(2_FIDELITY_LOGOS)FIDELITY
MARKET INDEX
FUND
SEMIANNUAL REPORT
OCTOBER 31, 1993
CONTENTS
PRESIDENT'S MESSAGE 3 Ned Johnson on stock market
cautions.
PERFORMANCE 4 How the fund has done over time.
FUND TALK 6 The manager's review of fund
performance, strategy, and outlook.
INVESTMENT CHANGES 9 A summary of major shifts in the
fund's investments over the last six
months.
INVESTMENTS 10 A complete list of the fund's
investments with their market value.
FINANCIAL STATEMENTS 30 Statements of assets and liabilities,
operations, and changes in net
assets, as well as financial
highlights.
NOTES 34 Footnotes to the financial
statements.
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. NEITHER THE FUND NOR FIDELITY DISTRIBUTORS
CORPORATION IS A
BANK, AND FUND SHARES ARE NOT BACKED OR GUARANTEED BY ANY BANK OR INSURED
BY THE
FDIC.
PRESIDENT'S MESSAGE
DEAR SHAREHOLDER:
As 1993 draws to a close and the stock market continues to climb, many of
you may be wondering if this is the top and what you should do. Making a
sound decision requires some perspective on the market and an understanding
of its risks.
Those of us who invested in the stock market during the '80s benefited from
a period of unusually good performance. During that time, the Standard
& Poor's 500 index - a common proxy for the U.S. stock market -
returned 18% on average each year. This was far above the market's average
annual return since 1926 of 10%. Although the S&P 500 was up 7.62% for
1992, that was less than half of what we saw in the '80s and below the
market's long-term average. We believe this could be an example of the more
modest returns we might see in the '90s.
It's impossible to predict where the market will go from here. What we do
know is that historically the market has on average had a decline of 10% or
more every two years. We haven't seen a 10% drop in the market since
October 1990. Furthermore, stocks today are not cheap. Current valuations -
yardsticks like high price-to-earnings ratios and low dividend yields - are
at extremes. Low interest rates and the record amount of money that has
poured into stock funds in 1993 have helped push the market higher. As real
estate investments have become less attractive, many people have instead
put money in stocks, also helping to fuel the market's rise.
When there is this much uncertainty about what is next, a long-term,
disciplined approach to the stock market seems to make the most sense. A
good definition of long term is a minimum of five years. If you leave your
money invested that long, you should be able to ride out the market's
declines. A regular investment plan - investing a certain amount of money
each month or quarter - should also help you avoid buying exclusively at
the peak of the market. While this strategy can't protect you from a loss
in a declining market, and won't guarantee a profit, it should over time
help lower the average cost of your purchase. The key is that you follow
your plan during both market ups and downs.
No matter what happens in the market, we believe you can benefit from
practicing these investment principles. If we can help, please call us at
1-800-544-8888.
Best regards,
Edward C. Johnson 3d
PERFORMANCE: THE BOTTOM LINE
There are several ways to evaluate a fund's historical performance. You can
look at the total percentage of change in value, the average annual
percentage change, or the growth of a hypothetical $10,000 investment. Each
performance figure includes changes in a fund's share price, plus
reinvestment of any dividends (or income) and capital gains (the profits
the fund earns when it sells stocks that have grown in value).
CUMULATIVE TOTAL RETURNS
PERIODS ENDED OCTOBER 31, 1993 PAST 6 PAST 1 LIFE OF
MONTHS YEAR FUND
Market Index 7.59% 14.48% 54.59%
S&P 500(Registered trademark) 7.82% 14.94% 55.24%
Average S&P 500 Index Fund 7.40% 14.10% 49.57%
CUMULATIVE TOTAL RETURNS show the fund's performance in percentage terms
over a set period - in this case, six months, one year, or since the fund
began on March 6, 1990. For example, if you invested $1,000 in a fund that
had a 5% return over the past year, you would end up with $1,050. You can
compare the fund's returns to the performance of the Standard & Poor's
500 index - a common proxy for the U.S. stock market. You can also compare
them to the average S&P 500 index fund, which reflects the performance
of over 35 funds with similar objectives tracked by Lipper Analytical
Services. Both benchmarks include reinvested dividends and capital gains,
if any, and exclude the effects of sales charges.
AVERAGE ANNUAL TOTAL RETURNS
PERIODS ENDED OCTOBER 31, 1993 PAST 1 LIFE OF
YEAR FUND
Market Index 14.48% 12.64%
S&P 500(Registered trademark) 14.94% 12.77%
Average S&P 500 Index Fund 14.10% 11.67%
AVERAGE ANNUAL TOTAL RETURNS take the fund's actual (or cumulative) return
and show you what would have happened if the fund had performed at a
constant rate each year.
$10,000 OVER LIFE OF FUND
Market Index Fund (317) S&P 500
03/06/90 10000.00 10000.00
03/31/90 10080.00 10077.26
04/30/90 9832.00 9825.33
05/31/90 10828.00 10783.30
06/30/90 10759.06 10709.97
07/31/90 10726.82 10675.70
08/31/90 9755.69 9710.62
09/30/90 9278.84 9237.71
10/31/90 9246.33 9197.99
11/30/90 9843.78 9792.18
12/31/90 10104.77 10065.38
01/31/91 10552.32 10504.23
02/28/91 11307.81 11255.28
03/31/91 11576.41 11527.66
04/30/91 11605.36 11555.33
05/31/91 12101.67 12054.52
06/30/91 11541.34 11502.42
07/31/91 12083.38 12038.43
08/31/91 12362.75 12323.74
09/30/91 12158.51 12117.94
10/31/91 12318.05 12280.32
11/30/91 11818.44 11785.42
12/31/91 13169.30 13133.67
01/31/92 12923.46 12889.39
02/29/92 13084.53 13056.95
03/31/92 12824.50 12802.34
04/30/92 13199.93 13178.73
05/31/92 13259.66 13243.30
06/30/92 13062.41 13045.98
07/31/92 13590.57 13579.56
08/31/92 13311.46 13301.18
09/30/92 13465.08 13458.13
10/31/92 13503.97 13505.23
11/30/92 13957.70 13965.76
12/31/92 14131.46 14137.54
01/31/93 14240.20 14256.30
02/28/93 14431.57 14450.18
03/31/93 14731.94 14755.08
04/30/93 14368.78 14398.01
05/31/93 14749.44 14783.88
06/30/93 14784.83 14826.75
07/31/93 14718.45 14767.44
08/31/93 15267.18 15327.13
09/30/93 15147.30 15209.11
10/31/93 15458.88 15523.94
$15,524
$15,459
$10,000 OVER LIFE OF FUND: Let's say you invested $10,000 in Fidelity
Market Index Fund on March 6, 1990, when the fund started. As the chart
shows, by October 31, 1993, the value of your investment would have grown
to $15,459 - a 54.59% increase on your initial investment. For comparison,
look at how the S&P 500 did over the same period. With dividends
reinvested, the same $10,000 investment would have grown to $15,524 - a
55.24% increase.
UNDERSTANDING
PERFORMANCE
How a fund did yesterday is
no guarantee of how it will do
tomorrow. The stock market,
for example, has a history of
growth in the long run and
volatility in the short run. In
turn, the share price and
return of a fund that invests in
stocks will vary. That means if
you sell your shares during a
market downturn, you might
lose money. But if you can
ride out the market's ups and
downs, you may have a gain.
(checkmark)
FUND TALK: THE MANAGER'S OVERVIEW
An interview with Jonathan Weed, Portfolio Manager of Fidelity
Market Index Fund
Q. JAY, HOW DID THE FUND DO?
A. The fund returned 7.59% for the six months ended October 31, 1993
compared to the benchmark against which it's measured, the S&P 500
index, which was up 7.82%. For the year ended October 31, the fund returned
14.48% and the index returned 14.94%. The difference can be attributed to
expenses. Looking at another comparison, the fund beat the average S&P
500 index fund, which was up 7.40% for the six-month period and 14.10% for
the year period, according to Lipper Analytical Services.
Q. WHICH INDUSTRIES LED THE FUND'S PERFORMANCE?
A. Since the fund seeks to match the S&P 500 index, the same industries
helped both. Over the past six months, broadcast and media stocks, like
Paramount, and computer software stocks, like Oracle, provided a big kick.
Both industries returned about 34%. Semiconductor stocks also did well
posting gains of 26%. Some laggards included pharmaceutical stocks and
regional banks which were down 12% and 10%, respectively.
Q. WERE THERE ANY SIGNIFICANT CHANGES TO THE INDEX DURING THE YEAR?
A. Yes, there were nine changes over the past 12 months. This is also about
the level we experienced over the prior two years. During the year,
however, the pace has accelerated with eight of these changes taking place
in the last four months. That's a rate we haven't seen since the "merger
mania" of the late 1980s. This rapid pace means that, more than ever, the
ability to track the index is important. As the fund manager, my job is to
try to make sure that the names and amounts of the stocks in the fund mimic
the index as closely as possible. Paying close attention to these changes
and reacting to them quickly is an important factor for keeping the fund's
perfomance in line with the index.
Q. SOME EXPERTS ARE SAYING THAT STOCKS ARE TOO HIGH. WHAT'S YOUR VIEW?
A. I think that stocks are fully valued. But, with Treasury bonds currently
yielding about 6%, and Treasury bills yielding about 3% - which is also
the rate of inflation - there does not seem to be a lot of appealing
investment alternatives out there. And if you look closely at some
well-known measures of stock prices, you can find some compelling evidence
to justify today's prices. One important factor to consider is a stock's
price-to-
earnings ratio - or the stock's present price divided by next year's
expected earnings. The multiple on expected next year's earnings for the
S&P 500 index has hovered around 17 over the past 2 1/2 years. That
means earnings expectations have kept up with the rising market.
Q. STILL, ANOTHER MEASURE OF PRICES - THE PRICE-TO-DIVIDEND RATIO - IS
AT VERY HIGH LEVELS...
A. The price-to-dividend ratio - or the total price of all stocks in the
S&P 500 divided by the dividends of these companies - stands at about
37, a level that's similar to the ratio preceding the stock market
correction in 1987. That's causing many investors some concern. However,
interest rates are lower than they were then. In 1987, many investors chose
bonds because they offered a much higher yield than they do now. But with
interest rates as low as they are now, the case for stocks is much
stronger, and demand for stocks should continue to be quite strong. Also,
with the expected rise in earnings, dividends could improve, bringing the
price-to-dividend ratio down. Finally, tax laws encourage companies to hold
on to earnings rather than pay them out as dividends. Investors, rather
than receiving quite as much dividend income, have enjoyed greater price
appreciation. More companies have chosen to compensate investors by buying
back stock instead of paying dividends.
Q. THE S&P 500 INDEX HAS LAGGED EUROPEAN AND FAR EAST INDEXES FOR MOST
OF THE YEAR. WHAT'S HOLDING U.S. STOCKS BACK?
A. Stocks tend to do very well coming out of recessions. That's what
happened when the U.S. recession ended part way through 1991. U.S. stocks
did much better than other markets over the next couple of years. Now,
interest rates in Europe are falling and many of the continent's economies
are mired in recession - a scenario which investors have realized is a
good time to buy stocks.
Q. WHAT EFFECT WILL A GLOBAL RECOVERY HAVE ON THE S&P 500 INDEX?
A. It shouldn't have too much effect in the short term. Nearly half of the
earnings on the S&P 500 stocks come from overseas, through
multi-national companies. However, the expectations for higher earnings
seems to have been already factored into stock prices. That said, if
worldwide economies rebound more dramatically than expected, it could have
a positive impact on U.S. stocks.
Q. WHAT'S YOUR VIEW ABOUT A MARKET CORRECTION?
A. There's little doubt that some day a correction will occur. On average,
there's been a 10% market correction every two years, and there's no reason
to expect that trend to be interrupted. Above all, keep in mind that over
any period as short as a year, there are a wide range
of possible outcomes. But over
the long term investors have been
rewarded by investing in a diversified portfolio of stocks.
FUND FACTS
GOAL: to provide returns
consistent with those of U.S.
common stocks primarily in
the Standard & Poor's
500 index
START DATE: March 6, 1990
SIZE: as of October 31, 1993,
$304 million
MANAGER: Jonathan Weed,
since March 1990; manager,
institutional index funds, since
1987; analyst, Personal
Advisory Services and Fidelity
Asset Manager, since 1988.
(checkmark)
JONATHAN WEED ON THE
S&P 500 INDEX:
"There are some common
misconceptions about what
stocks make up the S&P
500 index. The index is not,
as some believe, the 500
largest stocks, but rather
includes only about 370 of the
largest stocks. A mix of
medium and small stocks
make up the balance. Another
market index, the Dow Jones
Industrial Average, is a more
narrowly based index. The
Dow makes up only 25% of
the S&P 500 index, and
only about 20% of the entire
stock market. The Dow is
much more heavily oriented
toward cyclical stocks - or
stocks that do well in an
economic recovery. That's
why the Dow has surged
more in the past six months
than the S&P. The
S&P 500 index, on the
other hand, is more
representative, accounting
for about 75% of the total
market."
(bullet) Nine changes were made to
the S&P 500 index over
the past 12 months.
(bullet) The return on the S&P
500 index over the past 12
months was nearly 15%,
outpacing the market's
average annual return since
1926 of about 10%.
(bullet) The dominant sector in the
S&P 500 index is
consumer nondurables at
about 20%, represented by
companies like Philip Morris,
Coca-Cola and Merck.
Consumer service companies,
including media, entertainment
and retail stocks, represent
about 13% of the index.
INVESTMENT CHANGES
TOP TEN STOCKS AS OF OCTOBER 31, 1993
% OF FUND'S % OF FUND'S
INVESTMENTS INVESTMENTS
IN THESE STOCKS
6 MONTHS AGO
General Electric Co. 2.4 2.5
Exxon Corp. 2.4 2.6
American Telephone & 2.3 2.4
Telegraph Co.
Wal-Mart Stores, Inc. 1.8 2.0
Royal Dutch Petroleum Co. 1.7 1.5
Coca-Cola Company (The) 1.7 1.6
Philip Morris Companies, Inc. 1.4 1.3
GTE Corp. 1.1 1.1
Procter & Gamble Co. 1.1 1.1
Merck & Co., Inc. 1.1 1.4
TOP TEN INDUSTRIES AS OF OCTOBER 31, 1993
% OF FUND'S % OF FUND'S
INVESTMENTS INVESTMENTS
IN THESE INDUSTRIES
6 MONTHS AGO
Utilities 15.2 14.8
Nondurables 11.3 11.5
Finance 11.0 10.9
Energy 10.0 10.5
Health 7.6 8.5
Basic Industries 6.6 7.3
Technology 6.6 6.4
Retail & Wholesale 6.5 6.8
Industrial Machinery & 5.4 5.6
Equipment
Media & Leisure 5.1 4.5
ASSET ALLOCATION
TO MATCH THE STANDARD & POOR'S 500 INDEX, FIDELITY MARKET INDEX FUND
HAS 100.0% INVESTMENT EXPOSURE TO STOCKS, AT ALL TIMES.
INVESTMENTS OCTOBER 31, 1993 (UNAUDITED)
Showing Percentage of Total Value of Investment in Securities
COMMON STOCKS - 96.4%
SHARES VALUE (NOTE 1)
AEROSPACE & DEFENSE - 2.5%
AEROSPACE & DEFENSE - 1.1%
Boeing Co. 30,380 $ 1,139,250 09702310
Grumman Corp. 3,000 111,375 40018110
Lockheed Corp. 5,560 382,945 53982110
Martin Marietta Corp. 8,480 375,240 57290010
McDonnell Douglas Corp. 3,550 332,813 58016910
Northrop Corp. 4,300 149,425 66680710
Rockwell International Corp. 19,700 706,738 77434710
3,197,786
DEFENSE ELECTRONICS - 1.3%
E-Systems, Inc. 3,000 136,125 26915730
General Motors Corp. 63,330 3,016,091 37044210
Loral Corp. 7,400 234,950 54385910
Raytheon Co. 12,120 737,805 75511110
4,124,971
SHIP BUILDING & REPAIR - 0.1%
General Dynamics Corp. 2,800 268,100 36955010
TOTAL AEROSPACE & DEFENSE 7,590,857
BASIC INDUSTRIES - 6.6%
CHEMICALS & PLASTICS - 3.8%
Air Products & Chemicals, Inc. 10,220 426,685 00915810
Avery Dennison Corp. 5,200 147,550 05361110
du Pont (E.I.) de Nemours & Co. 60,530 2,890,308 26353410
Dow Chemical Co. 24,470 1,358,085 26054310
Engelhard Corp. 8,625 237,188 29284510
Ethyl Corp. 10,600 184,175 29765910
FMC Corp. (a) 3,200 157,200 30249130
First Mississippi Corp. 1,800 20,700 32089110
Goodrich (B.F.) Company 2,310 102,218 38238810
Grace (W.R.) & Co. 8,300 313,325 38388310
Great Lakes Chemical Corp. 6,400 488,800 39056810
Hercules, Inc. 3,840 382,080 42705610
Minnesota Mining & Manufacturing Co. 19,360 2,008,600 60405910
Monsanto Co. 10,720 741,020 61166210
Morton International, Inc. 4,400 418,000 61933110
NL Industries, Inc. (a) 4,575 21,731 62915640
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
BASIC INDUSTRIES - CONTINUED
CHEMICALS & PLASTICS - CONTINUED
Nalco Chemical Co. 6,180 $ 218,618 62985310
PPG Industries, Inc. 9,500 662,625 69350610
Praxair, Inc. 11,900 191,888 74005P10
Raychem Corp. 3,700 142,450 75460310
Rohm & Haas Co. 6,100 306,525 77537110
Union Carbide Corp. 13,500 266,625 90558110
11,686,396
IRON & STEEL - 0.3%
Armco, Inc. (a) 9,300 52,313 04217010
Bethlehem Steel Corp. (a) 8,100 135,675 08750910
Inland Steel Industries, Inc. (a) 3,200 108,000 45747210
Nucor Corp. 7,800 423,150 67034610
USX-U.S. Steel Group 5,860 219,750 90337T10
Worthington Industries, Inc. 8,025 148,463 98181110
1,087,351
METALS & MINING - 0.7%
AMAX, Inc. 7,900 176,763 02312710
ASARCO, Inc. 3,700 67,988 04341310
Alcan Aluminium Ltd. 20,014 409,238 01371610
Aluminum Co. of America 7,910 537,880 02224910
Cyprus Minerals Co. 4,200 102,900 23281P10
Inco Ltd. 9,817 208,168 45325840
Phelps Dodge Corp. 6,240 265,980 71726510
Reynolds Metals Co. 5,340 225,615 76176310
1,994,532
PACKAGING & CONTAINERS - 0.2%
Ball Corp. 2,500 64,688 05849810
Bemis Co., Inc. 4,600 100,625 08143710
Crown Cork & Seal Co., Inc. (a) 7,880 304,365 22825510
469,678
PAPER & FOREST PRODUCTS - 1.6%
Boise Cascade Corp. 3,400 69,700 09738310
Champion International Corp. 8,300 243,813 15852510
Federal Paper Board Co., Inc. 3,700 74,925 31369310
Georgia-Pacific Corp. 8,000 514,000 37329810
International Paper Co. 11,000 651,750 46014610
James River Corp. of Virginia 7,300 146,000 47034910
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
BASIC INDUSTRIES - CONTINUED
PAPER & FOREST PRODUCTS - CONTINUED
Kimberly-Clark Corp. 14,380 $ 742,368 49436810
Louisiana-Pacific Corp. 9,860 356,193 54634710
Mead Corp. 5,300 217,300 58283410
Potlatch Corp. 2,640 115,830 73762810
Scott Paper Co. 6,610 234,655 80987710
Stone Container Corp. (a) 6,414 45,700 86158910
Temple-Inland, Inc. 4,900 208,250 87986810
Union Camp Corp. 6,200 266,600 90553010
Westvaco Corp. 6,000 199,500 96154810
Weyerhaeuser Co. 18,300 725,138 96216610
4,811,722
TOTAL BASIC INDUSTRIES 20,049,679
CONGLOMERATES - 1.4%
Allied-Signal, Inc. 12,650 906,056 01951210
Crane Co. 2,700 75,600 22439910
Dial Corp. (The) 4,200 161,175 25247010
Harris Corp. 3,500 161,875 41387510
ITT Corp. 10,670 993,644 45067910
Litton Industries, Inc. (a) 3,740 248,243 53802110
Teledyne, Inc. 4,960 133,300 87933510
Textron, Inc. 7,800 435,825 88320310
Tyco Laboratories, Inc. 4,190 195,883 90212010
United Technologies Corp. 11,070 686,340 91301710
Whitman Corp. 9,600 152,400 96647K10
4,150,341
CONSTRUCTION & REAL ESTATE - 0.6%
BUILDING MATERIALS - 0.3%
Armstrong World Industries, Inc. 3,310 153,088 04247610
Masco Corp. 13,700 433,263 57459910
Owens-Corning Fiberglas Corp. (a) 3,800 178,600 69073420
Sherwin-Williams Co. 7,940 289,810 82434810
1,054,761
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
CONSTRUCTION & REAL ESTATE - CONTINUED
CONSTRUCTION - 0.1%
Centex Corp. 2,860 $ 126,913 15231210
Kaufman & Broad Home Corp. 3,100 61,225 48616810
Morrison-Knudsen Corp. 2,800 65,800 61844710
Pulte Corp. 2,500 95,938 74586710
Skyline Corp. 1,000 17,875 83083010
367,751
ENGINEERING - 0.2%
EG&G, Inc. 5,020 89,733 26845710
Fluor Corp. 7,330 298,698 34386110
Foster Wheeler Corp. 3,200 108,400 35024410
496,831
TOTAL CONSTRUCTION & REAL ESTATE 1,919,343
DURABLES - 3.3%
AUTOS, TIRES, & ACCESSORIES - 2.5%
Chrysler Corp. 31,400 1,758,400 17119610
Cooper Tire & Rubber Co. 7,500 163,125 21683110
Cummins Engine Co., Inc. 1,600 152,600 23102110
Dana Corp. 4,100 239,338 23581110
Eaton Corp. 6,280 332,840 27805810
Echlin, Inc. 5,200 169,000 27874910
Ford Motor Co. 43,950 2,719,406 34537010
Genuine Parts Company 11,125 421,359 37246010
Goodyear Tire & Rubber Co. 13,100 586,225 38255010
Johnson Controls, Inc. 3,600 197,100 47836610
NACCO Industries, Inc. Class A 800 34,500 62957910
Navistar International Corp. (a) 2,360 64,310 63934E10
Pep Boys - Manny, Moe & Jack 5,400 133,650 71327810
PACCAR, Inc. 2,990 201,825 69371810
SPX Corp. 1,300 22,425 78463510
Snap-on Tools Corp. 3,800 151,050 83303410
TRW, Inc. 5,660 381,343 87264910
7,728,496
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
DURABLES - CONTINUED
CONSUMER ELECTRONICS - 0.4%
Black & Decker Corp. 7,500 $ 150,000 09179710
Fedders USA, Inc. (a) 1,800 11,250 31313510
Maytag Co. 9,600 150,000 57859210
Newell Co. 7,000 285,250 65119210
Stanley Works 4,000 172,500 85461610
Whirlpool Corp. 6,300 402,413 96332010
1,171,413
HOME FURNISHINGS - 0.0%
Bassett Furniture Industries, Inc. 1,300 39,325 07020310
TEXTILES & APPAREL - 0.4%
Hartmarx Corp. (a) 2,900 19,575 41711910
Liz Claiborne, Inc. 7,300 138,700 53932010
NIKE, Inc. Class B 6,780 327,983 65410610
Oshkosh B'Gosh, Inc. Class A 1,300 23,725 68822220
Reebok International Ltd. 7,700 234,850 75811010
Russell Corp. 3,700 100,363 78235210
Springs Industries, Inc. Class A 1,600 60,600 85178310
Stride Rite Corp. 4,500 77,063 86331410
VF Corp. 5,800 229,825 91820410
1,212,684
TOTAL DURABLES 10,151,918
ENERGY - 10.0%
COAL - 0.0%
Eastern Enterprises Co. 2,000 54,250 27637F10
Pittston Company 3,500 88,813 72570110
143,063
ENERGY SERVICES - 0.8%
Baker Hughes, Inc. 12,500 281,250 05722410
Dresser Industries, Inc. 12,340 265,310 26159710
Halliburton Co. 10,180 324,488 40621610
Helmerich & Payne, Inc. 2,200 66,000 42345210
McDermott International, Inc. 4,600 130,525 58003710
Rowan Companies, Inc. (a) 7,500 71,250 77938210
Schlumberger Ltd. 21,680 1,373,970 80685710
2,512,793
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
ENERGY - CONTINUED
OIL & GAS - 9.2%
Amerada Hess Corp. 8,240 $ 436,720 02355110
Amoco Corp. 44,410 2,481,409 03190510
Ashland Oil, Inc. 5,330 183,885 04454010
Atlantic Richfield Co. 14,220 1,567,755 04882510
Chevron Corp. 29,140 2,826,580 16675110
Exxon Corp. 111,060 7,260,492 30229010
Kerr-McGee Corp. 4,360 219,635 49238610
Louisiana Land & Exploration Co. 2,540 114,935 54626810
Maxus Energy Corp. (a) 12,000 79,500 57773010
Mobil Corp. 35,750 2,913,625 60705910
Occidental Petroleum Corp. 27,300 505,050 67459910
Oryx Energy Co. 8,660 206,758 68763F10
Pennzoil Co. 3,830 219,268 70990310
Phillips Petroleum Co. 23,400 754,650 71850710
Royal Dutch Petroleum Co. 47,920 5,067,540 78025770
Santa Fe Energy Resources, Inc. 8,066 77,635 80201210
Sun Company, Inc. 9,480 296,250 86676210
Texaco, Inc. 23,140 1,576,413 88169410
Unocal Corp. 21,600 631,800 91528910
USX-Marathon Group 25,600 473,600 90290582
27,893,500
TOTAL ENERGY 30,549,356
FINANCE - 11.0%
BANKS - 5.0%
Banc One Corp. 30,475 1,169,478 05943810
Bank of Boston Corp. 8,231 193,429 06071610
Bankers Trust New York Corp. 7,450 590,413 06636510
BankAmerica Corp. 31,764 1,326,147 06605010
Barnett Banks, Inc. 8,700 364,313 06805510
Boatmen's Bancshares, Inc. 8,800 260,700 09665010
Chase Manhattan Corp. 16,383 540,639 16161010
Chemical Banking Corp. 22,567 902,680 16372210
Citicorp (a) 33,563 1,216,659 17303410
CoreStates Financial Corp. 10,500 294,000 21869510
First Chicago Corp. 7,416 332,793 31945510
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
FINANCE - CONTINUED
BANKS - CONTINUED
First Fidelity Bancorporation 6,883 $ 279,622 32019510
First Interstate Bancorp 6,810 395,831 32054810
First Union Corp. 14,992 609,050 33735810
Fleet Financial Group, Inc. 12,270 384,971 33891510
Mellon Bank Corp. 5,546 298,791 58550910
Morgan (J.P.) & Co., Inc. 17,370 1,239,784 61688010
NBD Bancorp, Inc. 14,350 450,231 62890010
NationsBank Corp. 23,996 1,118,814 63858510
Norwest Corp. 26,000 669,500 66938010
PNC Financial Corp. 20,960 602,600 69347510
Shawmut National Corp. 8,400 185,850 82048410
SunTrust Banks, Inc. 11,200 491,400 86791410
U.S. Bancorp 8,850 217,931 91159610
Wachovia Corp. 10,000 382,500 92977110
Wells Fargo & Co. 4,970 551,049 94974010
15,069,175
CREDIT & OTHER FINANCE - 1.4%
American Express Co. 43,400 1,399,650 02581610
Beneficial Corp. 2,300 176,525 08172110
Dean Witter Discover & Co. 15,118 621,728 24240V10
Household International, Inc. 8,466 310,067 44181510
MBNA Corp. 8,900 303,713 55262L10
Primerica Corp. 20,866 920,712 74158910
Transamerica Corporation 7,050 401,850 89348510
4,134,245
FEDERAL SPONSORED CREDIT - 0.9%
Federal Home Loan Mortgage Corporation 16,000 820,000 31340030
Federal National Mortgage Association 24,370 1,897,814 31358610
2,717,814
INSURANCE - 3.1%
Aetna Life & Casualty Co. 9,830 646,323 00814010
Alexander & Alexander Services, Inc. 3,700 76,313 01447610
American General Corp. 19,420 570,463 02635110
American International Group, Inc. 28,375 2,553,750 02687410
CIGNA Corp. 6,420 430,943 12550910
CNA Financial Corp. (a) 5,480 454,840 12611710
Capital Holding Corp. 9,020 373,203 14018610
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
FINANCE - CONTINUED
INSURANCE - CONTINUED
Chubb Corp. (The) 7,880 $ 647,145 17123210
Continental Corp. 4,900 159,863 21132710
General Re Corp. 7,540 872,755 37056310
Jefferson Pilot Corp. 4,515 232,523 47507010
Lincoln National Corp. 8,360 380,380 53418710
Marsh & McLennan Companies, Inc. 6,560 534,640 57174810
SAFECO Corp. 5,660 328,280 78642910
St. Paul Companies, Inc. (The) 3,750 351,563 79286010
Torchmark Corp. 6,620 307,003 89102710
Travelers Corp. (The) 13,000 458,250 89418010
USF&G Corp. 7,600 103,550 90329010
USLIFE Corp. 1,980 83,408 91731810
9,565,195
SAVINGS & LOANS - 0.2%
Ahmanson (H.F.) & Co. 10,500 190,313 00867710
Golden West Financial Corp. 5,700 242,963 38131710
Great Western Financial Corp. 11,746 224,642 39144210
657,918
SECURITIES INDUSTRY - 0.4%
Merrill Lynch & Co., Inc. 9,500 920,313 59018810
Salomon, Inc. 9,900 447,975 79549B10
1,368,288
TOTAL FINANCE 33,512,635
HEALTH - 7.6%
DRUGS & PHARMACEUTICALS - 5.0%
ALZA Corp. Class A (a) 6,700 172,525 02261510
Allergan, Inc. 5,900 134,963 01849010
American Cyanamid Co. 8,050 438,725 02532110
American Home Products Corp. 27,660 1,728,750 02660910
Amgen, Inc. (a) 12,200 556,625 03116210
Bristol-Myers Squibb Co. 46,290 2,719,538 11012210
IMCERA Group, Inc. 6,830 243,319 45245410
Lilly (Eli) & Co. 26,160 1,415,910 53245710
Merck & Co., Inc. 101,490 3,260,366 58933110
Pfizer, Inc. 28,340 1,764,165 71708110
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
HEALTH - CONTINUED
DRUGS & PHARMACEUTICALS - CONTINUED
Schering-Plough Corp. 17,470 $ 1,187,960 80660510
Syntex Corporation 19,760 358,150 87161610
Upjohn Co. 15,560 507,645 91530210
Warner-Lambert Co. 12,140 843,730 93448810
15,332,371
MEDICAL EQUIPMENT & SUPPLIES - 2.3%
Abbott Laboratories 74,320 2,108,830 00282410
Bard (C.R.), Inc. 4,700 118,675 06738310
Bausch & Lomb, Inc. 5,340 277,013 07170710
Baxter International, Inc. 24,700 586,625 07181310
Becton, Dickinson & Co. 6,700 254,600 07588710
Biomet, Inc. (a) 10,300 105,575 09061310
Johnson & Johnson 58,620 2,469,368 47816010
McKesson Corp. 3,600 192,150 58155610
Medtronic, Inc. 5,200 385,450 58505510
Millipore Corp. 2,500 86,875 60107310
National Intergroup, Inc. (a) 1,800 27,675 63654010
Pall Corp. 10,366 215,095 69642930
St. Jude Medical, Inc. 4,200 117,600 79084910
U.S. Surgical Corp. 5,000 118,750 91270710
7,064,281
MEDICAL FACILITIES MANAGEMENT - 0.3%
Beverly Enterprises, Inc. (a) 6,900 75,038 08785110
Columbia Healthcare Corp. 13,020 374,325 19767910
Community Psychiatric Centers 3,800 53,200 20401510
Manor Care, Inc. 5,150 115,875 56405410
National Medical Enterprises, Inc. 14,800 166,500 63688610
784,938
TOTAL HEALTH 23,181,590
INDUSTRIAL MACHINERY & EQUIPMENT - 5.4%
ELECTRICAL EQUIPMENT - 3.4%
Corning, Inc. 18,040 466,785 21935010
Emerson Electric Co. 20,170 1,157,254 29101110
General Electric Co. 76,350 7,405,950 36960410
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
INDUSTRIAL MACHINERY & EQUIPMENT - CONTINUED
ELECTRICAL EQUIPMENT - CONTINUED
General Signal Corp. 3,960 $ 139,590 37083810
Grainger (W.W.), Inc. 4,600 251,275 38480210
Honeywell, Inc. 11,980 402,828 43850610
Scientific-Atlanta, Inc. 3,350 117,669 80865510
Westinghouse Electric Corp. 31,330 454,285 96040210
Zenith Electronics Corp. (a) 2,800 22,050 98934910
10,417,686
INDUSTRIAL MACHINERY & EQUIPMENT - 1.5%
Briggs & Stratton Corp. 1,300 113,588 10904310
Caterpillar, Inc. 9,030 826,245 14912310
Cincinnati Milacron, Inc. 2,600 62,400 17217210
Clark Equipment Co. (a) 1,540 80,080 18139610
Cooper Industries, Inc. 10,210 533,473 21666910
Deere & Co. 7,090 547,703 24419910
Dover Corp. 5,060 290,950 26000310
Giddings & Lewis, Inc. 3,000 72,750 37504810
Harnischfeger Industries, Inc. 2,300 50,888 41334510
Illinois Tool Works, Inc. 10,060 375,993 45230810
Ingersoll-Rand Co. 9,440 344,560 45686610
Parker-Hannifin Corp. 4,300 147,275 70109410
TRINOVA Corp. 2,500 77,500 89667810
Tenneco, Inc. 14,370 732,870 88037010
Timken Co. 2,717 87,623 88738910
Varity Corp. (a) 2,990 115,115 92224R60
4,459,013
POLLUTION CONTROL - 0.5%
Browning-Ferris Industries, Inc. 15,460 349,783 11588510
Ogden Corp. 3,900 93,600 67634610
Rollins Environmental Services, Inc. 5,400 28,350 77570910
Safety Kleen Corp. 5,125 70,469 78648410
WMX Technologies, Inc. 43,160 1,062,815 92929Q10
Zurn Industries, Inc. 1,110 29,970 98982410
1,634,987
TOTAL INDUSTRIAL MACHINERY & EQUIPMENT 16,511,686
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
MEDIA & LEISURE - 5.1%
BROADCASTING - 1.5%
CBS, Inc. 1,321 $ 407,198 12484510
Capital Cities/ABC, Inc. 1,441 878,470 13985910
Comcast Corp. Class A 12,700 530,225 20030010
Tele-Communications, Inc. Class A (a) 38,500 1,174,250 87924010
Time Warner, Inc. 33,527 1,500,333 88731510
4,490,476
ENTERTAINMENT - 1.0%
Disney (Walt) Co. 47,920 2,048,580 25468710
King World Productions, Inc. 3,300 128,288 49566710
Paramount Communications, Inc. 10,600 851,975 69921610
3,028,843
LEISURE DURABLES & TOYS - 0.3%
Brunswick Corp. 8,500 132,813 11704310
Fleetwood Enterprises, Inc. 4,100 92,763 33909910
Hasbro, Inc. 7,850 284,563 41805610
Mattel, Inc. 8,612 249,748 57708110
Outboard Marine Corp. 1,800 31,725 69002010
791,612
LODGING & GAMING - 0.3%
Bally Manufacturing Corp. (a) 4,200 42,000 05873210
Hilton Hotels Corp. 4,240 198,750 43284810
Marriott International, Inc. 9,200 241,500 57190010
Promus Companies, Inc. (a) 6,100 446,825 74342A10
929,075
PUBLISHING - 1.3%
American Greetings Corp. Class A 6,560 191,060 02637510
Dow Jones & Co., Inc. 8,900 317,063 26056110
Dun & Bradstreet Corp. 15,920 1,066,640 26483010
Gannett Co., Inc. 13,150 675,581 36473010
Harcourt General, Inc. 6,876 302,544 41163G10
Knight-Ridder, Inc. 4,880 269,620 49904010
McGraw-Hill, Inc. 4,350 322,988 58064510
Meredith Corp. 1,400 56,175 58943310
New York Times Co. (The) Class A 9,400 222,075 65011110
Times Mirror Co., Series A 11,500 379,500 88736010
Tribune Co. 5,990 332,445 89604710
4,135,691
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
MEDIA & LEISURE - CONTINUED
RESTAURANTS - 0.7%
Luby's Cafeterias, Inc. 2,450 $ 54,819 54928210
McDonald's Corp. 31,600 1,820,950 58013510
Ryan's Family Steak Houses, Inc. (a) 4,800 39,600 78351910
Shoney's, Inc. (a) 3,600 82,800 82503910
Wendy's International, Inc. 8,900 147,963 95059010
2,146,132
TOTAL MEDIA & LEISURE 15,521,829
NONDURABLES - 11.3%
AGRICULTURE - 0.1%
Pioneer Hi-Bred International, Inc. 8,000 284,000 72368610
BEVERAGES - 3.4%
Anheuser-Busch Companies, Inc. 24,170 1,151,096 03522910
Brown-Forman Corp. Class B 2,460 194,033 11563720
Coca-Cola Company (The) 116,240 5,041,910 19121610
Coors (Adolph) Co. Class B 3,400 70,975 21701610
PepsiCo, Inc. 70,960 2,802,920 71344810
Seagram Co. Ltd. 33,420 961,763 81185010
10,222,697
FOODS - 3.2%
Archer-Daniels-Midland Co. 30,625 704,375 03948310
Borden, Inc. 12,600 201,600 09959910
CPC International, Inc. 13,720 658,560 12614910
Campbell Soup Co. 22,580 939,893 13442910
ConAgra, Inc. 22,550 608,850 20588710
General Mills, Inc. 14,320 916,480 37033410
Gerber Products Co. 6,200 176,700 37371210
Heinz (H.J.) Co. 22,700 854,088 42307410
Hershey Foods Corp. 8,060 427,180 42786610
Kellogg Co. 20,540 1,173,348 48783610
Pet, Inc. 9,600 164,400 71582510
Quaker Oats Co. 6,400 454,400 74740210
Ralston Purina Co. 9,280 386,280 75127730
SYSCO Corp. 16,640 476,320 87182910
Sara Lee Corp. 43,400 1,150,100 80311110
Wrigley (Wm.) Jr. Company 10,380 448,935 98252610
9,741,509
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
NONDURABLES - CONTINUED
HOUSEHOLD PRODUCTS - 2.9%
Alberto Culver Co. Class B cv 2,600 $ 54,925 01306810
Avon Products, Inc. 6,410 323,705 05430310
Clorox Co. 4,860 257,580 18905410
Colgate-Palmolive Co. 13,860 814,275 19416210
Gillette Company 19,680 1,198,020 37576610
International Flavors & Fragrances, Inc. 3,450 374,325 45950610
Premark International, Inc. 2,800 214,200 74045910
Procter & Gamble Co. 60,960 3,307,080 74271810
Rubbermaid, Inc. 14,380 499,705 78108810
Unilever NV ADR 14,270 1,637,483 90478450
8,681,298
TOBACCO - 1.7%
American Brands, Inc. 18,060 623,070 02470310
Philip Morris Companies, Inc. 78,360 4,211,850 71815410
UST, Inc. 18,700 493,213 90291110
5,328,133
TOTAL NONDURABLES 34,257,637
PRECIOUS METALS - 0.4%
Echo Bay Mines Ltd. 10,000 124,957 27875110
Homestake Mining Co. 12,200 234,850 43761410
Newmont Mining Corp. 6,060 317,393 65163910
Placer Dome, Inc. 21,200 519,785 72590610
1,196,985
RETAIL & WHOLESALE - 6.5%
APPAREL STORES - 0.6%
Brown Group, Inc. 1,600 54,400 11565710
Charming Shoppes, Inc. 9,200 129,950 16113310
Gap, Inc. 12,980 462,413 36476010
Genesco, Inc. (a) 2,100 13,650 37153210
Limited, Inc. (The) 32,400 692,550 53271610
Melville Corp. 9,360 393,120 58574510
TJX Companies, Inc. 6,600 201,300 87254010
1,947,383
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
RETAIL & WHOLESALE - CONTINUED
DRUG STORES - 0.2%
Long Drug Stores, Inc. 1,870 $ 63,580 54316210
Rite Aid Corporation 7,900 128,375 76775410
Walgreen Co. 11,020 468,350 93142210
660,305
GENERAL MERCHANDISE STORES - 3.9%
Dayton Hudson Corp. 6,350 441,325 23975310
Dillard Department Stores, Inc. Class A 10,060 369,705 25406310
K mart Corp. 36,500 894,250 48258410
May Department Stores Co. (The) 22,180 981,465 57777810
Mercantile Stores Co., Inc. 3,310 118,333 58753310
Nordstrom, Inc. 7,300 253,675 65566410
Penney (J.C.) Co., Inc. 21,020 1,093,040 70816010
Price/Costco, Inc. 9,095 161,436 74143W10
Sears, Roebuck & Co. 31,310 1,796,411 81238710
Wal-Mart Stores, Inc. 205,660 5,424,283 93114210
Woolworth Corp. 11,740 265,618 98088310
11,799,541
GROCERY STORES - 0.7%
Albertson's, Inc. 22,580 589,903 01310410
American Stores Co. 6,340 256,770 03009610
Bruno's, Inc. 7,000 75,250 11688110
Fleming Companies, Inc. 3,278 100,799 33913010
Giant Food, Inc. Class A 5,300 127,863 37447810
Great Atlantic & Pacific Tea Co., Inc. 3,450 91,425 39006410
Kroger Co. (The) (a) 9,500 186,438 50104410
Supervalue, Inc. 6,400 216,000 86853610
Winn-Dixie Stores, Inc. 6,820 395,560 97428010
2,040,008
RETAIL & WHOLESALE, MISC - 1.1%
Circuit City Stores, Inc. 8,600 240,800 17273710
Handleman Co. (Del.) 3,000 36,750 41025210
Home Depot, Inc. (The) 39,982 1,584,287 43707610
Lowe's Companies, Inc. 6,580 306,793 54866110
Tandy Corp. 5,666 231,598 87538210
Toys "R" Us, Inc. (a) 26,125 1,048,266 89233510
3,448,494
TOTAL RETAIL & WHOLESALE 19,895,731
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
SERVICES - 1.0%
ADVERTISING - 0.1%
Interpublic Group of Companies, Inc. 6,700 $ 206,863 46069010
LEASING & RENTAL - 0.2%
Blockbuster Entertainment Corp. 18,300 519,263 09367610
Ryder Systems, Inc. 6,800 192,950 78354910
712,213
PRINTING - 0.4%
Alco Standard Corp. 4,200 192,150 01378810
Deluxe Corp. 7,400 264,550 24801910
Donnelley (R.R.) & Sons Co. 13,820 402,508 25786710
Harland (John H.) Co. 2,900 69,963 41269310
Moore Corporation Ltd. 8,937 186,970 61578510
1,116,141
SERVICES - 0.3%
Block (H&R), Inc. 9,480 378,015 09367110
Ecolab, Inc. 2,800 132,650 27886510
Jostens, Inc. 4,100 79,438 48108810
National Education Corp. (a) 2,600 15,275 63577110
National Service Industries, Inc. 4,400 105,600 63765710
Service Corp. International 7,450 194,631 81756510
905,609
TOTAL SERVICES 2,940,826
TECHNOLOGY - 6.6%
COMMUNICATIONS EQUIPMENT - 0.3%
Andrew Corp. (a) 1,500 56,625 03442510
DSC Communications Corp. (a) 4,100 269,063 23331110
M/A-Com, Inc. (a) 2,200 18,700 55261810
Northern Telecom Ltd. 22,300 635,418 66581510
979,806
COMPUTER SERVICES & SOFTWARE - 1.0%
Autodesk, Inc. 2,120 91,160 05276910
Automatic Data Processing, Inc. 12,660 675,728 05301510
Ceridian Corp. (a) 3,800 69,825 15677T10
Computer Associates International, Inc. 14,800 562,400 20491210
Computer Sciences Corp. (a) 1,450 133,219 20536310
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
TECHNOLOGY - CONTINUED
COMPUTER SERVICES & SOFTWARE - CONTINUED
Lotus Development Corp. (a) 3,800 $ 184,300 54570010
Novell, Inc. 27,300 586,950 67000610
Oracle Systems Corp. (a) 12,700 752,475 68389X10
Shared Medical Systems Corp. 2,000 50,000 81948610
3,106,057
COMPUTERS & OFFICE EQUIPMENT - 2.4%
Amdahl Corp. 10,200 47,175 02390510
Apple Computer, Inc. 10,350 318,263 03783310
Compaq Computer Corp. (a) 7,360 496,800 20449310
Cray Research, Inc. (a) 2,360 64,310 22522410
Data General Corp. (a) 3,100 29,450 23768810
Digital Equipment Corp. (a) 11,820 421,088 25384910
Hewlett-Packard Co. 22,680 1,669,815 42823610
Intergraph Corp. (a) 4,200 46,725 45868310
International Business Machines Corp. 51,070 2,349,220 45920010
Pitney Bowes, Inc. 14,140 554,995 72447910
Sun Microsystems, Inc. (a) 9,500 242,250 86681010
Tandem Computers, Inc. 10,100 111,100 87537010
Unisys Corp. (a) 14,600 167,900 90921410
Xerox Corp. 9,250 733,063 98412110
7,252,154
ELECTRONIC INSTRUMENTS - 0.1%
Perkin-Elmer Corp. 4,000 140,000 71404110
Tektronix, Inc. 2,700 62,438 87913110
202,438
ELECTRONICS - 2.1%
AMP, Inc. 9,390 585,701 03189710
Advanced Micro Devices, Inc. (a) 8,100 159,975 00790310
Intel Corp. 37,680 2,383,260 45814010
Motorola, Inc. 24,300 2,545,425 62007610
National Semiconductor Corp. (a) 9,800 164,150 63764010
Texas Instruments, Inc. 7,380 484,313 88250810
Thomas & Betts Corp. 1,660 99,600 88431510
6,422,424
PHOTOGRAPHIC EQUIPMENT - 0.7%
Eastman Kodak Co. 29,370 1,850,310 27746110
Polaroid Corp. 4,140 151,628 73109510
2,001,938
TOTAL TECHNOLOGY 19,964,817
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
TRANSPORTATION - 1.9%
AIR TRANSPORTATION - 0.4%
AMR Corp. (a) 6,770 $ 474,746 00176510
Delta Air Lines, Inc. 4,480 259,840 24736110
UAL Corp. (a) 2,140 325,280 90254910
USAir Group, Inc. (a) 4,500 64,688 91190510
1,124,554
RAILROADS - 1.3%
Burlington Northern, Inc. 7,950 447,188 12189710
CSX Corp. 9,300 753,300 12640810
Conrail, Inc. 7,140 443,573 20836810
Norfolk Southern Corp. 12,440 824,150 65584410
Santa Fe Pacific Corp. 16,342 308,455 80218310
Union Pacific Corp. 18,340 1,160,005 90781810
3,936,671
TRUCKING & FREIGHT - 0.2%
Consolidated Freightways, Inc. (a) 3,200 69,600 20923710
Federal Express Corp. (a) 4,890 330,075 31330910
Roadway Services, Inc. 3,500 210,000 76974810
Yellow Corp. 2,500 57,500 98550910
667,175
TOTAL TRANSPORTATION 5,728,400
UTILITIES - 15.2%
CELLULAR - 0.2%
McCaw Cellular Communications, Inc. Class A (a) 14,000 745,500 57946810
ELECTRIC UTILITY - 4.8%
American Electric Power Co., Inc. 16,500 635,250 02553710
Baltimore Gas & Electric Co. 12,950 338,319 05916510
Carolina Power & Light Co. 14,400 455,400 14414110
Central & South West Corp. 16,880 550,710 15235710
Commonwealth Edison Co. 19,100 575,388 20279510
Consolidated Edison Co. of New York, Inc. 20,900 726,275 20911110
Detroit Edison Company 13,100 440,488 25084710
Dominion Resources, Inc. (Va.) 14,710 709,758 25747010
Duke Power Co. 18,360 803,250 26439910
Entergy Corp. 15,700 612,300 29364F10
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
UTILITIES - CONTINUED
ELECTRIC UTILITY - CONTINUED
FPL Group, Inc. 16,800 $ 661,500 30257110
Houston Industries, Inc. 11,600 561,150 44216110
Niagara Mohawk Power Corp. 12,700 279,400 65352210
Northern States Power Co. (Minn.) 5,960 264,475 66577210
Ohio Edison Co. 13,600 328,100 67734710
PSI Resources, Inc. 5,100 135,788 69363210
Pacific Gas & Electric Co. 38,700 1,402,875 69430810
PacifiCorp. 24,500 480,813 69511410
Philadelphia Electric Co. 19,800 618,750 71753710
Public Service Enterprise Group, Inc. 21,600 729,000 74457310
SCEcorp 40,000 840,000 78388210
Southern Co. 28,500 1,278,938 84258710
Texas Utilities Co. 19,916 896,220 88284810
Union Electric Co. 9,100 379,925 90654810
14,704,072
GAS - 1.0%
Arkla, Inc. 10,900 88,563 04123710
Coastal Corp. (The) 9,300 254,588 19044110
Columbia Gas System, Inc. (The) (a) 4,520 118,650 19764810
Consolidated Natural Gas Co. 8,290 401,029 20961510
ENSERCH Corp. 5,900 117,263 29356710
Enron Corp. 21,240 719,505 29356110
NICOR, Inc. 5,040 142,380 65408610
ONEOK, Inc. 2,400 51,000 68267810
Pacific Enterprises 7,380 193,725 69423210
Panhandle Eastern Corp. 10,600 251,750 69846210
Peoples Energy Corp. 3,100 98,425 71103010
Sonat, Inc. 7,760 241,530 83541510
Transco Energy Co. 3,600 58,050 89353210
Williams Companies, Inc. 4,400 261,250 96945710
2,997,708
TELEPHONE SERVICES - 9.2%
American Telephone & Telegraph Co. 120,462 6,941,623 03017710
Ameritech Corp. 24,300 2,059,425 03095410
Bell Atlantic Corp. 38,850 2,471,831 07785310
BellSouth Corp. 44,320 2,781,080 07986010
GTE Corp. 84,480 3,358,080 36232010
MCI Communications Corp. 47,460 1,352,610 55267310
NYNEX Corp. 36,920 1,559,870 67076810
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
UTILITIES - CONTINUED
TELEPHONE SERVICES - CONTINUED
Pacific Telesis Group 37,130 $ 2,037,509 69489010
Southwestern Bell Corp. 53,520 2,368,260 84533310
Sprint Corporation 30,390 1,094,040 85206110
U.S. West, Inc. 37,240 1,866,655 91288910
27,890,983
TOTAL UTILITIES 46,338,263
TOTAL COMMON STOCKS
(Cost $234,135,209) 293,461,893
U.S. TREASURY OBLIGATIONS - 0.2%
PRINCIPAL
AMOUNT
8 5/8%, 10/15/95 (b) (Cost $553,281) $ 500,000 543,280 912827WT
REPURCHASE AGREEMENTS - 3.4%
MATURITY
AMOUNT
Investments in repurchase agreements
(U.S. Treasury obligations), in a
joint trading account at 2.96%
dated 10/29/93 due 11/1/93 $ 10,498,589 10,496,000
TOTAL INVESTMENT IN SECURITIES - 100%
(Cost $245,184,490) $ 304,501,173
FUTURES CONTRACTS
EXPIRATION UNDERLYING FACE UNREALIZED
DATE AMOUNT AT VALUE GAIN
PURCHASED
46 S&P 500 Index Contracts Dec. 1993 $ 10,765,150 $ 24,565
THE VALUE OF FUTURES CONTRACTS PURCHASED AS A PERCENTAGE OF TOTAL
INVESTMENT IN SECURITIES - 3.5%
LEGEND
(a) Non-income producing
(b) Security pledged to cover margin requirements for futures contracts. At
the period end, the value of the security pledged amounted to $543,280.
INCOME TAX INFORMATION
At October 31, 1993, the aggregate cost of investment securities for income
tax purposes was $245,190,837. Net unrealized appreciation aggregated
$59,310,336, of which $71,609,318 related to appreciated investment
securities and $12,298,982 related to depreciated investment securities.
FINANCIAL STATEMENTS
STATEMENT OF ASSETS AND LIABILITIES
<TABLE>
<CAPTION>
<S> <C> <C>
OCTOBER 31, 1993 (UNAUDITED)
ASSETS
Investment in securities, at value (including repurchase $ 304,501,173
agreements of $10,496,000) (cost $245,184,490)
(Notes 1 and 2) - See accompanying schedule
Cash 1,005
Receivable for investments sold 4,200
Receivable for fund shares sold 102,132
Dividends receivable 634,975
Interest receivable 1,896
Receivable for daily variation on futures contracts 320
TOTAL ASSETS 305,245,701
LIABILITIES
Payable for fund shares redeemed $ 1,220,232
Accrued management fee 114,089
Other payables and accrued expenses 1,369
TOTAL LIABILITIES 1,335,690
NET ASSETS $ 303,910,011
Net Assets consist of (Note 1):
Paid in capital $ 246,289,528
Undistributed net investment income 420,177
Accumulated undistributed net realized gain (loss) on (2,140,942)
investments
Net unrealized appreciation (depreciation) on:
Investment securities 59,316,683
Futures contracts 24,565
NET ASSETS, for 8,751,799 shares outstanding $ 303,910,011
NET ASSET VALUE, offering price and redemption price per $34.73
share ($303,910,011 (divided by) 8,751,799 shares)
</TABLE>
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
<S> <C> <C>
SIX MONTHS ENDED OCTOBER 31, 1993 (UNAUDITED)
INVESTMENT INCOME $ 4,392,131
Dividends
Interest (including security lending fees of $566) 117,888
(Note 5)
TOTAL INCOME 4,510,019
EXPENSES
Management fee (Note 4) $ 688,775
Non-interested trustees' compensation 1,137
Interest (Note 6) 627
TOTAL EXPENSES 690,539
NET INVESTMENT INCOME 3,819,480
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
(NOTES 1 AND 3)
Net realized gain (loss) on:
Investment securities (2,338,078)
Futures contracts 120,660 (2,217,418)
Change in net unrealized appreciation (depreciation) on:
Investment securities 20,513,778
Futures contracts 170,915 20,684,693
NET GAIN (LOSS) 18,467,275
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM $ 22,286,755
OPERATIONS
</TABLE>
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
<S> <C> <C>
SIX MONTHS YEAR ENDED
ENDED OCTOBER APRIL 30,
31, 1993
1993
(UNAUDITED)
INCREASE (DECREASE) IN NET ASSETS
Operations $ 3,819,480 $ 6,740,226
Net investment income
Net realized gain (loss) on investments (2,217,418) 2,312,305
Change in net unrealized appreciation (depreciation) 20,684,693 13,466,912
on
investments
NET INCREASE (DECREASE) IN NET ASSETS RESULTING 22,286,755 22,519,443
FROM
OPERATIONS
Distributions to shareholders from: (3,635,795) (6,696,837)
Net investment income
Net realized gain (1,659,696) -
Share transactions 34,797,583 130,822,814
Net proceeds from sales of shares
Reinvestment of distributions from: 3,470,256 6,448,141
Net investment income
Net realized gain 1,630,328 -
Cost of shares redeemed (57,909,602) (77,810,587)
Redemption fees (Note 1) 31,251 62,997
Net increase (decrease) in net assets resulting from (17,980,184) 59,523,365
share
transactions
TOTAL INCREASE (DECREASE) IN NET ASSETS (988,920) 75,345,971
NET ASSETS
Beginning of period 304,898,931 229,552,960
End of period (including undistributed net investment $ 303,910,011 $ 304,898,931
income of $420,177 and $215,489, respectively)
OTHER INFORMATION
Shares
Sold 1,036,659 4,094,013
Issued in reinvestment of distributions from: 102,833 201,211
Net investment income
Net realized gain 48,915 -
Redeemed (1,720,588) (2,430,144)
Net increase (decrease) (532,181) 1,865,080
</TABLE>
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
SIX MONTHS YEARS ENDED APRIL 30, MARCH 6, 1990
ENDED (COMMENCEME
OCTOBER 31, NT OF
1993 OPERATIONS) TO
APRIL 30,
(UNAUDITED) 1993 1992 1991 1990
SELECTED PER-SHARE
DATA
Net asset value, $ 32.84 $ 30.94 $ 28.06 $ 24.58 $ 25.00
beginning of period
Income from Investment
Operations
Net investment income .42 .81 .82 .76 .13
Net realized and 2.05 1.89 2.94 3.49 (.57)
unrealized gain (loss)
on investments
Total from investment 2.47 2.70 3.76 4.25 (.44)
operations
Less Distributions
From net investment (.40) (.81) (.83) (.85) -
income
From net realized gain (.18) - (.07) - -
Total distributions (.58) (.81) (.90) (.85) -
Redemption fees added .00 .01 .02 .08 .02
to paid in capital
Net asset value, end of $ 34.73 $ 32.84 $ 30.94 $ 28.06 $ 24.58
period
TOTAL RETURN (dagger)(double dagger) 7.59% 8.85 13.74 18.04 (1.68)%
% % %
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period $ 303,910 $ 304,899 $ 229,553 $ 111,931 $ 14,767
(000 omitted)
Ratio of expenses to .45% .44 .35 .28 .28%*
average net assets * % % %
Ratio of expenses to .45% .45 .45 .45 .45%*
average net assets * % % %
before expense
reductions
Ratio of net investment 2.48% 2.54 2.84 3.52 3.41%*
income to average net * % % %
assets
Portfolio turnover rate 1% 0 1 1 0%
* % % %
</TABLE>
* ANNUALIZED
(dagger) TOTAL RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT
ANNUALIZED.
(double dagger) THE TOTAL RETURNS WOULD HAVE BEEN LOWER HAD THE ADVISER NOT
REDUCED CERTAIN EXPENSES DURING THE PERIODS SHOWN.
NOTES TO FINANCIAL STATEMENTS
For the period ended October 31, 1993 (Unaudited)
1. SIGNIFICANT ACCOUNTING
POLICIES.
Fidelity Market Index Fund (the fund) is a fund of Fidelity Commonwealth
Trust (the trust) and is authorized to issue an unlimited number of shares.
The trust is registered under the Investment Company Act of 1940, as
amended (the 1940 Act), as an open-end management investment company
organized as a Massachusetts business trust. The following summarizes the
significant accounting policies of the fund:
SECURITY VALUATION. Securities for which exchange quotations are readily
available are valued at the last sale price, or if no sale price, at the
closing bid price. Securities for which exchange quotations are not readily
available (and in certain cases debt securities which trade on an
exchange), are valued primarily using dealer-supplied valuations or at
their fair value as determined in good faith under consistently applied
procedures under the general supervision of the Board of Trustees.
Short-term securities maturing within sixty days are valued at amortized
cost or original cost plus accrued interest, both of which approximate
current value.
FOREIGN CURRENCY TRANSLATION. The accounting records of the fund are
maintained in U.S. dollars. Investment securities, other assets and
liabilities denominated in a foreign currency are translated into U.S.
dollars at the current exchange rate. Purchases and sales of securities,
income receipts and expense payments are translated into U.S. dollars at
the exchange rate on the dates of the transactions.
It is not practical to identify the portion of each amount shown in the
fund's Statement of Operations under the caption "Realized and Unrealized
Gain (Loss) on Investments" that arises from changes in foreign currency
exchange rates. Investment income includes net realized and unrealized
currency gains and losses recognized between accrual and payment dates.
INCOME TAXES. As a qualified regulated investment company under Subchapter
M of the Internal Revenue Code, the fund is not subject to income taxes to
the extent that it distributes all of its taxable income for its fiscal
year. The schedule of investments includes information regarding income
taxes under the caption "Income Tax Information."
INVESTMENT INCOME. Dividend income is recorded on the ex-dividend date,
except certain dividends from foreign securities where the ex-dividend date
may have passed, are recorded as soon as the fund is informed of the
ex-dividend date. Interest income is accrued as earned. Dividend and
interest income is recorded net of foreign taxes where recovery of such
taxes is not assured.
EXPENSES. Most expenses of the trust can be directly attributed to a fund.
Expenses which cannot be directly attributed are apportioned between the
funds in the trust.
1. SIGNIFICANT ACCOUNTING
POLICIES - CONTINUED
DISTRIBUTIONS TO SHAREHOLDERS. Distributions are recorded on the
ex-dividend date.
Income and capital gain distributions are determined in accordance with
income tax regulations which may differ from generally accepted accounting
principles. These differences are primarily due to differing treatments for
non-
taxable dividends. The fund also utilized earnings and profits distributed
to shareholders on redemption of shares as a part of the dividends paid
deduction for income tax purposes.
REDEMPTION FEES. Shares held in the fund less than 180 days are subject to
a redemption fee equal to .50% of the proceeds of the redeemed shares. The
fee, which is retained by the fund, is accounted for as an addition to paid
in capital.
SECURITY TRANSACTIONS. Security transactions are accounted for as of trade
date. Gains and losses on securities sold are determined on the basis of
identified cost.
CHANGE IN ACCOUNTING FOR DISTRIBUTIONS TO SHAREHOLDERS. Effective May 1,
1993, the fund adopted Statement of Position 93-2: Determination,
Disclosure, and Financial Statement Presentation of Income, Capital Gain,
and Return of Capital Distributions by Investment Companies. As a result,
the fund changed the classification of distributions to shareholders to
better disclose the differences between financial statement amounts and
distributions determined in accordance with income tax regulations.
Accordingly, amounts as of April 30, 1993 have been reclassified to reflect
an increase in paid in capital of $215,696, an increase in undistributed
net investment income of $21,003 and a decrease in accumulated net realized
gain on investments of $236,699.
2. OPERATING POLICIES.
FORWARD FOREIGN CURRENCY CONTRACTS. The fund may enter into forward foreign
currency contracts. These contracts involve market risk in excess of the
amount reflected in the fund's Statement of Assets and Liabilities. The
face or contract amount in U.S. dollars reflects the total exposure the
fund has in that particular currency contract. The U.S. dollar value of
forward foreign currency contracts is determined using forward currency
exchange rates supplied by a quotation service. Losses may arise due to
changes in the value of the foreign currency or if the counterparty does
not perform under the contract.
Purchases and sales of forward foreign currency contracts having the same
settlement date and broker are offset and presented net on the Statement of
Assets and Liabilities. Gain (loss) on the purchase or sale of forward
foreign currency contracts having the same settlement date and broker are
recognized on the date of offset, otherwise gain (loss) is recognized on
settlement date.
REPURCHASE AGREEMENTS. The fund, through its custodian, receives delivery
of the underlying securities, whose market value is required to be at least
102% of the
2. OPERATING POLICIES -
CONTINUED
REPURCHASE AGREEMENTS - CONTINUED
resale price at the time of purchase. The fund's investment adviser,
Fidelity Management & Research Company (FMR), is responsible for
determining that the value of these underlying securities remains at least
equal to the resale price.
JOINT TRADING ACCOUNT. Pursuant to an Exemptive Order issued by the
Securities and Exchange Commission, the fund, along with other registered
investment companies having management contracts with FMR, may transfer
uninvested cash balances into a joint trading account. These balances are
invested in one or more repurchase agreements that are collateralized by
U.S. Treasury or Federal Agency obligations.
FUTURES CONTRACTS AND OPTIONS. The fund may invest in futures contracts and
write options. These investments involve, to varying degrees, elements of
market risk and risks in excess of the amount recognized in the Statement
of Assets and Liabilities. The face or contract amounts reflect the extent
of the involvement the fund has in the particular classes of instruments.
Risks may be caused by an imperfect correlation between movements in the
price of the instruments and the price of the underlying securities and
interest rates. Risks also may arise if there is an illiquid secondary
market for the instruments, or due to the inability of counterparties to
perform.
Futures contracts are valued at the settlement price established each day
by the board of trade or exchange on which they are traded. Options traded
on an exchange are valued using the last sale price or, in the absence of a
sale, the last offering price. Options traded over-the-counter are valued
using dealer-supplied valuations.
3. PURCHASES AND SALES OF
INVESTMENTS.
Purchases and sales of securities, other than short-term securities,
aggregated $1,910,056 and $26,031,556, respectively, of which sales of U.S.
government and government agency obligations aggregated $2,090,781.
The face value of futures contracts opened and closed amounted to
$32,284,235 and $29,366,375, respectively.
4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.
MANAGEMENT FEE. As the fund's investment adviser, FMR pays all expenses
except the compensation of the non-interested Trustees and certain
exceptions such as interest, taxes, brokerage commissions and extraordinary
expenses. FMR receives a fee that is computed daily at an annualized rate
of .45% of the fund's average net assets.
5. SECURITY LENDING.
The fund loaned securities to certain brokers who paid the fund negotiated
lenders' fees. These fees are included in interest income. The fund
receives U.S. Treasury obligations and/or cash as collateral against the
loaned securities, in an amount at least equal to 102% of the market value
of the loaned securities at the inception of each loan. This collateral
must be maintained at not less than 100% of the market value of the loaned
securities during the period of the loan. At period end, there were no
loans outstanding.
6. BANK BORROWINGS.
The fund is permitted to have bank borrowings for temporary or emergency
purposes to fund shareholder redemptions. The fund has established
borrowing arrangements with certain banks. Under the most restrictive
arrangement, the fund must pledge to the bank securities having a market
value in excess of 220% of the total bank borrowings. The interest rate on
the borrowings is the bank's base rate, as revised from time to time. The
maximum loan and the average daily loan balances during the periods for
which loans were outstanding amounted to $1,325,000 and $1,197,800,
respectively. The weighted average interest rate was 3.77%.
TO CALL FIDELITY
FOR FUND INFORMATION AND QUOTES
The Fidelity Telephone Connection offers you special automated telephone
services for quotes and balances. The services are easy to use,
confidential and quick. All you need is a Touch Tone telephone.
YOUR PERSONAL IDENTIFICATION NUMBER
(PIN)
The first time you call one of our automated telephone services, we'll ask
you
to set up your Personal Identification
Number (PIN). The PIN assures that
only you have automated telephone
access to your account information.
Please have your Customer Number
(T-account #) handy when you call --
you'll need it to establish your PIN. If
you would ever like to change your PIN, just choose the "Change your
Personal
Identification Number" option when
you call. If you forget your PIN, please
call a Fidelity representative at 1-800-
544-6666 for assistance.
(PHONE_GRAPHIC)(PHONE_GRAPHIC)MUTUAL FUND QUOTES*
1-800-544-8544
Just make a selection from this record-ed menu:
PRESS
For quotes on funds you own.
1.
For an individual fund quote.
2.
For the ten most frequently
requested Fidelity fund quotes.
3.
For quotes on Fidelity Select
Portfolios(Registered trademark).
4.
To change your Personal
Identification Number (PIN).
5.
To speak with a Fidelity
representative.
6.
(PHONE_GRAPHIC)(PHONE_GRAPHIC)MUTUAL FUND ACCOUNT
BALANCES 1-800-544-7544
Just make a selection from this record-
ed menu:
PRESS
For balances on funds you own.
1.
For your most recent fund activity
(purchases, redemptions, and
dividends).
2.
To change your Personal
Identification Number (PIN).
3.
To speak with a Fidelity
representative.
4.
* WHEN YOU CALL THE QUOTES LINE, PLEASE REMEMBER THAT A FUND'S YIELD AND
RETURN WILL
VARY AND, EXCEPT FOR MONEY MARKET FUNDS, SHARE PRICE WILL ALSO VARY. THIS
MEANS THAT
YOU MAY HAVE A GAIN OR LOSS WHEN YOU SELL YOUR SHARES. THERE IS NO
ASSURANCE THAT
MONEY MARKET FUNDS WILL BE ABLE TO MAINTAIN A STABLE $1 SHARE PRICE; AN
INVESTMENT IN
A MONEY MARKET FUND IS NOT INSURED OR GUARANTEED BY THE U.S. GOVERNMENT.
TOTAL
RETURNS ARE HISTORICAL AND INCLUDE CHANGES IN SHARE PRICE, REINVESTMENT OF
DIVIDENDS
AND CAPITAL GAINS, AND THE EFFECTS OF ANY SALES CHARGES. FOR MORE
INFORMATION ON ANY
FIDELITY FUND INCLUDING MANAGEMENT FEES AND CHARGES, CALL 1-800-544-8888
FOR A FREE
PROSPECTUS. READ IT CAREFULLY BEFORE YOU INVEST OR SEND MONEY.
TO WRITE FIDELITY
Please locate the address that is closest to you. We'll give your
correspondence immediate attention and send you written confirmation upon
completion of your request. Please send ALL correspondence about retirement
accounts to Dallas.
(LETTER_GRAPHIC)MAKING CHANGES
TO YOUR ACCOUNT
(such as changing name, address, bank, etc.)
Fidelity Investments
P.O. Box 2269
Boston, MA 02107-2269
Fidelity Investments
P.O. Box 660602
Dallas, TX 75266-0602
Fidelity Investments
P.O. Box 30280
Salt Lake City, UT 84130-0280
(LETTER_GRAPHIC)FOR NON-RETIREMENT
ACCOUNTS
BUYING SHARES
Fidelity Investments
Additional Payments
P.O. Box 2656
Boston, MA 02293-0656
Fidelity Investments
Additional Payments
P.O. Box 620024
Dallas, TX 75262-0024
Fidelity Investments
Additional Payments
P.O. Box 31455
Salt Lake City, UT 84131-0455
OVERNIGHT EXPRESS
Fidelity Investments
Additional Payments
World Trade Center
164 Northern Avenue
Boston, MA 02210
SELLING SHARES
Fidelity Investments
P.O. Box 193
Boston, MA 02103-0878
Fidelity Investments
P.O. Box 660602
Dallas, TX 75266-0602
Fidelity Investments
P.O. Box 30281
Salt Lake City, UT 84130-0281
OVERNIGHT EXPRESS
Fidelity Investments
Attn: Redemptions
World Trade Center
164 Northern Avenue
Boston, MA 02210
GENERAL CORRESPONDENCE
Fidelity Investments
P.O. Box 193
Boston, MA 02101-0193
Fidelity Investments
P.O. Box 660602
Dallas, TX 75266-0602
(LETTER_GRAPHIC)FOR RETIREMENT
ACCOUNTS
BUYING SHARES
Fidelity Investments
P.O. Box 620024
Dallas, TX 75262-0024
SELLING SHARES
Fidelity Investments
P.O. Box 660602
Dallas, TX 75266-0602
GENERAL CORRESPONDENCE
Fidelity Investments
P.O. Box 660602
Dallas, TX 75266-0602
INVESTMENT ADVISER
Fidelity Management & Research Company
Boston, MA
OFFICERS
Edward C. Johnson 3d, President
J. Gary Burkhead, Senior Vice President
Jonathan F. Weed, Vice President
Gary L. French, Treasurer
John H. Costello, Assistant Treasurer
Arthur S. Loring, Secretary
Robert H. Morrison, Manager,
Security Transactions
BOARD OF TRUSTEES
J. Gary Burkhead
Ralph F. Cox *
Phyllis Burke Davis *
Richard J. Flynn *
Edward C. Johnson 3d
E. Bradley Jones *
Donald J. Kirk *
Peter S. Lynch
Edward H. Malone *
Gerald C. McDonough *
Thomas R. Williams *
GENERAL DISTRIBUTOR
Fidelity Distributors Corporation
Boston, MA
TRANSFER AND SHAREHOLDER
SERVICING AGENT
Fidelity Service Co.
Boston, MA
CUSTODIAN
Brown Brothers Harriman & Co.
Boston, MA
GROWTH AND INCOME FUNDS
Balanced Fund
Convertible Securities Fund
Equity-Income Fund
Equity-Income II Fund
Fidelity Fund
Global Balanced Fund
Growth & Income Portfolio
Market Index Fund
Puritan Fund
Real Estate Portfolio
Utilities Income Fund
THE FIDELITY
TELEPHONE CONNECTION
MUTUAL FUND 24-HOUR SERVICE
Account Balances 1-800-544-7544
Exchanges/Redemptions 1-800-544-7777
Mutual Fund Quotes 1-800-544-8544
Account Assistance 1-800-544-6666
Product Information 1-800-544-8888
Retirement Accounts 1-800-544-4774
(8 a.m. - 9 p.m.)
TDD Service 1-800-544-0118
for the deaf and hearing impaired
(9 a.m. - 9 p.m. Eastern time)
* INDEPENDENT TRUSTEES
AUTOMATED LINES FOR QUICKEST SERVICE
