This
example
helps compare the cost of investing in the fund with the cost of investing in
other funds.
Let's say, hypothetically, that the annual return for shares
of the fund is 5% and that the fees and the annual operating expenses for shares
of the fund are exactly as described in the fee table. This example illustrates
the effect of fees and expenses, but is not meant to suggest actual or expected
fees and expenses or returns, all of which may vary. For every $10,000 you
invested, here's how much you would pay in total expenses if you sell all of
your shares at the end of each time period indicated:
1
year |
$ |
0 |
3
years |
$ |
0 |
5
years |
$ |
0 |
10
years |
$ |
0 |
Portfolio
Turnover
The
fund pays transaction costs, such as commissions, when it buys and sells
securities (or "turns over" its portfolio). A higher portfolio turnover rate may
indicate higher transaction costs and may result in higher taxes when fund
shares are held in a taxable account. These costs, which are not reflected in
annual operating expenses or in the example, affect the fund's performance.
During the most recent fiscal year, the fund's portfolio turnover rate
was 202%
of the average value of its portfolio.
Principal
Investment Strategies
- Normally
investing at least 80% of assets in investment-grade debt securities (those of
medium and high quality) of all types and repurchase agreements for those
securities.
- Managing
the fund to have similar overall interest rate risk to the Bloomberg U.S.
Aggregate Bond Index.
- Allocating
assets across different market sectors and maturities.
- Investing
in domestic and foreign issuers.
- Analyzing
the credit quality of the issuer, security-specific features, current and
potential future valuation, and trading opportunities to select
investments.
- Potentially
investing in lower-quality debt securities (those of less than
investment-grade quality, also referred to as high yield debt securities or
junk bonds).
- Engaging
in transactions that have a leveraging effect on the fund, including
investments in derivatives - such as swaps (interest rate, total return, and
credit default), options, and futures contracts - and forward-settling
securities, to adjust the fund's risk exposure.
- Investing
in Fidelity's Central funds (specialized investment vehicles used by
Fidelity®
funds to invest in particular security types or investment disciplines)
consistent with the asset classes discussed above.
Principal
Investment Risks
Interest
rate increases can cause the price of a debt security to decrease.
Foreign
markets can be more volatile than the U.S. market due to increased risks of
adverse issuer, political, regulatory, market, or economic developments and can
perform differently from the U.S. market.
The
ability of an issuer of a debt security to repay principal prior to a security's
maturity can cause greater price volatility if interest rates
change.
The
value of an individual security or particular type of security can be more
volatile than, and can perform differently from, the market as a
whole.
A
decline in the credit quality of an issuer or a provider of credit support or a
maturity-shortening structure for a security can cause the price of a security
to decrease.
Lower-quality
debt securities (those of less than investment-grade quality, also referred to
as high yield debt securities or junk bonds) involve greater risk of default or
price changes due to changes in the credit quality of the issuer. The value of
lower-quality debt securities can be more volatile due to increased sensitivity
to adverse issuer, political, regulatory, market, or economic
developments.
Leverage
can increase market exposure, magnify investment risks, and cause losses to be
realized more quickly.
High
portfolio turnover (more than 100%) may result in increased transaction costs
and potentially higher capital gains or losses. The effects of higher than
normal portfolio turnover may adversely affect the fund's
performance.
An
investment in the fund is not a deposit of a bank and is not insured or
guaranteed by the Federal Deposit Insurance Corporation or any other government
agency. You
could lose money by investing in the fund.
Unlike
individual debt securities, which typically pay principal at maturity, the value
of an investment in the fund will fluctuate.
Performance
The
following information is intended to help you understand the risks of investing
in the fund.
The
information illustrates the changes in the performance of the fund's shares from
year to year and compares the performance of the fund's shares to the
performance of a securities market index over various periods of
time.
The index description appears in the "Additional Index Information" section of
the prospectus.
Past performance (before and after taxes) is not an indication of future
performance.
Visit
www.fidelity.com for
more recent performance information.
Year-by-Year
Returns
|
2013 |
2014 |
2015 |
2016 |
2017 |
2018 |
2019 |
2020 |
2021 |
2022 |
|
-1.97%
|
5.88%
|
-0.24%
|
4.35%
|
4.38%
|
-0.17%
|
9.73%
|
9.91%
|
-0.33%
|
-12.65%
|
During
the periods shown in the chart: |
Returns |
Quarter
ended |
Highest
Quarter Return |
5.94% |
June
30, 2020 |
Lowest
Quarter Return |
-5.57% |
March
31, 2022 |
Year-to-Date
Return |
-0.12% |
September
30, 2023 |
Average
Annual Returns
After-tax
returns are calculated using the historical highest individual federal marginal
income tax rates, but do not reflect the impact of state or local
taxes.
Actual after-tax returns may differ depending on your individual
circumstances.
The after-tax returns shown are not relevant if you hold your shares in a
retirement account or in another tax-deferred arrangement, such as an employee
benefit plan (profit sharing, 401(k), or 403(b)
plan).
Return After Taxes on Distributions and Sale of Fund Shares may be higher than
other returns for the same period due to a tax benefit of realizing a capital
loss upon the sale of fund shares.
For
the periods ended December 31, 2022 |
Past
1
year
|
Past
5
years
|
Past
10
years
|
Fidelity®
Series Investment Grade Bond Fund |
|
|
|
Return
Before Taxes |
-12.65%
|
0.95%
|
1.69%
|
Return
After Taxes on Distributions |
-13.71%
|
-0.45%
|
0.36%
|
Return
After Taxes on Distributions and Sale of Fund
Shares
|
-7.47%
|
0.22%
|
0.76%
|
Bloomberg
U.S. Aggregate Bond Index
(reflects
no deduction for fees, expenses, or taxes) |
-13.01% |
0.02% |
1.06% |
|
|
|
|
Investment
Adviser
Fidelity
Management & Research Company LLC (FMR) (the Adviser) is the fund's manager.
Other investment advisers serve as sub-advisers for the fund.
Portfolio
Manager(s)
Ford
O'Neil (Co-Portfolio Manager) has managed the fund since 2008.
Celso
Munoz (Co-Portfolio Manager) has managed the fund since 2016.
Sean
Corcoran (Co-Portfolio Manager) has managed the fund since 2023.
Purchase
and Sale of Shares
Shares
are offered only to certain other Fidelity®
funds, Fidelity managed 529 plans, and Fidelity managed collective investment
trusts.
The
price to sell one share is its net asset value per share (NAV). Shares will be
sold at the NAV next calculated after an order is received in proper
form.
The
fund is open for business each day the New York Stock Exchange (NYSE) is
open.
There
is no purchase minimum for fund shares.
Tax
Information
Distributions
you receive from the fund are subject to federal income tax and generally will
be taxed as ordinary income or capital gains, and may also be subject to state
or local taxes, unless you are investing through a tax-advantaged retirement
account (in which case you may be taxed later, upon withdrawal of your
investment from such account).
Payments
to Broker-Dealers and Other Financial Intermediaries
The
fund, the Adviser, Fidelity Distributors Company LLC (FDC), and/or their
affiliates may pay intermediaries, which may include banks, broker-dealers,
retirement plan sponsors, administrators, or service-providers (who may be
affiliated with the Adviser or FDC), for the sale of fund shares and related
services. These payments may create a conflict of interest by influencing your
intermediary and your investment professional to recommend the fund over another
investment. Ask your investment professional or visit your intermediary's web
site for more information.
Fund
Basics
Investment
Objective
Fidelity®
Series Investment Grade Bond Fund seeks a high level of current
income.
Principal
Investment Strategies
The
Adviser normally invests at least 80% of the fund's assets in investment-grade
debt securities (those of medium and high quality) of all types and repurchase
agreements for those securities.
The
Adviser uses the Bloomberg U.S. Aggregate Bond Index as a guide in structuring
the fund and selecting its investments. The Adviser manages the fund to have
similar overall interest rate risk to the index.
The
Adviser considers other factors when selecting the fund's investments, including
the credit quality of the issuer, security-specific features, current valuation
relative to alternatives in the market, short-term trading opportunities
resulting from market inefficiencies, and potential future valuation. In
managing the fund's exposure to various risks, including interest rate risk, the
Adviser considers, among other things, the market's overall risk
characteristics, the market's current pricing of those risks, and internal views
of potential future market conditions.
The
Adviser allocates the fund's assets among different market sectors (for example,
corporate, asset-backed, or government securities) and different maturities
based on its view of the relative value of each sector or maturity.
The
Adviser may invest the fund's assets in securities of foreign issuers in
addition to securities of domestic issuers.
The
Adviser may engage in transactions that have a leveraging effect on the fund,
including investments in derivatives, regardless of whether the fund may own the
asset, instrument, or components of the index underlying the derivative, and
forward-settling securities. The Adviser may invest a significant portion of the
fund's assets in these types of investments. If the fund invests a significant
portion of its assets in derivatives, its investment exposure could far exceed
the value of its portfolio securities and its investment performance could be
primarily dependent upon securities it does not own. The fund's derivative
investments may include interest rate swaps, total return swaps, credit default
swaps, options (including options on futures and swaps), and futures contracts
(both long and short positions) on securities, other instruments, and indexes.
Depending on the Adviser's outlook and market conditions, the Adviser may engage
in these transactions to increase or decrease the fund's exposure to changing
security prices, interest rates, credit qualities, or other factors that affect
security values, or to gain or reduce exposure to an asset, instrument, or
index.
The
Adviser may also invest up to 10% of the fund's assets in lower-quality debt
securities (those of less than investment-grade quality, also referred to as
high yield debt securities or junk bonds).
To
earn additional income for the fund, the Adviser may use a trading strategy that
involves selling (or buying) mortgage securities and simultaneously agreeing to
purchase (or sell) mortgage securities on a later date at a set price. This
trading strategy may increase interest rate exposure and result in an increased
portfolio turnover rate which increases transaction costs and may increase
taxable gains.
The
Adviser uses Central funds to help invest the fund's assets. Central funds are
specialized investment vehicles designed to be used by Fidelity® funds.
Fidelity uses them to invest in particular security types or investment
disciplines; for example, rather than buy bonds directly, the fund may invest in
a Central fund that buys bonds. Fidelity does not charge any additional
management fees for Central funds.
If
the Adviser's strategies do not work as intended, the fund may not achieve its
objective.
Description
of Principal Security Types
Debt
securities
are used by issuers to borrow money. The issuer usually pays a fixed, variable,
or floating rate of interest, and must repay the amount borrowed, usually at the
maturity of the security. Some debt securities, such as zero coupon bonds,
do not pay current interest but are sold at a discount from their face
values. Debt securities include corporate bonds, government securities
(including Treasury securities), repurchase agreements, money market securities,
mortgage and other asset-backed securities (including collateralized loan
obligations), loans and loan participations, and other securities believed to
have debt-like characteristics, including hybrids and synthetic
securities.
A
repurchase agreement is
an agreement to buy a security at one price and a simultaneous agreement to sell
it back at an agreed-upon price.
Derivatives
are
investments whose values are tied to an underlying asset, instrument, currency,
or index. Derivatives include futures, options, forwards, and swaps, such
as interest rate swaps (exchanging a floating rate for a fixed rate), total
return swaps (exchanging a floating rate for the total return of an index,
security, or other instrument or investment) and credit default swaps (buying or
selling credit default protection).
Forward-settling
securities
involve a commitment to purchase or sell specific securities when issued, or at
a predetermined price or yield. When a fund does not already own or have the
right to obtain securities equivalent in kind and amount, a commitment to sell
securities is equivalent to a short sale. Payment and delivery take place after
the customary settlement period.
Central
funds are
special types of investment vehicles created by Fidelity for use by
Fidelity®
funds and other advisory clients. Central funds incur certain costs related to
their investment activity (such as custodial fees and expenses), but generally
do not pay additional management fees. The investment results of the portions of
the fund's assets invested in the Central funds will be based upon the
investment results of those funds.
Principal
Investment Risks
Many
factors affect the fund's performance. Developments that disrupt global
economies and financial markets, such as pandemics and epidemics, may magnify
factors that affect a fund's performance. The fund's share price and yield
change daily based on changes in market conditions and interest rates and in
response to other economic, political, or financial developments. The fund's
reaction to these developments will be affected by the types and maturities of
securities in which the fund invests, the financial condition, industry and
economic sector, and geographic location of an issuer, and the fund's level of
investment in the securities of that issuer. Unlike individual debt securities,
which typically pay principal at maturity, the value of an investment in the
fund will fluctuate. When you sell your shares they may be worth more or less
than what you paid for them, which means that you could lose money by investing
in the fund.
The
following factors can significantly affect the fund's performance:
Interest
Rate Changes.
Debt securities, including money market securities, have varying levels of
sensitivity to changes in interest rates. In general, the price of a debt
security can fall when interest rates rise and can rise when interest rates
fall. Securities with longer maturities and certain types of securities, such as
mortgage securities and the securities of issuers in the financial services
sector, can be more sensitive to interest rate changes, meaning the longer the
maturity of a security, the greater the impact a change in interest rates could
have on the security's price. Short-term and long-term interest rates do not
necessarily move in the same amount or the same direction. Short-term securities
tend to react to changes in short-term interest rates, and long-term securities
tend to react to changes in long-term interest rates. Securities with floating
interest rates can be less sensitive to interest rate changes, but may decline
in value if their interest rates do not rise as much as interest rates in
general. Securities whose payment at maturity is based on the movement of all or
part of an index and inflation-protected debt securities may react differently
from other types of debt securities. In market environments where interest rates
are rising, issuers may be less willing or able to make principal and/or
interest payments on securities when due. Although
the transition process away from certain benchmark rates, including London
Interbank Offered Rate (LIBOR)
(an indicative measure of the average interest rate at which major global banks
could borrow from one another), has become increasingly well-defined, any
potential effects of the transition away from LIBOR
and other benchmark rates on financial markets, a fund or the financial
instruments in which a fund invests can be difficult to ascertain and may
adversely impact a fund's performance.
Foreign
Exposure. Foreign
securities and securities issued by U.S. entities with substantial foreign
operations can involve additional risks relating to political, economic, or
regulatory conditions in foreign countries. These risks include fluctuations in
foreign exchange rates; withholding or other taxes; trading, settlement,
custodial, and other operational risks; and the less stringent investor
protection and disclosure standards of some foreign markets. All of these
factors can make foreign investments more volatile and potentially less liquid
than U.S. investments. In addition, foreign markets can perform differently from
the U.S. market.
Global
economies and financial markets are becoming increasingly interconnected, which
increases the possibilities that conditions in one country or region might
adversely impact issuers or providers in, or foreign exchange rates with, a
different country or region.
Prepayment.
Many
types of debt securities, including mortgage securities, are subject to
prepayment risk. Prepayment risk occurs when the issuer of a security can repay
principal prior to the security's maturity. Securities subject to prepayment can
offer less potential for gains during a declining interest rate environment and
similar or greater potential for loss in a rising interest rate environment. In
addition, the potential impact of prepayment features on the price of a debt
security can be difficult to predict and result in greater
volatility.
Issuer-Specific
Changes.
Changes in the financial condition of an issuer or counterparty, changes in
specific economic or political conditions that affect a particular type of
security or issuer, and changes in general economic or political conditions can
increase the risk of default by an issuer or counterparty, which can affect a
security's or instrument's credit quality or value. Entities providing credit
support or a maturity-shortening structure also can be affected by these types
of changes, and if the structure of a security fails to function as intended,
the security could decline in value. Lower-quality debt securities (those of
less than investment-grade quality, also referred to as high yield debt
securities or junk bonds) tend to be particularly sensitive to these
changes.
Lower-quality
debt securities involve greater risk of default or price changes due to changes
in the credit quality of the issuer. The value of lower-quality debt securities
often fluctuates in response to company, political, or economic developments and
can decline significantly over short as well as long periods of time or during
periods of general or regional economic difficulty. Lower-quality debt
securities can be thinly traded or have restrictions on resale, making them
difficult to sell at an acceptable price, and often are considered to be
speculative.
Leverage
Risk.
Derivatives, forward-settling securities, and short sale transactions involve
leverage because they can provide investment exposure in an amount exceeding the
initial investment. Leverage can magnify investment risks and cause losses to be
realized more quickly. A small change in the underlying asset, instrument, or
index can lead to a significant loss. Forward-settling securities and short sale
transactions also involve the risk that a security will not be issued,
delivered, available for purchase, or paid for when anticipated. An increase in
the market price of securities sold short will result in a loss. Government
legislation or regulation could affect the use of these transactions and could
limit a fund's ability to pursue its investment strategies.
High
Portfolio Turnover. The
fund may engage in active and frequent trading of its portfolio securities. High
portfolio turnover (more than 100%) may result in increased transaction costs to
the fund, including brokerage commissions, dealer mark-ups, and other
transaction costs on the sale of securities or reinvestment in other securities.
The sale of the fund's securities may result in the realization and/or
distribution to shareholders of higher capital gains or losses as compared to a
fund with less active trading policies. These effects of higher than normal
portfolio turnover may adversely affect the fund's performance.
In
response to market, economic, political, or other conditions, a fund may
temporarily use a different investment strategy for defensive purposes. If the
fund does so, different factors could affect its performance and the fund may
not achieve its investment objective.
Other
Investment Strategies
In
addition to the principal investment strategies discussed above, the Adviser may
invest in collateralized loan obligations.
Fundamental
Investment Policies
The
following is fundamental, that is, subject to change only by shareholder
approval:
Fidelity®
Series Investment Grade Bond Fund seeks a high level of current
income.
Shareholder
Notice
The
following is subject to change only upon 60 days' prior notice to
shareholders:
Fidelity®
Series Investment Grade Bond Fund normally
invests at least 80% of its assets in investment-grade debt securities of all
types and repurchase agreements for those securities.
The
fund is open for business each day the NYSE is open.
The
NAV is the value of a single share. Fidelity normally calculates NAV as of the
close of business of the NYSE, normally 4:00 p.m. Eastern time. The fund's
assets normally are valued as of this time for the purpose of computing
NAV.
NAV
is not calculated and the fund will not process purchase and redemption requests
submitted on days when the fund is not open for business. The time at which
shares are priced and until which purchase and redemption orders are accepted
may be changed as permitted by the Securities and Exchange Commission
(SEC).
To
the extent that the fund's assets are traded in other markets on days when the
fund is not open for business, the value of the fund's assets may be affected on
those days. In addition, trading in some of the fund's assets may not occur on
days when the fund is open for business.
NAV
is calculated using the values of other open-end funds, if any, in which the
fund invests (referred to as underlying funds). Shares of underlying funds are
valued at their respective NAVs. Other assets are valued primarily on the basis
of market quotations, official closing prices, or information furnished by a
pricing service. Certain short-term securities are valued on the basis of
amortized cost. If market quotations, official closing prices, or information
furnished by a pricing service are not readily available or, in the Adviser's
opinion, are deemed unreliable for a security, then that security will be fair
valued in good faith by the Adviser in accordance with applicable fair value
pricing policies. For example, if, in the Adviser's opinion, a security's value
has been materially affected by events occurring before a fund's pricing time
but after the close of the exchange or market on which the security is
principally traded, then that security will be fair valued in good faith by the
Adviser in accordance with applicable fair value pricing policies. Fair value
pricing will be used for high yield debt securities when available pricing
information is determined to be stale or for other reasons not to accurately
reflect fair value.
Arbitrage
opportunities may exist when trading in a portfolio security or securities is
halted and does not resume before a fund calculates its NAV. These arbitrage
opportunities may enable short-term traders to dilute the NAV of long-term
investors. Securities trading in overseas markets, if applicable, present
time zone arbitrage opportunities when events affecting portfolio security
values occur after the close of the overseas markets but prior to the close of
the U.S. market. Fair valuation of a fund's portfolio securities can serve to
reduce arbitrage opportunities available to short-term traders, but there is no
assurance that fair value pricing policies will prevent dilution of NAV by
short-term traders.
Fair
value pricing is based on subjective judgments and it is possible that the fair
value of a security may differ materially from the value that would be realized
if the security were sold.
Shareholder
Information
Additional
Information about the Purchase and Sale of Shares
As
used in this prospectus, the term "shares" generally refers to the shares
offered through this prospectus.
Frequent
Purchases and Redemptions
The
fund may reject for any reason, or cancel as permitted or required by law, any
purchase orders, including transactions deemed to represent excessive trading,
at any time.
Excessive
trading of fund shares can harm shareholders in various ways, including reducing
the returns to long-term shareholders by increasing costs to the fund (such as
brokerage commissions or spreads paid to dealers who sell money market
instruments), disrupting portfolio management strategies, and diluting the value
of the shares in cases in which fluctuations in markets are not fully priced
into the fund's NAV.
Because
the fund is offered only for investment to certain other Fidelity®
funds, Fidelity managed 529 plans, and Fidelity managed collective
investment trusts, the potential for excessive or short-term disruptive
purchases and sales is reduced. Accordingly, the Board of Trustees has not
adopted policies and procedures designed to discourage excessive trading of fund
shares and the fund accommodates frequent trading.
The
fund has no limit on purchase transactions but may in its discretion restrict,
reject, or cancel any purchases that, in the Adviser's opinion, may be
disruptive to the management of the fund or otherwise not be in the fund's
interests.
The
fund reserves the right at any time to restrict purchases or impose conditions
that are more restrictive on excessive trading than those stated in this
prospectus.
The
fund has no exchange privilege with any other fund.
Buying
Shares
Eligibility
Shares
are generally available only to investors residing in the United
States.
Shares
are offered only to certain other Fidelity®
funds, Fidelity managed 529 plans, and Fidelity managed collective investment
trusts.
There
is no minimum balance or purchase minimum for fund shares.
Price
to Buy
The
price to buy one share is its NAV. Shares are sold without a sales
charge.
Shares
will be bought at the NAV next calculated after an order is received in proper
form.
If
applicable, orders by funds of funds for which Fidelity serves as investment
manager will be treated as received by the fund at the same time that the
corresponding orders are received in proper form by the funds of
funds.
The
fund may stop offering shares completely or may offer shares only on a limited
basis, for a period of time or permanently.
When
you place an order to buy shares, note the following:
- All
wires must be received in proper form by Fidelity at the fund's designated
wire bank before the close of the Federal Reserve Wire System on the day of
purchase or you could be liable for any losses or fees the fund or Fidelity
has incurred or for interest and penalties.
- Under
applicable anti-money laundering rules and other regulations, purchase orders
may be suspended, restricted, or canceled and the monies may be
withheld.
Selling
Shares
The
price to sell one share is its NAV.
Shares
will be sold at the NAV next calculated after an order is received in proper
form.
Normally,
redemptions will be processed by the next business day, but it may take up to
seven days to pay the redemption proceeds if making immediate payment would
adversely affect the fund.
If
applicable, orders by funds of funds for which Fidelity serves as investment
manager will be treated as received by the fund at the same time that the
corresponding orders are received in proper form by the funds of
funds.
See
"Policies Concerning the Redemption of Fund Shares" below for additional
redemption information.
When
you place an order to sell shares, note the following:
- Redemptions
may be suspended or payment dates postponed when the NYSE is closed (other
than weekends or holidays), when trading on the NYSE is restricted, or as
permitted by the SEC.
- Redemption
proceeds may be paid in securities or other property rather than in cash if
the Adviser determines it is in the best interests of the fund.
- Under
applicable anti-money laundering rules and other regulations, redemption
requests may be suspended, restricted, canceled, or processed and the proceeds
may be withheld.
Policies
Concerning the Redemption of Fund Shares
If
your account is held directly with a fund,
the length of time that a fund typically expects to pay redemption proceeds
depends on the method you have elected to receive such proceeds. A fund
typically expects to make payment of redemption proceeds by wire, automated
clearing house (ACH) or by issuing a check by the next business day following
receipt of a redemption order in proper form. Proceeds from the periodic and
automatic sale of shares of a Fidelity®
money
market fund that are used to buy shares of another Fidelity®
fund
are settled simultaneously.
If
your account is held through an intermediary,
the length of time that a fund typically expects to pay redemption proceeds
depends, in part, on the terms of the agreement in place between the
intermediary and a fund. For redemption proceeds that are paid either directly
to you from a fund or to your intermediary for transmittal to you, a fund
typically expects to make payments by wire, by ACH or by issuing a check on the
next business day following receipt of a redemption order in proper form from
the intermediary by a fund. Redemption orders that are processed through
investment professionals that utilize the National Securities Clearing
Corporation will generally settle one to three business days following receipt
of a redemption order in proper form.
As
noted elsewhere, payment of redemption proceeds may take longer than the time a
fund typically expects and may take up to seven days from the date of receipt of
the redemption order as permitted by applicable law.
Redemption
Methods Available. Generally
a fund expects to pay redemption proceeds in cash. To do so, a fund typically
expects to satisfy redemption requests either by using available cash (or cash
equivalents) or by selling portfolio securities. On a less regular basis, a fund
may also satisfy redemption requests by utilizing one or more of the following
sources, if permitted: borrowing from another Fidelity®
fund;
drawing on an available line or lines of credit from a bank or banks; or using
reverse repurchase agreements. These methods may be used during both normal and
stressed market conditions.
In
addition to paying redemption proceeds in cash, a fund reserves the right to pay
part or all of your redemption proceeds in readily marketable securities instead
of cash (redemption in-kind). Redemption in-kind proceeds will typically be made
by delivering the selected securities to the redeeming shareholder within seven
days after the receipt of the redemption order in proper form by a
fund.
Fidelity
will send monthly account statements detailing fund balances and all
transactions completed during the prior month.
You
may be asked to provide additional information in order for Fidelity to verify
your identity in accordance with requirements under anti-money laundering
regulations. Accounts may be restricted and/or closed, and the monies withheld,
pending verification of this information or as otherwise required under these
and other federal regulations.
Dividends
and Capital Gain Distributions
The
fund earns interest, dividends, and other income from its investments, and
distributes this income (less expenses) to shareholders as dividends. The fund
also realizes capital gains from its investments, and distributes these gains
(less any losses) to shareholders as capital gain distributions.
The
fund normally declares dividends and pays capital gain distributions per the
tables below:
Fund
Name |
|
Dividends
Paid |
Fidelity®
Series Investment Grade Bond Fund |
|
Declares
daily and pays monthly |
Fund
Name |
|
Capital
Gains Paid |
Fidelity®
Series Investment Grade Bond Fund |
|
October,
December |
Earning
Dividends
The
fund processes purchase and redemption requests only on days it is open for
business.
Shares
generally begin to earn dividends on the first business day following the day of
purchase.
Shares
generally earn dividends until, but not including, the next business day
following the day of redemption.
Any
dividends and capital gain distributions may be reinvested in additional shares
or paid in cash.
As
with any investment, your investment in the fund could have tax consequences for
you (for non-retirement accounts).
Taxes
on Distributions
Distributions
you receive from the fund are subject to federal income tax, and may also be
subject to state or local taxes.
For
federal tax purposes, certain distributions, including dividends and
distributions of short-term capital gains, are taxable to you as ordinary
income, while certain distributions, including distributions of long-term
capital gains, are taxable to you generally as capital gains. Because the fund's
income is primarily derived from interest, dividends from the fund generally
will not qualify for the long-term capital gains tax rates available to
individuals.
If
you buy shares when a fund has realized but not yet distributed income or
capital gains, you will be "buying a dividend" by paying the full price for the
shares and then receiving a portion of the price back in the form of a taxable
distribution.
Any
taxable distributions you receive from the fund will normally be taxable to you
when you receive them; however, you will receive certain December distributions
in January, but those distributions will be taxable as if you received them on
December 31.
Taxes
on Transactions
Your
redemptions may result in a capital gain or loss for federal tax purposes. A
capital gain or loss on your investment in the fund generally is the difference
between the cost of your shares and the price you receive when you sell
them.
Fund
Services
The
fund is a mutual fund, an investment that pools shareholders' money and invests
it toward a specified goal.
Adviser
FMR.
The
Adviser is the fund's manager. The address of the Adviser is 245 Summer Street,
Boston, Massachusetts 02210.
As
of December 31, 2022, the Adviser had approximately $3.1 trillion in
discretionary assets under management, and approximately $3.9 trillion when
combined with all of its affiliates' assets under management.
As
the manager, the Adviser has overall responsibility for directing the fund's
investments and handling its business affairs.
Sub-Adviser(s)
FMR
Investment Management (UK) Limited (FMR UK),
at 1 St. Martin's Le Grand, London, EC1A 4AS, United Kingdom, serves as a
sub-adviser for the fund. As of December 31, 2022, FMR UK had approximately
$14.7 billion in discretionary assets under management. FMR UK is an affiliate
of the Adviser.
FMR
UK may provide investment research and advice on issuers based outside the
United States and may also provide investment advisory services for the
fund.
Fidelity
Management & Research (Hong Kong) Limited (FMR H.K.),
at Floor 19, 41 Connaught Road Central, Hong Kong, serves as a sub-adviser for
the fund. As of December 31, 2022, FMR H.K. had approximately $21.4 billion in
discretionary assets under management. FMR H.K. is an affiliate of the
Adviser.
FMR
H.K. may provide investment research and advice on issuers based outside the
United States and may also provide investment advisory services for the
fund.
Fidelity
Management & Research (Japan) Limited (FMR Japan),
at Kamiyacho Prime Place, 1-17, Toranomon-4-Chome, Minato-ku, Tokyo, Japan,
serves as a sub-adviser for the fund. As of March 31, 2023, FMR Japan had
approximately $2.9 billion in discretionary assets under management. FMR Japan
is an affiliate of the Adviser.
FMR
Japan may provide investment research and advice on issuers based outside the
United States and may also provide investment advisory services for the
fund.
Portfolio
Manager(s)
Sean
Corcoran is Co-Portfolio Manager of Fidelity®
Series Investment Grade Bond Fund, which he has managed since 2023. He also
manages other funds. Since joining Fidelity Investments in 2001, Mr. Corcoran
has worked as a research analyst and portfolio manager.
Celso
Munoz is Co-Portfolio Manager of Fidelity®
Series Investment Grade Bond Fund, which he has managed since 2016. He also
manages other funds. Since joining Fidelity Investments in 2005, Mr. Munoz has
worked as a research analyst and portfolio manager.
Ford
O'Neil is Co-Portfolio Manager of Fidelity®
Series Investment Grade Bond Fund, which he has managed since 2008. He also
manages other funds. Since joining Fidelity Investments in 1989, Mr. O'Neil has
worked as a research analyst and portfolio manager.
The
Statement of Additional Information (SAI) provides additional information about
the compensation of, any other accounts managed by, and any fund shares held by
the portfolio manager(s).
From
time to time a manager, analyst, or other Fidelity employee may express views
regarding a particular company, security, industry, or market sector. The views
expressed by any such person are the views of only that individual as of the
time expressed and do not necessarily represent the views of Fidelity or any
other person in the Fidelity organization. Any such views are subject to change
at any time based upon market or other conditions and Fidelity disclaims any
responsibility to update such views. These views may not be relied on as
investment advice and, because investment decisions for a fund are based on
numerous factors, may not be relied on as an indication of trading intent on
behalf of any fund.
Advisory
Fee(s)
The
fund does not pay a management fee to the Adviser.
The
Adviser receives no fee from the fund for handling the business affairs of the
fund and pays the expenses of the fund with certain exceptions.
The
Adviser or an affiliate pays FMR UK, FMR H.K., and FMR Japan for providing
sub-advisory services.
The
basis for the Board of Trustees approving the management contract and
sub-advisory agreements for the fund is available in the fund's semi-annual
report for the fiscal period ended February 28, 2023.
From
time to time, the Adviser or its affiliates may agree to reimburse or waive
certain fund expenses while retaining the ability to be repaid if expenses fall
below the specified limit prior to the end of the fiscal year.
Reimbursement
or waiver arrangements can decrease expenses and boost performance.
FMR
has contractually agreed to reimburse the fund to the extent that total
operating expenses (excluding interest, fees and expenses of the Independent
Trustees, and acquired fund fees and expenses (including fees and expenses
associated with a wholly owned subsidiary), if any, as well as non-operating
expenses such as brokerage commissions and fees and expenses associated with the
fund's securities lending program, if applicable), as a percentage of its
average net assets, exceed 0.003% (the Expense Cap). If at any time during the
current fiscal year expenses for the fund fall below the Expense Cap, FMR
reserves the right to recoup through the end of the fiscal year any expenses
that were reimbursed during the current fiscal year up to, but not in excess of,
the Expense Cap. This arrangement will remain in effect through December 31,
2026. FMR may not terminate this arrangement before the expiration date without
the approval of the Board of Trustees and may extend it in its discretion after
that date.
Distribution
and Service Plan(s)
The
fund has adopted a Distribution and Service Plan pursuant to Rule 12b-1 under
the Investment Company Act of 1940 (1940 Act) with respect to its shares that
recognizes that the Adviser may use its management fee revenues, as well as its
past profits or its resources from any other source, to pay FDC for expenses
incurred in connection with providing services intended to result in the sale of
shares of the fund and/or shareholder support services. The Adviser, directly or
through FDC, may pay significant amounts to intermediaries that provide those
services. Currently, the Board of Trustees of the fund has authorized such
payments for shares of the fund.
If
payments made by the Adviser to FDC or to intermediaries under the Distribution
and Service Plan were considered to be paid out of the fund's assets on an
ongoing basis, they might increase the cost of your investment and might cost
you more than paying other types of sales charges.
No
dealer, sales representative, or any other person has been authorized to give
any information or to make any representations, other than those contained in
this prospectus and in the related SAI, in connection with the offer contained
in this prospectus. If given or made, such other information or representations
must not be relied upon as having been authorized by the fund or FDC. This
prospectus and the related SAI do not constitute an offer by the fund or by FDC
to sell shares of the fund to, or to buy shares of the fund from, any person to
whom it is unlawful to make such offer.
Appendix
Financial
Highlights are intended to help you understand the financial history of fund
shares for the past 5 years (or, if shorter, the period of operations). Certain
information reflects financial results for a single share. The total returns in
the table represent the rate that an investor would have earned (or lost) on an
investment in shares (assuming reinvestment of all dividends and distributions).
The annual information has been audited by PricewaterhouseCoopers LLP,
independent registered public accounting firm, whose report, along with
fund financial statements, is included in the annual report. Annual reports are
available for free upon request.
Fidelity®
Series Investment Grade Bond Fund |
|
Years
ended August 31, |
|
2023
|
|
2022 |
|
2021 |
|
2020 |
|
2019 |
Selected
Per-Share Data |
|
|
|
|
|
|
|
|
|
|
Net
asset value, beginning of period |
$ |
10.22 |
$ |
11.80 |
$ |
12.28 |
$ |
11.68 |
$ |
10.97 |
Income
from Investment Operations |
|
|
|
|
|
|
|
|
|
|
Net
investment income (loss) A,B |
|
.391
|
|
.273
|
|
.267
|
|
.333
|
|
.362
|
Net
realized and unrealized gain (loss) |
|
(.395)
|
|
(1.568)
|
|
(.028)
|
|
.603
|
|
.727
|
Total
from investment operations |
|
(.004)
|
|
(1.295)
|
|
.239
|
|
.936
|
|
1.089
|
Distributions
from net investment income |
|
(.386)
|
|
(.276)
|
|
(.251)
|
|
(.336)
|
|
(.379)
|
Distributions
from net realized gain |
|
-
|
|
(.009)
|
|
(.468)
|
|
-
|
|
-
|
Total
distributions |
|
(.386)
|
|
(.285)
|
|
(.719)
|
|
(.336)
|
|
(.379)
|
Net
asset value, end of period |
$ |
9.83 |
$ |
10.22 |
$ |
11.80 |
$ |
12.28 |
$ |
11.68 |
Total
Return C |
|
(.01)%
|
|
(11.11)%
|
|
2.06%
|
|
8.16%
|
|
10.16%
|
Ratios
to Average Net Assets B,D,E |
|
|
|
|
|
|
|
|
|
|
Expenses
before reductions F |
|
-%
|
|
-%
|
|
-%
|
|
-%
|
|
-%
|
Expenses
net of fee waivers, if any F |
|
-%
|
|
-%
|
|
-%
|
|
-%
|
|
-%
|
Expenses
net of all reductions F |
|
-%
|
|
-%
|
|
-%
|
|
-%
|
|
-%
|
Net
investment income (loss) |
|
3.94%
|
|
2.47%
|
|
2.27%
|
|
2.82%
|
|
3.27%
|
Supplemental
Data |
|
|
|
|
|
|
|
|
|
|
Net
assets, end of period (000 omitted) |
$ |
34,476,304 |
$ |
32,875,472 |
$ |
40,477,064 |
$ |
35,945,504 |
$ |
29,040,336 |
Portfolio
turnover rate G |
|
202%
|
|
159%
|
|
248%
|
|
259%
H |
|
175%
|
ACalculated
based on average shares outstanding during the period.
BNet
investment income (loss) is affected by the timing of the declaration of
dividends by any underlying mutual funds or exchange-traded funds (ETFs). Net
investment income (loss) of any mutual funds or ETFs is not included in the
Fund's net investment income (loss) ratio.
CTotal
returns would have been lower if certain expenses had not been reduced during
the applicable periods shown.
DFees
and expenses of any underlying mutual funds or exchange-traded funds (ETFs) are
not included in the Fund's expense ratio. The Fund indirectly bears its
proportionate share of these expenses. For additional expense information
related to investments in Fidelity Central Funds, please refer to the
"Investments in Fidelity Central Funds" note found in the Notes to Financial
Statements section of the most recent Annual or Semi-Annual
report.
EExpense
ratios reflect operating expenses of the class. Expenses before reductions do
not reflect amounts reimbursed, waived, or reduced through arrangements with the
investment adviser, brokerage services, or other offset arrangements, if
applicable, and do not represent the amount paid by the class during periods
when reimbursements, waivers or reductions occur.
FAmount
represents less than .005%.
GAmount
does not include the portfolio activity of any underlying mutual funds or
exchange-traded funds (ETFs).
HPortfolio
turnover rate excludes securities received or delivered
in-kind.
Additional
Index Information
Bloomberg
U.S. Aggregate Bond Index
is a broad-based, flagship benchmark that measures the investment grade, US
dollar-denominated, fixed-rate taxable bond market. The index includes
Treasuries, government-related and corporate securities, mortgage-back
securities (agency fixed-rate pass-throughs), asset-backed securities and
collateralised mortgage-backed securities (agency and non-agency).
IMPORTANT
INFORMATION ABOUT OPENING A NEW ACCOUNT |
To
help the government fight the funding of terrorism and money laundering
activities, the Uniting and Strengthening America by Providing Appropriate
Tools Required to Intercept and Obstruct Terrorism Act of 2001 (USA
PATRIOT ACT), requires all financial institutions to obtain, verify, and
record information that identifies each person or entity that opens an
account.
For
investors other than individuals:
When you open an account, you will be asked for the name of the entity,
its principal place of business and taxpayer identification number (TIN).
You will be asked to provide information about the entity's control person
and beneficial owners, and person(s) with authority over the account,
including name, address, date of birth and social security number. You may
also be asked to provide documents, such as drivers' licenses, articles of
incorporation, trust instruments or partnership agreements and other
information that will help Fidelity identify the
entity. |
You
can obtain additional information about the fund. A description of the fund's
policies and procedures for disclosing its holdings is available in its
Statement of Additional Information (SAI) and on Fidelity's web sites. The SAI
also includes more detailed information about the fund and its investments. The
SAI is incorporated herein by reference (legally forms a part of the
prospectus). The fund's annual and semi-annual reports also include additional
information. The fund's annual report includes a discussion of the fund's
holdings and recent market conditions and the fund's investment strategies that
affected performance.
For
a free copy of any of these documents or to request other information or ask
questions about the fund, call Fidelity at 1-800-544-8544. In addition, you may
visit Fidelity's web site at www.fidelity.com for a free copy of a prospectus,
SAI, or annual or semi-annual report or to request other
information.
The
SAI, the fund's annual and semi-annual reports and other related materials
are available from the Electronic Data Gathering, Analysis, and Retrieval
(EDGAR) Database on the SEC's web site (http://www.sec.gov). You can
obtain copies of this information, after paying a duplicating fee, by
sending a request by e-mail to [email protected] or by writing the Public
Reference Section of the SEC, Washington, D.C. 20549-1520. You can also
review and copy information about the fund, including the fund's SAI, at
the SEC's Public Reference Room in Washington, D.C. Call 1-202-551-8090
for information on the operation of the SEC's Public Reference
Room. |
Investment
Company Act of 1940, File Number(s), 811-02105 |
Fidelity
Distributors Company LLC (FDC) is a member of the Securities Investor Protection
Corporation (SIPC). You may obtain information about SIPC, including the SIPC
brochure, by visiting www.sipc.org or calling SIPC at 202-371-8300.
Fidelity,
the Fidelity Investments Logo and all other Fidelity trademarks or service marks
used herein are trademarks or service marks of FMR LLC. Any third-party marks
that are used herein are trademarks or service marks of their respective owners.
© 2023 FMR LLC. All rights reserved.
1.873107.116 |
LIG-PRO-1023 |