F U N D P R O F I L E
EDGAR Submission type: 497K1
Filed pursuant to Rule 497(k)(1)(i)
SPARTAN(REGISTERED TRADEMARK)
INVESTMENT GRADE BOND
FUND
SPARTAN INVESTMENT GRADE BOND FUND
[EFFECTIVE DATE:___]
This Profile summarizes key information about the fund that is
included in the fund's prospectus. The fund's prospectus includes
additional information about the fund, including a more detailed
description of the risks associated with investing in a fund that you
may want to consider before you invest. You may obtain the prospectus
and other information about the funds at no cost by calling
Fidelity(registered trademark) at 1-800-544-8888 or visiting
Fidelity's Web site at www.fidelity.com.
(fidelity_logo_graphic)(registered trademark)
82 Devonshire Street, Boston, MA 02109
[Item number] SIG-profile-0499
Investment Summary
INVESTMENT OBJECTIVE. Spartan Investment Grade Bond Fund seeks a high
level of current income.
PRINCIPAL INVESTMENT STRATEGIES. Fidelity Management & Research
Company (FMR)'s principal investment strategies include:
(small solid bullet) Investing in U.S. dollar-denominated
investment-grade bonds.
(small solid bullet) Managing the fund to have similar overall
interest rate risk to the Lehman Brothers Aggregate Bond Index.
(small solid bullet) Allocating assets across different market sectors
and maturities.
(small solid bullet) Analyzing a security's structural features,
current pricing and trading opportunities, and the credit quality of
its issuer to select investments.
PRINCIPAL INVESTMENT RISKS. The fund is subject to the following
principal investment risks:
(small solid bullet) INTEREST RATE CHANGES. Interest rate increases
can cause the price of a debt security to decrease.
(small solid bullet) FOREIGN EXPOSURE. Entities located in foreign
countries can be affected by adverse political, regulatory, market or
economic developments in those countries.
(small solid bullet) PREPAYMENT. The ability of an issuer of a debt
security to repay principal prior to a security's maturity can cause
greater price volatility if interest rates change.
(small solid bullet) ISSUER-SPECIFIC CHANGES. The value of an
individual security or particular type of security can be more
volatile than the market as a whole and can perform differently than
the value of the market as a whole.
An investment in the fund is not a deposit of a bank and is not
insured or guaranteed by the Federal Deposit Insurance Corporation or
any other government agency.
When you sell your shares of the fund, they could be worth more or
less than what you paid for them.
Additional information about the fund's investments is available in
the fund's annual and semi-annual reports to shareholders. In the
fund's annual and semi-annual reports, you will find a discussion of
the market conditions and investment strategies that significantly
affected the fund's performance during the period covered by the
report. You may obtain a free copy of the fund's annual or
semi-annual report by calling 1-800-544-8888.
Performance
The following information illustrates the changes in the fund's
performance from year to year and compares the fund's performance to
the performance of a market index and an average of the performance of
similar funds over various periods of time. Returns are based on past
results and are not an indication of future performance.
YEAR-BY-YEAR RETURNS
SPARTAN INVESTMENT GRADE BOND
FUND
Calendar Years 1993 1994 1995 1996 1997 1998
% % % % % %
Percentage (%)
Row: 1, Col: 1, Value: nil
Row: 2, Col: 1, Value: nil
Row: 3, Col: 1, Value: nil
Row: 4, Col: 1, Value: nil
Row: 5, Col: 1, Value: nil
Row: 6, Col: 1, Value: nil
Row: 7, Col: 1, Value: nil
Row: 8, Col: 1, Value: nil
Row: 9, Col: 1, Value: nil
Row: 10, Col: 1, Value: nil
DURING THE PERIODS SHOWN IN THE CHART FOR SPARTAN INVESTMENT GRADE
BOND FUND, THE HIGHEST RETURN FOR A QUARTER WAS __% (QUARTER ENDING
[CALENDAR QUARTER: [MONTH][DATE]], [YEAR]) AND THE LOWEST RETURN FOR A
QUARTER WAS __% (QUARTER ENDING [CALENDAR QUARTER: [MONTH][DATE]],
[YEAR]).
AVERAGE ANNUAL RETURNS
For the periods ended Past 1 year Past 5 years Life of fundA
December 31, 1998
Spartan Investment Grade Bond % % %B
Lehman Bros. Aggregate Bond % % %
Index
Lipper Intermediate % % %
Investment Grade Debt Funds
Average
A BEGINNING JANUARY 1 OF THE FIRST CALENDAR YEAR FOLLOWING THE FUND'S
COMMENCEMENT OF OPERATIONS.
B FROM JANUARY 1, 1993.
[If FMR had not reimbursed certain fund expenses during these periods,
the fund's returns would have been lower.]
The Lehman Brothers Aggregate Bond Index is a market value-weighted
index of investment-grade fixed-rate debt issues, including
government, corporate, asset-backed, and mortgage-backed securities,
with maturities of one year or more.
The Lipper Intermediate Investment Grade Debt Funds Average reflects
the performance (excluding sales charges) of mutual funds with similar
objectives.
Fee Table
The following table describes the fees and expenses that are incurred
when you buy, hold or sell shares of a fund. The annual fund
operating expenses provided below for the fund do not reflect the
effect of any [expense reimbursements] [or] reduction of certain
expenses during the period. [The annual fund operating expenses
provided below for the fund are based on historical expenses.]
SHAREHOLDER FEES (PAID BY THE INVESTOR DIRECTLY)
Sales charge (load) on None
purchases and reinvested
distributions
Deferred sales charge (load) None
on redemptions
Annual account maintenance $12.00
fee (for accounts under
$2,500)
ANNUAL FUND OPERATING EXPENSES (PAID FROM FUND ASSETS)
Management fee %
Distribution and Service None
(12b-1) fee
Other expenses %
Total annual fund operating %
expenses A
A Effective January 1, 1999, FMR has voluntarily agreed to reimburse
the fund to the extent that total operating expenses (excluding
interest, taxes, brokerage commissions and extraordinary expenses), as
a percentage of its respective average net assets, exceed 0.50%. This
arrangement can be terminated by FMR at any time.
A portion of the brokerage commissions that the fund pays is used to
reduce the fund's expenses. [In addition,] [the fund has entered into
arrangements with its custodian and transfer agent whereby credits
realized as a result of uninvested cash balances are used to reduce
custodian and transfer agent expenses. Including this reduction, the
total fund's operating expenses [, after reimbursement[for [Spartan
Investment Grade Bond Fund], would have been __% for Spartan
Investment Grade Bond Fund.]
This EXAMPLE helps you compare the cost of investing in the fund with
the cost of investing in other mutual funds.
Let's say, hypothetically, that the fund's annual return is 5% and
that your shareholder fees and the fund's annual operating expenses
are exactly as described in the fee table. This example illustrates
the effect of fees and expenses, but is not meant to suggest actual or
expected fees and expenses or returns, all of which may vary. For
every $10,000 you invested, here's how much you would pay in total
expenses if you close your account after the number of years
indicated:
1 year $
3 years $
5 years $
10 years $
Fund Management
FMR is the fund's manager.
As the manager, FMR is responsible for choosing the fund's investments
and handling its business affairs.
Affiliates assist FMR with foreign investments:
(small solid bullet) Fidelity Management & Research (U.K.) Inc. (FMR
U.K.) serves as a sub-adviser for the fund. Currently, FMR U.K.
provides investment research and advice on issuers based outside the
United States and may also provide investment advisory services for
the fund.
(small solid bullet) Fidelity Management & Research Far East Inc. (FMR
Far East) serves as a sub-adviser for the fund. Currently, FMR Far
East provides investment research and advice on issuers based outside
the United States and may also provide investment advisory services
for the fund.
Fidelity Investments Money Management, Inc. (FIMM) serves as
sub-adviser for the fund. FIMM is primarily responsible for choosing
investments for the fund. FIMM is an affiliate of FMR.
Kevin Grant is Vice President and manager of Spartan Investment Grade
Bond Fund, which he has managed since February 1997. He also manages
several other Fidelity funds. Mr. Grant joined Fidelity in 1993 as a
portfolio manager.
Buying Shares
The fund's shares are sold without a sales charge.
You may buy shares of the fund after reading this profile or you may
request a prospectus to review before investing. If you buy shares
after reviewing this profile, Fidelity will send you a prospectus with
your confirmation.
The minimum initial purchase amount is $25,000, the minimum additional
purchase amount is $1,000, and the minimum balance amount is $10,000.
If you buy through an investment professional or through a retirement
account, certain account features and policies may differ.
Selling Shares
You may sell all or a portion of your shares on any business day by
phone, by mail, by wire, or over the Internet through Fidelity's Web
site. You may also sell shares by exchange to another Fidelity fund.
Both accounts must have the same registration, including name, address
and taxpayer ID. A signature guarantee may be required in certain
circumstances.
Distributions and Taxes
The fund declares dividends daily and pays them monthly. The fund
normally pays capital gains distributions in December.
You may elect to have your dividends and/or capital gains
distributions automatically reinvested in additional shares of the
fund, paid in cash, or automatically invested in shares of another
identically registered Fidelity fund. If you do not indicate a choice
on your application, your distributions will be automatically
reinvested. Not all distribution options are available for every
account.
Distributions you receive from the fund are subject to federal income
tax, and may also be subject to state or local taxes.
For federal tax purposes, the fund's dividends and distributions of
short-term capital gains are taxable to you as ordinary income. The
fund's distributions of long-term capital gains are taxable to you
generally as capital gains.
Summary of Available Services
Fidelity provides a number of services to its shareholders. Among them
are:
(small solid bullet) 24 hour telephone assistance, 1-800-544-6666;
(small solid bullet) TDD - Service for the Deaf and Hearing-Impaired
(9:00 a.m. - 9:00 p.m. Eastern time), 1-800-544-0118;
(small solid bullet) Fidelity's Web site, www.fidelity.com;
(small solid bullet) TouchTone Xpress(Registered trademark) (an
automated service for obtaining account information by phone),
1-800-544-5555;
(small solid bullet) Over 75 walk-in Investor Centers nationwide;
(small solid bullet) Exchange privileges among Fidelity funds;
(small solid bullet) Regular investment and withdrawal plans; and
(small solid bullet) Checkwriting.
Spartan, Fidelity, Fidelity Investments and (Pyramid) Design, and
Touch Tone Xpress are registered trademarks of FMR Corp.
The third party marks appearing above are the marks of their
respective owners.
====================Front of Application======================
FIDELITY MUTUAL FUND (Fidelity Logo Graphic)
NEW ACCOUNT APPLICATION (registered trademark)
P.O. Box 5000
Cincinnati, OH 45273-8698
You may invest in the fund either after reviewing the
profile(s) for the fund(s) or after requesting and reviewing the
prospectus(es) and other information for the fund(s).
For help with this application, or for an IRA, Keogh or
Business Account application, call us anytime at 1-800-544-8888.
If you are opening your account by an exchange from an existing
Fidelity account, call us at 1-800-544-7777.
1: PLEASE TELL US HOW WE SHOULD ESTABLISH YOUR ACCOUNT
______________________________________________________________
Account registration:
______________________________________________________________
__ Individual __ Joint Tenants - __ Custodial
Rights of (UGMA/UTMA)
Survivorship 1 Under the (state)
__ Tenants in Common 1 ____ Uniform
__ Community Property 1 Gifts/Transfer
to Minors Act
______________________________________________________________
/_/ Trust Accounts:
______________________________________________________________
Trustee(s) Name Trust Taxpayer
(first, MI, last): Identification Number:
______________________________________________________________
Name of Trust: for the benefit of: Date of Trust
(Month, day, year):
______________________________________________________________
Name:
______________________________________________________________
Account Owner/ Joint Owner/Custodian Name
Minor Name (first, MI, last): (first, MI, last):
______________________________________________________________
Address and Phone: /_/ Check here if this is
a new address.
______________________________________________________________
Street Address and City State Zip
Apartment or Box Number: 2
______________________________________________________________
Evening Phone (Home): Daytime Phone (Work):
( ) ( )
______________________________________________________________
1 If you are establishing a joint account and do not check a
box, the account will be registered as joint tenants with
rights of survivorship. Types of joint ownership are governed
by the laws of your state of residence. If you need more
information about which are appropriate in your state, please
ask your state tax officials or financial advisor.
2 If you have provided a P.O. Box, please include your
residential address with this application.
2: WE ARE REQUIRED TO REQUEST THE FOLLOWING INFORMATION
______________________________________________________________
Account Owner/Minor Joint Account Owner/
Custodian 1
______________________________________________________________
Social Security ___________________ ___________________
or taxpayer
identification number 1:
Date of Birth
(month/day/year) ______ _____ ______ _______ ____ ______
______________________________________________________________
Citizenship
Country of
citizenship: _U.S. _Other________ _U.S. _Other_______
Country of
tax residence: _U.S. _Other________ _U.S. _Other_______
______________________________________________________________
Occupation: We
are required by the
National Association
of Securities
Dealers (NASD) to
ask for this
information.
______________________________________________________________
Employer's Name
and Address:
______________________________________________________________
Affiliations: _I am affiliated _I am affiliated
with, or work for, with, or work for,
a member firm of a member firm of
the NASD the NASD
______________________________________________________________
1 The Social Security Number or taxpayer identification number
for account owner/minor is used for tax reporting purposes.
(The custodian's Social Security Number will be used to
determine eligibility for maintenance fee waivers.)
3: INVESTMENT INFORMATION
______________________________________________________________
Please make your check payable to the full name of the
Fidelity fund in which you are investing. Note that Fidelity
cannot accept foreign checks or Traveler's checks. Be sure to
read the profile(s) or the prospectus(es) for the fund(s) you
choose before your initial investment and, if you invest based
on the profile, be sure to read the prospectus(es) when
[it/they] [is/are] sent to you.
Fund Name: Initial Investment Amount - Fund
minimums vary, see the profile or the
prospectus for additional details.
A.______________________ $____,________,________._______
B.______________________ $____,________,________._______
C.______________________ $____,________,________._______
Dividend & Capital Gain Distributions Check one box: (If no
box is checked, we will reinvest all distributions.)
_ Reinvest all dividends _ Pay all dividends _ Pay all
and capital gains in and capital gains dividends and
my account. directly to my capital gains
bank account via to me by check.
MoneyLine
(registered
trademark). Please
attach a voided
check.
______________________________________________________________
* Note that some funds may charge a sales load and/or a
short-term trading fee. In addition an annual Fidelity mutual
fund maintenance fee of $12 may be deducted from accounts with
a balance of less than $2,500. Minimum initial investments vary
by fund. See your profile or your prospectus for additional
details.
====================Back of Application=======================
4: OPTIONAL ACCOUNT FEATURES
______________________________________________________________
Fidelity Automatic Account Builder (registered trademark)
This service lets you invest automatically (monthly or
quarterly) from your bank account to your Fidelity account.
Change or cancel your plan anytime with a phone call at least
one business day before your scheduled investment. (Automatic
Account Builder normally becomes active 20 days after your
application is processed.)
To establish this feature, complete the information below and
staple to the left a voided check from your bank account. One
common name must appear on your Fidelity and bank accounts.
Assign Investment Amount Investment Frequency (month,
to Fund (Spartan minimum: (check one) day,
(from $500; Non-Spartan year)
Section minimum: $100)
3)
__A. $____,______.____ _Monthly _Quarterly beginning ____
__B. $____,______.____ _Monthly _Quarterly beginning ____
__C. $____,______.____ _Monthly _Quarterly beginning ____
Direct Deposit
This service lets you invest directly from your paycheck or
your Social Security check. The minimum investment is $100 per
pay period. To establish this feature, check the appropriate
box below. We will send you an authorization form to complete
and give to your employer.
_My check is from the _My check is from someone other than
federal government. the federal government.
Transfers Between Your Bank & Fidelity
This electronic link with your bank account offers flexible
access to your money. Transfers occur only when you initiate
them and may be made through either Bank Wire or Fidelity
MoneyLine (Registered trademark). (See the prospectus for
details and minimum amounts. MoneyLine normally becomes
active 20 days after your application is processed.) Your
bank may charge a fee. This feature is not available with
passbook savings accounts.
_ To establish this feature, check the box at left and
staple a voided check from your bank account. One common
name must appear on your Fidelity and bank accounts. [F3]
Telephone Redemptions & Exchanges
You automatically have the ability to make redemptions or
exchanges by telephone. Exchanges can be made only between
Fidelity funds that have the same account ownership. Each
fund has rules on the number of exchanges allowed each year.
Some funds have administrative fees (of up to $7.50) and
trading fees (of up to 3.0% on exchanges. (See the
appropriate fund's prospectus for details.) The exchange
privilege may be terminated or modified by Fidelity in the
future.
Checkwriting
_Please add this feature to my account. All owners must sign
the Signature Card for checkwriting and the section below at
the end of this application. For custodial accounts, only the
custodian may sign the Signature Card.
Checkwriting is an optional feature and is not available on
all funds. In addition there may be a charge for checkwriting.
See prospectus for details.
______________________________________________________________
STAPLE VOIDED CHECK HERE.
______________________________________________________________
5: SIGNATURE
Each owner must sign this section.
By signing this application, I certify that:
(bullet) I have received and read the profile or the prospectus
for the fund in which I am investing. [I understand that if I
am investing based on the profile, I will be sent a prospectus
with my confirmation.] I agree to the terms of the profile and
the prospectus. I have the authority and legal capacity to
purchase mutual fund shares, am of legal age and believe each
investment is suitable for me. It is my responsibility to read
the prospectus of any fund into which I exchange.
(bullet) I understand that all information provided in sections
1, 2, 4 and 5 will apply to any new fund into which my shares
may be exchanged.
(bullet) I understand that neither this fund nor Fidelity
Distributors Corporation is a bank, and fund shares are not
backed or guaranteed by any bank or insured by the FDIC.
(bullet) I ratify any instructions, including telephone
instructions, given on this account. I agree that neither the
fund nor Fidelity Service Company, Inc. will be liable for any
loss, cost or expense for acting upon any instructions if it
follows reasonable procedures designed to prevent unauthorized
transactions. (If you do not want the ability to redeem and
exchange by telephone, call Fidelity for instructions.) I
consent to the use of recorded telephone conversations.
(bullet) I understand that for joint tenant accounts "I" refers
to all account owners, and each of the account owners agrees
that any account owner has authority to act on the account
without notice to the other account owners. Fidelity Service
Company, Inc. in its sole discretion, and for its protection,
may require the written consent of all account owners prior to
acting upon the instructions of any account owner.
(bullet) If I am a U.S. Citizen or Resident Alien, as I have
indicated above, I certify under penalties of perjury that (1)
the Social Security or taxpayer identification number provided
above is correct (or I am waiting for a number to be issued to
me), and (2) I am not subject to backup withholding because (a)
I am exempt from backup withholding, or (b) I have not been
notified by the Internal Revenue Service (IRS) that I am subject
to backup withholding for failure to report all dividend and
interest income, or (c) I have been notified by the IRS that I
am no longer subject to backup withholding. (Please cross out
item 2 if it does not apply to you.)
(bullet) If I am a Non-Resident Alien, as I have indicated
above, I certify under penalties of perjury that I am not a U.S.
Citizen or Resident Alien, that the information entered above
is correct, that if a reduced rate of tax or exemption from tax
applies, I have complied with all requirements to qualify for
the reduced tax, and I am an exempt foreign person under IRS
regulations.
The Internal Revenue Service does not require your consent to any
provision of this document other than the certifications required
to avoid backup withholding.
Signature of Owner Signature of Joint Owner
Date (month,day,year) Date (month,day,year)
X____________________________ X______________________________
For trusts, all trustees must sign. Only the custodian should
sign the application for custodial accounts.
Not authorized for distribution unless preceded or accompanied
by a current profile or prospectus.
61605.001 Fidelity distributors Corporation MFFK-APP-0998
1.706324.101
===================Front of Signature Card====================
SIGNATURE CARD FOR CHECKWRITING ________________________
Please do not detach this card.
Checkwriting is available only for money market funds and
certain bond funds. Checkwriting minimums vary and fees may
apply. See prospectus for more information.
Please sign within the boxes
below using BLACK BALLPOINT INK.
Please use a pen and print
clearly in CAPITAL LETTERS.
Owner's Name
(first,MI,last):
____________________________ X________________________________
Joint Owner's Name
(first,MI,last):
____________________________ X________________________________
__Check here if more than one
signature will be required
on checks. If this box is
not checked, only one
signature will be required
on checks. 8324100
==================Back of Signature Card======================
By signing this signature card on the reverse side, the
signatory(ies) agree(s) to be subject to the terms and
conditions, guidelines, and rules applicable to your account
as now in effect and as amended from time to time, of the
fund(s) and of UMB Bank, n.a.. ("the Bank"), as they pertain
to the use of redemption checks; therefore, all registered
owners must sign this signature card. All checks will require
only one signature unless otherwise indicated on the face of
this card. Each signatory guarantees the genuineness of the
other's signature on this card.
The Bank is hereby appointed agent by the shareholders signing
this card and, as such agent, is directed to request redemption
of shares of such Fidelity fund(s) as designated by the
shareholders from time to time, and as recorded on Fidelity's
records, upon receipt of, and to the amount of, checks drawn
upon this account(s). In so acting, the Bank shall be liable
only for its own negligence. Shareholders will be subject to
the Bank's rules, regulations and associated laws governing
check collection, including the Uniform Commercial Code as
enacted in the State of Missouri.
It is further agreed as follows:
1. All items, with exception of those drawn on Spartan
(registered trademark) money market funds, Fidelity Daily
Income Trust ("FDIT"), and Fidelity Municipal Money Market
Fund, must be for a minimum of $500 (or such other minimum
amounts as may from time to time be established upon prior
written notice to the shareholders, including the accounts of
Spartan money market funds, FDIT and Fidelity Municipal Money
Market Fund), or they may be returned to shareholders marked
"Refer to Maker."
2 This card supersedes any card already on file for the same
T Master Account or fund or account number.
3. Refer to the fund prospectus for minimum check amounts and
any applicable fees.
4. You may obtain a copy of the "Statement of Terms and
Conditions" applicable to your account by calling Fidelity.
