of the funds (2012-2016), and Vice President (2007-2014) and Deputy Anti-Money Laundering Officer (2007-2012) of FMR LLC.
John J. Burke III (1964)
Year of Election or Appointment: 2018
Chief Financial Officer
Mr. Burke also serves as Chief Financial Officer of other funds. Mr. Burke serves as Head of Investment Operations for Fidelity Fund and Investment Operations (2018-present) and is an employee of Fidelity Investments (1998-present). Previously Mr. Burke served as head of Asset Management Investment Operations (2012-2018).
William C. Coffey (1969)
Year of Election or Appointment: 2018
Secretary and Chief Legal Officer (CLO)
Mr. Coffey also serves as Secretary and CLO of other funds. Mr. Coffey serves as CLO, Secretary, and Senior Vice President of Fidelity Management & Research Company and FMR Co., Inc. (investment adviser firms, 2018-present); Secretary of Fidelity SelectCo, LLC and Fidelity Investments Money Management, Inc. (investment adviser firms, 2018-present); and CLO of Fidelity Management & Research (Hong Kong) Limited, FMR Investment Management (UK) Limited, and Fidelity Management & Research (Japan) Limited (investment adviser firms, 2018-present). He is Senior Vice President and Deputy General Counsel of FMR LLC (diversified financial services company, 2010-present), and is an employee of Fidelity Investments. Previously, Mr. Coffey served as Assistant Secretary of certain funds (2009-2018) and as Vice President and Associate General Counsel of FMR LLC (2005-2009).
Timothy M. Cohen (1969)
Year of Election or Appointment: 2018
Vice President
Mr. Cohen also serves as Vice President of other funds. Mr. Cohen serves as Co-Head of Global Equity Research (2016-present), a Director of Fidelity Management & Research (Japan) Limited (investment adviser firm, 2016-present), and is an employee of Fidelity Investments. Previously, Mr. Cohen served as Chief Investment Officer - Equity and a Director of Fidelity Management & Research (U.K.) Inc. (investment adviser firm, 2013-2015) and as a Director of Fidelity Management & Research (Hong Kong) Limited (investment adviser firm, 2017).
Jonathan Davis (1968)
Year of Election or Appointment: 2010
Assistant Treasurer
Mr. Davis also serves as Assistant Treasurer of other funds. Mr. Davis serves as Assistant Treasurer of FMR Capital, Inc. (2017-present) and is an employee of Fidelity Investments. Previously, Mr. Davis served as Vice President and Associate General Counsel of FMR LLC (diversified financial services company, 2003-2010).
Adrien E. Deberghes (1967)
Year of Election or Appointment: 2016
Assistant Treasurer
Mr. Deberghes also serves as an officer of other funds. He serves as Assistant Treasurer of FMR Capital, Inc. (2017-present), Executive Vice President of Fidelity Investments Money Management, Inc. (FIMM) (investment adviser firm, 2016-present), and is an employee of Fidelity Investments (2008-present). Previously, Mr. Deberghes served as President and Treasurer of certain Fidelity® funds (2013-2018). Prior to joining Fidelity Investments, Mr. Deberghes was Senior Vice President of Mutual Fund Administration at State Street Corporation (2007-2008), Senior Director of Mutual Fund Administration at Investors Bank & Trust (2005-2007), and Director of Finance for Dunkin' Brands (2000-2005). Previously, Mr. Deberghes served in other fund officer roles.
Laura M. Del Prato (1964)
Year of Election or Appointment: 2018
Assistant Treasurer
Ms. Del Prato also serves as an officer of other funds. Ms. Del Prato is an employee of Fidelity Investments (2017-present). Prior to joining Fidelity Investments, Ms. Del Prato served as a Managing Director and Treasurer of the JPMorgan Mutual Funds (2014-2017). Prior to JPMorgan, Ms. Del Prato served as a partner at Cohen Fund Audit Services (accounting firm, 2012-2013) and KPMG LLP (accounting firm, 2004-2012).
Colm A. Hogan (1973)
Year of Election or Appointment: 2016
Deputy Treasurer
Mr. Hogan also serves as an officer of other funds. Mr. Hogan serves as Assistant Treasurer of FMR Capital, Inc. (2017-present) and is an employee of Fidelity Investments (2005-present). Previously, Mr. Hogan served as Assistant Treasurer of certain Fidelity® funds (2016-2018).
Pamela R. Holding (1964)
Year of Election or Appointment: 2018
Vice President
Ms. Holding also serves as Vice President of other funds. Ms. Holding serves as Co-Head of Global Equity Research (2018-present) and is an employee of Fidelity Investments (2013-present).
Chris Maher (1972)
Year of Election or Appointment: 2013
Assistant Treasurer
Mr. Maher serves as Assistant Treasurer of other funds. Mr. Maher is Vice President of Valuation Oversight, serves as Assistant Treasurer of FMR Capital, Inc. (2017-present), and is an employee of Fidelity Investments. Previously, Mr. Maher served as Vice President of Asset Management Compliance (2013), Vice President of the Program Management Group of FMR (investment adviser firm, 2010-2013), and Vice President of Valuation Oversight (2008-2010).
Rieco E. Mello (1969)
Year of Election or Appointment: 2017
Assistant Treasurer
Mr. Mello also serves as Assistant Treasurer of other funds. Mr. Mello serves as Assistant Treasurer of FMR Capital, Inc. (2017-present) and is an employee of Fidelity Investments (1995-present).
Kenneth B. Robins (1969)
Year of Election or Appointment: 2016
Chief Compliance Officer
Mr. Robins also serves as an officer of other funds. Mr. Robins serves as Compliance Officer of Fidelity Management & Research Company and FMR Co., Inc. (investment adviser firms, 2016-present) and is an employee of Fidelity Investments (2004-present). Previously, Mr. Robins served as Executive Vice President of Fidelity Investments Money Management, Inc. (investment adviser firm, 2013-2016) and served in other fund officer roles.
Stacie M. Smith (1974)
Year of Election or Appointment: 2016
President and Treasurer
Ms. Smith also serves as an officer of other funds. Ms. Smith serves as Assistant Treasurer of FMR Capital, Inc. (2017-present), is an employee of Fidelity Investments (2009-present), and has served in other fund officer roles. Prior to joining Fidelity Investments, Ms. Smith served as Senior Audit Manager of Ernst & Young LLP (accounting firm, 1996-2009). Previously, Ms. Smith served as Assistant Treasurer (2013-2018) and Deputy Treasurer (2013-2016) of certain Fidelity® funds.
Marc L. Spector (1972)
Year of Election or Appointment: 2016
Assistant Treasurer
Mr. Spector also serves as an officer of other funds. Mr. Spector serves as Assistant Treasurer of FMR Capital, Inc. (2017-present) and is an employee of Fidelity Investments (2016-present). Prior to joining Fidelity Investments, Mr. Spector served as Director at the Siegfried Group (accounting firm, 2013-2016), and prior to Siegfried Group as audit senior manager at Deloitte & Touche (accounting firm, 2005-2013).
Shareholder Expense Example
As a shareholder of the Fund, you incur two types of costs: (1) transaction costs and (2) ongoing costs, including management fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (June 1, 2018 to November 30, 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 June 1, 2018 | Ending Account Value November 30, 2018 | Expenses Paid During Period-B June 1, 2018 to November 30, 2018 | |
Actual | .80% | $1,000.00 | $1,023.70 | $4.06 |
Hypothetical-C | $1,000.00 | $1,021.06 | $4.05 |
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 183/365 (to reflect the one-half year period).
C 5% return per year before expenses
Distributions (Unaudited)
A total of 0.36% of the dividends distributed during the fiscal year was derived from interest on U.S. Government securities which is generally exempt from state income tax.
The fund designates $44,987,603 of distributions paid during the period January 1, 2018 to November 30, 2018 as qualifying to be taxed as interest-related dividends for nonresident alien shareholders.
The fund will notify shareholders in January 2019 of amounts for use in preparing 2018 income tax returns.
Board Approval of Investment Advisory Contracts
Fidelity Real Estate High Income Fund
At its July 2018 meeting, the Board of Trustees, including the Independent Trustees (together, the Board), voted to continue the management contract with Fidelity Management & Research Company (FMR) and the sub-advisory agreements (together, the Advisory Contracts) for the fund for six months through January 31, 2019, in connection with the reunification of the Fidelity Equity High Income Funds Board, which oversees the fund, and the Sector Portfolios Board.
The Board considered that the approval of the fund's Advisory Contracts will not result in any changes in (i) the investment process or strategies employed in the management of the fund's assets; (ii) the fees and expenses paid by shareholders; (iii) the nature, extent or quality of services provided under the fund's Advisory Contracts; or (iv) the day-to-day management of the fund or the persons primarily responsible for such management. The Board concluded that the fund's Advisory Contracts are fair and reasonable, and that the fund's Advisory Contracts should be renewed, without modification, through January 31, 2019, with the understanding that the Board will consider the annual renewal for a full one year period in January 2019.
In connection with its consideration of future renewals of the fund's Advisory Contracts, the Board will consider: (i) the nature, extent and quality of services provided to the fund, including shareholder and administrative services and investment performance; (ii) the competitiveness of the management fee and total expenses for the fund; (iii) the costs of the services and profitability, including the revenues earned and the expenses incurred in conducting the business of developing, marketing, distributing, managing, administering, and servicing the fund and its shareholders, to the extent applicable, as well as potential fall-out benefits from Fidelity's non-fund businesses; and (iv) whether there have been economies of scale in respect of the Fidelity funds, whether the Fidelity funds (including the fund) have appropriately benefited from any such economies of scale, and whether there is the potential for realization of any further economies.
Based on its evaluation of all of the conclusions noted above, and after considering all factors it believed relevant, the Board ultimately concluded that the fund's management fee structure is fair and reasonable, and that the continuation of the fund's Advisory Contracts should be approved.
Corporate Headquarters
245 Summer St.
Boston, MA 02210
www.fidelity.com
REHI-ANN-0119
1.734092.119
Item 2.
Code of Ethics
As of the end of the period, November 30, 2018, Fidelity Advisor Series I (the trust) has adopted a code of ethics, as defined in Item 2 of Form N-CSR, that applies to its President and Treasurer and its Chief Financial Officer. A copy of the code of ethics is filed as an exhibit to this Form N-CSR.
Item 3.
Audit Committee Financial Expert
The Board of Trustees of the trust has determined that Joseph Mauriello is an audit committee financial expert, as defined in Item 3 of Form N-CSR. Mr. Mauriello is independent for purposes of Item 3 of Form N-CSR.
Item 4.
Principal Accountant Fees and Services
Fees and Services
The following table presents fees billed by PricewaterhouseCoopers LLP (“PwC”) in each of the last two fiscal years for services rendered to Fidelity Real Estate High Income Fund (the “Fund”):
Services Billed by PwC
November 30, 2018 FeesA
| Audit Fees | Audit-Related Fees | Tax Fees | All Other Fees |
Fidelity Real Estate High Income Fund | $295,000 | $23,000 | $5,700 | $11,400 |
November 30, 2017 FeesA
| Audit Fees | Audit-Related Fees | Tax Fees | All Other Fees |
Fidelity Real Estate High Income Fund | $293,000 | $26,300 | $8,500 | $12,600 |
AAmounts may reflect rounding.
The following table presents fees billed by PwC that were required to be approved by the Audit Committee for services that relate directly to the operations and financial reporting of the Fund and that are rendered on behalf of Fidelity Management & Research Company (“FMR”) and entities controlling, controlled by, or under common control with FMR (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser) that provide ongoing services to the Fund (“Fund Service Providers”):
Services Billed by PwC
| November 30, 2018A | November 30, 2017A |
Audit-Related Fees | $7,745,000 | $9,220,000 |
Tax Fees | $20,000 | $150,000 |
All Other Fees | $- | $- |
A Amounts may reflect rounding.
“Audit-Related Fees” represent fees billed for assurance and related services that are reasonably related to the performance of the fund audit or the review of the fund's financial statements and that are not reported under Audit Fees.
“Tax Fees” represent fees billed for tax compliance, tax advice or tax planning that relate directly to the operations and financial reporting of the fund.
“All Other Fees” represent fees billed for services provided to the fund or Fund Service Provider, a significant portion of which are assurance related, that relate directly to the operations and financial reporting of the fund, excluding those services that are reported under Audit Fees, Audit-Related Fees or Tax Fees.
Assurance services must be performed by an independent public accountant.
* * *
The aggregate non-audit fees billed by PwC for services rendered to the Fund, FMR (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any Fund Service Provider for each of the last two fiscal years of the Fund are as follows:
Billed By | November 30, 2018A | November 30, 2017A |
PwC | $10,980,000 | $11,720,000 |
A Amounts may reflect rounding.
The trust's Audit Committee has considered non-audit services that were not pre-approved that were provided by PwC to Fund Service Providers to be compatible with maintaining the independence of PwC in its audit of the Fund, taking into account representations from PwC, in accordance with Public Company Accounting Oversight Board rules, regarding its independence from the Fund and its related entities and FMR’s review of the appropriateness and permissibility under applicable law of such non-audit services prior to their provision to the Fund Service Providers.
Audit Committee Pre-Approval Policies and Procedures
The trust’s Audit Committee must pre-approve all audit and non-audit services provided by a fund’s independent registered public accounting firm relating to the operations or financial reporting of the fund. Prior to the commencement of any audit or non-audit services to a fund, the Audit Committee reviews the services to determine whether they are appropriate and permissible under applicable law.
The Audit Committee has adopted policies and procedures to, among other purposes, provide a framework for the Committee’s consideration of non-audit services by the audit firms that audit the Fidelity funds. The policies and procedures require that any non-audit service provided by a fund audit firm to a Fidelity fund and any non-audit service provided by a fund auditor to a Fund Service Provider that relates directly to the operations and financial reporting of a Fidelity fund (“Covered Service”) are subject to approval by the Audit Committee before such service is provided.
All Covered Services must be approved in advance of provision of the service either: (i) by formal resolution of the Audit Committee, or (ii) by oral or written approval of the service by the Chair of the Audit Committee (or if the Chair is unavailable, such other member of the Audit Committee as may be designated by the Chair to act in the Chair’s absence). The approval contemplated by (ii) above is permitted where the Treasurer determines that action on such an engagement is necessary before the next meeting of the Audit Committee.
Non-audit services provided by a fund audit firm to a Fund Service Provider that do not relate directly to the operations and financial reporting of a Fidelity fund are reported to the Audit Committee periodically.
Non-Audit Services Approved Pursuant to Rule 2-01(c)(7)(i)(C) and (ii) of Regulation S-X (“De Minimis Exception”)
There were no non-audit services approved or required to be approved by the Audit Committee pursuant to the De Minimis Exception during the Fund’s last two fiscal years relating to services provided to (i) the Fund or (ii) any Fund Service Provider that relate directly to the operations and financial reporting of the Fund.
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 trust’s Board of Trustees.
Item 11.
Controls and Procedures
(a)(i) The President and Treasurer and the Chief Financial Officer have concluded that the disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act) for the Fund provide reasonable assurances that material information relating to the Fund 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 Fund’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 Fund’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) | Code of Ethics pursuant to Item 2 of Form N-CSR is filed and attached hereto as EX-99.CODE ETH. |
(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: | January 28, 2019 |
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: | January 28, 2019 |
By: | /s/John J. Burke III |
| John J. Burke III |
| Chief Financial Officer |
|
|
Date: | January 28, 2019 |