FIDELITY CONGRESS STREET FUND
N-30D, 1997-02-11
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(2_FIDELITY_LOGOS)FIDELITY
 
CONGRESS STREET
FUND
ANNUAL REPORT
DECEMBER 31, 1996
CONTENTS
 
 
PRESIDENT'S MESSAGE      3    Ned Johnson on investing                 
                              strategies.                              
 
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 past six     
                              months.                                  
 
INVESTMENTS              10   A complete list of the fund's            
                              investments with their market            
                              values.                                  
 
FINANCIAL STATEMENTS     14   Statements of assets and liabilities,    
                              operations, and changes in net           
                              assets,                                  
                              as well as financial highlights.         
 
NOTES                    18   Notes to the financial statements.       
 
REPORT OF INDEPENDENT    21   The auditors' opinion.                   
ACCOUNTANTS                                                            
 
 
THIS REPORT AND THE FINANCIAL STATEMENTS CONTAINED HEREIN ARE SUBMITTED FOR
THE GENERAL 
INFORMATION OF THE SHAREHOLDERS OF THE FUND. 
MUTUAL FUND SHARES ARE NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED BY, 
ANY DEPOSITORY INSTITUTION. SHARES ARE NOT INSURED BY THE FDIC, FEDERAL 
RESERVE BOARD OR ANY OTHER AGENCY, AND ARE SUBJECT TO INVESTMENT RISKS, 
INCLUDING POSSIBLE LOSS OF PRINCIPAL AMOUNT INVESTED.
NEITHER THE FUND NOR FIDELITY DISTRIBUTORS CORPORATION IS A BANK. 
FOR MORE INFORMATION ON ANY FIDELITY FUND, INCLUDING CHARGES AND EXPENSES,
CALL 
1-800-544-8888 FOR A FREE PROSPECTUS. READ IT CAREFULLY BEFORE YOU INVEST
OR SEND MONEY.
To reduce expenses and demonstrate respect for our environment, we have
initiated a project through which we will begin eliminating duplicate
copies of most financial reports and prospectuses to most households, even
if they have more than one account in the fund. If additional copies of
financial reports, prospectuses or historical account information are
needed, please call 1-800-544-6666.
PRESIDENT'S MESSAGE
 
 
 
(photo_of_Edward_C_Johnson_3d)
DEAR SHAREHOLDER:
Although stocks managed to post solid returns throughout 1996, signs of
strength in the economy have led to inflation fears, causing some
uncertainty in both the stock and bond markets. In 1995, both stock and
bond markets posted strong results, while the year before, stocks posted
below-average returns and bonds had one of the worst years in history.
These market ups and downs are a normal part of investing, and there are
some basic principles that are helpful for investors to remember in
different types of markets.
If you can leave your money invested over the long term, you can avoid the
results of the volatility that generally accompanies the stock market in
the short term. You also can help to manage some of the risks of investing
through diversification. A stock fund is already diversified because it
invests in many issues. You can diversify even further by placing some of
your money in several different types of stock funds or in other investment
categories, such as bonds.
If you have a short investment time horizon, you might want to consider
moving some of your investment into a money market fund, which seeks income
and a stable share price by investing in high-quality, short-term
investments. Of course, there is no assurance that a money market fund will
achieve its goal, and it is important to remember that money market funds
are not insured or guaranteed by any agency of the U.S. government.
Finally, no matter what your investment horizon or portfolio diversity, it
makes good sense to follow a regular investment plan - investing a certain
amount of money at the same time each month or quarter - and to review your
portfolio periodically. A periodic investment plan will not, of course,
assure a profit or protect against a loss.
If you have any questions, please call us at 1-800-544-8888. We stand ready
to provide the information you need to make the investments that are right
for you.
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 change in value, the average annual percentage
change, or the growth of a hypothetical $10,000 investment. Total return
reflects the change in the value of an investment, assuming reinvestment of
the fund's dividend income and capital gains (the profits the fund earned
upon the sale of securities that have grown in value).
CUMULATIVE TOTAL RETURNS
PERIODS ENDED DECEMBER 31, 1996          PAST 1   PAST 5    PAST 10   
                                         YEAR     YEARS     YEARS     
 
Congress Street                          22.32%   92.78%    315.10%   
 
S&P 500(registered trademark)            22.96%   103.09%   314.99%   
 
Growth & Income Funds                    20.78%   92.43%    246.71%   
Average                                                               
 
CUMULATIVE TOTAL RETURNS show the fund's performance in percentage terms
over a set period - in this case, one, five, or 10 years. For example, if
you invested $1,000 in a fund that had a return of 5% over the past year,
the value of your investment would be $1,050. You can compare the fund's
returns to the performance of the Standard & Poor's 500 Index - a widely
recognized, unmanaged index of common stocks. To measure how the fund's
performance stacked up against its peers, you can compare it to the growth
and income funds average, which reflects the performance of 522 mutual
funds with similar objectives tracked by Lipper Analytical Services, Inc.
over the past one year. Both benchmarks include reinvested dividends and
capital gains, if any, and exclude the effect of sales charges.
AVERAGE ANNUAL TOTAL RETURNS
PERIODS ENDED DECEMBER 31, 1996    PAST 1   PAST 5   PAST 10   
                                   YEAR     YEARS    YEARS     
 
Congress Street                    22.32%   14.03%   15.30%    
 
S&P 500                            22.96%   15.22%   15.27%    
 
Growth & Income Funds Average      20.78%   13.87%   13.13%    
 
AVERAGE ANNUAL TOTAL RETURNS take the fund's cumulative return and show you
what would have happened if the fund had performed at a constant rate each
year. (Note: Lipper calculates average annual total returns by annualizing
each fund's total return, then taking the arithmetic average. This may
produce a slightly different figure than that obtained by averaging the
cumulative total returns and annualizing the result.)
$10,000 OVER 10 YEARS
IMAHDR PRASUN   SHR__CHT 19961231 19970115 133500 S00000000000001
             Congress Street             SP Standard & Poor 500
             00024                       SP001
  1986/12/31      10000.00                    10000.00
  1987/01/31      11352.87                    11347.00
  1987/02/28      11875.60                    11795.21
  1987/03/31      12010.77                    12136.09
  1987/04/30      11749.34                    12028.08
  1987/05/31      11737.25                    12132.72
  1987/06/30      12396.17                    12745.42
  1987/07/31      13020.03                    13391.62
  1987/08/31      13567.72                    13891.12
  1987/09/30      13338.01                    13586.91
  1987/10/31      10606.87                    10660.29
  1987/11/30       9650.83                     9781.88
  1987/12/31      10478.92                    10526.28
  1988/01/31      10674.14                    10969.44
  1988/02/29      11154.00                    11480.61
  1988/03/31      10703.11                    11125.86
  1988/04/30      10757.49                    11249.36
  1988/05/31      10887.71                    11347.23
  1988/06/30      11411.16                    11868.07
  1988/07/31      11268.17                    11822.97
  1988/08/31      11052.41                    11420.99
  1988/09/30      11583.51                    11907.52
  1988/10/31      11828.64                    12238.55
  1988/11/30      11658.84                    12063.54
  1988/12/31      11788.96                    12274.65
  1989/01/31      12556.75                    13173.16
  1989/02/28      12254.60                    12845.14
  1989/03/31      12499.20                    13144.44
  1989/04/30      13261.76                    13826.63
  1989/05/31      13783.65                    14386.61
  1989/06/30      13611.28                    14304.61
  1989/07/31      15049.63                    15596.31
  1989/08/31      15057.57                    15902.00
  1989/09/30      14995.32                    15836.80
  1989/10/31      14997.97                    15469.39
  1989/11/30      15392.66                    15784.96
  1989/12/31      15834.42                    16163.80
  1990/01/31      14583.76                    15079.21
  1990/02/28      14789.03                    15273.73
  1990/03/31      15388.53                    15678.49
  1990/04/30      15134.32                    15286.53
  1990/05/31      16665.02                    16776.96
  1990/06/30      16899.82                    16662.88
  1990/07/31      16956.24                    16609.56
  1990/08/31      15577.28                    15108.05
  1990/09/30      14729.54                    14372.29
  1990/10/31      14839.63                    14310.49
  1990/11/30      15724.53                    15234.95
  1990/12/31      16242.27                    15660.00
  1991/01/31      16754.20                    16342.78
  1991/02/28      17977.13                    17511.29
  1991/03/31      18517.50                    17935.06
  1991/04/30      18493.33                    17978.11
  1991/05/31      19165.94                    18754.76
  1991/06/30      18234.68                    17895.79
  1991/07/31      19120.80                    18729.74
  1991/08/31      19811.29                    19173.63
  1991/09/30      19556.68                    18853.43
  1991/10/31      20061.60                    19106.07
  1991/11/30      19499.14                    18336.09
  1991/12/31      21532.68                    20433.74
  1992/01/31      21030.67                    20053.67
  1992/02/29      20983.97                    20314.37
  1992/03/31      20543.25                    19918.24
  1992/04/30      20903.70                    20503.84
  1992/05/31      20893.49                    20604.31
  1992/06/30      20435.77                    20297.30
  1992/07/31      21341.67                    21127.46
  1992/08/31      21000.85                    20694.35
  1992/09/30      20907.90                    20938.54
  1992/10/31      20797.24                    21011.83
  1992/11/30      21337.24                    21728.33
  1992/12/31      21400.49                    21995.59
  1993/01/31      21126.49                    22180.35
  1993/02/28      21397.50                    22482.00
  1993/03/31      21681.98                    22956.37
  1993/04/30      21401.99                    22400.83
  1993/05/31      22065.28                    23001.17
  1993/06/30      21880.68                    23067.88
  1993/07/31      21576.19                    22975.60
  1993/08/31      22376.04                    23846.38
  1993/09/30      22082.15                    23662.76
  1993/10/31      22868.37                    24152.58
  1993/11/30      22833.53                    23923.13
  1993/12/31      23123.42                    24212.60
  1994/01/31      23435.38                    25035.83
  1994/02/28      23211.02                    24357.36
  1994/03/31      22209.06                    23295.38
  1994/04/30      22218.28                    23593.56
  1994/05/31      22722.33                    23980.49
  1994/06/30      21981.86                    23392.97
  1994/07/31      22851.49                    24160.26
  1994/08/31      23976.26                    25150.83
  1994/09/30      23708.68                    24534.64
  1994/10/31      24338.73                    25086.67
  1994/11/30      23938.92                    24173.01
  1994/12/31      24477.81                    24531.50
  1995/01/31      25183.54                    25167.60
  1995/02/28      26048.72                    26148.38
  1995/03/31      26624.99                    26920.02
  1995/04/30      27610.16                    27712.81
  1995/05/31      28598.49                    28820.49
  1995/06/30      29326.09                    29489.99
  1995/07/31      30038.75                    30467.88
  1995/08/31      29952.46                    30544.36
  1995/09/30      31582.31                    31833.33
  1995/10/31      31978.59                    31719.68
  1995/11/30      33097.11                    33112.18
  1995/12/31      33934.53                    33749.92
  1996/01/31      35341.67                    34898.76
  1996/02/29      35659.93                    35222.28
  1996/03/31      36121.97                    35561.47
  1996/04/30      36543.63                    36085.64
  1996/05/31      37756.91                    37016.29
  1996/06/30      38134.34                    37157.32
  1996/07/31      36677.92                    35515.71
  1996/08/31      37113.38                    36264.74
  1996/09/30      39050.92                    38305.72
  1996/10/31      39329.81                    39362.19
  1996/11/30      42141.53                    42337.58
  1996/12/31      41511.41                    41498.87
IMATRL PRASUN   SHR__CHT 19961231 19970115 133505 R00000000000123
 
$10,000 OVER 10 YEARS:  Let's say hypothetically that $10,000 was invested
in Fidelity Congress Street Fund on December 31, 1986. As the chart shows,
by December 31, 1996, the value of the investment would have grown to
$41,510 - a 315.10% increase on the initial investment. For comparison,
look at how the S&P 500 did over the same period. With dividends and
capital gains, if any, reinvested, the same $10,000 investment would have
grown to $41,499 - a 314.99% 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
 
 
 
MARKET RECAP
Paced by the robust performance 
of blue chip stocks, the U.S. stock 
market posted strong gains for 
the year that ended December 
31, 1996. The Standard & Poor's 
500 Index returned 22.96% 
during the period - well above its 
long-term average of about 12%. 
The stock market spent much of 
the past year breaking price and 
trading volume records. Solid 
corporate earnings reports, large 
cash inflows into mutual funds, 
widespread optimism and a 
generally favorable interest rate 
environment propelled share 
prices higher. Large capitalization 
stocks thrived as investors 
sought their lower volatility and 
higher degree of liquidity over 
smaller cap stocks in an 
environment where it was 
sometimes difficult to discern the 
health of the economy. While 
short-term confusion over the 
direction of interest rates created 
a volatile backdrop in the summer 
months, stocks rallied again 
when the Federal Reserve Board 
left short-term interest rates 
unchanged and it appeared 
inflation would not be an issue for 
the remainder of 1996. The Dow 
Jones Industrial Average closed 
above 6500 for the first time in 
November. Stock markets ended 
the year on an up note after 
experiencing some volatility 
sparked by comments by Fed 
Chairman Alan Greenspan in 
December about the market's 
exuberance. 
An interview with Jonathan F. Weed, Portfolio Manager of Fidelity Congress
Street Fund
Q. JAY, HOW HAS THE FUND PERFORMED?
A. It has done well. For the 12 months that ended December 31, 1996, the
fund had a total return of 22.32%. To compare, the Standard & Poor's 500
Index posted a return of 22.96% over the same period. In addition, the
fund's performance beat the growth and income funds average return of
20.78% for 1996.
Q. WHAT FACTORS HELPED THE FUND'S PERFORMANCE?
A. The main reason behind the fund's strong performance was that the market
favored the types of stock found in the fund, namely steady growth
companies. As a result, the performance of individual stocks helped propel
the fund's returns. Most noteworthy on the sector level was the fact that
the fund had less invested in the utilities sector than the S&P 500. This
sector moves in close concert with bonds, which underperformed stocks by a
large margin. Utilities stocks also suffered from uncertainty over the
impact of deregulation in the sector.
Q. LET'S TAKE A LOOK AT THE FUND'S STOCKS, FOCUSING IN ON THOSE THAT
CONTRIBUTED MOST TO THE FUND'S RETURN.
A. Coca-Cola made the strongest contribution to the fund's performance.
It's a nondurables stock, and this sector really benefited from the
attractiveness of the steady earnings growth that nondurables stocks tend
to post in many economic environments. For example, demand for such
products as Coca-Cola tends to remain steady, while demand for other
products such as automobiles tends to be cyclical, or more dependent on the
stimulus provided by a strong economy. Campbell Soup was another
nondurables stock that helped. Three health stocks - Merck, Lilly and
Johnson & Johnson - also benefited from investors' interest in stocks that
could post steady earnings growth in 1996's uncertain economic environment. 
Q. WHAT WERE SOME OF THE OTHER STOCKS THAT HELPED PERFORMANCE?
A. Exxon was one. Along with many other energy stocks, it benefited from
higher-than-expected energy prices. Solid business prospects, along with
merger and acquisition activity among companies involved in defense and
aerospace, helped General Electric, United Technologies and Boeing.
Hewlett-Packard, the fund's fourth largest holding, also performed well due
to strong demand for its products.
Q. WERE THERE SOME AREAS OF THE FUND THAT PROVED TO BE WEAK PERFORMERS IN
1996?
A. The fund's investments in basic industries and technology - the latter
being the S&P's top performing sector in 1996 - didn't perform as well as
the stocks from those two sectors that helped make up the S&P 500. In
addition, the fund had less invested in the finance sector, which proved to
be another strong performing sector for the index. In terms of specific
stocks, only two posted negative returns over the period. Consolidated
Edison was down with the utilities sector. In addition, Eastman Chemical
suffered from operating problems.
Q. WHAT'S YOUR OUTLOOK AS WE ENTER 1997?
A. In 1996, stock prices outpaced earnings increases. This situation leaves
valuations at very high levels. While there is no one factor that looks
like trouble for the market, history teaches us that problems eventually do
arise. Any one of several factors could provide a shock to the market,
resulting in normal but unpredictable market volatility and/or a decline.
On the other hand, it is possible that we could go another 12 months in the
"Goldilocks" scenario, with everything falling into place to provide stock
investors with moderate positive returns. It is unlikely that the market
will let stocks go to even more extreme valuations, so any increase in
stock prices would have to be supported by further increases in earnings.
In the meantime, earnings disappointments are hitting specific issues hard.
And again, any kind of shock - an inflation increase in particular, because
it could lead to a new valuation of the stock market based on higher
discount rates, possible Federal Reserve short-term rate increases and
higher interest expense for corporations - could derail the market.
THE VIEWS EXPRESSED IN THIS REPORT REFLECT THOSE OF THE PORTFOLIO MANAGER
ONLY THROUGH THE END OF THE PERIOD OF THE REPORT AS STATED ON THE COVER.
THE MANAGER'S VIEWS ARE SUBJECT TO CHANGE AT ANY TIME BASED ON MARKET AND
OTHER CONDITIONS.
INVESTMENT CHANGES
 
 
TOP TEN STOCKS AS OF DECEMBER 31, 1996
                            % OF FUND'S    % OF FUND'S       
                            INVESTMENTS    INVESTMENTS       
                                           IN THESE STOCKS   
                                           6 MONTHS AGO      
 
Coca-Cola Co. (The)         5.4            5.4               
 
General Electric Co.        5.4            5.0               
 
Boeing Co.                  5.3            4.6               
 
Hewlett-Packard Co.         5.1            5.6               
 
United Technologies Corp.   4.5            4.2               
 
Campbell Soup Co.           4.2            3.9               
 
Merck & Co., Inc.           4.0            3.5               
 
Eastman Kodak Co.           3.8            3.9               
 
GTE Corp.                   3.6            3.7               
 
International Paper Co.     3.5            3.4               
 
TOP FIVE MARKET SECTORS AS OF DECEMBER 31, 1996
                   % OF FUND'S    % OF FUND'S               
                   INVESTMENTS    INVESTMENTS               
                                  IN THESE MARKET SECTORS   
                                  6 MONTHS AGO              
 
Health             19.2           20.3                      
 
Nondurables        19.1           18.5                      
 
Technology         13.6           14.2                      
 
Energy             9.8            9.2                       
 
Basic Industries   6.3            6.5                       
 
ASSET ALLOCATION (% OF FUND'S INVESTMENTS)
AS OF DECEMBER 31, 1996 AS OF JUNE 30, 1996 
Row: 1, Col: 1, Value: 5.6
Row: 1, Col: 2, Value: 50.0
Row: 1, Col: 3, Value: 44.4
Row: 1, Col: 1, Value: 5.3
Row: 1, Col: 2, Value: 44.7
Row: 1, Col: 3, Value: 50.0
Stocks 94.4%
Short-term
investments 5.6%
Stocks 94.7%
Short-term
investments 5.3%
INVESTMENTS DECEMBER 31, 1996 
 
Showing Percentage of Total Value of Investment in Securities
 
 
COMMON STOCKS - 94.4%
 SHARES VALUE (NOTE 1)
AEROSPACE & DEFENSE - 5.3%
Boeing Co.   45,654 $ 4,856,444
BASIC INDUSTRIES - 6.3%
CHEMICALS & PLASTICS - 0.7%
Eastman Chemical Co.   10,953  605,153
PAPER & FOREST PRODUCTS - 5.6%
International Paper Co.   80,198  3,237,994
Union Camp Corp.   40,000  1,910,000
  5,147,994
TOTAL BASIC INDUSTRIES   5,753,147
CONGLOMERATES - 4.5%
United Technologies Corp.   63,000  4,158,000
ENERGY - 9.8%
OIL & GAS - 9.8%
Chevron Corp.   40,000  2,600,000
Exxon Corp.   33,000  3,234,000
Mobil Corp.   23,900  2,921,775
Union Pacific Resources Group, Inc.   8,181  239,294
  8,995,069
FINANCE - 1.9%
BANKS - 1.9%
Bankers Trust New York Corp.   16,732  1,443,135
Citicorp  3,000  309,000
  1,752,135
HEALTH - 19.2%
DRUGS & PHARMACEUTICALS - 13.7%
American Home Products Corp.   55,002  3,224,492
Lilly (Eli) & Co.   37,368  2,727,864
Merck & Co., Inc.   46,886  3,715,716
Pharmacia & Upjohn, Inc.   74,463  2,950,596
  12,618,668
COMMON STOCKS - CONTINUED
 SHARES VALUE (NOTE 1)
HEALTH - CONTINUED
MEDICAL EQUIPMENT & SUPPLIES - 5.5%
Guidant Corp.   34,526 $ 1,967,982
Johnson & Johnson  62,654  3,117,037
  5,085,019
TOTAL HEALTH   17,703,687
INDUSTRIAL MACHINERY & EQUIPMENT - 6.1%
ELECTRICAL EQUIPMENT - 5.4%
General Electric Co.   50,000  4,943,750
POLLUTION CONTROL - 0.7%
WMX Technologies, Inc.   20,000  652,500
TOTAL INDUSTRIAL MACHINERY & EQUIPMENT   5,596,250
MEDIA & LEISURE - 2.5%
PUBLISHING - 2.5%
Knight-Ridder, Inc.   60,000  2,295,000
NONDURABLES - 19.1%
BEVERAGES - 8.7%
Anheuser-Busch Companies, Inc.   76,672  3,066,880
Coca-Cola Co. (The)  94,598  4,978,220
  8,045,100
FOODS - 7.2%
Campbell Soup Co.   47,918  3,845,420
Earthgrains Co.   1,533  80,099
Heinz (H.J.) Co.   74,859  2,676,209
  6,601,728
HOUSEHOLD PRODUCTS - 0.8%
Colgate-Palmolive Co.   7,733  713,369
TOBACCO - 2.4%
Philip Morris Companies, Inc.   20,000  2,252,500
TOTAL NONDURABLES   17,612,697
COMMON STOCKS - CONTINUED
 SHARES VALUE (NOTE 1)
TECHNOLOGY - 13.6%
COMPUTERS & OFFICE EQUIPMENT - 6.4%
Hewlett-Packard Co.   93,200 $ 4,683,300
International Business Machines Corp.   8,211  1,239,861
  5,923,161
ELECTRONICS - 3.4%
Motorola, Inc.   51,200  3,142,400
PHOTOGRAPHIC EQUIPMENT - 3.8%
Eastman Kodak Co.   43,012  3,451,713
TOTAL TECHNOLOGY   12,517,274
TRANSPORTATION - 0.6%
RAILROADS - 0.6%
Union Pacific Corp.   9,660  580,808
UTILITIES - 5.5%
ELECTRIC UTILITY - 2.0%
Consolidated Edison Co. of New York, Inc.   26,264  768,222
Potomac Electric Power Co.   40,000  1,030,000
  1,798,222
TELEPHONE SERVICES - 3.5%
GTE Corp.   71,838  3,268,629
TOTAL UTILITIES   5,066,851
TOTAL COMMON STOCKS
(Cost $17,450,148)   86,887,362
CASH EQUIVALENTS - 5.6%
 MATURITY 
 AMOUNT 
Investments in repurchase agreements 
(U.S. Treasury obligations) in a joint 
trading account at 6.75%, dated 
12/31/96 due 1/2/97  $ 5,122,920  5,121,000
TOTAL INVESTMENT IN SECURITIES - 100%
(Cost $22,571,148)  $ 92,008,362
INCOME TAX INFORMATION
At December 31, 1996, the aggregate cost of investment securities for
income tax purposes was $22,571,148. Net unrealized appreciation aggregated
$69,437,214, all of which related to appreciated investment securities. 
At December 31, 1996, the fund had a capital loss carryforward of
approximately $940,400 of which $940,000 and $400 will expire on December
31, 1999 and 2000, respectively.
FINANCIAL STATEMENTS
 
 
STATEMENT OF ASSETS AND LIABILITIES
 
<TABLE>
<CAPTION>
<S>                                                         <C>        <C>            
 DECEMBER 31, 1996                                                                    
 
ASSETS                                                                                
 
Investment in securities, at value (including repurchase               $ 92,008,362   
agreements of $5,121,000) (cost $22,571,148) -                                        
See accompanying schedule                                                             
 
Cash                                                                    31            
 
Dividends receivable                                                    188,074       
 
 TOTAL ASSETS                                                           92,196,467    
 
LIABILITIES                                                                           
 
Payable for fund shares redeemed                            $ 900                     
 
Distributions payable                                        702,952                  
 
Accrued management fee                                       101,524                  
 
Other payables and accrued expenses                          44,767                   
 
 TOTAL LIABILITIES                                                      850,143       
 
NET ASSETS                                                             $ 91,346,324   
 
Net Assets consist of:                                                                
 
Paid in capital                                                        $ 22,857,902   
 
Distributions in excess of net investment income                        (8,458)       
 
Accumulated undistributed net realized gain (loss)                      (940,334)     
on investments                                                                        
 
Net unrealized appreciation (depreciation) on                           69,437,214    
investments                                                                           
 
NET ASSETS, for 362,277 shares outstanding                             $ 91,346,324   
 
NET ASSET VALUE, offering price and redemption price                    $252.14       
per share ($91,346,324 (divided by) 362,277 shares)                                   
 
</TABLE>
 
STATEMENT OF OPERATIONS
 
<TABLE>
<CAPTION>
<S>                                                     <C>         <C>            
 YEAR ENDED DECEMBER 31, 1996                                                      
 
INVESTMENT INCOME                                                   $ 1,967,167    
Dividends                                                                          
 
Interest                                                             257,879       
 
 TOTAL INCOME                                                        2,225,046     
 
EXPENSES                                                                           
 
Management fee                                          $ 388,675                  
 
Transfer agent fees                                      78,445                    
 
Accounting fees and expenses                             60,548                    
 
Non-interested trustees' compensation                    482                       
 
Custodian fees and expenses                              8,227                     
 
Registration fees                                        250                       
 
Audit                                                    36,493                    
 
Legal                                                    430                       
 
Miscellaneous                                            1,022                     
 
 Total expenses before reductions                        574,572                   
 
 Expense reductions                                      (1,328)     573,244       
 
NET INVESTMENT INCOME                                                1,651,802     
 
REALIZED AND UNREALIZED GAIN (LOSS)                                  5,440,605     
Net realized gain (loss) on investment securities                                  
 
Change in net unrealized appreciation (depreciation)                 10,268,240    
on investment securities                                                           
 
NET GAIN (LOSS)                                                      15,708,845    
 
NET INCREASE (DECREASE) IN NET ASSETS RESULTING                     $ 17,360,647   
FROM OPERATIONS                                                                    
 
</TABLE>
 
STATEMENT OF CHANGES IN NET ASSETS
 
<TABLE>
<CAPTION>
<S>                                                         <C>            <C>            
                                                            YEAR ENDED     YEAR ENDED     
                                                            DECEMBER 31,   DECEMBER 31,   
                                                            1996           1995           
 
INCREASE (DECREASE) IN NET ASSETS                                                         
 
Operations                                                  $ 1,651,802    $ 1,734,288    
Net investment income                                                                     
 
 Net realized gain (loss)                                    5,440,605      928,813       
 
 Change in net unrealized appreciation (depreciation)        10,268,240     20,595,018    
 
 NET INCREASE (DECREASE) IN NET ASSETS RESULTING             17,360,647     23,258,119    
FROM OPERATIONS                                                                           
 
Distributions to shareholders from net investment income     (1,696,301)    (1,753,544)   
 
Share transactions                                           286,262        402,081       
Reinvestment of distributions                                                             
 
 Cost of shares redeemed                                     (6,434,931)    (1,382,987)   
 
 NET INCREASE (DECREASE) IN NET ASSETS RESULTING             (6,148,669)    (980,906)     
FROM SHARE TRANSACTIONS                                                                   
 
  TOTAL INCREASE (DECREASE) IN NET ASSETS                    9,515,677      20,523,669    
 
NET ASSETS                                                                                
 
 Beginning of period                                         81,830,647     61,306,978    
 
 End of period (including under (over) distribution         $ 91,346,324   $ 81,830,647   
of net investment income of $(8,458) and                                                  
$36,041, respectively)                                                                    
 
OTHER INFORMATION                                                                         
Shares                                                                                    
 
 Issued in reinvestment of distributions                     1,161          2,064         
 
 Redeemed                                                    (28,466)       (7,905)       
 
 Net increase (decrease)                                     (27,305)       (5,841)       
 
</TABLE>
 
FINANCIAL HIGHLIGHTS
 
<TABLE>
<CAPTION>
<S>                               <C>                        <C>        <C>        <C>        <C>        
                                  YEARS ENDED DECEMBER 31,                                               
 
                                  1996                       1995       1994       1993 B     1992       
 
SELECTED PER-SHARE DATA                                                                                  
 
Net asset value,                  $ 210.05                   $ 155.04   $ 150.47   $ 142.93   $ 147.55   
beginning of period                                                                                      
 
Income from Investment                                                                                   
Operations                                                                                               
 
 Net investment income             4.48                       4.45       4.29       3.73       3.79      
 
 Net realized and unrealized       42.21                      55.06      4.38       7.66       (4.76)    
 gain (loss)                                                                                             
 
 Total from investment             46.69                      59.51      8.67       11.39      (.97)     
 operations                                                                                              
 
Less Distributions                                                                                       
 
 From net investment income        (4.60)                     (4.50)     (4.10)     (3.80)     (3.65)    
 
 In excess of net                  -                          -          -          (.05)      -         
 investment income                                                                                       
 
 Total distributions               (4.60)                     (4.50)     (4.10)     (3.85)     (3.65)    
 
Net asset value, end of period    $ 252.14                   $ 210.05   $ 155.04   $ 150.47   $ 142.93   
 
TOTAL RETURN A                     22.32%                     38.63%     5.86%      8.05%      (.61)%    
 
RATIOS AND SUPPLEMENTAL                                                                                  
DATA                                                                                                     
 
Net assets, end of period         $ 91,346                   $ 81,831   $ 61,307   $ 64,440   $ 63,891   
(000 omitted)                                                                                            
 
Ratio of expenses to average       .67%                       .67%       .60%       .61%       .62%      
net assets                                                                                               
 
Ratio of expenses to average       .66%                       .67%       .60%       .61%       .62%      
net assets after expense          C                                                                      
reductions                                                                                               
 
Ratio of net investment income     1.92%                      2.42%      2.82%      2.52%      2.58%     
to average net assets                                                                                    
 
Portfolio turnover rate            0%                         0%         0%         0%         0%        
 
Average commission rate D         $ .0320                                                                
 
</TABLE>
 
A THE TOTAL RETURN WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT BEEN
REDUCED DURING THE PERIOD SHOWN (SEE NOTE 5 OF NOTES TO FINANCIAL
STATEMENTS).
B EFFECTIVE JANUARY 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, NET INVESTMENT INCOME PER SHARE MAY REFLECT CERTAIN
RECLASSIFICATIONS RELATED TO BOOK TO TAX DIFFERENCES.
C FMR OR THE FUND HAS ENTERED INTO VARYING ARRANGEMENTS WITH THIRD PARTIES
WHO EITHER PAID OR REDUCED A PORTION OF THE FUND'S EXPENSES (SEE NOTE 5 OF
NOTES TO FINANCIAL STATEMENTS).
D FOR FISCAL YEARS BEGINNING ON OR AFTER SEPTEMBER 1, 1995, A FUND IS
REQUIRED TO DISCLOSE ITS AVERAGE COMMISSION RATE PER SHARE FOR SECURITY
TRADES ON WHICH COMMISSIONS ARE CHARGED. THIS AMOUNT MAY VARY FROM PERIOD
TO PERIOD AND FUND TO FUND DEPENDING ON THE MIX OF TRADES EXECUTED IN
VARIOUS MARKETS WHERE TRADING PRACTICES AND COMMISSION RATE STRUCTURES MAY
DIFFER.
NOTES TO FINANCIAL STATEMENTS
For the period ended December 31, 1996
 
   
 
 
1. SIGNIFICANT ACCOUNTING POLICIES.
Fidelity Congress Street Fund (the fund) 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 and is
authorized to issue 3.8 million shares. The financial statements have been
prepared in conformity with generally accepted accounting principles which
permit management to make certain estimates and assumptions at the date of
the financial statements. 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 with remaining maturities of sixty days or less for which
quotations are not readily available are valued at amortized cost or
original cost plus accrued interest, both of which approximate current
value.
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 substantially all of its 
taxable income for its fiscal year. The fund intends to retain and pay
federal income taxes at year-end on undistributed net long-term capital
gains. 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.
Non-cash dividends included in dividend income, if any, are recorded at the
fair market value of the securities received. Interest income is accrued as
earned. Investment income is recorded net of foreign taxes withheld where
recovery of such taxes is uncertain.
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, which may result in distribution
reclassifications, are primarily due to differing treatments for
redemptions in kind.
Permanent book and tax basis differences relating to shareholder
distributions will result in reclassifications to paid in capital and may
affect the per-share allocation between net investment income and realized
and unrealized gain (loss). Distributions in excess of net investment
income and accumulated undistributed net realized gain (loss) on
investments may include temporary book and tax basis differences which will
reverse in a subsequent period. Any taxable income 
1. SIGNIFICANT ACCOUNTING 
POLICIES - CONTINUED
DISTRIBUTIONS TO SHAREHOLDERS - 
CONTINUED
or short-term gain remaining at fiscal year end is distributed in the
following year.
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.
2. OPERATING POLICIES.
JOINT TRADING ACCOUNT. Pursuant to an Exemptive Order issued by the
Securities and Exchange Commission, the fund, along with other affiliated
entities of Fidelity Management & Research Company (FMR), may transfer
uninvested cash balances into one or more joint trading accounts. These
balances are invested in one or more repurchase agreements that mature in
60 days or less from the date of purchase for U.S. Treasury or Federal
Agency obligations.
REPURCHASE AGREEMENTS. The underlying U.S. Treasury or Federal Agency
Securities are transferred to an account of the fund, or to the Joint
Trading Account, at a bank custodian. The securities are marked-to-market
daily and maintained at a value at least equal to the principal amount of
the repurchase agreement (including accrued interest). FMR, the fund's
investment adviser, is responsible for determining that the value of the
underlying securities remains in accordance with the market value
requirements stated above. 
3. PURCHASES AND SALES OF INVESTMENTS. 
Purchases and sales of securities, other than short-term securities,
aggregated $243,763 and $6,295,398, respectively. Sales of securities
represent the current value of securities delivered in redemption of fund
shares.
4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES. 
MANAGEMENT FEE. As the fund's investment adviser, FMR receives a quarterly
fee that is computed monthly at an annual rate of .50% of the fund's
average net assets. The management fee is subject to a reduction to the
extent that the monthly average net assets of all mutual funds advised by
FMR exceed $4 billion in any month. The management fee payable by the fund
on its portion of the excess is reduced by 10%. For the period, the
management fee was reduced by $42,719. For the period, the management fee
rate was equivalent to an annual rate of .45% of average net assets after
the fee reduction.
TRANSFER AGENT FEES. Fidelity Service Co. (FSC), an affiliate of FMR, is
the fund's transfer, dividend disbursing and shareholder servicing agent.
FSC receives account fees and asset-based fees that vary according to
account size and type of account. FSC pays for typesetting, printing and
mailing of all shareholder reports, except proxy statements. For the
period, the transfer agent fees were equivalent to an annual rate of .09%
of average net assets.
4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES - 
CONTINUED
ACCOUNTING FEES. FSC maintains the fund's accounting records. The fee is
based on the level of average net assets for the month plus out-of-pocket
expenses.
BROKERAGE COMMISSIONS. The fund placed a portion of its portfolio
transactions with brokerage firms which are affiliates of FMR. The
commissions paid to these affiliated firms were $96 for the period.
5. EXPENSE REDUCTIONS.
The fund has entered into arrangements with its custodian and transfer
agent whereby interest earned on uninvested cash balances was used to
offset a portion of the fund's expenses.  During the period, the fund's
custodian and transfer agent fees were reduced by $24 and $1,304,
respectively, under these arrangements.
REPORT OF INDEPENDENT ACCOUNTANTS
 
 
To the Trustees and Shareholders of Fidelity Congress Street Fund:
We have audited the accompanying statement of assets and liabilities of
Fidelity Congress Street Fund, including the schedule of portfolio
investments, as of December 31, 1996, and the related statement of
operations for the year then ended, the statement of changes in net assets
for each of the two years in the period then ended and the financial
highlights for each of the five years in the period then ended. These
financial statements and financial highlights are the responsibility of the
fund's management. Our responsibility is to express an opinion on these
financial statements and financial highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures
in the financial statements. Our procedures included confirmation of
securities owned as of December 31, 1996 by correspondence with the
custodian and brokers. An audit also includes assessing the accounting
principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. We believe that
our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred
to above present fairly, in all material respects, the financial position
of Fidelity Congress Street Fund as of December 31, 1996, the results of
its operations for the year then ended, the changes in its net assets for
each of the two years in the period then ended, and the financial
highlights for each of the five years in the period then ended, in
conformity with generally accepted accounting principles.
COOPERS & LYBRAND L.L.P.
Boston, Massachusetts
February 7, 1997
MANAGING YOUR INVESTMENTS
 
 
Fidelity offers several ways to conveniently manage your personal
investments via your telephone or PC. You can access your account
information, conduct trades and research your investments 24 hours a day.
BY PHONE
Fidelity TouchTone Xpressprovides a single toll-free number to access
account balances, positions, quotes and trading. It's easy to navigate the
service, and on your first call, the system will help you create a personal
identification number (PIN) for security.
SM
(PHONE_GRAPHIC)TOUCHTONE XPRESS
1-800-544-5555
PRESS
 For mutual fund and brokerage trading.
1 
 For quotes.*
2 
 For account balances and holdings.
3 
 To review orders and mutual 
fund activity.
4 
 To change your PIN.
5 
  To speak to a Fidelity representative.
*
0
BY PC
Fidelity's Web site on the Internet provides a wide range of information,
including daily financial news, fund performance, interactive planning
tools and news about Fidelity products and services.
(PHONE_GRAPHIC)FIDELITY'S WEB SITE
WWW.FIDELITY.COM
If you are not currently on the Internet, call Fidelity at 1-800-544-7272
for significant savings on Web access from internetMCI.
SM
(PHONE_GRAPHIC)
FIDELITY ON-LINE XPRESS+
TM
Fidelity On-line Xpress+ software for Windows combines comprehensive
portfolio management capabilities, securities trading and access to
research and analysis tools . . . all on your desktop. Call Fidelity at
1-800-544-7272 or visit our Web site for more information on how to manage
your investments via your PC.
* 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.
TO WRITE FIDELITY
 
 
If more than one address is listed, 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.
(LETTER_GRAPHIC)MAKING CHANGES
TO YOUR ACCOUNT
(such as changing name, address, bank, etc.)
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0002
(LETTER_GRAPHIC)FOR NON-RETIREMENT
ACCOUNTS
BUYING SHARES
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0003
OVERNIGHT EXPRESS
Fidelity Investments
100 Crosby Parkway - KP2C
Covington, KY 41015-4399
SELLING SHARES
Fidelity Investments
P.O. Box 660602
Dallas, TX 75266-0602
OVERNIGHT EXPRESS
Fidelity Investments
Attn: Redemptions - CP6I
400 East Las Colinas Blvd.
Irving, TX 75309-5517
GENERAL CORRESPONDENCE
Fidelity Investments
P.O. Box 193
Boston, MA 02210-0193
(LETTER_GRAPHIC)FOR RETIREMENT
ACCOUNTS
BUYING SHARES
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0003
SELLING SHARES
Fidelity Investments
P.O. Box 660602
Dallas, TX 75266-0602
OVERNIGHT EXPRESS
Fidelity Investments
Attn: Redemptions - CP6R
400 East Las Colinas Blvd.
Irving, TX 75309-5517
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
William J. Hayes, Vice President
Arthur S. Loring, Secretary
Kenneth A. Rathgeber, Treasurer
Robert H. Morrison, Manager,
 Security Transactions
John H. Costello, Assistant Treasurer
Leonard M. Rush, Assistant Treasurer
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 *
Marvin L. Mann *
Gerald C. McDonough *
Thomas R. Williams *
ADVISORY BOARD
William O. McCoy
GENERAL DISTRIBUTOR
Fidelity Distributors Corporation
Boston, MA
* INDEPENDENT TRUSTEES
TRANSFER AND SHAREHOLDER
SERVICING AGENT
Fidelity Service Co.
Boston, MA
CUSTODIAN
Brown Brothers Harriman & Co.
Boston, MA
FIDELITY'S GROWTH AND INCOME FUNDS
Balanced Fund
Congress Street Fund
Convertible Securities Fund
Equity-Income Fund
Equity-Income II Fund
Exchange Fund
Fidelity Fund
Global Balanced Fund
Growth & Income Portfolio
Market Index Fund
Puritan(registered trademark) Fund
Real Estate Investment Portfolio
Utilities Fund
THE FIDELITY TELEPHONE CONNECTION
MUTUAL FUND 24-HOUR SERVICE
Exchanges/Redemptions 1-800-544-7777
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)
(registered trademark)
TouchTone Xpress  1-800-544-5555
SM
 AUTOMATED LINE FOR QUICKEST SERVICE



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