SUPPLEMENT TO THE FIDELITY INSURED MUNICIPAL INCOME FUND FEBRUARY 28, 1997
PROSPECTUS
The following changes are effective April 1, 1997:
The fund has changed its name to Spartan Insured Municipal Income Fund.
The minimum investments have been changed to the following:
TO OPEN AN ACCOUNT $10,000
TO ADD TO AN ACCOUNT $1,000
Through regular investment plans $500
MINIMUM BALANCE $5,000
The minimum check amount has been increased to $1,000.
References to the minimums throughout the prospectus are changed to the
above minimums.
The following information replaces similar information found in "Expenses"
on page 5:
EXPENSES
SHAREHOLDER TRANSACTION EXPENSES are charges you may pay when you buy or
sell shares of a fund. In addition, you may be charged an annual account
maintenance fee if your balance falls below $2,500. See "Transaction
Details," page 25, for an explanation of how and when these charges apply.
Maximum sales charge on purchases None
and reinvested distributions
Deferred sales charge on redemptions None
Exchange Fee None
Annual account maintenance fee $12.0
(for accounts under $2,500) 0
ANNUAL FUND OPERATING EXPENSES are paid out of the fund's assets. The fund
pays a management fee to FMR. It also incurs other expenses for services
such as maintaining shareholder records and furnishing shareholder
statements and financial reports. The fund's expenses are factored into its
share price or dividends and are not charged directly to shareholder
accounts (see page 15).
The following figures are based on historical expenses, adjusted to reflect
current fees, and are calculated as a percentage of average net assets.
Management fee (after reimbursement) .34%
12b-1 fee None
Other expenses .21%
Total fund operating expenses .55%
(after reimbursement)
EXAMPLES: Let's say, hypothetically, that the fund's annual return is 5%
and that its operating expenses are exactly as just described. For every
$1,000 you invested, here's how much you would pay in total expenses after
the number of years indicated:
After 1 year $ 6
After 3 years $ 18
After 5 years $ 31
After 10 years $ 69
These examples illustrate the effect of expenses, but are not meant to
suggest actual or expected costs or returns, all of which may vary.
Effective April 1, 1997, FMR voluntarily agreed to implement an expense
cap. FMR will reimburse the fund to the extent that total operating
expenses exceeds .55%. The fund has entered into arrangements with its
custodian and transfer agent whereby interest earned on uninvested cash
balances is used to reduce custodian and transfer agent expenses. If these
agreements were not in effect, the management fee and total operating
expenses would be .40% and .61%, respectively.
SUPPLEMENT TO THE FIDELITY AGGRESSIVE MUNICIPAL FUND
FEBRUARY 28, 1997
PROSPECTUS
Effective April 15, 1997, the following information replaces the similar
information found in "Charter" on page 8:
David Murphy is manager of Aggressive Municipal, which he has managed since
April 1997. He also manages several other Fidelity funds. Mr. Murphy joined
Fidelity as a portfolio manager in 1989.
The following changes are effective April 1, 1997:
The minimum investments have been changed to the following:
TO OPEN AN ACCOUNT $10,000
TO ADD TO AN ACCOUNT $1,000
Through regular investment plans $500
MINIMUM BALANCE $5,000
References to the minimums throughout the prospectus are changed to the
above minimums.
The following information replaces similar information found in "Expenses"
on page 4:
EXPENSES
SHAREHOLDER TRANSACTION EXPENSES are charges you may pay when you
buy or sell shares of a fund. In addition, you may be charged an annual
account maintenance fee if your balance falls below $2,500. See
"Transaction Details," page 25, for an explanation of how and when these
charges apply.
Maximum sales charge on purchases None
and reinvested distributions
Deferred sales charge on redemptions None
Redemption fee (as a % of amount redeemed on shares held less than 1.00
180 days) %
Exchange Fee None
Annual account maintenance fee $12.0
(for accounts under $2,500) 0
ANNUAL FUND OPERATING EXPENSES are paid out of each fund's
assets. The fund pays a management fee to FMR. It also incurs other
expenses for services such as maintaining shareholder records and
furnishing shareholder statements and financial reports. The fund's
expenses are factored into its share price or dividends and are not charged
directly to shareholder accounts (see page 15).
The following figures are based on historical expenses, adjusted to reflect
current fees, and are calculated as a percentage of average net assets.
Management fee 0.37
(after reimbursement) %
12b-1 fee None
Other expenses 0.18
%
Total fund operating expenses 0.55
(after reimbursement) %
EXAMPLES: Let's say, hypothetically, that the fund's annual
return is 5% and that its operating expenses are exactly as just described.
For every $1,000 you invested, here's how much you would pay in total
expenses after the number of years indicated.
After 1 year $ 6
After 3 years $18
After 5 years $31
After 10 years $69
These examples illustrate the effect of expenses, but are not meant to
suggest actual or expected costs or returns, all of which may vary.
FMR voluntarily agreed to implement a management fee reduction of 0.05%,
effective March 1, 1997, and to reimburse the fund to the extent that total
operating expenses exceed 0.55%, effective April 1, 1997. If these
agreements were not in effect, the management fee and total operating
expenses would be 0.45% and 0.63%, respectively.
In the Financial Highlights table on page 5, the line item "Total from
investment operations" should be $.392 for the year ended December 31, 1996
instead of $(.392) as previously reported.
SUPPLEMENT TO THE
FIDELITY MICHIGAN,
MINNESOTA, AND OHIO MUNICIPAL FUNDS' FEBRUARY 28, 1997 PROSPECTUS
The following changes are effective April 1, 1997:
Fidelity Michigan Municipal Income Fund has changed its name to
Spartan(registered trademark) Michigan Municipal Income Fund.
Fidelity Minnesota Municipal Income Fund has changed its name to Spartan
Minnesota Municipal Income Fund.
Fidelity Ohio Municipal Income Fund has changed its name to Spartan Ohio
Municipal Income Fund.
With respect to Spartan Michigan Municipal Income Fund, Spartan Minnesota
Municipal Income Fund, and Spartan Ohio Municipal Income Fund, the minimum
investments have been changed to the following:
TO OPEN AN ACCOUNT $10,000
TO ADD TO AN ACCOUNT $1,000
Through regular investment plans $500
MINIMUM BALANCE $5,000
With respect to Spartan Michigan Municipal Income Fund, Spartan Minnesota
Municipal Income Fund, and Spartan Ohio Municipal Income Fund, the minimum
check amount has been increased to $1,000.
References to the minimums throughout the prospectus are changed to the
referenced minimums with respect to Spartan Michigan Municipal Income Fund,
Spartan Minnesota Municipal Income Fund, and Spartan Ohio Municipal Income
Fund.
The following information replaces similar information found in "Expenses"
on page 5:
EXPENSES
SHAREHOLDER TRANSACTION EXPENSES are charges you pay when you buy or sell
shares of a fund. In addition, you may be charged an annual account
maintenance fee if your balance falls below $2,500. See "Transaction
Details," page 36 for an explanation of how and when these charges apply.
Maximum sales charge on purchases None
and reinvested distributions
Deferred sales charge on redemptions None
Redemption fee (as a % of amount redeemed on shares held less None
than 180 days)
Exchange Fee None
Annual account maintenance fee $12.0
(for accounts under $2,500) 0
ANNUAL FUND OPERATING EXPENSES are paid out of each fund's assets. Each
fund pays a management fee to FMR. It also incurs other expenses for
services such as maintaining shareholder records and furnishing shareholder
statements and financial reports. The fund's expenses are factored into its
share price or dividends and are not charged directly to shareholder
accounts (see page 25).
The following figures are based on historical expenses, adjusted to reflect
current fees, and are calculated as a percentage of average net assets.
SPARTAN MI MUNI INCOME
Management fee .36%
12b-1 fee None
Other expenses .19%
Total fund operating expenses .55%
SPARTAN MN MUNI INCOME
Management fee .35%
12b-1 fee None
Other expenses .20%
Total fund operating expenses .55%
SPARTAN OH MUNI INCOME
Management fee .36%
12b-1 fee None
Other expenses .19%
Total fund operating expenses .55%
EXAMPLES: Let's say, hypothetically, that each fund's annual return is 5%
and that its operating expenses are exactly as just described. For every
$1,000 you invested, here's how much you would pay in total expenses after
the number of years indicated.
SPARTAN MI MUNI INCOME
After 1 year $ 6
After 3 years $ 18
After 5 years $ 31
After 10 years $ 69
SPARTAN MN MUNI INCOME
After 1 year $ 6
After 3 years $ 18
After 5 years $ 31
After 10 years $ 69
After 1 year $ 6
SPARTAN OH MUNI INCOME
After 3 years $ 18
After 5 years $ 31
After 10 years $ 69
These examples illustrate the effect of expenses, but are not meant to
suggest actual or expected costs or returns, all of which may vary.
Effective April 1, 1997, FMR voluntarily agreed to implement an expense cap
for Spartan Michigan Municipal Income Fund, Spartan Minnesota Municipal
Income Fund, and Spartan Ohio Municipal Income Fund. FMR will reimburse
each fund to the extent that total operating expenses exceed .55%. Each
fund has entered into arrangements with its custodian and transfer agent
whereby interest earned on uninvested cash balances is used to reduce
custodian and transfer agent expenses. If these agreements were not in
effect, the management fee and total operating expenses would be .40% and
.59% for Spartan Michigan Municipal Income Fund, .40% and .60% for Spartan
Minnesota Municipal Income Fund, and .40% and .59% for Spartan Ohio
Municipal Income Fund.
The following information replaces similar information found in "Charter"
on page 17:
George Fischer is manager of Spartan Ohio Municipal Income, which he has
managed since April 1997. He also manages several other Fidelity funds.
Since joining Fidelity in 1989, Mr. Fischer has worked as an analyst and
manager.
SUPPLEMENT TO THE SPARTAN(registered trademark) PENNSYLVANIA MUNICIPAL
FUNDS
FEBRUARY 28, 1997
PROSPECTUS
The following changes are effective April 1, 1997:
With respect to Spartan Pennsylvania Municipal Income Fund, the following
fees for individual transactions have been eliminated: the $5.00 exchange
fee, the $5.00 wire fee, and the $5.00 account closeout fee. References to
these fees throughout the prospectus are no longer in effect with respect
to Spartan Pennsylvania Municipal Income Fund.
The following information replaces similar information found in "Expenses"
beginning on page 5:
EXPENSES
SHAREHOLDER TRANSACTION EXPENSES are charges you may pay when you buy,
sell, or exchange shares of a fund. In addition, you may be charged an
annual account maintenance fee if your balance falls below $2,500. See
"Transaction Details," page 30 for an explanation of how and when these
charges apply.
<TABLE>
<CAPTION>
<S> <C>
Maximum sales charge on purchases None
and reinvested distributions
Deferred sales charge on redemptions None
Redemption fee (as a % of amount redeemed on shares held less None
than 180 days) .50%
for Spartan PA Municipal Money Market
for Spartan PA Municipal Income
Exchange and wire transaction fees (for Spartan PA Municipal Money $5.00
Market only)
Checkwriting fee, per check written (available for Spartan PA Municipal $2.00
Money Market)
Account closeout fee (for Spartan PA Municipal Money Market only) $5.00
Annual account maintenance fee $12.0
(for accounts under $2,500) 0
</TABLE>
THESE FEES ARE WAIVED (except for the redemption fee) if your account
balance at the time of the transaction is $50,000 or more.
EXAMPLES: Let's say, hypothetically, that each fund's annual return is 5%
and that its operating expenses are exactly as just described. For every
$1,000 you invested, here's how much you would pay in total expenses after
the number of years indicated. Figures for Spartan Pennsylvania Municipal
Money Market assume that you leave your account open, and then assume that
you close your account at the end of the period:
After 1 year $ 6
After 3 years $ 18
After 5 years $ 31
After 10 years $ 69
These examples illustrate the effect of expenses, but are not meant to
suggest actual or expected costs or returns, all of which may vary.
The following information replaces the similar information found in the
"Charter" section on page 12:
Jonathan Short is manager of Spartan Pennsylvania Municipal Income, which
he has managed since April 1997. He also manages several other Fidelity
funds. Since joining Fidelity in 1990, Mr. Short has worked as an analyst
and manager.
SUPPLEMENT TO THE FIDELITY ADVISOR FUNDS
CLASS A, CLASS T, AND CLASS B FEBRUARY 28,1997 PROSPECTUS
The following information replaces similar information on the cover page.
High Yield and Strategic Income may each invest without limitation in
lower-quality debt securities, sometimes called "junk bonds." Investors
should consider that these securities carry greater risks, such as the risk
of default, than other debt securities. Refer to "Investment Principles and
Risks" on page 40 for further information.
The following information replaces similar information found in "Who May
Want to Invest" on page 3.
High Income Municipal, Municipal Bond, Intermediate Municipal Income, and
Short-Intermediate Municipal Income are designed for investors in higher
tax brackets who seek high current income that is free from federal income
tax. Municipal Bond, Intermediate Municipal Income, and Short-Intermediate
Municipal Income also invest consistent with consideration of capital
preservation. High Income Municipal may invest in lower-quality municipal
securities which invoke greater risks than the investment-grade securities.
The following information replaces similar information found in "Key
Facts," footnote F on page 36.
CLASS A OF MUNICIPAL BOND IS EXPECTED TO COMMENCE OPERATIONS ON OR ABOUT
FEBRUARY 28, 1997. RETURNS BETWEEN JULY 1, 1996 AND FEBRUARY 28, 1997 ARE
THOSE OF CLASS T AND REFLECT CLASS T'S 0.25% 12B-1 FEE. RETURNS PRIOR TO
THAT DATE ARE THOSE OF INITIAL CLASS, THE ORIGINAL CLASS OF THE FUND WHICH
DOES NOT BEAR A 12B-1 FEE. CLASS A'S RETURNS WOULD HAVE BEEN LOWER IF ITS
12B-1 FEE WAS REFLECTED IN RETURNS PRIOR TO JULY 1, 1996.
INITIAL OFFERING OF CLASS B SHARES OF EQUITY GROWTH TOOK PLACE ON DECEMBER
31, 1996. CLASS B SHARES BEAR A 12B-1 FEE (INCLUDING A SHAREHOLDER
SERVICING FEE), WHICH IS NOT REFLECTED IN PRIOR RETURN DATES. RETURNS
BETWEEN SEPTEMBER 10, 1992 AND DECEMBER 31, 1996 ARE THOSE OF CLASS T AND
REFLECT CLASS T'S APPLICABLE 12B-1 FEE (0.65% PRIOR TO JANUARY 1, 1996).
RETURNS PRIOR TO SEPTEMBER 10, 1992 ARE THOSE OF INSTITUTIONAL CLASS, THE
ORIGINAL CLASS OF THE FUND, WHICH DOES NOT BEAR A 12B-1 FEE. CLASS B
RETURNS WOULD HAVE BEEN LOWER IF ITS 12B-1 FEE (INCLUDING A SHAREHOLDER
SERVICING FEE) HAD BEEN REFLECTED IN PRIOR DATE RETURNS.
INITIAL OFFERING OF CLASS B SHARES OF BALANCED TOOK PLACE ON DECEMBER 31,
1996. CLASS B SHARES BEAR A 12B-1 FEE (INCLUDING A SHAREHOLDER SERVICING
FEE), WHICH IS NOT REFLECTED IN PRIOR RETURN DATES. RETURNS BETWEEN JANUARY
6, 1987 AND DECEMBER 31, 1996 ARE THOSE OF CLASS T AND REFLECT CLASS T'S
APPLICABLE 12B-1 FEE (0.65% PRIOR TO JANUARY 1, 1996). CLASS B RETURNS
WOULD HAVE BEEN LOWER IF ITS 12B-1 FEE (INCLUDING A SHAREHOLDER SERVICING
FEE) HAD BEEN REFLECTED IN PRIOR DATE RETURNS.
Effective April 15, 1997, the following information replaces similar
information under the heading "FMR and Its Affiliates" in the "Charter"
section beginning on page 38.
George Fischer is manager of Advisor Municipal Bond and Advisor High Income
Municipal, which he has managed since October 1995 and April 1997,
respectively. He also manages several other Fidelity funds. Since joining
Fidelity in 1989, Mr. Fischer has worked as an analyst and manager.
The following information supplements similar information found in "FMR and
Its Affiliates" on page 40.
As of January 31, 1997, approximately 29% of New York Municipal Income's
total outstanding shares were held by FMR Corp.
Effective March 17,1997, the following information replaces similar
information found in "Investment Principles and Risks" on page 43.
HIGH INCOME MUNICIPAL FUND seeks high current income that is free from
federal income tax by investing primarily in investment-grade municipal
securities. The fund may also invest up to 35% of its assets in below
investment-grade securities. FMR normally invests so that at least 80% of
the fund's assets are invested in municipal securities whose interest is
free from federal income tax. In addition, FMR may invest all of the
fund's assets in municipal securities issued to finance private activities.
The interest from these securities is a tax preference item for the
purposes of the federal alternative minimum tax.
Although the fund can invest in securities of any maturity, FMR seeks to
manage the fund so that it generally reacts to changes in interest rates
similarly to municipal bonds with maturities between eight and 18 years.
As of October 31, 1996, the fund's dollar-weighted average maturity was
approximately 16.4 years.
Effective March 17, 1997, the following information replaces similar
information found in "Securities and Investment Practices" on page 46.
High Income Municipal currently intends to limit its investments in below
investment-grade securities to less than 35% of its assets and does not
currently intend to invest more than 10% of its total assets in bonds that
are in default. A security is considered to be investment-grade quality if
it is rated investment-grade by Moody's Investor Service, Standard and
Poor's, Duff & Phelps Credit Rating Co., or Fitch Investors Service L.P.,
or is unrated but judged by FMR to be equivalent quality.
SUPPLEMENT TO THE FIDELITY ADVISOR FUNDS
INSTITUTIONAL CLASS FEBRUARY 28,1997 PROSPECTUS
The following information replaces similar information on the cover page.
High Yield and Strategic Income may each invest without limitation in
lower-quality debt securities, sometimes called "junk bonds." Investors
should consider that these securities carry greater risks, such as the risk
of default, than other debt securities. Refer to "Investment Principles and
Risks" on page 23 for further information.
The following information replaces similar information found in "Who May
Want to Invest" on page 3.
High Income Municipal, Municipal Bond, Intermediate Municipal Income, and
Short-Intermediate Municipal Income are designed for investors in higher
tax brackets who seek high current income that is free from federal income
tax. Municipal Bond, Intermediate Municipal Income, and Short-Intermediate
Municipal Income also invest consistent with consideration of capital
preservation. High Income Municipal may invest in lower-quality municipal
securities which invoke greater risks than the investment-grade securities.
Effective April 15, 1997, the following information replaces similar
information under the heading "FMR and Its Affiliates" in the "Charter"
section beginning on page 21.
George Fischer is manager of Advisor Municipal Bond and Advisor High Income
Municipal, which he has managed since October 1995 and April 1997,
respectively. He also manages several other Fidelity funds. Since joining
Fidelity in 1989, Mr. Fischer has worked as an analyst and manager.
The following information supplements similar information found in "FMR and
Its Affiliates" on page 23.
As of January 31, 1997, approximately 29% of New York Municipal Income's
total outstanding shares were held by FMR Corp.
Effective March 17, 1997, the following information replaces similar
information found in "Investment Principles and Risks" on page 26.
HIGH INCOME MUNICIPAL FUND seeks high current income that is free from
federal income tax by investing primarily in investment-grade municipal
securities. The fund may also invest up to 35% of its assets in below
investment-grade securities. FMR normally invests so that at least 80% of
the fund's assets are invested in municipal securities whose interest is
free from federal income tax. In addition, FMR may invest all of the
fund's assets in municipal securities issued to finance private activities.
The interest from these securities is a tax preference item for the
purposes of the federal alternative minimum tax.
Although the fund can invest in securities of any maturity, FMR seeks to
manage the fund so that it generally reacts to changes in interest rates
similarly to municipal bonds with maturities between eight and 18 years. As
of October 31, 1996, the fund's dollar-weighted average maturity was
approximately 16.4 years.
Effective March 17, 1997, the following information replaces similar
information found in "Securities and Investment Practices" on page 29.
High Income Municipal currently intends to limit its investments in below
investment-grade securities to less than 35% of its assets and does not
currently intend to invest more than 10% of its total assets in bonds that
are in default. A security is considered to be investment-grade if it is
rated investment-grade by Moody's Investor Service, Standard and Poor's,
Duff & Phelps Credit Rating Co., or Fitch Investors Service, L.P., or is
unrated but judged by FMR to be of equivalent quality.
