FIDELITY ADVISOR SERIES VII, N-30D, 1999-09-24

FIDELITY ADVISOR SERIES VII
N-30D, 1999-09-24

Previous: PUBLIC SERVICE CO OF NEW HAMPSHIRE, 8-K, 1999-09-24

Next: RANGE RESOURCES CORP, S-3/A, 1999-09-24

(2_FIDELITY_LOGOS)(registered trademark)

FIDELITY ADVISOR
FOCUS FUNDSSM
CLASS A, CLASS T, CLASS B AND CLASS C

Consumer Industries

Cyclical Industries

Financial Services

Health Care

Natural Resources

Technology

Utilities Growth

ANNUAL REPORT
FOR THE YEAR ENDING
JULY 31, 1999
AND
PROSPECTUS
DATED SEPTEMBER 29, 1999

<TABLE>
<CAPTION>
<S> <C> <C>
CONTENTS

PERFORMANCE OVERVIEW A-4

CONSUMER INDUSTRIES A-5 PERFORMANCE
A-9 FUND TALK: THE
MANAGERS' OVERVIEW
A-10 INVESTMENT SUMMARY
A-11 INVESTMENTS
A-14 FINANCIAL
STATEMENTS
A-18 NOTES TO THE
FINANCIAL STATEMENTS

CYCLICAL INDUSTRIES A-22 PERFORMANCE
A-26 FUND TALK: THE
MANAGER'S OVERVIEW
A-27 INVESTMENT SUMMARY
A-28 INVESTMENTS
A-30 FINANCIAL
STATEMENTS
A-34 NOTES TO THE
FINANCIAL STATEMENTS

FINANCIAL SERVICES A-38 PERFORMANCE
A-42 FUND TALK: THE
MANAGER'S OVERVIEW
A-43 INVESTMENT SUMMARY
A-44 INVESTMENTS
A-46 FINANCIAL
STATEMENTS
A-50 NOTES TO THE
FINANCIAL STATEMENTS

HEALTH CARE A-54 PERFORMANCE
A-58 FUND TALK: THE
MANAGERS' OVERVIEW
A-59 INVESTMENT SUMMARY
A-60 INVESTMENTS
A-62 FINANCIAL
STATEMENTS
A-66 NOTES TO THE
FINANCIAL STATEMENTS

NATURAL RESOURCES A-70 PERFORMANCE
A-74 FUND TALK: THE
MANAGER'S OVERVIEW
A-75 INVESTMENT SUMMARY
A-76 INVESTMENTS
A-78 FINANCIAL
STATEMENTS
A-82 NOTES TO THE
FINANCIAL STATEMENTS

TECHNOLOGY A-86 PERFORMANCE
A-90 FUND TALK: THE
MANAGER'S OVERVIEW
A-91 INVESTMENT SUMMARY
A-92 INVESTMENTS
A-95 FINANCIAL
STATEMENTS
A-99 NOTES TO THE
FINANCIAL STATEMENTS

UTILITIES GROWTH A-103 PERFORMANCE
A-107 FUND TALK: THE
MANAGER'S OVERVIEW
A-108 INVESTMENT SUMMARY
A-109 INVESTMENTS
A-111 FINANCIAL
STATEMENTS
A-115 NOTES TO THE
FINANCIAL STATEMENTS

INDEPENDENT AUDITORS' REPORT A-119 THE AUDITORS' OPINION.

DISTRIBUTIONS A-120

OF SPECIAL NOTE A-121

PROSPECTUS P-1

</TABLE>

Standard & Poor's, S&P and S&P 500 are registered service marks of The
McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity
Distributors Corporation.

Other third party marks appearing herein are the property of their
respective owners.

All other marks appearing herein are registered or unregistered
trademarks or service marks of FMR Corp. or an affiliated company.

This report is printed on recycled paper using soy-based inks.

THE VIEWS EXPRESSED IN THIS REPORT REFLECT THOSE OF EACH FUND'S
PORTFOLIO MANAGER ONLY THROUGH THE END OF THE PERIOD OF THE REPORT AS
STATED ON THE COVER AND DO NOT NECESSARILY REPRESENT THE VIEWS OF
FIDELITY OR ANY OTHER PERSON IN THE FIDELITY ORGANIZATION. ANY SUCH
VIEWS ARE SUBJECT TO CHANGE AT ANY TIME BASED UPON MARKET OR OTHER
CONDITIONS AND FIDELITY DISCLAIMS ANY RESPONSIBILITY TO UPDATE SUCH
VIEWS. THESE VIEWS MAY NOT BE RELIED ON AS INVESTMENT ADVICE AND,
BECAUSE INVESTMENT DECISIONS FOR A FIDELITY FUND ARE BASED ON NUMEROUS
FACTORS, MAY NOT BE RELIED ON AS AN INDICATION OF TRADING INTENT ON
BEHALF OF ANY FIDELITY FUND.

THIS REPORT AND THE FINANCIAL STATEMENTS CONTAINED HEREIN ARE
SUBMITTED FOR THE GENERAL INFORMATION OF THE SHAREHOLDERS OF THE
FUNDS. THIS REPORT IS NOT AUTHORIZED FOR DISTRIBUTION TO PROSPECTIVE
INVESTORS IN THE FUNDS UNLESS PRECEDED OR ACCOMPANIED BY AN EFFECTIVE
PROSPECTUS.

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 FUNDS NOR FIDELITY DISTRIBUTORS CORPORATION IS A BANK.

FOR MORE INFORMATION ON ANY FIDELITY ADVISOR FUND, INCLUDING CHARGES
AND EXPENSES, CONTACT YOUR INVESTMENT PROFESSIONAL FOR A FREE
PROSPECTUS. READ IT CAREFULLY BEFORE YOU INVEST OR SEND MONEY.

PERFORMANCE OVERVIEW

After last year's tumultuous summer and early fall, a shift in
monetary policy followed by three interest-rate cuts courtesy of the
Federal Reserve Board restored confidence and liquidity to the
markets. While investors continued to worry about the Fed's next
interest-rate move, the powerful surge in stock prices that began late
last fall carried on through most of 1999. During the 12-month period
that ended July 31, 1999, the Standard & Poor's 500 Index posted a
return of 20.20%. During the same time period, the Dow Jones
Industrial Average - an index of 30 blue-chip stocks - increased
21.88%, while the NASDAQ Index - a broad measure of over-the-counter,
predominantly technology, stocks - returned a hearty 41.42%.

Despite the strong performance of the major U.S. equity indexes, the
market environment was not without its setbacks, volatility and
economic calamities. As the period began, the global economy appeared
to be caught in a deflationary roadblock. Weakness in Japan and
elsewhere in Asia sapped U.S. export growth and hurt large
multinationals that derive a large part of their profits from overseas
economies. Other worries included Russia's default on its debt
obligations in August, the near bankruptcy of a major U.S. hedge fund
and Brazil's currency devaluation in January. In the face of global
economic chaos, the Fed stepped in to address the lack of confidence
in domestic and global equity markets by cutting interest rates three
times in a span of less than three months. The Fed's actions
reinforced the perception that the central bank was committed to
avoiding a worse-case scenario for the economy, and that monetary
easings in the U.S. should encourage other countries to follow suit,
helping avert a global liquidity and credit crisis.

The first quarter-point cut in the fed funds rate came on September
29, but many investors expressed disappointment that the cut was not
deeper. Then, in a surprise move, the Fed cut rates another
quarter-point on October 15, and the Dow responded with its
third-greatest single-day point gain ever. Fears that the Fed might
forgo a third round of interest-rate cuts at its November 17 meeting
proved unfounded, as the Fed slashed rates yet another quarter
percentage point. Despite the worldwide financial and economic
turmoil, the S&P 500 Index (registered trademark) surged 21.30% in the
fourth quarter of 1998 and was the largest percentage gain for any
quarter since the first three months of 1975.

With the exception of a pullback in February and periodic weakness due
to nervousness about the direction of interest rates, the major equity
indexes continued their upward ascent during most of 1999. Once again,
all eyes were on the Fed as signs of an improving global economy,
combined with a buoyant domestic economy, caused concerns about
inflation and resulted in the Fed's adoption of a tightening bias on
May 18. In response, the equity market rotated into cyclical and
value-oriented investments, while the bond market sold off.

On June 30, in a surprising change of events following its decision to
increase the federal funds rate from 4.75% to 5.00%, the Fed caught
the market off-guard with another shift in monetary policy, switching
from a tightening bias to neutral. While equity and bond markets
rallied in response to the Fed's more accommodating monetary stance,
the party was short-lived following a larger-than-expected increase in
the employment-cost index. While equity markets held on to their gains
for the year, renewed fears of inflation put the spotlight back on the
Fed as many market watchers felt there was a strong possibility that
the Fed would raise interest rates at its August meeting.

Turning to individual sector performance, technology stocks weathered
a couple of intense storms during the 12-month period, but came out on
top with impressive performance. The Goldman Sachs Technology Index -
an index of 190 stocks designed to measure the performance of
companies in the TECHNOLOGY sector - returned 63.40%. The impressive
growth of the Internet and strong consumer demand for data services
and telecommunications drove the exceptional performance of technology
stocks.

Robust demand for telephone, wireless and cable services resulted in
strong performance for the UTILITY sector. Continuing their trend of
solid performance, utility stocks benefited from the exceptional
growth of the Internet and from the brisk pace of mergers and
acquisitions in the telecommunications industry.

Another sector that helped the overall market move higher was NATURAL
RESOURCES. A dramatic recovery was precipitated by a sharp rebound in
the price of oil, from a 12-year low of roughly $11 a barrel in
December 1998 to approximately $20 a barrel toward the end of the
period. Much of the increase was due to a favorable supply and demand
environment.

Despite positive business fundamentals in the form of strong corporate
earnings driven by innovative new drugs and increasing consumer
demand, many HEALTH CARE stocks stumbled during the second half of the
12-month period. Large-cap pharmaceutical companies experienced
weakness during the past six months, due to investor concerns about
the loss of patent protection and increased competition for many
popular drugs. Biotechnology stocks performed well after years of
research and development began to yield profitable new products.

Early in the period, anxiety about global financial difficulties kept
a lid on the performance of finance stocks. While this anxiety
subsided in the last quarter of 1998 and early 1999, FINANCIAL
SERVICES stocks suffered a sharp drop during the final month of the
period, due to concerns about inflation and higher interest rates.

The CYCLICAL INDUSTRIES sector - predominately made up of economically
sensitive stocks - turned in mixed results. The group suffered through
most of the period as faltering international markets led to a
slowdown in domestic manufacturing. This trend reversed itself in
April, though, as improving foreign markets spurred investor
confidence in cyclical and value-oriented companies.

Stocks in the CONSUMER INDUSTRIES sector experienced similar waves of
weakness amid the global financial crisis in the beginning of the
period. Nevertheless, retailers, which represent a significant portion
of this industry, posted good results given their smaller exposure to
international economies.

ADVISOR CONSUMER INDUSTRIES FUND - CLASS A
PERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CONSUMER - CL A 13.49% 96.30%

FIDELITY ADV CONSUMER - CL A 6.97% 85.01%
(INCL. 5.75% SALES CHARGE)

S&P 500 20.20% 112.70%

GS Consumer Industries 11.31% 84.70%

CUMULATIVE TOTAL RETURNS show Class A shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class A shares'
returns to the performance of both the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Consumer Industries Index - a market
capitalization-weighted index of 300 stocks designed to measure the
performance of companies in the consumer industries sector. Issues in
the index include providers of consumer services and products,
including producers of beverages - alcoholic and non-alcoholic, food,
personal care, household products and tobacco companies. These
benchmarks include reinvested dividends and capital gains, if any, and
exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CONSUMER - CL A 13.49% 26.11%

FIDELITY ADV CONSUMER - CL A 6.97% 23.57%
(INCL. 5.75% SALES CHARGE)

S&P 500 20.20% 29.64%

GS Consumer Industries 11.31% 23.50%

AVERAGE ANNUAL RETURNS take Class A shares' cumulative return and show
you what would have happened if Class A shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA CONSUMER IND -CL A S&P 500
GS CONSUMER INDUSTRIES
00185 SP001
GS002
1996/09/03 9425.00 10000.00
10000.00
1996/09/30 9943.38 10516.69
10513.26
1996/10/31 10056.48 10806.74
10515.20
1996/11/30 10395.78 11623.62
11025.10
1996/12/31 10216.82 11393.36
10884.77
1997/01/31 10710.11 12105.21
11305.36
1997/02/28 10842.92 12200.12
11695.56
1997/03/31 10529.87 11698.81
11296.69
1997/04/30 10700.63 12397.23
11790.13
1997/05/31 11525.94 13151.98
12465.57
1997/06/30 12114.10 13741.19
12976.04
1997/07/31 12787.63 14834.57
13662.47
1997/08/31 12332.28 14003.54
12875.85
1997/09/30 13156.20 14770.51
13567.42
1997/10/31 12917.00 14277.18
13296.15
1997/11/30 13551.41 14938.07
14130.89
1997/12/31 13988.48 15194.56
14591.98
1998/01/31 13923.62 15362.61
14472.66
1998/02/28 14928.97 16470.56
15602.11
1998/03/31 15782.98 17314.02
16489.31
1998/04/30 15685.69 17488.19
16327.46
1998/05/31 15761.36 17187.57
16451.19
1998/06/30 16550.51 17885.73
17157.68
1998/07/31 16301.88 17695.25
16593.20
1998/08/31 14010.10 15136.87
14250.87
1998/09/30 14167.78 16106.54
14330.43
1998/10/31 15878.08 17416.64
16100.92
1998/11/30 16802.57 18472.27
17178.98
1998/12/31 18004.40 19536.64
18227.30
1999/01/31 18362.64 20353.66
18442.58
1999/02/28 18177.75 19721.07
18139.22
1999/03/31 18478.20 20510.11
18457.02
1999/04/30 18709.33 21304.46
18831.12
1999/05/31 18374.20 20801.47
18406.85
1999/06/30 19102.23 21955.95
19134.43
1999/07/30 18501.32 21270.48
18470.42
IMATRL PRASUN SHR__CHT 19990731 19990903 133515 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Consumer Industries - Class A on
September 3, 1996, when the fund started, and the current 5.75% sales
charge was paid. As the chart shows, by July 31, 1999, the value of
the investment would have grown to $18,501 - an 85.01% increase on the
initial investment. For comparison, look at how the Standard & Poor's
500 Index did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 investment would have grown to
$21,270 - a 112.70% increase. If $10,000 was invested in the Goldman
Sachs Consumer Industries Index, it would have grown to $18,470 - an
84.70% increase.

(checkmark)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 long-term growth and
short-term volatility. Unlike the broader market,
however, some sectors may not have a history
of growth in the long run. And, as with all
stock funds, the share price and return of a
fund that invests in a sector will vary.

ADVISOR CONSUMER INDUSTRIES FUND - CLASS T
PERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CONSUMER - CL T 13.20% 94.33%

FIDELITY ADV CONSUMER - CL T 9.24% 87.53%
(INCL. 3.50% SALES CHARGE)

S&P 500 20.20% 112.70%

GS Consumer Industries 11.31% 84.70%

CUMULATIVE TOTAL RETURNS show Class T shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class T shares'
returns to the performance of both the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Consumer Industries Index - a market
capitalization-weighted index of 300 stocks designed to measure the
performance of companies in the consumer industries sector. Issues in
the index include providers of consumer services and products,
including producers of beverages - alcoholic and non-alcoholic, food,
personal care, household products and tobacco companies. These
benchmarks include reinvested dividends and capital gains, if any, and
exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CONSUMER - CL T 13.20% 25.68%

FIDELITY ADV CONSUMER - CL T 9.24% 24.15%
(INCL. 3.50% SALES CHARGE)

S&P 500 20.20% 29.64%

GS Consumer Industries 11.31% 23.50%

AVERAGE ANNUAL RETURNS take Class T shares' cumulative return and show
you what would have happened if Class T shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA CONSUMER IND -CL T S&P 500
GS CONSUMER INDUSTRIES
00195 SP001
GS002
1996/09/03 9650.00 10000.00
10000.00
1996/09/30 10180.75 10516.69
10513.26
1996/10/31 10296.55 10806.74
10515.20
1996/11/30 10643.95 11623.62
11025.10
1996/12/31 10451.06 11393.36
10884.77
1997/01/31 10955.66 12105.21
11305.36
1997/02/28 11091.51 12200.12
11695.56
1997/03/31 10761.58 11698.81
11296.69
1997/04/30 10936.25 12397.23
11790.13
1997/05/31 11770.78 13151.98
12465.57
1997/06/30 12362.72 13741.19
12976.04
1997/07/31 13051.69 14834.57
13662.47
1997/08/31 12585.91 14003.54
12875.85
1997/09/30 13396.56 14770.51
13567.42
1997/10/31 13152.02 14277.18
13296.15
1997/11/30 13800.59 14938.07
14130.89
1997/12/31 14236.18 15194.56
14591.98
1998/01/31 14169.91 15362.61
14472.66
1998/02/28 15185.99 16470.56
15602.11
1998/03/31 16058.50 17314.02
16489.31
1998/04/30 15948.06 17488.19
16327.46
1998/05/31 16025.37 17187.57
16451.19
1998/06/30 16820.56 17885.73
17157.68
1998/07/31 16566.54 17695.25
16593.20
1998/08/31 14236.18 15136.87
14250.87
1998/09/30 14397.48 16106.54
14330.43
1998/10/31 16128.00 17416.64
16100.92
1998/11/30 17069.78 18472.27
17178.98
1998/12/31 18282.32 19536.64
18227.30
1999/01/31 18647.26 20353.66
18442.58
1999/02/28 18458.91 19721.07
18139.22
1999/03/31 18753.21 20510.11
18457.02
1999/04/30 18976.89 21304.46
18831.12
1999/05/31 18635.49 20801.47
18406.85
1999/06/30 19377.14 21955.95
19134.43
1999/07/30 18753.21 21270.48
18470.42
IMATRL PRASUN SHR__CHT 19990731 19990811 143838 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Consumer Industries - Class T on
September 3, 1996, when the fund started, and the current 3.50% sales
charge was paid. As the chart shows, by July 31, 1999, the value of
the investment would have grown to $18,753 - an 87.53% increase on the
initial investment. For comparison, look at how the Standard & Poor's
500 Index did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 investment would have grown to
$21,270 - a 112.70% increase. If $10,000 was invested in the Goldman
Sachs Consumer Industries Index, it would have grown to $18,470 - an
84.70% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR CONSUMER INDUSTRIES FUND - CLASS B
PERFORMANCE

PERFORMANCE

There are several ways to evaluate 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 dividend income and capital gains (the
profits earned upon the sale of securities that have grown in value).
The initial offering of Class B shares took place on March 3, 1997.
Class B shares' bear a 1.00% 12b-1 fee. Returns prior to March 3, 1997
are those of Class T which bears a 0.50% 12b-1 fee. Had Class B
shares' 12b-1 fee been reflected, returns prior to March 3, 1997 would
have been lower. Class B shares' contingent deferred sales charge
included in past one year and life of fund total return figures are 5%
and 3%, respectively. If Fidelity had not reimbursed certain class
expenses, the total returns would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CONSUMER - CL B 12.71% 92.11%

FIDELITY ADV CONSUMER - CL B 7.71% 89.11%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 112.70%

GS Consumer Industries 11.31% 84.70%

CUMULATIVE TOTAL RETURNS show Class B shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class B shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Consumer Industries Index - a market
capitalization-weighted index of 300 stocks designed to measure the
performance of companies in the consumer industries sector. Issues in
the index include providers of consumer services and products,
including producers of beverages - alcoholic and non-alcoholic, food,
personal care, household products and tobacco companies. These
benchmarks include reinvested dividends and capital gains, if any, and
exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CONSUMER - CL B 12.71% 25.18%

FIDELITY ADV CONSUMER - CL B 7.71% 24.51%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 29.64%

GS Consumer Industries 11.31% 23.50%

AVERAGE ANNUAL RETURNS take Class B shares' cumulative return and show
you what would have happened if Class B shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA CONSUMER IND -CL B S&P 500
GS CONSUMER INDUSTRIES
00190 SP001
GS002
1996/09/03 10000.00 10000.00
10000.00
1996/09/30 10550.00 10516.69
10513.26
1996/10/31 10670.00 10806.74
10515.20
1996/11/30 11030.00 11623.62
11025.10
1996/12/31 10830.11 11393.36
10884.77
1997/01/31 11353.01 12105.21
11305.36
1997/02/28 11493.80 12200.12
11695.56
1997/03/31 11151.90 11698.81
11296.69
1997/04/30 11322.85 12397.23
11790.13
1997/05/31 12187.65 13151.98
12465.57
1997/06/30 12791.00 13741.19
12976.04
1997/07/31 13494.90 14834.57
13662.47
1997/08/31 13012.22 14003.54
12875.85
1997/09/30 13841.35 14770.51
13567.42
1997/10/31 13576.87 14277.18
13296.15
1997/11/30 14249.10 14938.07
14130.89
1997/12/31 14689.16 15194.56
14591.98
1998/01/31 14620.57 15362.61
14472.66
1998/02/28 15649.39 16470.56
15602.11
1998/03/31 16541.02 17314.02
16489.31
1998/04/30 16426.71 17488.19
16327.46
1998/05/31 16506.73 17187.57
16451.19
1998/06/30 17318.35 17885.73
17157.68
1998/07/31 17044.00 17695.25
16593.20
1998/08/31 14643.44 15136.87
14250.87
1998/09/30 14798.16 16106.54
14330.43
1998/10/31 16577.85 17416.64
16100.92
1998/11/30 17528.63 18472.27
17178.98
1998/12/31 18771.97 19536.64
18227.30
1999/01/31 19137.66 20353.66
18442.58
1999/02/28 18942.63 19721.07
18139.22
1999/03/31 19235.18 20510.11
18457.02
1999/04/30 19454.59 21304.46
18831.12
1999/05/31 19088.90 20801.47
18406.85
1999/06/30 19844.66 21955.95
19134.43
1999/07/30 18911.00 21270.48
18470.00
IMATRL PRASUN SHR__CHT 19990731 19990920 111114 R00000000000038

$10,000 OVER THE LIFE OF FUND: Let's say hypothetically that $10,000
was invested in Fidelity Advisor Consumer Industries - Class B on
September 3, 1996, when the fund started. As the chart shows, by July
31, 1999, the value of the investment, including the effect of the
contingent deferred sales charge, would have grown to $18,911 - an
89.11% increase on the initial investment. For comparison, look at how
the Standard & Poor's 500 Index did over the same period. With
dividends and capital gains, if any, reinvested, the same $10,000
investment would have grown to $21,270 - a 112.70% increase. If
$10,000 was invested in the Goldman Sachs Consumer Industries Index,
it would have grown to $18,470 - an 84.70% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR CONSUMER INDUSTRIES FUND - CLASS C
PERFORMANCE

PERFORMANCE

There are several ways to evaluate 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 dividend income and capital gains (the
profits earned upon the sale of securities that have grown in value).
The initial offering of Class C shares took place on November 3, 1997.
Class C shares bear a 1.00% 12b-1 fee. Returns between March 3, 1997
and November 3, 1997 are those of Class B shares and reflect Class B
shares' 1.00% 12b-1 fee. Returns prior to March 3, 1997 are those of
Class T which bears a 0.50% 12b-1 fee. Had Class C shares' 12b-1 fee
been reflected, returns prior to March 3, 1997 would have been lower.
Class C shares' contingent deferred sales charge included in the past
one year and life of fund total return figures are 1% and 0%,
respectively. If Fidelity had not reimbursed certain class expenses,
the total returns would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CONSUMER - CL C 12.72% 92.15%

FIDELITY ADV CONSUMER - CL C 11.72% 92.15%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 112.70%

GS Consumer Industries 11.31% 84.70%

CUMULATIVE TOTAL RETURNS show Class C shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class C shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Consumer Industries Index - a market
capitalization-weighted index of 300 stocks designed to measure the
performance of companies in the consumer industries sector. Issues in
the index include providers of consumer services and products,
including producers of beverages - alcoholic and non-alcoholic, food,
personal care, household products and tobacco companies. These
benchmarks include reinvested dividends and capital gains, if any, and
exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CONSUMER - CL C 12.72% 25.19%

FIDELITY ADV CONSUMER - CL C 11.72% 25.19%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 29.64%

GS Consumer Industries 11.31% 23.50%

AVERAGE ANNUAL RETURNS take Class C shares' cumulative return and show
you what would have happened if Class C shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA CONSUMER IND -CL C S&P 500
GS CONSUMER INDUSTRIES
00282 SP001
GS002
1996/09/03 10000.00 10000.00
10000.00
1996/09/30 10550.00 10516.69
10513.26
1996/10/31 10670.00 10806.74
10515.20
1996/11/30 11030.00 11623.62
11025.10
1996/12/31 10830.11 11393.36
10884.77
1997/01/31 11353.01 12105.21
11305.36
1997/02/28 11493.80 12200.12
11695.56
1997/03/31 11151.90 11698.81
11296.69
1997/04/30 11322.85 12397.23
11790.13
1997/05/31 12187.65 13151.98
12465.57
1997/06/30 12791.00 13741.19
12976.04
1997/07/31 13494.90 14834.57
13662.47
1997/08/31 13012.22 14003.54
12875.85
1997/09/30 13841.35 14770.51
13567.42
1997/10/31 13576.87 14277.18
13296.15
1997/11/30 14247.70 14938.07
14130.89
1997/12/31 14686.44 15194.56
14591.98
1998/01/31 14606.62 15362.61
14472.66
1998/02/28 15655.65 16470.56
15602.11
1998/03/31 16545.05 17314.02
16489.31
1998/04/30 16431.02 17488.19
16327.46
1998/05/31 16510.84 17187.57
16451.19
1998/06/30 17320.42 17885.73
17157.68
1998/07/31 17046.76 17695.25
16593.20
1998/08/31 14652.23 15136.87
14250.87
1998/09/30 14807.22 16106.54
14330.43
1998/10/31 16585.06 17416.64
16100.92
1998/11/30 17534.87 18472.27
17178.98
1998/12/31 18776.92 19536.64
18227.30
1999/01/31 19130.05 20353.66
18442.58
1999/02/28 18947.40 19721.07
18139.22
1999/03/31 19239.65 20510.11
18457.02
1999/04/30 19458.83 21304.46
18831.12
1999/05/31 19093.52 20801.47
18406.85
1999/06/30 19848.49 21955.95
19134.43
1999/07/30 19215.29 21270.48
18470.42
IMATRL PRASUN SHR__CHT 19990731 19990920 124347 R00000000000038

$10,000 OVER THE LIFE OF FUND: Let's say hypothetically that $10,000
was invested in Fidelity Advisor Consumer Industries - Class C on
September 3, 1996, when the fund started. As the chart shows, by July
31, 1999, the value of the investment would have grown to $19,215 - a
92.15% increase on the initial investment. For comparison, look at how
the Standard & Poor's 500 Index did over the same period. With
dividends and capital gains, if any, reinvested, the same $10,000
investment would have grown to $21,270 - a 112.70% increase. If
$10,000 was invested in the Goldman Sachs Consumer Industries Index,
it would have grown to $18,470 - an 84.70% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR CONSUMER INDUSTRIES FUND
FUND TALK: THE MANAGERS' OVERVIEW

(photograph of Doug Chase)(photograph of John Porter)

NOTE TO SHAREHOLDERS: On September 1, 1999, after the period covered
by this report, John Porter (right) became Portfolio Manager of
Fidelity Advisor Consumer Industries Fund. The following is an
interview with Doug Chase, who managed the fund during the period
covered by this report, with comments from John Porter on his outlook.

Q. HOW DID THE FUND PERFORM, DOUG?

D.C. During the 12-month period that ended July 31, 1999, the fund's
Class A, Class T, Class B and Class C shares had returns of 13.49%,
13.20%, 12.71% and 12.72%, respectively. This performance outperformed
the Goldman Sachs Consumer Industries Index - an index of 300 stocks
designed to measure the performance of companies in the consumer
industries sector - which returned 11.31% over the same 12-month
period. The fund lagged the Standard & Poor's 500 Index's return of
20.20% during the same period.

Q. THE FUND PERFORMED WELL VERSUS THE GOLDMAN SACHS INDEX. WHAT WERE
THE KEYS TO SUCCESS HERE?

D.C. Much of the outperformance came as a result of strong stock
picking, notably in household products and cable stocks. Our deep
bench of research analysts did a good job of identifying the winners
and losers within the consumer industries over the past 12 months. Our
team visited hundreds of companies in the consumer arena, which helped
us get a clearer understanding of how businesses were doing and what
the inter-sector comparisons were looking like. Together, we were
successful in picking the right companies and moving money between
consumer industry sectors on a timely basis. Having a healthy
underweighting in Coca-Cola proved especially beneficial, as the
company suffered from poor earnings growth and a massive recall in
Europe.

Q. WHAT WERE YOUR PRINCIPAL STRATEGIES DURING THE 12-MONTH PERIOD?

D.C. Moving into and out of the different sectors within this industry
at the right time was a key strategy. Amid the global crisis of the
late summer and early fall of 1998, consumer spending at retailers
slackened in conjunction with the dramatic decline in the stock
market. At that time, the fund doubly benefited from its
underweighting in retailers and overweighting in non-durables. Later
in the fall, I reversed the allocation when it became apparent that
the economy was still strong. Then, this spring, I pared back the
fund's exposure to retailers - which had made a significant
contribution to performance - to take some profits. Toward the end of
the period, I continued to unwind some of the fund's retail positions.
In addition, I once again overweighted non-durables, namely household
products and tobacco stocks, which had attractive valuations following
a decline in their prices. At least as importantly, though, the fund
tended to be in the right stocks within these industries.

Q. WHICH STOCKS PERFORMED WELL FOR THE FUND?

D.C. Wal-Mart, the fund's second largest holding, soared due to strong
sales growth fueled by robust consumer demand and superior inventory
and pricing. The Limited, also benefiting from the sharp rise in
consumer confidence, rallied around improving sales. As majority owner
of Intimate Brands, operator of Victoria's Secret and Bath & Body
Works, this stock was also rewarded for strong performance within
these businesses. CBS was a particularly good performer, enjoying
healthy returns in both its radio and television divisions.

Q. WHICH STOCKS DETRACTED FROM PERFORMANCE?

D.C. Disney suffered from a host of problems including a loss of
creative talent, higher costs associated with making animated films
and increased competition from other studios. Weak company-store sales
and declining revenues from home-video releases also pressured its
stock. The market continued to punish shares of Philip Morris for its
litigation troubles. Saks' earnings suffered after its buyout by
national retailer Proffitt's last September, as the joint concern
faced the challenges associated with combining the two operations.

Q. TURNING TO YOU, JOHN, WHAT'S YOUR OUTLOOK?

J.P. Facing the prospect of rising interest rates, the market is
saying that it thinks the U.S. economy is going to slow, which could
change consumer expenditure patterns dramatically. I'm comfortable
with where the fund is positioned right now. I'm also comfortable
taking a defensive position - underweighting the more economically
sensitive retail stocks and overweighting supermarkets and drug
chains, which tend to be defensive. It's important to keep in mind
that if consumer spending continues to be driven primarily by market
gains, investors could be in for a bumpy ride. The situation last fall
proved how fast consumers could flee a falling market. I'm not looking
to change the fund's defensive positioning until we see some semblance
of order in the marketplace. Until then, I will keep a close eye on
relative valuations and rely on Fidelity's research strength in
picking the right stocks.

THE VIEWS EXPRESSED IN THIS REPORT REFLECT THOSE OF THE PORTFOLIO
MANAGERS ONLY THROUGH THE END OF THE PERIOD OF THE REPORT AS STATED ON
THE COVER. THE MANAGERS' VIEWS ARE SUBJECT TO CHANGE AT ANY TIME BASED
ON MARKET OR OTHER CONDITIONS. FOR MORE INFORMATION, SEE PAGE A-3.

(checkmark)FUND FACTS

START DATE: September 3, 1996

SIZE: as of July 31, 1999, more than $43 million

MANAGER: John Porter, since September 1999;
joined Fidelity in 1995

ADVISOR CONSUMER INDUSTRIES FUND

INVESTMENT SUMMARY

TOP TEN STOCKS AS OF JULY 31,
1999

% OF FUND'S INVESTMENTS

Procter & Gamble Co. 6.3

Wal-Mart Stores, Inc. 5.3

Philip Morris Companies, Inc. 5.1

Home Depot, Inc. 3.0

Time Warner, Inc. 2.8

McDonald's Corp. 2.1

Gillette Co. 1.8

AT&T Corp. (Liberty Media 1.7
Group) Class A

Safeway, Inc. 1.6

Dayton Hudson Corp. 1.5

TOP INDUSTRIES AS OF JULY 31,
1999

% OF FUND'S INVESTMENTS

Household Products 12.8%

Broadcasting 12.2%

General Merchandise Stores 9.2%

Foods 7.8%

Retail & Wholesale, 5.3%
Miscellaneous

All Others* 52.7%

Row: 1, Col: 1, Value: 12.8
Row: 1, Col: 2, Value: 0.0
Row: 1, Col: 3, Value: 12.2
Row: 1, Col: 4, Value: 9.199999999999999
Row: 1, Col: 5, Value: 7.8
Row: 1, Col: 6, Value: 5.3
Row: 1, Col: 7, Value: 0.0
Row: 1, Col: 8, Value: 52.7

* INCLUDES SHORT-TERM
INVESTMENTS

ADVISOR CONSUMER INDUSTRIES FUND

INVESTMENTS JULY 31, 1999

Showing Percentage of Total Value of Investment in Securities

COMMON STOCKS - 92.1%

SHARES VALUE (NOTE 1)

ADVERTISING - 1.2%

Interpublic Group of 4,600 $ 193,200
Companies, Inc.

Omnicom Group, Inc. 4,600 326,025

519,225

APPAREL STORES - 3.4%

Abercrombie & Fitch Co. Class 3,590 148,985
A (a)

American Eagle Outfitters, 1,500 57,938
Inc. (a)

AnnTaylor Stores Corp. (a) 1,400 53,725

Claire's Stores, Inc. 2,900 68,875

Gap, Inc. 10,968 512,754

Limited, Inc. (The) 5,440 248,540

Payless ShoeSource, Inc. (a) 1,700 91,800

TJX Companies, Inc. 6,900 228,131

Venator Group, Inc. (a) 9,700 101,850

1,512,598

AUTOS, TIRES, & ACCESSORIES -
0.5%

AutoNation, Inc. (a) 14,500 215,688

BEVERAGES - 4.8%

Anheuser-Busch Companies, 4,400 347,325
Inc.

Canandaigua Wine, Inc. Class 3,300 189,750
A (a)

Celestial Seasonings, Inc. (a) 11,100 227,550

Coca-Cola Co. (The) 600 36,188

Coors (Adolph) Co. Class B 4,800 255,600

Golden State Vinters, Inc. 16,600 101,675
Class B (a)

PepsiCo, Inc. 11,800 461,675

Seagram Co. Ltd. 6,900 356,154

Whitman Corp. 6,900 131,531

2,107,448

BROADCASTING - 12.2%

AMFM, Inc. (a) 4,100 215,250

AT&T Corp. (Liberty Media 20,900 773,300
Group) Class A (a)

Cablevision Systems Corp. 2,100 146,606
Class A (a)

CBS Corp. (a) 12,700 558,006

Clear Channel Communications, 3,650 253,903
Inc. (a)

Comcast Corp.:

Class A 2,100 74,944

Class A (special) 9,900 381,150

Cox Communications, Inc. 10,200 381,863
Class A (a)

EchoStar Communications Corp. 800 54,700
Class A (a)

Infinity Broadcasting Corp. 2,400 66,150
Class A

MediaOne Group, Inc. 9,200 665,850

Nielsen Media Research, Inc. 2,300 74,750
(a)

Sinclair Broadcast Group, 4,600 87,113
Inc. Class A (a)

Time Warner, Inc. 17,270 1,243,440

SHARES VALUE (NOTE 1)

USA Networks, Inc. (a) 6,800 $ 325,975

Young Broadcasting, Inc. 1,800 95,400
Class A

5,398,400

BUILDING MATERIALS - 0.4%

Fortune Brands, Inc. 5,100 201,450

CELLULAR - 0.3%

Rogers Communications, Inc. 4,100 77,574
Class B (non-vtg.) (a)

UnitedGlobalCom, Inc. (a) 600 45,375

122,949

COMPUTER SERVICES & SOFTWARE
- - 0.6%

At Home Corp. Series A (a) 2,800 127,925

Galileo International, Inc. 1,700 87,019

Sykes Enterprises, Inc. (a) 2,100 58,931

273,875

CONSUMER ELECTRONICS - 0.3%

Gemstar International Group 2,200 145,750
Ltd. (a)

DRUG STORES - 2.4%

CVS Corp. 11,830 588,543

General Nutrition Companies, 2,100 52,106
Inc. (a)

Walgreen Co. 15,100 427,519

1,068,168

ENTERTAINMENT - 4.9%

Carnival Corp. 8,400 390,075

Disney (Walt) Co. 22,800 629,850

Fox Entertainment Group, Inc. 1,500 37,313

King World Productions, Inc. 5,000 174,375
(a)

Royal Carribean Cruises Ltd. 4,000 188,000

SFX Entertainment, Inc. Class 2,850 127,716
A (a)

Viacom, Inc.:

Class A (a) 1,600 67,100

Class B (non-vtg.) (a) 13,800 578,738

2,193,167

FOODS - 7.8%

American Italian Pasta Co. 7,300 208,963
Class A (a)

Archer-Daniels-Midland Co. 1,995 27,930

Aurora Foods, Inc. (a) 3,700 68,450

Bestfoods 4,350 212,063

Corn Products International, 5,937 187,016
Inc.

Dean Foods Co. 3,400 147,475

Earthgrains Co. 4,600 120,175

Flowers Industries, Inc. 6,500 108,469

General Mills, Inc. 2,400 198,750

Groupe Danone 420 106,588

Heinz (H.J.) Co. 6,375 300,422

COMMON STOCKS - CONTINUED

SHARES VALUE (NOTE 1)

FOODS - CONTINUED

Hormel Foods Corp. 2,200 $ 86,763

IBP, Inc. 4,400 107,525

Interstate Bakeries Corp. 2,500 58,438

Keebler Foods Co. (a) 15,600 456,300

Kellogg Co. 4,000 139,250

Nabisco Holdings Corp. Class A 6,500 270,563

Quaker Oats Co. 4,000 272,250

Sara Lee Corp. 13,500 297,000

Tyson Foods, Inc. 4,000 74,750

3,449,140

GENERAL MERCHANDISE STORES -
9.2%

Ames Department Stores, Inc. 1,000 41,000
(a)

Consolidated Stores Corp. (a) 6,140 95,938

Dayton Hudson Corp. 10,500 679,219

Dollar General Corp. 3,625 95,836

Dollar Tree Stores, Inc. (a) 850 35,966

Federated Department Stores, 6,500 333,531
Inc. (a)

Saks, Inc. (a) 17,724 407,652

Stein Mart, Inc. (a) 7,000 46,594

Wal-Mart Stores, Inc. 54,900 2,319,525

4,055,261

GROCERY STORES - 4.8%

Albertson's, Inc. 8,921 443,262

Fleming Companies, Inc. 8,500 102,531

Kroger Co. (a) 24,200 636,763

Safeway, Inc. 12,750 686,906

U.S. Foodservice (a) 5,600 237,650

2,107,112

HOME FURNISHINGS - 0.6%

Newell Rubbermaid, Inc. 5,800 250,850

HOUSEHOLD PRODUCTS - 12.8%

Alberto-Culver Co. Class A 2,800 60,725

Avon Products, Inc. 11,550 525,525

Church & Dwight Co., Inc. 5,200 228,475

Clorox Co. 2,099 235,088

Colgate-Palmolive Co. 8,900 439,438

Gillette Co. 18,300 801,769

Procter & Gamble Co. 30,785 2,786,030

Unilever NV 6,900 36,912

Unilever NV NY Shares 7,560 528,255

Yankee Candle Co., Inc. (a) 1,900 42,750

5,684,967

SHARES VALUE (NOTE 1)

LEISURE DURABLES & TOYS - 0.8%

Harley-Davidson, Inc. 2,300 $ 127,363

Hasbro, Inc. 6,550 170,300

Mattel, Inc. 1,900 44,650

342,313

LODGING & GAMING - 1.4%

Gtech Holdings Corp. (a) 3,900 99,450

Marriott International, Inc. 3,200 112,200
Class A

Prime Hospitality Corp. (a) 9,900 108,281

Promus Hotel Corp. (a) 5,000 134,688

Sun International Hotels Ltd. 1,300 52,975
(a)

WMS Industries, Inc. (a) 6,400 98,400

605,994

PACKAGING & CONTAINERS - 1.2%

Corning, Inc. 3,900 273,000

Tupperware Corp. 11,200 264,600

537,600

PAPER & FOREST PRODUCTS - 0.6%

Kimberly-Clark Corp. 4,400 268,400

PRINTING - 0.2%

Donnelley (R.R.) & Sons Co. 2,400 84,000

PUBLISHING - 3.4%

Belo (A.H.) Corp. Class A 6,800 137,275

Gannet, Inc. 3,900 281,775

Harcourt General, Inc. 1,150 53,403

Harte Hanks Communications, 1,900 50,469
Inc.

Knight-Ridder, Inc. 1,200 64,350

McGraw-Hill Companies, Inc. 4,700 239,113

Meredith Corp. 4,300 154,531

Playboy Enterprises, Inc. 2,700 66,656
Class B (a)

Reader's Digest Association, 7,200 250,650
Inc. Class A (non-vtg.)

Tribune Co. 2,500 220,156

1,518,378

REAL ESTATE INVESTMENT TRUSTS
- - 0.2%

Starwood Hotels & Resorts 3,100 83,700
Worldwide, Inc.

RESTAURANTS - 3.4%

CEC Entertainment, Inc. (a) 3,150 99,225

Foodmaker, Inc. (a) 2,700 73,913

McDonald's Corp. 22,300 929,631

Outback Steakhouse, Inc. (a) 4,950 165,206

Papa John's International, 800 34,350
Inc. (a)

Sizzler International, Inc. 10,900 29,294
(a)

Tricon Global Restaurants, 4,400 179,025
Inc. (a)

1,510,644

COMMON STOCKS - CONTINUED

SHARES VALUE (NOTE 1)

RETAIL & WHOLESALE,
MISCELLANEOUS - 5.3%

Action Performance Companies, 2,300 $ 79,638
Inc. (a)

Bed Bath & Beyond, Inc. (a) 2,300 78,056

Home Depot, Inc. 20,900 1,333,681

Lowe's Companies, Inc. 7,900 416,725

Office Depot, Inc. (a) 5,800 108,750

PETsMART, Inc. (a) 10,200 77,138

Staples, Inc. (a) 9,550 275,756

2,369,744

SERVICES - 2.8%

ACNielsen Corp. (a) 5,300 153,369

Block (H&R), Inc. 1,700 92,863

Cendant Corp. (a) 13,000 261,625

Modis Professional Services, 3,000 43,500
Inc. (a)

NCO Group, Inc. (a) 3,300 129,113

Profit Recovery Group 1,100 56,650
International, Inc. (a)

ServiceMaster Co. 3,950 71,100

Snyder Communications, Inc. 2,400 46,500
(a)

True North Communications 3,600 117,225

Viad Corp. 7,500 247,969

1,219,914

TEXTILES & APPAREL - 1.5%

Jones Apparel Group, Inc. (a) 3,200 105,200

Liz Claiborne, Inc. 1,900 73,744

NIKE, Inc. Class B 2,600 135,200

Tommy Hilfiger (a) 5,600 206,850

WestPoint Stevens, Inc. Class 5,400 147,150
A

668,144

TOBACCO - 5.1%

Philip Morris Companies, Inc. 60,700 2,261,075

TOTAL COMMON STOCKS 40,775,954
(Cost $35,026,117)

CASH EQUIVALENTS - 7.9%

Taxable Central Cash Fund (b) 3,485,280 3,485,280
(Cost $3,485,280)

TOTAL INVESTMENT IN $ 44,261,234
SECURITIES - 100%
(Cost $38,511,397)

LEGEND

(a) Non-income producing

(b) At period end, the seven-day yield on the Taxable Central Cash
Fund was 5.06%. The yield refers to the income earned by investing in
the fund over the seven-day period, expressed as an annual percentage.

INCOME TAX INFORMATION

At July 31, 1999, the aggregate cost of investment securities for
income tax purposes was $38,645,979. Net unrealized appreciation
aggregated $5,615,255, of which $7,153,230 related to appreciated
investment securities and $1,537,975 related to depreciated investment
securities.

The fund hereby designates approximately $325,000 as a capital gain
dividend for the purpose of the dividend paid deduction.

A total of 14%, 15%, 15%, 15% and 14% of Class A's, Class T's, Class
B's, Class C's and Institutional Class' dividend distributions during
the fiscal year qualifies for the dividends-received deductions for
corporate shareholders (unaudited).

The fund will notify shareholders in January 2000 of the applicable
percentages for use in preparing 1999 income tax returns.

ADVISOR CONSUMER INDUSTRIES FUND
FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
JULY 31, 1999

ASSETS

Investment in securities, at $ 44,261,234
value (cost $38,511,397) -
See accompanying schedule

Receivable for investments 348,647
sold

Receivable for fund shares 171,594
sold

Dividends receivable 19,114

Interest receivable 15,919

Other receivables 11

TOTAL ASSETS 44,816,519

LIABILITIES

Payable to custodian bank $ 16,604

Payable for investments 913,907
purchased

Payable for fund shares 42,628
redeemed

Accrued management fee 22,020

Distribution fees payable 20,515

Other payables and accrued 38,588
expenses

TOTAL LIABILITIES 1,054,262

NET ASSETS $ 43,762,257

Net Assets consist of:

Paid in capital $ 37,449,001

Accumulated undistributed net 563,415
realized gain (loss) on
investments and foreign
currency transactions

Net unrealized appreciation 5,749,841
(depreciation) on
investments and assets and
liabilities in foreign
currencies

NET ASSETS $ 43,762,257

CALCULATION OF MAXIMUM $16.01
OFFERING PRICE CLASS A:
NET ASSET VALUE and
redemption price per
share ($3,504,332 (divided
by) 218,868 shares)

Maximum offering price per $16.99
share (100/94.25 of
$16.01)

CLASS T: NET ASSET VALUE $15.93
and redemption price per
share ($21,714,390 (divided
by) 1,362,959 shares)

Maximum offering price per $16.51
share (100/96.50 of
$15.93)

CLASS B: NET ASSET VALUE $15.76
and offering price per
share ($9,831,724 (divided
by) 624,004 shares) A

CLASS C: NET ASSET VALUE $15.78
and offering price per
share ($2,758,152 (divided
by) 174,821 shares) A

INSTITUTIONAL CLASS: NET $16.11
ASSET VALUE, offering price
and redemption price per
share ($5,953,659
(divided by) 369,542 shares)

A REDEMPTION PRICE PER SHARE IS EQUAL TO NET ASSET VALUE LESS ANY
APPLICABLE CONTINGENT DEFERRED SALES CHARGE.

STATEMENT OF OPERATIONS
YEAR ENDED JULY 31, 1999

INVESTMENT INCOME $ 330,915
Dividends

Interest 135,014

TOTAL INCOME 465,929

EXPENSES

Management fee $ 201,981

Transfer agent fees 96,526

Distribution fees 187,802

Accounting fees and expenses 60,273

Non-interested trustees' 111
compensation

Custodian fees and expenses 8,447

Registration fees 68,903

Audit 28,685

Legal 324

Total expenses before 653,052
reductions

Expense reductions (24,322) 628,730

NET INVESTMENT INCOME (LOSS) (162,801)

REALIZED AND UNREALIZED GAIN
(LOSS)
Net realized gain (loss) on:

Investment securities 807,148

Foreign currency transactions 449 807,597

Change in net unrealized
appreciation (depreciation)
on:

Investment securities 3,190,670

Assets and liabilities in 4 3,190,674
foreign currencies

NET GAIN (LOSS) 3,998,271

NET INCREASE (DECREASE) IN $ 3,835,470
NET ASSETS RESULTING FROM
OPERATIONS

<TABLE>
<CAPTION>
<S> <C> <C>
STATEMENT OF CHANGES IN NET ASSETS

INCREASE (DECREASE) IN NET YEAR ENDED JULY 31, 1999 YEAR ENDED JULY 31, 1998
ASSETS

Operations Net investment $ (162,801) $ (119,125)
income (loss)

Net realized gain (loss) 807,597 2,436,414

Change in net unrealized 3,190,674 1,539,184
appreciation (depreciation)

NET INCREASE (DECREASE) IN 3,835,470 3,856,473
NET ASSETS RESULTING FROM
OPERATIONS

Distributions to shareholders (1,579,052) (1,433,351)
from net realized gains

Share transactions - net 13,658,707 15,183,117
increase (decrease)

Redemption fees 14,605 39,768

TOTAL INCREASE (DECREASE) 15,929,730 17,646,007
IN NET ASSETS

NET ASSETS

Beginning of period 27,832,527 10,186,520

End of period $ 43,762,257 $ 27,832,527

</TABLE>

FINANCIAL HIGHLIGHTS - CLASS A

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 15.08 $ 13.48 $ 10.00
period

Income from Investment
Operations

Net investment income (loss) D (.03) (.06) (.05)

Net realized and unrealized 1.80 3.31 3.60
gain (loss)

Total from investment 1.77 3.25 3.55
operations

Less Distributions

From net realized gain (.85) (1.68) (.07)

Redemption fees added to paid .01 .03 -
in capital

Net asset value, end of period $ 16.01 $ 15.08 $ 13.48

TOTAL RETURN B, C 13.49% 27.48% 35.68%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 3,504 $ 2,220 $ 944
(000 omitted)

Ratio of expenses to average 1.55% F 1.75% F 1.75% A, F
net assets

Ratio of expenses to average 1.54% G 1.73% G 1.73% A, G
net assets after expense
reductions

Ratio of net investment (.19)% (.47)% (.50)% A
income (loss) to average net
assets

Portfolio turnover 80% 144% 203% A

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE ONE TIME SALES
CHARGE AND FOR PERIODS OF
LESS THAN ONE YEAR ARE NOT
ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E FOR THE PERIOD SEPTEMBER 3,
1996 (COMMENCEMENT OF SALE
OF CLASS A SHARES) TO JULY
31, 1997.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

FINANCIAL HIGHLIGHTS - CLASS T

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 15.00 $ 13.45 $ 10.00
period

Income from Investment
Operations

Net investment income (loss) D (.06) (.10) (.09)

Net realized and unrealized 1.79 3.28 3.60
gain (loss)

Total from investment 1.73 3.18 3.51
operations

Less Distributions

From net realized gain (.81) (1.66) (.06)

Redemption fees added to paid .01 .03 -
in capital

Net asset value, end of period $ 15.93 $ 15.00 $ 13.45

TOTAL RETURN B, C 13.20% 26.93% 35.25%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 21,714 $ 13,989 $ 7,314
(000 omitted)

Ratio of expenses to average 1.79% F 2.00% F 2.00% A, F
net assets

Ratio of expenses to average 1.77% G 1.98% G 1.97% A, G
net assets after expense
reductions

Ratio of net investment (.42)% (.71)% (.83)% A
income (loss) to average net
assets

Portfolio turnover 80% 144% 203% A

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE ONE TIME SALES
CHARGE AND FOR PERIODS OF
LESS THAN ONE YEAR ARE NOT
ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E FOR THE PERIOD SEPTEMBER 3,
1996 (COMMENCEMENT OF SALE
OF CLASS T SHARES) TO JULY
31, 1997.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

FINANCIAL HIGHLIGHTS - CLASS B

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 14.91 $ 13.42 $ 11.46
period

Income from Investment
Operations

Net investment income (loss) D (.14) (.17) (.08)

Net realized and unrealized 1.79 3.26 2.04
gain (loss)

Total from investment 1.65 3.09 1.96
operations

Less Distributions

From net realized gain (.81) (1.64) -

Redemption fees added to paid .01 .04 -
in capital

Net asset value, end of period $ 15.76 $ 14.91 $ 13.42

TOTAL RETURN B, C 12.71% 26.30% 17.10%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 9,832 $ 5,419 $ 596
(000 omitted)

Ratio of expenses to average 2.31% F 2.50% F 2.50% A, F
net assets

Ratio of expenses to average 2.30% G 2.48% G 2.46% A, G
net assets after expense
reductions

Ratio of net investment (.95)% (1.23)% (1.60)% A
income (loss) to average net
assets

Portfolio turnover 80% 144% 203% A

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE CONTINGENT
DEFERRED SALES CHARGE AND
FOR PERIODS OF LESS THAN ONE
YEAR ARE NOT ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E FOR THE PERIOD MARCH 3,
1997 (COMMENCEMENT OF SALE
OF CLASS B SHARES) TO JULY
31, 1997.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

FINANCIAL HIGHLIGHTS - CLASS C

YEARS ENDED JULY 31, 1999 1998 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 14.95 $ 12.66
period

Income from Investment
Operations

Net investment income (loss) D (.15) (.13)

Net realized and unrealized 1.80 2.87
gain (loss)

Total from investment 1.65 2.74
operations

Less Distributions

From net realized gain (.83) (.49)

Redemption fees added to paid .01 .04
in capital

Net asset value, end of period $ 15.78 $ 14.95

TOTAL RETURN B, C 12.72% 22.67%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 2,758 $ 1,461
(000 omitted)

Ratio of expenses to average 2.32% F 2.50% A, F
net assets

Ratio of expenses to average 2.30% G 2.48% A, G
net assets after expense
reductions

Ratio of net investment (.95)% (1.27)% A
income (loss) to average net
assets

Portfolio turnover 80% 144%

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE CONTINGENT
DEFERRED SALES CHARGE AND
FOR PERIODS OF LESS THAN ONE
YEAR ARE NOT ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E FOR THE PERIOD NOVEMBER 3,
1997 (COMMENCEMENT OF SALE
OF CLASS C SHARES) TO JULY
31, 1998.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

FINANCIAL HIGHLIGHTS - INSTITUTIONAL CLASS

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 15.12 $ 13.51 $ 10.00
period

Income from Investment
Operations

Net investment income (loss) D .02 (.03) (.01)

Net realized and unrealized 1.81 3.31 3.59
gain (loss)

Total from investment 1.83 3.28 3.58
operations

Less Distributions

From net realized gain (.85) (1.70) (.07)

Redemption fees added to paid .01 .03 -
in capital

Net asset value, end of period $ 16.11 $ 15.12 $ 13.51

TOTAL RETURN B, C 13.87% 27.70% 35.98%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 5,954 $ 4,745 $ 1,333
(000 omitted)

Ratio of expenses to average 1.26% F 1.50% F 1.50% A, F
net assets

Ratio of expenses to average 1.24% G 1.48% G 1.48% A, G
net assets after expense
reductions

Ratio of net investment .11% (.20)% (.13)% A
income (loss) to average net
assets

Portfolio turnover 80% 144% 203% A

A ANNUALIZED
B THE TOTAL RETURNS FOR
PERIODS OF LESS THAN ONE
YEAR ARE NOT ANNUALIZED.
C THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E FOR THE PERIOD SEPTEMBER 3,
1996 (COMMENCEMENT OF SALE
OF INSTITUTIONAL CLASS
SHARES) TO JULY 31, 1997.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

NOTES TO FINANCIAL STATEMENTS
For the period ended July 31, 1999

1. SIGNIFICANT ACCOUNTING POLICIES.

Fidelity Advisor Consumer Industries Fund (the fund) is a fund of
Fidelity Advisor Series VII (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 fund offers Class A, Class T, Class B, Class C, and Institutional
Class shares, each of which has equal rights as to assets and voting
privileges. Each class has exclusive voting rights with respect to
matters that affect that class. Class B shares will automatically
convert to Class A shares after a holding period of seven years from
the initial date of purchase. Investment income, realized and
unrealized capital gains and losses, the common expenses of the fund,
and certain fund-level expense reductions, if any, are allocated on a
pro rata basis to each class based on the relative net assets of each
class to the total net assets of the fund. Each class of shares
differs in its respective distribution, transfer agent, and certain
other class-specific fees, expenses, and expense reductions.

The financial statements have been prepared in conformity with
generally accepted accounting principles which require 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 (including restricted
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.

FOREIGN CURRENCY TRANSLATION. The accounting records of the fund are
maintained in U.S. dollars. Investment securities and other assets and
liabilities denominated in a foreign currency are translated into U.S.
dollars at the prevailing rates of exchange at period end. Purchases
and sales of securities, income receipts and expense payments are
translated into U.S. dollars at the prevailing exchange rate on the
respective dates of the transactions.

Net realized gains and losses on foreign currency transactions
represent net gains and losses from sales and maturities of foreign
currency contracts, disposition of foreign currencies, the difference
between the amount of net investment income accrued and the U.S.
dollar amount actually received, and gains and losses between trade
and settlement date on purchases and sales of securities. The effects
of changes in foreign currency exchange rates on investments in
securities are included with the net realized and unrealized gain or
loss on investment securities.

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 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. 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.

EXPENSES. Most expenses of the trust can be directly attributed to a
fund. Expenses which cannot be directly attributed are apportioned
among the funds in the trust.

DISTRIBUTIONS TO SHAREHOLDERS. Distributions are recorded on the
ex-dividend date. Income dividends and capital gain distributions are
declared separately for each class.

Income and capital gain distributions are determined in accordance
with income tax regulations which may differ from generally accepted
accounting principles. These differences, which may result in
distribution reclassifications, are primarily due to differing
treatments for foreign currency transactions, net operating losses and
losses deferred due to wash sales. 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.

Permanent book and tax basis differences relating to shareholder
distributions will result in reclassifications to paid in capital.
Accumulated undistributed net realized gain (loss) on investments and
foreign currency transactions may include temporary book and tax basis
differences that will reverse in a subsequent period. Any taxable
income or gain remaining at fiscal year end is distributed in the
following year.

SHORT-TERM TRADING (REDEMPTION) FEES. Shares held in the fund less
than 60 days are subject to a short-term trading fee equal to 1% 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.

2. OPERATING POLICIES.

FOREIGN CURRENCY CONTRACTS. The fund generally uses foreign currency
contracts to facilitate transactions in foreign-denominated
securities. Losses may arise from changes in the value of the foreign
currency or if the counterparties do not perform under the contracts'
terms. The U.S. dollar value of foreign currency contracts is
determined using contractual currency exchange rates established at
the time of each trade.

JOINT TRADING ACCOUNT. Pursuant to an Exemptive Order issued by the
Securities and Exchange Commission (the SEC), 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 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.

TAXABLE CENTRAL CASH FUND. Pursuant to an Exemptive Order issued by
the SEC, the fund may invest in the Taxable Central Cash Fund (the
Cash Fund) managed by Fidelity Investments Money Management, Inc., an
affiliate of FMR. The Cash Fund is an open-end money market fund
available only to investment companies and other accounts managed by
FMR and its affiliates. The Cash Fund seeks preservation of capital,
liquidity, and current income by investing in U.S. Treasury securities
and repurchase agreements for these securities. Income distributions
from the Cash Fund are declared daily and paid monthly from net
interest income. Income distributions earned by the fund are recorded
as interest income in the accompanying financial statements.

RESTRICTED SECURITIES. The fund is permitted to invest in securities
that are subject to legal or contractual restrictions on resale. These
securities generally may be resold in transactions exempt from
registration or to the public if the securities are registered.
Disposal of these securities may involve time-consuming negotiations
and expense, and prompt sale at an acceptable price may be difficult.
At the end of the period, the fund had no investments in restricted
securities.

3. PURCHASES AND SALES OF INVESTMENTS.

Purchases and sales of securities, other than short-term securities,
aggregated $36,664,303 and $25,642,720, respectively.

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.

MANAGEMENT FEE. As the fund's investment adviser, FMR receives a
monthly fee that is calculated on the basis of a group fee rate plus a
fixed individual fund fee rate applied to the average net assets of
the fund. The group fee rate is the weighted average of a series of
rates and is based on the monthly average net assets of all the mutual
funds advised by FMR. The rates ranged from .2500% to .5200% for the
period. The annual individual fund fee rate is .30%. In the event that
these rates were lower than the contractual rates in effect during the
period, FMR voluntarily implemented the above rates, as they resulted
in the same or a lower management fee. For the period, the management
fee was equivalent to an annual rate of .58% of average net assets.

DISTRIBUTION AND SERVICE PLAN. In accordance with Rule 12b-1 of the
1940 Act, the Board of Trustees have adopted separate distribution
plans with respect to each class of shares (collectively referred to
as "the Plans"). Under certain of the Plans, the class pays Fidelity
Distributors Corporation (FDC), an affiliate of FMR, a distribution
and service fee. A portion of this fee may be reallowed to securities
dealers, banks and other financial institutions for the distribution
of each class of shares and providing shareholder support services.
For the period, this fee was based on the following annual rates of
the average net assets of each applicable class:

CLASS A .25%

CLASS T .50%

CLASS B 1.00% *

CLASS C 1.00% *

* .75% REPRESENTS A DISTRIBUTION FEE AND .25% REPRESENTS A SHAREHOLDER
SERVICE FEE.

For the period, each class paid FDC the following amounts, a portion
of which was retained by FDC:

PAID TO FDC RETAINED BY FDC

CLASS A $ 6,765 $ 136

CLASS T 87,501 0

CLASS B 74,573 55,963

CLASS C 18,963 16,091

$ 187,802 $ 72,190

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES - CONTINUED

SALES LOAD - CONTINUED

The Class A and Class T contingent deferred sales charge is based on
0.25% of the lesser of the cost of shares at the initial date of
purchase or the net asset value of the redeemed shares, excluding any
reinvested dividends and capital gains. A portion of the sales charges
paid to FDC is paid to securities dealers, banks and other financial
institutions.

For the period, sales charge amounts paid to and retained by FDC were
as follows:

PAID TO FDC RETAINED BY FDC

CLASS A $ 26,463 $ 9,732

CLASS T 49,305 13,689

CLASS B 24,515 24,515 *

CLASS C 4,208 4,208 *

$ 104,491 $ 52,144

* WHEN CLASS B AND CLASS C SHARES ARE INITIALLY SOLD, FDC PAYS
COMMISSIONS FROM ITS OWN RESOURCES TO SECURITIES DEALERS,
BANKS, AND OTHER FINANCIAL INSTITUTIONS THROUGH WHICH THE SALES ARE
MADE.

TRANSFER AGENT FEES. Fidelity Investments Institutional Operations
Company, Inc., (FIIOC), an affiliate of FMR, is the transfer, dividend
disbursing and shareholder servicing agent for each class of the fund.
FIIOC receives account fees and asset-based fees that vary according
to the account size and type of account of the shareholders of the
respective classes of the fund. FIIOC pays for typesetting, printing
and mailing of all shareholder reports, except proxy statements. For
the period, the following amounts were paid to FIIOC:

AMOUNT % OF AVERAGE NET ASSETS

CLASS A $ 8,064 .30

CLASS T 46,176 .26

CLASS B 24,357 .33

CLASS C 6,683 .35

INSTITUTIONAL CLASS 11,246 .23

$ 96,526

ACCOUNTING FEES. Fidelity Service Company, Inc.(FSC), an affiliate of
FMR, 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 $5,940 for the period.

5. EXPENSE REDUCTIONS.

FMR voluntarily agreed to reimburse operating expenses (excluding
interest, taxes, certain securities lending fees, brokerage
commissions and extraordinary expenses, if any) above the following
annual rates or range of annual rates of average net assets for each
of the following classes:

FMR EXPENSE LIMITATIONS REIMBURSEMENT

CLASS A 1.75-1.50% $ 1,642

CLASS T 2.00-1.75% 7,952

CLASS B 2.50-2.25% 5,887

CLASS C 2.50-2.25% 1,922

INSTITUTIONAL CLASS 1.50-1.25% 1,801

$ 19,204

Effective December 1, 1998, Class A, Class T, Class B, Class C and the
Institutional Class expense limitations were changed to 1.50%, 1.75%,
2.25%, 2.25%, and 1.25% of each class' average net assets,
respectively.

FMR has also directed certain portfolio trades to brokers who paid a
portion of the fund's expenses. For the period, the fund's expenses
were reduced by $5,118 under this arrangement.

6. DISTRIBUTIONS TO SHAREHOLDERS.

Distributions to shareholders of each class were as follows:

YEARS ENDED JULY 31,

FROM NET REALIZED GAIN 1999 1998 A

Class A $ 121,205 $ 122,598

Class T 772,710 1,001,052

Class B 327,913 102,510

Class C 82,950 1,954

Institutional Class 274,274 205,237

Total $ 1,579,052 $ 1,433,351

A DISTRIBUTIONS FOR CLASS C ARE FOR THE PERIOD NOVEMBER 3, 1997
(COMMENCEMENT OF SALE OF SHARES) TO JULY 31, 1998.

7. SHARE TRANSACTIONS.

Transactions for each class of shares were as follows:

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
SHARES DOLLARS

YEAR ENDED JULY 31, YEAR ENDED JULY 31, YEAR ENDED JULY 31, YEAR ENDED JULY 31,

1999 1998 A 1999 1998 A

CLASS A Shares sold 92,013 $ 1,782,025 $ 1,311,243
115,099

Reinvestment of distributions 9,730 9,124 119,873 113,019

Shares redeemed (53,179) (23,935) (794,506) (334,712)

Net increase (decrease) 71,650 77,202 $ 1,107,392 $ 1,089,550

CLASS T Shares sold 836,168 784,694 $ 12,781,566 $ 11,054,004

Reinvestment of distributions 59,298 73,835 728,776 913,447

Shares redeemed (465,170) (469,801) (6,990,735) (6,762,615)

Net increase (decrease) 430,296 388,728 $ 6,519,607 $ 5,204,836

CLASS B Shares sold 400,266 359,596 $ 5,949,947 $ 5,098,496

Reinvestment of distributions 25,754 7,684 314,459 94,935

Shares redeemed (165,340) (48,361) (2,389,462) (692,526)

Net increase (decrease) 260,680 318,919 $ 3,874,944 $ 4,500,905

CLASS C Shares sold 138,656 101,815 $ 2,101,382 $ 1,469,653

Reinvestment of distributions 6,196 43 75,712 542

Shares redeemed (67,731) (4,158) (994,371) (61,277)

Net increase (decrease) 77,121 97,700 $ 1,182,723 $ 1,408,918

INSTITUTIONAL CLASS Shares 257,491 246,078 $ 3,899,578 $ 3,450,421
sold

Reinvestment of distributions 21,083 15,764 260,589 196,010

Shares redeemed (222,900) (46,652) (3,186,126) (667,523)

Net increase (decrease) 55,674 215,190 $ 974,041 $ 2,978,908

</TABLE>

A SHARE TRANSACTIONS FOR CLASS C ARE FOR THE PERIOD NOVEMBER 3, 1997
(COMMENCEMENT OF SALE OF SHARES) TO JULY 31, 1998.

ADVISOR CYCLICAL INDUSTRIES FUND - CLASS A
PERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CYCLICAL - CL A 10.81% 63.49%

FIDELITY ADV CYCLICAL - CL A 4.44% 54.09%
(INCL. 5.75% SALES CHARGE)

S&P 500 20.20% 112.70%

GS Cyclical Industries 8.32% 55.20%

CUMULATIVE TOTAL RETURNS show Class A shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class A shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Cyclical Industries Index - a market
capitalization-weighted index of 277 stocks designed to measure the
performance of companies in the cyclical industries sector. Issues in
the index include providers of consumer and commercial goods and
services where performance is influenced by the cyclicality of
economy, such as: manufacturers of automobiles and companies involved
with construction of residential and commercial properties, producers
of chemicals, electrical equipment and components, and providers of
environmental services. These benchmarks include reinvested dividends
and capital gains, if any, and exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CYCLICAL - CL A 10.81% 18.42%

FIDELITY ADV CYCLICAL - CL A 4.44% 16.04%
(INCL. 5.75% SALES CHARGE)

S&P 500 20.20% 29.64%

GS Cyclical Industries 8.32% 16.32%

AVERAGE ANNUAL RETURNS take Class A shares' cumulative return and show
you what would have happened if Class A shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA CYCLICAL IND -CL A S&P 500
GS CYCLICAL INDUSTRIES
00184 SP001
GS003
1996/09/03 9425.00 10000.00
10000.00
1996/09/30 9783.15 10516.69
10449.51
1996/10/31 10065.90 10806.74
10623.81
1996/11/30 10669.10 11623.62
11299.86
1996/12/31 10612.70 11393.36
11101.84
1997/01/31 10888.23 12105.21
11459.45
1997/02/28 10916.74 12200.12
11487.29
1997/03/31 10584.20 11698.81
11120.08
1997/04/30 10745.72 12397.23
11654.84
1997/05/31 11638.82 13151.98
12461.54
1997/06/30 12246.89 13741.19
12959.26
1997/07/31 13111.49 14834.57
13980.32
1997/08/31 12826.45 14003.54
13471.60
1997/09/30 13135.80 14770.51
13938.94
1997/10/31 12290.57 14277.18
13095.58
1997/11/30 12499.40 14938.07
13453.87
1997/12/31 12592.62 15194.56
13598.24
1998/01/31 12859.24 15362.61
13598.41
1998/02/28 13874.44 16470.56
14714.19
1998/03/31 14561.50 17314.02
15518.24
1998/04/30 14756.33 17488.19
15588.62
1998/05/31 14530.73 17187.57
15359.18
1998/06/30 14592.26 17885.73
15161.59
1998/07/31 13905.20 17695.25
14328.86
1998/08/31 11792.76 15136.87
12063.57
1998/09/30 11875.60 16106.54
12434.95
1998/10/31 12998.82 17416.64
13538.58
1998/11/30 13413.21 18472.27
14155.28
1998/12/31 13991.18 19536.64
14242.33
1999/01/31 13762.18 20353.66
14290.54
1999/02/28 13424.12 19721.07
14008.83
1999/03/31 13565.89 20510.11
14191.98
1999/04/30 15408.84 21304.46
16333.87
1999/05/31 15158.02 20801.47
15712.77
1999/06/30 15735.99 21955.95
16252.48
1999/07/30 15408.84 21270.48
15520.45
IMATRL PRASUN SHR__CHT 19990731 19990813 094408 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Cyclical Industries - Class A on
September 3, 1996, when the fund started, and the current 5.75% sales
charge was paid. As the chart shows, by July 31, 1999, the value of
the investment would have grown to $15,409 - a 54.09% increase on the
initial investment. For comparison, look at how the Standard & Poor's
500 Index did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 investment would have grown to
$21,270 - a 112.70% increase. If $10,000 was invested in the Goldman
Sachs Cyclical Industries Index, it would have grown to $15,520 - a
55.20% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR CYCLICAL INDUSTRIES FUND - CLASS T
PERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CYCLICAL - CL T 10.57% 62.56%

FIDELITY ADV CYCLICAL - CL T 6.70% 56.87%
(INCL. 3.50% SALES CHARGE)

S&P 500 20.20% 112.70%

GS Cyclical Industries 8.32% 55.20%

CUMULATIVE TOTAL RETURNS show Class T shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class T shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Cyclical Industries Index - a market
capitalization-weighted index of 277 stocks designed to measure the
performance of companies in the cyclical industries sector. Issues in
the index include providers of consumer and commercial goods and
services where performance is influenced by the cyclicality of
economy, such as: manufacturers of automobiles and companies involved
with construction of residential and commercial properties, producers
of chemicals, electrical equipment and components, and providers of
environmental services. These benchmarks include reinvested dividends
and capital gains, if any, and exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CYCLICAL - CL T 10.57% 18.19%

FIDELITY ADV CYCLICAL - CL T 6.70% 16.75%
(INCL. 3.50% SALES CHARGE)

S&P 500 20.20% 29.64%

GS Cyclical Industries 8.32% 16.32%

AVERAGE ANNUAL RETURNS take Class T shares' cumulative return and show
you what would have happened if Class T shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA CYCLICAL IND -CL T S&P 500
GS CYCLICAL INDUSTRIES
00194 SP001
GS003
1996/09/03 9650.00 10000.00
10000.00
1996/09/30 10016.70 10516.69
10449.51
1996/10/31 10306.20 10806.74
10623.81
1996/11/30 10923.80 11623.62
11299.86
1996/12/31 10846.68 11393.36
11101.84
1997/01/31 11138.52 12105.21
11459.45
1997/02/28 11167.70 12200.12
11487.29
1997/03/31 10817.49 11698.81
11120.08
1997/04/30 10982.87 12397.23
11654.84
1997/05/31 11897.30 13151.98
12461.54
1997/06/30 12519.89 13741.19
12959.26
1997/07/31 13395.40 14834.57
13980.32
1997/08/31 13103.57 14003.54
13471.60
1997/09/30 13410.13 14770.51
13938.94
1997/10/31 12554.81 14277.18
13095.58
1997/11/30 12768.64 14938.07
13453.87
1997/12/31 12864.11 15194.56
13598.24
1998/01/31 13137.15 15362.61
13598.41
1998/02/28 14166.28 16470.56
14714.19
1998/03/31 14859.36 17314.02
15518.24
1998/04/30 15058.89 17488.19
15588.62
1998/05/31 14827.86 17187.57
15359.18
1998/06/30 14890.87 17885.73
15161.59
1998/07/31 14187.28 17695.25
14328.86
1998/08/31 12024.01 15136.87
12063.57
1998/09/30 12107.88 16106.54
12434.95
1998/10/31 13267.38 17416.64
13538.58
1998/11/30 13691.05 18472.27
14155.28
1998/12/31 14270.80 19536.64
14242.33
1999/01/31 14025.52 20353.66
14290.54
1999/02/28 13691.05 19721.07
14008.83
1999/03/31 13824.84 20510.11
14191.98
1999/04/30 15697.88 21304.46
16333.87
1999/05/31 15441.45 20801.47
15712.77
1999/06/30 16032.35 21955.95
16252.48
1999/07/30 15686.73 21270.48
15520.45
IMATRL PRASUN SHR__CHT 19990731 19990920 111739 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Cyclical Industries - Class T on
September 3, 1996, when the fund started, and the current 3.50% sales
charge was paid. As the chart shows, by July 31, 1999, the value of
the investment would have grown to $15,687 - a 56.87% increase on the
initial investment. For comparison, look at how the Standard & Poor's
500 Index did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 investment would have grown to
$21,270 - a 112.70% increase. If $10,000 was invested in the Goldman
Sachs Cyclical Industries Index, it would have grown to $15,520 - a
55.20% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR CYCLICAL INDUSTRIES FUND - CLASS B
PERFORMANCE

PERFORMANCE

There are several ways to evaluate 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 dividend income and capital gains (the
profits earned upon the sale of securities that have grown in value).
The initial offering of Class B shares took place on March 3, 1997.
Class B shares bear a 1.00% 12b-1 fee. Returns prior to March 3, 1997
are those of Class T which bears a 0.50% 12b-1 fee. Had Class B
shares' 12b-1 fee been reflected, returns prior to March 3, 1997 would
have been lower. Class B shares' contingent deferred sales charge
included in the past one year and life of fund total return figures
are 5% and 3%, respectively. If Fidelity had not reimbursed certain
class expenses, the total returns would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CYCLICAL - CL B 10.01% 60.45%

FIDELITY ADV CYCLICAL - CL B 5.01% 57.45%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 112.70%

GS Cyclical Industries 8.32% 55.20%

CUMULATIVE TOTAL RETURNS show Class B shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class B shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Cyclical Industries Index - a market
capitalization-weighted index of 277 stocks designed to measure the
performance of companies in the cyclical industries sector. Issues in
the index include providers of consumer and commercial goods and
services where performance is influenced by the cyclicality of
economy, such as: manufacturers of automobiles and companies involved
with construction of residential and commercial properties, producers
of chemicals, electrical equipment and components, and providers of
environmental services. These benchmarks include reinvested dividends
and capital gains, if any, and exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CYCLICAL - CL B 10.01% 17.66%

FIDELITY ADV CYCLICAL - CL B 5.01% 16.90%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 29.64%

GS Cyclical Industries 8.32% 16.32%

AVERAGE ANNUAL RETURNS take Class B shares' cumulative return and show
you what would have happened if Class B shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA CYCLICAL IND -CL B S&P 500
GS CYCLICAL INDUSTRIES
00234 SP001
GS003
1996/09/03 10000.00 10000.00
10000.00
1996/09/30 10380.00 10516.69
10449.51
1996/10/31 10680.00 10806.74
10623.81
1996/11/30 11320.00 11623.62
11299.86
1996/12/31 11240.08 11393.36
11101.84
1997/01/31 11542.50 12105.21
11459.45
1997/02/28 11572.75 12200.12
11487.29
1997/03/31 11209.84 11698.81
11120.08
1997/04/30 11381.21 12397.23
11654.84
1997/05/31 12318.73 13151.98
12461.54
1997/06/30 12953.82 13741.19
12959.26
1997/07/31 13861.09 14834.57
13980.32
1997/08/31 13548.58 14003.54
13471.60
1997/09/30 13866.28 14770.51
13938.94
1997/10/31 12958.74 14277.18
13095.58
1997/11/30 13169.80 14938.07
13453.87
1997/12/31 13268.76 15194.56
13598.24
1998/01/31 13540.88 15362.61
13598.41
1998/02/28 14596.72 16470.56
14714.19
1998/03/31 15304.25 17314.02
15518.24
1998/04/30 15511.06 17488.19
15588.62
1998/05/31 15260.71 17187.57
15359.18
1998/06/30 15315.13 17885.73
15161.59
1998/07/31 14585.84 17695.25
14328.86
1998/08/31 12354.42 15136.87
12063.57
1998/09/30 12441.29 16106.54
12434.95
1998/10/31 13619.57 17416.64
13538.58
1998/11/30 14035.44 18472.27
14155.28
1998/12/31 14636.13 19536.64
14242.33
1999/01/31 14393.54 20353.66
14290.54
1999/02/28 14035.44 19721.07
14008.83
1999/03/31 14174.06 20510.11
14191.98
1999/04/30 16080.10 21304.46
16333.87
1999/05/31 15814.41 20801.47
15712.77
1999/06/30 16403.55 21955.95
16252.48
1999/07/30 15745.00 21270.48
15520.45
IMATRL PRASUN SHR__CHT 19990731 19990920 111928 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Cyclical Industries - Class B on
September 3, 1996, when the fund started. As the chart shows, by July
31, 1999, the value of the investment, including the effect of the
contingent deferred sales charge, would have grown to $15,745 - a
57.45% increase on the initial investment. For comparison, look at how
the Standard & Poor's 500 Index did over the same period. With
dividends and capital gains, if any, reinvested, the same $10,000
investment would have grown to $21,270 - a 112.70% increase. If
$10,000 was invested in the Goldman Sachs Cyclical Industries Index,
it would have grown to $15,520 - a 55.20% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR CYCLICAL INDUSTRIES FUND - CLASS C
PERFORMANCE

PERFORMANCE

There are several ways to evaluate 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 dividend income and capital gains (the
profits earned upon the sale of securities that have grown in value).
The initial offering of Class C shares took place on November 3, 1997.
Class C shares bear a 1.00% 12b-1 fee. Returns between March 3, 1997
and November 3, 1997 are those of Class B shares and reflect Class B
shares' 1.00% 12b-1 fee. Returns prior to March 3, 1997 are those of
Class T which bears a 0.50% 12b-1 fee. Had Class C shares' 12b-1 fee
been reflected, returns prior to March 3, 1997 would have been lower.
Class C shares' contingent deferred sales charge included in the past
one year and life of fund total return figures are 1% and 0%,
respectively. If Fidelity had not reimbursed certain class expenses,
the total returns would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CYCLICAL - CL C 9.94% 60.29%

FIDELITY ADV CYCLICAL - CL C 8.94% 60.29%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 112.70%

GS Cyclical Industries 8.32% 55.20%

CUMULATIVE TOTAL RETURNS show Class C shares' performance in
percentage terms over a set period - in this case one year or since
the fund started on September 3, 1996. You can compare Class C shares'
returns to the performance of both the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Cyclical Industries Index - a market
capitalization-weighted index of 277 stocks designed to measure the
performance of companies in the cyclical industries sector. Issues in
the index include providers of consumer and commercial goods and
services where performance is influenced by the cyclicality of
economy, such as: manufacturers of automobiles and companies involved
with construction of residential and commercial properties, producers
of chemicals, electrical equipment and components, and providers of
environmental services. These benchmarks include reinvested dividends
and capital gains, if any, and exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CYCLICAL - CL C 9.94% 17.62%

FIDELITY ADV CYCLICAL - CL C 8.94% 17.62%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 29.64%

GS Cyclical Industries 8.32% 16.32%

AVERAGE ANNUAL RETURNS take Class C shares' cumulative return and show
you what would have happened if Class C shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA CYCLICAL IND -CL C S&P 500
GS CYCLICAL INDUSTRIES
00283 SP001
GS003
1996/09/03 10000.00 10000.00
10000.00
1996/09/30 10380.00 10516.69
10449.51
1996/10/31 10680.00 10806.74
10623.81
1996/11/30 11320.00 11623.62
11299.86
1996/12/31 11240.08 11393.36
11101.84
1997/01/31 11542.50 12105.21
11459.45
1997/02/28 11572.75 12200.12
11487.29
1997/03/31 11209.84 11698.81
11120.08
1997/04/30 11381.21 12397.23
11654.84
1997/05/31 12318.73 13151.98
12461.54
1997/06/30 12953.82 13741.19
12959.26
1997/07/31 13861.09 14834.57
13980.32
1997/08/31 13548.58 14003.54
13471.60
1997/09/30 13866.28 14770.51
13938.94
1997/10/31 12958.74 14277.18
13095.58
1997/11/30 13169.84 14938.07
13453.87
1997/12/31 13257.55 15194.56
13598.24
1998/01/31 13528.55 15362.61
13598.41
1998/02/28 14590.89 16470.56
14714.19
1998/03/31 15295.51 17314.02
15518.24
1998/04/30 15501.47 17488.19
15588.62
1998/05/31 15252.14 17187.57
15359.18
1998/06/30 15306.35 17885.73
15161.59
1998/07/31 14580.05 17695.25
14328.86
1998/08/31 12357.81 15136.87
12063.57
1998/09/30 12433.79 16106.54
12434.95
1998/10/31 13609.18 17416.64
13538.58
1998/11/30 14035.55 18472.27
14155.28
1998/12/31 14623.24 19536.64
14242.33
1999/01/31 14381.25 20353.66
14290.54
1999/02/28 14024.02 19721.07
14008.83
1999/03/31 14162.30 20510.11
14191.98
1999/04/30 16063.67 21304.46
16333.87
1999/05/31 15798.63 20801.47
15712.77
1999/06/30 16386.33 21955.95
16252.48
1999/07/30 16029.10 21270.48
15520.45
IMATRL PRASUN SHR__CHT 19990731 19990920 112504 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Cyclical Industries - Class C on
September 3, 1996, when the fund started. As the chart shows, by July
31, 1999, the value of the investment would have grown to $16,029 - a
60.29% increase on the initial investment. For comparison, look at how
the Standard & Poor's 500 Index did over the same period. With
dividends and capital gains, if any, reinvested, the same $10,000
investment would have grown to $21,270 - a 112.70% increase. If
$10,000 was invested in the Goldman Sachs Cyclical Industries Index,
it would have grown to $15,520 - a 55.20% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR CYCLICAL INDUSTRIES FUND
FUND TALK: THE MANAGER'S OVERVIEW

(photograph of Albert Ruback)

An interview with
Albert Ruback, Portfolio Manager of Fidelity Advisor Cyclical
Industries Fund

Q. HOW DID THE FUND PERFORM, ALBERT?

A. The fund experienced a rebound in the second quarter of 1999, which
significantly improved performance during the period. For the 12
months that ended July 31, 1999, the fund's Class A, Class T, Class B
and Class C shares returned 10.81%, 10.57%, 10.01% and 9.94%,
respectively. In comparison, the Goldman Sachs Cyclical Industries
Index - an index of 277 stocks designed to measure the performance of
companies in the cyclical industries sector - returned 8.32%. During
the same period, the Standard & Poor's 500 Index returned 20.20%.

Q. WHAT DROVE THE RALLY IN THE SECOND QUARTER? WHAT FACTORS HELPED THE
FUND OUTPERFORM THE GOLDMAN SACHS INDEX DURING THE PERIOD?

A. The cyclical sector, which is predominantly made up of economically
sensitive stocks such as chemicals and plastics, suffered through most
of the period as faltering international markets led to a slowdown in
domestic manufacturing. This trend reversed itself in April, though,
as improving global economic conditions spurred investor confidence in
cyclical and value-oriented companies, leading to a rally in
chemicals, paper and aluminum stocks. While the fund benefited from
the rotation into cyclical stocks given its investment objectives,
much of the fund's outperformance of the Goldman Sachs index came from
strong stock selection and timely shifts in sector allocation across
many groups, including chemicals, non-ferrous metals and aerospace
contractors.

Q. IN THE PREVIOUS REPORT, YOU TALKED ABOUT HAVING A MORE DEFENSIVE
STRATEGY GIVEN THE DOMESTIC INTEREST-RATE ENVIRONMENT AND WEAKNESS
OVERSEAS. WHAT CAUSED YOU TO CHANGE THIS STANCE?

A. I began to see signs that the global economic picture was
improving. Asia was recovering, certain European countries were
lowering interest rates last spring and other countries were coming
out of recessions. This environment generally leads to a cyclical
recovery and I started to position the fund to take advantage of this
cyclical up-trend. The stocks that generally react most favorably at
the beginning of an economic expansion are the commodities-based
companies, such as chemicals and metals.

Q. WHICH STOCKS PRODUCED STRONG RESULTS?

A. Honeywell, an electronics equipment manufacturer, was a strong
contributor to fund performance as the company experienced accelerated
growth and strong sales across many of its divisions. In addition,
investors generally viewed its proposed merger with AlliedSignal as a
beneficial alliance. Shares of Fortune Brands benefited from a change
in management that became more focused on cost-cutting initiatives and
improving returns. SPX Corp. also was a strong corporate management
story, with encouraging cost-savings initiatives underway. Textron,
the largest maker of commercial helicopters and mid-size business
jets, helped the fund after its shares rose on stronger profits across
all lines of its business.

Q. WHICH HOLDINGS HURT THE FUND'S PERFORMANCE?

A. Shares of US Airways began to fall early in the second quarter
because of costly new labor contracts and lower ticket sales. In
general, the entire airline industry suffered and detracted from fund
performance. As capacity began to outstrip demand for seats, it forced
price cuts, which lowered profit margins. While I sold off the fund's
holdings in Waste Management, which helped performance relative to the
Goldman Sachs index, this stock hurt total return after the company
posted its biggest one-day loss ever when it warned investors that
second-quarter and full-year profits would fall below estimates. The
announcement was particularly damaging because the company didn't
provide any advanced warning of the earnings shortfall.

Q. WHAT'S YOUR OUTLOOK, ALBERT?

A. I continue to think the global economy is improving. We see
evidence of Asia recovering, with South Korea rebounding dramatically
and strength in the Japanese stock market, as well as signs of
improvement in Europe. With overseas countries strengthening, even if
we see a slowdown in the U.S., I don't think it's likely to
short-circuit the global upturn. As a result, if an environment of
sustained global economic growth continues, I'm optimistic that the
rally in cyclical stocks can continue.

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 OR OTHER CONDITIONS. FOR MORE INFORMATION, SEE PAGE A-3.

(checkmark)FUND FACTS

START DATE: September 3, 1996

SIZE: as of July 31, 1999, more than
$11 million

MANAGER: Albert Ruback, since inception;
joined Fidelity in 1991

ADVISOR CYCLICAL INDUSTRIES FUND

INVESTMENT SUMMARY

TOP TEN STOCKS AS OF JULY 31,
1999

% OF FUND'S INVESTMENTS

General Electric Co. 8.2

Boeing Co. 5.6

SPX Corp. 5.4

Honeywell, Inc. 4.2

E.I. du Pont de Nemours and Co. 3.9

Textron, Inc. 3.7

AlliedSignal, Inc. 3.3

AMR Corp. 3.2

Fortune Brands, Inc. 3.1

General Dynamics Corp. 2.9

TOP INDUSTRIES AS OF JULY 31,
1999

% OF FUND'S INVESTMENTS

Aerospace & Defense 15.0%

Electrical Equipment 14.0%

Chemicals & Plastics 9.4%

Autos, Tires, & Accessories 8.8%

Building Materials 6.0%

All Others* 46.8%

Row: 1, Col: 1, Value: 15.0
Row: 1, Col: 2, Value: 0.0
Row: 1, Col: 3, Value: 14.0
Row: 1, Col: 4, Value: 9.4
Row: 1, Col: 5, Value: 8.800000000000001
Row: 1, Col: 6, Value: 6.0
Row: 1, Col: 7, Value: 0.0
Row: 1, Col: 8, Value: 46.8

* INCLUDES SHORT-TERM
INVESTMENTS

ADVISOR CYCLICAL INDUSTRIES FUND

INVESTMENTS JULY 31, 1999

Showing Percentage of Total Value of Investment in Securities

COMMON STOCKS - 92.5%

SHARES VALUE (NOTE 1)

AEROSPACE & DEFENSE - 15.0%

Alliant Techsystems, Inc. (a) 200 $ 16,538

AlliedSignal, Inc. 5,700 368,719

Boeing Co. 13,900 630,713

Gulfstream Aerospace Corp. (a) 800 53,200

Howmet International, Inc. (a) 5,400 100,575

Lockheed Martin Corp. 1,614 56,187

Textron, Inc. 5,100 419,475

United Technologies Corp. 611 40,746

1,686,153

AIR TRANSPORTATION - 5.8%

America West Holding Corp. 1,200 23,775
Class B (a)

AMR Corp. (a) 5,500 356,813

Atlantic Coast Airlines 3,000 60,938
Holdings (a)

Northwest Airlines Corp. 4,900 157,413
Class A (a)

Southwest Airlines Co. 3,075 56,888

655,827

AUTOS, TIRES, & ACCESSORIES -
8.8%

Danaher Corp. 650 37,091

Federal-Mogul Corp. 450 21,825

Ford Motor Co. 5,300 257,713

Navistar International Corp. 1,500 66,656
(a)

SPX Corp. 7,100 603,500

986,785

BUILDING MATERIALS - 6.0%

American Standard Companies, 3,900 171,844
Inc. (a)

Carlisle Companies, Inc. 500 22,875

Ferro Corp. 900 23,175

Fortune Brands, Inc. 8,700 343,650

Masco Corp. 2,000 59,500

Owens-Corning 1,300 40,138

USG Corp. 200 10,738

671,920

CHEMICALS & PLASTICS - 9.3%

Air Products & Chemicals, 2,000 66,875
Inc.

Dow Chemical Co. 1,700 210,800

E.I. du Pont de Nemours and 6,100 439,581
Co.

Ivex Packaging Corp. (a) 2,700 49,106

Potash Corp. of Saskatchewan 400 20,713

Sealed Air Corp. (a) 460 29,555

Solutia, Inc. 460 9,833

Spartech Corp. 800 23,400

Union Carbide Corp. 3,500 168,000

Witco Corp. 1,400 25,638

1,043,501

SHARES VALUE (NOTE 1)

COMPUTERS & OFFICE EQUIPMENT
- - 0.5%

Pitney Bowes, Inc. 800 $ 50,900

CONSTRUCTION - 0.4%

Centex Corp. 500 16,844

Kaufman & Broad Home Corp. 600 12,488

Lennar Corp. 600 11,738

Oakwood Homes Corp. 800 8,450

49,520

CONSUMER DURABLES - 2.3%

Minnesota Mining & 3,000 263,813
Manufacturing Co.

CONSUMER ELECTRONICS - 0.6%

Black & Decker Corp. 700 40,425

General Motors Corp. Class H 500 27,781
(a)

68,206

DEFENSE ELECTRONICS - 4.0%

Litton Industries, Inc. (a) 4,000 273,250

Raytheon Co.:

Class A 481 33,430

Class B 2,000 140,625

447,305

ELECTRICAL EQUIPMENT - 14.0%

Emerson Electric Co. 2,600 155,188

General Electric Co. 8,500 926,488

Honeywell, Inc. 3,900 467,269

Hubbell, Inc. Class B 500 20,625

1,569,570

ENGINEERING - 2.0%

EG & G, Inc. 6,600 221,513

HOME FURNISHINGS - 0.3%

Leggett & Platt, Inc. 1,300 33,313

INDUSTRIAL MACHINERY &
EQUIPMENT - 4.3%

Caterpillar, Inc. 2,100 123,113

Illinois Tool Works, Inc. 2,300 170,919

Ingersoll-Rand Co. 2,300 147,919

Parker-Hannifin Corp. 800 37,750

479,701

IRON & STEEL - 0.5%

Bethlehem Steel Corp. (a) 7,300 57,031

LEASING & RENTAL - 0.1%

Ryder Systems, Inc. 250 5,891

METALS & MINING - 2.7%

Alcoa, Inc. 2,370 141,904

COMMON STOCKS - CONTINUED

SHARES VALUE (NOTE 1)

METALS & MINING - CONTINUED

Inco Ltd. 8,000 $ 141,008

Martin Marietta Materials, 274 14,916
Inc.

297,828

PACKAGING & CONTAINERS - 1.1%

Ball Corp. 700 33,906

Owens-Illinois, Inc. (a) 2,400 59,850

Silgan Holdings, Inc. (a) 1,400 30,363

124,119

PAPER & FOREST PRODUCTS - 3.9%

Bowater, Inc. 1,300 64,675

Champion International Corp. 900 46,575

Fort James Corp. 1,300 47,450

International Paper Co. 2,042 104,397

Smurfit-Stone Container Corp. 5,256 117,603
(a)

Temple-Inland, Inc. 500 31,625

Willamette Industries, Inc. 600 27,000

439,325

POLLUTION CONTROL - 0.2%

Ogden Corp. 900 22,781

RAILROADS - 5.4%

Bombardier, Inc. Class B 2,000 29,011

Burlington Northern Santa Fe 6,900 220,800
Corp.

Canadian National Railway Co. 2,100 141,157

CSX Corp. 950 46,016

Union Pacific Corp. 3,200 173,800

610,784

SERVICES - 0.8%

Ecolab, Inc. 2,100 89,513

SHIP BUILDING & REPAIR - 3.2%

Avondale Industries, Inc. (a) 1,000 39,469

General Dynamics Corp. 4,800 323,100

362,569

TEXTILES & APPAREL - 0.7%

Shaw Industries, Inc. (a) 3,500 73,719

Unifi, Inc. (a) 500 8,031

81,750

TRUCKING & FREIGHT - 0.6%

CNF Transportation, Inc. 400 17,000

SHARES VALUE (NOTE 1)

Expeditors International of 800 $ 24,850
Washington, Inc.

USFreightways Corp. 500 24,688

66,538

TOTAL COMMON STOCKS 10,386,156
(Cost $9,433,791)

CONVERTIBLE PREFERRED STOCKS
- - 0.1%

CHEMICALS & PLASTICS - 0.1%

Sealed Air Corp. Series A, 142 8,733
$2.00 (Cost $6,266)

CASH EQUIVALENTS - 7.4%

Taxable Central Cash Fund (b) 831,692 831,692
(Cost $831,692)

TOTAL INVESTMENT IN $ 11,226,581
SECURITIES - 100%
(Cost $10,271,749)

LEGEND

(a) Non-income producing

INCOME TAX INFORMATION

At July 31, 1999, the aggregate cost of investment securities for
income tax purposes was $10,281,154. Net unrealized appreciation
aggregated $945,427, of which $1,251,715 related to appreciated
investment securities and $306,288 related to depreciated investment
securities.

The fund hereby designates approximately $180,000 as a capital gain
dividend for the purpose of the dividend paid deduction.

A total of 55%, 60%, 63%, 57%, and 51% of Class A's, Class T's, Class
B's, Class C's and Institutional Class' dividends distributed during
the fiscal year qualifies for the dividends-received deductions for
corporate shareholders (unaudited).

The fund will notify shareholders in January 2000 of the applicable
percentages for use in preparing 1999 income tax returns.

ADVISOR CYCLICAL INDUSTRIES FUND
FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
JULY 31, 1999

ASSETS

Investment in securities, at $ 11,226,581
value (cost $10,271,749) -
See accompanying schedule

Receivable for investments 17,707
sold

Receivable for fund shares 60,715
sold

Dividends receivable 5,921

Interest receivable 3,597

Receivable from investment 3,104
adviser for expense
reductions

TOTAL ASSETS 11,317,625

LIABILITIES

Payable to custodian bank $ 21,873

Payable for investments 10,600
purchased

Payable for fund shares 11,828
redeemed

Distribution fees payable 4,636

Other payables and accrued 30,428
expenses

TOTAL LIABILITIES 79,365

NET ASSETS $ 11,238,260

Net Assets consist of:

Paid in capital $ 10,256,968

Accumulated undistributed net 26,462
realized gain (loss) on
investments and foreign
currency transactions

Net unrealized appreciation 954,830
(depreciation) on
investments and assets and
liabilities in foreign
currencies

NET ASSETS $ 11,238,260

CALCULATION OF MAXIMUM $14.13
OFFERING PRICE CLASS A:
NET ASSET VALUE and
redemption price per
share ($895,510 (divided by)
63,386 shares)

Maximum offering price per $14.99
share (100/94.25 of $14.13)

CLASS T: NET ASSET VALUE $14.07
and redemption price per
share ($3,470,789 (divided
by) 246,723 shares)

Maximum offering price per $14.58
share (100/96.50 of $14.07)

CLASS B: NET ASSET VALUE $13.89
and offering price per
share ($2,043,173 (divided
by) 147,096 shares) A

CLASS C: NET ASSET VALUE $13.91
and offering price per
share ($1,451,420 (divided
by) 104,361 shares) A

INSTITUTIONAL CLASS: NET $14.28
ASSET VALUE, offering price
and redemption price per
share ($3,377,368
(divided by) 236,540 shares)

A REDEMPTION PRICE PER SHARE IS EQUAL TO NET ASSET VALUE LESS ANY
APPLICABLE CONTINGENT DEFERRED SALES CHARGE.

STATEMENT OF OPERATIONS
YEAR ENDED JULY 31, 1999

INVESTMENT INCOME $ 80,521
Dividends

Interest 29,747

TOTAL INCOME 110,268

EXPENSES

Management fee $ 40,341

Transfer agent fees 22,842

Distribution fees 31,625

Accounting fees and expenses 60,011

Non-interested trustees' 21
compensation

Custodian fees and expenses 5,779

Registration fees 65,408

Audit 28,625

Legal 71

Miscellaneous 553

Total expenses before 255,276
reductions

Expense reductions (133,945) 121,331

NET INVESTMENT INCOME (LOSS) (11,063)

REALIZED AND UNREALIZED GAIN
(LOSS)
Net realized gain (loss) on:

Investment securities 28,933

Foreign currency transactions (154) 28,779

Change in net unrealized
appreciation (depreciation)
on:

Investment securities 563,365

Assets and liabilities in (1) 563,364
foreign currencies

NET GAIN (LOSS) 592,143

NET INCREASE (DECREASE) IN $ 581,080
NET ASSETS RESULTING FROM
OPERATIONS

<TABLE>
<CAPTION>
<S> <C> <C>
STATEMENT OF CHANGES IN NET ASSETS

INCREASE (DECREASE) IN NET YEAR ENDED JULY 31, 1999 YEAR ENDED JULY 31, 1998
ASSETS

Operations Net investment $ (11,063) $ (19,026)
income (loss)

Net realized gain (loss) 28,779 519,808

Change in net unrealized 563,364 (358,431)
appreciation (depreciation)

NET INCREASE (DECREASE) IN 581,080 142,351
NET ASSETS RESULTING FROM
OPERATIONS

Distributions to shareholders (287,985) (348,447)
from net realized gains

Share transactions - net 4,985,782 1,857,245
increase (decrease)

Redemption fees 6,625 8,921

TOTAL INCREASE (DECREASE) 5,285,502 1,660,070
IN NET ASSETS

NET ASSETS

Beginning of period 5,952,758 4,292,688

End of period $ 11,238,260 $ 5,952,758

</TABLE>

FINANCIAL HIGHLIGHTS - CLASS A

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 13.56 $ 13.80 $ 10.00
period

Income from Investment
Operations

Net investment income (loss) D .01 (.03) (.01)

Net realized and unrealized 1.23 .76 3.89
gain (loss)

Total from investment 1.24 .73 3.88
operations

Less Distributions

From net investment income - - (.01)

From net realized gain (.68) (.99) (.08)

Total distributions (.68) (.99) (.09)

Redemption fees added to paid .01 .02 .01
in capital

Net asset value, end of period $ 14.13 $ 13.56 $ 13.80

TOTAL RETURN B, C 10.81% 6.05% 39.11%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 896 $ 471 $ 365
(000 omitted)

Ratio of expenses to average 1.56% F 1.75% F 1.75% A, F
net assets

Ratio of expenses to average 1.54% G 1.75% 1.73% A, G
net assets after expense
reductions

Ratio of net investment .05% (.22)% (.09)% A
income (loss) to average net
assets

Portfolio turnover 115% 100% 155% A

FINANCIAL HIGHLIGHTS - CLASS T

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 13.51 $ 13.77 $ 10.00
period

Income from Investment
Operations

Net investment income (loss) D (.03) (.06) (.04)

Net realized and unrealized 1.24 .77 3.89
gain (loss)

Total from investment 1.21 .71 3.85
operations

Less Distributions

From net investment income - - (.01)

From net realized gain (.66) (.99) (.08)

Total distributions (.66) (.99) (.09)

Redemption fees added to paid .01 .02 .01
in capital

Net asset value, end of period $ 14.07 $ 13.51 $ 13.77

TOTAL RETURN B, C 10.57% 5.91% 38.81%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 3,471 $ 2,973 $ 1,920
(000 omitted)

Ratio of expenses to average 1.83% F 2.00% F 2.00% A, F
net assets

Ratio of expenses to average 1.81% G 2.00% 1.97% A, G
net assets after expense
reductions

Ratio of net investment (.22)% (.47)% (.37)% A
income (loss) to average net
assets

Portfolio turnover 115% 100% 155% A

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE ONE TIME SALES
CHARGE AND FOR PERIODS OF
LESS THAN ONE YEAR ARE NOT
ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E FOR THE PERIOD SEPTEMBER 3,
1996 (COMMENCEMENT OF SALE
OF CLASS T SHARES) TO JULY
31, 1997.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

FINANCIAL HIGHLIGHTS - CLASS B

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 13.40 $ 13.75 $ 11.56
period

Income from Investment
Operations

Net investment income (loss) D (.09) (.14) (.06)

Net realized and unrealized 1.22 .76 2.25
gain (loss)

Total from investment 1.13 .62 2.19
operations

Less Distributions

From net realized gain (.65) (.99) -

Redemption fees added to paid .01 .02 -
in capital

Net asset value, end of period $ 13.89 $ 13.40 $ 13.75

TOTAL RETURN B, C 10.01% 5.23% 18.94%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 2,043 $ 985 $ 252
(000 omitted)

Ratio of expenses to average 2.31% F 2.50% F 2.50% A, F
net assets

Ratio of expenses to average 2.29% G 2.50% 2.45% A, G
net assets after expense
reductions

Ratio of net investment (.70)% (1.03)% (1.11)% A
income (loss) to average net
assets

Portfolio turnover 115% 100% 155% A

FINANCIAL HIGHLIGHTS - CLASS C

YEARS ENDED JULY 31, 1999 1998 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 13.45 $ 12.54
period

Income from Investment
Operations

Net investment income (loss) D (.09) (.11)

Net realized and unrealized 1.20 1.39
gain (loss)

Total from investment 1.11 1.28
operations

Less Distributions

From net realized gain (.67) (.38)

Redemption fees added to paid .02 .01
in capital

Net asset value, end of period $ 13.91 $ 13.45

TOTAL RETURN B, C 9.94% 10.62%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 1,451 $ 165
(000 omitted)

Ratio of expenses to average 2.28% F 2.50% A, F
net assets

Ratio of expenses to average 2.27% G 2.50% A
net assets after expense
reductions

Ratio of net investment (.67)% (1.06)% A
income (loss) to average net
assets

Portfolio turnover 115% 100%

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE CONTINGENT
DEFERRED SALES CHARGE AND
FOR PERIODS OF LESS THAN ONE
YEAR ARE NOT ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E FOR THE PERIOD NOVEMBER 3,
1997 (COMMENCEMENT OF SALE
OF CLASS C SHARES) TO JULY
31, 1998.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

FINANCIAL HIGHLIGHTS - INSTITUTIONAL CLASS

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 13.68 $ 13.84 $ 10.00
period

Income from Investment
Operations

Net investment income D .04 .01 H .03

Net realized and unrealized 1.25 .75 3.91
gain (loss)

Total from investment 1.29 .76 3.94
operations

Less Distributions

From net investment income - - (.02)

From net realized gain (.70) (.95) (.08)

Total distributions (.70) (.95) (.10)

Redemption fees added to paid .01 .03 -
in capital

Net asset value, end of period $ 14.28 $ 13.68 $ 13.84

TOTAL RETURN B, C 11.15% 6.32% 39.64%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 3,377 $ 1,360 $ 1,756
(000 omitted)

Ratio of expenses to average 1.31% F 1.50% F 1.50% A, F
net assets

Ratio of expenses to average 1.29% G 1.50% 1.48% A, G
net assets after expense
reductions

Ratio of net investment .31% .04% .25% A
income to average net assets

Portfolio turnover 115% 100% 155% A

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS FOR PERIODS
OF LESS THAN ONE YEAR ARE
NOT ANNUALIZED.
D NET INVESTMENT INCOME PER
SHARE HAS BEEN CALCULATED
BASED ON AVERAGE SHARES
OUTSTANDING DURING THE PERIOD.
E FOR THE PERIOD SEPTEMBER 3,
1996 (COMMENCEMENT OF SALE
OF INSTITUTIONAL CLASS
SHARES) TO JULY 31, 1997.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.
H DURING THE PERIOD, A
SIGNIFICANT SHAREHOLDER
REDEMPTION CAUSED AN
UNUSUALLY HIGH LEVEL OF
INVESTMENT INCOME PER SHARE.

NOTES TO FINANCIAL STATEMENTS
For the period ended July 31, 1999

1. SIGNIFICANT ACCOUNTING POLICIES.

Fidelity Advisor Cyclical Industries Fund (the fund) is a fund of
Fidelity Advisor Series VII (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.

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.

EXPENSES. Most expenses of the trust can be directly attributed to a
fund. Expenses which cannot be directly attributed are apportioned
among the funds in the trust.

DISTRIBUTIONS TO SHAREHOLDERS. Distributions are recorded on the
ex-dividend date. Income dividends and capital gain distributions are
declared separately for each class.

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.

3. PURCHASES AND SALES OF INVESTMENTS.

Purchases and sales of securities, other than short-term securities,
aggregated $11,716,891 and $7,417,354, respectively.

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.

CLASS A .25%

CLASS T .50%

CLASS B 1.00% *

CLASS C 1.00% *

* .75% REPRESENTS A DISTRIBUTION FEE AND .25% REPRESENTS A SHAREHOLDER
SERVICE FEE.

For the period, each class paid FDC the following amounts, a portion
of which was retained by FDC:

PAID TO FDC RETAINED BY FDC

CLASS A $ 1,536 $ 402

CLASS T 14,103 732

CLASS B 11,099 8,623

CLASS C 4,887 4,280

$ 31,625 $ 14,037

SALES LOAD. FDC receives a front-end sales charge of up to 5.75% for
selling Class A shares, and 3.50% for selling Class T shares of the
fund. FDC receives the proceeds of contingent deferred sales charges
levied on Class B share redemptions occurring within six years of
purchase and Class C share redemptions occurring within one year of
purchase. Contingent deferred sales charges are based on declining
rates ranging from 5% to 1% for Class B and 1% for Class C, of the
lesser of the cost of shares at the initial date of purchase or the
net asset value of the redeemed shares, excluding any reinvested
dividends and capital gains. In addition, purchases of Class A and
Class T shares that were subject to a finder's fee bear a contingent
deferred sales charge on assets that do not remain in the fund for at
least one year. The Class A and Class T contingent deferred sales
charge is based on 0.25% of the lesser of the cost of shares at the
initial date of purchase or the net asset value of the redeemed
shares, excluding any reinvested dividends and capital gains. A
portion of the sales charges paid to FDC is paid to securities
dealers, banks and other financial institutions.

4. FEES AND OTHER TRANSACTIONS WITH
AFFILIATES - CONTINUED

SALES LOAD - CONTINUED

For the period, sales charge amounts paid to and retained by FDC were
as follows:

PAID TO FDC RETAINED BY FDC

CLASS A $ 4,343 $ 1,348

CLASS T 9,555 2,818

CLASS B 7,352 7,352 *

CLASS C 805 805 *

$ 22,055 $ 12,323

* WHEN CLASS B AND CLASS C SHARES ARE INITIALLY SOLD, FDC PAYS
COMMISSIONS FROM ITS OWN RESOURCES TO SECURITIES DEALERS,
BANKS, AND OTHER FINANCIAL INSTITUTIONS THROUGH WHICH THE SALES ARE
MADE.

AMOUNT % OF AVERAGE NET ASSETS

CLASS A $ 2,292 .37

CLASS T 10,093 .36

CLASS B 4,383 .39

CLASS C 2,126 .43

INSTITUTIONAL CLASS 3,948 .21

$ 22,842

5. EXPENSE REDUCTIONS.

FMR EXPENSE LIMITATIONS REIMBURSEMENT

CLASS A 1.75 - 1.50% $ 12,102

CLASS T 2.00 - 1.75% 54,615

CLASS B 2.50 - 2.25% 22,122

CLASS C 2.50 - 2.25% 10,085

INSTITUTIONAL CLASS 1.50 - 1.25% 33,899

$ 132,823

FMR has also directed certain portfolio trades to brokers who paid a
portion of the fund's expenses. For the period, the fund's expenses
were reduced by $1,122 under this arrangement.

6. BENEFICIAL INTEREST.

At the end of the period, FMR and its affiliates were record owners of
approximately 16% of the total outstanding shares of the fund. In
addition, one unaffiliated shareholder was record owner of
approximately 16% of the total outstanding shares of the fund.

7. DISTRIBUTIONS TO SHAREHOLDERS.

Distributions to shareholders of each class were as follows:

YEARS ENDED JULY 31,

1999 1998A

FROM NET REALIZED GAIN

Class A $ 23,684 $ 27,503

Class T 144,300 168,735

Class B 41,003 21,647

Class C 9,726 303

Institutional Class 69,272 130,259

Total $ 287,985 $ 348,447

A DISTRIBUTIONS FOR CLASS C ARE FOR THE PERIOD NOVEMBER 3, 1997
(COMMENCEMENT OF SALE OF SHARES) TO JULY 31, 1998.

8. SHARE TRANSACTIONS.

Transactions for each class of shares were as follows:

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
SHARES DOLLARS

YEAR ENDED JULY 31, YEAR ENDED JULY 31, YEAR ENDED JULY 31, YEAR ENDED JULY 31,

1999 1998 A 1999 1998A

CLASS A Shares sold 10,882 $ 504,717 $ 148,228
37,470

Reinvestment of distributions 2,196 2,142 23,537 27,217

Shares redeemed (11,006) (4,708) (149,922) (63,873)

Net increase (decrease) 28,660 8,316 $ 378,332 $ 111,572

CLASS T Shares sold 149,470 227,185 $ 2,008,694 $ 3,069,729

Reinvestment of distributions 13,134 12,558 140,529 158,925

Shares redeemed (135,949) (159,076) (1,711,581) (2,112,359)

Net increase (decrease) 26,655 80,667 $ 437,642 $ 1,116,295

CLASS B Shares sold 121,052 60,410 $ 1,640,891 $ 820,607

Reinvestment of distributions 3,632 1,702 38,541 21,404

Shares redeemed (51,075) (6,954) (651,249) (94,508)

Net increase (decrease) 73,609 55,158 $ 1,028,183 $ 747,503

CLASS C Shares sold 106,908 13,383 $ 1,480,405 $ 179,797

Reinvestment of distributions 915 25 9,726 303

Shares redeemed (15,704) (1,166) (201,951) (16,290)

Net increase (decrease) 92,119 12,242 $ 1,288,180 $ 163,810

INSTITUTIONAL CLASS Shares 145,280 31,192 $ 1,976,046 $ 426,137
sold

Reinvestment of distributions 6,212 10,114 67,155 129,319

Shares redeemed (14,316) (68,822) (189,756) (837,391)

Net increase (decrease) 137,176 (27,516) $ 1,853,445 $ (281,935)

</TABLE>

A SHARE TRANSACTIONS FOR CLASS C ARE FOR THE PERIOD NOVEMBER 3, 1997
(COMMENCEMENT OF SALE OF SHARES) TO JULY 31, 1998.

ADVISOR FINANCIAL SERVICES FUND - CLASS A
PERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV FINANCIAL - CL A 0.69% 92.51%

FIDELITY ADV FINANCIAL - CL A -5.10% 81.44%
(INCL. 5.75% SALES CHARGE)

S&P 500 20.20% 112.70%

GS Financial Services -0.91% 103.24%

CUMULATIVE TOTAL RETURNS show Class A shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class A shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Financial Services Index - a market
capitalization-weighted index of 271 stocks designed to measure the
performance of companies in the financial services sector. Issues in
the index include financial institutions providing banking services,
brokerage firms and asset managers, insurance companies, and real
estate holding and development companies. These benchmarks include
reinvested dividends and capital gains, if any, and exclude the effect
of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV FINANCIAL - CL A 0.69% 25.27%

FIDELITY ADV FINANCIAL - CL A -5.10% 22.75%
(INCL. 5.75% SALES CHARGE)

S&P 500 20.20% 29.64%

GS Financial Services -0.91% 27.63%

AVERAGE ANNUAL RETURNS take Class A shares' cumulative return and show
you what would have happened if Class A shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA FINANCIAL SERV -CL A S&P 500
GS FINANCIAL SERVICES
00183 SP001
GS004
1996/09/03 9425.00 10000.00
10000.00
1996/09/30 10009.35 10516.69
10584.56
1996/10/31 10546.58 10806.74
11272.70
1996/11/30 11385.40 11623.62
12278.35
1996/12/31 11045.81 11393.36
12100.98
1997/01/31 11631.15 12105.21
12935.63
1997/02/28 11772.76 12200.12
13395.32
1997/03/31 10932.52 11698.81
12504.96
1997/04/30 11829.41 12397.23
13328.32
1997/05/31 12282.57 13151.98
14040.84
1997/06/30 12915.11 13741.19
14892.68
1997/07/31 14265.15 14834.57
16504.52
1997/08/31 13424.91 14003.54
15483.68
1997/09/30 14285.27 14770.51
16744.42
1997/10/31 14200.07 14277.18
16445.06
1997/11/30 14673.41 14938.07
17053.65
1997/12/31 15481.66 15194.56
17997.81
1998/01/31 15279.73 15362.61
17523.74
1998/02/28 16558.64 16470.56
19045.66
1998/03/31 17501.01 17314.02
20165.67
1998/04/30 17760.64 17488.19
20512.24
1998/05/31 17376.00 17187.57
20061.46
1998/06/30 18077.96 17885.73
20758.18
1998/07/31 18020.27 17695.25
20510.80
1998/08/31 14058.50 15136.87
16002.19
1998/09/30 14534.20 16106.54
16320.87
1998/10/31 15882.84 17416.64
18092.98
1998/11/30 16816.51 18472.27
19193.75
1998/12/31 17272.97 19536.64
19625.39
1999/01/31 17584.20 20353.66
19800.64
1999/02/28 17719.06 19721.07
19947.58
1999/03/31 18300.02 20510.11
20595.27
1999/04/30 19627.91 21304.46
22002.58
1999/05/31 18476.38 20801.47
20987.62
1999/06/30 19150.70 21955.95
21531.79
1999/07/30 18144.40 21270.48
20324.07
IMATRL PRASUN SHR__CHT 19990731 19990817 162303 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Financial Services - Class A on September
3, 1996, when the fund started, and the current 5.75% sales charge was
paid. As the chart shows, by July 31, 1999, the value of the
investment would have grown to $18,144 - an 81.44% increase on the
initial investment. For comparison, look at how the Standard & Poor's
500 Index did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 investment would have grown to
$21,270 - a 112.70% increase. If $10,000 was invested in the Goldman
Sachs Financial Services Index, it would have grown to $20,324 - a
103.24% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR FINANCIAL SERVICES FUND - CLASS T
PERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV FINANCIAL - CL T 0.53% 91.14%

FIDELITY ADV FINANCIAL - CL T -2.99% 84.45%
(INCL. 3.50% SALES CHARGE)

S&P 500 20.20% 112.70%

GS Financial Services -0.91% 103.24%

CUMULATIVE TOTAL RETURNS show Class T shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class T shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Financial Services Index - a market
capitalization-weighted index of 271 stocks designed to measure the
performance of companies in the financial services sector. Issues in
the index include financial institutions providing banking services,
brokerage firms and asset managers, insurance companies, and real
estate holding and development companies. These benchmarks include
reinvested dividends and capital gains, if any, and exclude the effect
of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV FINANCIAL - CL T 0.53% 24.96%

FIDELITY ADV FINANCIAL - CL T -2.99% 23.44%
(INCL. 3.50% SALES CHARGE)

S&P 500 20.20% 29.64%

GS Financial Services -0.91% 27.63%

AVERAGE ANNUAL RETURNS take Class T shares' cumulative return and show
you what would have happened if Class T shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA FINANCIAL SERV -CL T S&P 500
GS FINANCIAL SERVICES
00193 SP001
GS004
1996/09/03 9650.00 10000.00
10000.00
1996/09/30 10238.65 10516.69
10584.56
1996/10/31 10788.70 10806.74
11272.70
1996/11/30 11647.55 11623.62
12278.35
1996/12/31 11299.87 11393.36
12100.98
1997/01/31 11889.52 12105.21
12935.63
1997/02/28 12024.84 12200.12
13395.32
1997/03/31 11164.55 11698.81
12504.96
1997/04/30 12082.84 12397.23
13328.32
1997/05/31 12546.82 13151.98
14040.84
1997/06/30 13184.80 13741.19
14892.68
1997/07/31 14567.07 14834.57
16504.52
1997/08/31 13706.78 14003.54
15483.68
1997/09/30 14587.38 14770.51
16744.42
1997/10/31 14500.21 14277.18
16445.06
1997/11/30 14974.83 14938.07
17053.65
1997/12/31 15791.84 15194.56
17997.81
1998/01/31 15585.35 15362.61
17523.74
1998/02/28 16893.14 16470.56
19045.66
1998/03/31 17846.95 17314.02
20165.67
1998/04/30 18112.44 17488.19
20512.24
1998/05/31 17719.12 17187.57
20061.46
1998/06/30 18427.10 17885.73
20758.18
1998/07/31 18348.43 17695.25
20510.80
1998/08/31 14316.89 15136.87
16002.19
1998/09/30 14813.03 16106.54
16320.87
1998/10/31 16168.33 17416.64
18092.98
1998/11/30 17110.69 18472.27
19193.75
1998/12/31 17576.58 19536.64
19625.39
1999/01/31 17894.23 20353.66
19800.64
1999/02/28 18031.87 19721.07
19947.58
1999/03/31 18603.64 20510.11
20595.27
1999/04/30 19958.94 21304.46
22002.58
1999/05/31 18783.64 20801.47
20987.62
1999/06/30 19461.29 21955.95
21531.79
1999/07/30 18444.82 21270.48
20324.07
IMATRL PRASUN SHR__CHT 19990731 19990920 112721 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Financial Services - Class T on September
3, 1996, when the fund started, and the current 3.50% sales charge was
paid. As the chart shows, by July 31, 1999, the value of the
investment would have grown to $18,445 - an 84.45% increase on the
initial investment. For comparison, look at how the Standard & Poor's
500 Index did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 investment would have grown to
$21,270 - a 112.70% increase. If $10,000 was invested in the Goldman
Sachs Financial Services Index, it would have grown to $20,324 - a
103.24% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR FINANCIAL SERVICES FUND - CLASS B
PERFORMANCE

PERFORMANCE

There are several ways to evaluate 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 dividend income and capital gains (the
profits earned upon the sale of securities that have grown in value).
The initial offering of Class B shares took place on March 3, 1997.
Class B shares bear a 1.00% 12b-1 fee. Returns prior to March 3, 1997
are those of Class T which bears a 0.50% 12b-1 fee. Had Class B
shares' 12b-1 fee been reflected, returns prior to March 3, 1997 would
have been lower. Class B shares' contingent deferred sales charge
included in the past one year and life of fund total return figures
are 5% and 3%, respectively. If Fidelity had not reimbursed certain
class expenses, the life of fund total returns would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV FINANCIAL - CL B 0.05% 88.85%

FIDELITY ADV FINANCIAL - CL B -4.59% 85.85%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 112.70%

GS Financial Services -0.91% 103.24%

CUMULATIVE TOTAL RETURNS show Class B shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class B shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Financial Services Index - a market
capitalization-weighted index of 271 stocks designed to measure the
performance of companies in the financial services sector. Issues in
the index include financial institutions providing banking services,
brokerage firms and asset managers, insurance companies, and real
estate holding and development companies. These benchmarks include
reinvested dividends and capital gains, if any, and exclude the effect
of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV FINANCIAL - CL B 0.05% 24.45%

FIDELITY ADV FINANCIAL - CL B -4.59% 23.76%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 29.64%

GS Financial Services -0.91% 27.63%

AVERAGE ANNUAL RETURNS take Class B shares' cumulative return and show
you what would have happened if Class B shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA FINANCIAL SERV -CL B S&P 500
GS FINANCIAL SERVICES
00163 SP001
GS004
1996/09/03 10000.00 10000.00
10000.00
1996/09/30 10610.00 10516.69
10584.56
1996/10/31 11180.00 10806.74
11272.70
1996/11/30 12070.00 11623.62
12278.35
1996/12/31 11709.71 11393.36
12100.98
1997/01/31 12320.74 12105.21
12935.63
1997/02/28 12460.98 12200.12
13395.32
1997/03/31 11569.48 11698.81
12504.96
1997/04/30 12511.06 12397.23
13328.32
1997/05/31 12991.87 13151.98
14040.84
1997/06/30 13642.97 13741.19
14892.68
1997/07/31 15065.36 14834.57
16504.52
1997/08/31 14173.86 14003.54
15483.68
1997/09/30 15067.02 14770.51
16744.42
1997/10/31 14976.56 14277.18
16445.06
1997/11/30 15459.02 14938.07
17053.65
1997/12/31 16306.56 15194.56
17997.81
1998/01/31 16072.16 15362.61
17523.74
1998/02/28 17417.45 16470.56
19045.66
1998/03/31 18385.65 17314.02
20165.67
1998/04/30 18650.63 17488.19
20512.24
1998/05/31 18242.97 17187.57
20061.46
1998/06/30 18956.38 17885.73
20758.18
1998/07/31 18874.85 17695.25
20510.80
1998/08/31 14716.67 15136.87
16002.19
1998/09/30 15219.88 16106.54
16320.87
1998/10/31 16624.45 17416.64
18092.98
1998/11/30 17579.13 18472.27
19193.75
1998/12/31 18050.98 19536.64
19625.39
1999/01/31 18369.20 20353.66
19800.64
1999/02/28 18500.88 19721.07
19947.58
1999/03/31 19082.46 20510.11
20595.27
1999/04/30 20454.11 21304.46
22002.58
1999/05/31 19258.03 20801.47
20987.62
1999/06/30 19938.37 21955.95
21531.79
1999/07/30 18584.00 21270.48
20324.07
IMATRL PRASUN SHR__CHT 19990731 19990920 113326 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Financial Services - Class B on September
3, 1996, when the fund started. As the chart shows, by July 31, 1999,
the value of the investment, including the effect of the contingent
deferred sales charge, would have grown to $18,585 - an 85.85%
increase on the initial investment. For comparison, look at how the
Standard & Poor's 500 Index did over the same period. With dividends
and capital gains, if any, reinvested, the same $10,000 investment
would have grown to $21,270 - a 112.70% increase. If $10,000 was
invested in the Goldman Sachs Financial Services Index, it would have
grown to $20,324 - a 103.24% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR FINANCIAL SERVICES FUND - CLASS C
PERFORMANCE

PERFORMANCE

There are several ways to evaluate 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 dividend income and capital gains (the
profits earned upon the sale of securities that have grown in value).
The initial offering of Class C shares took place on November 3, 1997.
Class C shares bear a 1.00% 12b-1 fee. Returns between March 3, 1997
and November 3, 1997 are those of Class B shares and reflect Class B
shares' 1.00% 12b-1 fee. Returns prior to March 3, 1997 are those of
Class T which bears a 0.50% 12b-1 fee. Had Class C shares' 12b-1 fee
been reflected, returns prior to March 3, 1997 would have been lower.
Class C shares' contingent deferred sales charge included in the past
one year and life of fund total return figures are 1% and 0%,
respectively. If Fidelity had not reimbursed certain class expenses,
the life of fund total returns would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV FINANCIAL - CL C 0.07% 88.66%

FIDELITY ADV FINANCIAL - CL C -0.86% 88.66%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 112.70%

GS Financial Services -0.91% 103.24%

CUMULATIVE TOTAL RETURNS show Class C shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class C shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Financial Services Index - a market
capitalization-weighted index of 271 stocks designed to measure the
performance of companies in the financial services sector. Issues in
the index include financial institutions providing banking services,
brokerage firms and asset managers, insurance companies, and real
estate holding and development companies. These benchmarks include
reinvested dividends and capital gains, if any, and exclude the effect
of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV FINANCIAL - CL C 0.07% 24.40%

FIDELITY ADV FINANCIAL - CL C -0.86% 24.40%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 29.64%

GS Financial Services -0.91% 27.63%

AVERAGE ANNUAL RETURNS take Class C shares' cumulative return and show
you what would have happened if Class C shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA FINANCIAL SERV -CL C S&P 500
GS FINANCIAL SERVICES
00284 SP001
GS004
1996/09/03 10000.00 10000.00
10000.00
1996/09/30 10610.00 10516.69
10584.56
1996/10/31 11180.00 10806.74
11272.70
1996/11/30 12070.00 11623.62
12278.35
1996/12/31 11709.71 11393.36
12100.98
1997/01/31 12320.74 12105.21
12935.63
1997/02/28 12460.98 12200.12
13395.32
1997/03/31 11569.48 11698.81
12504.96
1997/04/30 12511.06 12397.23
13328.32
1997/05/31 12991.87 13151.98
14040.84
1997/06/30 13642.97 13741.19
14892.68
1997/07/31 15065.36 14834.57
16504.52
1997/08/31 14173.86 14003.54
15483.68
1997/09/30 15067.02 14770.51
16744.42
1997/10/31 14976.56 14277.18
16445.06
1997/11/30 15468.24 14938.07
17053.65
1997/12/31 16292.56 15194.56
17997.81
1998/01/31 16058.94 15362.61
17523.74
1998/02/28 17399.72 16470.56
19045.66
1998/03/31 18364.68 17314.02
20165.67
1998/04/30 18628.78 17488.19
20512.24
1998/05/31 18212.32 17187.57
20061.46
1998/06/30 18933.50 17885.73
20758.18
1998/07/31 18852.24 17695.25
20510.80
1998/08/31 14697.84 15136.87
16002.19
1998/09/30 15199.64 16106.54
16320.87
1998/10/31 16600.33 17416.64
18092.98
1998/11/30 17552.36 18472.27
19193.75
1998/12/31 18022.90 19536.64
19625.39
1999/01/31 18340.24 20353.66
19800.64
1999/02/28 18471.56 19721.07
19947.58
1999/03/31 19062.47 20510.11
20595.27
1999/04/30 20430.33 21304.46
22002.58
1999/05/31 19226.62 20801.47
20987.62
1999/06/30 19916.02 21955.95
21531.79
1999/07/30 18865.50 21270.48
20324.07
IMATRL PRASUN SHR__CHT 19990731 19990920 113628 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Financial Services - Class C on September
3, 1996, when the fund started. As the chart shows, by July 31, 1999,
the value of the investment would have grown to $18,866 - an 88.66%
increase on the initial investment. For comparison, look at how the
Standard & Poor's 500 Index did over the same period. With dividends
and capital gains, if any, reinvested, the same $10,000 investment
would have grown to $21,270 - a 112.70% increase. If $10,000 was
invested in the Goldman Sachs Financial Services Index, it would have
grown to $20,324 - a 103.24% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR FINANCIAL SERVICES FUND
FUND TALK: THE MANAGER'S OVERVIEW

(photograph of Robert Ewing)

An interview with
Robert Ewing, Portfolio Manager of Fidelity Advisor Financial Services
Fund

Q. HOW DID THE FUND PERFORM, BOB?

A. For the 12-month period ending July 31, 1999, the fund's Class A,
Class T, Class B and Class C shares had returns of 0.69%, 0.53%, 0.05%
and 0.07%, respectively. During the same period, the Standard & Poor's
500 Index had a return of 20.20%, while the Goldman Sachs Financial
Services Index, an index of 271 stocks designed to measure the
performance of financial service companies, had a return of -0.91%.

Q. WHAT WAS THE INVESTMENT ENVIRONMENT LIKE FOR FINANCIAL STOCKS
DURING THE YEAR?

A. The period began in August 1998, three weeks into a developing
global economic crisis. That anxiety ended after the U.S. Federal
Reserve Board lowered short-term interest rates three successive times
in the fall. Starting in the fourth quarter of 1998, investors began
to feel more comfortable. Money center banks and the brokerage
companies with global presences and volatile revenue streams tended to
be hurt the most during the period of anxiety, and they tended to do
the best during the fourth quarter of 1998. During the final month of
the period, financial services stocks suffered a sharp drop in their
prices. One factor was the fear that the economy was growing too fast
and the Federal Reserve might increase short-term rates further. The
second factor was a heavy issuance of corporate bonds, which drove
corporate bond rates up and prices down.

Q. WHAT STRATEGIES DID YOU PURSUE DURING THE YEAR?

A. We consistently pursued three investment themes throughout the 12
months. The first was to emphasize consumer-oriented companies, such
as American Express, Associates First Capital and Household
International. We thought that consumer spending would continue to be
healthy, with declining bankruptcies and debt delinquencies, and so we
believed that consumer-oriented companies in businesses such as credit
cards and mortgages would do very well. That turned out to be correct.
The second theme was to de-emphasize property and casualty insurance
companies. There simply is too much competition in this industry, and
companies have very little control or flexibility in pricing. The
third theme was to de-emphasize regional "bricks-and-mortar" banks. We
believe they will find it harder to increase their revenues as the
Internet becomes a larger factor in financial services. In addition to
these three themes, we increased our exposure to the large,
money-center banks such as Citigroup and Chase Manhattan since the
environment started to improve in October.

Q. WHAT WERE SOME OF THE MAJOR CONTRIBUTORS TO PERFORMANCE?

A. Citigroup, which is the fund's largest holding, supported
performance. The company has done a good job with the merger of
Citicorp and Travelers. American Express, a beneficiary of an
expanding global economy and continued brisk consumer spending, also
helped. Providian Financial Corp. was a strong contributor over the 12
months, although its more recent performance has lagged. We continue
to have a favorable view of its prospects.

Q. WHAT INVESTMENTS HAVE DISAPPOINTED YOU?

A. U.S. Bancorp was a detractor, primarily because it had
disappointing revenue growth and fell short of earnings expectations.
Merrill Lynch's stock performance also was disappointing. The
company's announcement that it would enter the online brokerage
business has analysts worried that this venture would cut into its
full-service fee income.

Q. WHAT IS YOUR OUTLOOK?

A. Our general outlook is positive. We believe financial services
companies will have better earnings growth than the overall market for
the remainder of 1999, and these stocks tend to do well when they have
superior earnings growth. Employment in the U.S. continues to be high,
and that bodes well for the U.S. consumer and the financial companies
that do business with them. Interest rates are important to the
sector. We do not try to guess which companies will be helped or hurt
by changes in interest rates. Nevertheless, it is important to
remember than if interest rates rise, the overall sector will tend to
be hurt. Despite my favorable outlook, I would say the last quarter of
1999 might be difficult because of concerns about the potential impact
of the Year 2000 on computer systems. I think the financial services
industry is well prepared. But nevertheless we may see higher investor
anxiety as we approach the end of 1999.

(checkmark)FUND FACTS

START DATE: September 3, 1996

SIZE: as of July 31, 1999, more than $293
million

MANAGER: Robert Ewing, since 1998;
joined Fidelity in 1990

ADVISOR FINANCIAL SERVICES FUND

INVESTMENT SUMMARY

TOP TEN STOCKS AS OF JULY 31,
1999

% OF FUND'S INVESTMENTS

Citigroup, Inc. 5.6

American International Group, 5.0
Inc.

Bank of America Corp. 4.5

Chase Manhattan Corp. 4.1

American Express Co. 3.9

Freddie Mac 3.3

Wells Fargo & Co. 3.3

Fannie Mae 3.3

Associates First Capital 2.8
Corp. Class A

Providian Financial Corp. 2.7

TOP INDUSTRIES AS OF JULY 31,
1999

% OF FUND'S INVESTMENTS

Banks 29.3%

Credit & Other Finance 20.4%

Insurance 18.3%

Securities Industry 8.6%

Federal Sponsored Credit 7.1%

All Others* 16.3%

Row: 1, Col: 1, Value: 29.3
Row: 1, Col: 2, Value: 0.0
Row: 1, Col: 3, Value: 20.4
Row: 1, Col: 4, Value: 18.3
Row: 1, Col: 5, Value: 8.6
Row: 1, Col: 6, Value: 7.1
Row: 1, Col: 7, Value: 0.0
Row: 1, Col: 8, Value: 16.3
* INCLUDES SHORT-TERM
INVESTMENTS

ADVISOR FINANCIAL SERVICES FUND

INVESTMENTS JULY 31, 1999

Showing Percentage of Total Value of Investment in Securities

COMMON STOCKS - 91.5%

SHARES VALUE (NOTE 1)

BANKS - 29.3%

AmSouth Bancorp. 36,750 $ 840,656

Bank of America Corp. 201,904 13,401,378

Bank of New York Co., Inc. 170,960 6,314,835

Bank One Corp. 127,382 6,950,280

BankBoston Corp. 40,000 1,877,500

BB&T Corp. 16,000 564,000

Cathay Bancorp, Inc. 10,000 391,250

CCB Financial Corp. 10,000 511,250

Chase Manhattan Corp. 157,000 12,069,375

Comerica, Inc. 61,450 3,410,475

Compass Bancshares, Inc. 20,000 576,250

First Union Corp. 89,415 4,113,090

Hanmi Bank 49 815

M&T Bank Corp. 2,500 1,348,750

Marshall & Ilsley Corp. 47,000 3,037,375

Mellon Bank Corp. 70,000 2,362,500

Mercantile Bancorp, Inc. 50,000 2,725,000

North Fork Bancorp, Inc. 14,250 293,906

Peoples Heritage Financial 30,000 541,875
Group, Inc.

State Street Corp. 30,000 2,126,250

Synovus Finanical Corp. 30,000 549,375

Toronto Dominion Bank 62,000 1,226,582

U.S. Bancorp 203,950 6,347,944

Wachovia Corp. 19,405 1,514,803

Wells Fargo & Co. 249,000 9,711,000

Westamerica Bancorp. 50,000 1,675,000

Zions Bancorp 35,000 2,030,000

86,511,514

COMPUTER SERVICES & SOFTWARE
- - 0.2%

Sanchez Computer Associates, 10,000 457,500
Inc. (a)

Security First Technologies 6,000 209,250
Corp. (a)

666,750

CREDIT & OTHER FINANCE - 20.4%

American Express Co. 87,300 11,501,775

Associates First Capital 218,700 8,378,944
Corp. Class A

Citigroup, Inc. 372,993 16,621,492

Equitable Companies (The), 30,300 1,946,775
Inc.

Fleet Financial Group, Inc. 89,600 3,628,800

Household International, Inc. 169,157 7,263,179

MBNA Corp. 78,250 2,230,125

Metris Companies, Inc. 15,000 589,688

Providian Financial Corp. 86,607 7,881,237

Triad Guaranty, Inc. (a) 15,000 283,125

60,325,140

FEDERAL SPONSORED CREDIT - 7.1%

Fannie Mae 140,535 9,696,915

SHARES VALUE (NOTE 1)

Freddie Mac 171,220 $ 9,823,748

SLM Holding Corp. 32,000 1,456,000

20,976,663

INSURANCE - 18.3%

AFLAC, Inc. 45,900 2,128,613

Allmerica Financial Corp. 12,400 733,925

Allstate Corp. 33,570 1,191,735

Ambac Financial Group, Inc. 17,600 979,000

American International Group, 126,280 14,664,265
Inc.

Berkshire Hathaway, Inc.:

Class A (a) 115 7,797,575

Class B (a) 24 51,120

Blanch E.W. Holdings, Inc. 33,000 2,161,500

CIGNA Corp. 15,000 1,322,813

Financial Security Assurance 5,000 262,813
Holdings Ltd.

Hartford Financial Services 70,200 3,790,800
Group, Inc.

Hartford Life, Inc. Class A 34,500 1,746,563

Jefferson-Pilot Corp. 15,000 1,095,938

Marsh & McLennan Companies, 32,250 2,451,000
Inc.

MBIA, Inc. 31,700 1,814,825

Mutual Risk Management Ltd. 30,000 894,375

Nationwide Financial 49,500 2,134,688
Services, Inc. Class A

PMI Group, Inc. 10,500 671,344

Reliastar Financial Corp. 57,083 2,590,141

Torchmark Corp. 35,000 1,150,625

Travelers Property Casualty 27,500 1,086,250
Corp. Class A

UICI (a) 120,200 3,388,138

54,108,046

REAL ESTATE INVESTMENT TRUSTS
- - 5.4%

AMB Property Corp. 15,000 337,500

AMRESCO Capital Trust, Inc. 50,000 509,375

Apartment Investment & 37,400 1,526,388
Management Co. Class A

Archstone Communities Trust 20,000 431,250

Cousins Properties, Inc. 10,000 367,500

Crescent Real Estate Equities 48,000 1,056,000
Co.

Duke Realty Investments, Inc. 49,500 1,082,813

Equity Office Properties Trust 45,000 1,130,625

Equity Residential Properties 22,500 929,531
Trust (SBI)

First Industrial Realty 6,000 155,250
Trust, Inc.

Highwoods Properties, Inc. 15,000 352,500

Indymac Mortgage Holdings, 175,000 2,767,188
Inc.

Mack-Cali Realty Corp. 18,000 504,000

Ocwen Asset Investment Corp. 114,600 623,138

ProLogis Trust 20,000 388,750

Public Storage, Inc. 57,500 1,477,031

COMMON STOCKS - CONTINUED

SHARES VALUE (NOTE 1)

REAL ESTATE INVESTMENT TRUSTS
- - CONTINUED

Simon Property Group, Inc. 40,000 $ 1,062,500

Starwood Hotels & Resorts 44,000 1,188,000
Worldwide, Inc.

15,889,339

SAVINGS & LOANS - 1.9%

Charter One Financial, Inc. 31,750 821,531

Commercial Federal Corp. 35,000 813,750

Dime Bancorp, Inc. 15,000 301,875

Golden State Bancorp, Inc. (a) 21,660 479,228

Golden State Bancorp, Inc. 26,660 41,656
litigation warrants 12/31/99
(a)

Golden West Financial Corp. 7,500 719,531

TCF Financial Corp. 25,000 690,625

Washington Mutual, Inc. 32,020 1,098,686

Webster Financial Corp. 20,000 527,500

5,494,382

SECURITIES INDUSTRY - 8.6%

Bear Stearns Companies, Inc. 87,500 3,702,344

Donaldson Lufkin & Jenrette, 25,000 1,292,188
Inc. - DLJdirect

Federated Investors, Inc. 15,000 285,938
Class B

Franklin Resources, Inc. 30,000 1,143,750

Goldman Sachs Group, Inc. 2,000 128,625

Investors Group, Inc. 50,000 663,878

Jefferies Group, Inc. New 30,900 892,238

Lehman Brothers Holdings, 61,000 3,278,750
Inc.

Merrill Lynch & Co., Inc. 8,300 564,919

Morgan Stanley, Dean Witter & 73,500 6,624,188
Co.

PaineWebber Group, Inc. 10,000 400,000

Schwab (Charles) Corp. 80,000 3,525,000

Waddell & Reed Financial, Inc.:

Class A 97,845 2,482,817

Class B 12,245 306,125

25,290,760

SERVICES - 0.3%

CheckFree Holdings Corp. (a) 25,000 739,063

InsWeb Corp. 200 6,075

745,138

TOTAL COMMON STOCKS 270,007,732
(Cost $241,478,529)

CASH EQUIVALENTS - 8.5%

SHARES VALUE (NOTE 1)

Taxable Central Cash Fund (b) 25,013,807 $ 25,013,807
(Cost $25,013,807)

TOTAL INVESTMENT IN $ 295,021,539
SECURITIES - 100%
(Cost $266,492,336)

LEGEND

(a) Non-income producing

INCOME TAX INFORMATION

At July 31, 1999, the aggregate cost of investment securities for
income tax purposes was $267,469,708. Net unrealized appreciation
aggregated $27,551,831, of which $37,427,482 related to appreciated
investment securities and $9,875,651 related to depreciated investment
securities.

The fund hereby designates approximately $5,050,000 as a capital gain
dividend for the purpose of the dividend paid deduction.

At July 31, 1999 the fund had a capital loss carryforward of
approximately $4,198,000, all of which will expire on July 31, 2007.

A total of 27%, 28%, 29%, 28% and 26% of Class A's, Class T's, Class
B's, Class C's and Institutional Class' dividends distributed during
the fiscal year qualifies for the dividends received deductions for
corporate shareholders (unaudited).

The fund will notify shareholders in January 2000 of the applicable
percentage for use in preparing 1999 income tax returns.

ADVISOR FINANCIAL SERVICES FUND
FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
JULY 31, 1999

ASSETS

Investment in securities, at $ 295,021,539
value (cost $266,492,336) -
See accompanying schedule

Receivable for investments 539,398
sold

Receivable for fund shares 956,235
sold

Dividends receivable 417,216

Interest receivable 101,691

TOTAL ASSETS 297,036,079

LIABILITIES

Payable for investments $ 2,691,842
purchased

Payable for fund shares 525,245
redeemed

Accrued management fee 148,084

Distribution fees payable 172,453

Other payables and accrued 118,554
expenses

TOTAL LIABILITIES 3,656,178

NET ASSETS $ 293,379,901

Net Assets consist of:

Paid in capital $ 269,353,205

Undistributed net investment 673,045
income

Accumulated undistributed net (5,175,213)
realized gain (loss) on
investments and foreign
currency transactions

Net unrealized appreciation 28,528,864
(depreciation) on
investments and assets and
liabilities in foreign
currencies

NET ASSETS $ 293,379,901

CALCULATION OF MAXIMUM $17.49
OFFERING PRICE CLASS A:
NET ASSET VALUE and
redemption price per
share ($27,439,786 (divided
by) 1,568,480 shares)

Maximum offering price per $18.56
share (100/94.25 of
$17.49)

CLASS T: NET ASSET VALUE $17.42
and redemption price per
share ($123,360,570
(divided by) 7,080,024
shares)

Maximum offering price per $18.05
share (100/96.50 of
$17.42)

CLASS B: NET ASSET VALUE $17.21
and offering price per
share ($94,071,584 (divided
by) 5,465,656 shares) A

CLASS C: NET ASSET VALUE, $17.24
and offering price per
share ($36,551,522 (divided
by) 2,120,559 shares) A

INSTITUTIONAL CLASS: NET $17.60
ASSET VALUE, offering price
and redemption price per
share ($11,956,439
(divided by) 679,408
shares)

A REDEMPTION PRICE PER SHARE IS EQUAL TO NET ASSET VALUE LESS ANY
APPLICABLE CONTINGENT DEFERRED SALES CHARGE.

STATEMENT OF OPERATIONS
YEAR ENDED JULY 31, 1999

INVESTMENT INCOME $ 3,800,637
Dividends

Interest 992,282

TOTAL INCOME 4,792,919

EXPENSES

Management fee $ 1,430,657

Transfer agent fees 667,810

Distribution fees 1,633,307

Accounting fees and expenses 124,777

Non-interested trustees' 786
compensation

Custodian fees and expenses 8,363

Registration fees 110,643

Audit 31,539

Legal 2,850

Miscellaneous 801

Total expenses before 4,011,533
reductions

Expense reductions (16,942) 3,994,591

NET INVESTMENT INCOME 798,328

REALIZED AND UNREALIZED GAIN
(LOSS)
Net realized gain (loss) on:

Investment securities (5,108,782)

Foreign currency transactions 7,947 (5,100,835)

Change in net unrealized
appreciation (depreciation)
on:

Investment securities 3,565,720

Assets and liabilities in (150) 3,565,570
foreign currencies

NET GAIN (LOSS) (1,535,265)

NET INCREASE (DECREASE) IN $ (736,937)
NET ASSETS RESULTING FROM
OPERATIONS

<TABLE>
<CAPTION>
<S> <C> <C>
STATEMENT OF CHANGES IN NET ASSETS

INCREASE (DECREASE) IN NET YEAR ENDED JULY 31, 1999 YEAR ENDED JULY 31, 1998
ASSETS

Operations Net investment $ 798,328 $ 420,029
income

Net realized gain (loss) (5,100,835) 15,277,202

Change in net unrealized 3,565,570 12,949,534
appreciation (depreciation)

NET INCREASE (DECREASE) IN (736,937) 28,646,765
NET ASSETS RESULTING FROM
OPERATIONS

Distributions to shareholders (365,767) (245,431)
From net investment income

From net realized gain (12,710,202) (1,447,197)

TOTAL DISTRIBUTIONS (13,075,969) (1,692,628)

Share transactions - net 75,395,927 134,897,670
increase (decrease)

Redemption fees 103,555 68,426

TOTAL INCREASE (DECREASE) 61,686,576 161,920,233
IN NET ASSETS

NET ASSETS

Beginning of period 231,693,325 69,773,092

End of period (including $ 293,379,901 $ 231,693,325
undistributed net investment
income of $673,045 and
$262,870, respectively)

</TABLE>

FINANCIAL HIGHLIGHTS - CLASS A

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 18.74 $ 15.11 $ 10.00
period

Income from Investment
Operations

Net investment income D .12 .11 .06

Net realized and unrealized (.31) 3.80 5.06
gain (loss)

Total from investment (.19) 3.91 5.12
operations

Less Distributions

From net investment income (.06) H (.06) (.01)

From net realized gain (1.01) H (.23) (.01)

Total distributions (1.07) (.29) (.02)

Redemption fees added to paid .01 .01 .01
in capital

Net asset value, end of period $ 17.49 $ 18.74 $ 15.11

TOTAL RETURN B, C 0.69% 26.32% 51.35%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 27,440 $ 21,907 $ 6,275
(000 omitted)

Ratio of expenses to average 1.24% 1.32% 1.75% A, F
net assets

Ratio of expenses to average 1.23% G 1.30% G 1.73% A, G
net assets after expense
reductions

Ratio of net investment .73% .63% .55% A
income to average net assets

Portfolio turnover 38% 54% 26% A

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE ONE TIME SALES
CHARGE AND FOR PERIODS OF
LESS THAN ONE YEAR ARE NOT
ANNUALIZED.
D NET INVESTMENT INCOME PER
SHARE HAS BEEN CALCULATED
BASED ON AVERAGE SHARES
OUTSTANDING DURING THE PERIOD.
E FOR THE PERIOD SEPTEMBER 3,
1996 (COMMENCEMENT OF SALE
OF CLASS A SHARES) TO JULY
31, 1997.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.
H THE AMOUNTS SHOWN REFLECT
CERTAIN RECLASSIFICATIONS
RELATED TO BOOK TO TAX
DIFFERENCES.

FINANCIAL HIGHLIGHTS - CLASS T

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 18.66 $ 15.07 $ 10.00
period

Income from Investment
Operations

Net investment income D .09 .07 .04

Net realized and unrealized (.30) 3.78 5.04
gain (loss)

Total from investment (.21) 3.85 5.08
operations

Less Distributions

From net investment income (.03) G (.04) (.01)

From net realized gain (1.01) G (.23) (.01)

Total distributions (1.04) (.27) (.02)

Redemption fees added to paid .01 .01 .01
in capital

Net asset value, end of period $ 17.42 $ 18.66 $ 15.07

TOTAL RETURN B, C 0.53% 25.96% 50.95%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 123,361 $ 118,608 $ 52,003
(000 omitted)

Ratio of expenses to average 1.47% 1.52% 1.94% A
net assets

Ratio of expenses to average 1.46% F 1.50% F 1.91% A, F
net assets after expense
reductions

Ratio of net investment .50% .44% .37% A
income to average net assets

Portfolio turnover 38% 54% 26% A

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE ONE TIME SALES
CHARGE AND FOR PERIODS OF
LESS THAN ONE YEAR ARE NOT
ANNUALIZED.
D NET INVESTMENT INCOME PER
SHARE HAS BEEN CALCULATED
BASED ON AVERAGE SHARES
OUTSTANDING DURING THE PERIOD.
E FOR THE PERIOD SEPTEMBER 3,
1996 (COMMENCEMENT OF SALE
OF CLASS T SHARES) TO JULY
31, 1997.
F FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.
G THE AMOUNTS SHOWN REFLECT
CERTAIN RECLASSIFICATIONS
RELATED TO BOOK TO TAX
DIFFERENCES.

FINANCIAL HIGHLIGHTS - CLASS B

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 18.52 $ 15.04 $ 12.56
period

Income from Investment
Operations

Net investment income (loss) D - (.02) (.02)

Net realized and unrealized (.29) 3.76 2.50
gain (loss)

Total from investment (.29) 3.74 2.48
operations

Less Distributions

From net investment income (.02) H (.04) -

From net realized gain (1.01) H (.23) -

Total distributions (1.03) (.27) -

Redemption fees added to paid .01 .01 -
in capital

Net asset value, end of period $ 17.21 $ 18.52 $ 15.04

TOTAL RETURN B, C 0.05% 25.29% 19.75%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 94,072 $ 65,926 $ 7,737
(000 omitted)

Ratio of expenses to average 1.99% 2.06% 2.50% A, F
net assets

Ratio of expenses to average 1.98% G 2.04% G 2.49% A, G
net assets after expense
reductions

Ratio of net investment (.02)% (.14)% (.37)% A
income (loss) to average net
assets

Portfolio turnover 38% 54% 26% A

FINANCIAL HIGHLIGHTS - CLASS C

YEARS ENDED JULY 31, 1999 1998 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 18.56 $ 15.24
period

Income from Investment
Operations

Net investment income (loss) D - (.03)

Net realized and unrealized (.29) 3.57
gain (loss)

Total from investment (.29) 3.54
operations

Less Distributions

From net investment income (.03) G (.02)

From net realized gain (1.01) G (.21)

Total distributions (1.04) (.23)

Redemption fees added to paid .01 .01
in capital

Net asset value, end of period $ 17.24 $ 18.56

TOTAL RETURN B, C 0.07% 23.56%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 36,552 $ 19,983
(000 omitted)

Ratio of expenses to average 1.95% 2.09% A
net assets

Ratio of expenses to average 1.94% F 2.07% A, F
net assets after expense
reductions

Ratio of net investment .02% (.22)% A
income (loss) to average net
assets

Portfolio turnover 38% 54%

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE CONTINGENT
DEFERRED SALES CHARGE AND
FOR PERIODS OF LESS THAN ONE
YEAR ARE NOT ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E FOR THE PERIOD NOVEMBER 3,
1997 (COMMENCEMENT OF SALE
OF CLASS C SHARES) TO JULY
31, 1998.
F FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.
G THE AMOUNTS SHOWN REFLECT
CERTAIN RECLASSIFICATIONS
RELATED TO BOOK TO TAX
DIFFERENCES.

FINANCIAL HIGHLIGHTS - INSTITUTIONAL CLASS

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 18.80 $ 15.14 $ 10.00
period

Income from Investment
Operations

Net investment income D .18 .14 .10

Net realized and unrealized (.30) 3.79 5.06
gain (loss)

Total from investment (.12) 3.93 5.16
operations

Less Distributions

From net investment income (.08) H (.05) (.02)

From net realized gain (1.01) H (.23) (.01)

Total distributions (1.09) (.28) (.03)

Redemption fees added to paid .01 .01 .01
in capital

Net asset value, end of period $ 17.60 $ 18.80 $ 15.14

TOTAL RETURN B, C 1.12% 26.39% 51.78%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 11,956 $ 5,270 $ 3,758
(000 omitted)

Ratio of expenses to average .93% 1.14% 1.50% A, F
net assets

Ratio of expenses to average .92% G 1.13% G 1.47% A, G
net assets after expense
reductions

Ratio of net investment 1.04% .81% .85% A
income to average net assets

Portfolio turnover 38% 54% 26% A

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS FOR PERIODS
OF LESS THAN ONE YEAR ARE
NOT ANNUALIZED.
D NET INVESTMENT INCOME PER
SHARE HAS BEEN CALCULATED
BASED ON AVERAGE SHARES
OUTSTANDING DURING THE PERIOD.
E FOR THE PERIOD SEPTEMBER 3,
1996 (COMMENCEMENT OF SALE
OF INSTITUTIONAL CLASS
SHARES) TO JULY 31, 1997.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.
H THE AMOUNTS SHOWN REFLECT
CERTAIN RECLASSIFICATIONS
RELATED TO BOOK TO TAX
DIFFERENCES.

NOTES TO FINANCIAL STATEMENTS
For the period ended July 31, 1999

1. SIGNIFICANT ACCOUNTING POLICIES.

Fidelity Advisor Financial Services Fund (the fund) is a fund of
Fidelity Advisor Series VII (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.

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 (including restricted
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.

EXPENSES. Most expenses of the trust can be directly attributed to a
fund. Expenses which cannot be directly attributed are apportioned
among the funds in the trust.

DISTRIBUTIONS TO SHAREHOLDERS. Distributions are recorded on the
ex-dividend date. Income dividends and capital gain distributions are
declared separately for each class.

Income and capital gain distributions are determined in accordance
with income tax regulations which may differ from generally accepted
accounting principles. These differences, which may result in
distribution reclassifications, are primarily due to differing
treatments for foreign currency transactions, passive foreign
investment companies (PFIC), non-taxable dividends and losses deferred
due to wash sales. 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.

Permanent book and tax basis differences relating to shareholder
distributions will result in reclassifications to paid in capital.
Undistributed net investment income and accumulated undistributed net
realized gain (loss) on investments and foreign currency transactions
may include temporary book and tax basis differences that will reverse
in a subsequent period. Any taxable income or 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.

3. PURCHASES AND SALES OF INVESTMENTS.

Purchases and sales of securities, other than short-term securities,
aggregated $148,363,415 and $86,334,196, respectively.

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.

CLASS A .25%

CLASS T .50%

CLASS B 1.00% *

CLASS C 1.00% *

* .75% REPRESENTS A DISTRIBUTION FEE AND .25% REPRESENTS A SHAREHOLDER
SERVICE FEE.

For the period, each class paid FDC the following amounts, a portion
of which was retained by FDC:

PAID TO FDC RETAINED BY FDC

CLASS A $ 57,921 $ 60

CLASS T 559,007 1,685

CLASS B 761,107 571,091

CLASS C 255,272 209,929

$ 1,633,307 $ 782,765

SALES LOAD. FDC receives a front-end sales charge of up to 5.75% for
selling Class A shares and 3.50% for selling Class T shares of the
fund. FDC receives the proceeds of contingent deferred sales charges
levied on Class B share redemptions occurring within six years of
purchase and Class C share redemptions occurring within one year of
purchase. Contingent deferred sales charges are based on declining
rates ranging from 5% to 1% for Class B and 1% for Class C, of the
lesser of the cost of shares at the initial date of purchase or the
net asset value of the redeemed shares, excluding any reinvested
dividends and capital gains. In addition, purchases of Class A and
Class T shares that were subject to a finder's fee bear a contingent
deferred sales charge on assets that do not remain in the fund for at
least one year. The Class A and Class T contingent deferred sales
charge is based on 0.25% of the lesser of the cost of shares at the
initial date of purchase or the net asset value of the redeemed
shares, excluding any reinvested dividends and capital gains. A
portion of the sales charges paid to FDC is paid to securities
dealers, banks and other financial institutions.

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES - CONTINUED

SALES LOAD - CONTINUED

For the period, sales charge amounts paid to and retained by FDC were
as follows:

PAID TO FDC RETAINED BY FDC

CLASS A $ 169,070 $ 74,045

CLASS T 256,417 89,208

CLASS B 320,166 320,166 *

CLASS C 23,912 23,912 *

$ 769,565 $ 507,331

* WHEN CLASS B AND CLASS C SHARES ARE INITIALLY SOLD, FDC PAYS
COMMISSIONS FROM ITS OWN RESOURCES TO SECURITIES DEALERS,
BANKS, AND OTHER FINANCIAL INSTITUTIONS THROUGH WHICH THE SALES ARE
MADE.

AMOUNT % OF AVERAGE NET ASSETS

CLASS A $ 67,558 .29

CLASS T 300,941 .27

CLASS B 217,879 .29

CLASS C 63,198 .25

INSTITUTIONAL CLASS 18,234 .23

$ 667,810

ACCOUNTING FEES. Fidelity Service Company, Inc., an affiliate of FMR,
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.

5. EXPENSE REDUCTIONS.

FMR has directed certain portfolio trades to brokers who paid a
portion of the fund's expenses. For the period, the fund's expenses
were reduced by $16,885 under this arrangement.

In addition, the fund has entered into an arrangement with its
custodian whereby credits realized as a result of uninvested cash
balances were used to reduce a portion of expenses. During the period,
the fund's custodian fees were reduced by $57 under the custodian
arrangement.

6. DISTRIBUTIONS TO SHAREHOLDERS.

Distributions to shareholders of each class were as follows:

YEARS ENDED JULY 31,

1999 1998 A

FROM NET INVESTMENT INCOME

Class A $ 69,817 $ 32,929

Class T 174,881 169,652

Class B 68,552 31,387

Class C 31,424 990

Institutional Class 21,093 10,473

Total $ 365,767 $ 245,431

FROM NET REALIZED GAIN

Class A $ 1,212,772 $ 134,384

Class T 6,262,898 1,003,813

Class B 3,836,369 249,387

Class C 1,125,444 10,862

Institutional Class 272,719 48,751

Total $ 12,710,202 $ 1,447,197

Total Distributions $ 13,075,969 $ 1,692,628

A DISTRIBUTIONS FOR CLASS C ARE FOR THE PERIOD NOVEMBER 3, 1997
(COMMENCEMENT OF SALE OF SHARES) TO JULY 31, 1998.

7. SHARE TRANSACTIONS.

Transactions for each class of shares were are as follows:

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
SHARES DOLLARS

YEAR ENDED JULY 31, YEAR ENDED JULY 31, YEAR ENDED JULY 31, YEAR ENDED JULY 31,

1999 1998 A 1999 1998 A

CLASS A Shares sold 934,476 $ 14,081,934 $ 16,203,034
822,308

Reinvestment of distributions 85,902 9,387 1,165,695 147,404

Shares redeemed (508,971) (189,881) (8,477,160) (3,281,384)

Net increase (decrease) 399,239 753,982 $ 6,770,469 $ 13,069,054

CLASS T Shares sold 3,240,994 4,223,164 $ 54,768,982 $ 71,654,298

Reinvestment of distributions 443,632 66,953 6,006,779 1,051,227

Shares redeemed (2,959,321) (1,386,617) (48,376,793) (23,635,629)

Net increase (decrease) 725,305 2,903,500 $ 12,398,968 $ 49,069,896

CLASS B Shares sold 2,867,874 3,302,648 $ 48,151,991 $ 57,223,474

Reinvestment of distributions 235,734 13,682 3,165,887 213,556

Shares redeemed (1,197,148) (271,676) (19,603,788) (4,668,237)

Net increase (decrease) 1,906,460 3,044,654 $ 31,714,090 $ 52,768,793

CLASS C Shares sold 1,453,651 1,117,558 $ 24,778,214 $ 19,997,372

Reinvestment of distributions 57,370 710 771,627 11,224

Shares redeemed (467,142) (41,588) (7,840,548) (764,009)

Net increase (decrease) 1,043,879 1,076,680 $ 17,709,293 $ 19,244,587

INSTITUTIONAL CLASS Shares 511,162 170,926 $ 8,733,321 $ 2,901,545
sold

Reinvestment of distributions 18,075 3,344 245,820 52,667

Shares redeemed (130,140) (142,257) (2,176,034) (2,208,872)

Net increase (decrease) 399,097 32,013 $ 6,803,107 $ 745,340

</TABLE>

A SHARE TRANSACTIONS FOR CLASS C ARE FOR THE PERIOD NOVEMBER 3, 1997
(COMMENCEMENT OF SALE OF SHARES) TO JULY 31, 1998.

ADVISOR HEALTH CARE FUND - CLASS A
ERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV HEALTH CARE - CL A 13.80% 102.93%

FIDELITY ADV HEALTH CARE - CL 7.26% 91.27%
A (INCL. 5.75% SALES CHARGE)

S&P 500 20.20% 112.70%

GS Health Care 8.20% 106.30%

CUMULATIVE TOTAL RETURNS show Class A shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class A shares'
returns to the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Health Care Index - a market capitalization-weighted
index of 93 stocks designed to measure the performance of companies in
the health care sector. Issues in the index include providers of
health care related services including long-term care and hospital
facilities, health care management organizations and continuing care
services. These benchmarks include reinvested dividends and capital
gains, if any, and exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV HEALTH CARE - CL A 13.80% 27.56%

FIDELITY ADV HEALTH CARE - CL 7.26% 24.99%
A (INCL. 5.75% SALES CHARGE)

S&P 500 20.20% 29.64%

GS Health Care 8.20% 28.29%

AVERAGE ANNUAL RETURNS take Class A shares' cumulative return and show
you what would have happened if Class A shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA HEALTH CARE -CL A S&P 500
GS HEALTH CARE
00177 SP001
GS005
1996/09/03 9425.00 10000.00
10000.00
1996/09/30 10056.48 10516.69
10812.87
1996/10/31 9830.28 10806.74
10714.59
1996/11/30 10329.80 11623.62
11456.00
1996/12/31 10395.78 11393.36
11211.23
1997/01/31 11027.25 12105.21
12140.37
1997/02/28 11159.20 12200.12
12322.91
1997/03/31 10556.00 11698.81
11479.40
1997/04/30 11093.23 12397.23
12192.08
1997/05/31 11932.05 13151.98
13124.59
1997/06/30 12818.00 13741.19
14149.23
1997/07/31 13289.25 14834.57
14590.78
1997/08/31 12469.28 14003.54
13768.10
1997/09/30 13258.30 14770.51
14522.88
1997/10/31 13133.40 14277.18
14348.05
1997/11/30 13383.20 14938.07
14887.11
1997/12/31 13606.41 15194.56
15322.92
1998/01/31 14411.52 15362.61
16033.22
1998/02/28 15196.51 16470.56
17070.43
1998/03/31 15790.28 17314.02
17844.91
1998/04/30 15961.36 17488.19
18314.30
1998/05/31 15830.53 17187.57
18020.01
1998/06/30 16685.96 17885.73
19053.99
1998/07/31 16806.73 17695.25
19066.04
1998/08/31 14763.76 15136.87
16554.54
1998/09/30 16451.72 16106.54
18419.75
1998/10/31 16926.78 17416.64
19244.11
1998/11/30 17804.62 18472.27
20271.43
1998/12/31 19023.27 19536.64
21491.50
1999/01/31 19415.71 20353.66
21413.35
1999/02/28 19229.82 19721.07
21147.66
1999/03/31 19570.62 20510.11
21793.82
1999/04/30 18858.03 21304.46
20778.64
1999/05/31 18682.46 20801.47
20429.00
1999/06/30 19591.28 21955.95
21294.51
1999/07/30 19126.54 21270.48
20629.59
IMATRL PRASUN SHR__CHT 19990731 19990920 113853 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Health Care - Class A on September 3,
1996, when the fund started, and the current 5.75% sales charge was
paid. As the chart shows, by July 31, 1999, the value of the
investment would have grown to $19,127 - a 91.27% increase on the
initial investment. For comparison, look at how the Standard & Poor's
500 Index did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 investment would have grown to
$21,270 - a 112.70% increase. If $10,000 was invested in the Goldman
Sachs Health Care Index, it would have grown to $20,630 - a 106.30%
increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR HEALTH CARE FUND - CLASS T
PERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV HEALTH CARE - CL T 13.54% 101.27%

FIDELITY ADV HEALTH CARE - CL 9.57% 94.23%
T (INCL. 3.50% SALES CHARGE)

S&P 500 20.20% 112.70%

GS Health Care 8.20% 106.30%

CUMULATIVE TOTAL RETURNS show Class T shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class T shares'
returns to the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Health Care Index - a market capitalization-weighted
index of 93 stocks designed to measure the performance of companies in
the health care sector. Issues in the index include providers of
health care related services including long-term care and hospital
facilities, health care management organizations and continuing care
services. These benchmarks include reinvested dividends and capital
gains, if any, and exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV HEALTH CARE - CL T 13.54% 27.20%

FIDELITY ADV HEALTH CARE - CL 9.57% 25.65%
T (INCL. 3.50% SALES CHARGE)

S&P 500 20.20% 29.64%

GS Health Care 8.20% 28.29%

AVERAGE ANNUAL RETURNS take Class T shares' cumulative return and show
you what would have happened if Class T shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA HEALTH CARE -CL T S&P 500
GS HEALTH CARE
00191 SP001
GS005
1996/09/03 9650.00 10000.00
10000.00
1996/09/30 10286.90 10516.69
10812.87
1996/10/31 10055.30 10806.74
10714.59
1996/11/30 10566.75 11623.62
11456.00
1996/12/31 10624.65 11393.36
11211.23
1997/01/31 11271.20 12105.21
12140.37
1997/02/28 11396.65 12200.12
12322.91
1997/03/31 10779.05 11698.81
11479.40
1997/04/30 11319.45 12397.23
12192.08
1997/05/31 12178.30 13151.98
13124.59
1997/06/30 13075.75 13741.19
14149.23
1997/07/31 13558.25 14834.57
14590.78
1997/08/31 12718.70 14003.54
13768.10
1997/09/30 13526.32 14770.51
14522.88
1997/10/31 13398.52 14277.18
14348.05
1997/11/30 13654.11 14938.07
14887.11
1997/12/31 13872.26 15194.56
15322.92
1998/01/31 14696.15 15362.61
16033.22
1998/02/28 15478.85 16470.56
17070.43
1998/03/31 16086.47 17314.02
17844.91
1998/04/30 16261.54 17488.19
18314.30
1998/05/31 16117.36 17187.57
18020.01
1998/06/30 16992.75 17885.73
19053.99
1998/07/31 17106.03 17695.25
19066.04
1998/08/31 15025.71 15136.87
16554.54
1998/09/30 16741.42 16106.54
18419.75
1998/10/31 17216.43 17416.64
19244.11
1998/11/30 18103.12 18472.27
20271.43
1998/12/31 19338.14 19536.64
21491.50
1999/01/31 19739.26 20353.66
21413.35
1999/02/28 19538.70 19721.07
21147.66
1999/03/31 19897.60 20510.11
21793.82
1999/04/30 19169.25 21304.46
20778.64
1999/05/31 18979.24 20801.47
20429.00
1999/06/30 19897.60 21955.95
21294.51
1999/07/30 19422.59 21270.48
20629.59
IMATRL PRASUN SHR__CHT 19990731 19990920 114505 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Health Care - Class T on September 3,
1996, when the fund started, and the current 3.50% sales charge was
paid. As the chart shows, by July 31, 1999, the value of the
investment would have grown to $19,423 - a 94.23% increase on the
initial investment. For comparison, look at how the Standard & Poor's
500 Index did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 investment would have grown to
$21,270 - a 112.70% increase. If $10,000 was invested in the Goldman
Sachs Health Care Index, it would have grown to $20,630 - a 106.30%
increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR HEALTH CARE FUND - CLASS B
PERFORMANCE

PERFORMANCE

There are several ways to evaluate historical performance. You can
look at the total percentage change in the 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 dividend income and capital gains (the
profits earned upon the sale of securities that have grown in value).
The initial offering of Class B shares took place on March 3, 1997.
Class B shares bear a 1.00% 12b-1 fee. Returns prior to March 3, 1997
are those of Class T which bears a 0.50% 12b-1 fee. Had Class B
shares' 12b-1 fee been reflected, returns prior to March 3, 1997 would
have been lower. Class B shares' contingent deferred sales charge
included in the past one year and life of fund total return figures
are 5% and 3%, respectively. If Fidelity had not reimbursed certain
class expenses, the life of fund total returns would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV HEALTH CARE - CL B 12.96% 98.46%

FIDELITY ADV HEALTH CARE - CL 7.96% 95.46%
B (INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 112.70%

GS Health Care 8.20% 106.30%

CUMULATIVE TOTAL RETURNS show Class B shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class B shares'
returns to the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Health Care Index - a market capitalization-weighted
index of 93 stocks designed to measure the performance of companies in
the health care sector. Issues in the index include providers of
health care related services including long-term care and hospital
facilities, health care management organizations and continuing care
services. These benchmarks include reinvested dividends and capital
gains, if any, and exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV HEALTH CARE - CL B 12.96% 26.59%

FIDELITY ADV HEALTH CARE - CL 7.96% 25.93%
B (INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 29.64%

GS Health Care 8.20% 28.29%

AVERAGE ANNUAL RETURNS take Class B shares' cumulative return and show
you what would have happened if Class B shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA HEALTH CARE -CL B S&P 500
GS HEALTH CARE
00164 SP001
GS005
1996/09/03 10000.00 10000.00
10000.00
1996/09/30 10660.00 10516.69
10812.87
1996/10/31 10420.00 10806.74
10714.59
1996/11/30 10950.00 11623.62
11456.00
1996/12/31 11010.00 11393.36
11211.23
1997/01/31 11680.00 12105.21
12140.37
1997/02/28 11810.00 12200.12
12322.91
1997/03/31 11170.00 11698.81
11479.40
1997/04/30 11720.00 12397.23
12192.08
1997/05/31 12600.00 13151.98
13124.59
1997/06/30 13530.00 13741.19
14149.23
1997/07/31 14010.00 14834.57
14590.78
1997/08/31 13140.00 14003.54
13768.10
1997/09/30 13967.29 14770.51
14522.88
1997/10/31 13824.46 14277.18
14348.05
1997/11/30 14079.52 14938.07
14887.11
1997/12/31 14304.95 15194.56
15322.92
1998/01/31 15126.34 15362.61
16033.22
1998/02/28 15937.06 16470.56
17070.43
1998/03/31 16545.10 17314.02
17844.91
1998/04/30 16726.45 17488.19
18314.30
1998/05/31 16566.44 17187.57
18020.01
1998/06/30 17462.50 17885.73
19053.99
1998/07/31 17569.17 17695.25
19066.04
1998/08/31 15425.03 15136.87
16554.54
1998/09/30 17179.79 16106.54
18419.75
1998/10/31 17660.65 17416.64
19244.11
1998/11/30 18567.72 18472.27
20271.43
1998/12/31 19824.52 19536.64
21491.50
1999/01/31 20228.87 20353.66
21413.35
1999/02/28 20010.30 19721.07
21147.66
1999/03/31 20360.02 20510.11
21793.82
1999/04/30 19616.87 21304.46
20778.64
1999/05/31 19409.23 20801.47
20429.00
1999/06/30 20338.16 21955.95
21294.51
1999/07/30 19546.37 21270.48
20629.59
IMATRL PRASUN SHR__CHT 19990731 19990920 121928 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Health Care - Class B on September 3,
1996, when the fund started. As the chart shows, by July 31, 1999, the
value of the investment, including the effect of the contingent
deferred sales charge, would have grown to $19,546 - a 95.46% increase
on the initial investment. For comparison, look at how the Standard &
Poor's 500 Index did over the same period. With dividends and capital
gains, if any, reinvested, the same $10,000 investment would have
grown to $21,270 - a 112.70% increase. If $10,000 was invested in the
Goldman Sachs Health Care Index, it would have grown to $20,630 - a
106.30% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR HEALTH CARE FUND - CLASS C
PERFORMANCE

PERFORMANCE

There are several ways to evaluate historical performance. You can
look at the total percentage change in the 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 dividend income and capital gains (the
profits earned upon the sale of securities that have grown in value).
The initial offering of Class C shares took place on November 3, 1997.
Class C shares bear a 1.00% 12b-1 fee. Returns between March 3, 1997
and November 3, 1997 are those of Class B shares and reflect Class B
shares' 1.00% 12b-1 fee. Returns prior to March 3, 1997 are those of
Class T which bears a 0.50% 12b-1 fee. Had Class C shares' 12b-1 fee
been reflected, returns prior to March 3, 1997 would have been lower.
Class C shares' contingent deferred sales charge included in the past
one year and life of fund total return figures are 1% and 0%,
respectively. If Fidelity had not reimbursed certain class expenses,
the life of fund total returns would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV HEALTH CARE - CL C 13.04% 98.24%

FIDELITY ADV HEALTH CARE - CL 12.04% 98.24%
C (INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 112.70%

GS Health Care 8.20% 106.30%

CUMULATIVE TOTAL RETURNS show Class C shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class C shares'
returns to the Standard & Poor's 500 Index - a market
capitalization-weighted index of common stocks - and the Goldman Sachs
Health Care Index - a market capitalization-weighted index of 93
stocks designed to measure the performance of companies in the health
care sector. Issues in the index include providers of health care
related services including long-term care and hospital facilities,
health care management organizations and continuing care services.
These benchmarks include reinvested dividends and capital gains, if
any, and exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV HEALTH CARE - CL C 13.04% 26.54%

FIDELITY ADV HEALTH CARE - CL 12.04% 26.54%
C (INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 29.64%

GS Health Care 8.20% 28.29%

AVERAGE ANNUAL RETURNS take Class C shares' cumulative return and show
you what would have happened if Class C shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA HEALTH CARE -CL C S&P 500
GS HEALTH CARE
00285 SP001
GS005
1996/09/03 10000.00 10000.00
10000.00
1996/09/30 10660.00 10516.69
10812.87
1996/10/31 10420.00 10806.74
10714.59
1996/11/30 10950.00 11623.62
11456.00
1996/12/31 11010.00 11393.36
11211.23
1997/01/31 11680.00 12105.21
12140.37
1997/02/28 11810.00 12200.12
12322.91
1997/03/31 11170.00 11698.81
11479.40
1997/04/30 11720.00 12397.23
12192.08
1997/05/31 12600.00 13151.98
13124.59
1997/06/30 13530.00 13741.19
14149.23
1997/07/31 14010.00 14834.57
14590.78
1997/08/31 13140.00 14003.54
13768.10
1997/09/30 13967.29 14770.51
14522.88
1997/10/31 13824.46 14277.18
14348.05
1997/11/30 14079.34 14938.07
14887.11
1997/12/31 14304.85 15194.56
15322.92
1998/01/31 15134.42 15362.61
16033.22
1998/02/28 15932.09 16470.56
17070.43
1998/03/31 16538.32 17314.02
17844.91
1998/04/30 16708.48 17488.19
18314.30
1998/05/31 16548.95 17187.57
18020.01
1998/06/30 17431.70 17885.73
19053.99
1998/07/31 17538.06 17695.25
19066.04
1998/08/31 15410.94 15136.87
16554.54
1998/09/30 17151.32 16106.54
18419.75
1998/10/31 17642.29 17416.64
19244.11
1998/11/30 18536.95 18472.27
20271.43
1998/12/31 19802.57 19536.64
21491.50
1999/01/31 20206.26 20353.66
21413.35
1999/02/28 19988.05 19721.07
21147.66
1999/03/31 20348.09 20510.11
21793.82
1999/04/30 19595.27 21304.46
20778.64
1999/05/31 19387.97 20801.47
20429.00
1999/06/30 20326.27 21955.95
21294.51
1999/07/30 19824.39 21270.48
20629.59
IMATRL PRASUN SHR__CHT 19990731 19990823 115956 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Health Care - Class C on September 3,
1996, when the fund started. As the chart shows, by July 31, 1999, the
value of the investment would have grown to $19,824 - a 98.24%
increase on the initial investment. For comparison, look at how the
Standard & Poor's 500 Index did over the same period. With dividends
and capital gains, if any, reinvested, the same $10,000 investment
would have grown to $21,270 - a 112.70% increase. If $10,000 was
invested in the Goldman Sachs Health Care Index, it would have grown
to $20,630 - a 106.30% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR HEALTH CARE FUND
FUND TALK: THE MANAGERS' OVERVIEW

(photograph of Beso Sikharulidze)(photograph of Ramin Arani)

NOTE TO SHAREHOLDERS: On August 2, 1999, after the end of the period
covered by this report, Ramin Arani (right) became Portfolio Manager
of Fidelity Advisor Health Care Fund. The following is an interview
with Beso Sikharulidze, who managed the fund during the period covered
by this report, with comments from Ramin Arani.

Q. HOW DID THE FUND PERFORM, BESO?

B.S. While health care stocks held on to respectable returns, the
second half of the 12-month period was a difficult time for the
sector. For the 12 months that ended July 31, 1999, the fund's Class
A, Class T, Class B and Class C shares returned 13.80%, 13.54%, 12.96%
and 13.04%, respectively. These returns outpaced the Goldman Sachs
Health Care Index - an index of 93 stocks designed to measure the
performance of companies in the health care sector - which returned
8.20%. During the same period, the Standard & Poor's 500 Index
returned 20.20%.

Q. WHAT FACTORS CONTRIBUTED TO THE FUND'S STRONG PERFORMANCE RELATIVE
TO THE GOLDMAN SACHS INDEX?

B.S. The fund's relative performance was helped significantly by good
stock picking in the pharmaceutical and biotechnology industries.
While drug companies experienced weakness during the past six months,
many holdings held up fairly well given their strong product pipelines
and steady sales growth. Biotech firms performed very well after years
of research and development began to yield profitable new products.
The fund's return compared to the Goldman Sachs index also was aided
by an underweighted position in hospital stocks and health care
providers that continued to struggle as pricing pressures - an
inability to increase prices, which can lead to lower profit margins -
and Medicare cuts negatively affected earnings.

Q. WHY DID INVESTORS SELL OFF HEALTH CARE STOCKS DURING THE PAST SIX
MONTHS?

B.S. Despite positive business fundamentals in the form of strong
corporate earnings driven by innovative new drugs and an aging
population with increasing demand for health care products, fund
performance stalled during much of 1999, especially in the second
quarter, as the market favored value and smaller-cap stocks.
Investors' concerns about the loss of patent protection and increased
competition for many popular drugs at the large pharmaceutical
companies also hurt returns.

Q. WHICH STOCKS PERFORMED WELL FOR THE FUND?

B.S. Amgen, the largest biotechnology company in the U.S., performed
well on continued strong sales of its two main drugs, Epogen, the
company's blockbuster anemia drug, and Neupogen, its new cancer drug.
Shares of VISX, the leading manufacturer of lasers used in corrective
eye surgery, performed well on strong consumer demand. The fund's
holdings in Johnson & Johnson also contributed to total return as the
company's well-diversified line of medical products and surgical
supplies held up nicely during the market sell-off of health care
stocks in the second quarter.

Q. WHICH STOCKS TURNED OUT TO BE DISAPPOINTMENTS?

B.S. The large-cap drug and pharmaceutical companies, such as Eli
Lilly, Warner-Lambert and Schering-Plough, hurt fund performance.
Shares of these companies faltered in the second quarter due to
nervousness over high valuations, a weakening product pipeline outlook
and the possibility that Medicare reform could lead to
government-sanctioned price controls. While the fund's position in
McKesson HBOC was not significant, it detracted from total return
before I could sell off the remaining shares following the discovery
of accounting irregularities at its recently acquired HBO & Co.
division.

Q. TURNING TO YOU, RAMIN, DO YOU ANTICIPATE ANY MAJOR CHANGES TO THE
FUND'S INVESTMENT STRATEGY?

R.A. Not really. Similar to Beso's approach, I believe new product
innovation is the lifeblood of the industry and drives corporate
return on investment. As a result, my team of analysts and I will
continue to closely examine the growth prospects of each company's
product portfolio and pipeline. Of course, we'll also keep a close eye
on external factors, such as Medicare reform and patent protection,
which can affect the industry and individual holdings.

Q. WHAT'S YOUR OUTLOOK?

R.A. While the short-term outlook for the sector could be choppy given
uncertainty in the U.S. interest-rate environment and the global
economic recovery, I'm optimistic that health care stocks won't remain
in the doldrums for very long. In light of favorable long-term
prospects for market growth, pharmaceutical and biotechnology
companies in particular should benefit from reasonable valuations,
steady earnings growth and promising multi-product pipelines.

(checkmark)FUND FACTS

START DATE: September 3, 1996

SIZE: as of July 31, 1999, more than $682
million

MANAGER: Ramin Arani, since August 1999;
joined Fidelity in 1992
ADVISOR HEALTH CARE FUND

INVESTMENT SUMMARY

TOP TEN STOCKS AS OF JULY 31,
1999

% OF FUND'S INVESTMENTS

Lilly (Eli) & Co. 8.1

Bristol-Myers Squibb Co. 7.7

Warner-Lambert Co. 6.8

Merck & Co., Inc. 6.2

Johnson & Johnson 6.0

Schering-Plough Corp. 5.7

Abbott Laboratories 5.1

Amgen, Inc. 4.8

Cardinal Health, Inc. 2.7

Pfizer, Inc. 2.6

TOP INDUSTRIES AS OF JULY 31,
1999

% OF FUND'S INVESTMENTS

Drugs & Pharmaceuticals 55.9%

Medical Equipment & Supplies 26.7%

Medical Facilities Management 6.0%

Computer Services & Software 1.8%

Drug Stores 1.1%

All Others* 8.5%

Row: 1, Col: 1, Value: 55.9
Row: 1, Col: 2, Value: 0.0
Row: 1, Col: 3, Value: 26.7
Row: 1, Col: 4, Value: 6.0
Row: 1, Col: 5, Value: 1.8
Row: 1, Col: 6, Value: 1.1
Row: 1, Col: 7, Value: 0.0
Row: 1, Col: 8, Value: 8.5

* INCLUDES SHORT-TERM
INVESTMENTS

ADVISOR HEALTH CARE FUND

INVESTMENTS JULY 31, 1999

Showing Percentage of Total Value of Investment in Securities

COMMON STOCKS - 94.7%

SHARES VALUE (NOTE 1)

AGRICULTURE - 0.3%

Pioneer Hi-Bred 53,800 $ 2,091,475
International, Inc.

CHEMICALS & PLASTICS - 0.7%

Hoechst AG 108,200 4,594,641

COMPUTER SERVICES & SOFTWARE
- - 1.8%

Allscripts, Inc. 500 8,000

Healtheon Corp. (a) 15,300 768,825

IMS Health, Inc. 253,800 7,074,675

Shared Medical Systems Corp. 65,600 3,927,800

11,779,300

DRUG STORES - 1.1%

CVS Corp. 143,300 7,129,175

DRUGS & PHARMACEUTICALS - 55.9%

Allergan, Inc. 59,600 5,632,200

ALZA Corp. Class A. (a) 49,400 2,402,075

American Home Products Corp. 240,500 12,265,500

Amgen, Inc. (a) 418,900 32,202,938

Banyu Pharmaceutical Co. Ltd. 33,000 648,189

Biogen, Inc. (a) 117,900 8,112,994

Bristol-Myers Squibb Co. 773,400 51,431,100

Centocor, Inc. (a) 42,600 2,374,950

Chiron Corp. (a) 123,600 3,097,725

Forest Laboratories, Inc. (a) 133,100 6,821,375

Genentech, Inc. 31,900 4,529,800

Genzyme Corp. 89 470

Genzyme Corp. (General 139,600 7,896,125
Division)

ICN Pharmaceuticals, Inc. 8,100 249,075

Immunex Corp. (a) 25,700 2,900,888

Lilly (Eli) & Co. 822,200 53,956,865

Medicis Pharmaceutical Corp. 133,000 2,926,000
Class A (a)

Medimmune, Inc. (a) 31,700 2,532,038

Merck & Co., Inc. 616,500 41,729,344

PE Corp. (Biosystems Group) 25,000 1,401,563

Pfizer, Inc. 506,200 17,179,163

Pharmacia & Upjohn, Inc. 143,500 7,722,094

Quintiles Transnational Corp. 237,700 9,032,600
(a)

Rhone-Poulenc SA sponsored 40,000 1,935,000
ADR Class A

Schering-Plough Corp. 772,600 37,857,400

Sepracor, Inc. (a) 16,100 1,183,350

Shire Pharmaceuticals Group 83,050 2,107,394
PLC ADR (a)

Takeda Chemical Industries 51,000 2,769,271
Ltd.

Warner-Lambert Co. 688,900 45,467,400

Watson Pharmaceuticals, Inc. 52,300 1,801,081
(a)

Yamanouchi Pharmaceutical Co. 61,000 2,827,673
Ltd.

372,993,640

SHARES VALUE (NOTE 1)

ELECTRONIC INSTRUMENTS - 0.6%

Beckman Coulter, Inc. 15,300 $ 735,356

Waters Corp. (a) 53,600 3,202,600

3,937,956

INDUSTRIAL MACHINERY &
EQUIPMENT - 0.5%

Mettler-Toledo International, 110,900 3,209,169
Inc. (a)

INSURANCE - 1.0%

CIGNA Corp. 78,100 6,887,444

MEDICAL EQUIPMENT & SUPPLIES
- - 26.7%

Abbott Laboratories 787,600 33,817,575

AmeriSource Health Corp. 160,200 4,485,600
Class A (a)

Bard (C.R.), Inc. 100 4,863

Baxter International, Inc. 246,300 16,917,731

Becton, Dickinson & Co. 169,800 4,658,888

Biomet, Inc. 176,600 6,423,825

Boston Scientific Corp. (a) 240,800 9,767,450

Cardinal Health, Inc. 269,006 18,359,660

Guidant Corp. 273,500 16,016,844

Johnson & Johnson 434,900 40,065,163

Mallinckrodt, Inc. 700 23,713

Medtronic, Inc. 174,414 12,568,709

Resmed, Inc. (a) 33,500 954,750

St. Jude Medical, Inc. (a) 72,500 2,696,094

Stryker Corp. 12,200 744,200

Sybron International, Inc. (a) 51,800 1,544,288

VISX, Inc. (a) 76,500 7,745,625

Xomed Surgical Products, Inc. 34,700 1,581,019
(a)

178,375,997

MEDICAL FACILITIES MANAGEMENT
- - 6.0%

Columbia/HCA Healthcare Corp. 579,900 12,902,775

Express Scripts, Inc. Class A 76,300 5,312,388
(a)

Foundation Health Systems, 34,600 525,488
Inc. Class A (a)

Health Management Associates, 174,700 1,441,275
Inc. Class A (a)

HEALTHSOUTH Corp. (a) 221,500 2,713,375

Lincare Holdings, Inc. (a) 57,200 1,716,000

Renal Care Group, Inc. (a) 6,700 150,331

Trigon Healthcare, Inc. (a) 40,400 1,408,950

United HealthCare Corp. 182,900 11,156,900

Universal Health Services, 26,700 1,136,419
Inc. Class B (a)

Wellpoint Health Networks, 22,900 1,880,663
Inc. (a)

40,344,564

SERVICES - 0.1%

Gartner Group, Inc. Class B 33,044 714,577
(a)

TOTAL COMMON STOCKS 632,057,938
(Cost $578,054,550)

CASH EQUIVALENTS - 5.3%

SHARES VALUE (NOTE 1)

Taxable Central Cash Fund (b) 35,223,368 $ 35,223,368
(Cost $35,223,368)

TOTAL INVESTMENT IN $ 667,281,306
SECURITIES - 100%
(Cost $613,277,918)

LEGEND

(a) Non-income producing

INCOME TAX INFORMATION

At July 31, 1999, the aggregate cost of investment securities for
income tax purposes was $613,988,601. Net unrealized appreciation
aggregated $53,292,705, of which $74,936,974 related to appreciated
investment securities and $21,644,269 related to depreciated
investment securities.

The fund hereby designates approximately $1,568,000 as a capital gain
dividend for the purpose of the dividend paid deduction.

A total of 29%, 31%, 32% 30% and 27% of Class A's, Class T's, Class
B's, Class C's and Institutional Class' dividend distributions during
the fiscal year qualifies for the dividend-received deductions for
corporate shareholders (unaudited).

The fund will notify shareholders in January 2000 of the applicable
percentages for use in preparing 1999 income tax returns.

ADVISOR HEALTH CARE FUND
FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
JULY 31, 1999

ASSETS

Investment in securities, at $ 667,281,306
value (cost $613,277,918) -
See accompanying schedule

Receivable for investments 14,972,924
sold

Receivable for fund shares 3,568,304
sold

Dividends receivable 383,232

Interest receivable 231,754

Other receivables 583

Investment of cash collateral 2,034,900
received for securities
loaned

TOTAL ASSETS 688,473,003

LIABILITIES

Payable for investments $ 1,690,815
purchased

Payable for fund shares 798,911
redeemed

Accrued management fee 335,577

Distribution fees payable 400,493

Other payables and accrued 275,321
expenses

Collateral on securities 2,034,900
loaned, at value

TOTAL LIABILITIES 5,536,017

NET ASSETS $ 682,936,986

Net Assets consist of:

Paid in capital $ 614,521,861

Accumulated undistributed net 14,411,636
realized gain (loss) on
investments and foreign
currency transactions

Net unrealized appreciation 54,003,489
(depreciation) on
investments and assets and
liabilities in foreign
currencies

NET ASSETS $ 682,936,986

CALCULATION OF MAXIMUM $18.52
OFFERING PRICE CLASS A:
NET ASSET VALUE and
redemption price per
share ($66,142,417 (divided
by) 3,572,301 shares)

Maximum offering price per $19.65
share (100/94.25 of
$18.52)

CLASS T: NET ASSET VALUE $18.40
and redemption price per
share ($248,441,710
(divided by) 13,503,932
shares)

Maximum offering price per $19.07
share (100/96.50 of
$18.40)

CLASS B: NET ASSET VALUE $18.16
and offering price per
share ($225,441,321 (divided
by) 12,414,248 shares) A

CLASS C: NET ASSET VALUE $18.17
and offering price per
share ($109,371,519 (divided
by) 6,018,219 shares) A

INSTITUTIONAL CLASS: NET $18.59
ASSET VALUE, offering price
and redemption price per
share ($33,540,019
(divided by) 1,804,038
shares)

A REDEMPTION PRICE PER SHARE IS EQUAL TO NET ASSET VALUE LESS ANY
APPLICABLE CONTINGENT DEFERRED SALES CHARGE.

STATEMENT OF OPERATIONS
YEAR ENDED JULY 31, 1999

INVESTMENT INCOME $ 3,484,900
Dividends

Interest (including income on 1,824,191
securities loaned of $720)

TOTAL INCOME 5,309,091

EXPENSES

Management fee $ 2,532,771

Transfer agent fees 1,165,303

Distribution fees 2,901,899

Accounting and security 206,426
lending fees

Non-interested trustees' 1,270
compensation

Custodian fees and expenses 19,583

Registration fees 233,032

Audit 31,330

Legal 3,157

Total expenses before 7,094,771
reductions

Expense reductions (108,674) 6,986,097

NET INVESTMENT INCOME (LOSS) (1,677,006)

REALIZED AND UNREALIZED GAIN
(LOSS)
Net realized gain (loss) on:

Investment securities 16,393,623

Foreign currency transactions (1,038) 16,392,585

Change in net unrealized
appreciation (depreciation)
on:

Investment securities 24,413,912

Assets and liabilities in 148 24,414,060
foreign currencies

NET GAIN (LOSS) 40,806,645

NET INCREASE (DECREASE) IN $ 39,129,639
NET ASSETS RESULTING FROM
OPERATIONS

<TABLE>
<CAPTION>
<S> <C> <C>
STATEMENT OF CHANGES IN NET ASSETS

INCREASE (DECREASE) IN NET YEAR ENDED JULY 31, 1999 YEAR ENDED JULY 31, 1998
ASSETS

Operations Net investment $ (1,677,006) $ (517,467)
income (loss)

Net realized gain (loss) 16,392,585 10,419,090

Change in net unrealized 24,414,060 19,983,044
appreciation (depreciation)

NET INCREASE (DECREASE) IN 39,129,639 29,884,667
NET ASSETS RESULTING FROM
OPERATIONS

Distributions to shareholders (5,527,534) (5,317,653)
from net realized gains

Share transactions - net 416,927,170 138,185,326
increase (decrease)

Redemption fees 201,576 63,702

TOTAL INCREASE (DECREASE) 450,730,851 162,816,042
IN NET ASSETS

NET ASSETS

Beginning of period 232,206,135 69,390,093

End of period $ 682,936,986 $ 232,206,135

</TABLE>

FINANCIAL HIGHLIGHTS - CLASS A

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 16.70 $ 14.10 $ 10.00
period

Income from Investment
Operations

Net investment income (loss) D .00 (.03) (.02)

Net realized and unrealized 2.20 3.50 4.12
gain (loss)

Total from investment 2.20 3.47 4.10
operations

Less Distributions

From net realized gain (.39) (.88) -

Redemption fees added to paid .01 .01 -
in capital

Net asset value, end of period $ 18.52 $ 16.70 $ 14.10

TOTAL RETURN B, C 13.80% 26.47% 41.00%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 66,142 $ 20,902 $ 5,488
(000 omitted)

Ratio of expenses to average 1.23% 1.38% 1.75% A, F
net assets

Ratio of expenses to average 1.21% G 1.36% G 1.74% A, G
net assets after expense
reductions

Ratio of net investment .01% (.18)% (.18)% A
income (loss) to average net
assets

Portfolio turnover 98% 85% 67% A

FINANCIAL HIGHLIGHTS - CLASS T

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 16.61 $ 14.05 $ 10.00
period

Income from Investment
Operations

Net investment income (loss) D (.04) (.05) (.04)

Net realized and unrealized 2.19 3.47 4.09
gain (loss)

Total from investment 2.15 3.42 4.05
operations

Less Distributions

From net realized gain (.37) (.87) -

Redemption fees added to paid .01 .01 -
in capital

Net asset value, end of period $ 18.40 $ 16.61 $ 14.05

TOTAL RETURN B, C 13.54% 26.17% 40.50%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 248,442 $ 124,652 $ 50,868
(000 omitted)

Ratio of expenses to average 1.46% 1.54% 1.97% A
net assets

Ratio of expenses to average 1.43% F 1.52% F 1.96% A, F
net assets after expense
reductions

Ratio of net investment (.21)% (.31)% (.39)% A
income (loss) to average net
assets

Portfolio turnover 98% 85% 67% A

FINANCIAL HIGHLIGHTS - CLASS B

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 16.47 $ 14.01 $ 11.88
period

Income from Investment
Operations

Net investment income (loss) D (.13) (.14) (.05)

Net realized and unrealized 2.17 3.45 2.18
gain (loss)

Total from investment 2.04 3.31 2.13
operations

Less Distributions

From net realized gain (.36) (.86) -

Redemption fees added to paid .01 .01 -
in capital

Net asset value, end of period $ 18.16 $ 16.47 $ 14.01

TOTAL RETURN B, C 12.96% 25.40% 17.93%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 225,441 $ 57,074 $ 6,159
(000 omitted)

Ratio of expenses to average 1.98% 2.13% 2.50% A, F
net assets

Ratio of expenses to average 1.96% G 2.12% G 2.49% A, G
net assets after expense
reductions

Ratio of net investment (.73)% (.95)% (.99)% A
income (loss) to average net
assets

Portfolio turnover 98% 85% 67% A

FINANCIAL HIGHLIGHTS - CLASS C

YEARS ENDED JULY 31, 1999 1998 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 16.49 $ 13.85
period

Income from Investment
Operations

Net investment income (loss) D (.12) (.12)

Net realized and unrealized 2.17 3.39
gain (loss)

Total from investment 2.05 3.27
operations

Less Distributions

From net realized gain (.38) (.63)

Redemption fees added to paid .01 -
in capital

Net asset value, end of period $ 18.17 $ 16.49

TOTAL RETURN B, C 13.04% 24.84%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 109,372 $ 19,154
(000 omitted)

Ratio of expenses to average 1.95% 2.18% A
net assets

Ratio of expenses to average 1.92% F 2.17% A, F
net assets after expense
reductions

Ratio of net investment (.70)% (1.06)% A
income (loss) to average net
assets

Portfolio turnover 98% 85%

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE CONTINGENT
DEFERRED SALES CHARGE AND
FOR PERIODS OF LESS THAN ONE
YEAR ARE NOT ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E FOR THE PERIOD NOVEMBER 3,
1997 (COMMENCEMENT OF SALE
OF CLASS C SHARES) TO JULY
31, 1998.
F FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

FINANCIAL HIGHLIGHTS - INSTITUTIONAL CLASS

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 16.73 $ 14.12 $ 10.00
period

Income from Investment
Operations

Net investment income D .05 .03 .01

Net realized and unrealized 2.21 3.47 4.11
gain (loss)

Total from investment 2.26 3.50 4.12
operations

Less Distributions

From net realized gain (.41) (.90) -

Redemption fees added to paid .01 .01 -
in capital

Net asset value, end of period $ 18.59 $ 16.73 $ 14.12

TOTAL RETURN B, C 14.17% 26.70% 41.20%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 33,540 $ 10,424 $ 6,875
(000 omitted)

Ratio of expenses to average .97% 1.07% 1.50% A, F
net assets

Ratio of expenses to average .95% G 1.04% G 1.49% A, G
net assets after expense
reductions

Ratio of net investment .28% .17% .08% A
income to average net assets

Portfolio turnover 98% 85% 67% A

A ANNUALIZED
B TOTAL RETURNS FOR PERIODS
OF LESS THAN ONE YEAR ARE
NOT ANNUALIZED.
C THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
D NET INVESTMENT INCOME PER
SHARE HAS BEEN CALCULATED
BASED ON AVERAGE SHARES
OUTSTANDING DURING THE PERIOD.
E FOR THE PERIOD SEPTEMBER 3,
1996 (COMMENCEMENT OF SALE
OF INSTITUTIONAL CLASS
SHARES) TO JULY 31, 1997.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

NOTES TO FINANCIAL STATEMENTS
For the period ended July 31, 1999

1. SIGNIFICANT ACCOUNTING POLICIES.

Fidelity Advisor Health Care Fund (the fund) is a fund of Fidelity
Advisor Series VII (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 fund offers Class A, Class T, Class B, Class C and Institutional
Class shares, each of which has equal rights as to assets and voting
privileges. Each class has exclusive voting rights with respect to
matters that affect that class. Class B shares will automatically
convert to Class A shares after a holding period of seven years from
the initial date of purchase. Investment income, realized and
unrealized capital gains and losses, the common expenses of the fund,
and certain fund-level expense reductions, if any, are allocated on a
pro rata basis to each class based on the relative net assets of each
class to the total net assets of the fund. Each class of shares
differs in its respective distribution, transfer agent, and certain
other class-specific fees, expenses, and expense reductions.

EXPENSES. Most expenses of the trust can be directly attributed to a
fund. Expenses which cannot be directly attributed are apportioned
among the funds in the trust.

DISTRIBUTIONS TO SHAREHOLDERS. Distributions are recorded on the
ex-dividend date. Income dividends and capital gain distributions are
declared separately for each class.

Income and capital gain distributions are determined in accordance
with income tax regulations which may differ from generally accepted
accounting principles. These differences, which may result in
distribution reclassifications, are primarily due to differing
treatments for foreign currency transactions, non-taxable dividends
and losses deferred due to wash sales. 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.

Permanent book and tax basis differences relating to shareholder
distributions will result in reclassifications to paid in capital.
Accumulated undistributed net realized gain (loss) on investments and
foreign currency transactions may include temporary book and tax basis
differences which will reverse in a subsequent period. Any taxable
income or 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.

TAXABLE CENTRAL CASH FUND. Pursuant to an Exemptive Order issued by
the SEC, the fund may invest in the Taxable Central Cash Fund (the
Cash Fund) managed by Fidelity Investments Money Management, Inc.
(FIMM), an affiliate of FMR. The Cash Fund is an open-end money market
fund available only to investment companies and other accounts managed
by FMR and its affiliates. The Cash Fund seeks preservation of
capital, liquidity, and current income by investing in U.S. Treasury
securities and repurchase agreements for these securities. Income
distributions from the Cash Fund are declared daily and paid monthly
from net interest income. Income distributions earned by the fund are
recorded as interest income in the accompanying financial statements.

CENTRAL CASH COLLATERAL FUND. Pursuant to an Exemptive Order issued by
the SEC, the fund may invest in the Central Cash Collateral Fund (the
Cash Collateral Fund) managed by FIMM, an affiliate of FMR. The Cash
Collateral Fund is an open-end money market fund available only to
investment companies and other accounts managed by FMR and its
affiliates. The Cash Collateral Fund seeks preservation of capital,
liquidity, and current income by investing primarily in U.S. Treasury
securities and repurchase agreements for these securities. Income
distributions from the Cash Collateral Fund are declared daily and
paid monthly from net interest income. Income distributions earned by
the fund are recorded as interest income in the accompanying financial
statements.

INTERFUND LENDING PROGRAM. Pursuant to an Exemptive Order issued by
the SEC, the fund, along with other registered investment companies
having management contracts with FMR, may participate in an interfund
lending program. This program provides an alternative credit facility
allowing the fund to borrow from, or lend money to, other
participating funds.

3. PURCHASES AND SALES OF INVESTMENTS.

Purchases and sales of securities, other than short-term securities,
aggregated $762,266,590 and $393,939,574, respectively.

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.

CLASS A .25%

CLASS T .50%

CLASS B 1.00% *

CLASS C 1.00% *

* .75% REPRESENTS A DISTRIBUTION FEE AND .25% REPRESENTS A SHAREHOLDER
SERVICE FEE.

For the period, each class paid FDC the following amounts, a portion
of which was retained by FDC:

PAID TO FDC RETAINED BY FDC

CLASS A $ 100,672 $ 94

CLASS T 931,115 2,164

CLASS B 1,301,195 976,391

CLASS C 568,917 520,192

$ 2,901,899 $ 1,498,841

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES - CONTINUED

For the period, sales charge amounts paid to and retained by FDC were
as follows:

PAID TO FDC RETAINED BY FDC

CLASS A $ 551,172 $ 279,771

CLASS T 800,447 310,755

CLASS B 321,313 321,313 *

CLASS C 43,426 43,426 *

$ 1,716,358 $ 955,265

* WHEN CLASS B AND CLASS C SHARES ARE INITIALLY SOLD, FDC PAYS
COMMISSIONS FROM ITS OWN RESOURCES TO SECURITIES DEALERS,
BANKS, AND OTHER FINANCIAL INSTITUTIONS THROUGH WHICH THE SALES ARE
MADE.

AMOUNT % OF AVERAGE NET ASSETS

CLASS A $ 115,697 .29

CLASS T 479,933 .26

CLASS B 371,537 .29

CLASS C 143,058 .25

INSTITUTIONAL CLASS 55,078 .28

$ 1,165,303

ACCOUNTING AND SECURITY LENDING FEES. Fidelity Service Company, Inc.
(FSC), an affiliate of FMR, maintains the fund's accounting records
and administers the security lending program. The security lending fee
is based on the number and duration of lending transactions. The
accounting fee is based on the level of average net assets for the
month plus out-of-pocket expenses.

5. INTERFUND LENDING PROGRAM.

The fund participated in the interfund lending program as a lender.
The average daily loan balances during the period for which loans were
outstanding amounted to $26,195,500 . The weighted average interest
rate was 4.84%. Interest earned from the interfund lending program
amounted to $7,046 and is included in interest income on the Statement
of Operations.

6. SECURITY LENDING.

The fund lends portfolio securities from time to time in order to earn
additional income. The fund receives collateral in the form of U.S.
Treasury obligations, letters of credit, and/or cash against the
loaned securities, and maintains collateral in an amount not less than
100% of the market value of the loaned securities during the period of
the loan. The market value of the loaned securities is determined at
the close of business of the fund and any additional required
collateral is delivered to the fund on the next business day. If the
borrower defaults on its obligation to return the securities loaned
because of insolvency or other reasons, the fund could experience
delays and costs in recovering the securities loaned or in gaining
access to the collateral. At period end, the value of the securities
loaned amounted to $2,058,875. The fund received cash collateral of
$2,034,900 which was invested in the Central Cash Collateral Fund.

7. EXPENSE REDUCTIONS.

FMR has directed certain portfolio trades to brokers who paid a
portion of the fund's expenses. For the period, the fund's expenses
were reduced by $105,135 under this arrangement.

In addition, the fund has entered into an arrangement with its
custodian whereby credits realized as a result of uninvested cash
balances were used to reduce a portion of the fund's expenses. During
the period, the fund's custodian fees were reduced by $3,539 under
this arrangement.

8. BENEFICIAL INTEREST.

At the end of the period, one shareholder was record owner of
approximately 10% of the total outstanding shares of the fund.

9. DISTRIBUTIONS TO SHAREHOLDERS.

Distributions to shareholders of each class were as follows:

YEARS ENDED JULY 31,

1999 1998 A

FROM NET REALIZED GAIN

Class A $ 506,267 $ 420,044

Class T 2,852,284 3,806,901

Class B 1,389,695 709,849

Class C 512,786 21,184

Institutional Class 266,502 359,675

Total $ 5,527,534 $ 5,317,653

A DISTRIBUTIONS FOR CLASS C ARE FOR THE PERIOD NOVEMBER 3, 1997
(COMMENCEMENT OF SALE OF SHARES) TO JULY 31, 1998.

10. SHARE TRANSACTIONS.

Transactions for each class of shares were as follows:

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
SHARES DOLLARS

YEAR ENDED JULY 31, YEAR ENDED JULY 31, YEAR ENDED JULY 31, YEAR ENDED JULY 31,

1999 1998 A 1999 1998 A

CLASS A Shares sold 953,100 $ 52,957,834 $ 14,712,053
2,923,295

Reinvestment of distributions 30,315 29,113 451,389 382,670

Shares redeemed (633,263) (119,595) (11,335,392) (1,797,313)

Net increase (decrease) 2,320,347 862,618 $ 42,073,831 $ 13,297,410

CLASS T Shares sold 9,152,907 5,008,211 $ 163,138,613 $ 75,539,497

Reinvestment of distributions 182,634 273,667 2,706,621 3,586,347

Shares redeemed (3,336,370) (1,398,051) (58,873,247) (21,017,135)

Net increase (decrease) 5,999,171 3,883,827 $ 106,971,987 $ 58,108,709

CLASS B Shares sold 10,129,553 3,319,731 $ 180,199,139 $ 50,883,606

Reinvestment of distributions 81,573 49,154 1,199,114 640,560

Shares redeemed (1,262,369) (343,006) (22,344,687) (5,148,858)

Net increase (decrease) 8,948,757 3,025,879 $ 159,053,566 $ 46,375,308

CLASS C Shares sold 5,638,208 1,191,803 $ 101,276,858 $ 18,640,101

Reinvestment of distributions 26,607 1,455 391,120 18,904

Shares redeemed (807,853) (32,001) (14,456,971) (510,296)

Net increase (decrease) 4,856,962 1,161,257 $ 87,211,007 $ 18,148,709

INSTITUTIONAL CLASS Shares 1,586,418 342,040 $ 28,856,815 $ 5,185,579
sold

Reinvestment of distributions 16,379 27,158 244,208 357,509

Shares redeemed (421,646) (233,192) (7,484,244) (3,287,898)

Net increase (decrease) 1,181,151 136,006 $ 21,616,779 $ 2,255,190

</TABLE>

A SHARE TRANSACTIONS FOR CLASS C ARE FOR THE PERIOD NOVEMBER 3, 1997
(COMMENCEMENT OF SALE OF SHARES) TO JULY 31, 1998.

ADVISOR NATURAL RESOURCES FUND - CLASS A
PERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR PAST 5 YEARS PAST 10 YEARS

FIDELITY ADV NATURAL - CL A 21.48% 78.59% 232.01%

FIDELITY ADV NATURAL - CL A 14.50% 68.32% 212.92%
(INCL. 5.75% SALES CHARGE)

S&P 500 20.20% 220.67% 396.75%

GS Natural Resources 22.86% n/a n/a

CUMULATIVE TOTAL RETURNS show Class A shares' performance in
percentage terms over a set period - in this case, one year, five
years or 10 years. You can compare Class A shares' returns to the
performance of both the Standard & Poor's 500 Index - a market
capitalization-weighted index of common stocks - and the Goldman Sachs
Natural Resources Index - a market capitalization-weighted index of 96
stocks designed to measure the performance of companies in the natural
resource sector. Issues in the index include extractive industries
including gold and precious metals mining along with other mineral
mining, energy companies providing oil and gas services, and owners
and operators of timber tracts and forestry services. These benchmarks
include reinvested dividends and capital gains, if any, and exclude
the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR PAST 5 YEARS PAST 10 YEARS

FIDELITY ADV NATURAL - CL A 21.48% 12.30% 12.75%

FIDELITY ADV NATURAL - CL A 14.50% 10.98% 12.08%
(INCL. 5.75% SALES CHARGE)

S&P 500 20.20% 26.25% 17.38%

GS Natural Resources 22.86% n/a n/a

AVERAGE ANNUAL RETURNS take Class A shares' cumulative return and show
you what would have happened if Class A shares had performed at a
constant rate each year.

$10,000 OVER 10 YEARS
FA NATURAL RESOURCES-CL A S&P 500
00247 SP001
1989/07/31 9425.00 10000.00
1989/08/31 9707.10 10196.00
1989/09/30 9446.70 10154.20
1989/10/31 9113.97 9918.62
1989/11/30 9519.03 10120.96
1989/12/31 10246.61 10363.86
1990/01/31 9600.29 9668.45
1990/02/28 10049.56 9793.17
1990/03/31 10238.73 10052.69
1990/04/30 9702.75 9801.37
1990/05/31 10688.00 10757.01
1990/06/30 10554.01 10683.86
1990/07/31 11074.22 10649.67
1990/08/31 10782.59 9686.94
1990/09/30 10443.66 9215.19
1990/10/31 9694.87 9175.56
1990/11/30 9852.51 9768.30
1990/12/31 9705.39 10040.84
1991/01/31 10025.61 10478.62
1991/02/28 11470.75 11227.84
1991/03/31 11199.78 11499.55
1991/04/30 11257.26 11527.15
1991/05/31 11799.19 12025.12
1991/06/30 11117.67 11474.37
1991/07/31 11487.17 12009.08
1991/08/31 11782.76 12293.69
1991/09/30 11322.95 12088.39
1991/10/31 11585.70 12250.37
1991/11/30 10649.65 11756.68
1991/12/31 11109.64 13101.65
1992/01/31 11799.57 12857.96
1992/02/29 12064.92 13025.11
1992/03/31 11764.18 12771.12
1992/04/30 12197.60 13146.59
1992/05/31 12524.88 13211.01
1992/06/30 12117.99 13014.17
1992/07/31 12604.48 13546.45
1992/08/31 12418.73 13268.74
1992/09/30 12542.57 13425.32
1992/10/31 12277.21 13472.30
1992/11/30 12436.42 13931.71
1992/12/31 12591.09 14103.07
1993/01/31 12994.71 14221.54
1993/02/28 13358.95 14414.95
1993/03/31 14244.96 14719.10
1993/04/30 15012.83 14362.90
1993/05/31 15751.16 14747.83
1993/06/30 15967.74 14790.60
1993/07/31 15751.16 14731.43
1993/08/31 16656.85 15289.75
1993/09/30 16568.25 15172.02
1993/10/31 17316.43 15486.08
1993/11/30 16666.70 15338.97
1993/12/31 17368.01 15524.57
1994/01/31 18424.03 16052.40
1994/02/28 17849.88 15617.38
1994/03/31 16752.85 14936.47
1994/04/30 17029.67 15127.65
1994/05/31 17255.23 15375.75
1994/06/30 16947.65 14999.04
1994/07/31 17521.80 15491.01
1994/08/31 18372.77 16126.14
1994/09/30 18280.50 15731.05
1994/10/31 18003.67 16085.00
1994/11/30 16824.62 15499.18
1994/12/31 16972.14 15729.04
1995/01/31 16638.74 16136.89
1995/02/28 17128.42 16765.74
1995/03/31 18086.95 17260.50
1995/04/30 18826.68 17768.82
1995/05/31 19087.15 18479.04
1995/06/30 19628.92 18908.31
1995/07/31 20452.00 19535.31
1995/08/31 20764.57 19584.34
1995/09/30 20941.69 20410.80
1995/10/31 20056.09 20337.94
1995/11/30 21077.13 21230.77
1995/12/31 21838.82 21639.68
1996/01/31 22668.82 22376.29
1996/02/29 23229.34 22583.72
1996/03/31 23940.77 22801.20
1996/04/30 25331.30 23137.29
1996/05/31 25805.59 23734.00
1996/06/30 25643.90 23824.43
1996/07/31 24253.37 22771.86
1996/08/31 25342.08 23252.12
1996/09/30 26420.01 24560.75
1996/10/31 27066.77 25238.14
1996/11/30 28424.95 27145.89
1996/12/31 28471.59 26608.13
1997/01/31 28932.85 28270.60
1997/02/28 27018.60 28492.25
1997/03/31 26315.17 27321.50
1997/04/30 26188.32 28952.59
1997/05/31 28575.37 30715.23
1997/06/30 28483.12 32091.27
1997/07/31 30166.74 34644.77
1997/08/31 30339.71 32703.97
1997/09/30 32518.42 34495.17
1997/10/31 30515.70 33343.03
1997/11/30 27973.80 34886.48
1997/12/31 28234.37 35485.48
1998/01/31 27459.15 35877.95
1998/02/28 28438.37 38465.47
1998/03/31 29676.01 40435.28
1998/04/30 30804.84 40842.06
1998/05/31 29227.20 40139.99
1998/06/30 28016.76 41770.47
1998/07/31 25759.10 41325.62
1998/08/31 20686.16 35350.76
1998/09/30 24800.32 37615.33
1998/10/31 24928.45 40674.96
1998/11/30 23960.36 43140.27
1998/12/31 23661.39 45626.01
1999/01/31 22095.35 47534.09
1999/02/28 21454.70 46056.73
1999/03/31 25882.31 47899.46
1999/04/30 30352.63 49754.61
1999/05/31 29256.41 48579.90
1999/06/30 30893.63 51276.09
1999/07/30 31292.25 49675.25
IMATRL PRASUN SHR__CHT 19990731 19990811 094107 R00000000000123

$10,000 OVER 10 YEARS: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Natural Resources - Class A on July 31,
1989, and the current 5.75% sales charge was paid. As the chart shows,
by July 31, 1999, the value of the investment would have grown to
$31,292 - a 212.92% increase on the initial investment. For
comparison, look at how the Standard & Poor's 500 Index did over the
same period. With dividends and capital gains, if any, reinvested, the
same $10,000 investment would have grown to $49,675 - a 396.75%
increase. (The Goldman Sachs Natural Resources Index does not extend
as far back as the fund's start date, and therefore cannot be used for
this comparison.)

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR NATURAL RESOURCES FUND - CLASS T
PERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR PAST 5 YEARS PAST 10 YEARS

FIDELITY ADV NATURAL - CL T 21.31% 78.51% 231.86%

FIDELITY ADV NATURAL - CL T 17.06% 72.26% 220.24%
(INCL. 3.50% SALES CHARGE)

S&P 500 20.20% 220.67% 396.75%

GS Natural Resources 22.86% n/a n/a

CUMULATIVE TOTAL RETURNS show Class T shares' performance in
percentage terms over a set period - in this case, one year, five
years or 10 years. You can compare Class T shares' returns to the
performance of both the Standard & Poor's 500 Index - a market
capitalization-weighted index of common stocks - and the Goldman Sachs
Natural Resources Index - a market capitalization-weighted index of 96
stocks designed to measure the performance of companies in the natural
resource sector. Issues in the index include extractive industries
including gold and precious metals mining along with other mineral
mining, energy companies providing oil and gas services, and owners
and operators of timber tracts and forestry services. These benchmarks
include reinvested dividends and capital gains, if any, and exclude
the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR PAST 5 YEARS PAST 10 YEARS

FIDELITY ADV NATURAL - CL T 21.31% 12.29% 12.74%

FIDELITY ADV NATURAL - CL T 17.06% 11.49% 12.34%
(INCL. 3.50% SALES CHARGE)

S&P 500 20.20% 26.25% 17.38%

GS Natural Resources 22.86% n/a n/a

AVERAGE ANNUAL RETURNS take Class T shares' cumulative return and show
you what would have happened if Class T shares had performed at a
constant rate each year.

$10,000 OVER 10 YEARS
FA NATURAL RESOURCES-CL T S&P 500
00166 SP001
1989/07/31 9650.00 10000.00
1989/08/31 9938.83 10196.00
1989/09/30 9672.22 10154.20
1989/10/31 9331.54 9918.62
1989/11/30 9746.28 10120.96
1989/12/31 10491.23 10363.86
1990/01/31 9829.47 9668.45
1990/02/28 10289.47 9793.17
1990/03/31 10483.16 10052.69
1990/04/30 9934.38 9801.37
1990/05/31 10943.16 10757.01
1990/06/30 10805.96 10683.86
1990/07/31 11338.59 10649.67
1990/08/31 11040.00 9686.94
1990/09/30 10692.98 9215.19
1990/10/31 9926.31 9175.56
1990/11/30 10087.72 9768.30
1990/12/31 9937.08 10040.84
1991/01/31 10264.95 10478.62
1991/02/28 11744.58 11227.84
1991/03/31 11467.15 11499.55
1991/04/30 11526.00 11527.15
1991/05/31 12080.86 12025.12
1991/06/30 11383.08 11474.37
1991/07/31 11761.40 12009.08
1991/08/31 12064.05 12293.69
1991/09/30 11593.26 12088.39
1991/10/31 11862.28 12250.37
1991/11/30 10903.88 11756.68
1991/12/31 11374.85 13101.65
1992/01/31 12081.25 12857.96
1992/02/29 12352.95 13025.11
1992/03/31 12045.03 12771.12
1992/04/30 12488.79 13146.59
1992/05/31 12823.88 13211.01
1992/06/30 12407.28 13014.17
1992/07/31 12905.39 13546.45
1992/08/31 12715.20 13268.74
1992/09/30 12841.99 13425.32
1992/10/31 12570.30 13472.30
1992/11/30 12733.31 13931.71
1992/12/31 12891.67 14103.07
1993/01/31 13304.93 14221.54
1993/02/28 13677.87 14414.95
1993/03/31 14585.02 14719.10
1993/04/30 15371.22 14362.90
1993/05/31 16127.18 14747.83
1993/06/30 16348.93 14790.60
1993/07/31 16127.18 14731.43
1993/08/31 17054.50 15289.75
1993/09/30 16963.78 15172.02
1993/10/31 17729.82 15486.08
1993/11/30 17064.58 15338.97
1993/12/31 17782.63 15524.57
1994/01/31 18863.86 16052.40
1994/02/28 18276.01 15617.38
1994/03/31 17152.79 14936.47
1994/04/30 17436.22 15127.65
1994/05/31 17667.16 15375.75
1994/06/30 17352.24 14999.04
1994/07/31 17940.09 15491.01
1994/08/31 18811.38 16126.14
1994/09/30 18716.90 15731.05
1994/10/31 18433.47 16085.00
1994/11/30 17226.27 15499.18
1994/12/31 17377.31 15729.04
1995/01/31 17035.95 16136.89
1995/02/28 17537.32 16765.74
1995/03/31 18518.73 17260.50
1995/04/30 19276.12 17768.82
1995/05/31 19542.81 18479.04
1995/06/30 20097.52 18908.31
1995/07/31 20940.25 19535.31
1995/08/31 21260.27 19584.34
1995/09/30 21441.62 20410.80
1995/10/31 20534.88 20337.94
1995/11/30 21580.30 21230.77
1995/12/31 22360.17 21639.68
1996/01/31 23209.99 22376.29
1996/02/29 23783.89 22583.72
1996/03/31 24512.31 22801.20
1996/04/30 25936.03 23137.29
1996/05/31 26421.64 23734.00
1996/06/30 26256.09 23824.43
1996/07/31 24832.37 22771.86
1996/08/31 25947.06 23252.12
1996/09/30 27061.76 24560.75
1996/10/31 27723.96 25238.14
1996/11/30 29125.61 27145.89
1996/12/31 29184.00 26608.13
1997/01/31 29653.95 28270.60
1997/02/28 27703.65 28492.25
1997/03/31 26975.22 27321.50
1997/04/30 26869.49 28952.59
1997/05/31 29313.23 30715.23
1997/06/30 29219.24 32091.27
1997/07/31 30946.32 34644.77
1997/08/31 31134.30 32703.97
1997/09/30 33364.49 34495.17
1997/10/31 31314.30 33343.03
1997/11/30 28689.54 34886.48
1997/12/31 28954.49 35485.48
1998/01/31 28153.27 35877.95
1998/02/28 29161.70 38465.47
1998/03/31 30432.61 40435.28
1998/04/30 31579.18 40842.06
1998/05/31 29962.93 40139.99
1998/06/30 28719.65 41770.47
1998/07/31 26398.87 41325.62
1998/08/31 21204.74 35350.76
1998/09/30 25406.02 37615.33
1998/10/31 25535.79 40674.96
1998/11/30 24540.89 43140.27
1998/12/31 24238.09 45626.01
1999/01/31 22623.18 47534.09
1999/02/28 21959.92 46056.73
1999/03/31 26487.44 47899.46
1999/04/30 31058.21 49754.61
1999/05/31 29933.54 48579.90
1999/06/30 31606.13 51276.09
1999/07/30 32024.28 49675.25
IMATRL PRASUN SHR__CHT 19990731 19990816 120355 R00000000000123

$10,000 OVER 10 YEARS: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Natural Resources - Class T on July 31,
1989, and the current 3.50% sales charge was paid. As the chart shows,
by July 31, 1999, the value of the investment would have grown to
$32,024 - a 220.24% increase on the initial investment. For
comparison, look at how the Standard & Poor's 500 Index did over the
same period. With dividends and capital gains, if any, reinvested, the
same $10,000 investment would have grown to $49,675 - a 396.75%
increase. (The Goldman Sachs Natural Resources Index does not extend
as far back as the fund's start date, and therefore cannot be used for
this comparison.)

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR NATURAL RESOURCES FUND - CLASS B
PERFORMANCE

PERFORMANCE

There are several ways to evaluate 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 dividend income and capital gains (the
profits earned upon the sale of securities that have grown in value).
The initial offering of Class B shares took place on July 3, 1995.
Class B shares bear a 1.00% 12b-1 fee. Returns prior to July 3, 1995
are those of Class T, the original class of the fund, and reflect
Class T shares' prior 0.65% 12b-1 fee. Had Class B shares' 12b-1 fee
been reflected, returns prior to July 3, 1995 would have been lower.
Class B shares' contingent deferred sales charge included in the past
one year, past five years and 10 years total return figures are 5%, 2%
and 0%, respectively. If Fidelity had not reimbursed certain class
expenses, the past five year and 10 year total returns would have been
lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR PAST 5 YEARS PAST 10 YEARS

FIDELITY ADV NATURAL - CL B 20.57% 74.17% 223.80%

FIDELITY ADV NATURAL - CL B 15.57% 72.17% 223.80%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 220.67% 396.75%

GS Natural Resources 22.86% n/a n/a

CUMULATIVE TOTAL RETURNS show Class B shares' performance in
percentage terms over a set period - in this case, one year, five
years or 10 years. You can compare Class B shares' returns to the
performance of both the Standard & Poor's 500 Index - a market
capitalization-weighted index of common stocks - and the Goldman Sachs
Natural Resources Index - a market capitalization-weighted index of 96
stocks designed to measure the performance of companies in the natural
resource sector. Issues in the index include extractive industries
including gold and precious metals mining along with other mineral
mining, energy companies providing oil and gas services, and owners
and operators of timber tracts and forestry services. These benchmarks
include reinvested dividends and capital gains, if any, and exclude
the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR PAST 5 YEARS PAST 10 YEARS

FIDELITY ADV NATURAL - CL B 20.57% 11.74% 12.47%

FIDELITY ADV NATURAL - CL B 15.57% 11.48% 12.47%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 26.25% 17.38%

GS Natural Resources 22.86% n/a n/a

AVERAGE ANNUAL RETURNS take Class B shares' cumulative return and show
you what would have happened if Class B shares had performed at a
constant rate each year.

$10,000 OVER 10 YEARS
FA NATURAL RESOURCES-CL B S&P 500
00656 SP001
1989/07/31 10000.00 10000.00
1989/08/31 10299.31 10196.00
1989/09/30 10023.02 10154.20
1989/10/31 9669.99 9918.62
1989/11/30 10099.77 10120.96
1989/12/31 10871.74 10363.86
1990/01/31 10185.98 9668.45
1990/02/28 10662.66 9793.17
1990/03/31 10863.37 10052.69
1990/04/30 10294.70 9801.37
1990/05/31 11340.06 10757.01
1990/06/30 11197.89 10683.86
1990/07/31 11749.84 10649.67
1990/08/31 11440.41 9686.94
1990/09/30 11080.81 9215.19
1990/10/31 10286.34 9175.56
1990/11/30 10453.59 9768.30
1990/12/31 10297.49 10040.84
1991/01/31 10637.26 10478.62
1991/02/28 12170.55 11227.84
1991/03/31 11883.06 11499.55
1991/04/30 11944.04 11527.15
1991/05/31 12519.03 12025.12
1991/06/30 11795.94 11474.37
1991/07/31 12187.98 12009.08
1991/08/31 12501.61 12293.69
1991/09/30 12013.74 12088.39
1991/10/31 12292.52 12250.37
1991/11/30 11299.36 11756.68
1991/12/31 11787.41 13101.65
1992/01/31 12519.43 12857.96
1992/02/29 12800.98 13025.11
1992/03/31 12481.89 12771.12
1992/04/30 12941.75 13146.59
1992/05/31 13288.99 13211.01
1992/06/30 12857.29 13014.17
1992/07/31 13373.46 13546.45
1992/08/31 13176.37 13268.74
1992/09/30 13307.76 13425.32
1992/10/31 13026.22 13472.30
1992/11/30 13195.14 13931.71
1992/12/31 13359.24 14103.07
1993/01/31 13787.49 14221.54
1993/02/28 14173.96 14414.95
1993/03/31 15114.01 14719.10
1993/04/30 15928.73 14362.90
1993/05/31 16712.11 14747.83
1993/06/30 16941.90 14790.60
1993/07/31 16712.11 14731.43
1993/08/31 17673.05 15289.75
1993/09/30 17579.05 15172.02
1993/10/31 18372.87 15486.08
1993/11/30 17683.50 15338.97
1993/12/31 18427.60 15524.57
1994/01/31 19548.05 16052.40
1994/02/28 18938.87 15617.38
1994/03/31 17774.91 14936.47
1994/04/30 18068.62 15127.65
1994/05/31 18307.94 15375.75
1994/06/30 17981.59 14999.04
1994/07/31 18590.77 15491.01
1994/08/31 19493.66 16126.14
1994/09/30 19395.75 15731.05
1994/10/31 19102.04 16085.00
1994/11/30 17851.05 15499.18
1994/12/31 18007.58 15729.04
1995/01/31 17653.84 16136.89
1995/02/28 18173.39 16765.74
1995/03/31 19190.40 17260.50
1995/04/30 19975.26 17768.82
1995/05/31 20251.62 18479.04
1995/06/30 20826.44 18908.31
1995/07/31 21688.68 19535.31
1995/08/31 22020.32 19584.34
1995/09/30 22186.13 20410.80
1995/10/31 21257.56 20337.94
1995/11/30 22318.78 21230.77
1995/12/31 23092.65 21639.68
1996/01/31 23973.35 22376.29
1996/02/29 24545.24 22583.72
1996/03/31 25277.25 22801.20
1996/04/30 26718.39 23137.29
1996/05/31 27198.77 23734.00
1996/06/30 27004.33 23824.43
1996/07/31 25528.87 22771.86
1996/08/31 26649.77 23252.12
1996/09/30 27782.10 24560.75
1996/10/31 28456.92 25238.14
1996/11/30 29886.63 27145.89
1996/12/31 29935.66 26608.13
1997/01/31 30398.27 28270.60
1997/02/28 28389.58 28492.25
1997/03/31 27634.79 27321.50
1997/04/30 27500.88 28952.59
1997/05/31 29996.53 30715.23
1997/06/30 29886.97 32091.27
1997/07/31 31640.01 34644.77
1997/08/31 31810.45 32703.97
1997/09/30 34079.18 34495.17
1997/10/31 31970.36 33343.03
1997/11/30 29280.25 34886.48
1997/12/31 29540.13 35485.48
1998/01/31 28712.04 35877.95
1998/02/28 29725.74 38465.47
1998/03/31 31010.71 40435.28
1998/04/30 32167.19 40842.06
1998/05/31 30511.00 40139.99
1998/06/30 29226.03 41770.47
1998/07/31 26855.96 41325.62
1998/08/31 21544.74 35350.76
1998/09/30 25823.64 37615.33
1998/10/31 25942.58 40674.96
1998/11/30 24916.77 43140.27
1998/12/31 24589.70 45626.01
1999/01/31 22939.48 47534.09
1999/02/28 22270.48 46056.73
1999/03/31 26849.45 47899.46
1999/04/30 31443.30 49754.61
1999/05/31 30313.42 48579.90
1999/06/30 31993.37 51276.09
1999/07/30 32379.91 49675.25
IMATRL PRASUN SHR__CHT 19990731 19990811 094106 R00000000000123

$10,000 OVER 10 YEARS: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Natural Resources - Class B on July 31,
1989. As the chart shows, by July 31, 1999, the value of the
investment, including the effect of the contingent deferred sales
charge, would have grown to $32,380 - a 223.80% increase on the
initial investment. For comparison, look at how the Standard & Poor's
500 Index did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 investment would have grown to
$49,675 - a 396.75% increase. (The Goldman Sachs Natural Resources
Index does not extend as far back as the fund's start date, and
therefore cannot be used for this comparison.)

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR NATURAL RESOURCES FUND - CLASS C
PERFORMANCE

PERFORMANCE

There are several ways to evaluate 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 dividend income and capital gains (the
profits earned upon the sale of securities that have grown in value).
The initial offering of Class C shares took place on November 3, 1997.
Class C shares bear a 1.00% 12b-1 fee. Returns between July 3, 1995
and November 3, 1997 are those of Class B shares and reflect Class B
shares' 1.00% 12b-1 fee. Returns prior to July 3, 1995 are those of
Class T, the original class of the fund, and reflect Class T shares'
prior 0.65% 12b-1 fee. Had Class C shares' 12b-1 fee been reflected,
returns prior to July 3, 1995 would have been lower. Class C shares'
contingent deferred sales charge included in the past one year, past
five year and past 10 year total return figures are 1%, 0% and 0%,
respectively. If Fidelity had not reimbursed certain class expenses,
the past five year and 10 year total returns would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR PAST 5 YEAR PAST 10 YEARS

FIDELITY ADV NATURAL - CL C 20.72% 73.77% 223.05%

FIDELITY ADV NATURAL - CL C 19.72% 73.77% 223.05%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 220.67% 396.75%

GS Natural Resources 22.86% n/a n/a

CUMULATIVE TOTAL RETURNS show Class C shares' performance in
percentage terms over a set period - in this case, one year, five
years or 10 years. You can compare Class C shares' returns to the
performance of both the Standard & Poor's 500 Index - a market
capitalization-weighted index of common stocks - and the Goldman Sachs
Natural Resources Index - a market capitalization-weighted index of 96
stocks designed to measure the performance of companies in the natural
resource sector. Issues in the index include extractive industries
including gold and precious metals mining along with other mineral
mining, energy companies providing oil and gas services, and owners
and operators of timber tracts and forestry services. These benchmarks
include reinvested dividends and capital gains, if any, and exclude
the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR PAST 5 YEARS PAST 10 YEARS

FIDELITY ADV NATURAL - CL C 20.72% 11.68% 12.44%

FIDELITY ADV NATURAL - CL C 19.72% 11.68% 12.44%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 26.25% 17.38%

GS Natural Resources 22.86% n/a n/a

AVERAGE ANNUAL RETURNS take Class C shares' cumulative return and show
you what would have happened if Class C shares had performed at a
constant rate each year.

$10,000 OVER 10 YEARS
FA NATURAL RESOURCES-CL C S&P 500
00528 SP001
1989/07/31 10000.00 10000.00
1989/08/31 10299.31 10196.00
1989/09/30 10023.02 10154.20
1989/10/31 9669.99 9918.62
1989/11/30 10099.77 10120.96
1989/12/31 10871.74 10363.86
1990/01/31 10185.98 9668.45
1990/02/28 10662.66 9793.17
1990/03/31 10863.37 10052.69
1990/04/30 10294.70 9801.37
1990/05/31 11340.06 10757.01
1990/06/30 11197.89 10683.86
1990/07/31 11749.84 10649.67
1990/08/31 11440.41 9686.94
1990/09/30 11080.81 9215.19
1990/10/31 10286.34 9175.56
1990/11/30 10453.59 9768.30
1990/12/31 10297.49 10040.84
1991/01/31 10637.26 10478.62
1991/02/28 12170.55 11227.84
1991/03/31 11883.06 11499.55
1991/04/30 11944.04 11527.15
1991/05/31 12519.03 12025.12
1991/06/30 11795.94 11474.37
1991/07/31 12187.98 12009.08
1991/08/31 12501.61 12293.69
1991/09/30 12013.74 12088.39
1991/10/31 12292.52 12250.37
1991/11/30 11299.36 11756.68
1991/12/31 11787.41 13101.65
1992/01/31 12519.43 12857.96
1992/02/29 12800.98 13025.11
1992/03/31 12481.89 12771.12
1992/04/30 12941.75 13146.59
1992/05/31 13288.99 13211.01
1992/06/30 12857.29 13014.17
1992/07/31 13373.46 13546.45
1992/08/31 13176.37 13268.74
1992/09/30 13307.76 13425.32
1992/10/31 13026.22 13472.30
1992/11/30 13195.14 13931.71
1992/12/31 13359.24 14103.07
1993/01/31 13787.49 14221.54
1993/02/28 14173.96 14414.95
1993/03/31 15114.01 14719.10
1993/04/30 15928.73 14362.90
1993/05/31 16712.11 14747.83
1993/06/30 16941.90 14790.60
1993/07/31 16712.11 14731.43
1993/08/31 17673.05 15289.75
1993/09/30 17579.05 15172.02
1993/10/31 18372.87 15486.08
1993/11/30 17683.50 15338.97
1993/12/31 18427.60 15524.57
1994/01/31 19548.05 16052.40
1994/02/28 18938.87 15617.38
1994/03/31 17774.91 14936.47
1994/04/30 18068.62 15127.65
1994/05/31 18307.94 15375.75
1994/06/30 17981.59 14999.04
1994/07/31 18590.77 15491.01
1994/08/31 19493.66 16126.14
1994/09/30 19395.75 15731.05
1994/10/31 19102.04 16085.00
1994/11/30 17851.05 15499.18
1994/12/31 18007.58 15729.04
1995/01/31 17653.84 16136.89
1995/02/28 18173.39 16765.74
1995/03/31 19190.40 17260.50
1995/04/30 19975.26 17768.82
1995/05/31 20251.62 18479.04
1995/06/30 20826.44 18908.31
1995/07/31 21688.68 19535.31
1995/08/31 22020.32 19584.34
1995/09/30 22186.13 20410.80
1995/10/31 21257.56 20337.94
1995/11/30 22318.78 21230.77
1995/12/31 23092.65 21639.68
1996/01/31 23973.35 22376.29
1996/02/29 24545.24 22583.72
1996/03/31 25277.25 22801.20
1996/04/30 26718.39 23137.29
1996/05/31 27198.77 23734.00
1996/06/30 27004.33 23824.43
1996/07/31 25528.87 22771.86
1996/08/31 26649.77 23252.12
1996/09/30 27782.10 24560.75
1996/10/31 28456.92 25238.14
1996/11/30 29886.63 27145.89
1996/12/31 29935.66 26608.13
1997/01/31 30398.27 28270.60
1997/02/28 28389.58 28492.25
1997/03/31 27634.79 27321.50
1997/04/30 27500.88 28952.59
1997/05/31 29996.53 30715.23
1997/06/30 29886.97 32091.27
1997/07/31 31640.01 34644.77
1997/08/31 31810.45 32703.97
1997/09/30 34079.18 34495.17
1997/10/31 31970.36 33343.03
1997/11/30 29270.81 34886.48
1997/12/31 29527.29 35485.48
1998/01/31 28708.66 35877.95
1998/02/28 29696.66 38465.47
1998/03/31 30966.96 40435.28
1998/04/30 32110.22 40842.06
1998/05/31 30444.73 40139.99
1998/06/30 29146.20 41770.47
1998/07/31 26760.87 41325.62
1998/08/31 21482.09 35350.76
1998/09/30 25746.58 37615.33
1998/10/31 25864.48 40674.96
1998/11/30 24847.58 43140.27
1998/12/31 24523.36 45626.01
1999/01/31 22872.75 47534.09
1999/02/28 22209.55 46056.73
1999/03/31 26763.47 47899.46
1999/04/30 31376.34 49754.61
1999/05/31 30226.81 48579.90
1999/06/30 31906.89 51276.09
1999/07/30 32304.81 49675.25
IMATRL PRASUN SHR__CHT 19990731 19990816 115653 R00000000000123

$10,000 OVER 10 YEARS: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Natural Resources - Class C on July 31,
1989. As the chart shows, by July 31, 1999, the value of the
investment would have grown to $32,305 - a 223.05% increase on the
initial investment. For comparison, look at how the Standard & Poor's
500 Index did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 investment would have grown to
$49,675 - a 396.75% increase. (The Goldman Sachs Natural Resources
Index does not extend as far back as the fund's start date, and
therefore cannot be used for this comparison.)

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR NATURAL RESOURCES FUND
FUND TALK: THE MANAGERS' OVERVIEW

(photograph of Larry Rakers)(photograph of Scott Offen)

NOTE TO SHAREHOLDERS: On September 1, 1999, after the period covered
by this report, Scott Offen (right) became Portfolio Manager of
Fidelity Advisor Natural Resources Fund. The following is an interview
with Larry Rakers, who managed the fund during the period covered by
this report, with comments from Scott Offen on his outlook.

Q. HOW DID THE FUND PERFORM, LARRY?

L.R. The fund experienced a dramatic recovery since I wrote to
shareholders six months ago. For the 12 months that ended July 31,
1999, the fund's Class A, Class T, Class B and Class C shares
returned 21.48%, 21.31%, 20.57% and 20.72%. In comparison, the fund
slightly lagged the Goldman Sachs Natural Resources Index - an index
of 96 stocks designed to measure the performance of companies in the
natural resources sector - which returned 22.86%. During the same
period, the Standard & Poor's 500 Index returned 20.20%.

Q. WHAT FACTORS CAUSED THE FUND TO LAG THE GOLDMAN SACHS INDEX?

L.R. In hindsight, I was a bit early in my prediction that oil prices
and commodity prices were poised to rebound. While the fund's more
aggressive strategy worked well later in the period as oil prices
rebounded, the fund underperformed during the first six months of the
12-month period because I allocated a larger percentage of assets to
smaller integrated oil companies, energy services companies and
drillers. These companies are more sensitive to oil prices, which were
still declining in the second half of 1998.

Q. WHAT SPARKED THE DRAMATIC RALLY IN NATURAL RESOURCES STOCKS IN
1999?

L.R. There were a number of factors at work. First and foremost, we
saw the price of oil rebound from a 12-year low of under $11 a barrel
in December 1998 to approximately $20 a barrel toward the end of the
period. Much of this increase was due to a favorable supply and demand
equation. On the supply side, OPEC announced a significant production
cutback in March. In addition, the remainder of the oil industry had
significantly cut back on exploration and production efforts as the
price of oil continued to slide last year. On the demand side, we
experienced a rebound in Asia and stable global demand. This was just
enough to create a squeeze on supply and set the stage for a recovery
in most commodity prices.

Q. DID YOU MAKE ANY CHANGES TO THE FUND'S STRATEGY TO TAKE ADVANTAGE
OF THE RECOVERY IN OIL PRICES AND TO PROTECT THE FUND'S GAINS?

L.R. The fund was positioned very aggressively to take advantage of
increasing oil prices toward the beginning of the year. Since then, I
made some minor adjustments to the portfolio; however, I didn't make
significant changes to the fund's strategy because I believed many of
the stocks in the sector had not fully priced in the increase in oil
prices. As a result, even if energy prices remain stable, these stocks
could have room to grow. While the fund's allocation of energy
services and integrated oil companies remained steady, I looked more
closely at oil refineries and natural gas companies, which appear to
be undervalued given the favorable supply and demand outlook.

Q. WHICH STOCKS PERFORMED WELL FOR THE FUND?

L.R. Mobil, the fund's largest holding, continued to perform well due
to cost-cutting benefits and its merger with Exxon. Halliburton, one
of the fund's top holdings, was also one of the fund's top
contributors. This leading oil services company benefited from the
recovery in oil prices and the group's sensitivity to the price swings
of oil. Baker Hughes was another energy services company that rallied
alongside Halliburton as investors anticipated a pickup in exploration
and production. In the metals and mining group, Alcoa was a key
contributor. Shares of Alcoa rallied dramatically as global demand for
commodities improved, and aluminum was one of the hottest commodities.

Q. WHICH STOCKS HURT FUND PERFORMANCE?

L.R. Greenstone Resources was a disappointment for the fund. This gold
mining company ran into some operational problems and a deteriorating
business outlook. Another detractor was Tosco, the fifth-largest U.S.
petroleum refinery. Shares of Tosco declined along with most of the
refinery group due to a glut of refined products and excess supply of
gasoline.

Q. SCOTT, WHAT'S YOUR OUTLOOK FOR THE COMING MONTHS?

S.O. While it is difficult to predict the strength of the global
economy, my feeling is that worldwide economic activity will remain
steady; there are a number of overseas economies recovering from
recessions, Asia seems to be turning the corner to recovery and Europe
looks steady. While U.S. economic growth is in question due to
potentially higher domestic interest rates, I don't think it will lead
to a global slowdown. Since commodity prices are heavily dependent
upon global demand, I'm fairly optimistic about the outlook for
natural resources stocks.

(checkmark)FUND FACTS

START DATE: December 29, 1987

SIZE: as of July 31, 1999, more than $352
million

MANAGER: Scott Offen, since September 1999;
joined Fidelity in 1985

ADVISOR NATURAL RESOURCES FUND

INVESTMENT SUMMARY

TOP TEN STOCKS AS OF JULY 31,
1999

% OF FUND'S INVESTMENTS

Mobil Corp. 8.3

USX-Marathon Group 6.0

Schlumberger Ltd. 4.5

Halliburton Co. 4.2

Alcoa, Inc. 3.7

Chevron Corp. 3.4

Texaco, Inc. 3.4

Amerada Hess Corp. 3.1

Exxon Corp. 3.1

Baker Hughes, Inc. 2.3

TOP INDUSTRIES AS OF JULY 31,
1999

% OF FUND'S INVESTMENTS

Oil & Gas 56.9%

Energy Services 24.4%

Metals & Mining 7.4%

Gas 3.4%

Precious Metals 3.1%

All Others* 4.8%

Row: 1, Col: 1, Value: 56.9
Row: 1, Col: 2, Value: 0.0
Row: 1, Col: 3, Value: 24.4
Row: 1, Col: 4, Value: 7.4
Row: 1, Col: 5, Value: 3.4
Row: 1, Col: 6, Value: 3.1
Row: 1, Col: 7, Value: 0.0
Row: 1, Col: 8, Value: 4.6

* INCLUDES SHORT-TERM
INVESTMENTS

ADVISOR NATURAL RESOURCES FUND

INVESTMENTS JULY 31, 1999

Showing Percentage of Total Value of Investment in Securities

COMMON STOCKS - 96.7%

SHARES VALUE (NOTE 1)

AUTOS, TIRES, & ACCESSORIES -
0.3%

Barrett Resources Corp. (a) 22,000 $ 884,125

CHEMICALS & PLASTICS - 1.0%

E.I. du Pont de Nemours and 50,000 3,603,125
Co.

ELECTRIC UTILITY - 0.2%

Calpine Corp. (a) 7,500 563,906

Illinova Corp. 9,300 305,738

869,644

ENERGY SERVICES - 24.4%

Baker Hughes, Inc. 234,650 8,168,753

BJ Services Co. (a) 240,000 7,335,000

Bonus Resource Services Corp. 185,000 399,157
(a)

ENSCO International, Inc. 325,000 6,642,188

Global Marine, Inc. (a) 159,600 2,673,300

Halliburton Co. 319,900 14,755,388

Helmerich & Payne, Inc. 109,400 2,796,538

Lone Star Technologies, Inc. 5,000 85,000
(a)

Marine Drilling Companies, 173,650 2,593,897
Inc. (a)

McDermott International, Inc. 40,000 1,127,500

Nabors Industries, Inc. (a) 150,000 3,496,875

Noble Drilling Corp. (a) 280,000 6,352,500

Precision Drilling Corp. 40,000 914,824
Class A (a)

Rowan Companies, Inc. (a) 40,000 752,500

Santa Fe International Corp. 73,200 1,528,050

Schlumberger Ltd. 265,500 16,079,344

Smith International, Inc. (a) 120,500 5,226,688

Tesco Corp. (a) 15,000 105,557

Tidewater, Inc. 40,000 1,322,500

Tuboscope, Inc. (a) 189,500 2,842,500

Unit Corp. (a) 60,000 468,750

UTI Energy Corp. (a) 65,000 1,080,625

86,747,434

GAS - 3.4%

Dynegy, Inc. 114,400 2,745,600

K N Energy, Inc. 225,000 4,387,500

Ocean Energy, Inc. (a) 437,200 4,836,525

11,969,625

METALS & MINING - 7.4%

Alcan Aluminium Ltd. 20,000 602,802

Alcoa, Inc. 221,800 13,280,275

Breakwater Resources Ltd. (a) 725,500 1,550,893

Cameco Corp. 700 12,547

Camphor Ventures, Inc. (a)(d) 585,900 369,518

Columbia Metals Ltd. (a) 526,300 97,832

Cominco Ltd. 62,000 1,029,011

Cyprus Amax Minerals Co. 110,700 1,452,938

Freeport-McMoRan Copper & 99,000 1,571,625
Gold, Inc.

SHARES VALUE (NOTE 1)

Freeport-McMoRan Copper & 55,000 $ 928,125
Gold, Inc. Class B

Inco Ltd. 94,700 1,669,179

Phelps Dodge Corp. 10,000 593,125

Reynolds Metals Co. 48,000 2,718,000

Rio Algom Ltd. 29,800 445,130

26,321,000

OIL & GAS - 56.9%

Alberta Energy Co. Ltd. 85,700 2,631,365

Amerada Hess Corp. 183,900 10,884,581

Anadarko Petroleum Corp. 111,500 4,257,906

Apache Corp. 115,000 4,880,313

Atlantic Richfield Co. 34,000 3,062,125

Basin Exploration, Inc. (a) 65,000 1,365,000

Bellator Exploration, Inc. (a) 287,000 314,380

Benton Oil & Gas Co. (a) 150,000 412,500

British-Borneo Oil & Gas PLC 405,400 1,493,119

Cabot Oil & Gas Corp. Class A 35,000 632,188

Canada Occidental Petroleum 116,800 2,202,164
Ltd.

Canadian Hunter Exploration 71,200 1,148,616
Ltd.

Canadian Natural Resources 74,700 1,579,496
Ltd. (a)

Chevron Corp. 133,200 12,154,500

Compagnie Generale de 35,000 389,375
Geophysique SA sponsored ADR
(a)

Comstock Resources, Inc. (a) 50,000 225,000

Cooper Cameron Corp. (a) 22,200 804,750

Crestar Energy, Inc. (a) 132,100 1,745,197

EEX Corp. (a) 75,000 375,000

Elf Aquitaine SA sponsored ADR 22,100 1,890,931

Encal Energy Ltd. (a) 70,000 355,507

Enron Oil & Gas Co. 49,500 1,058,063

Ensign Resource Service 25,000 568,446
Group, Inc.

Exxon Corp. 136,900 10,866,438

Forest Oil Corp. (a) 20,000 297,500

Frontier Oil Corp. (a) 901,100 5,913,469

Gulf Canada Resources Ltd. (a) 163,400 667,138

Gulfstream Resources Canada 50,000 96,926
Ltd.

Imperial Oil Ltd. 70,000 1,398,792

Kerr-McGee Corp. 123,630 6,366,945

Louis Dreyfus Natural Gas 99,500 1,902,938
Corp. (a)

Magnum Hunter Resources, Inc. 213,800 761,663

Magnum Hunter Resources, Inc. 44,566 22,283
warrants 7/1/02 (a)

Mobil Corp. 289,100 29,560,465

Murphy Oil Corp. 20,500 1,014,750

Newport Petroleum Corp. (a) 115,000 366,461

Noble Affiliates, Inc. 20,000 585,000

Novus Petroleum Ltd. (a) 500,000 575,914

Nuevo Energy Co. (a) 160,000 2,510,000

Penn West Petroleum Ltd. (a) 37,800 715,196

Pennaco Energy, Inc. (a) 25,000 289,063

Petro-Canada 250,000 3,684,525

COMMON STOCKS - CONTINUED

SHARES VALUE (NOTE 1)

OIL & GAS - CONTINUED

Petroleum Geo-Services ASA 17,000 $ 340,000
sponsored ADR (a)

Pioneer Natural Resources Co. 220,000 2,557,500

Plains Resources, Inc. (a) 215,200 4,075,350

Pogo Producing Co. 30,000 571,875

Premier Oil PLC (a) 2,250,000 775,758

Prima Energy Corp. (a) 15,000 367,500

Range Resources Corp. 120,000 757,500

Ranger Oil Ltd. (a) 90,000 385,381

Remington Oil & Gas Corp. (a) 79,200 400,950

Rio Alto Exploration Ltd. (a) 114,300 1,885,650

Santa Fe Snyder Corp. (a) 475,435 4,397,774

Shell Transport & Trading Co. 188,800 1,520,232
PLC (Reg.)

St. Mary Land & Exploration 24,300 640,913
Co.

Suncor Energy, Inc. 93,400 3,807,183

Sunoco, Inc. 110,000 3,355,000

Swift Energy Co. (a) 95,000 991,563

Talisman Energy, Inc. (a) 89,100 2,635,202

Texaco, Inc. 193,800 12,076,163

Titan Exploration, Inc. (a) 121,300 629,244

Tom Brown, Inc. (a) 10,000 152,500

Tosco Corp. 115,000 3,033,125

Ulster Petroleums Ltd. (a) 88,100 900,710

Ultramar Diamond Shamrock 39,000 921,375
Corp.

Union Pacific Resources 149,000 2,654,063
Group, Inc.

Upton Resources, Inc. (a) 155,000 288,123

USX-Marathon Group 705,000 21,414,375

Valero Energy Corp. 55,000 1,175,625

Vastar Resources, Inc. 2,500 163,438

Vintage Petroleum, Inc. 259,700 3,083,938

Weatherford International, 95,600 3,746,325
Inc. (a)

Wiser Oil Co. 45,000 132,188

201,862,511

PRECIOUS METALS - 3.1%

Agnico-Eagle Mines Ltd. 20,000 107,548

Greenstone Resources Ltd. (a) 266,395 24,760

Greenstone Resources Ltd. 50,700 1,683
warrants 2/28/02 (a)

Meridian Gold, Inc. (a) 594,800 2,744,380

Mountain Province Mining, 194,700 420,086
Inc. (a)

Newmont Mining Corp. 40,000 740,000

Pan American Silver Corp. (a) 59,600 336,321

Placer Dome, Inc. 319,910 3,281,292

Repadre Capital Corp. (a) 38,500 61,342

Stillwater Mining Co. (a) 140,900 3,187,863

TVI Pacific, Inc. (a)(c) 999,200 36,484

William Resources, Inc. 1,029,000 7
warrants 2/15/03 (a)(c)

10,941,766

SHARES VALUE (NOTE 1)

RETAIL & WHOLESALE,
MISCELLANEOUS - 0.0%

Newpark Resources, Inc. (a) 15,000 $ 142,500

TOTAL COMMON STOCKS 343,341,730
(Cost $291,924,788)

CASH EQUIVALENTS - 3.3%

Taxable Central Cash Fund (b) 11,707,060 11,707,060
(Cost $11,707,060)

TOTAL INVESTMENT IN $ 355,048,790
SECURITIES - 100%
(Cost $303,631,848)

LEGEND

(a) Non-income producing

(c) Security exempt from registration under Rule 144A of the
Securities Act of 1933. These securities may be resold in
transactions exempt from registration, normally to qualified
institutional buyers. At the period end, the value of these securities
amounted to $36,491 or 0.0% of net assets.

(d) Affiliated company

Distribution of investments by country of issue, as a percentage of
total value of investments in securities, is as follows:

United States of America 82.0%

Canada 11.6

Netherlands Antilles 4.5

United Kingdom 1.0

Others (individually less 0.9
than 1%)

100.0%

INCOME TAX INFORMATION

At July 31, 1999, the aggregate cost of investment securities for
income tax purposes was $307,095,906. Net unrealized appreciation
aggregated $47,952,884, of which $58,251,704 related to appreciated
investment securities and $10,298,820 related to depreciated
investment securities.

The fund hereby designates approximately $12,754,000 as a capital gain
dividend for the purpose of the dividend paid deduction.

At July 31, 1999, the fund had a capital loss carryforward of
approximately $21,051,000, all of which will expire on July 31, 2007.

The fund intends to elect to defer to its fiscal year ending July 31,
2000 approximately $26,387,000 of losses recognized during the period
November 1, 1998 to July 31, 1999.

A total of 100% of Class A's, Class T's, Class B's, Class C's and
Institutional Class' dividend distributions during the fiscal year
qualifies for the dividend-received deduction for corporate
shareholders (unaudited).

The fund will notify shareholders in January 2000 of applicable
percentages for use in preparing 1999 income tax returns.

ADVISOR NATURAL RESOURCES FUND
FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
JULY 31, 1999

ASSETS

Investment in securities, at $ 355,048,790
value (cost $303,631,848) -
See accompanying schedule

Cash 56,953

Receivable for investments 2,966,422
sold

Receivable for fund shares 406,945
sold

Dividends receivable 451,905

Interest receivable 47,615

Other receivables 11,077

TOTAL ASSETS 358,989,707

LIABILITIES

Payable for investments $ 5,255,644
purchased

Payable for fund shares 1,013,452
redeemed

Accrued management fee 171,680

Distribution fees payable 167,835

Other payables and accrued 104,343
expenses

TOTAL LIABILITIES 6,712,954

NET ASSETS $ 352,276,753

Net Assets consist of:

Paid in capital $ 351,815,433

Undistributed net investment 28,075
income

Accumulated undistributed net (50,983,594)
realized gain (loss) on
investments and foreign
currency transactions

Net unrealized appreciation 51,416,839
(depreciation) on
investments and assets and
liabilities in foreign
currencies

NET ASSETS $ 352,276,753

CALCULATION OF MAXIMUM $21.98
OFFERING PRICE CLASS A:
NET ASSET VALUE and
redemption price per
share ($7,800,611 (divided
by) 354,899 shares)

Maximum offering price per $23.32
share (100/94.25 of
$21.98)

CLASS T: NET ASSET VALUE $22.21
and redemption price per
share ($283,419,019 (divided
by) 12,763,495 shares)

Maximum offering price per $23.02
share (100/96.50 of
$22.21)

CLASS B: NET ASSET VALUE $21.78
and offering price per
share ($47,791,691 (divided
by) 2,193,931 shares) A

CLASS C: NET ASSET VALUE $21.92
and offering price per
share ($8,760,716 (divided
by) 399,724 shares) A

INSTITUTIONAL CLASS: NET $22.28
ASSET VALUE, offering price
and redemption price per
share ($4,504,716
(divided by) 202,223 shares)

A REDEMPTION PRICE PER SHARE IS EQUAL TO NET ASSET VALUE LESS ANY
APPLICABLE CONTINGENT DEFERRED SALES CHARGE.

STATEMENT OF OPERATIONS
YEAR ENDED JULY 31, 1999

INVESTMENT INCOME $ 4,628,593
Dividends

Interest 663,691

TOTAL INCOME 5,292,284

EXPENSES

Management fee $ 1,929,614

Transfer agent fees 874,663

Distribution fees 1,837,461

Accounting fees and expenses 192,837

Non-interested trustees' 1,371
compensation

Custodian fees and expenses 58,829

Registration fees 74,086

Audit 12,620

Legal 3,524

Miscellaneous 3,207

Total expenses before 4,988,212
reductions

Expense reductions (159,813) 4,828,399

NET INVESTMENT INCOME 463,885

REALIZED AND UNREALIZED GAIN
(LOSS)
Net realized gain (loss) on:

Investment securities (50,830,752)
(including realized loss
of $2,307,089 on sales of
investments in affiliated
issuers)

Foreign currency transactions (458,742) (51,289,494)

Change in net unrealized
appreciation (depreciation)
on:

Investment securities 105,699,867

Assets and liabilities in (21,272) 105,678,595
foreign currencies

NET GAIN (LOSS) 54,389,101

NET INCREASE (DECREASE) IN $ 54,852,986
NET ASSETS RESULTING FROM
OPERATIONS

<TABLE>
<CAPTION>
<S> <C> <C>
STATEMENT OF CHANGES IN NET ASSETS

INCREASE (DECREASE) IN NET YEAR ENDED JULY 31, 1999 YEAR ENDED JULY 31, 1998
ASSETS

Operations Net investment $ 463,885 $ 337,282
income

Net realized gain (loss) (51,289,494) 53,995,953

Change in net unrealized 105,678,595 (134,840,866)
appreciation (depreciation)

NET INCREASE (DECREASE) IN 54,852,986 (80,507,631)
NET ASSETS RESULTING FROM
OPERATIONS

Distributions to shareholders (178,918) (30,726)
From net investment income

From net realized gain (13,935,776) (102,298,827)

TOTAL DISTRIBUTIONS (14,114,694) (102,329,553)

Share transactions - net (88,632,291) (110,795,873)
increase (decrease)

Redemption fees 104,288 157,401

TOTAL INCREASE (DECREASE) (47,789,711) (293,475,656)
IN NET ASSETS

NET ASSETS

Beginning of period 400,066,464 693,542,120

End of period (including $ 352,276,753 $ 400,066,464
undistributed net investment
income of $28,075 and
$259,207, respectively)

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS - CLASS A

YEARS ENDED JULY 31, 1999 1998 1997 E 1996 F

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 18.94 $ 26.16 $ 25.11 $ 23.65
period

Income from Investment
Operations

Net investment income (loss) D .07 .06 (.05) (.00)

Net realized and unrealized 3.71 (3.33) 2.81 1.46
gain (loss)

Total from investment 3.78 (3.27) 2.76 1.46
operations

Less Distributions

From net investment income (.04) I - (.10) -

In excess of net investment - - (.04) -
income

From net realized gain (.71) I (3.96) (1.57) -

Total distributions (.75) (3.96) (1.71) -

Redemption fees added to paid .01 .01 - -
in capital

Net asset value, end of period $ 21.98 $ 18.94 $ 26.16 $ 25.11

TOTAL RETURN B, C 21.48% (14.61)% 11.45% 6.17%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 7,801 $ 6,474 $ 6,372 $ 1,609
(000 omitted)

Ratio of expenses to average 1.28% 1.34% 1.71% A, G 1.66% A, G
net assets

Ratio of expenses to average 1.23% H 1.30% H 1.68% A, H 1.58% A, H
net assets after expense
reductions

Ratio of net investment .38% .28% (.28)% A (.01)% A
income (loss) to average net
assets

Portfolio turnover 99% 97% 116% A 137%

</TABLE>

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE ONE TIME SALES
CHARGE AND FOR PERIODS OF
LESS THAN ONE YEAR ARE NOT
ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E NINE MONTHS ENDED JULY 31,
1997.
F FOR THE PERIOD SEPTEMBER 3,
1996 (COMMENCEMENT OF SALE
OF CLASS A SHARES) TO
OCTOBER 31, 1996.
G FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
H FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.
I THE AMOUNTS SHOWN REFLECT
CERTAIN RECLASSIFICATIONS
RELATED TO BOOK-TO-TAX
DIFFERENCES.

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS - CLASS T

YEARS ENDED JULY 31, 1999 1998 1997 E 1996 F 1995 F 1994 F

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 19.11 $ 26.34 $ 25.12 $ 19.25 $ 17.56 $ 17.59
period

Income from Investment
Operations

Net investment income (loss) D .04 .02 (.02) .00 (.05) (.11)

Net realized and unrealized 3.76 (3.34) 2.83 6.56 2.00 .76
gain (loss)

Total from investment 3.80 (3.32) 2.81 6.56 1.95 .65
operations

Less Distributions

From net investment income (.01) - (.01) - - -

In excess of net investment - - (.01) - - -
income

From net realized gain (.70) (3.92) (1.57) (.69) (.26) (.68)

Total distributions (.71) (3.92) (1.59) (.69) (.26) (.68)

Redemption fees added to paid .01 .01 - - - -
in capital

Net asset value, end of period $ 22.21 $ 19.11 $ 26.34 $ 25.12 $ 19.25 $ 17.56

TOTAL RETURN B, C 21.31% (14.69)% 11.62% 35.01% 11.40% 3.97%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 283,419 $ 342,347 $ 618,083 $ 602,915 $ 272,979 $ 199,361
(000 omitted)

Ratio of expenses to average 1.45% 1.43% 1.47% A 1.59% 1.86% G 2.10%
net assets

Ratio of expenses to average 1.40% H 1.39% H 1.44% A, H 1.56% H 1.84% H 2.07% H
net assets after expense
reductions

Ratio of net investment .20% .10% (.12)% A .00% (.30)% (.67)%
income (loss) to average net
assets

Portfolio turnover 99% 97% 116% A 137% 161% 125%

</TABLE>

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE ONE TIME SALES
CHARGE AND FOR PERIODS OF
LESS THAN ONE YEAR ARE NOT
ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E NINE MONTHS ENDED JULY 31,
1997.
F YEAR ENDED OCTOBER 31.
G FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
H FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS - CLASS B

YEARS ENDED JULY 31, 1999 1998 1997 E 1996 F 1995 G

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 18.81 $ 25.99 $ 24.88 $ 19.23 $ 18.87
period

Income from Investment
Operations

Net investment income (loss) D (.06) (.09) (.12) (.15) (.03)

Net realized and unrealized 3.68 (3.29) 2.80 6.49 .39
gain (loss)

Total from investment 3.62 (3.38) 2.68 6.34 .36
operations

Less Distributions

From net realized gain (.66) (3.81) (1.57) (.69) -

Redemption fees added to paid .01 .01 - - -
in capital

Net asset value, end of period $ 21.78 $ 18.81 $ 25.99 $ 24.88 $ 19.23

TOTAL RETURN B, C 20.57% (15.12)% 11.19% 33.87% 1.91%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 47,792 $ 44,351 $ 59,044 $ 36,106 $ 2,508
(000 omitted)

Ratio of expenses to average 1.99% 1.98% 2.04% A 2.28% 2.23% A, H
net assets

Ratio of expenses to average 1.95% I 1.94% I 2.02% A, I 2.24% I 2.21% A, I
net assets after expense
reductions

Ratio of net investment (.34)% (.41)% (.67)% A (.68)% (.67)% A
income (loss) to average net
assets

Portfolio turnover 99% 97% 116% A 137% 161%

</TABLE>

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE CONTINGENT
DEFERRED SALES CHARGE AND
FOR PERIODS OF LESS THAN ONE
YEAR ARE NOT ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E NINE MONTHS ENDED JULY 31,
1997.
F YEAR ENDED OCTOBER 31.
G FOR THE PERIOD JULY 3, 1995
(COMMENCEMENT OF SALE OF
CLASS B SHARES) TO OCTOBER
31, 1995.
H FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
I FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

FINANCIAL HIGHLIGHTS - CLASS C

YEARS ENDED JULY 31, 1999 1998 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 18.96 $ 24.39
period

Income from Investment
Operations

Net investment income (loss) D (.05) (.07)

Net realized and unrealized 3.71 (4.15)
gain (loss)

Total from investment 3.66 (4.22)
operations

Less Distributions

From net investment income (.01) -

From net realized gain (.70) (1.22)

Total distributions (.71) (1.22)

Redemption fees added to paid .01 .01
in capital

Net asset value, end of period $ 21.92 $ 18.96

TOTAL RETURN B, C 20.72% (17.72)%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 8,761 $ 2,972
(000 omitted)

Ratio of expenses to average 1.94% 2.50% A, F
net assets

Ratio of expenses to average 1.89% G 2.44% A, G
net assets after expense
reductions

Ratio of net investment (.28)% (.48)% A
income (loss) to average net
assets

Portfolio turnover 99% 97%

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE CONTINGENT
DEFERRED SALES CHARGE AND
FOR PERIODS OF LESS THAN ONE
YEAR ARE NOT ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E FOR THE PERIOD NOVEMBER 3,
1997 (COMMENCEMENT OF SALE
OF CLASS C SHARES) TO JULY
31, 1998.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS - INSTITUTIONAL CLASS

YEARS ENDED JULY 31, 1999 1998 1997 E 1996 F 1995 G

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 19.15 $ 26.42 $ 25.17 $ 19.27 $ 18.87
period

Income from Investment
Operations

Net investment income (loss) D .14 .13 .04 .04 (.01)

Net realized and unrealized 3.76 (3.35) 2.85 6.55 .41
gain (loss)

Total from investment 3.90 (3.22) 2.89 6.59 .40
operations

Less Distributions

From net investment income (.07) J (.09) (.05) - -

In excess of net investment - - (.02) - -
income

From net realized gain (.71) J (3.97) (1.57) (.69) -

Total distributions (.78) (4.06) (1.64) (.69) -

Redemption fees added to paid .01 .01 - - -
in capital

Net asset value, end of period $ 22.28 $ 19.15 $ 26.42 $ 25.17 $ 19.27

TOTAL RETURN B, C 21.95% (14.29)% 11.95% 35.13% 2.12%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 4,505 $ 3,922 $ 10,042 $ 9,860 $ 718
(000 omitted)

Ratio of expenses to average .87% .95% 1.08% A 1.44% 1.68% A, H
net assets

Ratio of expenses to average .82% I .91% I 1.06% A, I 1.39% I 1.66% A, I
net assets after expense
reductions

Ratio of net investment .78% .55% .24% A .17% (.13)% A
income (loss) to average net
assets

Portfolio turnover 99% 97% 116% A 137% 161%

</TABLE>

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS FOR PERIODS
OF LESS THAN ONE YEAR ARE
NOT ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E NINE MONTHS ENDED JULY 31.
F YEAR ENDED OCTOBER 31.
G FOR THE PERIOD JULY 3, 1995
(COMMENCEMENT OF SALE OF
INSTITUTIONAL CLASS SHARES)
TO OCTOBER 31, 1995.
H FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
I FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.
J THE AMOUNTS SHOWN REFLECT
CERTAIN RECLASSIFICATIONS
RELATED TO BOOK-TO-TAX
DIFFERENCES.

NOTES TO FINANCIAL STATEMENTS
For the period ended July 31, 1999

1. SIGNIFICANT ACCOUNTING POLICIES.

Fidelity Advisor Natural Resources Fund(the fund) is a fund of
Fidelity Advisor Series VII (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.

EXPENSES. Most expenses of the trust can be directly attributed to a
fund. Expenses which cannot be directly attributed are apportioned
among the funds in the trust.

DISTRIBUTIONS TO SHAREHOLDERS. Distributions are recorded on the
ex-dividend date. Income dividends and capital gain distributions are
declared separately for each class.

Income and capital gain distributions are determined in accordance
with income tax regulations which may differ from generally accepted
accounting principles. These differences, which may result in
distribution reclassifications, are primarily due to differing
treatments for litigation proceeds, foreign currency transactions,
passive foreign investment companies (PFIC) and losses deferred due to
wash sales and excise tax regulations. 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.

Permanent book and tax basis differences relating to shareholder
distributions will result in reclassifications to paid in capital.
Undistributed net investment income and accumulated undistributed net
realized gain (loss) on investments and foreign currency transactions
may include temporary book and tax basis differences which will
reverse in a subsequent period. Any taxable income or 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.

3. PURCHASES AND SALES OF INVESTMENTS.

Purchases and sales of securities, other than short-term securities,
aggregated $311,574,075 and $409,255,588, respectively.

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.

SUB-ADVISER FEE. As the fund's investment sub-advisers, Fidelity
Management & Research (U.K.) Inc., and Fidelity Management & Research
(Far East) Inc. each a wholly owned subsidiary of FMR, receive a fee
from FMR of 110% and 105% respectively, of costs incurred in
connection with each sub-advisory agreement.

CLASS A .25%

CLASS T .50%

CLASS B 1.00% *

CLASS C 1.00% *

* .75% REPRESENTS A DISTRIBUTION FEE AND .25% REPRESENTS A SHAREHOLDER
SERVICE FEE.

For the period, each class paid FDC the following amounts, a portion
of which was retained by FDC:

PAID TO FDC RETAINED BY FDC

CLASS A $ 15,738 $ 16

CLASS T 1,370,335 14,057

CLASS B 402,053 302,137

CLASS C 49,335 42,683

$ 1,837,461 $ 358,893

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES - CONTINUED

SALES LOAD - CONTINUED

on declining rates ranging from 5% to 1% for Class B and 1% for Class
C, of the lesser of the cost of shares at the initial date of purchase
or the net asset value of the redeemed shares, excluding any
reinvested dividends and capital gains. In addition, purchases of
Class A and Class T shares that were subject to a finder's fee bear a
contingent deferred sales charge on assets that do not remain in the
fund for at least one year. The Class A and Class T contingent
deferred sales charge is based on 0.25% of the lesser of the cost of
shares at the initial date of purchase or the net asset value of the
redeemed shares, excluding any reinvested dividends and capital gains.
A portion of the sales charges paid to FDC is paid to securities
dealers, banks and other financial institutions.

For the period, sales charge amounts paid to and retained by FDC were
as follows:

PAID TO FDC RETAINED BY FDC

CLASS A $ 45,741 $ 22,233

CLASS T 144,599 49,657

CLASS B 243,263 243,263 *

CLASS C 10,097 10,097 *

$ 443,700 $ 325,250

* WHEN CLASS B AND CLASS C SHARES ARE INITIALLY SOLD, FDC PAYS
COMMISSIONS FROM ITS OWN RESOURCES TO SECURITIES DEALERS,
BANKS, AND OTHER FINANCIAL INSTITUTIONS THROUGH WHICH THE SALES ARE
MADE.

AMOUNT % OF AVERAGE NET ASSETS

CLASS A $ 21,183 .34

CLASS T 711,128 .26

CLASS B 122,579 .30

CLASS C 12,426 .25

INSTITUTIONAL CLASS 7,347 .18

$ 874,663

ACCOUNTING FEES. Fidelity Service Company, Inc. (FSC), an affiliate of
FMR, 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.

5. EXPENSE REDUCTIONS.

FMR has directed certain portfolio trades to brokers who paid a
portion of the fund's expenses. For the period, the fund's expenses
were reduced by $158,603 under this arrangement.

6. TRANSACTIONS WITH AFFILIATED COMPANIES.

An affiliated company is a company in which the fund has ownership of
at least 5% of the voting securities. Transactions during the period
with companies which are or were affiliates are as follows:

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C> <C> <C>
SUMMARY OF TRANSACTIONS WITH
AFFILIATED COMPANIES

AFFILIATE PURCHASE COST SALES COST DIVIDEND INCOME VALUE

Camphor Ventures, Inc.
$ - $ - $ - $ 369,518

Columbia Metals Ltd.
- 354,950 - -

William Resources, Inc.
- 2,135,217 - -

TOTALS $ - $ 2,490,167 $ - $ 369,518

</TABLE>

7. DISTRIBUTIONS TO SHAREHOLDERS.

Distributions to shareholders of each class were as follows:

YEARS ENDED JULY 31,

1999 1998 A

FROM NET INVESTMENT INCOME

Class A $ 14,537 $ -

Class T 148,852 -

Class C 1,336 -

Institutional Class 14,193 30,726

Total $ 178,918 $ 30,726

FROM NET REALIZED GAIN

Class A $ 234,044 $ 1,049,623

Class T 11,934,513 90,875,522

Class B 1,511,499 8,918,986

Class C 111,651 16,549

Institutional Class 144,069 1,438,147

Total $ 13,935,776 $ 102,298,827

$ 14,114,694 $ 102,329,553

A DISTRIBUTIONS FOR CLASS C ARE FOR THE PERIOD NOVEMBER 3, 1997
(COMMENCEMENT OF SALE OF SHARES) TO JULY 31, 1998.

8. SHARE TRANSACTIONS.

Transactions for each class of shares were as follows:

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
SHARES DOLLARS

YEAR ENDED JULY 31, YEAR ENDED JULY 31, YEAR ENDED JULY 31, YEAR ENDED JULY 31,

1999 1998 A 1999 1998 A

CLASS A Shares sold 175,654 $ 4,009,679 $ 3,950,955
218,537

Reinvestment of distributions 15,021 43,840 240,787 998,875

Shares redeemed (220,423) (121,346) (4,042,409) (2,678,917)

Net increase (decrease) 13,135 98,148 $ 208,057 $ 2,270,913

CLASS T Shares sold 3,047,055 3,091,100 $ 55,714,382 $ 69,934,430

Reinvestment of distributions 703,210 3,685,442 11,405,418 85,183,832

Shares redeemed (8,897,934) (12,329,910) (157,418,593) (270,469,326)

Net increase (decrease) (5,147,669) (5,553,368) $ (90,298,793) $ (115,351,064)

CLASS B Shares sold 979,053 678,632 $ 17,717,381 $ 15,156,338

Reinvestment of distributions 80,941 333,587 1,294,263 7,598,024

Shares redeemed (1,224,137) (926,142) (21,780,799) (19,895,184)

Net increase (decrease) (164,143) 86,077 $ (2,769,155) $ 2,859,178

CLASS C Shares sold 408,624 168,621 $ 7,488,770 $ 3,628,673

Reinvestment of distributions 5,837 787 93,864 16,454

Shares redeemed (171,451) (12,694) (3,264,239) (262,714)

Net increase (decrease) 243,010 156,714 $ 4,318,395 $ 3,382,413

INSTITUTIONAL CLASS Shares 107,128 138,650 $ 1,948,930 $ 3,107,221
sold

Reinvestment of distributions 8,746 60,810 141,597 1,415,854

Shares redeemed (118,487) (374,710) (2,181,322) (8,480,388)

Net increase (decrease) (2,613) (175,250) $ (90,795) $ (3,957,313)

</TABLE>

A SHARE TRANSACTIONS FOR CLASS C ARE FOR THE PERIOD NOVEMBER 3, 1997
(COMMENCEMENT OF SALE OF SHARES) TO JULY 31, 1998.

ADVISOR TECHNOLOGY FUND - CLASS A
PERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV TECHNOLOGY - CL A 67.67% 180.62%

FIDELITY ADV TECHNOLOGY - CL 58.03% 164.49%
A (INCL. 5.75% SALES CHARGE)

S&P 500 20.20% 112.70%

GS Technology 63.40% 216.14%

CUMULATIVE TOTAL RETURNS show Class A shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class A shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Technology Index - a market capitalization-weighted
index of 190 stocks designed to measure the performance of companies
in the technology sector. Issues in the index include producers of
sophisticated devices, services and software related to the fields of
computers, electronics, networking and Internet services. These
benchmarks include reinvested dividends and capital gains, if any, and
exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV TECHNOLOGY - CL A 67.67% 42.61%

FIDELITY ADV TECHNOLOGY - CL 58.03% 39.74%
A (INCL. 5.75% SALES CHARGE)

S&P 500 20.20% 29.64%

GS Technology 63.40% 48.58%

AVERAGE ANNUAL RETURNS take Class A shares' cumulative return and show
you what would have happened if Class A shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA TECHNOLOGY -CL A S&P 500
GS TECHNOLOGY
00187 SP001
GS008
1996/09/03 9425.00 10000.00
10000.00
1996/09/30 10480.60 10516.69
11083.33
1996/10/31 10584.28 10806.74
11005.93
1996/11/30 12007.45 11623.62
12484.68
1996/12/31 11770.98 11393.36
12085.30
1997/01/31 13089.41 12105.21
13401.78
1997/02/28 12178.84 12200.12
12346.74
1997/03/31 11448.49 11698.81
11700.17
1997/04/30 12121.93 12397.23
12745.92
1997/05/31 13487.78 13151.98
14042.99
1997/06/30 13620.57 13741.19
14224.25
1997/07/31 15138.19 14834.57
16770.21
1997/08/31 15583.99 14003.54
16383.11
1997/09/30 16235.26 14770.51
16876.01
1997/10/31 13883.05 14277.18
15423.60
1997/11/30 13682.86 14938.07
15675.33
1997/12/31 12996.44 15194.56
14927.75
1998/01/31 13717.28 15362.61
15702.74
1998/02/28 15275.58 16470.56
17407.22
1998/03/31 15254.38 17314.02
17691.17
1998/04/30 15858.62 17488.19
18693.45
1998/05/31 14724.35 17187.57
17416.86
1998/06/30 15858.62 17885.73
18931.40
1998/07/31 15773.82 17695.25
19348.25
1998/08/31 13356.86 15136.87
15845.13
1998/09/30 15339.19 16106.54
18099.82
1998/10/31 16219.05 17416.64
19431.16
1998/11/30 18434.59 18472.27
21695.15
1998/12/31 21742.00 19536.64
25251.29
1999/01/31 24593.59 20353.66
29307.61
1999/02/28 22240.23 19721.07
25789.36
1999/03/31 24848.00 20510.11
27994.44
1999/04/30 25038.81 21304.46
28876.92
1999/05/31 24201.36 20801.47
28562.51
1999/06/30 26936.34 21955.95
31922.25
1999/07/30 26448.70 21270.48
31614.43
IMATRL PRASUN SHR__CHT 19990731 19990811 094828 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Technology - Class A on September 3,
1996, when the fund started, and the current 5.75% sales charge was
paid. As the chart shows, by July 31, 1999, the value of the
investment would have grown to $26,449 - a 164.49% increase on the
initial investment. For comparison, look at how the Standard & Poor's
500 Index did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 investment would have grown to
$21,270 - a 112.70% increase. If $10,000 was invested in the Goldman
Sachs Technology Index, it would have grown to $31,614 - a 216.14%
increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR TECHNOLOGY FUND - CLASS T
PERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV TECHNOLOGY - CL T 67.30% 178.19%

FIDELITY ADV TECHNOLOGY - CL 61.44% 168.45%
T (INCL. 3.50% SALES CHARGE)

S&P 500 20.20% 112.70%

GS Technology 63.40% 216.14%

CUMULATIVE TOTAL RETURNS show Class T shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class T shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Technology Index - a market capitalization-weighted
index of 190 stocks designed to measure the performance of companies
in the technology sector. Issues in the index include producers of
sophisticated devices, services and software related to the fields of
computers, electronics, networking and Internet services. These
benchmarks include reinvested dividends and capital gains, if any, and
exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV TECHNOLOGY - CL T 67.30% 42.18%

FIDELITY ADV TECHNOLOGY - CL 61.44% 40.45%
T (INCL. 3.50% SALES CHARGE)

S&P 500 20.20% 29.64%

GS Technology 63.40% 48.58%

AVERAGE ANNUAL RETURNS take Class T shares' cumulative return and show
you what would have happened if Class T shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA TECHNOLOGY -CL T S&P 500
GS TECHNOLOGY
00192 SP001
GS008
1996/09/03 9650.00 10000.00
10000.00
1996/09/30 10721.15 10516.69
11083.33
1996/10/31 10817.65 10806.74
11005.93
1996/11/30 12274.80 11623.62
12484.68
1996/12/31 12022.98 11393.36
12085.30
1997/01/31 13372.89 12105.21
13401.78
1997/02/28 12440.58 12200.12
12346.74
1997/03/31 11683.07 11698.81
11700.17
1997/04/30 12372.59 12397.23
12745.92
1997/05/31 13771.07 13151.98
14042.99
1997/06/30 13897.32 13741.19
14224.25
1997/07/31 15451.17 14834.57
16770.21
1997/08/31 15907.62 14003.54
16383.11
1997/09/30 16564.69 14770.51
16876.01
1997/10/31 14167.57 14277.18
15423.60
1997/11/30 13962.69 14938.07
15675.33
1997/12/31 13249.04 15194.56
14927.75
1998/01/31 13975.46 15362.61
15702.74
1998/02/28 15558.40 16470.56
17407.22
1998/03/31 15525.88 17314.02
17691.17
1998/04/30 16143.87 17488.19
18693.45
1998/05/31 14983.77 17187.57
17416.86
1998/06/30 16143.87 17885.73
18931.40
1998/07/31 16046.30 17695.25
19348.25
1998/08/31 13585.14 15136.87
15845.13
1998/09/30 15590.93 16106.54
18099.82
1998/10/31 16479.98 17416.64
19431.16
1998/11/30 18735.13 18472.27
21695.15
1998/12/31 22096.18 19536.64
25251.29
1999/01/31 25001.86 20353.66
29307.61
1999/02/28 22594.92 19721.07
25789.36
1999/03/31 25251.23 20510.11
27994.44
1999/04/30 25435.55 21304.46
28876.92
1999/05/31 24589.86 20801.47
28562.51
1999/06/30 27354.60 21955.95
31922.25
1999/07/30 26845.02 21270.48
31614.43
IMATRL PRASUN SHR__CHT 19990731 19990811 095420 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Technology - Class T on September 3,
1996, when the fund started, and the current 3.50% sales charge was
paid. As the chart shows, by July 31, 1999, the value of the
investment would have grown to $26,845 - a 168.45% increase on the
initial investment. For comparison, look at how the Standard & Poor's
500 Index did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 investment would have grown to
$21,270 - a 112.70% increase. If $10,000 was invested in the Goldman
Sachs Technology Index, it would have grown to $31,614 - a 216.14%
increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR TECHNOLOGY FUND - CLASS B
PERFORMANCE

PERFORMANCE

There are several ways to evaluate 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 dividend income and capital gains (the
profits earned upon the sale of securities that have grown in value).
The initial offering of Class B shares took place on March 3, 1997.
Class B shares bear a 1.00% 12b-1 fee. Returns prior to March 3, 1997
are those of Class T which bears a 0.50% 12b-1 fee. Had Class B
shares' 12b-1 fee been reflected, returns prior to March 3, 1997 would
have been lower. Class B shares' contingent deferred sales charge
included in the past one year and life of fund total return figures
are 5% and 3%, respectively. If Fidelity had not reimbursed certain
class expenses, the life of fund total returns would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV TECHNOLOGY - CL B 66.49% 174.76%

FIDELITY ADV TECHNOLOGY - CL 61.49% 171.76%
B (INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 112.70%

GS Technology 63.40% 216.14%

CUMULATIVE TOTAL RETURNS show Class B shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class B shares'
returns to the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Technology Index - a market capitalization-weighted
index of 190 stocks designed to measure the performance of companies
in the technology sector. Issues in the index include producers of
sophisticated devices, services and software related to the fields of
computers, electronics, networking and Internet services. These
benchmarks include reinvested dividends and capital gains, if any, and
exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV TECHNOLOGY - CL B 66.49% 41.58%

FIDELITY ADV TECHNOLOGY - CL 61.49% 41.04%
B (INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 29.64%

GS Technology 63.40% 48.58%

AVERAGE ANNUAL RETURNS take Class B shares' cumulative return and show
you what would have happened if Class B shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA TECHNOLOGY -CL B S&P 500
GS TECHNOLOGY
00197 SP001
GS008
1996/09/03 10000.00 10000.00
10000.00
1996/09/30 11110.00 10516.69
11083.33
1996/10/31 11210.00 10806.74
11005.93
1996/11/30 12720.00 11623.62
12484.68
1996/12/31 12459.04 11393.36
12085.30
1997/01/31 13857.92 12105.21
13401.78
1997/02/28 12891.79 12200.12
12346.74
1997/03/31 12116.87 11698.81
11700.17
1997/04/30 12821.34 12397.23
12745.92
1997/05/31 14260.47 13151.98
14042.99
1997/06/30 14391.30 13741.19
14224.25
1997/07/31 15981.39 14834.57
16770.21
1997/08/31 16454.39 14003.54
16383.11
1997/09/30 17124.90 14770.51
16876.01
1997/10/31 14635.94 14277.18
15423.60
1997/11/30 14412.57 14938.07
15675.33
1997/12/31 13670.35 15194.56
14927.75
1998/01/31 14412.33 15362.61
15702.74
1998/02/28 16042.43 16470.56
17407.22
1998/03/31 16008.70 17314.02
17691.17
1998/04/30 16627.02 17488.19
18693.45
1998/05/31 15424.12 17187.57
17416.86
1998/06/30 16604.53 17885.73
18931.40
1998/07/31 16503.35 17695.25
19348.25
1998/08/31 13962.65 15136.87
15845.13
1998/09/30 16019.95 16106.54
18099.82
1998/10/31 16930.55 17416.64
19431.16
1998/11/30 19235.18 18472.27
21695.15
1998/12/31 22675.25 19536.64
25251.29
1999/01/31 25631.91 20353.66
29307.61
1999/02/28 23158.66 19721.07
25789.36
1999/03/31 25868.00 20510.11
27994.44
1999/04/30 26059.11 21304.46
28876.92
1999/05/31 25170.99 20801.47
28562.51
1999/06/30 27992.75 21955.95
31922.25
1999/07/30 27176.00 21270.48
31614.43
IMATRL PRASUN SHR__CHT 19990731 19990823 161231 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Technology - Class B on September 3,
1996, when the fund started. As the chart shows, by July 31, 1999, the
value of the investment, including the effect of the contingent
deferred sales charge, would have grown to $27,176 - a 171.76%
increase on the initial investment. For comparison, look at how the
Standard & Poor's 500 Index did over the same period. With dividends
and capital gains, if any, reinvested, the same $10,000 investment
would have grown to $21,270 - a 112.70% increase. If $10,000 was
invested in the Goldman Sachs Technology Index, it would have grown to
$31,614 - a 216.14% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR TECHNOLOGY FUND - CLASS C
PERFORMANCE

PERFORMANCE

There are several ways to evaluate 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 dividend income and capital gains (the
profits earned upon the sale of securities that have grown in value).
The initial offering of Class C shares took place on November 3, 1997.
Class C shares bear a 1.00% 12b-1 fee. Returns between March 3, 1997
and November 3, 1997 are those of Class B shares and reflect Class B
shares' 1.00% 12b-1 fee. Returns prior to March 3, 1997 are those of
Class T which bears a 0.50% 12b-1 fee. Had Class C shares' 12b-1 fee
been reflected, returns prior to March 3, 1997 would have been lower.
Class C shares' contingent deferred sales charge included in the past
one year and life of fund total return figures are 1% and 0%,
respectively. If Fidelity had not reimbursed certain class expenses,
the life of fund total returns would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV TECHNOLOGY - CL C 66.60% 174.56%

FIDELITY ADV TECHNOLOGY - CL 65.60% 174.56%
C (INCL. CONTINGENT
DEFERRED SALES CHARGE)

S&P 500 20.20% 112.70%

GS Technology 63.40% 216.14%

CUMULATIVE TOTAL RETURNS show Class C shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class C shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Technology Index - a market capitalization-weighted
index of 190 stocks designed to measure the performance of companies
in the technology sector. Issues in the index include producers of
sophisticated devices, services and software related to the fields of
computers, electronics, networking and Internet services. These
benchmarks include reinvested dividends and capital gains, if any, and
exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV TECHNOLOGY - CL C 66.60% 41.54%

FIDELITY ADV TECHNOLOGY - CL 65.60% 41.54%
C (INCL. CONTINGENT
DEFERRED SALES CHARGE)

S&P 500 20.20% 29.64%

GS Technology 63.40% 48.58%

AVERAGE ANNUAL RETURNS take Class C shares' cumulative return and show
you what would have happened if Class C shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA TECHNOLOGY -CL C S&P 500
GS TECHNOLOGY
00476 SP001
GS008
1996/09/03 10000.00 10000.00
10000.00
1996/09/30 11110.00 10516.69
11083.33
1996/10/31 11210.00 10806.74
11005.93
1996/11/30 12720.00 11623.62
12484.68
1996/12/31 12459.04 11393.36
12085.30
1997/01/31 13857.92 12105.21
13401.78
1997/02/28 12891.79 12200.12
12346.74
1997/03/31 12116.87 11698.81
11700.17
1997/04/30 12821.34 12397.23
12745.92
1997/05/31 14260.47 13151.98
14042.99
1997/06/30 14391.30 13741.19
14224.25
1997/07/31 15981.39 14834.57
16770.21
1997/08/31 16454.39 14003.54
16383.11
1997/09/30 17124.90 14770.51
16876.01
1997/10/31 14635.94 14277.18
15423.60
1997/11/30 14426.16 14938.07
15675.33
1997/12/31 13677.73 15194.56
14927.75
1998/01/31 14406.46 15362.61
15702.74
1998/02/28 16043.30 16470.56
17407.22
1998/03/31 15998.46 17314.02
17691.17
1998/04/30 16615.07 17488.19
18693.45
1998/05/31 15415.47 17187.57
17416.86
1998/06/30 16592.65 17885.73
18931.40
1998/07/31 16480.54 17695.25
19348.25
1998/08/31 13958.01 15136.87
15845.13
1998/09/30 16009.67 16106.54
18099.82
1998/10/31 16906.57 17416.64
19431.16
1998/11/30 19216.08 18472.27
21695.15
1998/12/31 22657.94 19536.64
25251.29
1999/01/31 25617.71 20353.66
29307.61
1999/02/28 23151.23 19721.07
25789.36
1999/03/31 25853.14 20510.11
27994.44
1999/04/30 26043.74 21304.46
28876.92
1999/05/31 25158.05 20801.47
28562.51
1999/06/30 27983.28 21955.95
31922.25
1999/07/30 27456.35 21270.48
31614.43
IMATRL PRASUN SHR__CHT 19990731 19990811 094828 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Technology - Class C on September 3,
1996, when the fund started. As the chart shows, by July 31, 1999, the
value of the investment would have grown to $27,456 - a 174.56%
increase on the initial investment. For comparison, look at how the
Standard & Poor's 500 Index did over the same period. With dividends
and capital gains, if any, reinvested, the same $10,000 investment
would have grown to $21,270 - a 112.70% increase. If $10,000 was
invested in the Goldman Sachs Technology Index, it would have grown to
$31,614 - a 216.14% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR TECHNOLOGY FUND
FUND TALK: THE MANAGER'S OVERVIEW

(photograph of Michael Tempero)

An interview with Michael Tempero, Portfolio Manager of Fidelity
Advisor Technology Fund

Q. HOW DID THE FUND PERFORM, MIKE?

A. It fared well. During the 12-month period that ended July 31, 1999,
the fund's Class A, Class T, Class B and Class C shares had returns of
67.67%, 67.30%, 66.49% and 66.60%, respectively. This performance
outpaced the Standard & Poor's 500 Index's return of 20.20% during the
same period. The fund also outperformed the Goldman Sachs Technology
Index - an index of 190 stocks designed to measure the performance of
companies in the technology sector - which returned 63.40% over the
same 12-month period.

Q. WHAT FACTORS CONTRIBUTED TO THE FUND'S SOUND PERFORMANCE VERSUS ITS
TWO BENCHMARK INDEXES?

A. The fund doubly benefited from strong stock selection and an
overweighted position in Internet stocks during the period. Internet
firms rallied as consumers grew more accustomed to shopping, banking
and communicating over the Web. Security selection in
telecommunications equipment also made a significant contribution to
the fund, fueled by a sharp rise in demand for equipment used to
connect businesses to the Internet.

Q. WHAT WERE SOME OF YOUR INVESTMENT STRATEGIES DURING THE 12-MONTH
PERIOD?

A. During the period, I maintained my firm belief in the importance of
communications and the development of the Internet to consumers and
corporations alike. I increased the fund's overweighting in those
companies best-suited to benefit from advances in bandwidth, or data
transmission capacity. I also broadened the fund's exposure to
computer hardware stocks - a decision based more on valuation
determinants than on business fundamentals. The fund remained
concentrated in some of the biggest industry names, as is the Goldman
Sachs index, as the truly dominant companies continued to carry the
bulk of the market capitalization within the technology sector.

Q. DID YOU MAKE ANY OTHER NOTABLE MOVES DURING THE PERIOD?

A. I trimmed the fund's exposure to semiconductor firms and increased
the fund's underweighting in computer systems companies to take some
profits. The fear I had with many of these stocks was that they might
have run ahead of their business fundamentals. I increased the fund's
stake in some computer services stocks when it appeared that the
market had given an awful lot of credit to some of the more volatile
sections of technology, and not as much credit to more stable areas of
the sector. Also, I invested rather heavily in several computer
services companies that had unique business models, such as DST
Systems and Automatic Data Processing.

Q. WHICH HOLDINGS CONTRIBUTED TO PERFORMANCE?

A. Nokia, a leader in wireless handsets, enjoyed a lion's share of the
growth in cellular phone usage during the period. The company
maintained an edge over its competitors by consistently introducing
newer phones with more functionality. Microsoft, the fund's top
holding, benefited from a surge in demand for new, cheap personal
computers, which provided its traditional software business with a
healthy lift. America Online (AOL), fueled by a growing worldwide
subscriber base and investors' enthusiasm surrounding the Web, powered
much of the fund's return, which came toward the middle of the period.

Q. WHICH STOCKS DETRACTED?

A. Shares of Micron Technology dropped off considerably during the
spring as the average selling prices of personal computers plunged.
This leader in semiconductors, or computer chips, was pressured by
shrinking profit margins as chip prices fell in unison with computer
prices. The fund also was hurt by not owning enough Lucent stock,
which rose sharply over a good portion of the 12-month period. At
Home, a provider of Internet services over cable lines, lost 50% of
its value amid the Internet stock correction of the late spring and
early summer.

Q. WHAT'S YOUR OUTLOOK?

A. I'll remain focused on the development of the Internet and, more
specifically, on suppliers to the Internet - companies that specialize
in software, networking and servers. I'll continue to search for the
fastest-growing stocks and industries within the technology sector,
all the while keeping a close eye on valuations. As long as corporate
profitability remains good and consumers remain confident, spending
for technology should continue to be healthy.

(checkmark)FUND FACTS

START DATE: September 3, 1996

SIZE: as of July 31, 1999, more than $863
million

MANAGER: Michael Tempero, since 1998;
joined Fidelity in 1993

ADVISOR TECHNOLOGY FUND

INVESTMENT SUMMARY

TOP TEN STOCKS AS OF JULY 31,
1999

% OF FUND'S INVESTMENTS

Microsoft Corp. 7.8

Cisco Systems, Inc. 5.9

Nokia AB sponsored ADR 5.6

Lucent Technologies, Inc. 4.5

Hewlett-Packard Co. 3.9

Intel Corp. 3.1

Motorola, Inc. 2.6

DST Systems, Inc. 2.0

Oracle Corp. 1.8

America Online, Inc. 1.7

TOP INDUSTRIES AS OF JULY 31,
1999

% OF FUND'S INVESTMENTS

Computer Services & Software 31.4%

Communications Equipment 18.8%

Electronics 17.0%

Computers & Office Equipment 11.9%

Consumer Electronics 1.8%

All Others* 19.1%

Row: 1, Col: 1, Value: 31.4
Row: 1, Col: 2, Value: 0.0
Row: 1, Col: 3, Value: 18.8
Row: 1, Col: 4, Value: 17.0
Row: 1, Col: 5, Value: 11.9
Row: 1, Col: 6, Value: 1.8
Row: 1, Col: 7, Value: 0.0
Row: 1, Col: 8, Value: 19.1

* INCLUDES SHORT-TERM
INVESTMENTS

ADVISOR TECHNOLOGY FUND

INVESTMENTS JULY 31, 1999

Showing Percentage of Total Value of Investment in Securities

<TABLE>
<CAPTION>
<S> <C> <C> <C>
COMMON STOCKS - 83.5%

SHARES VALUE (NOTE 1)

ADVERTISING - 0.0%

Internet.com Corp. 500 $ 8,156

BROADCASTING - 0.0%

CAIS Internet, Inc. 500 7,813

Insight Communications, Inc. 1,400 41,825

NorthPoint Communication 1,100 26,813
Holdings, Inc.

Radio One, Inc. (a) 400 17,775

Salem Communications Corp. 900 25,200
Class A (a)

119,426

CELLULAR - 0.4%

QUALCOMM, Inc. 19,800 3,088,800

COMMUNICATIONS EQUIPMENT -
18.8%

ADC Telecommunications, Inc. 96,200 4,280,900
(a)

Andrew Corp. (a) 50,800 1,016,000

Ciena Corp. (a) 52,300 1,765,125

Cisco Systems, Inc. (a) 811,350 50,405,119

Efficient Networks, Inc. 400 17,700

Jabil Circuit, Inc. (a) 158,700 6,675,319

Lucent Technologies, Inc. 589,430 38,349,789

Newbridge Networks Corp. (a) 189,400 5,029,543

Nokia AB sponsored ADR 563,900 47,966,744

Paradyne Networks, Inc. 300 13,313

Tekelec (a) 79,300 797,956

Tellabs, Inc. (a) 78,000 4,801,875

161,119,383

COMPUTER SERVICES & SOFTWARE
- - 31.4%

Accrue Software, Inc. 400 4,875

Affiliated Computer Services, 81,200 3,775,800
Inc. Class A (a)

Allscripts, Inc. 600 9,600

Amazon.com, Inc. (a) 59,500 5,953,719

America Online, Inc. (a) 154,400 14,687,300

Ariba, Inc. 400 35,838

Art Technology Group, Inc. 500 8,563

Ask Jeeves, Inc. 600 26,400

At Home Corp. Series A (a) 286,000 13,066,625

At Plan, Inc. 100 1,550

Autodesk, Inc. 47,400 1,256,100

Automatic Data Processing, 339,300 13,593,206
Inc.

Aware, Inc. (a) 171,200 7,907,300

BackWeb Technologies Ltd. (a) 400 10,275

barnesandnoble.com, Inc. 1,000 18,063
Class A

Bell & Howell Co. (a) 39,600 1,440,450

Cambridge Technology 119,500 2,046,438
Partners, Inc. (a)

Careerbuilder, Inc. 300 2,831

CareInsite, Inc. 700 30,188

Chemdex Corp. 1,100 33,000

China.com Corp. 100 3,225

SHARES VALUE (NOTE 1)

Citrix Systems, Inc. (a) 79,400 $ 4,133,763

Clarent Corp. 1,000 38,313

CMGI, Inc. (a) 93,700 8,637,969

Cognos, Inc. (a) 12,900 274,049

Commerce One, Inc. Delaware 400 19,900

Computer Sciences Corp. (a) 111,500 7,177,813

Compuware Corp. (a) 72,100 2,000,775

Critical Path, Inc. 9,200 308,200

CyberSource Corp. Delaware 300 7,744

Digex, Inc. Class A 1,100 24,544

drkoop.com, Inc. 400 8,900

DST Systems, Inc. (a) 258,500 17,157,938

Electronic Data Systems Corp. 158,200 9,541,438

Electronics for Imaging, Inc. 78,000 4,275,375
(a)

Engage Technologies, Inc. 300 10,369

Exodus Communications, Inc. 75,500 9,064,719
(a)

Fashionmall.com, Inc. 100 725

First Data Corp. 37,200 1,843,725

Fiserv, Inc. (a) 35,550 1,059,834

Flycast Communications Corp. 200 4,588

Galileo International, Inc. 73,400 3,757,163

GoTo.com, Inc. (a) 300 12,713

High Speed Access Corp. 400 13,875

Hoover's, Inc. 400 5,350

i2 Technologies, Inc. (a) 17,100 525,825

IMS Health, Inc. 231,100 6,441,913

Inet Technologies, Inc. 300 7,275

International Integration, 11,900 249,900
Inc. (a)

International Network 23,850 1,027,041
Services (a)

Intuit, Inc. (a) 158,700 12,983,644

iXL Enterprises, Inc. (a) 600 17,850

JFAX.COM, Inc. 3,500 30,188

Juno Online Services, Inc. (a) 500 10,031

Latitude Communications, Inc. 300 4,969
(a)

Liberate Technologies 1,000 19,125

Liquid Audio, Inc. (a) 100 2,813

Micromuse, Inc. (a) 58,900 2,738,850

Microsoft Corp. (a) 780,200 66,950,888

MP3.com, Inc. (a) 1,100 40,219

Musicmaker.com, Inc. (a) 900 11,700

N2H2, Inc. 300 3,844

National Information 800 13,100
Consortium, Inc. (a)

NCR Corp. (a) 79,400 3,721,875

NetIQ Corp. 600 10,050

NetObjects, Inc. (a) 500 3,453

Oracle Corp. (a) 397,200 15,118,425

Packeteer, Inc. 300 8,850

Persistence Software, Inc. 300 5,063

Phone.com, Inc. 11,000 684,063

Portal Software, Inc. (a) 400 16,738

RAVISENT Technologies, Inc. 1,800 27,225
(a)

RealNetworks, Inc. (a) 48,300 3,685,894

Redback Networks, Inc. 32,000 4,952,000

Sabre Group Holdings, Inc. 25,700 1,614,281
Class A (a)

COMMON STOCKS - CONTINUED

SHARES VALUE (NOTE 1)

COMPUTER SERVICES & SOFTWARE
- - CONTINUED

Scient Corp. 200 $ 10,000

Software.com, Inc. 900 30,263

Talk City, Inc. (a) 200 2,425

Tanning Technology Corp. (a) 800 14,400

TenFold Corp. (a) 200 5,550

TheStreet.Com, Inc. (a) 400 10,900

TIBCO Software, Inc. (a) 800 24,000

Unisys Corp. (a) 3,900 159,169

USWEB Corp. (a) 11,900 249,156

Veritas Software Corp. (a) 119,000 6,678,875

Viant Corp. (a) 200 6,538

Visual Networks, Inc. (a) 79,200 2,856,150

Voyager.net, Inc. (a) 1,400 17,500

WatchGuard Technologies, Inc. 500 6,500

Wind River Systems, Inc. (a) 79,200 1,207,800

Yahoo!, Inc. (a) 24,600 3,356,363

268,853,809

COMPUTERS & OFFICE EQUIPMENT
- - 11.9%

Adaptec, Inc. (a) 103,300 4,015,788

Aironet Wireless 4,900 51,450
Communication, Inc.

Ancor Communications, Inc. (a) 100,000 2,962,500

Apex, Inc. (a) 97,800 2,555,025

Compaq Computer Corp. 83,300 1,999,200

Comverse Technology, Inc. (a) 135,200 10,216,050

Copper Mountain Networks, 8,900 1,076,900
Inc.

Creo Products, Inc. (a) 1,100 22,456

Dell Computer Corp. (a) 65,500 2,677,313

EMC Corp. (a) 211,000 12,778,688

Emulex Corp. (a) 39,700 4,471,213

Gadzoox Networks, Inc. 300 22,575

Gateway, Inc. (a) 84,300 6,422,606

Hewlett-Packard Co. 317,400 33,227,813

Ingram Micro, Inc. Class A (a) 190,500 5,417,344

Juniper Networks, Inc. 7,400 1,202,038

Network Appliance, Inc. (a) 116,800 6,365,600

Quantum Corp. (a) 98,700 2,202,244

SCI Systems, Inc. (a) 45,900 2,421,225

Tech Data Corp. (a) 34,400 1,249,150

101,357,178

CONSUMER ELECTRONICS - 1.8%

Gemstar International Group 158,700 10,513,875
Ltd. (a)

Sharp Corp. 370,000 5,255,260

15,769,135

SHARES VALUE (NOTE 1)

CREDIT & OTHER FINANCE - 0.0%

E-Loan, Inc. 200 $ 7,788

NextCard, Inc. (a) 600 21,675

29,463

DEFENSE ELECTRONICS - 0.1%

Alpha Industries, Inc. (a) 11,850 604,350

DRUGS & PHARMACEUTICALS - 0.0%

Genentech, Inc. 800 113,600

EDUCATIONAL SERVICES - 0.0%

Scientific Learning Corp. (a) 100 1,806

ELECTRICAL EQUIPMENT - 1.4%

American Power Conversion 55,400 1,149,550
Corp. (a)

ANTEC Corp. (a) 39,700 1,664,919

Ericsson (L.M.) Telefon AB 159,000 5,097,938
ADR Class B

Harris Corp. 15,800 478,938

Scientific-Atlanta, Inc. 99,100 3,617,150

12,008,495

ELECTRONIC INSTRUMENTS - 0.4%

Aeroflex, Inc. (a) 65,000 1,230,938

Anritsu Corp. 180,000 1,715,932

2,946,870

ELECTRONICS - 17.0%

3Dfx Interactive, Inc. (a) 39,600 529,650

Altera Corp. (a) 176,800 6,409,000

Analog Devices, Inc. (a) 92,700 3,997,688

Applied Micro Circuits Corp. 59,500 5,593,000
(a)

Broadcom Corp. Class A (a) 40,200 4,844,100

Brocade Communications 100 11,838
Systems, Inc.

Cypress Semiconductor Corp. 79,400 1,588,000
(a)

DII Group, Inc. (a) 59,500 2,205,219

Flextronics International (a) 176,000 7,898,000

GlobeSpan, Inc. (a) 200 10,150

Hirose Electric Co. Ltd. 30,500 3,434,745

Intel Corp. 384,600 26,537,400

JDS Uniphase Corp. (a) 113,000 10,212,375

Kyocera Corp. 62,600 4,360,960

Linear Technology Corp. 16,600 1,018,825

LSI Logic Corp. (a) 66,900 3,365,906

Maker Communications, Inc. 200 5,550

Microchip Technology, Inc. (a) 28,400 1,423,550

Micron Technology, Inc. (a) 73,400 4,559,975

MIPS Technologies, Inc. (a) 41,700 1,542,900

Motorola, Inc. 248,800 22,703,000

National Semiconductor Corp. 47,500 1,175,625
(a)

PMC-Sierra, Inc. (a) 17,000 1,330,250

QLogic Corp. (a) 64,300 10,730,063

Rambus, Inc. (a) 36,800 3,277,500

COMMON STOCKS - CONTINUED

SHARES VALUE (NOTE 1)

ELECTRONICS - CONTINUED

Semtech Corp. (a) 51,600 $ 3,192,750

Texas Instruments, Inc. 91,700 13,204,800

145,162,819

ENGINEERING - 0.1%

AdForce, Inc. 200 4,638

DSP Group, Inc. (a) 23,800 944,563

949,201

ENTERTAINMENT - 0.0%

Quokka Sports, Inc. 800 8,350

INSURANCE - 0.0%

MIIX Group, Inc. 100 1,800

RESTAURANTS - 0.0%

Rubio's Restaurants, Inc. (a) 400 5,750

RETAIL & WHOLESALE,
MISCELLANEOUS - 0.0%

Alloy Online, Inc. 300 3,525

Drugstore.com, Inc. 800 40,300

eToys, Inc. 500 19,969

63,794

SECURITIES INDUSTRY - 0.0%

Donaldson Lufkin & Jenrette, 400 8,625
Inc. - DLJdirect

Goldman Sachs Group, Inc. 2,000 128,625

TD Waterhouse Group, Inc. (a) 5,000 86,875

Wit Capital Group, Inc. (a) 1,400 34,300

258,425

SERVICES - 0.2%

Diamond Technology Partners, 26,000 650,000
Inc. Class A (a)

Gartner Group, Inc. Class B 30,089 650,675
(a)

InsWeb Corp. 500 15,188

Media Metrix, Inc. (a) 200 7,675

Newgen Results Corp. (a) 1,500 18,750

1,342,288

TELEPHONE SERVICES - 0.0%

Convergent Communications, 800 12,800
Inc. (a)

Digital Island, Inc. Delaware 5,300 108,650

Focal Communications Corp. 1,000 19,000

Net2Phone, Inc. (a) 200 5,475

Network Plus Corp. 2,600 47,125

SHARES VALUE (NOTE 1)

Time Warner Telecom, Inc. 500 $ 15,563

ZipLink, Inc. (a) 1,500 15,000

223,613

TOTAL COMMON STOCKS 714,036,511
(Cost $593,048,889)

CASH EQUIVALENTS - 16.5%

MATURITY AMOUNT

Investments in repurchase $ 12,294,182 12,289,000
agreements (U.S. Treasury
obligations), in a joint
trading account at 5.06%,
dated 7/30/99 due 8/2/99

Taxable Central Cash Fund (b) 128,921,431 128,921,431

TOTAL CASH EQUIVALENTS 141,210,431
(Cost $141,210,431)

TOTAL INVESTMENT IN $ 855,246,942
SECURITIES - 100%
(Cost $734,259,320)

</TABLE>

LEGEND

(a) Non-income producing

INCOME TAX INFORMATION

At July 31, 1999, the aggregate cost of investment securities for
income tax purposes was $738,747,950. Net unrealized appreciation
aggregated $116,498,992, of which $139,148,518 related to appreciated
investment securities and $22,649,526 related to depreciated
investment securities.

The fund hereby designates approximately $298,000 as a capital gain
dividend for the purpose of the dividend paid deduction.

The fund will notify shareholders in January 2000 of the applicable
percentages for use in preparing 1999 income tax returns.

ADVISOR TECHNOLOGY FUND
FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
JULY 31, 1999

ASSETS

Investment in securities, at $ 855,246,942
value (including repurchase
agreements of $12,289,000)
(cost $734,259,320) - See
accompanying schedule

Cash 659

Receivable for investments 6,565,465
sold

Receivable for fund shares 7,379,383
sold

Dividends receivable 39,722

Interest receivable 386,857

Other receivables 1,662

Investment of cash collateral 9,677,300
received

TOTAL ASSETS 879,297,990

LIABILITIES

Payable for investments $ 3,638,036
purchased

Payable for fund shares 961,024
redeemed

Accrued management fee 414,716

Distribution fees payable 481,165

Other payables and accrued 362,309
expenses

Collateral on securities 9,677,300
loaned, at value

TOTAL LIABILITIES 15,534,550

NET ASSETS $ 863,763,440

Net Assets consist of:

Paid in capital $ 698,524,819

Accumulated undistributed net 44,250,999
realized gain (loss) on
investments and foreign
currency transactions

Net unrealized appreciation 120,987,622
(depreciation) on investments

NET ASSETS $ 863,763,440

CALCULATION OF MAXIMUM $24.95
OFFERING PRICE CLASS A:
NET ASSET VALUE and
redemption price per
share ($94,620,881 (divided
by) 3,792,560 shares)

Maximum offering price per $26.47
share (100/94.25 of $24.95)

CLASS T: NET ASSET VALUE $24.76
and redemption price per
share ($349,532,543 (divided
by) 14,116,714 shares)

Maximum offering price per $25.66
share (100/96.50 of $24.76)

CLASS B: NET ASSET VALUE $24.44
and offering price per
share ($298,768,012 (divided
by) 12,226,569 shares) A

CLASS C: NET ASSET VALUE $24.49
and offering price per
share ($88,120,067 (divided
by) 3,598,770 shares) A

INSTITUTIONAL CLASS: NET $25.05
ASSET VALUE, offering price
and redemption price per
share ($32,721,937
(divided by) 1,306,312
shares)

A REDEMPTION PRICE PER SHARE IS EQUAL TO NET ASSET VALUE LESS ANY
APPLICABLE CONTINGENT DEFERRED SALES CHARGE.

STATEMENT OF OPERATIONS
YEAR ENDED JULY 31, 1999

INVESTMENT INCOME $ 578,332
Dividends

Interest (including income on 2,674,133
securities loaned of $604)

TOTAL INCOME 3,252,465

EXPENSES

Management fee $ 2,356,443

Transfer agent fees 1,115,531

Distribution fees 2,591,321

Accounting and security 181,834
lending fees

Non-interested trustees' 1,093
compensation

Custodian fees and expenses 20,007

Registration fees 281,506

Audit 31,109

Legal 2,293

Interest 1,590

Total expenses before 6,582,727
reductions

Expense reductions (47,759) 6,534,968

NET INVESTMENT INCOME (LOSS) (3,282,503)

REALIZED AND UNREALIZED GAIN
(LOSS)
Net realized gain (loss) on:

Investment securities 51,130,564

Foreign currency transactions (10,992) 51,119,572

Change in net unrealized
appreciation (depreciation)
on:

Investment securities 107,259,293

Assets and liabilities in 14 107,259,307
foreign currencies

NET GAIN (LOSS) 158,378,879

NET INCREASE (DECREASE) IN $ 155,096,376
NET ASSETS RESULTING FROM
OPERATIONS

<TABLE>
<CAPTION>
<S> <C> <C>
STATEMENT OF CHANGES IN NET ASSETS

INCREASE (DECREASE) IN NET YEAR ENDED JULY 31, 1999 YEAR ENDED JULY 31, 1998
ASSETS

Operations Net investment $ (3,282,503) $ (974,989)
income (loss)

Net realized gain (loss) 51,119,572 2,748,784

Change in net unrealized 107,259,307 4,104,545
appreciation (depreciation)

NET INCREASE (DECREASE) IN 155,096,376 5,878,340
NET ASSETS RESULTING FROM
OPERATIONS

From net realized gain - (6,934,584)

In excess of net realized - (2,779,083)
gain

TOTAL DISTRIBUTIONS - (9,713,667)

Share transactions - net 557,638,871 80,885,922
increase (decrease)

Redemption fees 259,288 79,635

TOTAL INCREASE (DECREASE) 712,994,535 77,130,230
IN NET ASSETS

NET ASSETS

Beginning of period 150,768,905 73,638,675

End of period $ 863,763,440 $ 150,768,905

</TABLE>

FINANCIAL HIGHLIGHTS - CLASS A

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 14.88 $ 15.96 $ 10.00
period

Income from Investment
Operations

Net investment income (loss) D (.09) (.08) (.10)

Net realized and unrealized 10.15 .58 6.13
gain (loss)

Total from investment 10.06 .50 6.03
operations

Less Distributions

From net realized gain - (1.14) (.08)

In excess of net realized gain - (.45) -

Total distributions - (1.59) (.08)

Redemption fees added to paid .01 .01 .01
in capital

Net asset value, end of period $ 24.95 $ 14.88 $ 15.96

TOTAL RETURN B, C 67.67% 4.20% 60.62%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 94,621 $ 15,414 $ 7,313
(000 omitted)

Ratio of expenses to average 1.25% 1.39% 1.75% A, F
net assets

Ratio of expenses to average 1.24% G 1.35% G 1.70% A, G
net assets after expense
reductions

Ratio of net investment (.44)% (.59)% (.79)% A
income (loss) to average net
assets

Portfolio turnover 170% 348% 517% A

FINANCIAL HIGHLIGHTS - CLASS T

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 14.80 $ 15.91 $ 10.00
period

Income from Investment
Operations

Net investment income (loss) D (.14) (.11) (.11)

Net realized and unrealized 10.09 .56 6.09
gain (loss)

Total from investment 9.95 .45 5.98
operations

Less Distributions

From net realized gain - (1.12) (.08)

In excess of net realized gain - (.45) -

Total distributions - (1.57) (.08)

Redemption fees added to paid .01 .01 .01
in capital

Net asset value, end of period $ 24.76 $ 14.80 $ 15.91

TOTAL RETURN B, C 67.30% 3.85% 60.12%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 349,533 $ 90,499 $ 57,624
(000 omitted)

Ratio of expenses to average 1.47% 1.60% 1.92% A
net assets

Ratio of expenses to average 1.46% F 1.56% F 1.87% A, F
net assets after expense
reductions

Ratio of net investment (.65)% (.80)% (.93)% A
income (loss) to average net
assets

Portfolio turnover 170% 348% 517% A

FINANCIAL HIGHLIGHTS - CLASS B

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 14.68 $ 15.88 $ 12.88
period

Income from Investment
Operations

Net investment income (loss) D (.26) (.20) (.08)

Net realized and unrealized 10.01 .57 3.08
gain (loss)

Total from investment 9.75 .37 3.00
operations

Less Distributions

From net realized gain - (1.13) -

In excess of net realized gain - (.45) -

Total distributions - (1.58) -

Redemption fees added to paid .01 .01 -
in capital

Net asset value, end of period $ 24.44 $ 14.68 $ 15.88

TOTAL RETURN B, C 66.49% 3.27% 23.29%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 298,768 $ 31,041 $ 5,105
(000 omitted)

Ratio of expenses to average 2.01% 2.21% 2.50% A, F
net assets

Ratio of expenses to average 2.00% G 2.18% G 2.45% A, G
net assets after expense
reductions

Ratio of net investment (1.19)% (1.40)% (1.41)% A
income (loss) to average net
assets

Portfolio turnover 170% 348% 517% A

FINANCIAL HIGHLIGHTS - CLASS C

YEARS ENDED JULY 31, 1999 1998 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 14.70 $ 14.28
period

Income from Investment
Operations

Net investment income (loss) D (.25) (.17)

Net realized and unrealized 10.03 1.27
gain (loss)

Total from investment 9.78 1.10
operations

Less Distributions

From net realized gain - (.49)

In excess of net realized gain - (.20)

Total distributions - (.69)

Redemption fees added to paid .01 .01
in capital

Net asset value, end of period $ 24.49 $ 14.70

TOTAL RETURN B, C 66.60% 8.96%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 88,120 $ 6,754
(000 omitted)

Ratio of expenses to average 1.97% 2.43% A
net assets

Ratio of expenses to average 1.96% F 2.41% A, F
net assets after expense
reductions

Ratio of net investment (1.16)% (1.64)% A
income (loss) to average net
assets

Portfolio turnover 170% 348%

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE CONTINGENT
DEFERRED SALES CHARGE AND
FOR PERIODS OF LESS THAN ONE
YEAR ARE NOT ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E FOR THE PERIOD NOVEMBER 3,
1997 (COMMENCEMENT OF SALE
OF CLASS C SHARES) TO JULY
31, 1998.
F FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

FINANCIAL HIGHLIGHTS - INSTITUTIONAL CLASS

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 14.89 $ 15.98 $ 10.00
period

Income from Investment
Operations

Net investment income (loss) D (.04) (.04) (.06)

Net realized and unrealized 10.19 .55 6.12
gain (loss)

Total from investment 10.15 .51 6.06
operations

Less Distributions

From net realized gain - (1.15) (.09)

In excess of net realized gain - (.46) -

Total distributions - (1.61) (.09)

Redemption fees added to paid .01 .01 .01
in capital

Net asset value, end of period $ 25.05 $ 14.89 $ 15.98

TOTAL RETURN B, C 68.23% 4.26% 60.95%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 32,722 $ 7,060 $ 3,598
(000 omitted)

Ratio of expenses to average .98% 1.10% 1.50% A, F
net assets

Ratio of expenses to average .97% G 1.07% G 1.44% A, G
net assets after expense
reductions

Ratio of net investment (.17)% (.30)% (.50)% A
income (loss) to average net
assets

Portfolio turnover 170% 348% 517% A

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS FOR PERIODS
OF LESS THAN ONE YEAR ARE
NOT ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E FOR THE PERIOD SEPTEMBER 3,
1996 (COMMENCEMENT OF SALE
OF INSTITUTIONAL CLASS
SHARES) TO JULY 31, 1997.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

NOTES TO FINANCIAL STATEMENTS
For the period ended July 31, 1999

1. SIGNIFICANT ACCOUNTING POLICIES.

Fidelity Advisor Technology Fund (the fund) is a fund of Fidelity
Advisor Series VII (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.

EXPENSES. Most expenses of the trust can be directly attributed to a
fund. Expenses which cannot be directly attributed are apportioned
among the funds in the trust.

DISTRIBUTIONS TO SHAREHOLDERS. Distributions are recorded on the
ex-dividend date. Income dividends and capital gain distributions are
declared separately for each class.

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.

TAXABLE CENTRAL CASH FUND. Pursuant to an Exemptive Order issued by
the SEC, the fund may invest in the Taxable Central Cash Fund (the
Cash Fund) managed by Fidelity Investments Money Management, Inc.
(FIMM), an affiliate of FMR. The Cash Fund is an open-end money market
fund available only to investment companies and other accounts managed
by FMR and its affiliates. The Cash Fund seeks preservation of
capital, liquidity, and current income by investing in U.S. Treasury
securities and repurchase agreements for these securities. Income
distributions from the Cash Fund are declared daily and paid monthly
from net interest income. Income distributions earned by the fund are
recorded as interest income in the accompanying financial statements.

3. PURCHASES AND SALES OF INVESTMENTS.

Purchases and sales of securities, other than short-term securities,
aggregated $1,015,923,526 and $600,308,106, respectively.

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.

CLASS A .25%

CLASS T .50%

CLASS B 1.00% *

CLASS C 1.00% *

* .75% REPRESENTS A DISTRIBUTION FEE AND .25% REPRESENTS A SHAREHOLDER
SERVICE FEE.

For the period, each class paid FDC the following amounts, a portion
of which was retained by FDC:

PAID TO FDC RETAINED BY FDC

CLASS A $ 105,040 $ 455

CLASS T 964,032 2,134

CLASS B 1,180,425 885,789

CLASS C 341,824 301,927

$ 2,591,321 $ 1,190,305

SALES LOAD. FDC receives a front-end sales charge of up to 5.75% for
selling Class A shares, and 3.50% for selling Class T shares of the
fund. FDC receives the proceeds of contingent

4. FEES AND OTHER TRANSACTIONS WITH
AFFILIATES - CONTINUED

SALES LOAD - CONTINUED

deferred sales charges levied on Class B share redemptions occurring
within six years of purchase and Class C share redemptions occurring
within one year of purchase. Contingent deferred sales charges are
based on declining rates ranging from 5% to 1% for Class B and 1% for
Class C, of the lesser of the cost of shares at the initial date of
purchase or the net asset value of the redeemed shares, excluding any
reinvested dividends and capital gains. In addition, purchases of
Class A and Class T shares that were subject to a finder's fee bear a
contingent deferred sales charge on assets that do not remain in the
fund for at least one year. The Class A and Class T contingent
deferred sales charge is based on 0.25% of the lesser of the cost of
shares at the initial date of purchase or the net asset value of the
redeemed shares, excluding any reinvested dividends and capital gains.
A portion of the sales charges paid to FDC is paid to securities
dealers, banks and other financial institutions.

For the period, sales charge amounts paid to and retained by FDC were
as follows:

PAID TO FDC RETAINED BY FDC

CLASS A $ 794,893 $ 408,951

CLASS T 1,087,879 425,823

CLASS B 279,672 279,672 *

CLASS C 25,814 25,814 *

$ 2,188,258 $ 1,140,260

* WHEN CLASS B AND CLASS C SHARES ARE INITIALLY SOLD, FDC PAYS
COMMISSIONS FROM ITS OWN RESOURCES TO SECURITIES DEALERS,
BANKS, AND OTHER FINANCIAL INSTITUTIONS THROUGH WHICH THE SALES ARE
MADE.

AMOUNT % OF AVERAGE NET ASSETS

CLASS A $ 123,364 .29

CLASS T 496,950 .26

CLASS B 357,941 .30

CLASS C 91,589 .27

INSTITUTIONAL CLASS 45,687 .27

$ 1,115,531

5. INTERFUND LENDING PROGRAM.

The fund participated in the interfund lending program as a lender.
The average daily loan balances during the period for which loans were
outstanding amounted to $16,462,286. The weighted average interest
rate was 4.8%. Interest earned from the interfund lending program
amounted to $15,311 and is included in interest income on the
Statement of Operations.

6. SECURITY LENDING.

The fund lends portfolio securities from time to time in order to earn
additional income. The fund receives collateral in the form of U.S.
Treasury obligations, letters of credit, and/or cash against the
loaned securities, and maintains collateral in an amount not less than
100% of the market value of the loaned securities during the period of
the loan. The market value of the loaned securities is determined at
the close of business of the fund and any additional required
collateral is delivered to the fund on the next business day. If the
borrower defaults on its obligation to return the securities loaned
because of insolvency or other reasons, the fund could experience
delays and costs in recovering the securities loaned or in gaining
access to the collateral. At period end, the value of the securities
loaned amounted to $9,158,311. The fund received cash collateral of
$9,677,300 which was invested in the Central Cash Collateral Fund.

7. 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. The interest
rate on the borrowings is the bank's base rate, as revised from time
to time. The average daily loan balance during the period for which
the loan was outstanding amounted to $3,584,000. The weighted average
interest rate was 5.3%.

8. EXPENSE REDUCTIONS.

FMR has directed certain portfolio trades to brokers who paid a
portion of the fund's expenses. For the period, the fund's expenses
were reduced by $46,474 under this arrangement.

9. DISTRIBUTIONS TO SHAREHOLDERS.

Distributions to shareholders of each class were as follows:

YEARS ENDED JULY 31,

1999 1998A

FROM NET REALIZED GAIN

Class A $ - $ 729,180

Class T - 5,047,886

Class B - 851,766

Class C - 20,288

Institutional Class - 285,464

Total $ - $ 6,934,584

IN EXCESS OF NET REALIZED GAIN

Class A $ - $ 292,224

Class T - 2,022,976

Class B - 341,351

Class C - 8,130

Institutional Class - 114,402

Total $ - $ 2,779,083

Total $ - $ 9,713,667

A DISTRIBUTIONS FOR CLASS C ARE FOR THE PERIOD NOVEMBER 3, 1997
(COMMENCEMENT OF SALE OF SHARES) TO JULY 31, 1998.

10. SHARE TRANSACTIONS.

Transactions for each class of shares were as follows:

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
SHARES DOLLARS

YEAR ENDED JULY 31, YEAR ENDED JULY 31, YEAR ENDED JULY 31, YEAR ENDED JULY 31,

1999 1998A 1999 1998A

CLASS A Shares sold 3,280,891 964,665 $ 74,375,999 $ 13,488,171

Reinvestment of distributions - 69,547 - 932,488

Shares redeemed (524,386) (456,218) (11,021,514) (6,419,806)

Net increase (decrease) 2,756,505 577,994 $ 63,354,485 $ 8,000,853

CLASS T Shares sold 10,904,693 4,279,715 $ 237,438,732 $ 62,520,538

Reinvestment of distributions - 495,203 - 6,737,895

Shares redeemed (2,903,454) (2,282,335) (59,161,752) (32,522,809)

Net increase (decrease) 8,001,239 2,492,583 $ 178,276,980 $ 36,735,624

CLASS B Shares sold 11,234,873 1,984,357 $ 250,482,834 $ 28,884,876

Reinvestment of distributions - 78,354 - 1,031,825

Shares redeemed (1,122,956) (269,419) (23,194,043) (3,754,232)

Net increase (decrease) 10,111,917 1,793,292 $ 227,288,791 $ 26,162,469

CLASS C Shares sold 3,451,291 494,219 $ 76,473,150 $ 6,924,463

Reinvestment of distributions - 2,343 - 27,642

Shares redeemed (311,910) (37,173) (6,794,753) (520,009)

Net increase (decrease) 3,139,381 459,389 $ 69,678,397 $ 6,432,096

INSTITUTIONAL CLASS Shares 1,121,900 485,097 $ 24,772,786 $ 6,901,286
sold

Reinvestment of distributions - 27,259 - 379,700

Shares redeemed (289,655) (263,460) (5,732,568) (3,726,106)

Net increase (decrease) 832,245 248,896 $ 19,040,218 $ 3,554,880

</TABLE>

A SHARE TRANSACTIONS FOR CLASS C ARE FOR THE PERIOD NOVEMBER 3, 1997
(COMMENCEMENT OF SALE OF SHARES) TO JULY 31, 1998.

ADVISOR UTILITIES GROWTH FUND - CLASS A
PERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV UTILITIES - CL A 38.83% 146.23%

FIDELITY ADV UTILITIES - CL A 30.85% 132.07%
(INCL. 5.75% SALES CHARGE)

S&P 500 20.20% 112.70%

GS Utilities 33.06% 118.18%

CUMULATIVE TOTAL RETURNS show Class A shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class A shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Utilities Index - a market capitalization-weighted index
of 136 stocks designed to measure the performance of companies in the
utilities sector. Issues in the index include generators and
distributors of electricity, distributors of natural gas and water,
and providers of telecommunications services. These benchmarks include
reinvested dividends and capital gains, if any, and exclude the effect
of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV UTILITIES - CL A 38.83% 36.34%

FIDELITY ADV UTILITIES - CL A 30.85% 33.59%
(INCL. 5.75% SALES CHARGE)

S&P 500 20.20% 29.64%

GS Utilities 33.06% 30.78%

AVERAGE ANNUAL RETURNS take Class A shares' cumulative return and show
you what would have happened if Class A shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA UTILITIES GROWTH -CL A S&P 500
GS UTILITIES
00186 SP001
GS007
1996/09/03 9425.00 10000.00
10000.00
1996/09/30 9566.38 10516.69
10176.08
1996/10/31 10150.73 10806.74
10476.83
1996/11/30 10697.38 11623.62
10911.15
1996/12/31 10842.70 11393.36
10972.81
1997/01/31 11148.13 12105.21
11198.39
1997/02/28 11310.38 12200.12
11368.11
1997/03/31 10737.71 11698.81
10703.10
1997/04/30 11109.95 12397.23
10813.53
1997/05/31 11816.25 13151.98
11421.28
1997/06/30 12188.49 13741.19
11800.54
1997/07/31 12474.83 14834.57
12102.55
1997/08/31 12169.40 14003.54
11763.95
1997/09/30 13478.33 14770.51
12662.62
1997/10/31 13266.07 14277.18
12858.05
1997/11/30 13893.20 14938.07
14071.85
1997/12/31 14103.80 15194.56
14800.43
1998/01/31 15033.60 15362.61
15075.28
1998/02/28 16412.64 16470.56
15318.83
1998/03/31 17405.13 17314.02
16771.80
1998/04/30 17290.21 17488.19
16224.12
1998/05/31 16736.51 17187.57
16023.80
1998/06/30 16590.24 17885.73
16401.68
1998/07/31 16715.61 17695.25
16397.57
1998/08/31 14260.51 15136.87
15244.65
1998/09/30 15680.46 16106.54
16699.19
1998/10/31 15928.10 17416.64
17462.71
1998/11/30 16626.01 18472.27
18082.46
1998/12/31 18670.65 19536.64
19876.18
1999/01/31 19927.55 20353.66
20588.34
1999/02/28 19287.67 19721.07
19916.98
1999/03/31 20190.35 20510.11
19710.20
1999/04/30 21984.29 21304.46
21005.03
1999/05/31 22395.64 20801.47
21603.51
1999/06/30 23206.91 21955.95
22204.38
1999/07/30 23206.91 21270.48
21818.20
IMATRL PRASUN SHR__CHT 19990731 19990811 100156 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Utilities Growth - Class A on September
3, 1996, when the fund started, and the current 5.75% sales charge was
paid. As the chart shows, by July 31, 1999, the value of the
investment would have grown to $23,207 - a 132.07% increase on the
initial investment. For comparison, look at how the Standard & Poor's
500 Index did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 investment would have grown to
$21,270 - a 112.70% increase. If $10,000 was invested in the Goldman
Sachs Utilities Index, it would have grown to $21,818 - a 118.18%
increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR UTILITIES GROWTH FUND - CLASS T
PERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV UTILITIES - CL T 38.45% 144.30%

FIDELITY ADV UTILITIES - CL T 33.61% 135.75%
(INCL. 3.50% SALES CHARGE)

S&P 500 20.20% 112.70%

GS Utilities 33.06% 118.18%

CUMULATIVE TOTAL RETURNS show Class T shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class T shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Utilities Index - a market capitalization-weighted index
of 136 stocks designed to measure the performance of companies in the
utilities sector. Issues in the index include generators and
distributors of electricity, distributors of natural gas and water,
and providers of telecommunications services. These benchmarks include
reinvested dividends and capital gains, if any, and exclude the effect
of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV UTILITIES - CL T 38.45% 35.97%

FIDELITY ADV UTILITIES - CL T 33.61% 34.31%
(INCL. 3.50% SALES CHARGE)

S&P 500 20.20% 29.64%

GS Utilities 33.06% 30.78%

AVERAGE ANNUAL RETURNS take Class T shares' cumulative return and show
you what would have happened if Class T shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA UTILITIES GROWTH -CL T S&P 500
GS UTILITIES
00196 SP001
GS007
1996/09/03 9650.00 10000.00
10000.00
1996/09/30 9794.75 10516.69
10176.08
1996/10/31 10393.05 10806.74
10476.83
1996/11/30 10943.10 11623.62
10911.15
1996/12/31 11101.67 11393.36
10972.81
1997/01/31 11404.62 12105.21
11198.39
1997/02/28 11560.98 12200.12
11368.11
1997/03/31 10974.62 11698.81
10703.10
1997/04/30 11345.98 12397.23
10813.53
1997/05/31 12069.16 13151.98
11421.28
1997/06/30 12440.51 13741.19
11800.54
1997/07/31 12733.69 14834.57
12102.55
1997/08/31 12420.97 14003.54
11763.95
1997/09/30 13750.63 14770.51
12662.62
1997/10/31 13533.46 14277.18
12858.05
1997/11/30 14175.09 14938.07
14071.85
1997/12/31 14379.75 15194.56
14800.43
1998/01/31 15329.86 15362.61
15075.28
1998/02/28 16728.34 16470.56
15318.83
1998/03/31 17731.82 17314.02
16771.80
1998/04/30 17603.72 17488.19
16224.12
1998/05/31 17048.60 17187.57
16023.80
1998/06/30 16899.14 17885.73
16401.68
1998/07/31 17027.25 17695.25
16397.57
1998/08/31 14518.53 15136.87
15244.65
1998/09/30 15956.09 16106.54
16699.19
1998/10/31 16208.81 17416.64
17462.71
1998/11/30 16921.04 18472.27
18082.46
1998/12/31 18983.17 19536.64
19876.18
1999/01/31 20265.02 20353.66
20588.34
1999/02/28 19612.44 19721.07
19916.98
1999/03/31 20521.40 20510.11
19710.20
1999/04/30 22350.96 21304.46
21005.03
1999/05/31 22758.82 20801.47
21603.51
1999/06/30 23574.55 21955.95
22204.38
1999/07/30 23574.55 21270.48
21818.20
IMATRL PRASUN SHR__CHT 19990731 19990811 102514 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Utilities Growth - Class T on September
3, 1996, when the fund started, and the current 3.50% sales charge was
paid. As the chart shows, by July 31, 1999, the value of the
investment would have grown to $23,575 - a 135.75% increase on the
initial investment. For comparison, look at how the Standard & Poor's
500 Index did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 investment would have grown to
$21,270 - a 112.70% increase. If $10,000 was invested in the Goldman
Sachs Utilities Index, it would have grown to $21,818 - a 118.18%
increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR UTILITIES GROWTH FUND - CLASS B
PERFORMANCE

PERFORMANCE

There are several ways to evaluate 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 dividend income and capital gains (the
profits earned upon the sale of securities that have grown in value).
The initial offering of Class B shares took place on March 3, 1997.
Class B shares bear a 1.00% 12b-1 fee. Returns prior to March 3, 1997
are those of Class T which bears a 0.50% 12b-1 fee. Had Class B
shares' 12b-1 fee been reflected, returns prior to March 3, 1997 would
have been lower. Class B shares' contingent deferred sales charge
included in the past one year and life of fund total return figures
are 5% and 3%, respectively. If Fidelity had not reimbursed certain
class expenses, the life of fund total returns would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV UTILITIES - CL B 37.76% 141.35%

FIDELITY ADV UTILITIES - CL B 32.76% 138.35%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 112.70%

GS Utilities 33.06% 118.18%

CUMULATIVE TOTAL RETURNS show Class B shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class B shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Utilities Index - a market capitalization-weighted index
of 136 stocks designed to measure the performance of companies in the
utilities sector. Issues in the index include generators and
distributors of electricity, distributors of natural gas and water,
and providers of telecommunications services. These benchmarks include
reinvested dividends and capital gains, if any, and exclude the effect
of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV UTILITIES - CL B 37.76% 35.40%

FIDELITY ADV UTILITIES - CL B 32.76% 34.82%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 29.64%

GS Utilities 33.06% 30.78%

AVERAGE ANNUAL RETURNS take Class B shares' cumulative return and show
you what would have happened if Class B shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA UTILITIES GROWTH -CL B S&P 500
GS UTILITIES
00189 SP001
GS007
1996/09/03 10000.00 10000.00
10000.00
1996/09/30 10150.00 10516.69
10176.08
1996/10/31 10770.00 10806.74
10476.83
1996/11/30 11340.00 11623.62
10911.15
1996/12/31 11504.32 11393.36
10972.81
1997/01/31 11818.26 12105.21
11198.39
1997/02/28 11980.29 12200.12
11368.11
1997/03/31 11372.67 11698.81
10703.10
1997/04/30 11747.37 12397.23
10813.53
1997/05/31 12496.77 13151.98
11421.28
1997/06/30 12871.47 13741.19
11800.54
1997/07/31 13175.28 14834.57
12102.55
1997/08/31 12841.09 14003.54
11763.95
1997/09/30 14219.71 14770.51
12662.62
1997/10/31 13984.25 14277.18
12858.05
1997/11/30 14639.45 14938.07
14071.85
1997/12/31 14841.43 15194.56
14800.43
1998/01/31 15815.36 15362.61
15075.28
1998/02/28 17243.06 16470.56
15318.83
1998/03/31 18272.33 17314.02
16771.80
1998/04/30 18139.52 17488.19
16224.12
1998/05/31 17552.95 17187.57
16023.80
1998/06/30 17386.94 17885.73
16401.68
1998/07/31 17519.75 17695.25
16397.57
1998/08/31 14929.97 15136.87
15244.65
1998/09/30 16408.14 16106.54
16699.19
1998/10/31 16658.19 17416.64
17462.71
1998/11/30 17372.63 18472.27
18082.46
1998/12/31 19493.97 19536.64
19876.18
1999/01/31 20795.98 20353.66
20588.34
1999/02/28 20108.81 19721.07
19916.98
1999/03/31 21037.10 20510.11
19710.20
1999/04/30 22905.72 21304.46
21005.03
1999/05/31 23315.61 20801.47
21603.51
1999/06/30 24147.45 21955.95
22204.38
1999/07/30 23835.00 21270.48
21818.20
IMATRL PRASUN SHR__CHT 19990731 19990811 100155 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Utilities Growth - Class B on September
3, 1996, when the fund started. As the chart shows, by July 31, 1999,
the value of the investment, including the effect of the contingent
deferred sales charge, would have grown to $23,835 - a 138.35%
increase on the initial investment. For comparison, look at how the
Standard & Poor's 500 Index did over the same period. With dividends
and capital gains, if any, reinvested, the same $10,000 investment
would have grown to $21,270 - a 112.70% increase. If $10,000 was
invested in the Goldman Sachs Utilities Index, it would have grown to
$21,818 - a 118.18% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR UTILITIES GROWTH FUND - CLASS C
PERFORMANCE

PERFORMANCE

There are several ways to evaluate 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 dividend income and capital gains (the
profits earned upon the sale of securities that have grown in value).
The initial offering of Class C shares took place on November 3, 1997.
Class C shares bear a 1.00% 12b-1 fee. Returns between March 3, 1997
and November 3, 1997 are those of Class B shares and reflect Class B
shares' 1.00% 12b-1 fee. Returns prior to March 3, 1997 are those of
Class T which bears a 0.50% 12b-1 fee. Had Class C shares' 12b-1 fee
been reflected, returns prior to March 3, 1997 would have been lower.
Class C shares' contingent deferred sales charge included in the past
one year and life of fund total return figures are 1% and 0%,
respectively. If Fidelity had not reimbursed certain class expenses,
the life of fund total returns would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV UTILITIES - CL C 37.72% 141.36%

FIDELITY ADV UTILITIES - CL C 36.72% 141.36%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 112.70%

GS Utilities 33.06% 118.18%

CUMULATIVE TOTAL RETURNS show Class C shares' performance in
percentage terms over a set period - in this case, one year or since
the fund started on September 3, 1996. You can compare Class C shares'
returns to both the performance of the Standard & Poor's 500 Index - a
market capitalization-weighted index of common stocks - and the
Goldman Sachs Utilities Index - a market capitalization-weighted index
of 136 stocks designed to measure the performance of companies in the
utilities sector. Issues in the index include generators and
distributors of electricity, distributors of natural gas and water,
and providers of telecommunications services. These benchmarks include
reinvested dividends and capital gains, if any, and exclude the effect
of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV UTILITIES - CL C 37.72% 35.41%

FIDELITY ADV UTILITIES - CL C 36.72% 35.41%
(INCL. CONTINGENT DEFERRED
SALES CHARGE)

S&P 500 20.20% 29.64%

GS Utilities 33.06% 30.78%

AVERAGE ANNUAL RETURNS take Class C shares' cumulative return and show
you what would have happened if Class C shares had performed at a
constant rate each year.

$10,000 OVER LIFE OF FUND
FA UTILITIES GROWTH -CL C S&P 500
GS UTILITIES
00477 SP001
GS007
1996/09/03 10000.00 10000.00
10000.00
1996/09/30 10150.00 10516.69
10176.08
1996/10/31 10770.00 10806.74
10476.83
1996/11/30 11340.00 11623.62
10911.15
1996/12/31 11504.32 11393.36
10972.81
1997/01/31 11818.26 12105.21
11198.39
1997/02/28 11980.29 12200.12
11368.11
1997/03/31 11372.67 11698.81
10703.10
1997/04/30 11747.37 12397.23
10813.53
1997/05/31 12496.77 13151.98
11421.28
1997/06/30 12871.47 13741.19
11800.54
1997/07/31 13175.28 14834.57
12102.55
1997/08/31 12841.09 14003.54
11763.95
1997/09/30 14219.71 14770.51
12662.62
1997/10/31 13984.25 14277.18
12858.05
1997/11/30 14637.79 14938.07
14071.85
1997/12/31 14849.51 15194.56
14800.43
1998/01/31 15822.52 15362.61
15075.28
1998/02/28 17259.93 16470.56
15318.83
1998/03/31 18288.23 17314.02
16771.80
1998/04/30 18144.48 17488.19
16224.12
1998/05/31 17558.47 17187.57
16023.80
1998/06/30 17392.61 17885.73
16401.68
1998/07/31 17525.29 17695.25
16397.57
1998/08/31 14937.96 15136.87
15244.65
1998/09/30 16405.05 16106.54
16699.19
1998/10/31 16655.24 17416.64
17462.71
1998/11/30 17381.97 18472.27
18082.46
1998/12/31 19492.40 19536.64
19876.18
1999/01/31 20795.11 20353.66
20588.34
1999/02/28 20119.63 19721.07
19916.98
1999/03/31 21036.35 20510.11
19710.20
1999/04/30 22905.98 21304.46
21005.03
1999/05/31 23316.09 20801.47
21603.51
1999/06/30 24148.38 21955.95
22204.38
1999/07/30 24136.31 21270.48
21818.20
IMATRL PRASUN SHR__CHT 19990731 19990811 130912 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Utilities Growth - Class C on September
3, 1996, when the fund started. As the chart shows, by July 31, 1999,
the value of the investment would have grown to $24,136 - a 141.36%
increase on the initial investment. For comparison, look at how the
Standard & Poor's 500 Index did over the same period. With dividends
and capital gains, if any, reinvested, the same $10,000 investment
would have grown to $21,270 - a 112.70% increase. If $10,000 was
invested in the Goldman Sachs Utilities Index, it would have grown to
$21,818 - a 118.18% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR UTILITIES GROWTH FUND
FUND TALK: THE MANAGER'S OVERVIEW

(photograph of Peter Saperstone)

An interview with
Peter Saperstone, Portfolio Manager of Fidelity Advisor Utilities
Growth Fund

Q. HOW DID THE FUND PERFORM, PETER?

A. For the 12-month period that ended July 31, 1999, the fund's Class
A, Class T, Class B and Class C shares returned 38.83%, 38.45%, 37.76%
and 37.72%, respectively. In comparison, the fund outpaced the Goldman
Sachs Utilities Index - an index of 136 stocks designed to measure the
performance of companies in the utilities sector - which returned
33.06%. During the same period, the Standard & Poor's 500 Index
returned 20.20%.

Q. THE FUND OUTPERFORMED THE GOLDMAN SACHS UTILITIES INDEX DURING THE
PERIOD. WHAT FACTORS CONTRIBUTED TO THE STRONG RETURNS?

A. The majority of the fund's strong performance came from favorable
stock selection and its large concentration of telecommunications and
broadcasting holdings. These holdings include telephone services, as
well as cellular and broadcasting, and accounted for approximately 70%
of the fund's investments. The fund also benefited from a number of
solid performers among its electric utility holdings, which
represented approximately 15% of the fund's investments at the end of
the period.

Q. TELECOMMUNICATIONS STOCKS CONTINUED TO OUTPERFORM OTHER SECTORS OF
THE INDUSTRY. ARE YOU AT ALL CONCERNED ABOUT HIGH VALUATIONS?

A. I tend to look at price/earnings ratios - the price of a stock
divided by its earnings per share - relative to the growth rates of
the companies that I invest in. On that basis, I still favor
telecommunications stocks over electric utilities. In fact, I think
valuations are quite attractive today, as the stocks have been hurt on
concerns about increased competition. Competition is occurring, yet
the demand for telecommunications services continues to grow at an
impressive rate. The strong growth of the Internet and data services
for both businesses and residential use should benefit the industry
over the long-term.

Q. OTHER THAN YOUR CONCENTRATION ON TELEPHONE SERVICES, WHAT OTHER
STRATEGIES DID YOU PURSUE FOR THE FUND?

A. Beyond the fund's focus on stocks accelerating earnings growth and
strong potential for capital appreciation, I also tend to focus on
larger-cap stocks and try to keep the total number of the fund's
holdings as low as possible. I would rather concentrate on a smaller
number of companies, which allows our analysts and I to meet more
regularly with the management teams of all the companies in the
portfolio.

Q. WHICH STOCKS PROVIDED THE BIGGEST BOOST TO THE FUND'S TOTAL RETURN?

A. AES Corp., the largest U.S. power-plant developer, rose on hopes
that its recently announced acquisition of New Energy Ventures would
help it to participate in competitive energy markets, which improved
the company's growth outlook. The fund's holdings in Frontier Corp.
also contributed to total return after the company was the target of a
takeover battle between Global Crossing and Qwest. While shares of MCI
WorldCom, the fund's top holding, dropped late in the period, it was a
top contributor overall as the company continued to benefit from
strong demand for Internet, data, local and international services and
from cost synergies from the merger.

Q. WHICH HOLDINGS TURNED OUT TO BE DISAPPOINTMENTS?

A. Duke Energy and CMS Energy were two electric utility stocks that
detracted from performance. Shares of Duke Energy were sold off by
investors due to the negative reaction to recent acquisitions, which
had the potential to dilute earnings. CMS Energy suffered along with
the majority of the utility sector late in the period as investors
worried about the growth prospects for the group.

Q. WHAT'S YOUR OUTLOOK?

A. As I alluded to earlier, I think the telecommunications sector over
the next six months could be a bit volatile. This is due to the RBOCs
- - regional Bell operating companies - moving closer to entering the
long-distance market, which will add to this competitive environment.
At the same time, I think much of the concern about increased
competition in the long-distance arena has been priced into the
stocks. Longer-term, I remain optimistic about the fundamental
business outlook for utilities, especially telecommunications.

(checkmark)FUND FACTS

START DATE: September 3, 1996

SIZE: as of July 31, 1999, more than $175
million

MANAGER: Peter Saperstone, since 1998;
joined Fidelity in 1995

ADVISOR UTILITIES GROWTH FUND

INVESTMENT SUMMARY

TOP TEN STOCKS AS OF JULY 31,
1999

% OF FUND'S INVESTMENTS

MCI WorldCom, Inc. 9.1

Ameritech Corp. 7.1

AT&T Corp. 5.7

Vodafone AirTouch PLC 4.6
sponsored ADR

K N Energy, Inc. 4.0

BellSouth Corp. 3.9

ALLTEL Corp. 3.7

SBC Communications, Inc. 3.6

Sprint Corp. (FON Group) 2.9

SkyTel Communications, Inc. 2.7

TOP INDUSTRIES AS OF JULY 31,
1999

% OF FUND'S INVESTMENTS

Telephone Services 51.9%

Electric Utility 15.3%

Cellular 13.2%

Gas 6.7%

Broadcasting 3.6%

All Others* 9.3%

Row: 1, Col: 1, Value: 51.9
Row: 1, Col: 2, Value: 0.0
Row: 1, Col: 3, Value: 15.3
Row: 1, Col: 4, Value: 13.2
Row: 1, Col: 5, Value: 6.7
Row: 1, Col: 6, Value: 3.6
Row: 1, Col: 7, Value: 0.0
Row: 1, Col: 8, Value: 9.300000000000001

* INCLUDES SHORT-TERM
INVESTMENTS

ADVISOR UTILITIES GROWTH FUND

INVESTMENTS JULY 31, 1999

Showing Percentage of Total Value of Investment in Securities

COMMON STOCKS - 94.0%

SHARES VALUE (NOTE 1)

BROADCASTING - 3.6%

AT&T Corp. (Liberty Media 33,600 $ 1,243,200
Group) Class A (a)

EchoStar Communications Corp. 12,400 847,850
Class A (New) (a)

MediaOne Group, Inc. 60,000 4,342,500

6,433,550

CELLULAR - 13.2%

ALLTEL Corp. 90,900 6,527,756

Nextel Communications, Inc. 40,000 2,142,500
Class A (a)

SkyTel Communications, Inc. 228,800 4,690,400
(a)

Telephone & Data Systems, 8,735 649,666
Inc.

Vodafone AirTouch PLC 39,000 8,209,500
sponsored ADR

VoiceStream Wireless Corp. (a) 25,000 1,128,125

23,347,947

COMMUNICATIONS EQUIPMENT - 0.9%

Nokia AB sponsored ADR 18,400 1,565,150

COMPUTER SERVICES & SOFTWARE
- - 1.1%

At Home Corp. Series A (a) 44,000 2,010,250

Digex, Inc. Class A 100 2,231

2,012,481

CONSUMER ELECTRONICS - 0.2%

General Motors Corp. Class H 5,900 327,819
(a)

ELECTRIC UTILITY - 15.3%

AES Corp. (a) 77,500 4,650,000

Calpine Corp. (a) 25,000 1,879,688

Citizens Utilities Co. Class B 350,000 4,156,250

CMS Energy Corp. 69,400 2,593,825

Duke Energy Corp. 31,294 1,656,626

Edison International 24,600 622,688

Entergy Corp. 133,500 4,046,719

Illinova Corp. 4,300 141,363

IPALCO Enterprises, Inc. 80,000 1,715,000

PG&E Corp. 85,300 2,697,613

Unicom Corp. 75,000 2,943,750

27,103,522

ELECTRICAL EQUIPMENT - 0.9%

ANTEC Corp. (a) 14,100 591,319

Omnipoint Corp. (a) 25,000 1,071,875

1,663,194

GAS - 6.7%

Columbia Gas System, Inc. 15,000 892,500

Dynegy, Inc. 16,200 388,800

SHARES VALUE (NOTE 1)

Enron Corp. 38,800 $ 3,305,275

K N Energy, Inc. 365,100 7,119,450

Williams Companies, Inc. 2,981 125,388

11,831,413

OIL & GAS - 0.3%

Coastal Corp. (The) 13,050 516,291

TELEPHONE SERVICES - 51.8%

Ameritech Corp. 172,200 12,613,650

AT&T Corp. 193,164 10,032,455

Bell Atlantic Corp. 60,700 3,869,625

BellSouth Corp. 145,500 6,984,000

CenturyTel, Inc. 51,200 2,188,800

Cincinnati Bell, Inc. 209,300 4,447,625

Commonwealth Telephone 26,900 1,400,481
Enterprises, Inc. (a)

COMSAT Corp. Series 1 12,500 454,688

Focal Communications Corp. 90,000 1,710,000

Frontier Corp. 71,100 3,941,606

GTE Corp. 37,900 2,792,756

Intermedia Communications, 41,367 1,140,178
Inc. (a)

MCI WorldCom, Inc. (a) 195,630 16,139,471

McLeodUSA, Inc. Class A (a) 118,000 3,517,875

Metromedia Fiber Network, 49,200 1,580,550
Inc. Class A (a)

NEXTLINK Communications, Inc. 11,000 1,233,375
Class A (a)

Qwest Communications 8,722 257,299
International, Inc. (a)

RCN Corp. (a) 19,000 798,000

Rhythms NetConnections, Inc. 100 4,350
(a)

SBC Communications, Inc. 112,600 6,439,313

Sprint Corp. (FON Group) 99,000 5,117,063

Teligent, Inc. Class A (a) 16,700 1,204,488

U.S. WEST, Inc. 30,000 1,719,375

WinStar Communications, Inc. 45,600 2,394,000
(a)

91,981,023

TOTAL COMMON STOCKS 166,782,390
(Cost $145,719,691)

CONVERTIBLE PREFERRED STOCKS
- - 0.1%

TELEPHONE SERVICES - 0.1%

WinStar Communications, Inc. 200 203,524
$72.50 (a)(c) (Cost $200,000)

CASH EQUIVALENTS - 5.9%

SHARES VALUE (NOTE 1)

Taxable Central Cash Fund (b) 10,372,518 $ 10,372,518
(Cost $10,372,518)

TOTAL INVESTMENT IN $ 177,358,432
SECURITIES - 100%
(Cost $156,292,209)

LEGEND

(a) Non-income producing

INCOME TAX INFORMATION

At July 31, 1999, the aggregate cost of investment securities for
income tax purposes was $156,548,531. Net unrealized appreciation
aggregated $20,809,901, of which $24,102,731 related to appreciated
investment securities and $3,292,830 related to depreciated investment
securities.

The fund hereby designates approximately $650,000 as a capital gain
dividend for the purpose of the dividend paid deduction.

A total of 15%, 15%, 18%, 16% and 13% of Class A's, Class T's, Class
B's, Class C's and Institutional Class' dividend distributions during
the fiscal year qualifies for the dividend-received deductions for
corporate shareholders (unaudited).

The fund will notify shareholders in January 2000 of the applicable
percentages for use in preparing 1999 income tax returns.

ADVISOR UTILITIES GROWTH FUND
FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
JULY 31, 1999

ASSETS

Investment in securities, at $ 177,358,432
value (cost $156,292,209) -
See accompanying schedule

Receivable for fund shares 2,294,243
sold

Dividends receivable 239,921

Interest receivable 52,963

Investment of cash collateral 5,273,054
received for securities
loaned

TOTAL ASSETS 185,218,613

LIABILITIES

Payable for investments $ 3,613,385
purchased

Payable for fund shares 453,992
redeemed

Accrued management fee 80,860

Distribution fees payable 98,585

Other payables and accrued 80,062
expenses

Collateral on securities 5,273,054
loaned, at value

TOTAL LIABILITIES 9,599,938

NET ASSETS $ 175,618,675

Net Assets consist of:

Paid in capital $ 146,596,113

Accumulated undistributed net 7,956,339
realized gain (loss) on
investments and foreign
currency transactions

Net unrealized appreciation 21,066,223
(depreciation) on investments

NET ASSETS $ 175,618,675

CALCULATION OF MAXIMUM $20.31
OFFERING PRICE CLASS A:
NET ASSET VALUE and
redemption price per
share ($14,400,408 (divided
by) 709,109 shares)

Maximum offering price per $21.55
share (100/94.25 of
$20.31)

CLASS T: NET ASSET VALUE $20.23
and redemption price per
share ($65,085,472 (divided
by) 3,216,821 shares)

Maximum offering price per $20.96
share (100/96.50 of
$20.23)

CLASS B: NET ASSET VALUE $20.02
and offering price per
share ($65,645,318 (divided
by) 3,279,737 shares) A

CLASS C: NET ASSET VALUE $20.01
and offering price per
share ($23,524,448 (divided
by) 1,175,686 shares) A

INSTITUTIONAL CLASS: NET $20.38
ASSET VALUE, offering price
and redemption price per
share ($6,963,029
(divided by) 341,735 shares)

A REDEMPTION PRICE PER SHARE IS EQUAL TO NET ASSET VALUE LESS ANY
APPLICABLE CONTINGENT DEFERRED SALES CHARGE.

STATEMENT OF OPERATIONS
YEAR ENDED JULY 31, 1999

INVESTMENT INCOME $ 1,043,038
Dividends

Interest (including income on 290,620
securities loaned of $706)

TOTAL INCOME 1,333,658

EXPENSES

Management fee $ 480,763

Transfer agent fees 204,709

Distribution fees 564,888

Accounting and security 62,475
lending fees

Non-interested trustees' 233
compensation

Custodian fees and expenses 7,763

Registration fees 104,427

Audit 28,710

Legal 535

Total expenses before 1,454,503
reductions

Expense reductions (23,618) 1,430,885

NET INVESTMENT INCOME (LOSS) (97,227)

REALIZED AND UNREALIZED GAIN
(LOSS)
Net realized gain (loss) on:

Investment securities 8,962,218

Foreign currency transactions 8,689 8,970,907

Change in net unrealized
appreciation (depreciation)
on:

Investment securities 18,386,124

Assets and liabilities in (4) 18,386,120
foreign currencies

NET GAIN (LOSS) 27,357,027

NET INCREASE (DECREASE) IN $ 27,259,800
NET ASSETS RESULTING FROM
OPERATIONS

<TABLE>
<CAPTION>
<S> <C> <C>
STATEMENT OF CHANGES IN NET ASSETS

INCREASE (DECREASE) IN NET YEAR ENDED JULY 31, 1999 YEAR ENDED JULY 31, 1998
ASSETS

Operations Net investment $ (97,227) $ (83,903)
income (loss)

Net realized gain (loss) 8,970,907 4,505,946

Change in net unrealized 18,386,120 1,230,081
appreciation (depreciation)

NET INCREASE (DECREASE) IN 27,259,800 5,652,124
NET ASSETS RESULTING FROM
OPERATIONS

Distributions to shareholders - (36,379)
From net investment income

From net realized gain (3,437,371) (1,479,046)

TOTAL DISTRIBUTIONS (3,437,371) (1,515,425)

Share transactions - net 108,825,089 26,882,209
increase (decrease)

Redemption fees 29,790 21,301

TOTAL INCREASE (DECREASE) 132,677,308 31,040,209
IN NET ASSETS

NET ASSETS

Beginning of period 42,941,367 11,901,158

End of period (including $ 175,618,675 $ 42,941,367
undistributed net investment
income of $0 and $130,
respectively)

</TABLE>

FINANCIAL HIGHLIGHTS - CLASS A

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 16.00 $ 13.07 $ 10.00
period

Income from Investment
Operations

Net investment income (loss) D .05 (.02) .12

Net realized and unrealized 5.45 4.19 3.09
gain (loss)

Total from investment 5.50 4.17 3.21
operations

Less Distributions

From net investment income - (.04) (.03)

From net realized gain (1.20) (1.21) (.11)

Total distributions (1.20) (1.25) (.14)

Redemption fees added to paid .01 .01 -
in capital

Net asset value, end of period $ 20.31 $ 16.00 $ 13.07

TOTAL RETURN B, C 38.83% 33.99% 32.36%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 14,400 $ 3,186 $ 531
(000 omitted)

Ratio of expenses to average 1.34% 1.75% F 1.75% A, F
net assets

Ratio of expenses to average 1.32% G 1.72% G 1.75% A
net assets after expense
reductions

Ratio of net investment .30% (.11)% 1.09% A
income (loss) to average net
assets

Portfolio turnover 149% 151% 13% A

FINANCIAL HIGHLIGHTS - CLASS T

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 15.95 $ 13.03 $ 10.00
period

Income from Investment
Operations

Net investment income (loss) D .01 (.04) .08

Net realized and unrealized 5.43 4.17 3.09
gain (loss)

Total from investment 5.44 4.13 3.17
operations

Less Distributions

From net investment income - (.03) (.03)

From net realized gain (1.17) (1.19) (.11)

Total distributions (1.17) (1.22) (.14)

Redemption fees added to paid .01 .01 -
in capital

Net asset value, end of period $ 20.23 $ 15.95 $ 13.03

TOTAL RETURN B, C 38.45% 33.72% 31.96%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 65,085 $ 19,918 $ 7,085
(000 omitted)

Ratio of expenses to average 1.58% 1.94% 2.00% A, F
net assets

Ratio of expenses to average 1.55% G 1.90% G 2.00% A
net assets after expense
reductions

Ratio of net investment .07% (.23)% .79% A
income (loss) to average net
assets

Portfolio turnover 149% 151% 13% A

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE ONE TIME SALES
CHARGE AND FOR PERIODS OF
LESS THAN ONE YEAR ARE NOT
ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E FOR THE PERIOD SEPTEMBER 3,
1996 (COMMENCEMENT OF SALE
OF CLASS T SHARES) TO JULY
31, 1997.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

FINANCIAL HIGHLIGHTS - CLASS B

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 15.83 $ 13.01 $ 11.76
period

Income from Investment
Operations

Net investment income (loss) D (.08) (.13) .02

Net realized and unrealized 5.39 4.16 1.23
gain (loss)

Total from investment 5.31 4.03 1.25
operations

Less Distributions

From net investment income - (.03) -

From net realized gain (1.13) (1.19) -

Total distributions (1.13) (1.22) -

Redemption fees added to paid .01 .01 -
in capital

Net asset value, end of period $ 20.02 $ 15.83 $ 13.01

TOTAL RETURN B, C 37.76% 32.97% 10.63%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 65,645 $ 12,919 $ 2,039
(000 omitted)

Ratio of expenses to average 2.08% 2.50% F 2.50% A, F
net assets

Ratio of expenses to average 2.05% G 2.47% G 2.50% A
net assets after expense
reductions

Ratio of net investment (.43)% (.85)% .32% A
income (loss) to average net
assets

Portfolio turnover 149% 151% 13% A

FINANCIAL HIGHLIGHTS - CLASS C

YEARS ENDED JULY 31, 1999 1998 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 15.85 $ 13.90
period

Income from Investment
Operations

Net investment income (loss) D (.08) (.10)

Net realized and unrealized 5.38 3.16
gain (loss)

Total from investment 5.30 3.06
operations

Less Distributions

From net investment income - (.02)

From net realized gain (1.15) (1.10)

Total distributions (1.15) (1.12)

Redemption fees added to paid .01 .01
in capital

Net asset value, end of period $ 20.01 $ 15.85

TOTAL RETURN B, C 37.72% 23.60%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 23,524 $ 3,489
(000 omitted)

Ratio of expenses to average 2.07% 2.50% A, F
net assets

Ratio of expenses to average 2.04% G 2.48% A, G
net assets after expense
reductions

Ratio of net investment (.43)% (.91)% A
income (loss) to average net
assets

Portfolio turnover 149% 151%

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT
INCLUDE THE CONTINGENT
DEFERRED SALES CHARGE AND
FOR PERIODS OF LESS THAN ONE
YEAR ARE NOT ANNUALIZED.
D NET INVESTMENT INCOME
(LOSS) PER SHARE HAS BEEN
CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING
THE PERIOD.
E FOR THE PERIOD NOVEMBER 3,
1997 (COMMENCEMENT OF SALE
OF CLASS C SHARES) TO JULY
31, 1998.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.

FINANCIAL HIGHLIGHTS - INSTITUTIONAL CLASS

YEARS ENDED JULY 31, 1999 1998 1997 E

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 16.02 $ 13.09 $ 10.00
period

Income from Investment
Operations

Net investment income D .11 .04 .14

Net realized and unrealized 5.46 4.17 3.10
gain (loss)

Total from investment 5.57 4.21 3.24
operations

Less Distributions

From net investment income - H (.07) (.04)

From net realized gain (1.22) H (1.22) (.11)

Total distributions (1.22) (1.29) (.15)

Redemption fees added to paid .01 .01 -
in capital

Net asset value, end of period $ 20.38 $ 16.02 $ 13.09

TOTAL RETURN B, C 39.31% 34.36% 32.68%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 6,963 $ 3,430 $ 2,246
(000 omitted)

Ratio of expenses to average 1.02% 1.46% 1.50% A, F
net assets

Ratio of expenses to average .99% G 1.43% G 1.50% A
net assets after expense
reductions

Ratio of net investment .63% .30% 1.29% A
income to average net assets

Portfolio turnover 149% 151% 13% A

A ANNUALIZED
B THE TOTAL RETURNS WOULD
HAVE BEEN LOWER HAD CERTAIN
EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN.
C TOTAL RETURNS FOR PERIODS
OF LESS THAN ONE YEAR ARE
NOT ANNUALIZED.
D NET INVESTMENT INCOME PER
SHARE HAS BEEN CALCULATED
BASED ON AVERAGE SHARES
OUTSTANDING DURING THE PERIOD.
E FOR THE PERIOD SEPTEMBER 3,
1996 (COMMENCEMENT OF SALE
OF INSTITUTIONAL CLASS
SHARES) TO JULY 31, 1997.
F FMR AGREED TO REIMBURSE A
PORTION OF THE CLASS'
EXPENSES DURING THE PERIOD.
WITHOUT THIS REIMBURSEMENT,
THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.
G FMR OR THE FUND HAS ENTERED
INTO VARYING ARRANGEMENTS
WITH THIRD PARTIES WHO
EITHER PAID OR REDUCED A
PORTION OF THE CLASS'
EXPENSES.
H THE AMOUNTS SHOWN REFLECT
CERTAIN RECLASSIFICATIONS
RELATED TO BOOK TO TAX
DIFFERENCES.

NOTES TO FINANCIAL STATEMENTS
For the period ended July 31, 1999

1. SIGNIFICANT ACCOUNTING POLICIES.

Fidelity Advisor Utilities Growth Fund (the fund) is a fund of
Fidelity Advisor Series VII (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.

EXPENSES. Most expenses of the trust can be directly attributed to a
fund. Expenses which cannot be directly attributed are apportioned
among the funds in the trust.

DISTRIBUTIONS TO SHAREHOLDERS. Distributions are recorded on the
ex-dividend date. Income dividends and capital gain distributions are
declared separately for each class.

Permanent book and tax basis differences relating to shareholder
distributions will result in reclassifications to paid in capital.
Accumulated undistributed net realized gain (loss) on investments and
foreign currency transactions may include temporary book and tax basis
differences which will reverse in a subsequent period. Any taxable
income or 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.

TAXABLE CENTRAL CASH FUND. Pursuant to an Exemptive Order issued by
the SEC, the fund may invest in the Taxable Central Cash Fund (the
Cash Fund) managed by Fidelity Investments Money Management, Inc.
(FIMM), an affiliate of FMR. The Cash Fund is an open-end money market
fund available only to investment companies and other accounts managed
by FMR and its affiliates. The Cash Fund seeks preservation of
capital, liquidity, and current income by investing in U.S. Treasury
securities and repurchase agreements for these securities. Income
distributions from the Cash Fund are declared daily and paid monthly
from net interest income. Income distributions earned by the fund are
recorded as interest income in the accompanying financial statements.

3. PURCHASES AND SALES OF INVESTMENTS.

Purchases and sales of securities, other than short-term securities,
aggregated $217,664,964 and $117,892,897, respectively.

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.

CLASS A .25%

CLASS T .50%

CLASS B 1.00%*

CLASS C 1.00%*

* .75% REPRESENTS A DISTRIBUTION FEE AND .25% REPRESENTS A SHAREHOLDER
SERVICE FEE.

For the period, each class paid FDC the following amounts, a portion
of which was retained by FDC:

PAID TO FDC RETAINED BY FDC

CLASS A $ 16,705 $ 12

CLASS T 164,496 470

CLASS B 292,393 219,352

CLASS C 91,294 77,147

$ 564,888 $ 296,981

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES - CONTINUED

For the period, sales charge amounts paid to and retained by FDC were
as follows:

PAID TO FDC RETAINED BY FDC

CLASS A $ 114,275 $ 56,149

CLASS T 177,826 58,300

CLASS B 58,521 58,521 *

CLASS C 6,350 6,350 *

$ 356,972 $ 179,320

* WHEN CLASS B AND CLASS C SHARES ARE INITIALLY SOLD, FDC PAYS
COMMISSIONS FROM ITS OWN RESOURCES TO SECURITIES DEALERS,
BANKS, AND OTHER FINANCIAL INSTITUTIONS THROUGH WHICH THE SALES ARE
MADE.

AMOUNT % OF AVERAGE NET ASSETS

CLASS A $ 17,727 .26

CLASS T 82,632 .25

CLASS B 73,680 .25

CLASS C 22,414 .24

INSTITUTIONAL CLASS 8,256 .19

$ 204,709

5. SECURITY LENDING.

The fund lends portfolio securities from time to time in order to earn
additional income. The fund receives collateral in the form of U.S.
Treasury obligations, letters of credit, and/or cash against the
loaned securities, and maintains collateral in an amount not less than
100% of the market value of the loaned securities during the period of
the loan.The market value of the loaned securities is determined at
the close of business of the fund and any additional required
collateral is delivered to the fund on the next business day. If the
borrower defaults on its obligation to return the securities loaned
because of insolvency or other reasons, the fund could experience
delays and costs in recovering the securities loaned or in gaining
access to the collateral. At period end, the value of the securities
loaned amounted to $5,032,748. The fund received cash collateral of
$5,273,054 which was invested in the Central Cash Collateral Fund.

6. EXPENSE REDUCTIONS.

FMR has directed certain portfolio trades to brokers who paid a
portion of the fund's expenses. For the period, the fund's expenses
were reduced by $18,864 under this arrangement.
In addition, the fund has entered into an arrangement with its
custodian whereby credits realized as a result of uninvested cash
balances were used to reduce a portion of the fund's expenses. During
the period, the fund's custodian fees were reduced by $4,754 under
this arrangement.

7. BENEFICIAL INTEREST.

At the end of the period, one shareholder was record owner of
approximately 12% of the total outstanding shares of the fund.

8. DISTRIBUTIONS TO SHAREHOLDERS.

Distributions to shareholders of each class were as follows:

YEARS ENDED JULY 31,

1999 1998 A

FROM NET INVESTMENT INCOME

Class A $ - $ 1,800

Class T - 13,527

Class B - 4,591

Class C - 250

Institutional Class - 16,211

Total $ - $ 36,379

FROM NET REALIZED GAIN

Class A $ 267,451 $ 66,066

Class T 1,516,237 749,717

Class B 1,080,984 267,630

Class C 311,856 16,996

Institutional Class 260,843 378,637

Total $ 3,437,371 $ 1,479,046

Total $ 3,437,371 $ 1,515,425

A DISTRIBUTIONS FOR CLASS C ARE FOR THE PERIOD NOVEMBER 3, 1997
(COMMENCEMENT OF SALE OF SHARES) TO JULY 31, 1998.

9. SHARE TRANSACTIONS.

Transactions for each class of shares were as follows:

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
SHARES DOLLARS

YEAR ENDED JULY 31, YEAR ENDED JULY 31, YEAR ENDED JULY 31, YEAR ENDED JULY 31,

1999 1998 A 1999 1998 A

CLASS A Shares sold 171,774 $ 10,991,149 $ 2,671,006
610,783

Reinvestment of distributions 17,188 4,614 223,588 61,624

Shares redeemed (117,917) (17,947) (1,971,798) (275,348)

Net increase (decrease) 510,054 158,441 $ 9,242,939 $ 2,457,282

CLASS T Shares sold 2,535,015 1,165,712 $ 45,737,017 $ 17,577,615

Reinvestment of distributions 110,405 53,698 1,432,350 715,847

Shares redeemed (677,022) (514,685) (11,443,758) (7,904,206)

Net increase (decrease) 1,968,398 704,725 $ 35,725,609 $ 10,389,256

CLASS B Shares sold 2,681,105 725,510 $ 47,915,404 $ 11,176,610

Reinvestment of distributions 65,772 15,242 845,886 202,512

Shares redeemed (283,363) (81,233) (4,722,842) (1,222,194)

Net increase (decrease) 2,463,514 659,519 $ 44,038,448 $ 10,156,928

CLASS C Shares sold 1,045,991 225,634 $ 19,125,937 $ 3,470,986

Reinvestment of distributions 17,797 1,164 228,735 15,529

Shares redeemed (108,216) (6,684) (1,876,189) (107,792)

Net increase (decrease) 955,572 220,114 $ 17,478,483 $ 3,378,723

INSTITUTIONAL CLASS Shares 170,875 310,409 $ 3,122,693 $ 4,630,856
sold

Reinvestment of distributions 18,455 22,979 240,109 307,065

Shares redeemed (61,672) (290,942) (1,023,192) (4,437,901)

Net increase (decrease) 127,658 42,446 $ 2,339,610 $ 500,020

</TABLE>

A SHARE TRANSACTIONS FOR CLASS C ARE FOR THE PERIOD NOVEMBER 3, 1997
(COMMENCEMENT OF SALE OF SHARES) TO JULY 31, 1998.

INDEPENDENT AUDITORS' REPORT

To the Trustees and Shareholders of Fidelity Advisor Consumer
Industries Fund, Fidelity Advisor Cyclical Industries Fund, Fidelity
Advisor Financial Services Fund, Fidelity Advisor Health Care Fund,
Fidelity Advisor Natural Resources Fund, Fidelity Advisor Technology
Fund and Fidelity Advisor Utilities Growth Fund:

We have audited the accompanying statements of assets and liabilities,
including the portfolios of investments of Fidelity Advisor Consumer
Industries Fund, Fidelity Advisor Cyclical Industries Fund, Fidelity
Advisor Financial Services Fund, Fidelity Advisor Health Care Fund,
Fidelity Advisor Natural Resources Fund, Fidelity Advisor Technology
Fund and Fidelity Advisor Utilities Growth Fund as of July 31, 1999
and the related statements of operations, changes in net assets and
financial highlights for the year 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
audit. The statement of changes in net assets for the year ended July
31, 1998 and the financial highlights for each of the periods
indicated prior to July 31, 1999 were audited by other auditors whose
report, dated September 14, 1998, expressed an unqualified opinion on
those statements and financial highlights.

We conducted our audit 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 the securities owned at July 31, 1999, by
correspondence with the custodian and brokers; where replies were not
received from brokers, we performed other auditing procedures. 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 audit
provides a reasonable basis for our opinion.

In our opinion, such financial statements and financial highlights
present fairly, in all material respects, the financial position of
Fidelity Advisor Consumer Industries Fund, Fidelity Advisor Cyclical
Industries Fund, Fidelity Advisor Financial Services Fund, Fidelity
Advisor Health Care Fund, Fidelity Advisor Natural Resources Fund,
Fidelity Advisor Technology Fund and Fidelity Advisor Utilities
Growth Fund at July 31, 1999, the results of their operations, the
changes in their net assets, and their financial highlights for the
year then ended in conformity with generally accepted accounting
principles.

/s/DELOITTE & TOUCHE LLP
DELOITTE & TOUCHE LLP

Boston, Massachusetts
September 10, 1999

DISTRIBUTIONS

The Board of Trustees of the following funds voted to pay to
shareholders of record at the opening of business on record date, the
following distributions derived from capital gains realized from sales
of portfolio securities, and dividends derived from net
investment income:

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
CONSUMER INDUSTRIES:

PAY DATE RECORD DATE DIVIDENDS CAPITAL GAINS

Class A 9/7/99 9/3/99 __ $0.26
Class T 9/7/99 9/3/99 __ $0.26
Class B 9/7/99 9/3/99 __ $0.26
Class C 9/7/99 9/3/99 __ $0.26

CYCLICAL INDUSTRIES:

PAY DATE RECORD DATE DIVIDENDS CAPITAL GAINS

Class A 9/7/99 9/3/99 __ $0.05
Class T 9/7/99 9/3/99 __ $0.05
Class B 9/7/99 9/3/99 __ $0.05
Class C 9/7/99 9/3/99 __ $0.05

FINANCIAL SERVICES:

PAY DATE RECORD DATE DIVIDENDS CAPITAL GAINS

Class A 9/7/99 9/3/99 $0.09 __
Class T 9/7/99 9/3/99 $0.05 __
Class B 9/7/99 9/3/99 __ __
Class C 9/7/99 9/3/99 $0.02 __

HEALTH CARE:

PAY DATE RECORD DATE DIVIDENDS CAPITAL GAINS

Class A 9/7/99 9/3/99 __ $0.41
Class T 9/7/99 9/3/99 __ $0.37
Class B 9/7/99 9/3/99 __ $0.34
Class C 9/7/99 9/3/99 __ $0.36

TECHNOLOGY:

PAY DATE RECORD DATE DIVIDENDS CAPITAL GAINS

Class A 9/7/99 9/3/99 __ $1.26
Class T 9/7/99 9/3/99 __ $1.21
Class B 9/7/99 9/3/99 __ $1.20
Class C 9/7/99 9/3/99 __ $1.21

UTILITIES GROWTH:

PAY DATE RECORD DATE DIVIDENDS CAPITAL GAINS

Class A 9/7/99 9/3/99 $0.02 $0.85
Class T 9/7/99 9/3/99 __ $0.84
Class B 9/7/99 9/3/99 __ $0.82
Class C 9/7/99 9/3/99 __ $0.83

</TABLE>

The fund hereby designates 100% of the long-term capital gain
dividends distributed during the fiscal year as 20%-rate capital gain
dividends.

OF SPECIAL NOTE

Introducing Fidelity's new, reorganized prospectus

Recently, the SEC issued new disclosure requirements for all mutual
fund prospectuses. While Fidelity could have complied by simply
following the new requirements, we saw a different opportunity. We saw
the chance to create a brand new prospectus: one that is better
organized, easier to use and more informative than ever.

The new format of the Fidelity mutual fund prospectus puts the
information you need to make informed investment decisions right at
your fingertips. In the opening pages, you will find the SEC-mandated
summary that highlights the fund's investment objectives, strategies
and risks. There's also an easy-to-read performance chart and fee
table right up front.

Inside, you will find additional features we've introduced to make the
fund prospectus a more useful tool. In our new Shareholder Information
section, for example, we have provided practical, beneficial
information - from how to buy or sell shares, key contact information,
investment services, ways to set up your account and more - all in one
convenient location.

We invite you to spend a moment and review our new prospectus. It is
designed to help make your investment decision easier, no matter which
of the Fidelity funds you invest in.

INVESTMENT ADVISER

Fidelity Management & Research Company
Boston, MA

INVESTMENT SUB-ADVISERS

Fidelity Management & Research
(U.K.) Inc., London, England
Fidelity Management & Research
(Far East) Inc., Tokyo, Japan

OFFICERS

Edward C. Johnson 3d, President
Robert C. Pozen, Senior Vice President
Eric D. Roiter, Secretary
Richard A. Silver, Treasurer
Matthew N. Karstetter, Deputy Treasurer
John H. Costello, Assistant Treasurer
Leonard M. Rush, Assistant Treasurer

BOARD OF TRUSTEES

Ralph F. Cox *
Phyllis Burke Davis *
Robert M. Gates *
Edward C. Johnson 3d
E. Bradley Jones *
Donald J. Kirk *
Peter S. Lynch
Marvin L. Mann *
William O. McCoy *
Gerald C. McDonough *
Robert C. Pozen
Thomas R. Williams *

ADVISORY BOARD

J. Gary Burkhead
Abigail P. Johnson

* INDEPENDENT TRUSTEES

(dagger) CUSTODIAN FOR FIDELITY ADVISOR NATURAL RESOURCES FUND ONLY

GENERAL DISTRIBUTOR

Fidelity Distributors Corporation
Boston, MA

TRANSFER AND SHAREHOLDER
SERVICING AGENT

Fidelity Investments Institutional Operations Company, Inc.
Boston, MA

CUSTODIAN

The Chase Manhattan Bank
New York, NY

Brown Brothers Harriman & Co. (dagger)
Boston, MA

<TABLE>
<CAPTION>
<S> <C>
(fidelity_logo_graphic)(registered trademark) BULK RATE
Fidelity Investments Institutional Services Co., Inc. U.S. POSTAGE
P.O. Box 505422 P A I D
Cincinnati, OH 45250-5422 F I D E L I T Y
INVESTMENTS
</TABLE>

<TABLE>
<CAPTION>
<S> <C>
(recycle_graphic) Printed on Recycled Paper AFOC-ANN-0999 83816
1.536453.102
</TABLE>

(2_FIDELITY_LOGOS)(registered trademark)

FIDELITY ADVISOR
FOCUS FUNDSSM
INSTITUTIONAL CLASS

Consumer Industries

Cyclical Industries

Financial Services

Health Care

Natural Resources

Technology

Utilities Growth

ANNUAL REPORT
FOR THE YEAR ENDING
JULY 31, 1999
AND
PROSPECTUS
DATED SEPTEMBER 29, 1999

CONTENTS

<TABLE>
<CAPTION>
<S> <C> <C>
PERFORMANCE OVERVIEW A-4

CONSUMER INDUSTRIES A-5 PERFORMANCE
A-6 FUND TALK: THE
MANAGERS' OVERVIEW
A-7 INVESTMENT SUMMARY
A-8 INVESTMENTS
A-11 FINANCIAL
STATEMENTS
A-15 NOTES TO THE
FINANCIAL STATEMENTS

CYCLICAL INDUSTRIES A-19 PERFORMANCE
A-20 FUND TALK: THE
MANAGER'S OVERVIEW
A-21 INVESTMENT SUMMARY
A-22 INVESTMENTS
A-24 FINANCIAL
STATEMENTS
A-28 NOTES TO THE
FINANCIAL STATEMENTS

FINANCIAL SERVICES A-32 PERFORMANCE
A-33 FUND TALK: THE
MANAGER'S OVERVIEW
A-34 INVESTMENT SUMMARY
A-35 INVESTMENTS
A-37 FINANCIAL
STATEMENTS
A-41 NOTES TO THE
FINANCIAL STATEMENTS

HEALTH CARE A-45 PERFORMANCE
A-46 FUND TALK: THE
MANAGERS' OVERVIEW
A-47 INVESTMENT SUMMARY
A-48 INVESTMENTS
A-50 FINANCIAL
STATEMENTS
A-54 NOTES TO THE
FINANCIAL STATEMENTS

NATURAL RESOURCES A-58 PERFORMANCE
A-59 FUND TALK: THE
MANAGER'S OVERVIEW
A-60 INVESTMENT SUMMARY
A-61 INVESTMENTS
A-63 FINANCIAL
STATEMENTS
A-67 NOTES TO THE
FINANCIAL STATEMENTS

TECHNOLOGY A-71 PERFORMANCE
A-72 FUND TALK: THE
MANAGER'S OVERVIEW
A-73 INVESTMENT SUMMARY
A-74 INVESTMENTS
A-77 FINANCIAL
STATEMENTS
A-81 NOTES TO THE
FINANCIAL STATEMENTS

UTILITIES GROWTH A-85 PERFORMANCE
A-86 FUND TALK: THE
MANAGER'S OVERVIEW
A-87 INVESTMENT SUMMARY
A-88 INVESTMENTS
A-90 FINANCIAL
STATEMENTS
A-94 NOTES TO THE
FINANCIAL STATEMENTS

INDEPENDENT AUDITORS' REPORT A-98 THE AUDITORS' OPINION.

DISTRIBUTIONS A-99

OF SPECIAL NOTE A-100

PROSPECTUS P-1

</TABLE>

Standard & Poor's, S&P and S&P 500 are registered service marks of The
McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity
Distributors Corporation.

Other third party marks appearing herein are the property of their
respective owners.

All other marks appearing herein are registered or unregistered
trademarks or service marks of FMR Corp. or an affiliated company.

This report is printed on recycled paper using soy-based inks.

NEITHER THE FUNDS NOR FIDELITY DISTRIBUTORS CORPORATION IS A BANK.

FOR MORE INFORMATION ON ANY FIDELITY ADVISOR FUND, INCLUDING CHARGES
AND EXPENSES, CONTACT YOUR INVESTMENT PROFESSIONAL FOR A FREE
PROSPECTUS. READ IT CAREFULLY BEFORE YOU INVEST OR SEND MONEY.

PERFORMANCE OVERVIEW

ADVISOR CONSUMER INDUSTRIES FUND - INSTITUTIONAL CLASS
PERFORMANCE

PERFORMANCE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CONSUMER - INST CL 13.87% 97.73%

S&P 500 20.20% 112.70%

GS Consumer Industries 11.31% 84.70%

CUMULATIVE TOTAL RETURNS show Institutional Class shares' performance
in percentage terms over a set period - in this case, one year or
since the fund started on September 3, 1996. You can compare
Institutional Class shares' returns to the performance of both the
Standard & Poor's 500 Index - a market capitalization-weighted index
of common stocks - and the Goldman Sachs Consumer Industries Index - a
market capitalization-weighted index of 300 stocks designed to measure
the performance of companies in the consumer industries sector. Issues
in the index include providers of consumer services and products,
including producers of beverages - alcoholic and non-alcoholic, food,
personal care, household products, and tobacco companies. These
benchmarks include reinvested dividends and capital gains, if any, and
exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED JULY 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY ADV CONSUMER - INST CL 13.87% 26.43%

S&P 500 20.20% 29.64%

GS Consumer Industries 11.31% 23.50%

AVERAGE ANNUAL RETURNS take Institutional Class shares' cumulative
return and show you what would have happened if Institutional Class
shares had performed at a constant rate each year.

$10,000 OVER LIFE OF FUND
FA CONSUMER IND -CL I S&P 500
GS CONSUMER INDUSTRIES
00205 SP001
GS002
1996/09/03 10000.00 10000.00
10000.00
1996/09/30 10560.00 10516.69
10513.26
1996/10/31 10680.00 10806.74
10515.20
1996/11/30 11050.00 11623.62
11025.10
1996/12/31 10860.20 11393.36
10884.77
1997/01/31 11383.58 12105.21
11305.36
1997/02/28 11524.49 12200.12
11695.56
1997/03/31 11192.34 11698.81
11296.69
1997/04/30 11383.58 12397.23
11790.13
1997/05/31 12259.24 13151.98
12465.57
1997/06/30 12883.27 13741.19
12976.04
1997/07/31 13597.89 14834.57
13662.47
1997/08/31 13124.83 14003.54
12875.85
1997/09/30 13966.13 14770.51
13567.42
1997/10/31 13723.24 14277.18
13296.15
1997/11/30 14407.74 14938.07
14130.89
1997/12/31 14871.94 15194.56
14591.98
1998/01/31 14803.03 15362.61
14472.66
1998/02/28 15871.05 16470.56
15602.11
1998/03/31 16789.78 17314.02
16489.31
1998/04/30 16686.43 17488.19
16327.46
1998/05/31 16778.30 17187.57
16451.19
1998/06/30 17628.12 17885.73
17157.68
1998/07/31 17363.99 17695.25
16593.20
1998/08/31 14917.87 15136.87
14250.87
1998/09/30 15096.88 16106.54
14330.43
1998/10/31 16925.69 17416.64
16100.92
1998/11/30 17919.87 18472.27
17178.98
1998/12/31 19208.63 19536.64
18227.30
1999/01/31 19589.12 20353.66
18442.58
1999/02/28 19405.01 19721.07
18139.22
1999/03/31 19724.13 20510.11
18457.02
1999/04/30 19981.89 21304.46
18831.12
1999/05/31 19625.94 20801.47
18406.85
1999/06/30 20411.47 21955.95
19134.43
1999/07/30 19773.23 21270.48
18470.42
IMATRL PRASUN SHR__CHT 19990731 19990920 130333 R00000000000038

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Advisor Consumer Industries - Institutional Class
on September 3, 1996, when the fund started. As the chart shows, by
July 31, 1999, the value of the investment would have grown to $19,773
- - a 97.73% increase on the initial investment. For comparison, look at
how the Standard & Poor's 500 Index did over the same period. With
dividends and capital gains, if any, reinvested, the same $10,000
investment would have grown to $21,270 - a 112.70% increase. If
$10,000 was invested in the Goldman Sachs Consumer Industries Index,
it would have grown to $18,470 - a 84.70% increase.

(checkmark)UNDERSTANDING PERFORMANCE

ADVISOR CONSUMER INDUSTRIES FUND
FUND TALK: THE MANAGERS' OVERVIEW

(photograph of Doug Chase)(photograph of John Porter)

Q. HOW DID THE FUND PERFORM, DOUG?

D.C. During the 12-month period that ended July 31, 1999, the fund's
Institutional Class shares returned 13.87%, outpacing the Goldman
Sachs Consumer Industries Index - an index of 300 stocks designed to
measure the performance of companies in the consumer industries sector
- - which returned 11.31% during the same period. The Standard & Poor's
500 Index returned 20.20% over the same 12-month period.