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 811-7139
Fidelity Hereford Street Trust
(Exact name of registrant as specified in charter)
245 Summer St., Boston, Massachusetts 02210
(Address of principal executive offices) (Zip code)
Marc Bryant, Secretary
245 Summer St.
Boston, Massachusetts 02210
(Name and address of agent for service)
Registrant's telephone number, including area code:
617-563-7000
Date of fiscal year end: | April 30 |
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Date of reporting period: | April 30, 2017 |
Item 1.
Reports to Stockholders
Fidelity Flex℠ Funds Fidelity Flex℠ Government Money Market Fund Annual Report April 30, 2017 |
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Contents
Board Approval of Investment Advisory Contracts and Management Fees |
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-800-835-5092 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third-party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company. © 2017 FMR LLC. All rights reserved.
This report and the financial statements contained herein are submitted for the general information of the shareholders of the Fund. This report is not authorized for distribution to prospective investors in the Fund unless preceded or accompanied by an effective prospectus.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC’s web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330.
For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com, http://www.institutional.fidelity.com, or http://www.401k.com, as applicable.
NOT FDIC INSURED •MAY LOSE VALUE •NO BANK GUARANTEE
Neither the Fund nor Fidelity Distributors Corporation is a bank.
Investment Summary/Performance (Unaudited)
Effective Maturity Diversification
| Days | % of fund's investments 4/30/17 |
| 1 - 7 | 72.2 |
| 8 - 30 | 14.5 |
| 31 - 60 | 8.0 |
| 61 - 90 | 4.0 |
| 91 - 180 | 1.3 |
Effective maturity is determined in accordance with the requirements of Rule 2a-7 under the Investment Company Act of 1940.
Asset Allocation (% of fund's net assets)
| As of April 30, 2017 | ||
| U.S. Treasury Debt | 5.4% | |
| U.S. Government Agency Debt | 30.3% | |
| Repurchase Agreements | 64.1% | |
| Net Other Assets (Liabilities) | 0.2% | |
Current And Historical 7-Day Yields
| 4/30/17 | |
| Fidelity Flex℠ Government Money Market Fund | 0.82% |
Yield refers to the income paid by the Fund over a given period. Yields for money market funds are usually for seven-day periods, as they are here, though they are expressed as annual percentage rates. Past performance is no guarantee of future results. Yield will vary and it's possible to lose money investing in the Fund.
Investments April 30, 2017
Showing Percentage of Net Assets
| U.S. Treasury Debt - 5.4% | ||||
| Yield(a) | Principal Amount | Value | ||
| U.S. Treasury Obligations - 5.4% | ||||
| U.S. Treasury Bills | ||||
| 6/15/17 | 0.79 to 0.80% | $9,000 | $8,991 | |
| U.S. Treasury Notes | ||||
| 5/31/17 to 8/15/17 | 0.80 to 0.92 | 262,000 | 262,138 | |
| TOTAL U.S. TREASURY DEBT | ||||
| (Cost $271,129) | 271,129 | |||
| U.S. Government Agency Debt - 30.3% | ||||
| Federal Agencies - 30.3% | ||||
| Federal Farm Credit Bank | ||||
| 6/8/17 to 10/6/17 | 0.85 to 1.12 (b) | 200,000 | 200,117 | |
| Federal Home Loan Bank | ||||
| 5/3/17 to 5/11/18 | 0.80 to 0.95 (b) | 1,275,000 | 1,275,100 | |
| Freddie Mac | ||||
| 6/29/17 | 1.00 | 41,000 | 40,999 | |
| TOTAL U.S. GOVERNMENT AGENCY DEBT | ||||
| (Cost $1,516,216) | 1,516,216 |
| U.S. Government Agency Repurchase Agreement - 26.2% | |||
| Maturity Amount | Value | ||
| In a joint trading account at 0.82% dated 4/28/17 due 5/1/17 (Collateralized by U.S. Government Obligations) # | $610,042 | $610,000 | |
| With RBC Dominion Securities at: | |||
| 0.79%, dated 3/24/17 due 5/5/17 (Collateralized by U.S. Government Obligations valued at $102,423, 1.25% - 4.38%, 3/31/19 - 4/20/47) | 100,136 | 100,000 | |
| 0.8%, dated 4/17/17 due 5/5/17 (Collateralized by U.S. Government Obligations valued at $408,127, 2.00% - 3.50%, 9/30/20 - 6/20/46) | 400,267 | 400,000 | |
| 0.82%, dated 3/24/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $103,084, 0.13% - 3.50%, 3/31/19 - 7/20/46) | 100,214 | 100,000 | |
| 0.83%, dated 3/27/17 due 5/5/17 (Collateralized by U.S. Government Obligations valued at $102,083, 1.25% - 4.00%, 3/31/19 - 3/01/47) | 100,217 | 100,000 | |
| TOTAL U.S. GOVERNMENT AGENCY REPURCHASE AGREEMENT | |||
| (Cost $1,310,000) | 1,310,000 | ||
| U.S. Treasury Repurchase Agreement - 37.9% | |||
| With: | |||
| BNP Paribas, S.A. at: | |||
| 0.79%, dated 3/16/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $510,557, 0.65% - 3.50%, 1/31/19 - 11/15/42) | 500,658 | 500,000 | |
| 0.8%, dated: | |||
| 4/17/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $306,115, 0.65% - 7.50%, 5/31/18 - 11/15/44) | 300,393 | 300,000 | |
| 4/25/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $102,021, 0.13%, 7/31/17) | 100,080 | 100,000 | |
| Nomura Securities International, Inc. at 0.8%, dated 4/27/17 due 5/4/17 (Collateralized by U.S. Treasury Obligations valued at $825,177, 2.25%, 11/15/25) | 800,124 | 800,000 | |
| RBC Dominion Securities at: | |||
| 0.81%, dated 3/24/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $102,098, 1.25% - 2.88%, 10/31/18 - 5/15/43) | 100,212 | 100,000 | |
| 0.82%, dated 3/27/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $102,082, 1.25% - 2.13%, 3/31/19 - 11/15/26) | 100,216 | 100,000 | |
| TOTAL U.S. TREASURY REPURCHASE AGREEMENT | |||
| (Cost $1,900,000) | 1,900,000 | ||
| TOTAL INVESTMENT PORTFOLIO - 99.8% | |||
| (Cost $4,997,345) | 4,997,345 | ||
| NET OTHER ASSETS (LIABILITIES) - 0.2% | 8,456 | ||
| NET ASSETS - 100% | $5,005,801 |
The date shown for securities represents the date when principal payments must be paid, taking into account any call options exercised by the issuer and any permissible maturity shortening features other than interest rate resets.
Legend
(a) Yield represents either the annualized yield at the date of purchase, or the stated coupon rate, or, for floating and adjustable rate securities, the rate at period end.
(b) Coupon rates for floating and adjustable rate securities reflect the rates in effect at period end.
Investment Valuation
All investments are categorized as Level 2 under the Fair Value Hierarchy. 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 please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Other Information
# Additional information on each counterparty to the repurchase agreement is as follows:
| Repurchase Agreement / Counterparty | Value |
| $610,000 due 5/01/17 at 0.82% | |
| BNP Paribas, S.A. | $38,715 |
| BNY Mellon Capital Markets LLC | 709 |
| Bank of America NA | 116,287 |
| Bank of Nova Scotia | 21,272 |
| Citibank NA | 34,120 |
| Credit Agricole CIB New York Branch | 36,928 |
| Credit Suisse Securities (USA) LLC | 72,268 |
| HSBC Securities (USA), Inc. | 30,665 |
| ING Financial Markets LLC | 8,594 |
| J.P. Morgan Securities, Inc. | 74,934 |
| Merrill Lynch, Pierce, Fenner & Smith, Inc. | 16,706 |
| Mizuho Securities USA, Inc. | 56,271 |
| RBC Dominion Securities, Inc. | 19,003 |
| Societe Generale | 21,272 |
| Wells Fargo Securities LLC | 62,256 |
| $610,000 |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
| April 30, 2017 | ||
| Assets | ||
| Investment in securities, at value (including repurchase agreements of $3,210,000) — See accompanying schedule: Unaffiliated issuers (cost $4,997,345) | $4,997,345 | |
| Cash | 235 | |
| Interest receivable | 8,221 | |
| Total assets | 5,005,801 | |
| Net Assets | $5,005,801 | |
| Net Assets consist of: | ||
| Paid in capital | $5,005,734 | |
| Accumulated undistributed net realized gain (loss) on investments | 67 | |
| Net Assets, for 5,005,734 shares outstanding | $5,005,801 | |
| Net Asset Value, offering price and redemption price per share ($5,005,801 ÷ 5,005,734 shares) | $1.00 |
See accompanying notes which are an integral part of the financial statements.
Statement of Operations
| For the period March 8, 2017 (commencement of operations) to April 30, 2017 | ||
| Investment Income | ||
| Interest | $5,802 | |
| Expenses | ||
| Independent trustees' fees and expenses | $1 | |
| Total expenses | 1 | |
| Net investment income (loss) | 5,801 | |
| Net increase in net assets resulting from operations | $5,801 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
| For the period March 8, 2017 (commencement of operations) to April 30, 2017 | |
| Increase (Decrease) in Net Assets | |
| Operations | |
| Net investment income (loss) | $5,801 |
| Net increase in net assets resulting from operations | 5,801 |
| Distributions to shareholders from net investment income | (5,734) |
| Share transactions at net asset value of $1.00 per share | |
| Proceeds from sales of shares | 5,000,000 |
| Reinvestment of distributions | 5,734 |
| Net increase (decrease) in net assets and shares resulting from share transactions | 5,005,734 |
| Total increase (decrease) in net assets | 5,005,801 |
| Net Assets | |
| Beginning of period | – |
| End of period | $5,005,801 |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights — Fidelity Flex Government Money Market Fund
| Years ended April 30, | 2017 A |
| Selected Per–Share Data | |
| Net asset value, beginning of period | $1.00 |
| Income from Investment Operations | |
| Net investment income (loss) | .001 |
| Total from investment operations | .001 |
| Distributions from net investment income | (.001) |
| Total distributions | (.001) |
| Net asset value, end of period | $1.00 |
| Total ReturnB | .12% |
| Ratios to Average Net AssetsC | |
| Expenses before reductions | - %D,E |
| Expenses net of fee waivers, if any | - %D,E |
| Expenses net of all reductions | - %D,E |
| Net investment income (loss) | .78%D |
| Supplemental Data | |
| Net assets, end of period (000 omitted) | $5,006 |
A For the period March 8, 2017 (commencement of operations) to April 30, 2017.
B Total returns for periods of less than one year are not annualized.
C Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed or waived or reductions from expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements, waivers or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer term operating periods. Expenses net of fee waivers reflect expenses after reimbursement and waivers but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the Fund.
D Annualized
E Amount represents less than .005%.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements
For the period ended April 30, 2017
1. Organization.
Fidelity Flex Government Money Market Fund (the Fund) is a fund of Fidelity Hereford Street Trust (the Trust) and is authorized to issue an unlimited number of shares. Share transactions on the Statement of Changes in Net Assets may contain exchanges between affiliated funds. 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 Delaware statutory trust. The Fund is available only to certain fee-based accounts offered by Fidelity.
2. 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. 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)
As permitted by compliance with certain conditions under Rule 2a-7 of the 1940 Act, securities are valued at amortized cost, which approximates fair value. The amortized cost of an instrument is determined by valuing it at its original cost and thereafter amortizing any discount or premium from its face value at a constant rate until maturity. Securities held by a money market fund are generally high quality and liquid; however, they are reflected as Level 2 because the inputs used to determine fair value are not quoted prices in an active market.
Investment Transactions and Income. The net asset value 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. Security transactions are accounted for as of trade date. Gains and losses on securities sold are determined on the basis of identified cost. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable.
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 April 30, 2017, 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.
Dividends 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. There were no significant book-to-tax differences during the period.
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.
The federal tax cost of investment securities and unrealized appreciation (depreciation) as of period end were as follows:
| Gross unrealized appreciation | $– |
| Gross unrealized depreciation | – |
| Net unrealized appreciation (depreciation) on securities | $– |
| Tax Cost | $4,997,345 |
The tax-based components of distributable earnings as of period end were as follows:
| Undistributed ordinary income | $67 |
The tax character of distributions paid was as follows:
| April 30, 2017(a) | |
| Ordinary Income | $5,734 |
| Total | $5,734 |
(a) For the period March 8, 2017 (commencement of operations) to April 30, 2017.
Repurchase Agreements. Pursuant to an Exemptive Order issued by the Securities and Exchange Commission (the SEC), the Fund along with other registered investment companies having management contracts with Fidelity Management & Research Company (FMR), or other affiliated entities of FMR, are permitted to transfer uninvested cash balances into joint trading accounts which are then invested in repurchase agreements. The Fund may also invest directly with institutions in repurchase agreements. Repurchase agreements may be collateralized by cash or government securities. Upon settlement date, collateral is held in segregated accounts with custodian banks and may be obtained in the event of a default of the counterparty. The Fund monitors, on a daily basis, the value of the collateral to ensure it is at least equal to the principal amount of the repurchase agreement (including accrued interest). In the event of a default by the counterparty, realization of the collateral proceeds could be delayed, during which time the value of the collateral may decline.
3. 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 and the Fund does not pay any fees for these services. Under the management contract, the investment adviser or an affiliate pays all other expenses of the Fund, excluding fees and expenses of the independent Trustees, and certain miscellaneous expenses such as proxy and shareholder meeting expenses.
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.
4. 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, the investment adviser or its affiliates were the owners of record of 100% of the total outstanding shares of the Fund.
Report of Independent Registered Public Accounting Firm
To the Trustees of Fidelity Hereford Street Trust and Shareholders of Fidelity Flex Government Money Market Fund:
In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Fidelity Flex Government Money Market Fund (a fund of Fidelity Hereford Street Trust) as of April 30, 2017, the results of its operations for the period indicated, the changes in its net assets for the period indicated and the financial highlights for the period indicated, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fidelity Flex Government Money Market Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of April 30, 2017 by correspondence with the custodian and brokers; when replies were not received from brokers, we performed other auditing procedures. We believe that our audit provides a reasonable basis for our opinion.
PricewaterhouseCoopers LLP
Boston, Massachusetts
June 15, 2017
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. Each of the Trustees oversees 248 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 1-800-835-5092.
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. Abigail P. Johnson 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. Marie L. Knowles 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 investment-grade bond, money market, asset allocation and certain equity funds, and other Boards oversee Fidelity's high income, sector and other equity funds. The asset allocation funds may invest in Fidelity® funds that are overseen by such other Boards. 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 and Audit Committees. In addition, an ad hoc Board committee of Independent Trustees has worked with FMR 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. The Operations Committee also worked and continues to work with FMR to enhance the stress tests required under SEC regulations for money market funds. 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+
Abigail P. Johnson (1961)
Year of Election or Appointment: 2009
Trustee
Chairman of the Board of Trustees
Ms. Johnson also serves as Trustee of other Fidelity® funds. Ms. Johnson serves as Chairman (2016-present), Chief Executive Officer (2014-present), and Director (2007-present) of FMR LLC (diversified financial services company), President of Fidelity Financial Services (2012-present) and President of Personal, Workplace and Institutional Services (2005-present). Ms. Johnson is Chairman and Director of FMR Co., Inc. (investment adviser firm, 2011-present) and Chairman and Director of FMR (investment adviser firm, 2011-present). Previously, Ms. Johnson served as Vice Chairman (2007-2016) and President (2013-2016) of FMR LLC, President and a Director of FMR (2001-2005), a Trustee of other investment companies advised by FMR, Fidelity Investments Money Management, Inc. (investment adviser firm), and FMR Co., Inc. (2001-2005), Senior Vice President of the Fidelity® funds (2001-2005), and managed a number of Fidelity® funds. Ms. Abigail P. Johnson and Mr. Arthur E. Johnson are not related.
Jennifer Toolin McAuliffe (1959)
Year of Election or Appointment: 2016
Trustee
Ms. McAuliffe also serves as Trustee of other Fidelity® funds. Ms. McAuliffe previously served as a Member of the Advisory Board of certain Fidelity® funds (2016) and as Co-Head of Fixed Income of Fidelity Investments Limited (now known as FIL Limited (FIL)) (diversified financial services company). Earlier roles at FIL included Director of Research for FIL’s credit and quantitative teams in London, Hong Kong and Tokyo. Ms. McAuliffe also was the Director of Research for taxable and municipal bonds at Fidelity Investments Money Management, Inc. Ms. McAuliffe is also a director or trustee of several not-for-profit entities.
* 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+
Elizabeth S. Acton (1951)
Year of Election or Appointment: 2013
Trustee
Ms. Acton also serves as Trustee of other Fidelity® funds. Prior to her retirement in April 2012, Ms. Acton was Executive Vice President, Finance (2011-2012), Executive Vice President, Chief Financial Officer (2002-2011), and Treasurer (2004-2005) of Comerica Incorporated (financial services). Prior to joining Comerica, Ms. Acton held a variety of positions at Ford Motor Company (1983-2002), including Vice President and Treasurer (2000-2002) and Executive Vice President and Chief Financial Officer of Ford Motor Credit Company (1998-2000). Ms. Acton currently serves as a member of the Board of Directors and Audit and Finance Committees of Beazer Homes USA, Inc. (homebuilding, 2012-present). Previously, Ms. Acton served as a Member of the Advisory Board of certain Fidelity® funds (2013-2016).
John Engler (1948)
Year of Election or Appointment: 2014
Trustee
Mr. Engler also serves as Trustee of other Fidelity® funds. He serves on the board of directors for Universal Forest Products (manufacturer and distributor of wood and wood-alternative products, 2003-present) and K12 Inc. (technology-based education company, 2012-present). Previously, Mr. Engler served as a Member of the Advisory Board of certain Fidelity® funds (2014-2016), president of the Business Roundtable (2011-2017), a trustee of The Munder Funds (2003-2014), president and CEO of the National Association of Manufacturers (2004-2011), member of the Board of Trustees of the Annie E. Casey Foundation (2004-2015), and as governor of Michigan (1991-2003). He is a past chairman of the National Governors Association.
Albert R. Gamper, Jr. (1942)
Year of Election or Appointment: 2006
Trustee
Mr. Gamper also serves as Trustee of other Fidelity® funds. Prior to his retirement in December 2004, Mr. Gamper served as Chairman of the Board of CIT Group Inc. (commercial finance). During his tenure with CIT Group Inc. Mr. Gamper served in numerous senior management positions, including Chairman (1987-1989; 1999-2001; 2002-2004), Chief Executive Officer (1987-2004), and President (2002-2003). Mr. Gamper currently serves as a member of the Board of Directors of Public Service Enterprise Group (utilities, 2000-present), and Member of the Board of Trustees of Barnabas Health Care System (1997-present). Previously, Mr. Gamper served as Chairman (2012-2015) and Vice Chairman (2011-2012) of the Independent Trustees of certain Fidelity® funds and as Chairman of the Board of Governors, Rutgers University (2004-2007).
Robert F. Gartland (1951)
Year of Election or Appointment: 2010
Trustee
Mr. Gartland also serves as Trustee of other Fidelity® funds. Mr. Gartland is Chairman and an investor in Gartland & Mellina Group Corp. (consulting, 2009-present). Previously, Mr. Gartland served as a partner and investor of Vietnam Partners LLC (investments and consulting, 2008-2011). Prior to his retirement, Mr. Gartland held a variety of positions at Morgan Stanley (financial services, 1979-2007) including Managing Director (1987-2007).
Arthur E. Johnson (1947)
Year of Election or Appointment: 2008
Trustee
Vice Chairman of the Independent Trustees
Mr. Johnson also serves as Trustee of other Fidelity® funds. Mr. Johnson serves as a member of the Board of Directors of Eaton Corporation plc (diversified power management, 2009-present) and Booz Allen Hamilton (management consulting, 2011-present). Prior to his retirement, Mr. Johnson served as Senior Vice President of Corporate Strategic Development of Lockheed Martin Corporation (defense contractor, 1999-2009). He previously served on the Board of Directors of IKON Office Solutions, Inc. (1999-2008), AGL Resources, Inc. (holding company, 2002-2016), and Delta Airlines (2005-2007). Mr. Arthur E. Johnson is not related to Ms. Abigail P. Johnson.
Michael E. Kenneally (1954)
Year of Election or Appointment: 2009
Trustee
Mr. Kenneally also serves as Trustee of other Fidelity® funds. Prior to his retirement, Mr. Kenneally served as Chairman and Global Chief Executive Officer of Credit Suisse Asset Management. Before joining Credit Suisse, he was an Executive Vice President and Chief Investment Officer for Bank of America Corporation. Earlier roles at Bank of America included Director of Research, Senior Portfolio Manager and Research Analyst, and Mr. Kenneally was awarded the Chartered Financial Analyst (CFA) designation in 1991.
Marie L. Knowles (1946)
Year of Election or Appointment: 2001
Trustee
Chairman of the Independent Trustees
Ms. Knowles also serves as Trustee of other Fidelity® funds. Prior to Ms. Knowles' retirement in June 2000, she served as Executive Vice President and Chief Financial Officer of Atlantic Richfield Company (ARCO) (diversified energy, 1996-2000). From 1993 to 1996, she was a Senior Vice President of ARCO and President of ARCO Transportation Company (pipeline and tanker operations). Ms. Knowles currently serves as a Director and Chairman of the Audit Committee of McKesson Corporation (healthcare service, since 2002). Ms. Knowles is a member of the Board of the Santa Catalina Island Company (real estate, 2009-present). Ms. Knowles is a Member of the Investment Company Institute Board of Governors and a Member of the Governing Council of the Independent Directors Council (2014-present). She also serves as a member of the Advisory Board for the School of Engineering of the University of Southern California. Previously, Ms. Knowles served as a Director of Phelps Dodge Corporation (copper mining and manufacturing, 1994-2007), URS Corporation (engineering and construction, 2000-2003) and America West (airline, 1999-2002). Ms. Knowles previously served as Vice Chairman of the Independent Trustees of certain Fidelity® funds (2012-2015).
Mark A. Murray (1954)
Year of Election or Appointment: 2016
Trustee
Mr. Murray also serves as Trustee of other Fidelity® funds. Mr. Murray is Vice Chairman (2013-present) of Meijer, Inc. (regional retail chain). Previously, Mr. Murray served as a Member of the Advisory Board of certain Fidelity® funds (2016) and as Co-Chief Executive Officer (2013-2016) and President (2006-2013) of Meijer, Inc. Mr. Murray serves as a member of the Board of Directors and Nuclear Review and Public Policy and Responsibility Committees of DTE Energy Company (diversified energy company, 2009-present). Mr. Murray also serves as a member of the Board of Directors of Spectrum Health (not-for-profit health system, 2015-present). Mr. Murray previously served as President of Grand Valley State University (2001-2006), Treasurer for the State of Michigan (1999-2001), Vice President of Finance and Administration for Michigan State University (1998-1999), and a member of the Board of Directors and Audit Committee and Chairman of the Nominating and Corporate Governance Committee of Universal Forest Products, Inc. (manufacturer and distributor of wood and wood-alternative products, 2004-2016). Mr. Murray is also a director or trustee of many community and professional organizations.
+ 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 an officer may be sent to Fidelity Investments, 245 Summer Street, Boston, Massachusetts 02210. Officers appear below in alphabetical order.
Name, Year of Birth; Principal Occupation
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.
Marc R. Bryant (1966)
Year of Election or Appointment: 2015
Secretary and Chief Legal Officer (CLO)
Mr. Bryant also serves as Secretary and CLO of other funds. Mr. Bryant serves as CLO, Secretary, and Senior Vice President of Fidelity Management & Research Company (investment adviser firm, 2015-present) and FMR Co., Inc. (investment adviser firm, 2015-present); Secretary of Fidelity SelectCo, LLC (investment adviser firm, 2015-present) and Fidelity Investments Money Management, Inc. (investment adviser firm, 2015-present); and CLO of Fidelity Management & Research (Hong Kong) Limited and FMR Investment Management (UK) Limited (investment adviser firms, 2015-present) and Fidelity Management & Research (Japan) Limited (investment adviser firm, 2016-present). He is Senior Vice President and Deputy General Counsel of FMR LLC (diversified financial services company). Previously, Mr. Bryant served as Secretary and CLO of Fidelity Rutland Square Trust II (2010-2014) and Assistant Secretary of Fidelity's Fixed Income and Asset Allocation Funds (2013-2015). Prior to joining Fidelity Investments, Mr. Bryant served as a Senior Vice President and the Head of Global Retail Legal for AllianceBernstein L.P. (2006-2010), and as the General Counsel for ProFund Advisors LLC (2001-2006).
Jeffrey S. Christian (1961)
Year of Election or Appointment: 2016
Assistant Treasurer
Mr. Christian also serves as Assistant Treasurer of other funds. Mr. Christian is an employee of Fidelity Investments (2003-present).
Jonathan Davis (1968)
Year of Election or Appointment: 2010
Assistant Treasurer
Mr. Davis also serves as Assistant Treasurer of other funds, 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: 2010
Assistant Treasurer
Mr. Deberghes also serves as an officer of other funds. He serves as Executive Vice President of Fidelity Investments Money Management, Inc. (FIMM) (investment adviser firm, 2016-present) and is an employee of Fidelity Investments (2008-present). 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.
Stephanie J. Dorsey (1969)
Year of Election or Appointment: 2013
President and Treasurer
Ms. Dorsey also serves as an officer of other funds. She is an employee of Fidelity Investments (2008-present) and has served in other fund officer roles. Prior to joining Fidelity Investments, Ms. Dorsey served as Treasurer (2004-2008) of the JPMorgan Mutual Funds and Vice President (2004-2008) of JPMorgan Chase Bank.
Howard J. Galligan III (1966)
Year of Election or Appointment: 2014
Chief Financial Officer
Mr. Galligan also serves as Chief Financial Officer of other funds. Mr. Galligan serves as President of Fidelity Pricing and Cash Management Services (FPCMS) (2014-present) and as a Director of Strategic Advisers, Inc. (investment adviser firm, 2008-present). Previously, Mr. Galligan served as Chief Administrative Officer of Asset Management (2011-2014) and Chief Operating Officer and Senior Vice President of Investment Support for Strategic Advisers, Inc. (2003-2011).
Scott C. Goebel (1968)
Year of Election or Appointment: 2015
Vice President
Mr. Goebel serves as Vice President of other funds and is an employee of Fidelity Investments (2001-present). Previously, Mr. Goebel served as Senior Vice President of Fidelity Management & Research Company (FMR) (investment adviser firm, 2016), Secretary of Fidelity SelectCo, LLC (investment adviser firm, 2013-2015), Fidelity Investments Money Management, Inc. (FIMM) (investment adviser firm, 2010-2015), and Fidelity Research and Analysis Company (FRAC) (investment adviser firm, 2010-2015); General Counsel, Secretary, and Senior Vice President of FMR (investment adviser firm, 2008-2015) and FMR Co., Inc. (investment adviser firm, 2008-2015); Assistant Secretary of Fidelity Management & Research (Japan) Limited (investment adviser firm, 2008-2015) and Fidelity Management & Research (U.K.) Inc. (investment adviser firm, 2008-2015); Chief Legal Officer (CLO) of Fidelity Management & Research (Hong Kong) Limited (investment adviser firm, 2008-2015); Secretary and CLO of certain Fidelity® funds (2008-2015); Assistant Secretary of FIMM (2008-2010), FRAC (2008-2010), and certain funds (2007-2008); and as Vice President and Secretary of Fidelity Distributors Corporation (FDC) (2005-2007).
Colm A. Hogan (1973)
Year of Election or Appointment: 2016
Assistant Treasurer
Mr. Hogan also serves as an officer of other funds. Mr. Hogan is an employee of Fidelity Investments (2005-present).
Timothy Huyck (1964)
Year of Election or Appointment: 2015
Vice President of Fidelity's Money Market Funds
Mr. Huyck also serves as Vice President of other funds. Mr. Huyck serves as Chief Investment Officer of Fidelity's Money Market Funds (2015-present) and is an employee of Fidelity Investments (1990-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 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).
John B. McGinty, Jr. (1962)
Year of Election or Appointment: 2016
Chief Compliance Officer
Mr. McGinty also serves as Chief Compliance Officer of other funds. Mr. McGinty is Senior Vice President of Asset Management Compliance for Fidelity Investments and is an employee of Fidelity Investments (2016-present). Mr. McGinty previously served as Vice President, Senior Attorney at Eaton Vance Management (investment management firm, 2015-2016), and prior to Eaton Vance as global CCO for all firm operations and registered investment companies at GMO LLC (investment management firm, 2009-2015). Before joining GMO LLC, Mr. McGinty served as Senior Vice President, Deputy General Counsel for Fidelity Investments (2007-2009).
Jason P. Pogorelec (1975)
Year of Election or Appointment: 2015
Assistant Secretary
Mr. Pogorelec also serves as Assistant Secretary of other funds. Mr. Pogorelec serves as Vice President, Associate General Counsel (2010-present) and is an employee of Fidelity Investments (2006-present).
Nancy D. Prior (1967)
Year of Election or Appointment: 2014
Vice President
Ms. Prior also serves as Vice President of other funds. Ms. Prior serves as a Director of FMR Investment Management (UK) Limited (investment adviser firm, 2015-present), President (2016-present) and Director (2014-present) of Fidelity Investments Money Management, Inc. (FIMM) (investment adviser firm), President, Fixed Income (2014-present), Vice Chairman of FIAM LLC (investment adviser firm, 2014-present), and is an employee of Fidelity Investments (2002-present). Previously, Ms. Prior served as Vice President of Fidelity's Money Market Funds (2012-2014), President, Money Market and Short Duration Bond Group of Fidelity Management & Research (FMR) (investment adviser firm, 2013-2014), President, Money Market Group of FMR (2011-2013), Managing Director of Research (2009-2011), Senior Vice President and Deputy General Counsel (2007-2009), and Assistant Secretary of certain Fidelity® funds (2008-2009).
Stacie M. Smith (1974)
Year of Election or Appointment: 2013
Assistant Treasurer
Ms. Smith also serves as an officer of other funds. She 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 Deputy Treasurer of certain Fidelity® funds (2013-2016).
Marc L. Spector (1972)
Year of Election or Appointment: 2016
Deputy Treasurer
Mr. Spector also serves as an officer of other funds. Mr. Spector 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).
Renee Stagnone (1975)
Year of Election or Appointment: 2016
Assistant Treasurer
Ms. Stagnone also serves as an officer of other funds. Ms. Stagnone is an employee of Fidelity Investments (1997-present). Previously, Ms. Stagnone served as Deputy Treasurer of certain Fidelity® funds (2013-2016).
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 actual expense Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (March 8, 2017 to April 30, 2017). The hypothetical expense Example is based on an investment of $1,000 invested for the one-half year period (November 1, 2016 to April 30, 2017).
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.
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.
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 | Ending Account Value April 30, 2017 | Expenses Paid During Period | |
| Actual | --%B | $1,000.00 | $1,001.20 | $--C |
| Hypothetical-D | $1,000.00 | $1,024.79 | $--E |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Amount represents less than .005%.
C Actual expenses are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 54/365 (to reflect the period March 8, 2017 to April 30, 2017).
D 5% return per year before expenses
E Hypothetical expenses are equal to the Fund's annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
Distributions (Unaudited)
A total of 0.01% 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 $5,734 of distributions paid during the period January1, 2017 to April 30, 2017 as qualifying to be taxed as interest-related dividends for nonresident alien shareholders.
The fund will notify shareholders in January 2018 of amounts for use in preparing 2017 income tax returns.
Board Approval of Investment Advisory Contracts and Management Fees
Fidelity Flex Government Money Market Fund
On January 18, 2017, the Board of Trustees, including the Independent Trustees (together, the Board), voted to approve the management contract with Fidelity Management & Research Company (FMR) and the sub-advisory agreements with affiliates of FMR (together, the Advisory Contracts) for the fund. The Board, assisted by the advice of fund counsel and Independent Trustees' counsel, considered a broad range of information.
Nature, Extent, and Quality of Services Provided. The Board considered Fidelity's staffing as it relates to the fund, including the backgrounds of investment personnel of Fidelity, and also considered the fund's investment objective, strategies, and related investment philosophy. The Board considered the structure of the investment personnel compensation program and whether this structure provides appropriate incentives to act in the best interests of the fund.Resources Dedicated to Investment Management and Support Services. The Board reviewed the general qualifications and capabilities of Fidelity's investment staff, including its size, education, experience, and resources, as well as Fidelity's approach to recruiting, managing, and compensating investment personnel. The Board noted that Fidelity has continued to increase the resources devoted to non-U.S. offices, including expansion of Fidelity's global investment organization. The Board also noted that Fidelity's analysts have extensive resources, tools and capabilities that allow them to conduct sophisticated quantitative and fundamental analysis, as well as credit analysis of issuers, counterparties and guarantors. Further, the Board considered that Fidelity's investment professionals have sufficient access to global information and data so as to provide competitive investment results over time, and that those professionals also have access to sophisticated tools that permit them to assess portfolio construction and risk and performance attribution characteristics continuously, as well as to transmit new information and research conclusions rapidly around the world. Additionally, in its deliberations, the Board considered Fidelity's trading, risk management, compliance, and technology and operations capabilities and resources, which are integral parts of the investment management process.Shareholder and Administrative Services. The Board considered the nature, extent, quality, and cost of advisory, administrative, and shareholder services to be performed by FMR, the sub-advisers (together with FMR, the Investment Advisers), and their affiliates under the Advisory Contracts and under separate agreements covering transfer agency, and pricing and bookkeeping services for the fund. The Board also considered the nature and extent of the supervision of third party service providers, principally custodians, subcustodians, and pricing vendors.The Board noted that the growth of fund assets over time across the complex allows Fidelity to reinvest in the development of services designed to enhance the value or convenience of the Fidelity funds as investment vehicles. These services include 24-hour access to account information and market information through telephone representatives and over the Internet, investor education materials and asset allocation tools, and the expanded availability of Fidelity Investor Centers.Investment Performance. The fund is a new fund and therefore had no historical performance for the Board to review at the time it approved the fund's Advisory Contracts. The Board considered the Investment Advisers' strength in fundamental, research-driven security selection, which the Board is familiar with through its supervision of other Fidelity funds.Based on its review, the Board concluded that the nature, extent, and quality of services to be provided to the fund under the Advisory Contracts should benefit the shareholders of the fund.Competitiveness of Management Fee and Total Expense Ratio. The Board noted that the fund is available exclusively to retirement plans offered through certain Fidelity fee-based programs. The Board considered that while the fund does not pay a management fee, FMR is indirectly compensated for its services out of the program fee. The Board noted that FMR pays all operating expenses, with certain limited exceptions, on behalf of the fund. Based on its review, the Board concluded that the fund's fee structure was reasonable in light of the services that the fund and its shareholders will receive and the other factors considered.Costs of the Services and Profitability. The fund is a new fund and therefore no revenue, cost, or profitability data was available for the Board to review in respect of the fund at the time it approved the Advisory Contracts. In connection with its future renewal of the fund's Advisory Contracts, the Board will consider the revenues earned and the expenses incurred by Fidelity in conducting the business of developing, marketing, distributing, managing, administering and servicing the fund and servicing the fund's shareholders.Economies of Scale. The Board will consider economies of scale when there is operating experience to permit assessment thereof. It noted, however, that because the fund pays no advisory fees and FMR bears most expenses of the fund, economies of scale cannot be realized by the fund.Based on its evaluation of all of the conclusions noted above, and after considering all factors it believed relevant, the Board concluded that the advisory fee structures are fair and reasonable, and that the fund's Advisory Contracts should be approved.
Corporate Headquarters
245 Summer St.
Boston, MA 02210
www.fidelity.com
ZGY-ANN-0617
1.9881599.100
Fidelity® Treasury Only Money Market Fund Annual Report April 30, 2017 |
|
Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third-party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company. © 2017 FMR LLC. All rights reserved.
This report and the financial statements contained herein are submitted for the general information of the shareholders of the Fund. This report is not authorized for distribution to prospective investors in the Fund unless preceded or accompanied by an effective prospectus.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC’s web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330.
For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com, http://www.institutional.fidelity.com, or http://www.401k.com, as applicable.
NOT FDIC INSURED •MAY LOSE VALUE •NO BANK GUARANTEE
Neither the Fund nor Fidelity Distributors Corporation is a bank.
Investment Summary/Performance (Unaudited)
Effective Maturity Diversification
| Days | % of fund's investments 4/30/17 | % of fund's investments 10/31/16 | % of fund's investments 4/30/16 |
| 1 - 7 | 23.6 | 17.5 | 24.5 |
| 8 - 30 | 35.6 | 22.6 | 11.5 |
| 31 - 60 | 28.2 | 25.4 | 20.5 |
| 61 - 90 | 6.5 | 20.4 | 27.3 |
| 91 - 180 | 5.5 | 13.2 | 16.2 |
| > 180 | 0.6 | 0.9 | 0.0 |
Effective maturity is determined in accordance with the requirements of Rule 2a-7 under the Investment Company Act of 1940.
Asset Allocation (% of fund's net assets)
| As of April 30, 2017 | ||
| U.S. Treasury Debt | 97.1% | |
| Net Other Assets (Liabilities) | 2.9% | |
| As of October 31, 2016 | ||
| U.S. Treasury Debt | 103.3% | |
| Net Other Assets (Liabilities) | (3.3)*% | |
* Net Other Assets (Liabilities) are not included in the pie chart
Current And Historical 7-Day Yields
| 4/30/17 | 1/31/17 | 10/31/16 | 7/31/16 | 4/30/16 | |
| Fidelity® Treasury Only Money Market Fund | 0.28% | 0.13% | 0.01% | 0.01% | 0.01% |
Yield refers to the income paid by the Fund over a given period. Yields for money market funds are usually for seven-day periods, as they are here, though they are expressed as annual percentage rates. Past performance is no guarantee of future results. Yield will vary and it's possible to lose money investing in the Fund.
Percentages shown as 0.0% may reflect amounts less than 0.05%.
Investments April 30, 2017
Showing Percentage of Net Assets
| U.S. Treasury Debt - 97.1% | ||||
| Yield(a) | Principal Amount (000s) | Value (000s) | ||
| U.S. Treasury Obligations - 97.1% | ||||
| U.S. Treasury Bills | ||||
| 5/4/17 to 9/28/17 | 0.50 to 0.91% | $2,439,984 | $2,438,229 | |
| U.S. Treasury Bonds | ||||
| 5/15/17 | 0.73 | 12,082 | 12,119 | |
| U.S. Treasury Notes | ||||
| 5/15/17 to 4/30/19 | 0.59 to 1.09 (b) | 1,162,437 | 1,163,056 | |
| TOTAL U.S. TREASURY DEBT | ||||
| (Cost $3,613,404) | 3,613,404 | |||
| TOTAL INVESTMENT PORTFOLIO - 97.1% | ||||
| (Cost $3,613,404) | 3,613,404 | |||
| NET OTHER ASSETS (LIABILITIES) - 2.9% | 107,025 | |||
| NET ASSETS - 100% | $3,720,429 |
The date shown for securities represents the date when principal payments must be paid, taking into account any call options exercised by the issuer and any permissible maturity shortening features other than interest rate resets.
Legend
(a) Yield represents either the annualized yield at the date of purchase, or the stated coupon rate, or, for floating and adjustable rate securities, the rate at period end.
(b) Coupon rates for floating and adjustable rate securities reflect the rates in effect at period end.
Investment Valuation
All investments are categorized as Level 2 under the Fair Value Hierarchy. 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 please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
| Amounts in thousands (except per-share amount) | April 30, 2017 | |
| Assets | ||
| Investment in securities, at value — See accompanying schedule: Unaffiliated issuers (cost $3,613,404) | $3,613,404 | |
| Receivable for investments sold | 194,818 | |
| Receivable for fund shares sold | 4,855 | |
| Interest receivable | 5,940 | |
| Receivable from investment adviser for expense reductions | 7 | |
| Total assets | 3,819,024 | |
| Liabilities | ||
| Payable for investments purchased | $90,275 | |
| Payable for fund shares redeemed | 6,174 | |
| Distributions payable | 831 | |
| Accrued management fee | 1,314 | |
| Other affiliated payables | 1 | |
| Total liabilities | 98,595 | |
| Net Assets | $3,720,429 | |
| Net Assets consist of: | ||
| Paid in capital | $3,720,352 | |
| Accumulated undistributed net realized gain (loss) on investments | 77 | |
| Net Assets, for 3,719,573 shares outstanding | $3,720,429 | |
| Net Asset Value, offering price and redemption price per share ($3,720,429 ÷ 3,719,573 shares) | $1.00 |
See accompanying notes which are an integral part of the financial statements.
Statement of Operations
| Amounts in thousands | Year ended April 30, 2017 | |
| Investment Income | ||
| Interest | $18,083 | |
| Expenses | ||
| Management fee | $17,277 | |
| Independent trustees' fees and expenses | 18 | |
| Miscellaneous | 4 | |
| Total expenses before reductions | 17,299 | |
| Expense reductions | (1,792) | 15,507 |
| Net investment income (loss) | 2,576 | |
| Realized and Unrealized Gain (Loss) | ||
| Net realized gain (loss) on: | ||
| Investment securities: | ||
| Unaffiliated issuers | 27 | |
| Total net realized gain (loss) | 27 | |
| Net increase in net assets resulting from operations | $2,603 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
| Amounts in thousands | Year ended April 30, 2017 | Year ended April 30, 2016 |
| Increase (Decrease) in Net Assets | ||
| Operations | ||
| Net investment income (loss) | $2,576 | $461 |
| Net realized gain (loss) | 27 | 37 |
| Net increase in net assets resulting from operations | 2,603 | 498 |
| Distributions to shareholders from net investment income | (2,577) | (460) |
| Share transactions at net asset value of $1.00 per share | ||
| Proceeds from sales of shares | 1,130,649 | 1,449,649 |
| Reinvestment of distributions | 2,390 | 427 |
| Cost of shares redeemed | (1,849,328) | (1,609,934) |
| Net increase (decrease) in net assets and shares resulting from share transactions | (716,289) | (159,858) |
| Total increase (decrease) in net assets | (716,263) | (159,820) |
| Net Assets | ||
| Beginning of period | 4,436,692 | 4,596,512 |
| End of period | $3,720,429 | $4,436,692 |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights — Fidelity Treasury Only Money Market Fund
| Years ended April 30, | 2017 | 2016 | 2015 | 2014 | 2013 |
| Selected Per–Share Data | |||||
| Net asset value, beginning of period | $1.00 | $1.00 | $1.00 | $1.00 | $1.00 |
| Income from Investment Operations | |||||
| Net investment income (loss)A | – | – | – | – | – |
| Net realized and unrealized gain (loss)A | – | – | – | – | – |
| Total from investment operationsA | – | – | – | – | – |
| Distributions from net investment incomeA | – | – | – | – | – |
| Total distributionsA | – | – | – | – | – |
| Net asset value, end of period | $1.00 | $1.00 | $1.00 | $1.00 | $1.00 |
| Total ReturnB | .07% | .01% | .01% | .01% | .01% |
| Ratios to Average Net AssetsC | |||||
| Expenses before reductions | .42% | .42% | .42% | .42% | .42% |
| Expenses net of fee waivers, if any | .38% | .16% | .05% | .06% | .10% |
| Expenses net of all reductions | .38% | .16% | .04% | .06% | .10% |
| Net investment income (loss) | .06% | .01% | .01% | .01% | .01% |
| Supplemental Data | |||||
| Net assets, end of period (in millions) | $3,720 | $4,437 | $4,597 | $5,055 | $5,668 |
A Amount represents less than $.0005 per share.
B Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
C Expense ratios reflect operating expenses of the Fund. Expenses before reductions do not reflect amounts reimbursed or waived or reductions from expense offset arrangements and do not represent the amount paid by the Fund during periods when reimbursements, waivers or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement and waivers but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the Fund.
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements
For the period ended April 30, 2017
(Amounts in thousands except percentages)
1. Organization.
Fidelity Treasury Only Money Market Fund (the Fund) is a fund of Fidelity Hereford Street Trust (the Trust) and is authorized to issue an unlimited number of shares. Share transactions on the Statement of Changes in Net Assets may contain exchanges between affiliated funds. 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 Delaware statutory trust.
2. 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. 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)
As permitted by compliance with certain conditions under Rule 2a-7 of the 1940 Act, securities are valued at amortized cost, which approximates fair value. The amortized cost of an instrument is determined by valuing it at its original cost and thereafter amortizing any discount or premium from its face value at a constant rate until maturity. Securities held by a money market fund are generally high quality and liquid; however, they are reflected as Level 2 because the inputs used to determine fair value are not quoted prices in an active market.
Investment Transactions and Income. The net asset value 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. Security transactions are accounted for as of trade date. Gains and losses on securities sold are determined on the basis of identified cost. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable. The principal amount on inflation-indexed securities is periodically adjusted to the rate of inflation and interest is accrued based on the principal amount. The adjustments to principal due to inflation are reflected as increases or decreases to Interest in the accompanying Statement of Operations.
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. During the period, the Fund incurred an excise tax liability on undistributed net investment income and undistributed short-term capital gain which is included in Miscellaneous expense on the Statement of Operations. As of April 30, 2017, 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.
Dividends 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. In addition, the Fund claimed a portion of the payment made to redeeming shareholders as a distribution for income tax purposes.
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 deferred trustees compensation.
The federal tax cost of investment securities and unrealized appreciation (depreciation) as of period end were as follows:
| Gross unrealized appreciation | $– |
| Gross unrealized depreciation | – |
| Net unrealized appreciation (depreciation) on securities | $– |
| Tax Cost | $3,613,404 |
The tax-based components of distributable earnings as of period end were as follows:
| Undistributed ordinary income | $78 |
The tax character of distributions paid was as follows:
| April 30, 2017 | April 30, 2016 | |
| Ordinary Income | $2,577 | $ 460 |
3. 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 that is based on an annual rate of .42% of the Fund's average net assets. Under the management contract, the investment adviser pays all other expenses, except the compensation of the independent Trustees and certain other expenses such as interest expense. The management fee is reduced by an amount equal to the fees and expenses paid by the Fund to the independent Trustees.
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.
4. Expense Reductions.
The investment adviser or its affiliates voluntarily agreed to waive certain fees in order to maintain a minimum annualized yield of .01%. Such arrangements may be discontinued by the investment adviser at any time. For the period, the amount of the waiver was $1,792.
5. 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.
Report of Independent Registered Public Accounting Firm
To the Trustees of Fidelity Hereford Street Trust and Shareholders of Fidelity Treasury Only Money Market Fund:
In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Fidelity Treasury Only Money Market Fund (a fund of Fidelity Hereford Street Trust) as of April 30, 2017, 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 then ended and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fidelity Treasury Only Money Market Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of April 30, 2017 by correspondence with the custodian 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
June 12, 2017
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. Each of the Trustees oversees 248 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 1-800-544-8544.
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. Abigail P. Johnson 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. Marie L. Knowles 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 investment-grade bond, money market, asset allocation and certain equity funds, and other Boards oversee Fidelity's high income, sector and other equity funds. The asset allocation funds may invest in Fidelity® funds that are overseen by such other Boards. 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 and Audit Committees. In addition, an ad hoc Board committee of Independent Trustees has worked with FMR 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. The Operations Committee also worked and continues to work with FMR to enhance the stress tests required under SEC regulations for money market funds. 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+
Abigail P. Johnson (1961)
Year of Election or Appointment: 2009
Trustee
Chairman of the Board of Trustees
Ms. Johnson also serves as Trustee of other Fidelity® funds. Ms. Johnson serves as Chairman (2016-present), Chief Executive Officer (2014-present), and Director (2007-present) of FMR LLC (diversified financial services company), President of Fidelity Financial Services (2012-present) and President of Personal, Workplace and Institutional Services (2005-present). Ms. Johnson is Chairman and Director of FMR Co., Inc. (investment adviser firm, 2011-present) and Chairman and Director of FMR (investment adviser firm, 2011-present). Previously, Ms. Johnson served as Vice Chairman (2007-2016) and President (2013-2016) of FMR LLC, President and a Director of FMR (2001-2005), a Trustee of other investment companies advised by FMR, Fidelity Investments Money Management, Inc. (investment adviser firm), and FMR Co., Inc. (2001-2005), Senior Vice President of the Fidelity® funds (2001-2005), and managed a number of Fidelity® funds. Ms. Abigail P. Johnson and Mr. Arthur E. Johnson are not related.
Jennifer Toolin McAuliffe (1959)
Year of Election or Appointment: 2016
Trustee
Ms. McAuliffe also serves as Trustee of other Fidelity® funds. Ms. McAuliffe previously served as a Member of the Advisory Board of certain Fidelity® funds (2016) and as Co-Head of Fixed Income of Fidelity Investments Limited (now known as FIL Limited (FIL)) (diversified financial services company). Earlier roles at FIL included Director of Research for FIL’s credit and quantitative teams in London, Hong Kong and Tokyo. Ms. McAuliffe also was the Director of Research for taxable and municipal bonds at Fidelity Investments Money Management, Inc. Ms. McAuliffe is also a director or trustee of several not-for-profit entities.
* 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+
Elizabeth S. Acton (1951)
Year of Election or Appointment: 2013
Trustee
Ms. Acton also serves as Trustee of other Fidelity® funds. Prior to her retirement in April 2012, Ms. Acton was Executive Vice President, Finance (2011-2012), Executive Vice President, Chief Financial Officer (2002-2011), and Treasurer (2004-2005) of Comerica Incorporated (financial services). Prior to joining Comerica, Ms. Acton held a variety of positions at Ford Motor Company (1983-2002), including Vice President and Treasurer (2000-2002) and Executive Vice President and Chief Financial Officer of Ford Motor Credit Company (1998-2000). Ms. Acton currently serves as a member of the Board of Directors and Audit and Finance Committees of Beazer Homes USA, Inc. (homebuilding, 2012-present). Previously, Ms. Acton served as a Member of the Advisory Board of certain Fidelity® funds (2013-2016).
John Engler (1948)
Year of Election or Appointment: 2014
Trustee
Mr. Engler also serves as Trustee of other Fidelity® funds. He serves on the board of directors for Universal Forest Products (manufacturer and distributor of wood and wood-alternative products, 2003-present) and K12 Inc. (technology-based education company, 2012-present). Previously, Mr. Engler served as a Member of the Advisory Board of certain Fidelity® funds (2014-2016), president of the Business Roundtable (2011-2017), a trustee of The Munder Funds (2003-2014), president and CEO of the National Association of Manufacturers (2004-2011), member of the Board of Trustees of the Annie E. Casey Foundation (2004-2015), and as governor of Michigan (1991-2003). He is a past chairman of the National Governors Association.
Albert R. Gamper, Jr. (1942)
Year of Election or Appointment: 2006
Trustee
Mr. Gamper also serves as Trustee of other Fidelity® funds. Prior to his retirement in December 2004, Mr. Gamper served as Chairman of the Board of CIT Group Inc. (commercial finance). During his tenure with CIT Group Inc. Mr. Gamper served in numerous senior management positions, including Chairman (1987-1989; 1999-2001; 2002-2004), Chief Executive Officer (1987-2004), and President (2002-2003). Mr. Gamper currently serves as a member of the Board of Directors of Public Service Enterprise Group (utilities, 2000-present), and Member of the Board of Trustees of Barnabas Health Care System (1997-present). Previously, Mr. Gamper served as Chairman (2012-2015) and Vice Chairman (2011-2012) of the Independent Trustees of certain Fidelity® funds and as Chairman of the Board of Governors, Rutgers University (2004-2007).
Robert F. Gartland (1951)
Year of Election or Appointment: 2010
Trustee
Mr. Gartland also serves as Trustee of other Fidelity® funds. Mr. Gartland is Chairman and an investor in Gartland & Mellina Group Corp. (consulting, 2009-present). Previously, Mr. Gartland served as a partner and investor of Vietnam Partners LLC (investments and consulting, 2008-2011). Prior to his retirement, Mr. Gartland held a variety of positions at Morgan Stanley (financial services, 1979-2007) including Managing Director (1987-2007).
Arthur E. Johnson (1947)
Year of Election or Appointment: 2008
Trustee
Vice Chairman of the Independent Trustees
Mr. Johnson also serves as Trustee of other Fidelity® funds. Mr. Johnson serves as a member of the Board of Directors of Eaton Corporation plc (diversified power management, 2009-present) and Booz Allen Hamilton (management consulting, 2011-present). Prior to his retirement, Mr. Johnson served as Senior Vice President of Corporate Strategic Development of Lockheed Martin Corporation (defense contractor, 1999-2009). He previously served on the Board of Directors of IKON Office Solutions, Inc. (1999-2008), AGL Resources, Inc. (holding company, 2002-2016), and Delta Airlines (2005-2007). Mr. Arthur E. Johnson is not related to Ms. Abigail P. Johnson.
Michael E. Kenneally (1954)
Year of Election or Appointment: 2009
Trustee
Mr. Kenneally also serves as Trustee of other Fidelity® funds. Prior to his retirement, Mr. Kenneally served as Chairman and Global Chief Executive Officer of Credit Suisse Asset Management. Before joining Credit Suisse, he was an Executive Vice President and Chief Investment Officer for Bank of America Corporation. Earlier roles at Bank of America included Director of Research, Senior Portfolio Manager and Research Analyst, and Mr. Kenneally was awarded the Chartered Financial Analyst (CFA) designation in 1991.
Marie L. Knowles (1946)
Year of Election or Appointment: 2001
Trustee
Chairman of the Independent Trustees
Ms. Knowles also serves as Trustee of other Fidelity® funds. Prior to Ms. Knowles' retirement in June 2000, she served as Executive Vice President and Chief Financial Officer of Atlantic Richfield Company (ARCO) (diversified energy, 1996-2000). From 1993 to 1996, she was a Senior Vice President of ARCO and President of ARCO Transportation Company (pipeline and tanker operations). Ms. Knowles currently serves as a Director and Chairman of the Audit Committee of McKesson Corporation (healthcare service, since 2002). Ms. Knowles is a member of the Board of the Santa Catalina Island Company (real estate, 2009-present). Ms. Knowles is a Member of the Investment Company Institute Board of Governors and a Member of the Governing Council of the Independent Directors Council (2014-present). She also serves as a member of the Advisory Board for the School of Engineering of the University of Southern California. Previously, Ms. Knowles served as a Director of Phelps Dodge Corporation (copper mining and manufacturing, 1994-2007), URS Corporation (engineering and construction, 2000-2003) and America West (airline, 1999-2002). Ms. Knowles previously served as Vice Chairman of the Independent Trustees of certain Fidelity® funds (2012-2015).
Mark A. Murray (1954)
Year of Election or Appointment: 2016
Trustee
Mr. Murray also serves as Trustee of other Fidelity® funds. Mr. Murray is Vice Chairman (2013-present) of Meijer, Inc. (regional retail chain). Previously, Mr. Murray served as a Member of the Advisory Board of certain Fidelity® funds (2016) and as Co-Chief Executive Officer (2013-2016) and President (2006-2013) of Meijer, Inc. Mr. Murray serves as a member of the Board of Directors and Nuclear Review and Public Policy and Responsibility Committees of DTE Energy Company (diversified energy company, 2009-present). Mr. Murray also serves as a member of the Board of Directors of Spectrum Health (not-for-profit health system, 2015-present). Mr. Murray previously served as President of Grand Valley State University (2001-2006), Treasurer for the State of Michigan (1999-2001), Vice President of Finance and Administration for Michigan State University (1998-1999), and a member of the Board of Directors and Audit Committee and Chairman of the Nominating and Corporate Governance Committee of Universal Forest Products, Inc. (manufacturer and distributor of wood and wood-alternative products, 2004-2016). Mr. Murray is also a director or trustee of many community and professional organizations.
+ 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 an officer may be sent to Fidelity Investments, 245 Summer Street, Boston, Massachusetts 02210. Officers appear below in alphabetical order.
Name, Year of Birth; Principal Occupation
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.
Marc R. Bryant (1966)
Year of Election or Appointment: 2015
Secretary and Chief Legal Officer (CLO)
Mr. Bryant also serves as Secretary and CLO of other funds. Mr. Bryant serves as CLO, Secretary, and Senior Vice President of Fidelity Management & Research Company (investment adviser firm, 2015-present) and FMR Co., Inc. (investment adviser firm, 2015-present); Secretary of Fidelity SelectCo, LLC (investment adviser firm, 2015-present) and Fidelity Investments Money Management, Inc. (investment adviser firm, 2015-present); and CLO of Fidelity Management & Research (Hong Kong) Limited and FMR Investment Management (UK) Limited (investment adviser firms, 2015-present) and Fidelity Management & Research (Japan) Limited (investment adviser firm, 2016-present). He is Senior Vice President and Deputy General Counsel of FMR LLC (diversified financial services company). Previously, Mr. Bryant served as Secretary and CLO of Fidelity Rutland Square Trust II (2010-2014) and Assistant Secretary of Fidelity's Fixed Income and Asset Allocation Funds (2013-2015). Prior to joining Fidelity Investments, Mr. Bryant served as a Senior Vice President and the Head of Global Retail Legal for AllianceBernstein L.P. (2006-2010), and as the General Counsel for ProFund Advisors LLC (2001-2006).
Jeffrey S. Christian (1961)
Year of Election or Appointment: 2016
Assistant Treasurer
Mr. Christian also serves as Assistant Treasurer of other funds. Mr. Christian is an employee of Fidelity Investments (2003-present).
Jonathan Davis (1968)
Year of Election or Appointment: 2010
Assistant Treasurer
Mr. Davis also serves as Assistant Treasurer of other funds, 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: 2010
Assistant Treasurer
Mr. Deberghes also serves as an officer of other funds. He serves as Executive Vice President of Fidelity Investments Money Management, Inc. (FIMM) (investment adviser firm, 2016-present) and is an employee of Fidelity Investments (2008-present). 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.
Stephanie J. Dorsey (1969)
Year of Election or Appointment: 2013
President and Treasurer
Ms. Dorsey also serves as an officer of other funds. She is an employee of Fidelity Investments (2008-present) and has served in other fund officer roles. Prior to joining Fidelity Investments, Ms. Dorsey served as Treasurer (2004-2008) of the JPMorgan Mutual Funds and Vice President (2004-2008) of JPMorgan Chase Bank.
Howard J. Galligan III (1966)
Year of Election or Appointment: 2014
Chief Financial Officer
Mr. Galligan also serves as Chief Financial Officer of other funds. Mr. Galligan serves as President of Fidelity Pricing and Cash Management Services (FPCMS) (2014-present) and as a Director of Strategic Advisers, Inc. (investment adviser firm, 2008-present). Previously, Mr. Galligan served as Chief Administrative Officer of Asset Management (2011-2014) and Chief Operating Officer and Senior Vice President of Investment Support for Strategic Advisers, Inc. (2003-2011).
Scott C. Goebel (1968)
Year of Election or Appointment: 2015
Vice President
Mr. Goebel serves as Vice President of other funds and is an employee of Fidelity Investments (2001-present). Previously, Mr. Goebel served as Senior Vice President of Fidelity Management & Research Company (FMR) (investment adviser firm, 2016), Secretary of Fidelity SelectCo, LLC (investment adviser firm, 2013-2015), Fidelity Investments Money Management, Inc. (FIMM) (investment adviser firm, 2010-2015), and Fidelity Research and Analysis Company (FRAC) (investment adviser firm, 2010-2015); General Counsel, Secretary, and Senior Vice President of FMR (investment adviser firm, 2008-2015) and FMR Co., Inc. (investment adviser firm, 2008-2015); Assistant Secretary of Fidelity Management & Research (Japan) Limited (investment adviser firm, 2008-2015) and Fidelity Management & Research (U.K.) Inc. (investment adviser firm, 2008-2015); Chief Legal Officer (CLO) of Fidelity Management & Research (Hong Kong) Limited (investment adviser firm, 2008-2015); Secretary and CLO of certain Fidelity® funds (2008-2015); Assistant Secretary of FIMM (2008-2010), FRAC (2008-2010), and certain funds (2007-2008); and as Vice President and Secretary of Fidelity Distributors Corporation (FDC) (2005-2007).
Colm A. Hogan (1973)
Year of Election or Appointment: 2016
Assistant Treasurer
Mr. Hogan also serves as an officer of other funds. Mr. Hogan is an employee of Fidelity Investments (2005-present).
Timothy Huyck (1964)
Year of Election or Appointment: 2015
Vice President of Fidelity's Money Market Funds
Mr. Huyck also serves as Vice President of other funds. Mr. Huyck serves as Chief Investment Officer of Fidelity's Money Market Funds (2015-present) and is an employee of Fidelity Investments (1990-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 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).
John B. McGinty, Jr. (1962)
Year of Election or Appointment: 2016
Chief Compliance Officer
Mr. McGinty also serves as Chief Compliance Officer of other funds. Mr. McGinty is Senior Vice President of Asset Management Compliance for Fidelity Investments and is an employee of Fidelity Investments (2016-present). Mr. McGinty previously served as Vice President, Senior Attorney at Eaton Vance Management (investment management firm, 2015-2016), and prior to Eaton Vance as global CCO for all firm operations and registered investment companies at GMO LLC (investment management firm, 2009-2015). Before joining GMO LLC, Mr. McGinty served as Senior Vice President, Deputy General Counsel for Fidelity Investments (2007-2009).
Jason P. Pogorelec (1975)
Year of Election or Appointment: 2015
Assistant Secretary
Mr. Pogorelec also serves as Assistant Secretary of other funds. Mr. Pogorelec serves as Vice President, Associate General Counsel (2010-present) and is an employee of Fidelity Investments (2006-present).
Nancy D. Prior (1967)
Year of Election or Appointment: 2014
Vice President
Ms. Prior also serves as Vice President of other funds. Ms. Prior serves as a Director of FMR Investment Management (UK) Limited (investment adviser firm, 2015-present), President (2016-present) and Director (2014-present) of Fidelity Investments Money Management, Inc. (FIMM) (investment adviser firm), President, Fixed Income (2014-present), Vice Chairman of FIAM LLC (investment adviser firm, 2014-present), and is an employee of Fidelity Investments (2002-present). Previously, Ms. Prior served as Vice President of Fidelity's Money Market Funds (2012-2014), President, Money Market and Short Duration Bond Group of Fidelity Management & Research (FMR) (investment adviser firm, 2013-2014), President, Money Market Group of FMR (2011-2013), Managing Director of Research (2009-2011), Senior Vice President and Deputy General Counsel (2007-2009), and Assistant Secretary of certain Fidelity® funds (2008-2009).
Stacie M. Smith (1974)
Year of Election or Appointment: 2013
Assistant Treasurer
Ms. Smith also serves as an officer of other funds. She 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 Deputy Treasurer of certain Fidelity® funds (2013-2016).
Marc L. Spector (1972)
Year of Election or Appointment: 2016
Deputy Treasurer
Mr. Spector also serves as an officer of other funds. Mr. Spector 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).
Renee Stagnone (1975)
Year of Election or Appointment: 2016
Assistant Treasurer
Ms. Stagnone also serves as an officer of other funds. Ms. Stagnone is an employee of Fidelity Investments (1997-present). Previously, Ms. Stagnone served as Deputy Treasurer of certain Fidelity® funds (2013-2016).
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 (November 1, 2016 to April 30, 2017).
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. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount.
Hypothetical Example for Comparison Purposes
The second line of the 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. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.
| Annualized Expense Ratio-A | Beginning Account Value November 1, 2016 | Ending Account Value April 30, 2017 | Expenses Paid During Period-B November 1, 2016 to April 30, 2017 | |
| Actual | .42% | $1,000.00 | $1,000.60 | $2.08 |
| Hypothetical-C | $1,000.00 | $1,022.71 | $2.11 |
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 181/365 (to reflect the one-half year period).
C 5% return per year before expenses
Distributions (Unaudited)
A total of 100% 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 $2,151,000 of distributions paid during the period January 1, 2017 to April 30, 2017 as qualifying to be taxed as interest-related dividends for nonresident alien shareholders.
The fund will notify shareholders in January 2018 of amounts for use in preparing 2017 income tax returns.
Corporate Headquarters
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Boston, MA 02210
www.fidelity.com
TMM-ANN-0617
1.703531.119
Fidelity® Money Market Fund Premium Class Annual Report April 30, 2017 |
|
Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-800-544-8544 to request a free copy of the proxy voting guidelines.
Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.
Other third-party marks appearing herein are the property of their respective owners.
All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company. © 2017 FMR LLC. All rights reserved.
This report and the financial statements contained herein are submitted for the general information of the shareholders of the Fund. This report is not authorized for distribution to prospective investors in the Fund unless preceded or accompanied by an effective prospectus.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC’s web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330.
For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com, http://www.institutional.fidelity.com, or http://www.401k.com, as applicable.
NOT FDIC INSURED •MAY LOSE VALUE •NO BANK GUARANTEE
Neither the Fund nor Fidelity Distributors Corporation is a bank.
Investment Summary/Performance (Unaudited)
Effective Maturity Diversification
| Days | % of fund's investments 4/30/17 | % of fund's investments 10/31/16 | % of fund's investments 4/30/16 |
| 1 - 7 | 42.7 | 41.5 | 39.2 |
| 8 - 30 | 27.5 | 24.6 | 13.5 |
| 31 - 60 | 16.3 | 13.2 | 22.6 |
| 61 - 90 | 13.1 | 11.2 | 11.3 |
| 91 - 180 | 0.4 | 9.5 | 12.4 |
| > 180 | 0.0 | 0.0 | 1.0 |
Effective maturity is determined in accordance with the requirements of Rule 2a-7 under the Investment Company Act of 1940.
Asset Allocation (% of fund's net assets)
| As of April 30, 2017 | ||
| Certificates of Deposit | 33.4% | |
| Commercial Paper | 38.6% | |
| Variable Rate Demand Notes (VRDNs) | 0.4% | |
| U.S. Treasury Debt | 2.8% | |
| Other Instruments | 1.9% | |
| Repurchase Agreements | 22.6% | |
| Net Other Assets (Liabilities) | 0.3% | |
| As of October 31, 2016 | ||
| Interfund Loans | 0.1% | |
| Certificates of Deposit | 40.9% | |
| Commercial Paper | 24.6% | |
| Variable Rate Demand Notes (VRDNs) | 7.7% | |
| U.S. Treasury Debt | 3.5% | |
| Other Instruments | 1.7% | |
| Tender Option Bond | 0.2% | |
| Repurchase Agreements | 22.0% | |
| Net Other Assets (Liabilities)* | (0.7)% | |
* Net Other Assets (Liabilities) are not included in the pie chart
Current And Historical 7-Day Yields
| 4/30/17 | 1/31/17 | 10/31/16 | 7/31/16 | 4/30/16 | |
| Fidelity® Money Market Fund | 0.81% | 0.69% | 0.52% | 0.33% | 0.27% |
| Premium Class | 0.93% | 0.81% | 0.64% | 0.45% | 0.39% |
Yield refers to the income paid by the Fund over a given period. Yields for money market funds are usually for seven-day periods, as they are here, though they are expressed as annual percentage rates. Past performance is no guarantee of future results. Yield will vary and it's possible to lose money investing in the Fund. A portion of the Fund's expenses was reimbursed and/or waived. Absent such reimbursements and/or waivers the yield for the period ending April 30, 2017, the most recent period shown in the table, would have been 0.87% for Premium Class.
Percentages shown as 0.0% may reflect amounts less than 0.05%.
Investments April 30, 2017
Showing Percentage of Net Assets
| Certificate of Deposit - 33.4% | ||||
| Yield(a) | Principal Amount (000s) | Value (000s) | ||
| Domestic Certificates Of Deposit - 1.3% | ||||
| Wells Fargo Bank NA | ||||
| 5/3/17 to 5/19/17 | 1.45 to 1.47 (b)% | $124,000 | $124,000 | |
| London Branch, Eurodollar, Foreign Banks - 2.5% | ||||
| Credit Industriel et Commercial | ||||
| 6/1/17 | 1.06 | 79,000 | 78,928 | |
| Mitsubishi UFJ Trust & Banking Corp. | ||||
| 5/2/17 | 1.15 | 40,000 | 40,000 | |
| Sumitomo Mitsui Trust Bank Ltd. London Branch | ||||
| 5/2/17 to 6/16/17 | 1.15 to 1.21 | 120,000 | 120,000 | |
| 238,928 | ||||
| New York Branch, Yankee Dollar, Foreign Banks - 29.6% | ||||
| Bank of Montreal | ||||
| 5/8/17 to 11/1/17 | 1.15 to 1.47 (b) | 441,300 | 441,300 | |
| Bank of Nova Scotia | ||||
| 7/12/17 | 1.61 (b) | 43,000 | 43,026 | |
| Bank of Tokyo-Mitsubishi UFJ Ltd. | ||||
| 6/27/17 to 7/25/17 | 1.14 to 1.15 | 182,000 | 182,000 | |
| Deutsche Bank AG New York Branch | ||||
| 5/1/17 to 5/5/17 | 1.05 | 478,100 | 478,100 | |
| KBC Bank NV | ||||
| 5/2/17 to 6/26/17 | 1.02 to 1.07 | 358,000 | 358,000 | |
| Landesbank Baden-Wuerttemberg New York Branch | ||||
| 5/1/17 to 5/2/17 | 0.98 | 172,907 | 172,907 | |
| Mitsubishi UFJ Trust & Banking Corp. | ||||
| 7/19/17 | 1.20 | 71,000 | 71,000 | |
| Mizuho Corporate Bank Ltd. | ||||
| 6/5/17 to 8/21/17 | 1.10 to 1.15 (b) | 105,000 | 105,000 | |
| Royal Bank of Canada | ||||
| 10/24/17 | 1.45 (b) | 77,000 | 77,000 | |
| Sumitomo Mitsui Banking Corp. | ||||
| 5/19/17 to 7/28/17 | 1.03 to 1.34 (b) | 342,000 | 342,000 | |
| Sumitomo Mitsui Trust Bank Ltd. | ||||
| 5/11/17 to 5/15/17 | 1.05 to 1.32 (b) | 142,000 | 142,001 | |
| Svenska Handelsbanken AB | ||||
| 5/9/17 | 1.39 (b) | 51,000 | 51,000 | |
| Toronto-Dominion Bank | ||||
| 6/27/17 | 1.15 | 90,000 | 90,000 | |
| Toronto-Dominion Bank New York Branch | ||||
| 7/10/17 to 11/1/17 | 1.40 to 1.45 (b) | 215,000 | 215,000 | |
| UBS AG | ||||
| 6/20/17 | 1.05 | 80,000 | 80,000 | |
| 2,848,334 | ||||
| TOTAL CERTIFICATE OF DEPOSIT | ||||
| (Cost $3,211,262) | 3,211,262 | |||
| Financial Company Commercial Paper - 24.3% | ||||
| ABN AMRO Funding U.S.A. LLC | ||||
| 6/15/17 | 1.10 | 24,000 | 23,967 | |
| Bank of Nova Scotia | ||||
| 8/4/17 to 9/6/17 | 1.42 to 1.44 (b) | 123,000 | 123,000 | |
| Barclays Bank PLC/Barclays U.S. CCP Funding LLC | ||||
| 5/9/17 to 7/27/17 | 1.20 to 1.32 | 467,000 | 466,273 | |
| Bayerische Landesbank | ||||
| 5/1/17 to 5/2/17 | 0.99 | 226,356 | 226,354 | |
| BNP Paribas New York Branch | ||||
| 5/17/17 to 5/23/17 | 1.00 | 50,000 | 49,973 | |
| BPCE SA | ||||
| 6/1/17 | 1.11 | 90,000 | 89,914 | |
| Canadian Imperial Bank of Commerce | ||||
| 7/10/17 to 10/13/17 | 1.42 to 1.47 (b) | 196,000 | 196,000 | |
| Credit Suisse AG | ||||
| 8/18/17 to 8/23/17 | 1.12(b) | 300,000 | 300,000 | |
| Federation des caisses Desjardin | ||||
| 5/9/17 to 5/10/17 | 1.02 | 30,000 | 29,993 | |
| J.P. Morgan Securities, LLC | ||||
| 7/14/17 to 9/6/17 | 1.15 to 1.25 (b) | 244,000 | 243,592 | |
| Landesbank Baden-Wurttemberg | ||||
| 5/4/17 | 0.98 | 67,454 | 67,448 | |
| Mitsubishi UFJ Trust & Banking Corp. | ||||
| 5/17/17 | 1.10 | 63,500 | 63,469 | |
| Natexis Banques Populaires New York Branch | ||||
| 5/31/17 to 6/7/17 | 1.02 to 1.12 | 143,000 | 142,867 | |
| Ontario Teachers' Finance Trust | ||||
| 7/6/17 | 1.40 (b) | 56,000 | 56,000 | |
| Sumitomo Mitsui Banking Corp. | ||||
| 6/9/17 | 1.13 | 80,000 | 79,902 | |
| Sumitomo Trust & Banking Co. Ltd. | ||||
| 8/7/17 | 1.17 | 40,000 | 39,873 | |
| Toronto Dominion Holdings (U.S.A.) | ||||
| 6/23/17 | 1.12 | 74,000 | 73,878 | |
| Toyota Motor Credit Corp. | ||||
| 6/20/17 | 1.38 (b) | 66,000 | 66,000 | |
| TOTAL FINANCIAL COMPANY COMMERCIAL PAPER | ||||
| (Cost $2,338,503) | 2,338,503 | |||
| Asset Backed Commercial Paper - 6.4% | ||||
| Atlantic Asset Securitization Corp. (Credit Agricole CIB Guaranteed) | ||||
| 5/10/17 | 1.05 | 49,000 | 48,987 | |
| 5/2/17 | 1.10 | 30,000 | 29,999 | |
| 5/3/17 | 1.10 | 16,000 | 15,999 | |
| 5/3/17 | 1.09 | 20,000 | 19,999 | |
| 5/4/17 | 1.07 | 29,000 | 28,997 | |
| 6/8/17 | 1.17 | 90,000 | 89,889 | |
| Gotham Funding Corp. (Liquidity Facility Bank of Tokyo-Mitsubishi UFJ Ltd.) | ||||
| 5/12/17 | 1.04 | 49,362 | 49,346 | |
| 5/15/17 | 1.04 | 42,000 | 41,983 | |
| 5/16/17 | 1.06 | 21,000 | 20,991 | |
| 5/2/17 | 1.04 | 17,000 | 17,000 | |
| 5/4/17 | 1.04 | 38,000 | 37,997 | |
| 5/9/17 | 1.06 | 63,000 | 62,985 | |
| 7/13/17 | 1.17 | 49,000 | 48,884 | |
| 7/6/17 | 1.19 | 9,000 | 8,980 | |
| 7/7/17 | 1.19 | 24,000 | 23,947 | |
| Liberty Street Funding LLC (Liquidity Facility Bank of Nova Scotia) | ||||
| 7/10/17 | 1.15 | 25,000 | 24,944 | |
| Manhattan Asset Funding Co. LLC | ||||
| 6/7/17 | 1.17 (b) | 31,000 | 31,000 | |
| Manhattan Asset Funding Co. LLC (Liquidity Facility Sumitomo Mitsui Banking Corp.) | ||||
| 7/5/17 | 1.19 | 12,000 | 11,974 | |
| TOTAL ASSET BACKED COMMERCIAL PAPER | ||||
| (Cost $613,901) | 613,901 | |||
| Non-Financial Company Commercial Paper - 7.9% | ||||
| Comcast Corp. | ||||
| 5/16/17 to 5/26/17 | 1.17 to 1.25 | 90,950 | 90,887 | |
| CVS Health Corp. | ||||
| 5/2/17 to 5/11/17 | 1.11 to 1.12 | 126,707 | 126,689 | |
| Dominion Resources, Inc. | ||||
| 5/1/17 to 6/26/17 | 1.15 to 1.31 | 106,071 | 105,981 | |
| Eversource Energy | ||||
| 5/1/17 | 1.10 | 9,000 | 9,000 | |
| Rogers Communications, Inc. | ||||
| 5/16/17 | 1.26 | 11,000 | 10,994 | |
| 5/2/17 | 1.26 | 22,000 | 21,999 | |
| 5/2/17 | 1.08 | 13,000 | 13,000 | |
| 5/23/17 | 1.25 | 10,000 | 9,992 | |
| 5/9/17 | 1.27 | 14,000 | 13,996 | |
| 5/9/17 | 1.27 | 16,000 | 15,995 | |
| Sempra Global | ||||
| 5/2/17 to 6/23/17 | 1.30 to 1.35 | 91,000 | 90,890 | |
| South Carolina Public Service Authority Rev. (Liquidity Facility U.S. Bank NA, Cincinnati) | ||||
| 5/24/17 | 1.12 | 36,203 | 36,203 | |
| UnitedHealth Group, Inc. | ||||
| 6/8/17 to 6/26/17 | 1.16 to 1.21 | 63,000 | 62,906 | |
| Verizon Communications, Inc. | ||||
| 5/2/17 | 1.09 to 1.10 | 148,000 | 147,995 | |
| TOTAL NON-FINANCIAL COMPANY COMMERCIAL PAPER | ||||
| (Cost $756,527) | 756,527 | |||
| U.S. Treasury Debt - 2.8% | ||||
| U.S. Treasury Obligations - 2.8% | ||||
| U.S. Treasury Notes | ||||
| 10/31/17 to 10/31/18 | ||||
| (Cost $269,000) | 0.99 to 1.09 (b) | 269,000 | 269,000 | |
| Other Instrument - 1.9% | ||||
| Master Notes - 1.9% | ||||
| Toyota Motor Credit Corp. | ||||
| 12/6/17 | ||||
| (Cost $183,000) | 1.30 (b) | 183,000 | 183,000 | |
| Variable Rate Demand Note - 0.4% | ||||
| Florida - 0.4% | ||||
| Florida Timber Fin. III LLC Taxable 5/5/17, LOC Wells Fargo Bank NA, VRDN | ||||
| 5/5/17 | ||||
| (Cost $40,000) | 1.04 (b) | 40,000 | 40,000 |
| Other Repurchase Agreement - 22.6% | |||
| Maturity Amount (000s) | Value (000s) | ||
| Other Repurchase Agreement - 22.6% | |||
| With: | |||
| BNP Paribas at 1.06%, dated 4/28/17 due 5/1/17 (Collateralized by Corporate Obligations valued at $11,551,242, 3.20% - 6.68%, 1/15/21 - 10/15/45) | $11,001 | $11,000 | |
| Citigroup Global Markets, Inc. at: | |||
| 1.11%, dated 4/28/17 due 5/1/17 (Collateralized by Equity Securities valued at $249,532,452) | 234,022 | 234,000 | |
| 1.18%, dated 4/25/17 due 5/5/17 (Collateralized by Equity Securities valued at $82,096,146) | 76,035 | 76,000 | |
| 2.04%, dated 2/14/17 due 5/15/17 (Collateralized by Mortgage Loan Obligations valued at $50,617,057, 1.01% - 4.82%, 8/14/31 - 10/17/57) | 48,245 | 48,000 | |
| 2.07%, dated 2/21/17 due 5/30/17 (Collateralized by Mortgage Loan Obligations valued at $26,354,147, 1.81% - 3.99%, 12/15/48 - 9/25/56) | 25,141 | 25,000 | |
| Credit Suisse Securities (U.S.A.) LLC at 1.11%, dated 4/26/17 due 5/3/17 (Collateralized by Mortgage Loan Obligations valued at $62,105,683, 0.98% - 6.00%, 12/26/46 - 12/25/65) | 54,012 | 54,000 | |
| HSBC Securities, Inc. at 1.11%, dated 4/28/17 due 5/1/17 (Collateralized by Corporate Obligations valued at $34,654,079, 4.25% - 4.63%, 3/13/27 - 3/23/28) | 33,003 | 33,000 | |
| ING Financial Markets LLC at: | |||
| 1.11%, dated 4/28/17 due 5/1/17: | |||
| (Collateralized by Equity Securities valued at $28,082,601) | 26,002 | 26,000 | |
| (Collateralized by Equity Securities valued at $15,121,404) | 14,001 | 14,000 | |
| 1.19%, dated 4/28/17 due 5/1/17 (Collateralized by Corporate Obligations valued at $7,560,696, 1.00% - 8.50%, 4/15/20 - 7/01/26) | 7,001 | 7,000 | |
| J.P. Morgan Securities, LLC at: | |||
| 1.03%, dated 4/28/17 due 5/1/17 (Collateralized by Commercial Paper valued at $84,464,608, 5/01/17 - 8/28/17) | 82,007 | 82,000 | |
| 1.11%, dated 4/27/17 due 5/4/17 (Collateralized by U.S. Government Obligations valued at $111,246,508, 0.00% - 13.19%, 4/25/22 - 2/20/47) | 108,023 | 108,000 | |
| 1.31%, dated 3/31/17 due 5/1/17 (Collateralized by Mortgage Loan Obligations valued at $45,360,485, 6.00% - 6.09%, 6/15/49 - 6/11/50)(b)(c) | 42,047 | 42,000 | |
| Merrill Lynch, Pierce, Fenner & Smith at: | |||
| 1.11%, dated 4/26/17 due 5/3/17 (Collateralized by U.S. Government Obligations valued at $111,257,150, 3.00%, 8/20/45) | 108,023 | 108,000 | |
| 1.2%, dated 4/25/17 due 5/5/17 (Collateralized by Equity Securities valued at $47,529,531) | 44,021 | 44,000 | |
| 2.17%, dated 4/25/17 due 7/24/17 (Collateralized by U.S. Treasury Obligations valued at $331,752,476, 0.88% - 9.63%, 6/15/17 - 6/01/67) | 323,747 | 322,000 | |
| Mitsubishi UFJ Securities (U.S.A.), Inc. at: | |||
| 1.11%, dated 4/28/17 due 5/1/17 (Collateralized by Equity Securities valued at $6,480,614) | 6,001 | 6,000 | |
| 1.22%, dated: | |||
| 4/17/17 due 5/1/17 (Collateralized by Corporate Obligations valued at $23,771,273, 0.00% - 4.50%, 12/01/17 - 12/15/27) | 22,010 | 22,000 | |
| 4/20/17 due 5/4/17 (Collateralized by Corporate Obligations valued at $11,879,633, 0.25% - 8.50%, 6/15/17 - 2/15/27) | 11,005 | 11,000 | |
| Mizuho Securities U.S.A., Inc. at: | |||
| 1.09%, dated 4/28/17 due 5/1/17 (Collateralized by U.S. Treasury Obligations valued at $45,904,229, 1.38% - 1.75%, 2/28/19 - 1/31/23) | 45,004 | 45,000 | |
| 1.2%, dated: | |||
| 4/17/17 due 5/1/17 (Collateralized by Equity Securities valued at $59,427,724) | 55,026 | 55,000 | |
| 4/18/17 due 5/2/17 (Collateralized by Equity Securities valued at $23,770,405) | 22,010 | 22,000 | |
| 4/25/17 due 5/5/17 (Collateralized by Equity Securities valued at $59,411,900) | 55,026 | 55,000 | |
| 4/26/17 due 5/5/17 (Collateralized by Equity Securities valued at $58,329,754) | 54,025 | 54,000 | |
| 4/27/17 due 5/5/17 (Collateralized by Equity Securities valued at $35,644,813) | 33,015 | 33,000 | |
| 4/28/17 due 5/2/17 (Collateralized by Equity Securities valued at $38,883,980) | 36,005 | 36,000 | |
| 1.25%, dated 4/27/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $11,221,563, 2.00%, 2/15/25) | 11,005 | 11,000 | |
| 2.02%, dated: | |||
| 4/10/17 due 6/15/17 (Collateralized by Corporate Obligations valued at $23,127,220, 2.55% - 4.13%, 10/15/18 - 10/01/46) | 22,081 | 22,000 | |
| 4/17/17 due 6/15/17 (Collateralized by Corporate Obligations valued at $14,863,403, 2.30% - 6.65%, 11/15/19 - 4/30/38) | 14,046 | 14,000 | |
| 2.2%, dated 3/29/17 due 6/27/17 (Collateralized by Corporate Obligations valued at $22,243,429, 1.95% - 4.75%, 6/15/18 - 4/27/27) | 21,116 | 21,000 | |
| RBC Capital Markets Co. at: | |||
| 1.17%, dated 1/31/17 due 5/1/17 (Collateralized by Municipal Bond Obligations valued at $23,370,180, 4.00% - 5.00%, 7/01/30 - 11/15/40) | 22,064 | 22,000 | |
| 1.19%, dated 2/24/17 due 5/5/17 (Collateralized by Municipal Bond Obligations valued at $65,421,368, 4.00% - 5.00%, 8/01/27 - 7/01/44) | 62,184 | 62,000 | |
| SG Americas Securities, LLC at: | |||
| 1.26%, dated 4/28/17 due 5/1/17 (Collateralized by Corporate Obligations valued at $31,110,531, 1.17% - 9.75%, 8/25/17 - 10/01/44) | 29,003 | 29,000 | |
| 1.31%, dated: | |||
| 4/25/17 due 5/2/17 (Collateralized by Corporate Obligations valued at $23,725,310, 0.74% - 11.38%, 6/15/17 - 2/28/57) | 22,006 | 22,000 | |
| 4/26/17 due 5/3/17 (Collateralized by Corporate Obligations valued at $23,764,348, 4.75% - 9.75%, 3/15/18 - 1/1/49) | 22,006 | 22,000 | |
| 4/27/17 due 5/4/17 (Collateralized by Corporate Obligations valued at $31,150,152, 1.70% - 9.75%, 8/25/17 - 1/15/44) | 29,007 | 29,000 | |
| Wells Fargo Securities, LLC at: | |||
| 1.06%, dated 4/28/17 due 5/1/17 (Collateralized by Corporate Obligations valued at $40,954,411, 4.10% - 6.25%, 7/01/19 - 9/15/44) | 39,003 | 39,000 | |
| 1.11%, dated: | |||
| 4/27/17 due 5/4/17 (Collateralized by Corporate Obligations valued at $51,457,177, 4.25% - 6.82%, 5/01/18 - 5/15/46) | 49,011 | 49,000 | |
| 4/28/17 due 5/1/17 (Collateralized by Equity Securities valued at $120,971,199) | 112,010 | 112,000 | |
| 1.16%, dated: | |||
| 4/27/17 due 5/4/17 (Collateralized by Corporate Obligations valued at $71,289,187, 6.13% - 8.88%, 5/01/19 - 1/17/22) | 66,015 | 66,000 | |
| 4/28/17 due 5/1/17 (Collateralized by Corporate Obligations valued at $71,286,891, 0.75% - 2.75%, 6/01/18 - 5/01/32) | 66,006 | 66,000 | |
| 1.65%, dated 2/2/17 due 5/3/17 (Collateralized by Corporate Obligations valued at $22,771,476, 0.25% - 1.25%, 3/01/19 - 9/15/22) | 21,087 | 21,000 | |
| TOTAL OTHER REPURCHASE AGREEMENT | |||
| (Cost $2,180,000) | 2,180,000 | ||
| TOTAL INVESTMENT PORTFOLIO - 99.7% | |||
| (Cost $9,592,193) | 9,592,193 | ||
| NET OTHER ASSETS (LIABILITIES) - 0.3% | 25,919 | ||
| NET ASSETS - 100% | $9,618,112 |
Security Type Abbreviations
VRDN – VARIABLE RATE DEMAND NOTE (A debt instrument that is payable upon demand, either daily, weekly or monthly)
The date shown for securities represents the date when principal payments must be paid, taking into account any call options exercised by the issuer and any permissible maturity shortening features other than interest rate resets.
Legend
(a) Yield represents either the annualized yield at the date of purchase, or the stated coupon rate, or, for floating and adjustable rate securities, the rate at period end.
(b) Coupon rates for floating and adjustable rate securities reflect the rates in effect at period end.
(c) The maturity amount is based on the rate at period end.
Investment Valuation
All investments are categorized as Level 2 under the Fair Value Hierarchy. 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 please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
| Amounts in thousands (except per-share amounts) | April 30, 2017 | |
| Assets | ||
| Investment in securities, at value (including repurchase agreements of $2,180,000) — See accompanying schedule: Unaffiliated issuers (cost $9,592,193) | $9,592,193 | |
| Receivable for investments sold | 40,112 | |
| Receivable for fund shares sold | 51,725 | |
| Interest receivable | 5,323 | |
| Prepaid expenses | 3 | |
| Receivable from investment adviser for expense reductions | 402 | |
| Other receivables | 137 | |
| Total assets | 9,689,895 | |
| Liabilities | ||
| Payable to custodian bank | $39,922 | |
| Payable for fund shares redeemed | 28,209 | |
| Distributions payable | 543 | |
| Accrued management fee | 1,950 | |
| Other affiliated payables | 948 | |
| Other payables and accrued expenses | 211 | |
| Total liabilities | 71,783 | |
| Net Assets | $9,618,112 | |
| Net Assets consist of: | ||
| Paid in capital | $9,618,073 | |
| Distributions in excess of net investment income | (43) | |
| Accumulated undistributed net realized gain (loss) on investments | 82 | |
| Net Assets | $9,618,112 | |
| Fidelity Money Market Fund: | ||
| Net Asset Value, offering price and redemption price per share ($2,300,667 ÷ 2,299,970 shares) | $1.00 | |
| Premium Class: | ||
| Net Asset Value, offering price and redemption price per share ($7,317,445 ÷ 7,315,356 shares) | $1.00 |
See accompanying notes which are an integral part of the financial statements.
Statement of Operations
| Amounts in thousands | Year ended April 30, 2017 | |
| Investment Income | ||
| Interest (including $66 from affiliated interfund lending) | $65,820 | |
| Expenses | ||
| Management fee | $17,075 | |
| Transfer agent fees | 7,878 | |
| Accounting fees and expenses | 572 | |
| Custodian fees and expenses | 67 | |
| Independent trustees' fees and expenses | 27 | |
| Registration fees | 326 | |
| Audit | 48 | |
| Legal | 16 | |
| Miscellaneous | 25 | |
| Total expenses before reductions | 26,034 | |
| Expense reductions | (3,250) | 22,784 |
| Net investment income (loss) | 43,036 | |
| Realized and Unrealized Gain (Loss) | ||
| Net realized gain (loss) on: | ||
| Investment securities: | ||
| Unaffiliated issuers | 180 | |
| Total net realized gain (loss) | 180 | |
| Net increase in net assets resulting from operations | $43,216 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
| Amounts in thousands | Year ended April 30, 2017 | Year ended April 30, 2016 |
| Increase (Decrease) in Net Assets | ||
| Operations | ||
| Net investment income (loss) | $43,036 | $6,704 |
| Net realized gain (loss) | 180 | 49 |
| Net increase in net assets resulting from operations | 43,216 | 6,753 |
| Distributions to shareholders from net investment income | (43,039) | (6,698) |
| Share transactions - net increase (decrease) | 3,785,467 | 3,516,013 |
| Total increase (decrease) in net assets | 3,785,644 | 3,516,068 |
| Net Assets | ||
| Beginning of period | 5,832,468 | 2,316,400 |
| End of period | $9,618,112 | $5,832,468 |
| Other Information | ||
| Distributions in excess of net investment income end of period | $(43) | $(52) |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights — Fidelity Money Market Fund
| Years ended April 30, | 2017 | 2016 | 2015 | 2014 | 2013 |
| Selected Per–Share Data | |||||
| Net asset value, beginning of period | $1.00 | $1.00 | $1.00 | $1.00 | $1.00 |
| Income from Investment Operations | |||||
| Net investment income (loss) | .005 | .001 | –A | –A | –A |
| Net realized and unrealized gain (loss)A | – | – | – | – | – |
| Total from investment operations | .005 | .001 | –A | –A | –A |
| Distributions from net investment income | (.005) | (.001) | –A | –A | –A |
| Total distributions | (.005) | (.001) | –A | –A | –A |
| Net asset value, end of period | $1.00 | $1.00 | $1.00 | $1.00 | $1.00 |
| Total ReturnB | .52% | .09% | .01% | .01% | .01% |
| Ratios to Average Net AssetsC | |||||
| Expenses before reductions | .42% | .42% | .42% | .42% | .42% |
| Expenses net of fee waivers, if any | .42% | .36% | .26% | .25% | .36% |
| Expenses net of all reductions | .42% | .36% | .26% | .25% | .36% |
| Net investment income (loss) | .55% | .15% | .01% | .01% | .01% |
| Supplemental Data | |||||
| Net assets, end of period (in millions) | $2,301 | $2,126 | $2,316 | $2,601 | $2,896 |
A Amount represents less than $.0005 per share.
B Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
C Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed or waived or reductions from expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements, waivers or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement and waivers but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
See accompanying notes which are an integral part of the financial statements.
Financial Highlights — Fidelity Money Market Fund Premium Class
| Years ended April 30, | 2017 | 2016 | 2015 A |
| Selected Per–Share Data | |||
| Net asset value, beginning of period | $1.00 | $1.00 | $1.00 |
| Income from Investment Operations | |||
| Net investment income (loss) | .006 | .002 | –B |
| Net realized and unrealized gain (loss)B | – | – | – |
| Total from investment operations | .006 | .002 | –B |
| Distributions from net investment income | (.006) | (.002) | –B |
| Total distributions | (.006) | (.002) | –B |
| Net asset value, end of period | $1.00 | $1.00 | $1.00 |
| Total ReturnC,D | .64% | .15% | -% |
| Ratios to Average Net AssetsE | |||
| Expenses before reductions | .37% | .37% | .37%F |
| Expenses net of fee waivers, if any | .30% | .30% | .28%F |
| Expenses net of all reductions | .30% | .30% | .28%F |
| Net investment income (loss) | .67% | .20% | .01%F |
| Supplemental Data | |||
| Net assets, end of period (in millions) | $7,317 | $3,706 | $1 |
A For the period April 6, 2015 (commencement of sale of shares) to April 30, 2015.
B Amount represents less than $.0005 per share.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
E Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed or waived or reductions from expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements, waivers or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement and waivers but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
F Annualized
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements
For the period ended April 30, 2017
(Amounts in thousands except percentages)
1. Organization.
Fidelity Money Market Fund (the Fund) is a fund of Fidelity Hereford Street Trust (the Trust) and is authorized to issue an unlimited number of shares. The Trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Delaware statutory trust. The Fund offers Fidelity Money Market Fund and Premium Class shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class. Shares of the Fund are only available for purchase by retail shareholders.
2. 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. 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)
As permitted by compliance with certain conditions under Rule 2a-7 of the 1940 Act, securities are valued at amortized cost, which approximates fair value. The amortized cost of an instrument is determined by valuing it at its original cost and thereafter amortizing any discount or premium from its face value at a constant rate until maturity. Securities held by a money market fund are generally high quality and liquid; however, they are reflected as Level 2 because the inputs used to determine fair value are not quoted prices in an active market.
Investment Transactions and Income. The net asset value 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. Security transactions are accounted for as of trade date. Gains and losses on securities sold are determined on the basis of identified cost. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable.
Class Allocations and Expenses. Investment income, realized and unrealized capital gains and losses, common expenses of the Fund, and certain fund-level expense reductions, if any, are allocated daily on a pro-rata basis to each class based on the relative net assets of each class to the total net assets of the Fund. Each class differs with respect to transfer agent fees incurred. Certain expense reductions may also differ by class. For the reporting period, the allocated portion of income and expenses to each class as a percent of its average net assets may vary due to the timing of recording these transactions in relation to fluctuating net assets of the classes. Expenses directly attributable to a fund are charged to that fund. Expenses attributable to more than one fund are allocated among the respective funds on the basis of relative net assets or other appropriate methods. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Deferred Trustee Compensation. Under a Deferred Compensation Plan (the Plan), independent Trustees may elect to defer receipt of a portion of their annual compensation. Deferred amounts are invested in a cross-section of Fidelity funds, are marked-to-market and remain in the Fund until distributed in accordance with the Plan. The investment of deferred amounts and the offsetting payable to the Trustees are included in the accompanying Statement of Assets and Liabilities.
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code, including distributing substantially all of its taxable income and realized gains. As a result, no provision for U.S. Federal income taxes is required. As of April 30, 2017, 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.
Dividends 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 dividends and capital gain distributions are declared separately for each class. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP.
Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Capital accounts are not adjusted for temporary book-tax differences which will reverse in a subsequent period.
Book-tax differences are primarily due to deferred trustees compensation.
The federal tax cost of investment securities and unrealized appreciation (depreciation) as of period end were as follows:
| Gross unrealized appreciation | $– |
| Gross unrealized depreciation | – |
| Net unrealized appreciation (depreciation) on securities | $– |
| Tax Cost | $9,592,193 |
The tax-based components of distributable earnings as of period end were as follows:
| Undistributed ordinary income | $183 |
The tax character of distributions paid was as follows:
| April 30, 2017 | April 30, 2016 | |
| Ordinary Income | $43,039 | $ 6,698 |
Repurchase Agreements. Pursuant to an Exemptive Order issued by the Securities and Exchange Commission (the SEC), the Fund along with other registered investment companies having management contracts with Fidelity Management & Research Company (FMR), or other affiliated entities of FMR, are permitted to transfer uninvested cash balances into joint trading accounts which are then invested in repurchase agreements. The Fund may also invest directly with institutions in repurchase agreements. Upon settlement date, collateral is held in segregated accounts with custodian banks and may be obtained in the event of a default of the counterparty. The Fund monitors, on a daily basis, the value of the collateral to ensure it is at least equal to the principal amount of the repurchase agreement (including accrued interest). In the event of a default by the counterparty, realization of the collateral proceeds could be delayed, during which time the value of the collateral may decline.
3. Fees and Other Transactions with Affiliates.
Management Fee and Expense Contract. 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 that is based on an annual rate of .25% of the Fund's average net assets. Under the expense contract, total expenses of Fidelity Money Market Fund are limited to an annual rate of .42% of the class' average net assets, with certain exceptions.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc. (FIIOC), an affiliate of the investment adviser, is the transfer, dividend disbursing and shareholder servicing agent for each class of the Fund. FIIOC receives asset-based fees with respect to each account. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements. Premium Class pays a transfer agent fee equal to an annual rate of .10% of class-level average net assets.
Under the expense contract, Fidelity Money Market Fund will pay a portion of the transfer agent fee at an annual rate of up to .17% of class-level average net assets.
For the period, transfer agent fees for each class were as follows:
| Amount | % of Class-Level Average Net Assets | |
| Fidelity Money Market Fund | $2,991 | .15 |
| Premium Class | 4,887 | .10 |
| $7,878 |
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.
Interfund Lending Program. Pursuant to an Exemptive Order issued by the SEC, the Fund, along with other registered investment companies having management contracts with FMR or other affiliated entities of FMR, may participate in an interfund lending program. This program provides an alternative credit facility allowing the funds to borrow from, or lend money to, other participating affiliated funds. At period end, there were no interfund loans outstanding. The Fund's activity in this program during the period for which loans were outstanding was as follows:
| Borrower or Lender | Average Loan Balance | Weighted Average Interest Rate |
| Lender | $13,989 | .68% |
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.
4. Expense Reductions.
The investment adviser contractually agreed to reimburse Premium class to the extent annual operating expenses exceeded .30% of average net assets. This reimbursement will remain in place through June 30, 2019. Some expenses, for example interest expense, are excluded from this reimbursement. During the period, this reimbursement reduced Premium Class' expenses by $3,250.
5. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
| Year ended April 30, 2017 | Year ended April 30, 2016 | |
| From net investment income | ||
| Fidelity Money Market Fund | $10,214 | $1,910 |
| Premium Class | 32,825 | 4,788 |
| Total | $43,039 | $6,698 |
6. Share Transactions.
Share transactions for each class of shares at a $1.00 per share were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
| Year ended April 30, 2017 | Year ended April 30, 2016 | |
| Fidelity Money Market Fund | ||
| Shares sold | 1,709,007 | 1,109,851 |
| Reinvestment of distributions | 9,556 | 1,817 |
| Shares redeemed | (1,543,964) | (1,300,907) |
| Net increase (decrease) | 174,599 | (189,239) |
| Premium Class | ||
| Shares sold | 7,536,158 | 1,304,960 |
| Issued in exchange for the shares of Fidelity Money Market Portfolio | – | 3,404,574 |
| Reinvestment of distributions | 29,737 | 4,503 |
| Shares redeemed | (3,955,027) | (1,010,320) |
| Net increase (decrease) | 3,610,868 | 3,703,717 |
7. 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.
8. Prior Fiscal Year Merger Information.
On November 6, 2015, the Fund acquired all of the assets and assumed all of the liabilities of Money Market Portfolio pursuant to an Agreement and Plan of Reorganization approved by the Board of Trustees ("The Board"). The acquisition was accomplished by an exchange of shares of Premium Class of the Fund for shares then outstanding of Money Market Portfolio at a net asset value of $1.00 on the acquisition date. The reorganization provides shareholders of Money Market Portfolio access to a larger portfolio with a similar investment objective. The reorganization qualified as a tax-free reorganization for federal income tax purposes with no gain or loss recognized to the funds or their shareholders. Money Market Portfolio's net assets of $3,406,108, including securities of $3,406,017 were combined with the Fund's net assets of $2,279,520 for total net assets after the acquisition of $5,685,628.
Pro forma results of operations of the combined entity for the entire period ended April 30, 2016, as though the acquisition had occurred as of the beginning of the year (rather than on the actual acquisition date), are as follows:
| Net Investment income (loss) | $7,111 |
| Total net realized gain (loss) | 97 |
| Total change in net unrealized appreciation (depreciation) | – |
| Net increase (decrease) in net assets resulting from operations | $7,208 |
Because the combined investment portfolios have been managed as a single portfolio since the acquisition was completed, it is not practicable to separate the amounts of revenue and earnings of the acquired fund that have been included in the Fund's accompanying Statement of Operations since November 6, 2015.
Report of Independent Registered Public Accounting Firm
To the Trustees of Fidelity Hereford Street Trust and Shareholders of Fidelity Money Market Fund:
In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Fidelity Money Market Fund (a fund of Fidelity Hereford Street Trust) as of April 30, 2017, 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 then ended and the financial highlights for each of the periods indicated, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fidelity Money Market Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of April 30, 2017 by correspondence with the custodian 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
June 13, 2017
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. Each of the Trustees oversees 248 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 1-800-544-8544.
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. Abigail P. Johnson 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. Marie L. Knowles 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 investment-grade bond, money market, asset allocation and certain equity funds, and other Boards oversee Fidelity's high income, sector and other equity funds. The asset allocation funds may invest in Fidelity® funds that are overseen by such other Boards. 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 and Audit Committees. In addition, an ad hoc Board committee of Independent Trustees has worked with FMR 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. The Operations Committee also worked and continues to work with FMR to enhance the stress tests required under SEC regulations for money market funds. 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+
Abigail P. Johnson (1961)
Year of Election or Appointment: 2009
Trustee
Chairman of the Board of Trustees
Ms. Johnson also serves as Trustee of other Fidelity® funds. Ms. Johnson serves as Chairman (2016-present), Chief Executive Officer (2014-present), and Director (2007-present) of FMR LLC (diversified financial services company), President of Fidelity Financial Services (2012-present) and President of Personal, Workplace and Institutional Services (2005-present). Ms. Johnson is Chairman and Director of FMR Co., Inc. (investment adviser firm, 2011-present) and Chairman and Director of FMR (investment adviser firm, 2011-present). Previously, Ms. Johnson served as Vice Chairman (2007-2016) and President (2013-2016) of FMR LLC, President and a Director of FMR (2001-2005), a Trustee of other investment companies advised by FMR, Fidelity Investments Money Management, Inc. (investment adviser firm), and FMR Co., Inc. (2001-2005), Senior Vice President of the Fidelity® funds (2001-2005), and managed a number of Fidelity® funds. Ms. Abigail P. Johnson and Mr. Arthur E. Johnson are not related.
Jennifer Toolin McAuliffe (1959)
Year of Election or Appointment: 2016
Trustee
Ms. McAuliffe also serves as Trustee of other Fidelity® funds. Ms. McAuliffe previously served as a Member of the Advisory Board of certain Fidelity® funds (2016) and as Co-Head of Fixed Income of Fidelity Investments Limited (now known as FIL Limited (FIL)) (diversified financial services company). Earlier roles at FIL included Director of Research for FIL’s credit and quantitative teams in London, Hong Kong and Tokyo. Ms. McAuliffe also was the Director of Research for taxable and municipal bonds at Fidelity Investments Money Management, Inc. Ms. McAuliffe is also a director or trustee of several not-for-profit entities.
* 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+
Elizabeth S. Acton (1951)
Year of Election or Appointment: 2013
Trustee
Ms. Acton also serves as Trustee of other Fidelity® funds. Prior to her retirement in April 2012, Ms. Acton was Executive Vice President, Finance (2011-2012), Executive Vice President, Chief Financial Officer (2002-2011), and Treasurer (2004-2005) of Comerica Incorporated (financial services). Prior to joining Comerica, Ms. Acton held a variety of positions at Ford Motor Company (1983-2002), including Vice President and Treasurer (2000-2002) and Executive Vice President and Chief Financial Officer of Ford Motor Credit Company (1998-2000). Ms. Acton currently serves as a member of the Board of Directors and Audit and Finance Committees of Beazer Homes USA, Inc. (homebuilding, 2012-present). Previously, Ms. Acton served as a Member of the Advisory Board of certain Fidelity® funds (2013-2016).
John Engler (1948)
Year of Election or Appointment: 2014
Trustee
Mr. Engler also serves as Trustee of other Fidelity® funds. He serves on the board of directors for Universal Forest Products (manufacturer and distributor of wood and wood-alternative products, 2003-present) and K12 Inc. (technology-based education company, 2012-present). Previously, Mr. Engler served as a Member of the Advisory Board of certain Fidelity® funds (2014-2016), president of the Business Roundtable (2011-2017), a trustee of The Munder Funds (2003-2014), president and CEO of the National Association of Manufacturers (2004-2011), member of the Board of Trustees of the Annie E. Casey Foundation (2004-2015), and as governor of Michigan (1991-2003). He is a past chairman of the National Governors Association.
Albert R. Gamper, Jr. (1942)
Year of Election or Appointment: 2006
Trustee
Mr. Gamper also serves as Trustee of other Fidelity® funds. Prior to his retirement in December 2004, Mr. Gamper served as Chairman of the Board of CIT Group Inc. (commercial finance). During his tenure with CIT Group Inc. Mr. Gamper served in numerous senior management positions, including Chairman (1987-1989; 1999-2001; 2002-2004), Chief Executive Officer (1987-2004), and President (2002-2003). Mr. Gamper currently serves as a member of the Board of Directors of Public Service Enterprise Group (utilities, 2000-present), and Member of the Board of Trustees of Barnabas Health Care System (1997-present). Previously, Mr. Gamper served as Chairman (2012-2015) and Vice Chairman (2011-2012) of the Independent Trustees of certain Fidelity® funds and as Chairman of the Board of Governors, Rutgers University (2004-2007).
Robert F. Gartland (1951)
Year of Election or Appointment: 2010
Trustee
Mr. Gartland also serves as Trustee of other Fidelity® funds. Mr. Gartland is Chairman and an investor in Gartland & Mellina Group Corp. (consulting, 2009-present). Previously, Mr. Gartland served as a partner and investor of Vietnam Partners LLC (investments and consulting, 2008-2011). Prior to his retirement, Mr. Gartland held a variety of positions at Morgan Stanley (financial services, 1979-2007) including Managing Director (1987-2007).
Arthur E. Johnson (1947)
Year of Election or Appointment: 2008
Trustee
Vice Chairman of the Independent Trustees
Mr. Johnson also serves as Trustee of other Fidelity® funds. Mr. Johnson serves as a member of the Board of Directors of Eaton Corporation plc (diversified power management, 2009-present) and Booz Allen Hamilton (management consulting, 2011-present). Prior to his retirement, Mr. Johnson served as Senior Vice President of Corporate Strategic Development of Lockheed Martin Corporation (defense contractor, 1999-2009). He previously served on the Board of Directors of IKON Office Solutions, Inc. (1999-2008), AGL Resources, Inc. (holding company, 2002-2016), and Delta Airlines (2005-2007). Mr. Arthur E. Johnson is not related to Ms. Abigail P. Johnson.
Michael E. Kenneally (1954)
Year of Election or Appointment: 2009
Trustee
Mr. Kenneally also serves as Trustee of other Fidelity® funds. Prior to his retirement, Mr. Kenneally served as Chairman and Global Chief Executive Officer of Credit Suisse Asset Management. Before joining Credit Suisse, he was an Executive Vice President and Chief Investment Officer for Bank of America Corporation. Earlier roles at Bank of America included Director of Research, Senior Portfolio Manager and Research Analyst, and Mr. Kenneally was awarded the Chartered Financial Analyst (CFA) designation in 1991.
Marie L. Knowles (1946)
Year of Election or Appointment: 2001
Trustee
Chairman of the Independent Trustees
Ms. Knowles also serves as Trustee of other Fidelity® funds. Prior to Ms. Knowles' retirement in June 2000, she served as Executive Vice President and Chief Financial Officer of Atlantic Richfield Company (ARCO) (diversified energy, 1996-2000). From 1993 to 1996, she was a Senior Vice President of ARCO and President of ARCO Transportation Company (pipeline and tanker operations). Ms. Knowles currently serves as a Director and Chairman of the Audit Committee of McKesson Corporation (healthcare service, since 2002). Ms. Knowles is a member of the Board of the Santa Catalina Island Company (real estate, 2009-present). Ms. Knowles is a Member of the Investment Company Institute Board of Governors and a Member of the Governing Council of the Independent Directors Council (2014-present). She also serves as a member of the Advisory Board for the School of Engineering of the University of Southern California. Previously, Ms. Knowles served as a Director of Phelps Dodge Corporation (copper mining and manufacturing, 1994-2007), URS Corporation (engineering and construction, 2000-2003) and America West (airline, 1999-2002). Ms. Knowles previously served as Vice Chairman of the Independent Trustees of certain Fidelity® funds (2012-2015).
Mark A. Murray (1954)
Year of Election or Appointment: 2016
Trustee
Mr. Murray also serves as Trustee of other Fidelity® funds. Mr. Murray is Vice Chairman (2013-present) of Meijer, Inc. (regional retail chain). Previously, Mr. Murray served as a Member of the Advisory Board of certain Fidelity® funds (2016) and as Co-Chief Executive Officer (2013-2016) and President (2006-2013) of Meijer, Inc. Mr. Murray serves as a member of the Board of Directors and Nuclear Review and Public Policy and Responsibility Committees of DTE Energy Company (diversified energy company, 2009-present). Mr. Murray also serves as a member of the Board of Directors of Spectrum Health (not-for-profit health system, 2015-present). Mr. Murray previously served as President of Grand Valley State University (2001-2006), Treasurer for the State of Michigan (1999-2001), Vice President of Finance and Administration for Michigan State University (1998-1999), and a member of the Board of Directors and Audit Committee and Chairman of the Nominating and Corporate Governance Committee of Universal Forest Products, Inc. (manufacturer and distributor of wood and wood-alternative products, 2004-2016). Mr. Murray is also a director or trustee of many community and professional organizations.
+ 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 an officer may be sent to Fidelity Investments, 245 Summer Street, Boston, Massachusetts 02210. Officers appear below in alphabetical order.
Name, Year of Birth; Principal Occupation
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.
Marc R. Bryant (1966)
Year of Election or Appointment: 2015
Secretary and Chief Legal Officer (CLO)
Mr. Bryant also serves as Secretary and CLO of other funds. Mr. Bryant serves as CLO, Secretary, and Senior Vice President of Fidelity Management & Research Company (investment adviser firm, 2015-present) and FMR Co., Inc. (investment adviser firm, 2015-present); Secretary of Fidelity SelectCo, LLC (investment adviser firm, 2015-present) and Fidelity Investments Money Management, Inc. (investment adviser firm, 2015-present); and CLO of Fidelity Management & Research (Hong Kong) Limited and FMR Investment Management (UK) Limited (investment adviser firms, 2015-present) and Fidelity Management & Research (Japan) Limited (investment adviser firm, 2016-present). He is Senior Vice President and Deputy General Counsel of FMR LLC (diversified financial services company). Previously, Mr. Bryant served as Secretary and CLO of Fidelity Rutland Square Trust II (2010-2014) and Assistant Secretary of Fidelity's Fixed Income and Asset Allocation Funds (2013-2015). Prior to joining Fidelity Investments, Mr. Bryant served as a Senior Vice President and the Head of Global Retail Legal for AllianceBernstein L.P. (2006-2010), and as the General Counsel for ProFund Advisors LLC (2001-2006).
Jeffrey S. Christian (1961)
Year of Election or Appointment: 2016
Assistant Treasurer
Mr. Christian also serves as Assistant Treasurer of other funds. Mr. Christian is an employee of Fidelity Investments (2003-present).
Jonathan Davis (1968)
Year of Election or Appointment: 2010
Assistant Treasurer
Mr. Davis also serves as Assistant Treasurer of other funds, 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: 2010
Assistant Treasurer
Mr. Deberghes also serves as an officer of other funds. He serves as Executive Vice President of Fidelity Investments Money Management, Inc. (FIMM) (investment adviser firm, 2016-present) and is an employee of Fidelity Investments (2008-present). 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.
Stephanie J. Dorsey (1969)
Year of Election or Appointment: 2013
President and Treasurer
Ms. Dorsey also serves as an officer of other funds. She is an employee of Fidelity Investments (2008-present) and has served in other fund officer roles. Prior to joining Fidelity Investments, Ms. Dorsey served as Treasurer (2004-2008) of the JPMorgan Mutual Funds and Vice President (2004-2008) of JPMorgan Chase Bank.
Howard J. Galligan III (1966)
Year of Election or Appointment: 2014
Chief Financial Officer
Mr. Galligan also serves as Chief Financial Officer of other funds. Mr. Galligan serves as President of Fidelity Pricing and Cash Management Services (FPCMS) (2014-present) and as a Director of Strategic Advisers, Inc. (investment adviser firm, 2008-present). Previously, Mr. Galligan served as Chief Administrative Officer of Asset Management (2011-2014) and Chief Operating Officer and Senior Vice President of Investment Support for Strategic Advisers, Inc. (2003-2011).
Scott C. Goebel (1968)
Year of Election or Appointment: 2015
Vice President
Mr. Goebel serves as Vice President of other funds and is an employee of Fidelity Investments (2001-present). Previously, Mr. Goebel served as Senior Vice President of Fidelity Management & Research Company (FMR) (investment adviser firm, 2016), Secretary of Fidelity SelectCo, LLC (investment adviser firm, 2013-2015), Fidelity Investments Money Management, Inc. (FIMM) (investment adviser firm, 2010-2015), and Fidelity Research and Analysis Company (FRAC) (investment adviser firm, 2010-2015); General Counsel, Secretary, and Senior Vice President of FMR (investment adviser firm, 2008-2015) and FMR Co., Inc. (investment adviser firm, 2008-2015); Assistant Secretary of Fidelity Management & Research (Japan) Limited (investment adviser firm, 2008-2015) and Fidelity Management & Research (U.K.) Inc. (investment adviser firm, 2008-2015); Chief Legal Officer (CLO) of Fidelity Management & Research (Hong Kong) Limited (investment adviser firm, 2008-2015); Secretary and CLO of certain Fidelity® funds (2008-2015); Assistant Secretary of FIMM (2008-2010), FRAC (2008-2010), and certain funds (2007-2008); and as Vice President and Secretary of Fidelity Distributors Corporation (FDC) (2005-2007).
Colm A. Hogan (1973)
Year of Election or Appointment: 2016
Assistant Treasurer
Mr. Hogan also serves as an officer of other funds. Mr. Hogan is an employee of Fidelity Investments (2005-present).
Timothy Huyck (1964)
Year of Election or Appointment: 2015
Vice President of Fidelity's Money Market Funds
Mr. Huyck also serves as Vice President of other funds. Mr. Huyck serves as Chief Investment Officer of Fidelity's Money Market Funds (2015-present) and is an employee of Fidelity Investments (1990-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 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).
John B. McGinty, Jr. (1962)
Year of Election or Appointment: 2016
Chief Compliance Officer
Mr. McGinty also serves as Chief Compliance Officer of other funds. Mr. McGinty is Senior Vice President of Asset Management Compliance for Fidelity Investments and is an employee of Fidelity Investments (2016-present). Mr. McGinty previously served as Vice President, Senior Attorney at Eaton Vance Management (investment management firm, 2015-2016), and prior to Eaton Vance as global CCO for all firm operations and registered investment companies at GMO LLC (investment management firm, 2009-2015). Before joining GMO LLC, Mr. McGinty served as Senior Vice President, Deputy General Counsel for Fidelity Investments (2007-2009).
Jason P. Pogorelec (1975)
Year of Election or Appointment: 2015
Assistant Secretary
Mr. Pogorelec also serves as Assistant Secretary of other funds. Mr. Pogorelec serves as Vice President, Associate General Counsel (2010-present) and is an employee of Fidelity Investments (2006-present).
Nancy D. Prior (1967)
Year of Election or Appointment: 2014
Vice President
Ms. Prior also serves as Vice President of other funds. Ms. Prior serves as a Director of FMR Investment Management (UK) Limited (investment adviser firm, 2015-present), President (2016-present) and Director (2014-present) of Fidelity Investments Money Management, Inc. (FIMM) (investment adviser firm), President, Fixed Income (2014-present), Vice Chairman of FIAM LLC (investment adviser firm, 2014-present), and is an employee of Fidelity Investments (2002-present). Previously, Ms. Prior served as Vice President of Fidelity's Money Market Funds (2012-2014), President, Money Market and Short Duration Bond Group of Fidelity Management & Research (FMR) (investment adviser firm, 2013-2014), President, Money Market Group of FMR (2011-2013), Managing Director of Research (2009-2011), Senior Vice President and Deputy General Counsel (2007-2009), and Assistant Secretary of certain Fidelity® funds (2008-2009).
Stacie M. Smith (1974)
Year of Election or Appointment: 2013
Assistant Treasurer
Ms. Smith also serves as an officer of other funds. She 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 Deputy Treasurer of certain Fidelity® funds (2013-2016).
Marc L. Spector (1972)
Year of Election or Appointment: 2016
Deputy Treasurer
Mr. Spector also serves as an officer of other funds. Mr. Spector 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).
Renee Stagnone (1975)
Year of Election or Appointment: 2016
Assistant Treasurer
Ms. Stagnone also serves as an officer of other funds. Ms. Stagnone is an employee of Fidelity Investments (1997-present). Previously, Ms. Stagnone served as Deputy Treasurer of certain Fidelity® funds (2013-2016).
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 (November 1, 2016 to April 30, 2017).
Actual Expenses
The first line of the accompanying table for each class of the Fund provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line for a class of the Fund under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table for each class of the Fund provides information about hypothetical account values and hypothetical expenses based on a Class' actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class' actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount.
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 November 1, 2016 | Ending Account Value April 30, 2017 | Expenses Paid During Period-B November 1, 2016 to April 30, 2017 | |
| Fidelity Money Market Fund | .42% | |||
| Actual | $1,000.00 | $1,003.30 | $2.09 | |
| Hypothetical-C | $1,000.00 | $1,022.71 | $2.11 | |
| Premium Class | .30% | |||
| Actual | $1,000.00 | $1,003.90 | $1.49 | |
| Hypothetical-C | $1,000.00 | $1,023.31 | $1.51 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
C 5% return per year before expenses
Distributions (Unaudited)
The fund hereby designates as a capital gain dividend with respect to the taxable year ended April 30, 2017, $950 or, if subsequently determined to be different, the net capital gain of such year.
A total of 2.38% 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 $18,391,564 of distributions paid during the period January 1, 2017 to April 30, 2017 as qualifying to be taxed as interest-related dividends for nonresident alien shareholders.
The fund will notify shareholders in January 2018 of amounts for use in preparing 2017 income tax returns.
Corporate Headquarters
245 Summer St.
Boston, MA 02210
www.fidelity.com
SPM-ANN-0617
1.703534.119
Fidelity® Government Money Market Fund Annual Report April 30, 2017 |
|
Contents
To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov.
You may also call 1-800-544-8544 for Fidelity® Government Money Market Fund or Premium Class of the fund or 1-877-208-0098 for Capital Reserves Class or Daily Money Class of the fund 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. © 2017 FMR LLC. All rights reserved.
This report and the financial statements contained herein are submitted for the general information of the shareholders of the Fund. This report is not authorized for distribution to prospective investors in the Fund unless preceded or accompanied by an effective prospectus.
A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC’s web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330.
For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com, http://www.institutional.fidelity.com, or http://www.401k.com, as applicable.
NOT FDIC INSURED •MAY LOSE VALUE •NO BANK GUARANTEE
Neither the Fund nor Fidelity Distributors Corporation is a bank.
Investment Summary/Performance (Unaudited)
Effective Maturity Diversification
| Days | % of fund's investments 4/30/17 | % of fund's investments 10/31/16 | % of fund's investments 4/30/16 |
| 1 - 7 | 42.4 | 28.7 | 27.3 |
| 8 - 30 | 20.7 | 19.2 | 23.4 |
| 31 - 60 | 21.5 | 20.5 | 17.2 |
| 61 - 90 | 7.4 | 14.1 | 17.1 |
| 91 - 180 | 7.3 | 15.7 | 14.5 |
| > 180 | 0.7 | 1.8 | 0.5 |
Effective maturity is determined in accordance with the requirements of Rule 2a-7 under the Investment Company Act of 1940.
Asset Allocation (% of fund's net assets)
| As of April 30, 2017 | ||
| U.S. Treasury Debt | 14.5% | |
| U.S. Government Agency Debt | 44.2% | |
| Repurchase Agreements | 41.5% | |
| Variable Rate Demand Notes (VRDNs) | 0.6% | |
| Net Other Assets (Liabilities)* | (0.8)% | |
* Net Other Assets (Liabilities) are not included in the pie chart
| As of October 31, 2016 | ||
| U.S. Treasury Debt | 23.2% | |
| U.S. Government Agency Debt | 51.1% | |
| Repurchase Agreements | 28.1% | |
| Net Other Assets (Liabilities)* | (2.4)% | |
* Net Other Assets (Liabilities) are not included in the pie chart
Current And Historical 7-Day Yields
| 4/28/17 | 1/31/17 | 10/31/16 | 7/31/16 | 4/30/16 | |
| Capital Reserves Class | 0.01% | 0.01% | 0.01% | 0.01% | 0.01% |
| Daily Money Class | 0.08% | 0.01% | 0.01% | 0.01% | 0.01% |
| Fidelity® Government Money Market Fund | 0.36% | 0.20% | 0.06% | 0.03% | 0.02% |
| Premium Class | 0.46% | 0.30% | 0.16% | 0.13% | 0.12% |
Yield refers to the income paid by the Fund over a given period. Yields for money market funds are usually for seven-day periods, as they are here, though they are expressed as annual percentage rates. Past performance is no guarantee of future results. Yield will vary and it's possible to lose money investing in the Fund. A portion of the Fund's expenses was reimbursed and/or waived. Absent such reimbursements and/or waivers the yield for the period ending April 30, 2017, the most recent period shown in the table, would have been -0.19% for Capital Reserves Class, 0.06% for Daily Money Class and 0.42% for Premium Class.
Investments April 30, 2017
Showing Percentage of Net Assets
| U.S. Treasury Debt - 14.5% | ||||
| Yield(a) | Principal Amount | Value | ||
| U.S. Treasury Obligations - 14.5% | ||||
| U.S. Treasury Bills | ||||
| 5/4/17 to 10/12/17 | 0.53 to 0.96 (b)% | $9,617,219,000 | $9,598,023,368 | |
| U.S. Treasury Notes | ||||
| 5/31/17 to 4/30/19 | 0.60 to 0.92 (c) | 2,639,323,000 | 2,642,971,471 | |
| TOTAL U.S. TREASURY DEBT | ||||
| (Cost $12,240,994,839) | 12,240,994,839 | |||
| Variable Rate Demand Note - 0.6% | ||||
| Arizona - 0.0% | ||||
| FNMA Maricopa County Indl. Dev. Auth. Multi-family Hsg. Rev. (San Miguel Apts. Proj.) Series 2003, 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c)(d) | 16,200,000 | 16,200,000 | |
| California - 0.1% | ||||
| California Muni. Fin. Auth. Series 2016 A1, 0.86% 5/5/17, LOC Fed. Home Ln. Bank, San Francisco, VRDN | ||||
| 5/5/17 | 0.86 (c) | 6,075,000 | 6,075,000 | |
| FNMA California Statewide Cmntys. Dev. Auth. Multi-family Hsg. Rev. (The Belmont Proj.) Series 2005 F, 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c)(d) | 19,890,000 | 19,890,000 | |
| FNMA California Statewide Cmntys. Dev. Auth. Multi-family Hsg. Rev. (The Crossings Sr. Apts./ Phase II Proj.) Series J, 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c)(d) | 11,100,000 | 11,100,000 | |
| FNMA Sacramento Hsg. Auth. Multi-family Rev. (Valencia Point Apts. Proj.) Series 2006 I, 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c)(d) | 4,900,000 | 4,900,000 | |
| FNMA Sacramento Redev. Agcy. Multi-family Hsg. Rev. (18th & L Apts. Proj.) Series 2002 E, 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c)(d) | 21,075,000 | 21,075,000 | |
| FNMA San Jose Multi-family Hsg. Rev. (Kennedy Apt. Homes Proj.) Series 2002 K, 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c)(d) | 8,075,000 | 8,075,000 | |
| 71,115,000 | ||||
| Colorado - 0.0% | ||||
| FNMA Lakewood Hsg. Auth. Multi-family Rev. (Timberleaf Apts. Proj.) 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c)(d) | 11,165,000 | 11,165,000 | |
| District Of Columbia - 0.0% | ||||
| FHLMC District of Columbia Hsg. Fin. Agcy. Multi-family Hsg. Rev. (Park 7 at Minnesota Benning Proj.) Series 2012, 0.9% 5/5/17, LOC Freddie Mac, VRDN | ||||
| 5/5/17 | 0.90 (c) | 17,250,000 | 17,250,000 | |
| Florida - 0.0% | ||||
| FHLMC Pinellas County Hsg. Fin. Auth. (Booker Creek Apts. Proj.) Series 2009, 0.9% 5/5/17, LOC Freddie Mac, VRDN | ||||
| 5/5/17 | 0.90 (c) | 9,750,000 | 9,750,000 | |
| FNMA Osceola County Hsg. Fin. Auth. Multi-family Rev. (Regatta Bay Apts. Proj.) Series A, 0.9% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.90 (c)(d) | 12,920,000 | 12,920,000 | |
| 22,670,000 | ||||
| New York - 0.3% | ||||
| FHLMC New York City Hsg. Dev. Corp. Multi-family Rental Hsg. Rev. (Rivereast Apts. Proj.) Series A, 0.9% 5/5/17, LOC Freddie Mac, VRDN | ||||
| 5/5/17 | 0.90 (c)(d) | 30,000,000 | 30,000,000 | |
| FNMA New York Hsg. Fin. Agcy. Rev. (10 Barclay Street Hsg. Proj.) Series 2004 A, 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c) | 10,000,000 | 10,000,000 | |
| FNMA New York Hsg. Fin. Agcy. Rev. (125 West 31st Street Proj.) Series 2005 A, 0.94% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.94 (c)(d) | 31,800,000 | 31,800,000 | |
| FNMA New York Hsg. Fin. Agcy. Rev. (240 East 39th Street Hsg. Proj.) Series 1997 A, 0.85% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.85 (c)(d) | 27,800,000 | 27,800,000 | |
| FNMA New York Hsg. Fin. Agcy. Rev. (600 West and 42nd St. Hsg. Proj.) Series 2007 A, 0.89% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.89 (c)(d) | 62,100,000 | 62,100,000 | |
| FNMA New York Hsg. Fin. Agcy. Rev. (Taconic West 17th St. Proj.) Series 2009 A, 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c) | 22,900,000 | 22,900,000 | |
| FNMA New York Hsg. Fin. Agcy. Rev. (Talleyrand Crescent Hsg. Proj.) Series A, 0.9% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.90 (c)(d) | 28,320,000 | 28,320,000 | |
| 212,920,000 | ||||
| Ohio - 0.0% | ||||
| FHLMC Ohio Hsg. Fin. Agcy. Multi-family Hsg. Rev. (Wingate at Belle Meadows Proj.) 0.88% 5/5/17, LOC Fed. Home Ln. Bank, Cincinnati, VRDN | ||||
| 5/5/17 | 0.88 (c)(d) | 8,480,000 | 8,480,000 | |
| Oregon - 0.0% | ||||
| FHLMC Portland Multi-family Hsg. Rev. (The Village at Lovejoy Fountain Proj.) Series 2009, 0.95% 5/5/17, LOC Freddie Mac, VRDN | ||||
| 5/5/17 | 0.95 (c)(d) | 5,500,000 | 5,500,000 | |
| Texas - 0.1% | ||||
| FNMA Houston Hsg. Fin. Corp. Multi-family Hsg. Rev. (Little Nell Apts. Proj.) Series 2003, 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c)(d) | 11,400,000 | 11,400,000 | |
| FNMA Houston Hsg. Fin. Corp. Multi-family Hsg. Rev. (Mayfair Park Apts. Proj.) Series 2004, 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c)(d) | 8,700,000 | 8,700,000 | |
| FNMA Texas Dept. of Hsg. & Cmnty. Affairs Multi-family Hsg. Rev. (Bristol Apts. Proj.) Series 2004, 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c)(d) | 11,200,000 | 11,200,000 | |
| FNMA Texas Dept. of Hsg. & Cmnty. Affairs Multi-family Hsg. Rev. Series 2003, 0.88% 5/5/17, LOC Freddie Mac, VRDN | ||||
| 5/5/17 | 0.88 (c) | 9,240,000 | 9,240,000 | |
| 40,540,000 | ||||
| Washington - 0.1% | ||||
| FHLMC Washington Hsg. Fin. Commission Multi-family Hsg. Rev. (Discovery Heights Apt. Proj.) Series 2010, 0.9% 5/5/17, LOC Freddie Mac, VRDN | ||||
| 5/5/17 | 0.90 (c) | 14,920,000 | 14,920,000 | |
| FHLMC Washington Hsg. Fin. Commission Multi-family Hsg. Rev. (Willow Tree Grove Apts. Proj.) Series 2011, 0.9% 5/5/17, LOC Freddie Mac, VRDN | ||||
| 5/5/17 | 0.90 (c) | 7,570,000 | 7,570,000 | |
| FNMA Washington Hsg. Fin. Commission Multi-family Hsg. Rev. (Gardens Univ. Village Apt. Proj.) Series A, 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c)(d) | 48,540,000 | 48,540,000 | |
| FNMA Washington Hsg. Fin. Commission Multi-family Hsg. Rev. (Highland Park Apts. Proj.) Series A, 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c)(d) | 9,040,000 | 9,040,000 | |
| FNMA Washington Hsg. Fin. Commission Multi-family Hsg. Rev. (Merrill Gardens at Renton Centre Proj.) Series A, 0.86% 5/5/17, LOC Fannie Mae, VRDN | ||||
| 5/5/17 | 0.86 (c)(d) | 20,790,000 | 20,790,000 | |
| Washington Hsg. Fin. Commission Multi-family Hsg. Rev. (Reserve at Renton Apts. Proj.) Series 2014, 0.85% 5/5/17, LOC Fed. Home Ln. Bank, San Francisco, VRDN | ||||
| 5/5/17 | 0.85 (c) | 8,000,000 | 8,000,000 | |
| 108,860,000 | ||||
| TOTAL VARIABLE RATE DEMAND NOTE | ||||
| (Cost $514,700,000) | 514,700,000 | |||
| U.S. Government Agency Debt - 44.2% | ||||
| Federal Agencies - 44.2% | ||||
| Fannie Mae | ||||
| 6/1/17 to 1/11/18 | 0.66 to 1.13 (c) | 765,000,000 | 765,049,100 | |
| Federal Farm Credit Bank | ||||
| 5/8/17 to 1/8/18 | 0.97 to 1.03 (c) | 170,000,000 | 170,060,968 | |
| Federal Home Loan Bank | ||||
| 5/2/17 to 5/11/18 | 0.55 to 1.10 (c) | 34,906,752,000 | 34,896,974,704 | |
| Freddie Mac | ||||
| 5/4/17 to 1/12/18 | 0.52 to 1.13 (c) | 1,532,500,000 | 1,532,528,635 | |
| TOTAL U.S. GOVERNMENT AGENCY DEBT | ||||
| (Cost $37,364,613,407) | 37,364,613,407 |
| U.S. Government Agency Repurchase Agreement - 16.2% | |||
| Maturity Amount | Value | ||
| In a joint trading account at: | |||
| 0.8% dated 4/28/17 due 5/1/17 (Collateralized by U.S. Government Obligations) # | $50,464,353 | $50,461,000 | |
| 0.82% dated 4/28/17 due 5/1/17 (Collateralized by U.S. Government Obligations) # | 7,444,653,966 | 7,444,145,000 | |
| With: | |||
| BNP Paribas, S.A. at: | |||
| 0.59%, dated 2/8/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $124,676,038, 0.00% - 7.25%, 5/25/17 - 5/1/47) | 121,178,475 | 121,000,000 | |
| 0.6%, dated 2/17/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $251,719,151, 0.00% - 7.25%, 8/15/17 - 4/1/47) | 245,355,250 | 245,000,000 | |
| 0.66%, dated 2/27/17 due 5/26/17 (Collateralized by U.S. Treasury Obligations valued at $251,575,559, 0.00% - 7.25%, 11/30/17 - 2/1/47) | 245,395,267 | 245,000,000 | |
| 0.8%, dated 4/3/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $64,565,230, 0.00% - 7.25%, 5/15/17 - 4/1/47) | 63,084,000 | 63,000,000 | |
| Citibank NA at: | |||
| 0.79%, dated 4/25/17 due 5/2/17 (Collateralized by U.S. Treasury Obligations valued at $64,482,244, 0.00% - 6.13%, 4/30/17 - 5/1/47) | 63,009,678 | 63,000,000 | |
| 0.8%, dated 4/25/17 due 5/2/17 (Collateralized by U.S. Treasury Obligations valued at $385,936,171, 0.00% - 8.60%, 8/15/17 - 4/20/47) | 378,058,800 | 378,000,000 | |
| Deutsche Bank Securities, Inc. at: | |||
| 0.8%, dated 4/26/17 due 5/3/17 (Collateralized by U.S. Treasury Obligations valued at $353,979,339, 1.38% - 2.25%, 6/30/18 - 5/31/20) | 347,053,978 | 347,000,000 | |
| 0.81%, dated 4/27/17 due 5/4/17 (Collateralized by U.S. Treasury Obligations valued at $45,324,236, 3.63%, 4/15/28) | 44,006,930 | 44,000,000 | |
| 0.85%, dated 4/28/17 due 5/1/17 (Collateralized by U.S. Treasury Obligations valued at $421,486,436, 0.63% - 5.25%, 3/31/18 - 2/15/29) | 411,029,113 | 411,000,000 | |
| ING Financial Markets LLC at 0.83%, dated: | |||
| 4/6/17 due 6/2/17: | |||
| (Collateralized by U.S. Government Obligations valued at $103,076,316, 3.50% - 4.00%, 8/1/26 - 7/1/46) | 101,209,575 | 101,000,000 | |
| (Collateralized by U.S. Government Obligations valued at $129,608,002, 2.50% - 5.00%, 11/1/26 - 2/1/47) | 127,266,453 | 127,000,000 | |
| 4/7/17 due 6/2/17 (Collateralized by U.S. Government Obligations valued at $155,117,697, 2.50% - 7.00%, 8/1/26 - 1/1/47) | 152,318,904 | 152,000,000 | |
| 4/11/17 due 6/2/17 (Collateralized by U.S. Government Obligations valued at $129,591,305, 2.50% - 5.00%, 11/1/26 - 2/1/47) | 127,263,525 | 127,000,000 | |
| 4/12/17 due 6/2/17 (Collateralized by U.S. Government Obligations valued at $77,550,852, 2.00% - 6.00%, 11/15/38 - 9/20/45) | 76,157,700 | 76,000,000 | |
| 4/13/17 due 6/2/17 (Collateralized by U.S. Government Obligations valued at $145,910,744, 2.50% - 6.00%, 10/1/29 - 7/1/46) | 143,296,725 | 143,000,000 | |
| 4/17/17 due 6/2/17 (Collateralized by U.S. Government Obligations valued at $78,561,722, 2.00% - 5.00%, 3/1/40 - 7/20/45) | 77,161,550 | 77,000,000 | |
| 4/18/17 due 6/2/17 (Collateralized by U.S. Government Obligations valued at $129,572,866, 2.50% - 5.00%, 11/1/26 - 2/1/47) | 127,266,453 | 127,000,000 | |
| Merrill Lynch, Pierce, Fenner & Smith at 0.82%, dated 4/13/17 due 5/5/17 (Collateralized by U.S. Government Obligations valued at $387,758,917, 2.50% - 4.50%, 2/1/30 - 4/20/47) | 380,527,989 | 380,000,000 | |
| Mitsubishi UFJ Securities (U.S.A.), Inc. at: | |||
| 0.83%, dated: | |||
| 4/4/17 due 6/5/17 (Collateralized by U.S. Government Obligations valued at $167,384,132, 1.43% - 5.45%, 4/18/19 - 3/1/47) | 164,234,429 | 164,000,000 | |
| 4/5/17 due 6/6/17 (Collateralized by U.S. Government Obligations valued at $141,864,990, 1.43% - 5.15%, 1/1/19 - 4/20/47) | 139,198,693 | 139,000,000 | |
| 4/6/17 due 6/7/17 (Collateralized by U.S. Government Obligations valued at $168,397,006, 1.43% - 6.00%, 4/18/19 - 3/20/47) | 165,235,858 | 165,000,000 | |
| 4/17/17 due 6/16/17 (Collateralized by U.S. Government Obligations valued at $182,638,933, 1.43% - 5.94%, 1/1/19 - 4/20/47) | 179,247,617 | 179,000,000 | |
| 4/24/17 due 6/15/17 (Collateralized by U.S. Government Obligations valued at $218,315,228, 1.43% - 5.96%, 4/18/19 - 4/1/47) | 214,256,562 | 214,000,000 | |
| 0.88%, dated 4/26/17 due 7/25/17 (Collateralized by U.S. Government Obligations valued at $64,267,854, 2.13% - 4.00%, 2/1/27 - 1/20/47) | 63,138,600 | 63,000,000 | |
| RBC Capital Markets Corp. at: | |||
| 0.58%, dated 2/14/17 due 5/4/17 (Collateralized by U.S. Government Obligations valued at $124,695,048, 1.13% - 8.00%, 12/25/22 - 4/20/47) | 122,155,279 | 122,000,000 | |
| 0.84%, dated: | |||
| 3/10/17 due 6/8/17 (Collateralized by U.S. Government Obligations valued at $87,862,752, 1.13% - 4.87%, 8/1/24 - 5/1/47) | 86,180,600 | 86,000,000 | |
| 3/15/17 due 6/14/17 (Collateralized by U.S. Government Obligations valued at $67,396,521, 1.84% - 6.00%, 6/1/28 - 5/1/47) | 66,140,140 | 66,000,000 | |
| 3/17/17 due 6/15/17 (Collateralized by U.S. Government Obligations valued at $63,307,982, 2.50% - 4.87%, 11/1/25 - 4/1/47) | 62,130,200 | 62,000,000 | |
| 4/18/17 due 7/17/17 (Collateralized by U.S. Government Obligations valued at $169,470,494, 1.13% - 6.00%, 7/1/18 - 4/20/47) | 166,348,600 | 166,000,000 | |
| 4/24/17 due 6/20/17 (Collateralized by U.S. Government Obligations valued at $90,323,401, 2.13% - 4.00%, 11/1/27 - 4/1/47) | 88,117,040 | 88,000,000 | |
| 0.85%, dated 4/10/17 due: | |||
| 7/10/17 (Collateralized by U.S. Government Obligations valued at $129,604,231, 2.92% - 4.00%, 10/1/38 - 4/20/47) | 127,272,874 | 127,000,000 | |
| 7/11/17(Collateralized by U.S. Government Obligations valued at $129,633,455, 1.13% - 6.50%, 1/1/26 - 4/20/47) | 127,275,872 | 127,000,000 | |
| RBC Dominion Securities at: | |||
| 0.58%, dated 2/28/17 due: | |||
| 5/1/17 (Collateralized by U.S. Government Obligations valued at $125,585,321, 1.25% - 4.50%, 10/31/18 - 3/1/47) | 123,122,863 | 123,000,000 | |
| 5/2/17 (Collateralized by U.S. Government Obligations valued at $125,711,377, 0.13% - 7.00%, 1/31/18 - 3/1/47) | 123,124,845 | 123,000,000 | |
| 0.79%, dated: | |||
| 3/21/17 due 5/5/17 (Collateralized by U.S. Government Obligations valued at $127,614,715, 1.38% - 4.50%, 9/30/20 - 1/20/47) | 125,172,813 | 125,000,000 | |
| 3/23/17 due 5/5/17 (Collateralized by U.S. Government Obligations valued at $128,631,550, 0.13% - 4.50%, 4/15/18 - 3/1/47) | 126,176,960 | 126,000,000 | |
| 3/24/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $128,628,228, 1.13% - 7.00%, 9/30/20 - 4/20/47) | 126,171,430 | 126,000,000 | |
| 0.8%, dated: | |||
| 4/17/17 due 5/5/17 (Collateralized by U.S. Government Obligations valued at $130,193,344, 1.25% - 7.00%, 12/15/18 - 7/1/55) | 127,685,067 | 127,600,000 | |
| 4/18/17 due 5/5/17 (Collateralized by U.S. Government Obligations valued at $129,577,423, 1.38% - 4.50%, 9/30/20 - 7/1/55) | 127,087,489 | 127,000,000 | |
| 0.81%, dated 3/22/17 due 5/5/17 (Collateralized by U.S. Government Obligations valued at $102,091,801, 1.25% - 3.50%, 3/31/19 - 6/20/46) | 100,202,500 | 100,000,000 | |
| 0.82%, dated 3/24/17 due 5/5/17 (Collateralized by U.S. Government Obligations valued at $51,044,144, 1.38% - 4.00%, 9/30/20 - 4/20/47) | 50,107,056 | 50,000,000 | |
| 0.83%, dated 3/27/17 due 5/5/17 (Collateralized by U.S. Government Obligations valued at $190,895,440, 0.63% - 4.50%, 6/30/18 - 2/20/47) | 187,405,271 | 187,000,000 | |
| TOTAL U.S. GOVERNMENT AGENCY REPURCHASE AGREEMENT | |||
| (Cost $13,704,206,000) | 13,704,206,000 | ||
| U.S. Treasury Repurchase Agreement - 25.3% | |||
| With: | |||
| Barclays Capital, Inc. at: | |||
| 0.81%, dated 4/28/17 due 5/1/17 (Collateralized by U.S. Treasury Obligations valued at $105,067,155, 0.00% - 4.00%, 7/20/17 - 2/15/25) | 103,006,953 | 103,000,000 | |
| 0.85%, dated 4/28/17 due 5/1/17: | |||
| (Collateralized by U.S. Treasury Obligations valued at $54,437,120, 2.00%, 8/31/21) | 53,003,754 | 53,000,000 | |
| (Collateralized by U.S. Treasury Obligations valued at $103,738,182, 2.00%, 8/31/21) | 101,007,154 | 101,000,000 | |
| BMO Harris Bank NA at: | |||
| 0.77%, dated 4/7/17 due 5/5/17: | |||
| (Collateralized by U.S. Treasury Obligations valued at $119,292,995, 1.63%, 7/31/19) | 116,084,358 | 116,000,000 | |
| (Collateralized by U.S. Treasury Obligations valued at $119,417,980, 1.63% - 2.38%, 7/31/17 - 7/31/19) | 116,094,282 | 116,000,000 | |
| 0.78%, dated: | |||
| 4/10/17 due 5/5/17: | |||
| (Collateralized by U.S. Treasury Obligations valued at $177,352,678, 1.38% - 2.25%, 6/30/18 - 12/31/23) | 173,247,390 | 173,000,000 | |
| (Collateralized by U.S. Treasury Obligations valued at $60,324,493, 2.50%, 8/15/23) | 58,056,550 | 58,000,000 | |
| 4/21/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $118,935,103, 1.25% - 2.50%, 7/31/23 - 5/15/24) | 115,077,242 | 115,000,000 | |
| 0.79%, dated 4/10/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $60,934,394, 1.25% - 2.13%, 7/31/23 - 5/15/25) | 58,084,003 | 58,000,000 | |
| 0.84%, dated: | |||
| 4/10/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $178,293,922, 1.25% - 2.25%, 7/31/23 - 12/31/23) | 173,351,190 | 173,000,000 | |
| 4/13/17 due 5/5/17: | |||
| (Collateralized by U.S. Treasury Obligations valued at $71,819,991, 1.25% - 2.25%, 7/31/23 - 8/15/46) | 69,135,240 | 69,000,000 | |
| (Collateralized by U.S. Treasury Obligations valued at $118,211,352, 1.25% - 2.50%, 7/31/23 - 8/15/23) | 115,228,083 | 115,000,000 | |
| 0.85%, dated 4/18/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $239,069,063, 1.25% - 2.25%, 7/31/23 - 11/15/25) | 232,460,133 | 232,000,000 | |
| 0.89%, dated 4/27/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $95,326,784, 0.88% - 2.25%, 5/31/18 - 11/15/25) | 92,175,132 | 92,000,000 | |
| 0.9%, dated 4/26/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $59,344,116, 3.63%, 2/15/44) | 57,126,825 | 57,000,000 | |
| BNP Paribas, S.A. at: | |||
| 0.57%, dated 2/8/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $339,080,784, 0.00% - 6.88%, 5/25/17 - 5/15/46) | 332,473,100 | 332,000,000 | |
| 0.63%, dated: | |||
| 2/24/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $457,682,281, 0.75% - 7.50%, 7/31/17 - 5/15/46) | 447,821,363 | 447,000,000 | |
| 2/27/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $690,708,093, 0.00% - 8.75%, 5/25/17 - 2/15/47) | 674,236,638 | 673,000,000 | |
| 0.78%, dated 4/3/17 due 5/3/17 (Collateralized by U.S. Treasury Obligations valued at $177,152,734, 0.00% - 3.38%, 5/25/17 - 5/15/44) | 172,111,800 | 172,000,000 | |
| 0.79%, dated: | |||
| 3/16/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $231,884,593, 0.00% - 9.13%, 5/25/17 - 5/15/46) | 226,297,567 | 226,000,000 | |
| 3/28/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $264,845,902, 0.00% - 7.50%, 5/25/17 - 5/15/41) | 259,335,333 | 259,000,000 | |
| 4/20/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $832,638,520, 0.00% - 8.75%, 5/11/17 - 5/15/46) | 812,570,204 | 812,000,000 | |
| 0.8%, dated: | |||
| 4/11/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $236,862,125, 0.00% - 6.88%, 5/25/17 - 8/15/43) | 231,333,667 | 231,000,000 | |
| 4/13/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $235,966,395, 0.00% - 8.75%, 7/20/17 - 2/15/46) | 230,322,000 | 230,000,000 | |
| 4/17/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $237,079,094, 0.00% - 5.38%, 5/25/17 - 2/15/44) | 232,304,178 | 232,000,000 | |
| 4/25/17 due 5/5/17: | |||
| (Collateralized by U.S. Treasury Obligations valued at $117,315,873, 0.00% - 5.38%, 7/20/17 - 5/15/45) | 115,092,000 | 115,000,000 | |
| (Collateralized by U.S. Treasury Obligations valued at $236,250,981, 0.00% - 8.00%, 5/25/17 - 2/15/47) | 231,184,800 | 231,000,000 | |
| 0.82%, dated 4/6/17 due 6/12/17 (Collateralized by U.S. Treasury Obligations valued at $236,878,163, 0.00% - 9.13%, 6/1/17 - 2/15/47) | 232,354,058 | 232,000,000 | |
| Commerz Markets LLC at 0.85%, dated: | |||
| 4/27/17 due 5/4/17 (Collateralized by U.S. Treasury Obligations valued at $336,609,927, 2.00% - 3.13%, 5/15/19 - 10/31/21) | 330,054,542 | 330,000,000 | |
| 4/28/17 due 5/1/17: | |||
| (Collateralized by U.S. Treasury Obligations valued at $1,332,091,456, 1.13% - 3.00%, 12/31/18 - 11/15/45) | 1,305,092,438 | 1,305,000,000 | |
| (Collateralized by U.S. Treasury Obligations valued at $51,001,121, 1.88%, 9/30/17) | 50,003,542 | 50,000,000 | |
| Deutsche Bank Securities, Inc. at: | |||
| 0.79%, dated 4/26/17 due 5/3/17 (Collateralized by U.S. Treasury Obligations valued at $41,824,602, 1.63%, 5/15/26) | 41,006,298 | 41,000,000 | |
| 0.8%, dated 4/27/17 due 5/4/17 (Collateralized by U.S. Treasury Obligations valued at $41,823,743, 1.63%, 5/15/26) | 41,006,378 | 41,000,000 | |
| 0.84%, dated 4/28/17 due 5/1/17 (Collateralized by U.S. Treasury Obligations valued at $40,802,866, 1.63%, 11/30/20 - 5/15/26) | 40,002,800 | 40,000,000 | |
| Federal Reserve Bank of New York at 0.75%, dated 4/28/17 due 5/1/17 (Collateralized by U.S. Treasury Obligations valued at $7,184,449,078, 2.00% - 8.00%, 5/15/20 - 11/15/41) | 7,184,449,000 | 7,184,000,000 | |
| Mitsubishi UFJ Securities (U.S.A.), Inc. at 0.8%, dated 3/20/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $174,900,325, 0.00% - 8.88%, 1/15/18 - 5/15/45) | 171,334,400 | 171,000,000 | |
| Mizuho Securities U.S.A., Inc. at 0.82%, dated 4/28/17 due 5/1/17 (Collateralized by U.S. Treasury Obligations valued at $229,540,738, 2.00% - 2.25%, 8/15/25 - 11/15/25) | 224,015,307 | 224,000,000 | |
| MUFG Securities EMEA PLC at: | |||
| 0.6%, dated 2/13/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $22,912,359, 1.63%, 5/15/26) | 22,033,367 | 22,000,000 | |
| 0.63%, dated 3/1/17 due 5/1/17 (Collateralized by U.S. Treasury Obligations valued at $69,980,315, 1.50% - 2.13%, 11/15/22 - 8/15/26) | 67,071,523 | 67,000,000 | |
| 0.8%, dated 5/5/17 due 5/22/17(e) | 228,086,133 | 228,000,000 | |
| 0.81%, dated: | |||
| 4/24/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $236,049,783, 2.13% - 2.63%, 8/15/20 - 5/15/25) | 230,093,150 | 230,000,000 | |
| 4/27/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $188,220,468, 1.63% - 2.00%, 5/15/26 - 11/15/26) | 183,045,293 | 183,000,000 | |
| 4/28/17 due: | |||
| 5/1/17 (Collateralized by U.S. Treasury Obligations valued at $52,409,878, 1.38%, 9/30/18) | 51,280,461 | 51,277,000 | |
| 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $332,073,762, 2.00%, 11/15/26) | 321,050,558 | 321,000,000 | |
| 0.91%, dated 5/1/17 due 8/1/17(e) | 69,160,463 | 69,000,000 | |
| Nomura Securities International, Inc. at: | |||
| 0.8%, dated 4/27/17 due 5/4/17 (Collateralized by U.S. Treasury Obligations valued at $1,632,082,664, 1.38% - 2.63%, 5/31/20 - 2/15/25) | 1,589,247,178 | 1,589,000,000 | |
| 0.82%, dated 4/28/17 due 5/1/17 (Collateralized by U.S. Treasury Obligations valued at $802,571,959, 1.13% - 1.38%, 5/31/21 - 6/30/23) | 783,053,505 | 783,000,000 | |
| Norinchukin Bank (GOV REPO) at: | |||
| 0.88%, dated 4/27/17 due 5/30/17 (Collateralized by U.S. Treasury Obligations valued at $58,141,647, 1.63%, 7/31/19) | 57,045,980 | 57,000,000 | |
| 0.9%, dated 4/18/17 due 6/15/17 (Collateralized by U.S. Treasury Obligations valued at $59,177,815, 1.63%, 7/31/19) | 58,084,100 | 58,000,000 | |
| RBC Capital Markets Corp. at 0.79%, dated: | |||
| 3/16/17 due 5/5/17: | |||
| (Collateralized by U.S. Treasury Obligations valued at $79,677,304, 0.00% - 4.25%, 6/30/17 - 5/15/43) | 78,102,700 | 78,000,000 | |
| (Collateralized by U.S. Treasury Obligations valued at $90,911,798, 0.00% - 8.75%, 6/15/17 - 2/15/46) | 89,130,855 | 89,000,000 | |
| 4/3/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $115,585,755, 0.00% - 8.00%, 6/30/17 - 2/15/47) | 113,148,783 | 113,000,000 | |
| RBC Dominion Securities at: | |||
| 0.78%, dated 3/22/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $140,024,392, 0.75% - 3.00%, 2/28/18 - 11/15/45) | 137,187,005 | 137,000,000 | |
| 0.79%, dated 4/28/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $115,315,852, 0.63% - 3.75%, 6/30/18 - 5/15/45) | 113,081,831 | 113,000,000 | |
| 0.81%, dated 3/24/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $70,627,811, 1.25% - 4.38%, 12/15/18 - 2/15/47) | 69,145,935 | 69,000,000 | |
| 0.82%, dated 3/27/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $223,558,158, 0.75% - 3.38%, 6/30/18 - 8/15/46) | 219,473,892 | 219,000,000 | |
| RBS Securities, Inc. at: | |||
| 0.8%, dated 4/27/17 due 5/4/17 (Collateralized by U.S. Treasury Obligations valued at $252,066,486, 0.63% - 7.88%, 7/31/17 - 8/15/42) | 247,038,422 | 247,000,000 | |
| 0.81%, dated 4/28/17 due 5/1/17 (Collateralized by U.S. Treasury Obligations valued at $23,463,601, 0.75% - 2.25%, 4/30/18 - 11/15/25) | 23,001,553 | 23,000,000 | |
| Societe Generale at: | |||
| 0.6%, dated 2/9/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $111,621,335, 1.88% - 4.50%, 6/30/20 - 5/15/44) | 109,172,583 | 109,000,000 | |
| 0.78%, dated 4/5/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $348,277,138, 0.00% - 8.75%, 9/14/17 - 5/15/46) | 341,295,533 | 341,000,000 | |
| 0.79%, dated 4/3/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $69,402,915, 0.88% - 8.13%, 5/31/18 - 5/15/38) | 68,089,533 | 68,000,000 | |
| 0.8%, dated: | |||
| 4/26/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $69,367,772, 0.00% - 6.25%, 5/25/17 - 11/15/24) | 68,066,489 | 68,000,000 | |
| 4/27/17 due 5/5/17 (Collateralized by U.S. Treasury Obligations valued at $150,352,979, 0.00% - 3.50%, 5/4/17 - 2/15/39) | 147,140,467 | 147,000,000 | |
| 0.81%, dated 4/19/17 due 5/19/17 (Collateralized by U.S. Treasury Obligations valued at $467,908,105, 1.13% - 8.75%, 8/15/18 - 11/15/43) | 458,309,150 | 458,000,000 | |
| 0.84%, dated 4/20/17 due: | |||
| 6/12/17 (Collateralized by U.S. Treasury Obligations valued at $116,310,226, 0.75% - 4.50%, 3/15/18 - 5/15/38) | 114,140,980 | 114,000,000 | |
| 6/15/17 (Collateralized by U.S. Treasury Obligations valued at $116,310,164, 0.00% - 6.25%, 9/14/17 - 5/15/38) | 114,148,960 | 114,000,000 | |
| TOTAL U.S. TREASURY REPURCHASE AGREEMENT | |||
| (Cost $21,374,277,000) | 21,374,277,000 | ||
| TOTAL INVESTMENT PORTFOLIO - 100.8% | |||
| (Cost $85,198,791,246) | 85,198,791,246 | ||
| NET OTHER ASSETS (LIABILITIES) - (0.8)% | (700,398,877) | ||
| NET ASSETS - 100% | $84,498,392,369 |
Legend
(a) Yield represents either the annualized yield at the date of purchase, or the stated coupon rate, or, for floating and adjustable rate securities, the rate at period end.
(b) Security or a portion of the security was sold in a reverse repurchase transaction and pledged for the benefit of a counterparty as collateral to secure the future obligations of the Fund to repurchase the securities at an agreed-upon date and price within 7 days of period end. At period end, the value of securities pledged by the Fund for reverse repurchase transactions was $153,909,569 and the principal amount of obligations of the Fund with respect to reverse repurchase transactions was $154,000,000.
(c) Coupon rates for floating and adjustable rate securities reflect the rates in effect at period end.
(d) Private activity obligations whose interest is subject to the federal alternative minimum tax for individuals.
(e) Represents a forward settling transaction and therefore no collateral securities had been allocated as of period end. The agreement contemplated the delivery of U.S. Treasury Obligations as collateral on settlement date.
Investment Valuation
All investments are categorized as Level 2 under the Fair Value Hierarchy. 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 please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.
Other Information
# Additional information on each counterparty to the repurchase agreement is as follows:
| Repurchase Agreement / Counterparty | Value |
| $50,461,000 due 5/01/17 at 0.80% | |
| Credit Agricole CIB New York Branch | $7,011,064 |
| HSBC Securities (USA), Inc. | 33,190,502 |
| Merrill Lynch, Pierce, Fenner & Smith, Inc. | 4,392,379 |
| Wells Fargo Securities LLC | 5,867,055 |
| $50,461,000 | |
| $7,444,145,000 due 5/01/17 at 0.82% | |
| BNP Paribas, S.A. | 472,458,934 |
| BNY Mellon Capital Markets LLC | 8,653,094 |
| Bank of America NA | 1,419,107,422 |
| Bank of Nova Scotia | 259,592,821 |
| Citibank NA | 416,386,885 |
| Credit Agricole CIB New York Branch | 450,653,137 |
| Credit Suisse Securities (USA) LLC | 881,923,344 |
| HSBC Securities (USA), Inc. | 374,221,050 |
| ING Financial Markets LLC | 104,875,500 |
| J.P. Morgan Securities, Inc. | 914,458,978 |
| Merrill Lynch, Pierce, Fenner & Smith, Inc. | 203,866,895 |
| Mizuho Securities USA, Inc. | 686,709,543 |
| RBC Dominion Securities, Inc. | 231,902,920 |
| Societe Generale | 259,592,821 |
| Wells Fargo Securities LLC | 759,741,656 |
| $7,444,145,000 |
See accompanying notes which are an integral part of the financial statements.
Financial Statements
Statement of Assets and Liabilities
| April 30, 2017 | ||
| Assets | ||
| Investment in securities, at value (including repurchase agreements of $35,078,483,000) — See accompanying schedule: Unaffiliated issuers (cost $85,198,791,246) | $85,198,791,246 | |
| Receivable for investments sold | 603,098,892 | |
| Receivable for fund shares sold | 1,231,429,253 | |
| Interest receivable | 42,068,627 | |
| Prepaid expenses | 36,451 | |
| Receivable from investment adviser for expense reductions | 469,431 | |
| Other receivables | 425,760 | |
| Total assets | 87,076,319,660 | |
| Liabilities | ||
| Payable to custodian bank | $182,269 | |
| Payable for investments purchased | 1,243,818,624 | |
| Payable for fund shares redeemed | 1,139,111,150 | |
| Distributions payable | 2,213,684 | |
| Accrued management fee | 17,769,712 | |
| Distribution and service plan fees payable | 4,512,129 | |
| Payable for reverse repurchase agreement | 154,000,000 | |
| Other affiliated payables | 11,625,341 | |
| Other payables and accrued expenses | 4,694,382 | |
| Total liabilities | 2,577,927,291 | |
| Net Assets | $84,498,392,369 | |
| Net Assets consist of: | ||
| Paid in capital | $84,498,534,143 | |
| Distributions in excess of net investment income | (204,986) | |
| Accumulated undistributed net realized gain (loss) on investments | 63,212 | |
| Net Assets | $84,498,392,369 | |
| Capital Reserves Class: | ||
| Net Asset Value, offering price and redemption price per share ($10,328,333,860 ÷ 10,325,308,044 shares) | $1.00 | |
| Daily Money Class: | ||
| Net Asset Value, offering price and redemption price per share ($8,145,306,156 ÷ 8,143,413,633 shares) | $1.00 | |
| Fidelity Government Money Market Fund: | ||
| Net Asset Value, offering price and redemption price per share ($63,580,065,143 ÷ 63,579,943,846 shares) | $1.00 | |
| Premium Class: | ||
| Net Asset Value, offering price and redemption price per share ($2,444,687,210 ÷ 2,444,139,773 shares) | $1.00 |
See accompanying notes which are an integral part of the financial statements.
Statement of Operations
| Year ended April 30, 2017 | ||
| Investment Income | ||
| Interest | $401,401,240 | |
| Expenses | ||
| Management fee | $180,938,871 | |
| Transfer agent fees | 116,983,369 | |
| Distribution and service plan fees | 74,872,764 | |
| Accounting fees and expenses | 2,333,964 | |
| Custodian fees and expenses | 400,923 | |
| Independent trustees' fees and expenses | 291,354 | |
| Registration fees | 10,602,172 | |
| Audit | 56,821 | |
| Legal | 169,400 | |
| Interest | 134,103 | |
| Miscellaneous | 235,096 | |
| Total expenses before reductions | 387,018,837 | |
| Expense reductions | (64,723,504) | 322,295,333 |
| Net investment income (loss) | 79,105,907 | |
| Realized and Unrealized Gain (Loss) | ||
| Net realized gain (loss) on: | ||
| Investment securities: | ||
| Unaffiliated issuers | 306,628 | |
| Total net realized gain (loss) | 306,628 | |
| Net increase in net assets resulting from operations | $79,412,535 |
See accompanying notes which are an integral part of the financial statements.
Statement of Changes in Net Assets
| Year ended April 30, 2017 | Year ended April 30, 2016 | |
| Increase (Decrease) in Net Assets | ||
| Operations | ||
| Net investment income (loss) | $79,105,907 | $3,868,017 |
| Net realized gain (loss) | 306,628 | 141,074 |
| Net increase in net assets resulting from operations | 79,412,535 | 4,009,091 |
| Distributions to shareholders from net investment income | (79,094,652) | (3,864,462) |
| Share transactions - net increase (decrease) | 31,286,810,729 | 36,724,938,290 |
| Total increase (decrease) in net assets | 31,287,128,612 | 36,725,082,919 |
| Net Assets | ||
| Beginning of period | 53,211,263,757 | 16,486,180,838 |
| End of period | $84,498,392,369 | $53,211,263,757 |
| Other Information | ||
| Distributions in excess of net investment income end of period | $(204,986) | $(296,477) |
See accompanying notes which are an integral part of the financial statements.
Financial Highlights — Fidelity Government Money Market Fund Capital Reserves Class
| Years ended April 30, | 2017 | 2016 | 2015 A |
| Selected Per–Share Data | |||
| Net asset value, beginning of period | $1.00 | $1.00 | $1.00 |
| Income from Investment Operations | |||
| Net investment income (loss)B | – | – | – |
| Net realized and unrealized gain (loss)B | – | – | – |
| Total from investment operationsB | – | – | – |
| Distributions from net investment incomeB | – | – | – |
| Total distributionsB | – | – | – |
| Net asset value, end of period | $1.00 | $1.00 | $1.00 |
| Total ReturnC,D | .01% | .01% | -% |
| Ratios to Average Net AssetsE | |||
| Expenses before reductions | .97% | .99% | .99%F |
| Expenses net of fee waivers, if any | .53% | .32% | .13%F |
| Expenses net of all reductions | .53% | .32% | .13%F |
| Net investment income (loss) | .02% | .01% | .01%F |
| Supplemental Data | |||
| Net assets, end of period (000 omitted) | $10,328,334 | $10,396,942 | $15,827 |
A For the period April 6, 2015 (commencement of sale of shares) to April 30, 2015.
B Amount represents less than $.0005 per share.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
E Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed or waived or reductions from expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements, waivers or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement and waivers but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
F Annualized
See accompanying notes which are an integral part of the financial statements.
Financial Highlights — Fidelity Government Money Market Fund Daily Money Class
| Years ended April 30, | 2017 | 2016 | 2015 A |
| Selected Per–Share Data | |||
| Net asset value, beginning of period | $1.00 | $1.00 | $1.00 |
| Income from Investment Operations | |||
| Net investment income (loss)B | – | – | – |
| Net realized and unrealized gain (loss)B | – | – | – |
| Total from investment operationsB | – | – | – |
| Distributions from net investment incomeB | – | – | – |
| Total distributionsB | – | – | – |
| Net asset value, end of period | $1.00 | $1.00 | $1.00 |
| Total ReturnC,D | .02% | .01% | -% |
| Ratios to Average Net AssetsE | |||
| Expenses before reductions | .72% | .74% | .74%F |
| Expenses net of fee waivers, if any | .52% | .32% | .13%F |
| Expenses net of all reductions | .52% | .32% | .13%F |
| Net investment income (loss) | .03% | .01% | .01%F |
| Supplemental Data | |||
| Net assets, end of period (000 omitted) | $8,145,306 | $8,838,747 | $8,449 |
A For the period April 6, 2015 (commencement of sale of shares) to April 30, 2015.
B Amount represents less than $.0005 per share.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
E Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed or waived or reductions from expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements, waivers or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement and waivers but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
F Annualized
See accompanying notes which are an integral part of the financial statements.
See accompanying notes which are an integral part of the financial statements.
Financial Highlights — Fidelity Government Money Market Fund
| Years ended April 30, | 2017 | 2016 | 2015 | 2014 | 2013 |
| Selected Per–Share Data | |||||
| Net asset value, beginning of period | $1.00 | $1.00 | $1.00 | $1.00 | $1.00 |
| Income from Investment Operations | |||||
| Net investment income (loss) | .001 | –A | –A | –A | –A |
| Net realized and unrealized gain (loss)A | – | – | – | – | – |
| Total from investment operations | .001 | –A | –A | –A | –A |
| Distributions from net investment income | (.001) | –A | –A | –A | –A |
| Total distributions | (.001) | –A | –A | –A | –A |
| Net asset value, end of period | $1.00 | $1.00 | $1.00 | $1.00 | $1.00 |
| Total ReturnB | .12% | .01% | .01% | .01% | .01% |
| Ratios to Average Net AssetsC | |||||
| Expenses before reductions | .42% | .42% | .42% | .42% | .42% |
| Expenses net of fee waivers, if any | .42% | .26% | .11% | .11% | .19% |
| Expenses net of all reductions | .42% | .26% | .11% | .11% | .19% |
| Net investment income (loss) | .14% | .01% | .01% | .01% | .01% |
| Supplemental Data | |||||
| Net assets, end of period (000 omitted) | $63,580,065 | $31,943,681 | $16,461,419 | $15,286,372 | $10,919,067 |
A Amount represents less than $.0005 per share.
B Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
C Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed or waived or reductions from expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements, waivers or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement and waivers but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
See accompanying notes which are an integral part of the financial statements.
Financial Highlights — Fidelity Government Money Market Fund Premium Class
| Years ended April 30, | 2017 | 2016 | 2015 A |
| Selected Per–Share Data | |||
| Net asset value, beginning of period | $1.00 | $1.00 | $1.00 |
| Income from Investment Operations | |||
| Net investment income (loss) | .002 | –B | –B |
| Net realized and unrealized gain (loss)B | – | – | – |
| Total from investment operations | .002 | –B | –B |
| Distributions from net investment income | (.002) | –B | –B |
| Total distributions | (.002) | –B | –B |
| Net asset value, end of period | $1.00 | $1.00 | $1.00 |
| Total ReturnC,D | .22% | .03% | -% |
| Ratios to Average Net AssetsE | |||
| Expenses before reductions | .37% | .38% | .37%F |
| Expenses net of fee waivers, if any | .32% | .29% | .14%F |
| Expenses net of all reductions | .32% | .29% | .14%F |
| Net investment income (loss) | .24% | .07% | .02%F |
| Supplemental Data | |||
| Net assets, end of period (000 omitted) | $2,444,687 | $2,031,894 | $486 |
A For the period April 6, 2015 (commencement of sale of shares) to April 30, 2015.
B Amount represents less than $.0005 per share.
C Total returns for periods of less than one year are not annualized.
D Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.
E Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed or waived or reductions from expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements, waivers or reductions occur. Expenses net of fee waivers reflect expenses after reimbursement and waivers but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.
F Annualized
See accompanying notes which are an integral part of the financial statements.
Notes to Financial Statements
For the period ended April 30, 2017
1. Organization.
Fidelity Government Money Market Fund (the Fund) is a fund of Fidelity Hereford Street Trust (the Trust) and is authorized to issue an unlimited number of shares. The Trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Delaware statutory trust. The Fund offers Capital Reserves class, Daily Money Class, Fidelity Government Money Market Fund and Premium Class shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class.
2. 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. 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)
As permitted by compliance with certain conditions under Rule 2a-7 of the 1940 Act, securities are valued at amortized cost, which approximates fair value. The amortized cost of an instrument is determined by valuing it at its original cost and thereafter amortizing any discount or premium from its face value at a constant rate until maturity. Securities held by a money market fund are generally high quality and liquid; however, they are reflected as Level 2 because the inputs used to determine fair value are not quoted prices in an active market.
Investment Transactions and Income. The net asset value 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. Security transactions are accounted for as of trade date. Gains and losses on securities sold are determined on the basis of identified cost. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable.
Class Allocations and Expenses. Investment income, realized and unrealized capital gains and losses, common expenses of the Fund, and certain fund-level expense reductions, if any, are allocated daily on a pro-rata basis to each class based on the relative net assets of each class to the total net assets of the Fund. Each class differs with respect to transfer agent and distribution and service plan fees incurred. Certain expense reductions may also differ by class. For the reporting period, the allocated portion of income and expenses to each class as a percent of its average net assets may vary due to the timing of recording these transactions in relation to fluctuating net assets of the classes. Expenses directly attributable to a fund are charged to that fund. Expenses attributable to more than one fund are allocated among the respective funds on the basis of relative net assets or other appropriate methods. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.
Deferred Trustee Compensation. Under a Deferred Compensation Plan (the Plan), independent Trustees may elect to defer receipt of a portion of their annual compensation. Deferred amounts are invested in a cross-section of Fidelity funds, are marked-to-market and remain in the Fund until distributed in accordance with the Plan. The investment of deferred amounts and the offsetting payable to the Trustees are included in the accompanying Statement of Assets and Liabilities.
Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code, including distributing substantially all of its taxable income and realized gains. As a result, no provision for U.S. Federal income taxes is required. As of April 30, 2017, 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.
Dividends 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 dividends and capital gain distributions are declared separately for each class. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP. In addition, the Fund claimed a portion of the payment made to redeeming shareholders as a distribution for income tax purposes.
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 deferred trustees compensation and losses deferred due to wash sales.
The federal tax cost of investment securities and unrealized appreciation (depreciation) as of period end were as follows:
| Gross unrealized appreciation | $– |
| Gross unrealized depreciation | – |
| Net unrealized appreciation (depreciation) on securities | $– |
| Tax Cost | $85,198,791,246 |
The tax-based components of distributable earnings as of period end were as follows:
| Undistributed ordinary income | $344,168 |
The tax character of distributions paid was as follows:
| April 30, 2017 | April 30, 2016 | |
| Ordinary Income | $79,094,652 | $ 3,864,462 |
Repurchase Agreements. Pursuant to an Exemptive Order issued by the Securities and Exchange Commission (the SEC), the Fund along with other registered investment companies having management contracts with Fidelity Management & Research Company (FMR), or other affiliated entities of FMR, are permitted to transfer uninvested cash balances into joint trading accounts which are then invested in repurchase agreements. The Fund may also invest directly with institutions in repurchase agreements. Repurchase agreements may be collateralized by government or non-government securities. Upon settlement date, collateral is held in segregated accounts with custodian banks and may be obtained in the event of a default of the counterparty. The Fund monitors, on a daily basis, the value of the collateral to ensure it is at least equal to the principal amount of the repurchase agreement (including accrued interest). In the event of a default by the counterparty, realization of the collateral proceeds could be delayed, during which time the value of the collateral may decline.
Reverse Repurchase Agreements. To enhance its yield, the Fund may enter into reverse repurchase transactions under master repurchase agreements whereby the Fund sells securities to a counterparty in return for cash and agrees to repurchase those securities at a future date and agreed upon price. During the period that reverse repurchase transactions are outstanding, the Fund identifies the securities as pledged in its records with an initial value at least equal to its principal obligation under the agreement. The cash proceeds received by the Fund may be invested in other securities. To the extent cash proceeds received from the counterparty exceed the value of the securities sold, the counterparty may request additional collateral from the Fund. If the counterparty defaults on its obligation, because of insolvency or other reasons, the Fund could experience delays and costs in recovering the securities sold. Information regarding securities sold under a reverse repurchase agreement is included at the end of the Fund's Schedule of Investments and the cash proceeds are recorded as a liability in the accompanying Statement of Assets and Liabilities. The Fund continues to receive interest and dividend payments on the securities sold during the term of the reverse repurchase agreement. During the period, the average principal balance of reverse repurchase transactions was $106,547,744 and the weighted average interest rate was .20% with payments included in the Statement of Operations as a component of interest expense.
3. Fees and Other Transactions with Affiliates.
Management Fee and Expense Contract. 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 that is based on an annual rate of .25% of the Fund's average net assets. Under the expense contract, total expenses of Fidelity Government Money Market Fund are limited to an annual rate of .42% of the class' average net assets, with certain exceptions.
Distribution and Service Plan Fees. In accordance with Rule 12b-1 of the 1940 Act, the Fund has adopted separate Distribution and Service Plans for each class of shares. Certain classes pay Fidelity Distributors Corporation (FDC), an affiliate of the investment adviser, separate Distribution and Service Fees, each of which is based on an annual percentage of each class' average net assets. In addition, FDC may pay financial intermediaries for selling shares of the Fund and providing shareholder support services. For the period, the Distribution and Service Fee rates, total fees and amounts retained by FDC were as follows:
| Distribution Fee | Service Fee | Total Fees | Retained by FDC | |
| Capital Reserves Class | .25% | .25% | $53,727,386 | $9,007,725 |
| Daily Money Class | -% | .25% | 21,145,378 | 5,358,351 |
| $74,872,764 | $14,366,076 |
During the period, the investment adviser or its affiliates waived a portion of these fees.
Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc. (FIIOC), an affiliate of the investment adviser, is the transfer, dividend disbursing and shareholder servicing agent for each class of the Fund. FIIOC receives asset-based fees with respect to each account. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements. Each class pays a transfer agent fee equal to an annual rate of .20% of class-level average net assets, with the exception of Premium Class which pays .10% of class-level average net assets.
Under the expense contract, Fidelity Government Money Market Fund will pay a portion of the transfer agent fee at an annual rate of up to .17% of class-level average net assets.
For the period, transfer agent fees for each class were as follows:
| Amount | % of Class-Level Average Net Assets | |
| Capital Reserves Class | $21,490,954 | .20 |
| Daily Money Class | 16,916,302 | .20 |
| Fidelity Government Money Market Fund | 76,228,240 | .15 |
| Premium Class | 2,347,873 | .10 |
| $116,983,369 |
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.
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.
Other. During the period, the investment adviser reimbursed the Fund for certain losses in the amount of $5,904.
4. Expense Reductions.
The investment adviser contractually agreed to reimburse each class to the extent annual operating expenses exceeded certain levels of average net assets as noted in the table below. This reimbursement will remain in place through June 30, 2019. Some expenses, for example interest expense, are excluded from this reimbursement.
The following classes were in reimbursement during the period:
| Expense Limitations | Reimbursement | |
| Capital Reserves Class | .95% | $2,110,190 |
| Daily Money Class | .70% | 1,670,527 |
| Premium Class | .32% | 1,170,217 |
| $4,950,934 |
Additionally, the investment adviser or its affiliates voluntarily agreed to waive certain fees in order to maintain a minimum annualized yield of .01%. Such arrangements may be discontinued by the investment adviser at any time. For the period, the amount of the waiver for each class was as follows:
| Capital Reserves Class | $44,941,550 |
| Daily Money Class | 14,831,020 |
5. Distributions to Shareholders.
Distributions to shareholders of each class were as follows:
| Year ended April 30, 2017 | Year ended April 30, 2016 | |
| From net investment income | ||
| Capital Reserves Class | $1,072,543 | $520,660 |
| Daily Money Class | 1,397,719 | 459,794 |
| Fidelity Government Money Market Fund | 71,357,162 | 2,367,943 |
| Premium Class | 5,267,228 | 516,065 |
| Total | $79,094,652 | $3,864,462 |
6. Share Transactions.
Share transactions for each class of shares at a $1.00 per share were as follows and may contain automatic conversions between classes or exchanges between affiliated funds:
| Year ended April 30, 2017 | Year ended April 30, 2016 | |
| Capital Reserves Class | ||
| Shares sold | 36,376,796,508 | 21,608,185,480 |
| Issued in exchange for the shares of Government Fund | – | 44,192,928 |
| Issued in exchange for the shares of Prime Fund | – | 8,541,101,140 |
| Reinvestment of distributions | 717,154 | 346,460 |
| Shares redeemed | (36,446,184,849) | (19,815,673,327) |
| Net increase (decrease) | (68,671,187) | 10,378,152,681 |
| Daily Money Class | ||
| Shares sold | 25,983,021,762 | 16,471,332,640 |
| Issued in exchange for the shares of Government Fund | – | 4,146,094 |
| Issued in exchange for the shares of Prime Fund | – | 7,040,299,398 |
| Reinvestment of distributions | 982,341 | 374,414 |
| Shares redeemed | (26,677,357,755) | (14,687,834,474) |
| Net increase (decrease) | (693,353,652) | 8,828,318,072 |
| Fidelity Government Money Market Fund | ||
| Shares sold | 200,986,755,072 | 74,240,857,581 |
| Reinvestment of distributions | 63,603,777 | 2,163,486 |
| Shares redeemed | (169,414,190,166) | (58,760,409,566) |
| Net increase (decrease) | 31,636,168,683 | 15,482,611,501 |
| Premium Class | ||
| Shares sold | 1,993,603,359 | 445,022,187 |
| Issued in exchange for the shares of U.S. Government Reserves Fund | – | 1,923,700,720 |
| Reinvestment of distributions | 5,156,244 | 516,065 |
| Shares redeemed | (1,586,092,718) | (338,252,085) |
| Net increase (decrease) | 412,666,885 | 2,030,986,887 |
7. 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.
8. Prior Fiscal Year Merger Information.
On May 15, 2015, the Fund acquired all of the assets and assumed all of the liabilities of Government Fund pursuant to an Agreement and Plan of Reorganization approved by the Board of Trustees ("The Board"). The acquisition was accomplished by an exchange of the corresponding classes of shares of the Fund for each class of Government Fund at a net asset value of $1.00 on the acquisition date. The reorganization provides shareholders of Government Fund access to a larger portfolio with a similar investment objective. The reorganization qualified as a tax-free reorganization for federal income tax purposes with no gain or loss recognized to the funds or their shareholders. Government Fund's net assets of $48,338,877, including securities of $48,366,096 were combined with the Fund's net assets of $16,623,004,431 for total net assets after the acquisition of $16,671,343,308.
On November 13, 2015, the Fund acquired all of the assets and assumed all of the liabilities of Prime Fund pursuant to an Agreement and Plan of Reorganization approved by the Board of Trustees ("The Board"). The acquisition was accomplished by an exchange of the corresponding classes of shares of the Fund for each class of Prime Fund at a net asset value of $1.00 on the acquisition date. The reorganization provides shareholders of Prime Fund access to a larger portfolio with a similar investment objective. The reorganization qualified as a tax-free reorganization for federal income tax purposes with no gain or loss recognized to the funds or their shareholders. Prime Fund's net assets of $15,585,833,694 including securities of $15,609,871,528 were combined with the Fund's net assets of $22,216,226,740 for total net assets after the acquisition of $37,802,060,434.
On November 20, 2015, the Fund acquired all of the assets and assumed all of the liabilities of Fidelity U.S. Government Reserves Fund pursuant to an Agreement and Plan of Reorganization approved by the Board of Trustees ("The Board"). The acquisition was accomplished by an exchange of shares of Premium class of the Fund for corresponding shares then outstanding of Fidelity U.S. Government Reserves at a net asset value of $1.00 on the acquisition date. The reorganization provides shareholders of Fidelity U.S. Government Reserves Fund access to a larger portfolio with a similar investment objective. The reorganization qualified as a tax-free reorganization for federal income tax purposes with no gain or loss recognized to the funds or their shareholders. Fidelity U.S. Government Reserve Fund's net assets of $1,924,136,849, including securities of $1,924,056,405 were combined with the Fund's net assets of $39,668,226,088 for total net assets after the acquisition of $41,592,362,937.
Pro forma results of operations of the combined entity for the entire period ended April 30, 2016, as though the acquisitions had occurred as of the beginning of the year (rather than on the actual acquisition dates), are as follows:
| Net Investment income (loss) | $4,844,476 |
| Total net realized gain (loss) | 197,853 |
| Total change in net unrealized appreciation (depreciation) | – |
| Net increase (decrease) in net assets resulting from operations | $5,042,329 |
Because the combined investment portfolios have been managed as a single portfolio since the acquisitions were completed, it is not practicable to separate the amounts of revenue and earnings of the acquired funds that have been included in the Fund's accompanying Statement of Operations since May 15, 2015, November 13, 2015 and November 20, 2015.
Report of Independent Registered Public Accounting Firm
To the Trustees of Fidelity Hereford Street Trust and Shareholders of Fidelity Government Money Market Fund:
In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Fidelity Government Money Market Fund (a fund of Fidelity Hereford Street Trust) as of April 30, 2017, 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 then ended and the financial highlights for each of the periods indicated, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fidelity Government Money Market Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of April 30, 2017 by correspondence with the custodian 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
June 13, 2017
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. Each of the Trustees oversees 248 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 1-800-544-8544 for Fidelity® Government Money Market Fund or Premium Class, or 1-877-208-0098 for Capital Reserves Class or Daily Money Class.
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. Abigail P. Johnson 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. Marie L. Knowles 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 investment-grade bond, money market, asset allocation and certain equity funds, and other Boards oversee Fidelity's high income, sector and other equity funds. The asset allocation funds may invest in Fidelity® funds that are overseen by such other Boards. 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 and Audit Committees. In addition, an ad hoc Board committee of Independent Trustees has worked with FMR 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. The Operations Committee also worked and continues to work with FMR to enhance the stress tests required under SEC regulations for money market funds. 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+
Abigail P. Johnson (1961)
Year of Election or Appointment: 2009
Trustee
Chairman of the Board of Trustees
Ms. Johnson also serves as Trustee of other Fidelity® funds. Ms. Johnson serves as Chairman (2016-present), Chief Executive Officer (2014-present), and Director (2007-present) of FMR LLC (diversified financial services company), President of Fidelity Financial Services (2012-present) and President of Personal, Workplace and Institutional Services (2005-present). Ms. Johnson is Chairman and Director of FMR Co., Inc. (investment adviser firm, 2011-present) and Chairman and Director of FMR (investment adviser firm, 2011-present). Previously, Ms. Johnson served as Vice Chairman (2007-2016) and President (2013-2016) of FMR LLC, President and a Director of FMR (2001-2005), a Trustee of other investment companies advised by FMR, Fidelity Investments Money Management, Inc. (investment adviser firm), and FMR Co., Inc. (2001-2005), Senior Vice President of the Fidelity® funds (2001-2005), and managed a number of Fidelity® funds. Ms. Abigail P. Johnson and Mr. Arthur E. Johnson are not related.
Jennifer Toolin McAuliffe (1959)
Year of Election or Appointment: 2016
Trustee
Ms. McAuliffe also serves as Trustee of other Fidelity® funds. Ms. McAuliffe previously served as a Member of the Advisory Board of certain Fidelity® funds (2016) and as Co-Head of Fixed Income of Fidelity Investments Limited (now known as FIL Limited (FIL)) (diversified financial services company). Earlier roles at FIL included Director of Research for FIL’s credit and quantitative teams in London, Hong Kong and Tokyo. Ms. McAuliffe also was the Director of Research for taxable and municipal bonds at Fidelity Investments Money Management, Inc. Ms. McAuliffe is also a director or trustee of several not-for-profit entities.
* 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+
Elizabeth S. Acton (1951)
Year of Election or Appointment: 2013
Trustee
Ms. Acton also serves as Trustee of other Fidelity® funds. Prior to her retirement in April 2012, Ms. Acton was Executive Vice President, Finance (2011-2012), Executive Vice President, Chief Financial Officer (2002-2011), and Treasurer (2004-2005) of Comerica Incorporated (financial services). Prior to joining Comerica, Ms. Acton held a variety of positions at Ford Motor Company (1983-2002), including Vice President and Treasurer (2000-2002) and Executive Vice President and Chief Financial Officer of Ford Motor Credit Company (1998-2000). Ms. Acton currently serves as a member of the Board of Directors and Audit and Finance Committees of Beazer Homes USA, Inc. (homebuilding, 2012-present). Previously, Ms. Acton served as a Member of the Advisory Board of certain Fidelity® funds (2013-2016).
John Engler (1948)
Year of Election or Appointment: 2014
Trustee
Mr. Engler also serves as Trustee of other Fidelity® funds. He serves on the board of directors for Universal Forest Products (manufacturer and distributor of wood and wood-alternative products, 2003-present) and K12 Inc. (technology-based education company, 2012-present). Previously, Mr. Engler served as a Member of the Advisory Board of certain Fidelity® funds (2014-2016), president of the Business Roundtable (2011-2017), a trustee of The Munder Funds (2003-2014), president and CEO of the National Association of Manufacturers (2004-2011), member of the Board of Trustees of the Annie E. Casey Foundation (2004-2015), and as governor of Michigan (1991-2003). He is a past chairman of the National Governors Association.
Albert R. Gamper, Jr. (1942)
Year of Election or Appointment: 2006
Trustee
Mr. Gamper also serves as Trustee of other Fidelity® funds. Prior to his retirement in December 2004, Mr. Gamper served as Chairman of the Board of CIT Group Inc. (commercial finance). During his tenure with CIT Group Inc. Mr. Gamper served in numerous senior management positions, including Chairman (1987-1989; 1999-2001; 2002-2004), Chief Executive Officer (1987-2004), and President (2002-2003). Mr. Gamper currently serves as a member of the Board of Directors of Public Service Enterprise Group (utilities, 2000-present), and Member of the Board of Trustees of Barnabas Health Care System (1997-present). Previously, Mr. Gamper served as Chairman (2012-2015) and Vice Chairman (2011-2012) of the Independent Trustees of certain Fidelity® funds and as Chairman of the Board of Governors, Rutgers University (2004-2007).
Robert F. Gartland (1951)
Year of Election or Appointment: 2010
Trustee
Mr. Gartland also serves as Trustee of other Fidelity® funds. Mr. Gartland is Chairman and an investor in Gartland & Mellina Group Corp. (consulting, 2009-present). Previously, Mr. Gartland served as a partner and investor of Vietnam Partners LLC (investments and consulting, 2008-2011). Prior to his retirement, Mr. Gartland held a variety of positions at Morgan Stanley (financial services, 1979-2007) including Managing Director (1987-2007).
Arthur E. Johnson (1947)
Year of Election or Appointment: 2008
Trustee
Vice Chairman of the Independent Trustees
Mr. Johnson also serves as Trustee of other Fidelity® funds. Mr. Johnson serves as a member of the Board of Directors of Eaton Corporation plc (diversified power management, 2009-present) and Booz Allen Hamilton (management consulting, 2011-present). Prior to his retirement, Mr. Johnson served as Senior Vice President of Corporate Strategic Development of Lockheed Martin Corporation (defense contractor, 1999-2009). He previously served on the Board of Directors of IKON Office Solutions, Inc. (1999-2008), AGL Resources, Inc. (holding company, 2002-2016), and Delta Airlines (2005-2007). Mr. Arthur E. Johnson is not related to Ms. Abigail P. Johnson.
Michael E. Kenneally (1954)
Year of Election or Appointment: 2009
Trustee
Mr. Kenneally also serves as Trustee of other Fidelity® funds. Prior to his retirement, Mr. Kenneally served as Chairman and Global Chief Executive Officer of Credit Suisse Asset Management. Before joining Credit Suisse, he was an Executive Vice President and Chief Investment Officer for Bank of America Corporation. Earlier roles at Bank of America included Director of Research, Senior Portfolio Manager and Research Analyst, and Mr. Kenneally was awarded the Chartered Financial Analyst (CFA) designation in 1991.
Marie L. Knowles (1946)
Year of Election or Appointment: 2001
Trustee
Chairman of the Independent Trustees
Ms. Knowles also serves as Trustee of other Fidelity® funds. Prior to Ms. Knowles' retirement in June 2000, she served as Executive Vice President and Chief Financial Officer of Atlantic Richfield Company (ARCO) (diversified energy, 1996-2000). From 1993 to 1996, she was a Senior Vice President of ARCO and President of ARCO Transportation Company (pipeline and tanker operations). Ms. Knowles currently serves as a Director and Chairman of the Audit Committee of McKesson Corporation (healthcare service, since 2002). Ms. Knowles is a member of the Board of the Santa Catalina Island Company (real estate, 2009-present). Ms. Knowles is a Member of the Investment Company Institute Board of Governors and a Member of the Governing Council of the Independent Directors Council (2014-present). She also serves as a member of the Advisory Board for the School of Engineering of the University of Southern California. Previously, Ms. Knowles served as a Director of Phelps Dodge Corporation (copper mining and manufacturing, 1994-2007), URS Corporation (engineering and construction, 2000-2003) and America West (airline, 1999-2002). Ms. Knowles previously served as Vice Chairman of the Independent Trustees of certain Fidelity® funds (2012-2015).
Mark A. Murray (1954)
Year of Election or Appointment: 2016
Trustee
Mr. Murray also serves as Trustee of other Fidelity® funds. Mr. Murray is Vice Chairman (2013-present) of Meijer, Inc. (regional retail chain). Previously, Mr. Murray served as a Member of the Advisory Board of certain Fidelity® funds (2016) and as Co-Chief Executive Officer (2013-2016) and President (2006-2013) of Meijer, Inc. Mr. Murray serves as a member of the Board of Directors and Nuclear Review and Public Policy and Responsibility Committees of DTE Energy Company (diversified energy company, 2009-present). Mr. Murray also serves as a member of the Board of Directors of Spectrum Health (not-for-profit health system, 2015-present). Mr. Murray previously served as President of Grand Valley State University (2001-2006), Treasurer for the State of Michigan (1999-2001), Vice President of Finance and Administration for Michigan State University (1998-1999), and a member of the Board of Directors and Audit Committee and Chairman of the Nominating and Corporate Governance Committee of Universal Forest Products, Inc. (manufacturer and distributor of wood and wood-alternative products, 2004-2016). Mr. Murray is also a director or trustee of many community and professional organizations.
+ 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 an officer may be sent to Fidelity Investments, 245 Summer Street, Boston, Massachusetts 02210. Officers appear below in alphabetical order.
Name, Year of Birth; Principal Occupation
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.
Marc R. Bryant (1966)
Year of Election or Appointment: 2015
Secretary and Chief Legal Officer (CLO)
Mr. Bryant also serves as Secretary and CLO of other funds. Mr. Bryant serves as CLO, Secretary, and Senior Vice President of Fidelity Management & Research Company (investment adviser firm, 2015-present) and FMR Co., Inc. (investment adviser firm, 2015-present); Secretary of Fidelity SelectCo, LLC (investment adviser firm, 2015-present) and Fidelity Investments Money Management, Inc. (investment adviser firm, 2015-present); and CLO of Fidelity Management & Research (Hong Kong) Limited and FMR Investment Management (UK) Limited (investment adviser firms, 2015-present) and Fidelity Management & Research (Japan) Limited (investment adviser firm, 2016-present). He is Senior Vice President and Deputy General Counsel of FMR LLC (diversified financial services company). Previously, Mr. Bryant served as Secretary and CLO of Fidelity Rutland Square Trust II (2010-2014) and Assistant Secretary of Fidelity's Fixed Income and Asset Allocation Funds (2013-2015). Prior to joining Fidelity Investments, Mr. Bryant served as a Senior Vice President and the Head of Global Retail Legal for AllianceBernstein L.P. (2006-2010), and as the General Counsel for ProFund Advisors LLC (2001-2006).
Jeffrey S. Christian (1961)
Year of Election or Appointment: 2016
Assistant Treasurer
Mr. Christian also serves as Assistant Treasurer of other funds. Mr. Christian is an employee of Fidelity Investments (2003-present).
Jonathan Davis (1968)
Year of Election or Appointment: 2010
Assistant Treasurer
Mr. Davis also serves as Assistant Treasurer of other funds, 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: 2010
Assistant Treasurer
Mr. Deberghes also serves as an officer of other funds. He serves as Executive Vice President of Fidelity Investments Money Management, Inc. (FIMM) (investment adviser firm, 2016-present) and is an employee of Fidelity Investments (2008-present). 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.
Stephanie J. Dorsey (1969)
Year of Election or Appointment: 2013
President and Treasurer
Ms. Dorsey also serves as an officer of other funds. She is an employee of Fidelity Investments (2008-present) and has served in other fund officer roles. Prior to joining Fidelity Investments, Ms. Dorsey served as Treasurer (2004-2008) of the JPMorgan Mutual Funds and Vice President (2004-2008) of JPMorgan Chase Bank.
Howard J. Galligan III (1966)
Year of Election or Appointment: 2014
Chief Financial Officer
Mr. Galligan also serves as Chief Financial Officer of other funds. Mr. Galligan serves as President of Fidelity Pricing and Cash Management Services (FPCMS) (2014-present) and as a Director of Strategic Advisers, Inc. (investment adviser firm, 2008-present). Previously, Mr. Galligan served as Chief Administrative Officer of Asset Management (2011-2014) and Chief Operating Officer and Senior Vice President of Investment Support for Strategic Advisers, Inc. (2003-2011).
Scott C. Goebel (1968)
Year of Election or Appointment: 2015
Vice President
Mr. Goebel serves as Vice President of other funds and is an employee of Fidelity Investments (2001-present). Previously, Mr. Goebel served as Senior Vice President of Fidelity Management & Research Company (FMR) (investment adviser firm, 2016), Secretary of Fidelity SelectCo, LLC (investment adviser firm, 2013-2015), Fidelity Investments Money Management, Inc. (FIMM) (investment adviser firm, 2010-2015), and Fidelity Research and Analysis Company (FRAC) (investment adviser firm, 2010-2015); General Counsel, Secretary, and Senior Vice President of FMR (investment adviser firm, 2008-2015) and FMR Co., Inc. (investment adviser firm, 2008-2015); Assistant Secretary of Fidelity Management & Research (Japan) Limited (investment adviser firm, 2008-2015) and Fidelity Management & Research (U.K.) Inc. (investment adviser firm, 2008-2015); Chief Legal Officer (CLO) of Fidelity Management & Research (Hong Kong) Limited (investment adviser firm, 2008-2015); Secretary and CLO of certain Fidelity® funds (2008-2015); Assistant Secretary of FIMM (2008-2010), FRAC (2008-2010), and certain funds (2007-2008); and as Vice President and Secretary of Fidelity Distributors Corporation (FDC) (2005-2007).
Colm A. Hogan (1973)
Year of Election or Appointment: 2016
Assistant Treasurer
Mr. Hogan also serves as an officer of other funds. Mr. Hogan is an employee of Fidelity Investments (2005-present).
Timothy Huyck (1964)
Year of Election or Appointment: 2015
Vice President of Fidelity's Money Market Funds
Mr. Huyck also serves as Vice President of other funds. Mr. Huyck serves as Chief Investment Officer of Fidelity's Money Market Funds (2015-present) and is an employee of Fidelity Investments (1990-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 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).
John B. McGinty, Jr. (1962)
Year of Election or Appointment: 2016
Chief Compliance Officer
Mr. McGinty also serves as Chief Compliance Officer of other funds. Mr. McGinty is Senior Vice President of Asset Management Compliance for Fidelity Investments and is an employee of Fidelity Investments (2016-present). Mr. McGinty previously served as Vice President, Senior Attorney at Eaton Vance Management (investment management firm, 2015-2016), and prior to Eaton Vance as global CCO for all firm operations and registered investment companies at GMO LLC (investment management firm, 2009-2015). Before joining GMO LLC, Mr. McGinty served as Senior Vice President, Deputy General Counsel for Fidelity Investments (2007-2009).
Jason P. Pogorelec (1975)
Year of Election or Appointment: 2015
Assistant Secretary
Mr. Pogorelec also serves as Assistant Secretary of other funds. Mr. Pogorelec serves as Vice President, Associate General Counsel (2010-present) and is an employee of Fidelity Investments (2006-present).
Nancy D. Prior (1967)
Year of Election or Appointment: 2014
Vice President
Ms. Prior also serves as Vice President of other funds. Ms. Prior serves as a Director of FMR Investment Management (UK) Limited (investment adviser firm, 2015-present), President (2016-present) and Director (2014-present) of Fidelity Investments Money Management, Inc. (FIMM) (investment adviser firm), President, Fixed Income (2014-present), Vice Chairman of FIAM LLC (investment adviser firm, 2014-present), and is an employee of Fidelity Investments (2002-present). Previously, Ms. Prior served as Vice President of Fidelity's Money Market Funds (2012-2014), President, Money Market and Short Duration Bond Group of Fidelity Management & Research (FMR) (investment adviser firm, 2013-2014), President, Money Market Group of FMR (2011-2013), Managing Director of Research (2009-2011), Senior Vice President and Deputy General Counsel (2007-2009), and Assistant Secretary of certain Fidelity® funds (2008-2009).
Stacie M. Smith (1974)
Year of Election or Appointment: 2013
Assistant Treasurer
Ms. Smith also serves as an officer of other funds. She 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 Deputy Treasurer of certain Fidelity® funds (2013-2016).
Marc L. Spector (1972)
Year of Election or Appointment: 2016
Deputy Treasurer
Mr. Spector also serves as an officer of other funds. Mr. Spector 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).
Renee Stagnone (1975)
Year of Election or Appointment: 2016
Assistant Treasurer
Ms. Stagnone also serves as an officer of other funds. Ms. Stagnone is an employee of Fidelity Investments (1997-present). Previously, Ms. Stagnone served as Deputy Treasurer of certain Fidelity® funds (2013-2016).
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, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.
The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (November 1, 2016 to April 30, 2017).
Actual Expenses
The first line of the accompanying table for each class of the Fund provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line for a class of the Fund under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount.
Hypothetical Example for Comparison Purposes
The second line of the accompanying table for each class of the Fund provides information about hypothetical account values and hypothetical expenses based on a Class' actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class' actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount.
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 November 1, 2016 | Ending Account Value April 30, 2017 | Expenses Paid During Period-B November 1, 2016 to April 30, 2017 | |
| Capital Reserves Class | .61% | |||
| Actual | $1,000.00 | $1,000.00 | $3.02 | |
| Hypothetical-C | $1,000.00 | $1,021.77 | $3.06 | |
| Daily Money Class | .60% | |||
| Actual | $1,000.00 | $1,000.10 | $2.98 | |
| Hypothetical-C | $1,000.00 | $1,021.82 | $3.01 | |
| Fidelity Government Money Market Fund | .42% | |||
| Actual | $1,000.00 | $1,001.00 | $2.08 | |
| Hypothetical-C | $1,000.00 | $1,022.71 | $2.11 | |
| Premium Class | .32% | |||
| Actual | $1,000.00 | $1,001.50 | $1.59 | |
| Hypothetical-C | $1,000.00 | $1,023.21 | $1.61 |
A Annualized expense ratio reflects expenses net of applicable fee waivers.
B Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).
C 5% return per year before expenses
Distributions (Unaudited)
A total of 67.27% 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 $56,726,146 of distributions paid during the period January 1, 2017 to April 30, 2017 as qualifying to be taxed as interest-related dividends for nonresident alien shareholders.
The fund will notify shareholders in January 2018 of amounts for use in preparing 2017 income tax returns.
Corporate Headquarters
245 Summer St.
Boston, MA 02210
www.fidelity.com
SPU-ANN-0617
1.703529.119
Item 2.
Code of Ethics
As of the end of the period, April 30, 2017, Fidelity Hereford Street Trust (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 Elizabeth S. Acton is an audit committee financial expert, as defined in Item 3 of Form N-CSR. Ms. Acton 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 Flex Government Money Market Fund, Fidelity Government Money Market Fund, Fidelity Money Market Fund and Fidelity Treasury Only Money Market Fund (the “Funds”):
Services Billed by PwC
April 30, 2017 FeesA,B
| Audit Fees | Audit-Related Fees | Tax Fees | All Other Fees |
Fidelity Flex Government Money Market Fund | $28,000 | $300 | $2,200 | $100 |
Fidelity Government Money Market Fund | $41,000 | $4,100 | $2,200 | $2,000 |
Fidelity Money Market Fund | $39,000 | $3,900 | $2,200 | $1,900 |
Fidelity Treasury Only Money Market Fund | $38,000 | $3,800 | $2,200 | $1,800 |
April 30, 2016 FeesA,B,C
| Audit Fees | Audit-Related Fees | Tax Fees | All Other Fees |
Fidelity Flex Government Money Market Fund | $- | $- | $- | $- |
Fidelity Government Money Market Fund | $55,000 | $13,400 | $2,200 | $6,400 |
Fidelity Money Market Fund | $46,000 | $4,300 | $2,200 | $2,400 |
Fidelity Treasury Only Money Market Fund | $39,000 | $5,300 | $2,200 | $2,800 |
A Amounts may reflect rounding.
B Fidelity Flex Government Money Market Fund commenced operations on March 8, 2017
C Certain amounts have been reclassified to align with current period presentation.
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 Funds 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 Funds (“Fund Service Providers”):
Services Billed by PwC
| April 30, 2017A,B | April 30, 2016A,B,C |
Audit-Related Fees | $6,090,000 | $5,470,000 |
Tax Fees | $120,000 | $- |
All Other Fees | $- | $- |
A Amounts may reflect rounding.
B May include amounts billed prior to the Fidelity Flex Government Money Market Fund’s commencement of operations.
C Certain amounts have been reclassified to align with current period presentation.
“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 Funds, 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 Funds are as follows:
Billed By | April 30, 2017 A,B | April 30, 2016 A,B,C |
PwC | $8,470,000 | $6,115,000 |
A Amounts may reflect rounding.
B May include amounts billed prior to the Fidelity Flex Government Money Market Fund’s commencement of operations.
C Certain amounts have been reclassified to align with current period presentation.
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 Funds, taking into account representations from PwC, in accordance with Public Company Accounting Oversight Board rules, regarding its independence from the Funds and their 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 on a periodic basis.
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 Funds’ last two fiscal years relating to services provided to (i) the Funds or (ii) any Fund Service Provider that relate directly to the operations and financial reporting of the Funds.
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 trust’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act) provide reasonable assurances that material information relating to the trust is made known to them by the appropriate persons, based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this report.
(a)(ii) There was no change in the trust’s internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act) that occurred during the second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the trust’s internal control over financial reporting.
Item 12.
Exhibits
(a) | (1) | 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 Hereford Street Trust
By: | /s/Stephanie J. Dorsey |
| Stephanie J. Dorsey |
| President and Treasurer |
|
|
Date: | June 27, 2017 |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
By: | /s/Stephanie J. Dorsey |
| Stephanie J. Dorsey |
| President and Treasurer |
|
|
Date: | June 27, 2017 |
By: | /s/Howard J. Galligan III |
| Howard J. Galligan III |
| Chief Financial Officer |
|
|
Date: | June 27, 2017 |