SUPPLEMENT TO THE FIDELITY SELECT
PORTFOLIOS(registered trademark) APRIL 29, 1999 PROSPECTUS
Effective the close of business on December 20, 1999, shares of Select
Precious Metals and Minerals Portfolio will no longer be available for
purchase except through the reinvestment of dividends and other
distributions by shareholders of the fund on December 20, 1999.
PROPOSED REORGANIZATION. The Board of Trustees of Fidelity Select
Portfolios has unanimously approved an Agreement and Plan of
Reorganization ("Agreement") between Select Precious Metals and
Minerals Portfolio and Select Gold Portfolio.
The Agreement provides for the transfer of all of the assets and the
assumption of all of the liabilities of Select Precious Metals and
Minerals Portfolio solely in exchange for the number of shares of
Select Gold Portfolio equal in value to the relative net asset value
of the outstanding shares of Select Precious Metals and Minerals
Portfolio. Following such exchange, Select Precious Metals and
Minerals Portfolio will distribute the Select Gold Portfolio shares to
its shareholders pro rata, in liquidation of Select Precious Metals
and Minerals Portfolio as provided in the Agreement (the transactions
contemplated by the Agreement referred to as the "Reorganization").
The Reorganization can be consummated only if, among other things, it
is approved by a majority vote of shareholders. A Special Meeting (the
"Meeting") of the Shareholders of Select Precious Metals and Minerals
Portfolio will be held on February 16, 2000, and approval of the
Agreement will be voted on at that time. In connection with the
Meeting, Select Precious Metals and Minerals Portfolio will be filing
with the Securities and Exchange Commission and delivering to its
shareholders of record a Proxy Statement describing the Reorganization
and a Prospectus for Select Gold Portfolio.
If the Agreement is approved at the Meeting and certain conditions
required by the Agreement are satisfied, the Reorganization is
expected to become effective on or about February 29, 2000. If
shareholder approval of the Agreement is delayed due to failure to
meet a quorum or otherwise, the Reorganization will become effective,
if approved, as soon as practicable thereafter.
In the event Select Precious Metals and Minerals Portfolio
shareholders fail to approve the Agreement, Select Precious Metals and
Minerals Portfolio will continue to engage in business as a registered
investment company and the Board of Trustees will consider other
proposals for the reorganization or liquidation of Select Precious
Metals and Minerals Portfolio.
REGIONAL BANKS PORTFOLIO HAS CHANGED ITS NAME TO "BANKING PORTFOLIO."
References in the Prospectus to "Regional Banks Portfolio" are each
hereby replaced by "Banking Portfolio" and references to "Regional
Banks" are each hereby replaced by "Banking."
The following information replaces similar information for "Banking
Portfolio" found in the "Fund Summary" section on page P-15:
PRINCIPAL INVESTMENT STRATEGIES
FMR's principal investment strategies include:
(small solid bullet) Investing primarily in common stocks.
(small solid bullet) Investing at least 80% of assets in securities of
companies principally engaged in accepting deposits and making
commercial and principally non-mortgage consumer loans.
(small solid bullet) Investing in domestic and foreign issuers.
(small solid bullet) Using fundamental analysis of each issuer's
financial condition and industry position and market and economic
conditions to select investments.
The following information replaces similar information found under
the heading "Average Annual Returns" in the "Fund Summary" section on
page P-31:
The returns in the following table include the effect of each
fund's 3.00% maximum applicable front-end sales charge and each stock
fund's $7.50 redemption fee (trading fee).
The following information replaces the second paragraph for
"Environmental Services Portfolio" found under the heading "Principal
Investment Strategies" in the "Fund Basics" section beginning on page
P-46:
FMR normally invests at least 80% of the fund's assets in securities
of companies principally engaged in the research, development,
manufacture or distribution of products, processes, or services
related to waste management or pollution control. These companies may
include, for example, companies involved in the transportation,
treatment, or disposal of hazardous or other wastes; transforming
waste into energy; recycling; and remedial projects such as
groundwater and underground storage tank decontamination, asbestos
cleanup, and emergency cleanup response. They may also include
companies involved in the detection, analysis, evaluation, and
treatment of both existing and potential environmental problems such
as contaminated water, air pollution, and acid rain; companies that
provide sanitation or filtration equipment or services; companies
involved in the reduction of hazardous emissions or other pollution
reduction or prevention efforts; and companies that provide design,
engineering, construction, and consulting services to companies
engaged in waste management or pollution control.
The following information replaces the second paragraph for "Banking
Portfolio" found under the heading "Principal Investment Strategies"
in the "Fund Basics" section on page P-52:
FMR normally invests at least 80% of the fund's assets in securities
of companies principally engaged in accepting deposits and making
commercial and principally non-mortgage consumer loans. These
companies may include, for example, state chartered banks, savings and
loan institutions, banks that are members of the Federal Reserve
System, and U.S. institutions whose deposits are not insured by the
federal government. In addition, these companies may offer merchant
banking, consumer and commercial finance, discount brokerage, leasing
and insurance.
The following information replaces similar information found under the
heading "Fund Management" in the "Fund Services" section beginning on
page P-69:
Ramin Arani is an analyst and manager of Health Care, which he has
managed since August 1999. He also manages other Fidelity funds. Mr.
Arani joined Fidelity as a research associate in 1992.
Steven Calhoun is manager of Retailing, which he has managed since
August 1999. Mr. Calhoun joined Fidelity as a research analyst in
1994.
Matthew Fruhan is manager of Food and Agriculture, which he has
managed since November 1999. Mr. Fruhan joined Fidelity in 1995 and
became an equity analyst in 1999 after receiving his MBA from Harvard
Business School in 1999.
Ian Gutterman is manager of Environmental Services, which he has
managed since November 1999. Mr. Gutterman joined Fidelity as an
equity analyst in 1999 after receiving his MBA from the University of
Chicago.
Douglas Nigen is manager of Automotive, which he has managed since
September 1999. Mr. Nigen joined Fidelity as a research analyst in
1997 after receiving his MBA from the University of Chicago.
Scott Offen is manager of Energy and Natural Resources, both of which
he has managed since September 1999. He also manages another Fidelity
fund. Since joining Fidelity in 1985, Mr. Offen has worked as a
research analyst and portfolio manager.
Shep Perkins is an analyst and manager of Medical Delivery, which he
has managed since August 1999. Mr. Perkins joined Fidelity as an
equity research associate in 1997.
John Porter is manager of Consumer Industries, which he has managed
since September 1999. He also manages another Fidelity fund. Mr.
Porter joined Fidelity as an analyst in 1995, after receiving his MBA
from the University of Chicago.
John Roth is manager of Utilities Growth, which he has managed since
November 1999. Mr. Roth joined Fidelity as an equity analyst in 1999
after receiving his MBA from MIT Sloan School of Management in 1999.
Dylan Yolles is manager of Software and Computer Services, which he
has managed since September 1999. Mr. Yolles joined Fidelity in 1997
as an equity analyst, after receiving a bachelor of arts degree in
1991 and an MBA in 1997, both from Stanford University.
Jonathan Zang is manager of Chemicals, which he has managed since
September 1999. Mr. Zang joined Fidelity in 1997 as an equity analyst,
after receiving his MBA from the University of Chicago in 1997.
Previously, he was an investment officer with Hawaiian Trust Company,
in Honolulu, from 1992 to 1995.
Christian Zann is an analyst and manager of Natural Gas, which he has
managed since August 1999. Mr. Zann joined Fidelity as an equity
research associate in 1996.
The following information replaces the fourth paragraph found under
the heading "Fund Distribution" in the "Fund Services" section on page
P-71:
Each stock fund's sales charge may be reduced if you buy directly
through Fidelity or through prototype or prototype-like retirement
plans sponsored by FMR or FMR Corp. The amount you invest, plus the
value of your account, must fall within the ranges shown below.
Purchases made with assistance or intervention from a financial
intermediary are not eligible for a sales charge reduction.
