FIDELITY ADVISOR SERIES VIII, N-30D/A, 1996-07-05

FIDELITY ADVISOR SERIES VIII
N-30D/A, 1996-07-05

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(2_FIDELITY_LOGOS)FIDELITY ADVISOR

STRATEGIC OPPORTUNITIES
FUND - INSTITUTIONAL CLASS
ANNUAL REPORT
DECEMBER 31, 1995
CONTENTS

PRESIDENT'S MESSAGE 3 Ned Johnson on stock market
strategies.

PERFORMANCE 4 How the fund has done over time.

FUND TALK 6 The manager's review of fund
performance, strategy and outlook.

INVESTMENT CHANGES 9 A summary of major shifts in the
fund's investments over the past six
months.

INVESTMENTS 10 A complete list of the fund's
investments with their market
values.

FINANCIAL STATEMENTS 18 Statements of assets and liabilities,
operations, and changes in net
assets,
as well as financial highlights.

NOTES 25 Notes to the financial statements.

REPORT OF INDEPENDENT 32 The auditors' opinion.
ACCOUNTANTS

DISTRIBUTIONS 33

THIS REPORT AND THE FINANCIAL STATEMENTS CONTAINED HEREIN ARE SUBMITTED FOR
THE GENERAL
INFORMATION OF THE SHAREHOLDERS OF THE FUND. THIS REPORT IS NOT AUTHORIZED
FOR DISTRIBUTION TO
PROSPECTIVE INVESTORS IN THE FUND 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 FUND 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.
PRESIDENT'S MESSAGE

DEAR SHAREHOLDER:
Although the markets were fairly positive in 1995, no one can predict what
lies ahead for investors. The previous year, stocks posted below-average
returns and bonds had one of the worst years in history. This downturn
followed a period in which the investing environment was generally very
positive.
These market ups and downs are a normal part of investing, and there are
some basic principles that are helpful for investors to remember in
different types of markets.
If you can leave your money invested over the long term, you can avoid the
results of the volatility that generally accompanies the stock market in
the short term, as we witnessed last year. You also can help to manage some
of the risks of investing through diversification. A stock fund is already
diversified because it invests in many issues. You can diversify even
further by placing some of your money in several different types of stock
funds or in other investment categories, such as bonds.
If you have a short investment time horizon, you might want to consider
moving some of your investment into a money market fund, which seeks income
and a stable share price by investing in high-quality, short-term
investments. Of course, there is no assurance that a money market fund will
achieve its goal, and it is important to remember that money market funds
are not insured or guaranteed by any agency of the U.S. government.
Finally, no matter what your investment horizon or portfolio diversity, it
makes good sense to follow a regular investment plan - investing a certain
amount of money at the same time each month or quarter - and to review your
portfolio periodically. A periodic investment plan will not, of course,
assure a profit or protect against a loss.
Remember to contact your investment professional if you need help with your
investments.
Best regards,
Edward C. Johnson 3d
ADVISOR STRATEGIC OPPORTUNITIES FUND - INSTITUTIONAL CLASS
PERFORMANCE: THE BOTTOM LINE

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. A fund's return
includes changes in share price, plus reinvestment of any dividends (or
income) and capital gains (the profits the fund earns when it sells
securities that have grown in value). Initial offering of Institutional
Class shares took place on July 3, 1995, Institutional Class shares are
sold to eligible investors without a sales load or 12b-1 fee. Returns
between 12/31/83 and 8/20/86 are those of Initial Class, the original class
of the fund, returns between 8/21/86 and 6/29/95 are those of Class A and
include Class A's 0.65% 12b-1 fee. If Fidelity had not reimbursed certain
class expenses during the periods shown, the total returns would have been
lower.
CUMULATIVE TOTAL RETURNS
PERIODS ENDED DECEMBER 31, 1995 PAST 1 YEAR PAST 5 YEARS PAST 10
YEARS

Advisor Strategic Opportunities - 38.60% 115.27% 288.12%
Institutional Class

S&P 500(registered trademark) 37.58% 115.52% 300.54%

Average Capital Appreciation Fund 30.34% 125.37% 245.70%

CUMULATIVE TOTAL RETURNS show Institutional Class' performance in
percentage terms over a set period - in this case, one year, five years, or
10 years. For example, if you invested $1,000 in a fund that had a 5%
return over the past year, the value of your investment would be $1,050.
You can compare Institutional Class' returns to those of the Standard &
Poor's Composite Index of 500 Stocks - a common proxy for the U.S. stock
market. To measure how Institutional Class' performance stacked up against
its peers, you can compare it to the average capital appreciation fund,
which reflects the performance of 158 capital appreciation funds with
similar objectives tracked by Lipper Analytical Services over the past 12
months. These benchmarks include reinvested dividends and capital gains, if
any, and exclude the effects of sales charges.
AVERAGE ANNUAL TOTAL RETURNS

<TABLE>
<CAPTION>
<S> <C> <C> <C>
PERIODS ENDED DECEMBER 31, 1995 PAST 1 PAST 5 PAST 10
YEAR YEARS YEARS

Advisor Strategic Opportunities - Institutional Class 38.60% 16.57% 14.52%

S&P 500 37.58% 16.60% 14.89%

Average Capital Appreciation Fund 30.34% 16.97% 12.31%

</TABLE>

AVERAGE ANNUAL TOTAL RETURNS take the Institutional Class shares' actual
(or cumulative) return and show you what would have happened if
Institutional Class shares had performed at a constant rate each year.
$10,000 OVER 10 YEARS
FA Strat Opp Cl I (S&P 500
12/31/85 10000.00 10000.00
01/31/86 10444.77 10056.00
02/28/86 11326.91 10808.19
03/31/86 12142.33 11411.29
04/30/86 11934.77 11282.34
05/31/86 12171.98 11882.56
06/30/86 12824.31 12083.37
07/31/86 12416.60 11407.91
08/31/86 13254.26 12254.38
09/30/86 12386.95 11240.94
10/31/86 12868.79 11889.55
11/30/86 13068.23 12178.46
12/31/86 12792.03 11867.91
01/31/87 13841.59 13466.52
02/28/87 13983.63 13998.45
03/31/87 14393.99 14403.00
04/30/87 13967.85 14274.81
05/31/87 14102.01 14399.01
06/30/87 14543.93 15126.15
07/31/87 15127.89 15893.05
08/31/87 15427.77 16485.86
09/30/87 15041.09 16124.82
10/31/87 12279.08 12651.53
11/30/87 11718.79 11609.05
12/31/87 11981.81 12492.50
01/31/88 12920.47 13018.43
02/29/88 13343.79 13625.09
03/31/88 13132.13 13204.07
04/30/88 13214.96 13350.64
05/31/88 13445.02 13466.79
06/30/88 14365.28 14084.92
07/31/88 14282.46 14031.39
08/31/88 13840.73 13554.33
09/30/88 14291.66 14131.74
10/31/88 14540.13 14524.60
11/30/88 14632.16 14316.90
12/31/88 14647.56 14567.45
01/31/89 15477.21 15633.78
02/28/89 15410.46 15244.50
03/31/89 15734.69 15599.70
04/30/89 16335.46 16409.32
05/31/89 17088.82 17073.90
06/30/89 17222.33 16976.58
07/31/89 18404.81 18509.57
08/31/89 18643.22 18872.35
09/30/89 18643.22 18794.98
10/31/89 18338.06 18358.93
11/30/89 18833.94 18733.46
12/31/89 19422.35 19183.06
01/31/90 18137.99 17895.87
02/28/90 18236.03 18126.73
03/31/90 18236.03 18607.09
04/30/90 17490.90 18141.91
05/31/90 18059.55 19910.75
06/30/90 18236.03 19775.36
07/31/90 18285.05 19712.07
08/31/90 17000.69 17930.10
09/30/90 16873.23 17056.91
10/31/90 16863.43 16983.56
11/30/90 17608.55 18080.70
12/31/90 18029.72 18585.15
01/31/91 18612.32 19395.46
02/28/91 19726.40 20782.24
03/31/91 20349.87 21285.17
04/30/91 20625.84 21336.26
05/31/91 21361.75 22257.98
06/30/91 20687.17 21238.57
07/31/91 21310.64 22228.28
08/31/91 21770.58 22755.09
09/30/91 21852.35 22375.08
10/31/91 21412.85 22674.91
11/30/91 20891.58 21761.11
12/31/91 22190.85 24250.58
01/31/92 22226.85 23799.52
02/29/92 22658.91 24108.91
03/31/92 22082.83 23638.79
04/30/92 22502.89 24333.77
05/31/92 23234.98 24453.01
06/30/92 23234.98 24088.66
07/31/92 23955.08 25073.88
08/31/92 23535.02 24559.87
09/30/92 23439.01 24849.67
10/31/92 23631.03 24936.65
11/30/92 24639.16 25786.99
12/31/92 25047.37 26104.17
01/31/93 25520.71 26323.44
02/28/93 26243.86 26681.44
03/31/93 27059.05 27244.42
04/30/93 26519.97 26585.11
05/31/93 27137.94 27297.59
06/30/93 27361.46 27376.75
07/31/93 27939.98 27267.24
08/31/93 29688.69 28300.67
09/30/93 29609.80 28082.76
10/31/93 30543.33 28664.07
11/30/93 29254.80 28391.76
12/31/93 30166.09 28735.30
01/31/94 30427.15 29712.30
02/28/94 29339.43 28907.10
03/31/94 28208.20 27646.75
04/30/94 28440.25 28000.63
05/31/94 28498.26 28459.84
06/30/94 28498.26 27762.57
07/31/94 29179.89 28673.18
08/31/94 29353.93 29848.78
09/30/94 28947.85 29117.49
10/31/94 28643.29 29772.63
11/30/94 27758.61 28688.31
12/31/94 28003.27 29113.76
01/31/95 29246.19 29868.68
02/28/95 29994.95 31032.66
03/31/95 30279.47 31948.44
04/30/95 30938.37 32889.32
05/31/95 31747.02 34203.90
06/30/95 33409.25 34998.46
07/31/95 34562.32 36159.01
08/31/95 35565.65 36249.77
09/30/95 36808.57 37779.51
10/31/95 36673.80 37644.64
11/30/95 37677.13 39297.24
12/29/95 38812.28 40054.10

$10,000 OVER 10 YEARS: Let's say you invested $10,000 in Fidelity Advisor
Strategic Opportunities Fund - Institutional Class on December 31, 1985. As
the chart shows, by December 31, 1995, the value of your investment would
have grown to $38,812 - a 288.12% increase on your initial investment. For
comparison, look at how the S&P 500 did over the same period. With
dividends reinvested, the same $10,000 investment would have grown to
$40,054 - a 300.54% increase.
UNDERSTANDING
PERFORMANCE
How a fund did yesterday is
no guarantee of how it will do
tomorrow. The stock market,
for example, has a history of
growth in the long run and
volatility in the short run. In
turn, the share price and
return of a fund that invests in
stocks will vary. That means if
you sell your shares during a
market downturn, you might
lose money. But if you can
ride out the market's ups and
downs, you may have a gain.
(checkmark)
FUND TALK: THE MANAGER'S OVERVIEW

MARKET RECAP
Strong corporate earnings and a
favorable interest rate
environment helped the U.S.
stock market post robust returns
for the 12 months ended
December 31, 1995. The Standard
& Poor's Composite Index of 500
Stocks finished the 12-month
period with a total return of
37.58% (including reinvested
dividends ) - well above its
historical annual average of
roughly 12%. With inflation
posing little threat, interest rates
fell during the first half of 1995.
The Federal Reserve Board cut
the fed funds rate - the rate
banks charge each other for
overnight loans - twice, in July
and December.
Large-capitalization stocks led
the rally, with the weak dollar
helping to bolster overseas
business. Technology companies
posted the strongest earnings
growth and stock price gain,
although they faltered somewhat
in the fourth quarter. Lower
interest rates and continued
merger and acquisition activity
helped financial stocks perform
well. In November, the Dow Jones
Industrial Average closed above
5000 for the first time. Returns
from foreign markets suffered as
investors brought capital back to
the U.S. The Morgan Stanley
Emerging Markets Free Index
was down 5.21% for the 12
months ended December 31. The
Morgan Stanley EAFE (Europe,
Australasia, Far East) Index was
up 11.21% for the year. European
markets fared well through 1995,
while the Japanese market
recently has shown signs of
recovery.
An interview with Daniel R. Frank Portfolio Manager of Fidelity Advisor
Strategic Opportunities Fund
Q. DAN, HOW DID THE FUND PERFORM OVER THE PAST 12 MONTHS?
A. The fund performed well, with Institutional Class shares returning
38.60% during the year ended December 31, 1995. During the same period, the
average capital appreciation fund returned 30.34%, according to Lipper
Analytical Services.
Q. THE PAST YEAR'S MARKET SUCCESS WAS LED, TO A GREAT DEGREE, BY TECHNOLOGY
STOCKS. SINCE YOUR TECHNOLOGY HOLDINGS WERE NEGLIGIBLE DURING THE PERIOD,
WHAT FACTORS CONTRIBUTED TO THE FUND'S PERFORMANCE?
A. The story is nearly identical to our discussion in the semiannual report
at the end of June. In short, it's the three "Bs" - the Bells, banks and
bonds. The regional Bell operating companies (RBOCs) were spectacular,
standing as one of the best-performing sectors in the market last year.
Regional banks were one of the top performing sectors, as well. Also,
interest rates continued to come down, helping the long-term Treasury
position. Zero coupon bonds - which tend to be extremely sensitive to
changes in interest rates - were the fund's largest holding as of the end
of the period and outperformed the S&P 500.
Q. ALMOST ONE QUARTER OF THE FUND'S HOLDINGS WAS RBOCS - ABOUT THE SAME AS
SIX MONTHS AGO. THEIR PERFORMANCE CONTINUED TO BE SUPERIOR . . .
A. Nothing really has changed. BellSouth, Ameritech, Bell Atlantic, NYNEX
and SBC Communications remain among the fund's 10 largest holdings.
Revenue, earnings and dividend growth continued to be strong. Legislation
at the state levels continued to be favorable. Federal legislation, though
still pending, may help to allow the RBOCs to get into the long-distance
business while de-regulating the rest of their business. You have a
combination of continued growth in phone lines and such enhanced services
as voice mail, as well as increasing returns from the cellular and overseas
components of their operations. Further, by default, the RBOCs are the
Internet access providers. By this I mean that as people log-in to the
information superhighway, they're adding second and third phone lines at
home. Over the past decade, the total return from the RBOCs has been
substantially more than the S&P 500.
Q. ON THE OTHER HAND, YOU TRIMMED THE FUND'S HOLDING IN FINANCIAL SERVICES
ALMOST IN HALF - TO 14%. WHY?
A. If you look at the fund's history in recent years, you'll see that at
different times I've held big positions in this sector and also have had
less than 10% of the fund's holdings in financial services. Banks, for
example, tend to do well when interest rates come down. The underlying
fundamentals of their loan portfolios, however, had me nervous at the end
of the period. Consumer credit quality has been deteriorating and there has
been no loan growth. Banks have not performed well in the past when faced
with similar conditions.
Q. YOU INCREASED THE FUND'S HOLDINGS IN THE MEDIA AND LEISURE SECTOR. WHAT
DID YOU SEE THAT MADE THIS MARKET SEGMENT ATTRACTIVE?
A. The holdings in this sector during the period were mostly newspapers - a
new story for the fund - with a lot of new names added. These new holdings
included Gannett, Knight-Ridder and News Corp. These stocks have done
little over the past decade and have had their earnings depressed by the
dramatic rise in newsprint prices over the past three years. Many of these
companies generate substantial excess cash which has been and can continue
to be used to benefit shareholders. Icing on the cake would be a decline in
newsprint prices.
Q. WERE THERE ANY DISAPPOINTMENTS DURING THE PERIOD?
A. Going into 1995, I probably would have been happy with a return of 10%.
Still, Viacom, which was one of the fund's top holdings during the period
was a disappointment, particularly given its sizable assets, strong cash
flow and improving balance sheet. Kinder-Care Learning Centers, a provider
of day care services which the fund no longer held at the end of the
period, was another disappointment.
Q. WHAT'S YOUR STRATEGY GOING FORWARD?
A. It's extremely difficult to make accurate predictions about the future
of the securities markets. I think the market's performance during 1995 -
surpassing just about everyone's expectations - is perfect evidence of
that. As always, however, I will continue to seek out and invest in those
companies and market sectors where I believe there is value and the
opportunity for capital appreciation.
THE VIEWS EXPRESSED IN THIS REPORT REFLECT THOSE OF THE PORTFOLIO MANAGER
ONLY THROUGH THE END OF THE PERIOD OF THE REPORT AS STATED ON THE COVER.
THE MANAGER'S VIEWS ARE SUBJECT TO CHANGE AT ANY TIME BASED ON MARKET AND
OTHER CONDITIONS.

FUND FACTS
GOAL: seeks capital
appreciation by investing
primarily in securities of
companies believed by
Fidelity to involve a "Special
Situation"
START DATE: December 31, 1983
SIZE: as of December 31,
1995, more than $751 million
MANAGER: Daniel R. Frank,
since inception; joined Fidelity
in 1979
(checkmark)
DAN FRANK ON HIS INVESTMENT
PHILOSOPHY:
"My philosophy really hasn't
changed in the 12 years I've
been managing this fund. I try
to find great businesses that
generate significant surplus
cash which can then be
redeployed to enhance
stockholder returns. At the
same time, I look for unique
opportunities that might not
meet those criteria. I also look
for the big industry trends.
These might include, for
example, the decline in
semiconductor prices or
dramatic changes in supply and
demand in a particular
industry, such as with
newsprint, steel, paper, oil
and others.
"I try to gather information
from as many sources as
possible. Fidelity provides us
with the resources to take
advantage of outside
research services and
consultants. I travel a great
deal to visit different
companies and countries. In
addition, I use proprietary
in-house research, I read
every newspaper I can, and I
apply common sense."
INVESTMENT CHANGES

TOP TEN STOCKS AS OF DECEMBER 31, 1995
% OF FUND'S % OF FUND'S
INVESTMENTS INVESTMENTS
IN THESE STOCKS
6 MONTHS AGO

BellSouth Corp. 5.4 5.1

Ameritech Corp. 5.1 5.0

Bell Atlantic Corp. 4.9 4.9

I-Stat Corp. 4.7 7.2

NYNEX Corp. 4.6 4.3

SBC Communications, Inc. 4.4 4.7

Viacom, Inc. (various issues) 4.3 5.3

Philip Morris Companies, Inc. 2.3 0.0

Tootsie Roll Industries, Inc. 1.7 1.5

Regis Corp. 1.2 1.4

TOP FIVE MARKET SECTORS AS OF DECEMBER 31, 1995
% OF FUND'S % OF FUND'S
INVESTMENTS INVESTMENTS
IN THESE MARKET SECTORS
6 MONTHS AGO

Utilities 25.9 26.0

Finance 14.0 24.4

Media & Leisure 8.8 6.0

Nondurables 8.8 4.5

Health 6.0 10.6

ASSET ALLOCATION
AS OF DECEMBER 31, 1995 * AS OF JUNE 30, 1995 **
Row: 1, Col: 1, Value: 5.2
Row: 1, Col: 2, Value: 26.0
Row: 1, Col: 3, Value: 34.4
Row: 1, Col: 4, Value: 34.4
Row: 1, Col: 1, Value: 2.0
Row: 1, Col: 2, Value: 22.0
Row: 1, Col: 3, Value: 36.0
Row: 1, Col: 4, Value: 40.0
Stocks 68.7%
Bonds 26.1%
Short-term
investments 5.2%
FOREIGN
INVESTMENTS 3.2%
Stocks 77.3%
Bonds 22.2%
Short-term
investments 0.5%
FOREIGN
INVESTMENTS 2.4%
*
**
INVESTMENTS DECEMBER 31, 1995

Showing Percentage of Total Value of Investments in Securities

COMMON STOCKS - 68.7%
SHARES VALUE (NOTE 1)
AEROSPACE & DEFENSE - 0.7%
Lockheed Martin Corp. 67,000 $ 5,293,000
BASIC INDUSTRIES - 0.9%
CHEMICALS & PLASTICS - 0.9%
Great Lakes Chemical Corp. 50,000 3,600,000
Minnesota Mining & Manufacturing Co. 30,000 1,987,500
Rohm & Haas Co. 20,000 1,287,500
6,875,000
CONSTRUCTION & REAL ESTATE - 0.0%
CONSTRUCTION - 0.0%
Emcor Group, Inc. (a):
Series X (warrants) 148,822 55,808
Series Y (warrants) 148,822 37,206
93,014
DURABLES - 0.1%
AUTOS, TIRES, & ACCESSORIES - 0.1%
General Motors Corp. 10,000 528,750
ENERGY - 0.9%
ENERGY SERVICES - 0.7%
Baker Hughes, Inc. 60,000 1,462,500
Dresser Industries, Inc. 40,000 975,000
Schlumberger Ltd. 44,300 3,067,775
5,505,275
OIL & GAS - 0.2%
Total SA sponsored ADR 40,000 1,360,000
TOTAL ENERGY 6,865,275
FINANCE - 14.0%
BANKS - 4.6%
Banc One Corp. 35,000 1,321,250
Carolina First Corp. 40,375 706,563
Central Fidelity Banks, Inc. 25,000 800,000
Citizens Bancorp of Maryland 40,000 1,290,000
F & M Bancorporation, Inc. 21,500 559,000
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
FINANCE - CONTINUED
BANKS - CONTINUED
F & M National Corp. 69,000 $ 1,380,000
Financial Trust Corp. 30,000 907,500
First Citizens Bancshares, Inc. 30,000 1,653,750
First Midwest Bankcorp, Inc. 25,000 721,875
First Virginia Banks, Inc. 15,100 630,425
Firstmerit Corp. 70,000 2,100,000
Fort Wayne National Corp. 30,000 945,000
Jefferson Bankshares, Inc. 100,000 2,025,000
Keystone Financial, Inc. 65,000 1,950,000
National Australia Bank Ltd. ADR 30,900 1,398,225
Northeast Indiana Bancorp, Inc. 75,000 900,000
ONBANCorp, Inc. 60,000 2,002,500
PNC Financial Corp. 175,000 5,643,750
Pikeville National Corp. 32,500 625,625
River Forest Bancorp 64,000 1,632,000
TF Financial Corp. 50,000 750,000
Trans Financial Bancorp, Inc. 70,000 1,251,250
Union Planters Corp. 546 17,404
United Bankshares, Inc. 58,000 1,696,500
Wilmington Trust Corp. 50,000 1,543,750
34,451,367
CREDIT & OTHER FINANCE - 0.4%
HFNC Financial Corp. 60,000 795,000
Harbor Federal Bancorp, Inc. 58,000 841,000
Life Bancorp, Inc. 79,000 1,185,000
2,821,000
FEDERAL SPONSORED CREDIT - 0.6%
Student Loan Marketing Association 65,000 4,281,875
INSURANCE - 4.0%
AFLAC, Inc. 50,000 2,168,750
Allstate Corp. 110,000 4,523,750
Chubb Corp. (The) 40,700 3,937,725
Conseco, Inc. 11,300 697,176
Lincoln National Corp. 75,000 4,031,250
Marsh & McLennan Companies, Inc. 37,200 3,301,500
Torchmark Corp. 114,900 5,199,225
UNUM Corp. 110,000 6,050,000
29,909,376
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
FINANCE - CONTINUED
SAVINGS & LOANS - 4.3%
American Federal Bank 110,000 $ 1,677,500
Avondale Financial Corp. (a) 65,000 942,500
Bedford Bancshares, Inc. 36,000 621,000
Cameron Financial Corp. 42,000 603,750
Coastal Bancorp, Inc. 105,000 1,837,500
Damen Financial Corp. (a) 100,000 1,137,500
FFVA Financial Corp. 52,000 1,430,000
Fidelity Financial Bankshares Corp. 10,000 138,750
First Bell Bancorp, Inc. (a) 100,000 1,337,500
First Federal Capital Corp. 40,000 720,000
First Defiance Financial Corp. 65,000 658,125
First Financial Holdings, Inc. 105,000 2,021,250
First Northern Capital Corp. 30,000 495,000
First Southeast Financial Corp. 85,000 1,615,000
Fort Thomas Financial Corp. 70,000 848,750
Frankfort First Bancorp, Inc. 60,000 795,000
HMN Financial, Inc. (a) 130,000 2,080,000
Harris Savings Bank 43,000 860,000
Home Federal Bancorp 49,000 1,298,500
Industrial Bancorp, Inc. 60,000 825,000
Leader Financial Corp. 55,000 2,055,625
Maryland Federal Bancorp, Inc. 40,000 1,200,000
Pennfed Financial Services, Inc. (a) 110,000 1,622,500
Pennfirst Bancorp, Inc. 15,000 202,500
Piedmont Bancorp, Inc. (a) 36,800 460,000
Pocahontas Federal Saving And Loan Association 43,000 682,625
Sho-Me Financial Corp. (a) 40,000 600,000
Trenton Savings Bank FSB 70,000 910,000
Troy Hill Bancorp, Inc. 50,000 650,000
Virginia First Financial Corp. 68,000 773,500
York Financial Corp. 70,000 1,181,250
32,280,625
SECURITIES INDUSTRY - 0.1%
John Nuveen Co. Class A 50,000 1,237,500
TOTAL FINANCE 104,981,743
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
HEALTH - 6.0%
DRUGS & PHARMACEUTICALS - 0.7%
Sepracor, Inc. (a) 300,000 $ 5,512,500
MEDICAL EQUIPMENT & SUPPLIES - 5.1%
Corvita Corp. (a) 245,000 2,541,875
I-Stat Corp. (a)(e) 1,093,100 35,525,750
38,067,625
MEDICAL FACILITIES MANAGEMENT - 0.2%
Spectral Diagnostics, Inc. (a) 200,000 1,594,166
TOTAL HEALTH 45,174,291
HOLDING COMPANIES - 0.2%
Shell Transport & Trading PLC 20,000 1,627,500
INDUSTRIAL MACHINERY & EQUIPMENT - 0.1%
ELECTRICAL EQUIPMENT - 0.1%
ACTV, Inc. (a) 250,000 937,500
MEDIA & LEISURE - 8.8%
BROADCASTING - 4.9%
Gaylord Entertainment Co. Class A 110,000 3,052,500
Grupo Televisa SA de CV sponsored ADR 40,000 900,000
Starsight Telecast, Inc. (a) 100,000 487,500
Viacom, Inc. (a):
Class B (Class C warrants) 1,100,000 3,162,500
Class B (Class E warrants) 350,000 1,925,000
Class B (non-vtg.) 570,000 27,003,750
36,531,250
LEISURE DURABLES & TOYS - 0.1%
Harley Davidson, Inc. 30,000 862,500
PUBLISHING - 3.7%
Dow Jones & Co., Inc. 70,000 2,791,250
Dun & Bradstreet Corp. 30,000 1,942,500
Gannett Co., Inc. 70,000 4,296,250
Knight-Ridder, Inc. 70,000 4,375,000
McGraw-Hill, Inc. 84,500 7,362,063
New York Times Co. (The) Class A 46,400 1,374,600
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
MEDIA & LEISURE - CONTINUED
PUBLISHING - CONTINUED
News Corp. Ltd. ADR 75,000 $ 1,603,125
Reader's Digest Association, Inc. (The) Class A (non-vtg.) 10,000 512,500
Tribune Co. 60,000 3,667,500
27,924,788
RESTAURANTS - 0.1%
Luby's Cafeterias, Inc. 45,000 1,001,250
TOTAL MEDIA & LEISURE 66,319,788
NONDURABLES - 8.8%
BEVERAGES - 0.7%
Buenos Aires Embotelladora SA sponsored ADR 35,000 721,875
Cadbury Schweppes PLC ADR Ord. 85,000 2,826,250
Coca-Cola Femsa SA de CV sponsored ADR 40,000 740,000
Panamerican Beverages, Inc. Class A 42,100 1,347,200
5,635,325
FOODS - 2.5%
General Mills, Inc. 30,000 1,732,500
Tootsie Roll Industries, Inc. 325,000 12,878,125
Tyson Foods, Inc. 80,000 2,090,000
Wrigley (Wm.) Jr. Company 35,000 1,837,500
18,538,125
HOUSEHOLD PRODUCTS - 1.9%
Colgate-Palmolive Co. 20,000 1,405,000
First Brands Corp. 180,000 8,572,500
Unilever PLC ADR 53,000 4,478,500
14,456,000
TOBACCO - 3.7%
American Brands, Inc. 40,000 1,785,000
BAT Industries PLC sponsored ADR 145,000 2,646,250
Philip Morris Companies, Inc. 190,000 17,195,000
RJR Nabisco Holdings Corp. 60,000 1,852,500
UST, Inc. 120,000 4,005,000
27,483,750
TOTAL NONDURABLES 66,113,200
COMMON STOCKS - CONTINUED
SHARES VALUE (NOTE 1)
SERVICES - 1.2%
Regis Corp. 390,000 $ 9,360,000
TECHNOLOGY - 0.7%
COMPUTERS & OFFICE EQUIPMENT - 0.7%
Pitney Bowes, Inc. 105,000 4,935,000
TRANSPORTATION - 0.4%
RAILROADS - 0.4%
Union Pacific Corp. 50,000 3,300,000
UTILITIES - 25.9%
TELEPHONE SERVICES - 25.9%
Ameritech Corp. 650,000 38,350,000
Bell Atlantic Corp. 550,000 36,781,250
BellSouth Corp. 940,000 40,890,000
NYNEX Corp. 645,000 34,830,000
Pacific Telesis Group 130,000 4,371,250
SBC Communications, Inc. 570,000 32,775,000
Southern New England Telecommunications Corp. 170,000 6,757,500
194,755,000
TOTAL COMMON STOCKS
(Cost $418,769,949) 517,159,061
CONVERTIBLE BONDS - 0.2%
MOODY'S RATINGS PRINCIPAL
(UNAUDITED) AMOUNT (C)
CONSTRUCTION & REAL ESTATE - 0.2%
REAL ESTATE INVESTMENT TRUSTS - 0.2%
Rockefeller Center Properties, Inc. 0%, 12/31/00 (b)
(Cost $1,154,491) - $ 2,000,000 1,140,000
U.S. TREASURY OBLIGATIONS - 25.3%
MOODY'S RATINGS PRINCIPAL VALUE
(UNAUDITED) AMOUNT (C) (NOTE 1)
9 1/8%, 5/15/18 Aaa $ 20,000,000 $ 27,453,120
Stripped Interest Payment 0%:
2/15/00 Aaa 25,000,000 20,129,250
2/15/12 Aaa 300,000,000 113,352,000
Stripped Principal 0%:
2/15/15 Aaa 50,000,000 15,472,500
2/15/17 Aaa 50,000,000 13,504,500
TOTAL U.S. TREASURY OBLIGATIONS
(Cost $159,557,711) 189,911,370
FOREIGN GOVERNMENT OBLIGATIONS - 0.6%
France Government (d)
OAT Strip, 4/25/23 Aaa FRF 100,000 2,479,486
Principal Strip, 4/25/23 Aaa FRF 90,000 2,237,186
TOTAL FOREIGN GOVERNMENT OBLIGATIONS
(Cost $4,941,468) 4,716,672
REPURCHASE AGREEMENTS - 5.2%
MATURITY
AMOUNT
Investments in repurchase agreements
(U.S. Treasury obligations) in a joint
trading account at 5.88% dated
12/29/95 due 1/2/96 $ 39,439,750 39,414,000
TOTAL INVESTMENT IN SECURITIES - 100.0%
(Cost $623,837,619) $ 752,341,103
CURRENCY ABBREVIATIONS
FRF - French franc
LEGEND
1. Non-income producing
2. Non-income producing - issuer filed for protection under the Federal
Bankruptcy Code or is in default of interest payment.
3. Principal amount is stated in United States dollars unless otherwise
noted.
4. Principal amount in thousands.
5. Affiliated company (see Note 8 of Notes to Financial Statements).
OTHER INFORMATION
The composition of long-term debt holdings as a percentage of total value
of investment in securities, is as follows (ratings are unaudited):
MOODY'S RATINGS S&P RATINGS
Aaa, Aa, A 25.9% AAA, AA, A 25.9%
Baa 0.0% BBB 0.0%
Ba 0.0% BB 0.0%
B 0.0% B 0.0%
Caa 0.0% CCC 0.0%
Ca, C 0.0% CC, C 0.0%
D 0.0%
For some foreign government obligations, FMR has assigned the ratings of
the sovereign credit of the issuing government. The percentage not rated by
either S&P or Moody's amounted to 0.2%
INCOME TAX INFORMATION
At December 31, 1995, the aggregate cost of investment securities for
income tax purposes was $624,506,301. Net unrealized appreci- ation
aggregated $127,834,802, of which $134,027,919 related to appreciated
invest- ment securities and $6,193,117 related to depreciated investment
securities.
The fund hereby designates $1,312,971 as a capital gain dividend for the
purpose of the dividend paid deduction.
FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES

<TABLE>
<CAPTION>
<S> <C> <C>
ASSETS DECEMBER 31, 1995

Investment in securities, at value (including repurchase $ 752,341,103
agreements of $39,414,000) (cost $623,837,619) -
See accompanying schedule

Cash 1,667

Receivable for investments sold 12,075,751

Receivable for fund shares sold 6,699,232

Dividends receivable 1,256,090

Interest receivable 230,632

Other receivables 101,210

Prepaid expenses 8,975

TOTAL ASSETS 772,714,660

LIABILITIES

Payable for investments purchased $ 15,531,409

Payable for fund shares redeemed 443,369

Distributions payable 4,222,435

Accrued management fee 375,779

Distribution fees payable 409,732

Other payables and accrued expenses 315,934

TOTAL LIABILITIES 21,298,658

NET ASSETS $ 751,416,002

Net Assets consist of: $ 609,715,457
Paid in capital

Accumulated undistributed net realized gain (loss) on 13,197,061
investments and foreign currency transactions

Net unrealized appreciation (depreciation) on 128,503,484
investments

NET ASSETS $ 751,416,002

CALCULATION OF MAXIMUM OFFERING PRICE $24.88
CLASS A:
NET ASSET VALUE, and redemption price per share
($619,992,880 (divided by) 24,920,869 shares)

Maximum offering price per share (100/95.25 of $24.88) $26.12

CLASS B: $24.56
NET ASSET VALUE, offering price and redemption price
per share ($87,565,658 (divided by) 3,565,455 shares) A

INSTITUTIONAL CLASS: $24.80
NET ASSET VALUE, offering price and redemption price
per share ($20,429,118 (divided by) 823,752 shares)

INITIAL CLASS: $25.10
NET ASSET VALUE and redemption price per share
($23,428,346 (divided by) 933,228 shares)

Maximum offering price per share (100/95.25 of $25.10) $26.35

</TABLE>

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

<TABLE>
<CAPTION>
<S> <C> <C>
INVESTMENT INCOME YEAR ENDED DECEMBER 31, 1995

Dividends $ 11,406,495

Interest 8,282,971

TOTAL INCOME 19,689,466

EXPENSES

Management fee $ 3,419,543
Basic fee

Performance adjustment 91,269

Transfer agent fees 1,162,980
Class A

Class B 126,686

Institutional Class 4,398

Initial Class 44,511

Distribution fees - Class A 3,182,013

Distribution fees - Class B 467,105

Accounting fees and expenses 315,623

Non-interested trustees' compensation 3,060

Custodian fees and expenses 42,292

Registration fees - Class A 76,078

Registration fees - Class B 61,368

Registration fees - Institutional Class 17,791

Registration fees - Initial Class 23,362

Audit 37,973

Legal 31,273

Interest 948

Reports to shareholders 29,651

Miscellaneous 2,006

Total expenses before reductions 9,139,930

Expense reductions (38,211) 9,101,719

NET INVESTMENT INCOME 10,587,747

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

Investment securities (including realized loss of 36,075,671
$246,335 on sales of investment in affiliated issuers)

Foreign currency transactions (11,657) 36,064,014

Change in net unrealized appreciation (depreciation) on:

Investment securities 132,488,727

Assets and liabilities in foreign currencies 10,596 132,499,323

NET GAIN (LOSS) 168,563,337

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM $ 179,151,084
OPERATIONS

</TABLE>

STATEMENT OF CHANGES IN NET ASSETS

<TABLE>
<CAPTION>
<S> <C> <C> <C>
YEAR ENDED THREE MONTHS YEAR ENDED
DECEMBER 31, ENDED SEPTEMBER 30,
1995 DECEMBER 31, 1994
1994

INCREASE (DECREASE) IN NET ASSETS

Operations $ 10,587,747 $ 2,067,920 $ 6,903,469
Net investment income

Net realized gain (loss) 36,064,014 (5,789,778) 8,280,193

Change in net unrealized appreciation 132,499,323 (9,641,386) (23,325,658)
(depreciation)

NET INCREASE (DECREASE) IN NET ASSETS 179,151,084 (13,363,244) (8,141,996)
RESULTING FROM OPERATIONS

Distributions to shareholders (9,290,408) (6,826,359) (5,752,632)
From net investment income
Class A

Class B (1,281,036) (382,214) -

Institutional Class (433,848) - -

Initial Class (449,705) (464,141) (458,027)

From net realized gain (13,102,251) (5,071,018) (22,876,692)
Class A

Class B (1,854,130) (211,573) -

Institutional Class (433,848) - -

Initial Class (494,507) (241,353) (1,535,740)

TOTAL DISTRIBUTIONS (27,339,733) (13,196,658) (30,623,091)

Share transactions - net increase 189,241,269 23,899,770 161,198,427
(decrease)

TOTAL INCREASE (DECREASE) IN NET ASSETS 341,052,620 (2,660,132) 122,433,340

NET ASSETS

Beginning of period 410,363,382 413,023,514 290,590,174

End of period (including undistributed $ 751,416,002 $ 410,363,382 $ 413,023,514
net investment income of $0,
$0, and $5,875,182 respectively)

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS - CLASS A YEAR ENDED THREE MONTHS YEARS ENDED SEPTEMBER 30,
DECEMBER 31, ENDED
DECEMBER 31,

SELECTED PER-SHARE DATA 1995 1994 1994 G 1993 1992 D 1991

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $ 18.70 $ 19.96 $ 22.52 $ 19.53 $ 21.38 $ 17.21

Income from Investment Operations

Net investment income .39 .10 F .39 F .33 .61 .66

Net realized and unrealized gain (loss) 6.73 (.75) (.81) 4.44 .58 4.26

Total from investment operations 7.12 (.65) (.42) 4.77 1.19 4.92

Less Distributions

From net investment income (.39) (.35) (.43) (.57) (.62) (.75)

From net realized gain (.55) (.26) (1.71) (1.21) (2.42) -

Total distributions (.94) (.61) (2.14) (1.78) (3.04) (.75)

Net asset value, end of period $ 24.88 $ 18.70 $ 19.96 $ 22.52 $ 19.53 $ 21.38

TOTAL RETURN B, C 38.16% (3.26)% (2.24)% 26.33% 7.26% 29.51%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period (000 omitted) $ 619,993 $ 375,691 $ 385,349 $ 269,833 $ 194,710 $ 199,604

Ratio of expenses to average net assets 1.61% 1.73% A, 1.85% 1.57% 1.46% 1.56%
H E

Ratio of expenses to average net assets after expense
reductions 1.61% I 1.73% A, 1.84% 1.57% 1.46% 1.56%
I I

Ratio of net investment income to average net assets 1.90% 2.03% A 1.89% 2.06% 3.22% 3.61%

Portfolio turnover 142% 228% A 159% 183% 211% 223%

</TABLE>

A ANNUALIZED
B TOTAL RETURNS DO NOT INCLUDE THE ONE TIME SALES CHARGE AND 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 (SEE NOTE 6 OF NOTES TO FINANCIAL
STATEMENTS).
D AS OF OCTOBER 1, 1991 THE FUND DISCONTINUED THE USE OF EQUALIZATION
ACCOUNTING.
E INCLUDES REIMBURSEMENT OF $.03 PER SHARE FROM FIDELITY MANAGEMENT &
RESEARCH COMPANY FOR ADJUSTMENTS TO PRIOR PERIOD'S FEES.
F NET INVESTMENT INCOME PER SHARE HAS BEEN CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING THE PERIOD.
G EFFECTIVE OCTOBER 1, 1993, THE FUND ADOPTED STATEMENT OF POSITION 93-2,
"DETERMINATION, DISCLOSURE, AND FINANCIAL STATEMENT PRESENTATION OF INCOME,
CAPITAL GAIN, AND RETURN OF CAPITAL DISTRIBUTIONS BY INVESTMENT COMPANIES."
AS A RESULT, NET INVESTMENT INCOME PER SHARE MAY REFLECT CERTAIN
RECLASSIFICATIONS RELATED TO BOOK TO TAX DIFFERENCES.
H FMR VOLUNTARILY 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 HAS DIRECTED CERTAIN PORTFOLIO TRADES TO BROKERS WHO PAID A PORTION
OF THE FUND'S EXPENSES (SEE NOTE 6 OF NOTES TO FINANCIAL STATEMENTS).
FINANCIAL HIGHLIGHTS - CLASS B

<TABLE>
<CAPTION>
<S> <C> <C> <C>
YEAR ENDED THREE YEAR ENDED
DECEMBER MONTHS SEPTEMBER
31, ENDED 30,
DECEMBER
31,

1995 1994 1994 D

SELECTED PER-SHARE DATA

Net asset value, beginning of period $ 18.57 $ 19.98 $ 19.65

Income from Investment Operations

Net investment income .38 .06 E .05 E

Net realized and unrealized gain (loss) 6.54 (.74) .28

Total from investment operations 6.92 (.68) .33

Less Distributions

From net investment income (.38) (.47) -

From net realized gain (.55) (.26) -

Total distributions (.93) (.73) -

Net asset value, end of period $ 24.56 $ 18.57 $ 19.98

TOTAL RETURN B, C 37.35% (3.41)% 1.68%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period (000 omitted) $ 87,566 $ 17,090 $ 8,824

Ratio of expenses to average net assets 2.11% 2.58% A 2.63% A,
G

Ratio of expenses to average net assets after 2.10% F 2.53% A, 2.63% A
expense reductions F

Ratio of net investment income to average net 1.40% 1.22% A 1.11% A
assets

Portfolio turnover 142% 228% A 159%

</TABLE>

A ANNUALIZED
B TOTAL RETURNS DO NOT INCLUDE THE CONTINGENT DEFERRED SALES CHARGE AND 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 (SEE NOTE 6 OF NOTES TO FINANCIAL
STATEMENTS).
D FOR THE PERIOD JUNE 30, 1994 (COMMENCEMENT OF SALES OF CLASS B SHARES) TO
SEPTEMBER 30, 1994.
E NET INVESTMENT INCOME PER SHARE HAS BEEN CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING THE PERIOD.
F FMR HAS DIRECTED CERTAIN PORTFOLIO TRADES TO BROKERS WHO PAID A PORTION
OF THE FUND'S EXPENSES (SEE NOTE 6 OF NOTES TO FINANCIAL STATEMENTS).
G FMR VOLUNTARILY AGREED TO REIMBURSE A PORTION OF THE CLASS' EXPENSES
DURING THE PERIOD. WITHOUT THIS REIMBURSEMENT THE CLASS' EXPENSE RATIO
WOULD HAVE BEEN HIGHER.

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS - INITIAL CLASS YEAR ENDED THREE MONTHS YEARS ENDED SEPTEMBER 30,
DECEMBER 31, ENDED
DECEMBER 31,

SELECTED PER-SHARE DATA 1995 1994 1994 G 1993 1992 D 1991

</TABLE>

Net asset value, beginning of period $ 18.86 $ 20.23 $ 22.72 $ 19.72 $ 21.55 $ 17.37

Income from Investment Operations

Net investment income .50 .13 F .54 F .45 .73 .77

Net realized and unrealized gain (loss) 6.79 (.74) (.81) 4.46 .58 4.26

Total from investment operations 7.29 (.61) (.27) 4.91 1.31 5.03

Less Distributions

From net investment income (.50) (.50) (.51) (.70) (.72) (.85)

From net realized gain (.55) (.26) (1.71) (1.21) (2.42) -

Total distributions (1.05) (.76) (2.22) (1.91) (3.14) (.85)

Net asset value, end of period $ 25.10 $ 18.86 $ 20.23 $ 22.72 $ 19.72 $ 21.55

TOTAL RETURN B, C 38.75% (3.02)% (1.51)% 26.98% 7.89% 30.01%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period (000 omitted) $ 23,428 $ 17,583 $ 18,850 $ 20,707 $ 17,933 $ 19,193

Ratio of expenses to average net assets 1.04% 1.14% A 1.15% .89% .87% 1.00%

Ratio of expenses to average net assets after expense reductions 1.03% 1.11% A, 1.14% .89% .87% 1.00%

H H H

Ratio of net investment income to average net assets 2.47% 2.65% A 2.6% 2.74% 3.78% 4.12%

Portfolio turnover 142% 228% A 159% 183% 211% 223%

</TABLE>

A ANNUALIZED
B TOTAL RETURNS DO NOT INCLUDE THE ONE TIME SALES CHARGE AND 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 (SEE NOTE 6 OF NOTES TO FINANCIAL
STATEMENTS).
D AS OF OCTOBER 1, 1991 THE FUND DISCONTINUED THE USE OF EQUALIZATION
ACCOUNTING.
E INCLUDES REIMBURSEMENT OF $.03 PER SHARE FROM FIDELITY MANAGEMENT &
RESEARCH COMPANY FOR ADJUSTMENTS TO PRIOR PERIOD'S FEES.
F NET INVESTMENT INCOME PER SHARE HAS BEEN CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING THE PERIOD.
G EFFECTIVE OCTOBER 1, 1993, THE FUND ADOPTED STATEMENT OF POSITION 93-2,
"DETERMINATION, DISCLOSURE, AND FINANCIAL STATEMENT PRESENTATION OF INCOME,
CAPITAL GAIN, AND RETURN OF CAPITAL DISTRIBUTIONS BY INVESTMENT COMPANIES."
AS A RESULT, NET INVESTMENT INCOME PER SHARE MAY REFLECT CERTAIN
RECLASSIFICATIONS RELATED TO BOOK TO TAX DIFFERENCES.
H FMR HAS DIRECTED CERTAIN PORTFOLIO TRADES TO BROKERS WHO PAID A PORTION
OF THE FUND'S EXPENSES (SEE NOTE 6 OF NOTES TO FINANCIAL STATEMENTS).
FINANCIAL HIGHLIGHTS - INSTITUTIONAL CLASS

<TABLE>
<CAPTION>
<S> <C>
YEAR ENDED
DECEMBER 31,

1995 B

SELECTED PER-SHARE DATA

Net asset value, beginning of period $ 22.35

Income from Investment Operations

Net investment income .55

Net realized and unrealized gain (loss) 3.00

Total from investment operations 3.55

Less Distributions

From net investment income (.55)

From net realized gain (.55)

Total distributions (1.10)

Net asset value, end of period $ 24.80

TOTAL RETURN C, D 15.96%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period (000 omitted) $ 20,429

Ratio of expenses to average net assets .97% A

Ratio of expenses to average net assets after expense reductions .96% A,
E

Ratio of net investment income to average net assets 2.55% A

Portfolio turnover 142%

</TABLE>

A ANNUALIZED
B FOR THE PERIOD JULY 3, 1995 (COMMENCEMENT OF SALE OF INSTITUTIONAL CLASS
SHARES) TO DECEMBER 31, 1995.
C TOTAL RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANUALIZED.
D TOTAL RETURN WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT BEEN REDUCED
DURING THE PERIOD SHOWN (SEE NOTE 6 OF NOTES TO FINANCIAL STATEMENTS).
E FMR HAS DIRECTED CERTAIN PORTFOLIO TRADES TO BROKERS WHO PAID A PORTION
OF THE FUND'S EXPENSES (SEE NOTE 6 OF NOTES TO FINANCIAL STATEMENTS).
NOTES TO FINANCIAL STATEMENTS
For the period ended December 31, 1995

1. SIGNIFICANT ACCOUNTING POLICIES.
Fidelity Advisor Strategic Opportunities (the fund) is a fund of Fidelity
Advisor Series VIII (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 B, Initial 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 its distribution plan.
The fund commenced sale of Institutional Class shares on July 3, 1995.
Investment income, realized and unrealized capital gains and losses, and
the common expenses of the fund 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, registration, and certain other
class-specific fees and expenses.
The following summarizes the significant accounting policies of the fund:
SECURITY VALUATION. Securities for which exchange quotations are readily
available are valued at the last sale price, or if no sale price, at the
closing bid price. Securities for which exchange quotations are not readily
available (and in certain cases debt securities which trade on an exchange)
are valued primarily using dealer-supplied valuations or at their fair
value as determined in good faith under consistently applied procedures
under the general supervision of the Board of Trustees. Short-term
securities maturing within sixty days of their purchase date 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 forward currency
contracts, disposition of foreign currencies, currency gains and losses
realized between the trade and settlement dates on securities transactions,
and the difference between the amount of net investment income accrued and
the U.S. dollar amount actually received. 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
1. SIGNIFICANT ACCOUNTING POLICIES - CONTINUED
INCOME TAXES - CONTINUED
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. Interest income is accrued as earned. Investment income
is recorded net of foreign taxes withheld where recovery of such taxes is
uncertain.
DISTRIBUTIONS TO SHAREHOLDERS. Distributions are recorded on the
ex-dividend date. Income dividends are declared separately for each class,
while capital gain distributions are declared at the fund level and
allocated to each class on a pro rata basis based on the number of shares
held by each class on the ex-dividend date.
Income and capital gain distributions are determined in accordance with
income tax regulations which may differ from generally accepted accounting
principles. These differences, which may result in distribution
reclassifications, are primarily due to differing treatments for foreign
currency transactions, defaulted bonds, capital loss carryforwards 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 and may
affect the per-share allocation between net investment income and realized
and unrealized gain (loss). 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.
FORWARD FOREIGN CURRENCY CONTRACTS. The fund may use foreign currency
contracts to facilitate transactions in foreign securities and to manage
the fund's currency exposure. Contracts to buy generally are used to
acquire exposure to foreign currencies, while contracts to sell are used to
hedge the fund's investments against currency fluctuations. Also, a
contract to buy or sell can offset a previous contract.
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 forward foreign currency contracts is determined using
forward currency exchange rates supplied by a quotation service. Purchases
and sales of forward foreign currency contracts having the
2. OPERATING POLICIES - CONTINUED
FORWARD FOREIGN CURRENCY
CONTRACTS - CONTINUED
same settlement date and broker are offset and any realized gain (loss) is
recognized on the date of offset; otherwise, gain (loss) is recognized on
settlement date.
JOINT TRADING ACCOUNT. Pursuant to an Exemptive Order issued by the
Securities and Exchange Commission (the SEC), the funds, along with other
affiliated entities of Fidelity Management & Research Company (FMR), may
transfer uninvested cash balances into one or more joint trading accounts.
These balances are invested in one or more repurchase agreements that
mature in 60 days or less from the date of purchase, and are collateralized
by U.S. Treasury or Federal Agency obligations.
REPURCHASE AGREEMENTS. The funds, through their custodian, receive delivery
of the underlying U.S. Treasury or Federal Agency securities, the market
value of which is required to be at least equal to the repurchase price.
For term repurchase agreement transactions, the underlying securities are
marked-to-market daily and maintained at a value at least equal to the
repurchase price. FMR, the funds' investment adviser, is responsible for
determining that the value of the underlying securities remains in
accordance with the market value requirements stated above.
3. PURCHASES AND SALES OF INVESTMENTS.
Purchases and sales of securities, other than short-term securities,
aggregated $956,054,091 and $777,055,649, respectively, of which U.S.
government and government agency obligations aggregated $85,274,251 and
$4,983,594, respectively.
4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.
MANAGEMENT FEE. As the fund's investment adviser, FMR receives a monthly
basic 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 .2700% to .5200% for the period. 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. The annual individual fund fee rate is .30%. The
basic fee is subject to a performance adjustment (up to a maximum of
(plus/minus) .20%) based on the fund's investment performance of the lowest
performing class as compared to the appropriate index over a specified
period of time. The investment performance is measured separately for each
class. For the period, the management fee was equivalent to an annual rate
of .62% of average net assets after the performance adjustment.
4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES - CONTINUED
MANAGEMENT FEE - CONTINUED
The Board of Trustees has approved a new group fee rate schedule with rates
ranging from .2500% to .5200%. Effective January 1, 1996, FMR voluntarily
agreed to implement this new group fee rate schedule as it results in the
same or a lower management fee.
DISTRIBUTION AND SERVICE PLAN. In accordance with Rule 12b-1 of the 1940
Act, the Trustees have adopted separate distribution plans with respect to
the fund's Class A shares (Class A Plan), Class B shares (Class B Plan),
and Institutional Class shares (collectively referred to as "the Plans").
Under the Class A Plan and Class B Plan, the fund pays Fidelity
Distributors Corporation (FDC), an affiliate of FMR, a distribution and
service fee. This fee is based on annual rates of .65% and 1.00% (of which
.75% represents a distribution fee and .25% represents a shareholder
service fee) of the average net assets of the Class A and Class B shares,
respectively. Effective January 1, 1996, the Board of Trustees approved a
revised Class A distribution plan. Under the revised plan, the fee is based
on an annual rate of .50% of the average net assets of the Class A shares.
For the period, the fund paid FDC $3,182,013 and $476,105 under the Class A
Plan and Class B Plan, respectively, of which $2,377,409 and $116,312 were
paid to securities dealers, banks and other financial institutions for
the distribution of Class A and Class B shares, respectively, and providing
shareholder support services.
Under the Plans, FMR or FDC may use its resources to pay administrative and
promotional expenses related to the sale of the fund's Class A, Class B,
and Institutional Class shares. The Plans also authorize payments to third
parties that assist in the sale of the fund's shares or render shareholder
support services.
SALES LOAD. FDC receives a front-end sales charge of up to 4.75% for
selling Class A and Initial Class shares of the fund. Effective January 1,
1996, the Board of Trustees approved a revised Class A and Initial Class
sales charge. Under the revised arrangement, FDC receives a front-end sales
charge of up to 3.50% for selling Class A and Initial Class shares of the
fund. For the period, FDC received sales charges of $1,885,188 on sales of
Class A and Initial Class shares of the fund, of which $1,738,480 was paid
to securities dealers, banks, and other financial institutions. FDC also
receives the proceeds of a contingent deferred sales charge levied on Class
B share redemptions occurring within five years of purchase. The charge is
based on declining rates which range from 4% to 1% 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.
For the period, FDC received contingent deferred sales charges of $40,916
on Class B share redemptions from the
4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES - CONTINUED
SALES LOAD - CONTINUED
fund. When Class B shares are sold, FDC pays commissions from its own
resources to dealers through which the sales are made.
TRANSFER AGENT FEES. State Street Bank and Trust Company (State Street),
Fidelity Investments Institutional Operations Company (FIIOC), an affiliate
of FMR, and Fidelity Service Co. (FSC), also an affiliate of FMR,
(collectively referred to as the Transfer Agents) are the transfer,
dividend disbursing, and shareholder servicing agents for the fund's Class
A shares, Class B shares and Institutional Class shares, and Initial Class
shares, respectively. The Transfer Agents receive 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. With
respect to the Class A shares, State Street has delegated certain transfer,
dividend paying, and shareholder services to FIIOC for which FIIOC receives
its allocable share of all such fees. FIIOC and FSC pay for typesetting,
printing and mailing of all shareholder reports, except proxy statements.
For the period, the transfer agent fees were equivalent to an annual rate
of .24%, .27%, .06% (annualized), and .22% of average net assets for Class
A, Class B, Institutional Class and Initial Class, respectively.
ACCOUNTING FEES. FSC maintains the fund's accounting records. The fee is
based on the level of average net assets for the month plus out-of-pocket
expenses.
BROKERAGE COMMISSIONS. The fund placed a portion of its portfolio
transactions with brokerage firms which are affiliates of FMR. The
commissions paid to these affiliated firms were $217,580 for the period.
5. 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. Under the most restrictive
arrangement, the fund must pledge to the bank securities having a market
value in excess of 220% of the total bank borrowings. The interest rate on
the borrowings is the bank's base rate, as revised from time to time. The
maximum loan and the average daily loan balances during the period for
which loans were outstanding amounted to $1,781,000. The weighted average
interest rate was 6.4375%. Interest expense includes $948 paid under the
bank borrowing program.
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
$38,211 under this arrangement.
7. SHARE TRANSACTIONS.
Share transactions for each class of shares were as follows:
SHARES
YEAR ENDED THREE MONTHS ENDED YEAR ENDED
DECEMBER 31, DECEMBER 31, SEPTEMBER 30,
1995 B 1994 1994 A
CLASS A
Shares sold 9,172,492 1,516,748 9,950,363
Reinvestment of distributions 758,477 494,691 946,630
Shares redeemed (5,097,863) (1,234,112) (3,569,676)
Net increase (decrease) 4,833,106 777,327 7,327,317
CLASS B
Shares sold 2,741,552 485,395 444,178
Reinvestment of distributions 119,876 29,181 -
Shares redeemed (216,251) (36,053) (2,423)
Net increase (decrease) 2,645,177 478,523 441,755
INITIAL CLASS
Shares sold 13,543 22,104 10,959
Reinvestment of distributions 33,960 32,999 86,923
Shares redeemed (46,783) (54,526) (77,300)
Net increase (decrease) 720 577 20,582
INSTITUTIONAL CLASS
Shares sold 804,353 - -
Reinvestment of distributions 33,876 - -
Shares redeemed (14,477) - -
Net increase (decrease) 823,752 - -

7. SHARE TRANSACTIONS - CONTINUED
DOLLARS
YEAR ENDED THREE MONTHS ENDED YEAR ENDED
DECEMBER 31, DECEMBER 31, SEPTEMBER 30,
1995 B 1994 1994 A
AMOUNTS IN THOUSANDS
CLASS A
Shares sold $ 204,159,266 $ 29,239,750 $ 204,646,521
Reinvestment of distributions 18,559,827 9,270,516 19,661,509
Shares redeemed (111,903,939) (23,824,539) (72,396,373)
Net increase (decrease) $ 110,815,154 $ 14,685,727 $ 151,911,657
CLASS B
Shares sold $ 61,331,975 $ 9,362,672 $ 8,900,939
Reinvestment of distributions 2,896,199 542,478 -
Shares redeemed (4,921,449) (702,223) (48,808)
Net increase (decrease) $ 59,306,725 $ 9,202,927 $ 8,852,131
INITIAL CLASS
Shares sold $ 326,042 $ 432,827 $ 228,789
Reinvestment of distributions 838,428 623,021 1,818,425
Shares redeemed (1,049,626) (1,044,732) (1,612,575)
Net increase (decrease) $ 114,844 $ 11,116 $ 434,639
INSTITUTIONAL CLASS
Shares sold $ 18,524,159 $ - $ -
Reinvestment of distributions 826,550 - -
Shares redeemed (346,163) - -
Net increase (decrease) $ 19,004,546 $ - $ -
A SHARE TRANSACTIONS FOR CLASS B ARE FOR THE PERIOD JUNE 30, 1994
(COMMENCEMENT OF SALE OF SHARES) TO SEPTEMBER 30, 1994.
B SHARE TRANSACTIONS FOR INSTITUTIONAL CLASS ARE FOR THE PERIOD JULY 3,
1995 (COMMENCEMENT OF SALE OF SHARES) TO DECEMBER 31, 1995.
8. 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:
SUMMARY OF TRANSACTIONS WITH AFFILIATED COMPANIES
PURCHASE SALES DIVIDEND MARKET
AFFILIATE COST COST INCOME VALUE
ACTV, Inc. $ - $ 875,000 $ - $ - I-Stat Corp. - - - 35,525,750
Showscan Corp. - 1,347,885 - -
TOTALS $ - $ 2,222,885 $ - $35,525,750
REPORT OF INDEPENDENT ACCOUNTANTS

To the Trustees of Fidelity Advisor Series VIII and the Shareholders of
Fidelity Advisor Strategic Opportunities Fund:
We have audited the accompanying statements of assets and liabilities of
Fidelity Advisor Series VIII: Fidelity Advisor Strategic Opportunities
Fund, including the schedule of portfolio investments, as of December 31,
1995, and the related statements of operations for the year then ended, the
statement of changes in net assets for the year then ended, for the period
from October 1, 1994 through December 31, 1994, and for the year ended
September 30, 1994, and the financial highlights for the year ended
December 31, 1995, for the period from October 1, 1994 through December 31,
1994, and for the four years in the period ended September 30, 1994 (Class
A and Initial Class), for the year ended December 31, 1995, for the period
from October 1, 1994 through December 31, 1994 and for the period from June
30, 1994 (commencement of sale of Class B shares) through September 30,
1994 (Class B), and for the period from July 3, 1995 (commencement of sale
of Institutional Class shares) through December 31, 1995 (Institutional
Class). These financial statements and financial highlights are the
responsibility of the fund's management. Our responsibility is to express
an opinion on these financial statements and financial highlights based on
our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and
financial highlights are
free of material misstatement. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the financial
statements. Our procedures included confirmation of securities owned as of
December 31, 1995 by correspondence with the custodian and brokers. We
believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred
to above present fairly, in all material respects, the financial position
of Fidelity Advisor Series VIII: Fidelity Advisor Strategic Opportunities
Fund as of December 31, 1995, the results of its operations for the year
then ended, the changes in its net assets for the year then ended, for the
period from October 1, 1994 through December 31, 1994 and for the year
ended September 30, 1994, and the financial highlights for the year ended
December 31, 1995, for the period from October 1, 1994 through December 31,
1994, and for the four years in the period ended September 30, 1994 (Class
A and Initial Class), for the year ended December 31, 1995, for the period
from October 1, 1994 through December 31, 1994 and for the period from June
30, 1994 (commencement of sale of Class B shares) through September 30,
1994 (Class B) and for the period July 3, 1995 (commencement of sale of
Institutional Class shares) to December 31, 1995 (Institutional Class), in
conformity with generally accepted accounting principles.
COOPERS & LYBRAND L.L.P.
Boston, Massachusetts
February 2, 1996
DISTRIBUTIONS

The Board of Trustees of Fidelity Advisor Strategic Opportunities Fund
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:
PAY DATE RECORD DATE DIVIDENDS CAPITAL GAINS
Class A 2/5/96 2/2/96 - $.41
Class B 2/5/96 2/2/96 - $.41
Institutional Class 2/5/96 2/2/96 - $.41
Initial Class 2/5/96 2/2/96 - $.41
A total of 18.97% of the dividends distributed during the fiscal year was
derived from interest on U.S. Government securities which is generally
exempt from state income tax.
The fund notified shareholders in January 1996 of the applicable percentage
for use in preparing 1995 income tax returns.

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
J. Gary Burkhead, Senior Vice President
William J. Hayes, Vice President
Daniel R. Frank, Vice President
Arthur S. Loring, Secretary
Kenneth A. Rathgeber, Treasurer
Robert H. Morrison, Manager,
Security Transactions
John H. Costello, Assistant Treasurer
Leonard M. Rush, Assistant Treasurer
BOARD OF TRUSTEES
J. Gary Burkhead
Ralph F. Cox *
Phyllis Burke Davis *
Richard J. Flynn *
Edward C. Johnson 3d
E. Bradley Jones *
Donald J. Kirk *
Peter S. Lynch
Edward H. Malone *
Marvin L. Mann *
Gerald C. McDonough *
Thomas R. Williams *
GENERAL DISTRIBUTOR
Fidelity Distributors Corporation
Boston, MA
TRANSFER AND SHAREHOLDER
SERVICING AGENT
Fidelity Investments Institutional Operations Company
Boston, MA
CUSTODIAN
Brown Brothers Harriman & Co.
Boston, MA
GROWTH FUNDS
Fidelity Advisor Overseas Fund
Fidelity Advisor Equity Growth Fund
Fidelity Advisor Global Resources Fund
Fidelity Advisor Growth
Opportunities Fund
Fidelity Advisor Strategic
Opportunities Fund
GROWTH AND INCOME FUNDS
Fidelity Advisor Equity Income Fund
Fidelity Advisor Income & Growth Fund
TAXABLE INCOME FUNDS
Fidelity Advisor Emerging Markets Income Fund
Fidelity Advisor High Yield Fund
Fidelity Advisor Strategic Income Fund
Fidelity Advisor Government Investment Fund
Fidelity Advisor Intermediate Bond Fund
Fidelity Advisor Short Fixed-Income Fund
MUNICIPAL FUNDS
Fidelity Advisor High Income
Municipal Fund
Fidelity Advisor Intermediate Municipal Income Fund
Fidelity Advisor Short-Intermediate Municipal Income Fund
STATE MUNICIPAL FUNDS
Fidelity Advisor New York Municipal Income Fund
MONEY MARKET FUNDS
Daily Money Fund: Money Market Portfolio
Daily Money Fund: U.S. Treasury Portfolio
Daily Tax-Exempt Money Fund
(REGISTERED TRADEMARK)
(registered trademark)
* INDEPENDENT TRUSTEES
SUPPLEMENT TO THE
ANNUAL REPORT TO
SHAREHOLDERS OF
FIDELITY ADVISOR STRATEGIC OPPORTUNITIES FUND
INSTITUTIONAL CLASS
DATED DECEMBER 31, 1995
SHARE TRANSACTIONS: The figures provided in footnote # 7 on page 31 of the
report represent actual dollar amounts.

(2_FIDELITY_LOGOS)FIDELITY ADVISOR

STRATEGIC OPPORTUNITIES
FUND - CLASS A AND CLASS B
ANNUAL REPORT
DECEMBER 31, 1995
CONTENTS

PRESIDENT'S MESSAGE 3 Ned Johnson on stock market
strategies.

PERFORMANCE 4 How the fund has done over time.

FUND TALK 8 The manager's review of fund
performance, strategy and outlook.

INVESTMENT CHANGES 11 A summary of major shifts in the
fund's investments over the past six
months.

INVESTMENTS 12 A complete list of the fund's
investments with their market
values.

FINANCIAL STATEMENTS 20 Statements of assets and liabilities,
operations, and changes in net
assets,
as well as financial highlights.

NOTES 27 Notes to the financial statements.

REPORT OF INDEPENDENT 34 The auditors' opinion.
ACCOUNTANTS

DISTRIBUTIONS 35

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. A fund's total return
includes changes in share price, plus reinvestment of any dividends (or
income) and capital gains (the profits the fund earns when it sells
securities that have grown in value). The initial offering of Class A
shares took place on August 20, 1986. Class A shares bear a .50% 12b-1 fee.
Prior to January 1, 1996, this fee was .65%, which is reflected in the
returns below for periods after August 20, 1986. Returns prior to that date
are those of Initial Class, the original class of the fund. Had Class A's
12b-1 fee been reflected, returns prior to August 20, 1986 would have been
lower. If Fidelity had not reimbursed certain class expenses during the
periods shown, the total returns would have been lower. Effective January
1, 1996, the maximum 4.75% sales charge on Class A shares was reduced to
3.50%.
CUMULATIVE TOTAL RETURNS

<TABLE>
<CAPTION>
<S> <C> <C> <C>
PERIODS ENDED DECEMBER 31, 1995 PAST 1 YEAR PAST 5 YEARS PAST 10
YEARS

Advisor Strategic Opportunities - Class A 38.16% 114.58% 286.89%

Advisor Strategic Opportunities - Class A 33.32% 107.07% 273.35%
(incl. max. 3.50% sales charge) 1

S&P 500(registered trademark) 37.58% 115.52% 300.54%

Average Capital Appreciation Fund 30.34% 125.37% 245.70%

</TABLE>

CUMULATIVE TOTAL RETURNS show Class A's performance in percentage terms
over a set period - in this case, one year, five years, or 10 years. For
example, if you invested $1,000 in a fund that had a 5% return over the
past year, the value of your investment would be $1,050. You can compare
Class A's returns to those of the Standard & Poor's Composite Index of 500
Stocks - a common proxy for the U.S. stock market. To measure how Class A's
performance stacked up against its peers, you can compare it to the average
capital appreciation fund, which reflects the performance of 158 capital
appreciation funds with similar objectives tracked by Lipper Analytical
Services over the past 12 months. These benchmarks include reinvested
dividends and capital gains, if any, and exclude the effects of sales
charges.
AVERAGE ANNUAL TOTAL RETURNS
PERIODS ENDED DECEMBER 31, 1995 PAST 1 PAST 5 PAST 10
YEAR YEARS YEARS

Advisor Strategic Opportunities - Class A 38.16% 16.50% 14.49%

Advisor Strategic Opportunities - Class A 33.32% 15.67% 14.08%
(incl. max. 3.50% sales charge) 1

S&P 500 37.58% 16.60% 14.89%

Average Capital Appreciation Fund 30.34% 16.97% 12.31%

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

1 HAD THE FORMER MAXIMUM 4.75% SALES CHARGE BEEN REFLECTED, THE CUMULATIVE
AND AVERAGE ANNUAL TOTAL RETURNS FOR THE PAST ONE, FIVE, AND 10 YEARS WOULD
HAVE BEEN 31.60% AND 31.60%, 104.39% AND 15.37%, AND 268.51% AND 13.93%,
RESPECTIVELY.
$10,000 OVER 10 YEARS
FA Strat Opps cl A S&P 500
12/31/85 9650.00 10000.00
01/31/86 10079.21 10056.00
02/28/86 10930.47 10808.19
03/31/86 11717.35 11411.29
04/30/86 11517.05 11282.34
05/31/86 11745.96 11882.56
06/30/86 12375.46 12083.37
07/31/86 11982.02 11407.91
08/31/86 12790.36 12254.38
09/30/86 11953.41 11240.94
10/31/86 12418.38 11889.55
11/30/86 12610.84 12178.46
12/31/86 12344.31 11867.91
01/31/87 13357.13 13466.52
02/28/87 13494.21 13998.45
03/31/87 13890.20 14403.00
04/30/87 13478.98 14274.81
05/31/87 13608.44 14399.01
06/30/87 14034.89 15126.15
07/31/87 14598.42 15893.05
08/31/87 14887.80 16485.86
09/30/87 14514.65 16124.82
10/31/87 11849.31 12651.53
11/30/87 11308.63 11609.05
12/31/87 11562.44 12492.50
01/31/88 12468.26 13018.43
02/29/88 12876.76 13625.09
03/31/88 12672.51 13204.07
04/30/88 12752.43 13350.64
05/31/88 12974.45 13466.79
06/30/88 13862.50 14084.92
07/31/88 13782.57 14031.39
08/31/88 13356.31 13554.33
09/30/88 13791.45 14131.74
10/31/88 14031.23 14524.60
11/30/88 14120.03 14316.90
12/31/88 14134.90 14567.45
01/31/89 14935.51 15633.78
02/28/89 14871.09 15244.50
03/31/89 15183.97 15599.70
04/30/89 15763.72 16409.32
05/31/89 16490.71 17073.90
06/30/89 16619.55 16976.58
07/31/89 17760.65 18509.57
08/31/89 17990.71 18872.35
09/30/89 17990.71 18794.98
10/31/89 17696.23 18358.93
11/30/89 18174.75 18733.46
12/31/89 18742.57 19183.06
01/31/90 17503.16 17895.87
02/28/90 17597.77 18126.73
03/31/90 17597.77 18607.09
04/30/90 16878.72 18141.91
05/31/90 17427.47 19910.75
06/30/90 17597.77 19775.36
07/31/90 17645.07 19712.07
08/31/90 16405.66 17930.10
09/30/90 16282.67 17056.91
10/31/90 16273.21 16983.56
11/30/90 16992.25 18080.70
12/31/90 17398.68 18585.15
01/31/91 17960.88 19395.46
02/28/91 19035.97 20782.24
03/31/91 19637.63 21285.17
04/30/91 19903.94 21336.26
05/31/91 20614.09 22257.98
06/30/91 19963.11 21238.57
07/31/91 20564.77 22228.28
08/31/91 21008.61 22755.09
09/30/91 21087.52 22375.08
10/31/91 20663.40 22674.91
11/30/91 20160.38 21761.11
12/31/91 21414.17 24250.58
01/31/92 21448.91 23799.52
02/29/92 21865.85 24108.91
03/31/92 21309.94 23638.79
04/30/92 21715.29 24333.77
05/31/92 22421.76 24453.01
06/30/92 22421.76 24088.66
07/31/92 23116.65 25073.88
08/31/92 22711.30 24559.87
09/30/92 22618.64 24849.67
10/31/92 22803.95 24936.65
11/30/92 23776.79 25786.99
12/31/92 24170.71 26104.17
01/31/93 24627.48 26323.44
02/28/93 25325.32 26681.44
03/31/93 26111.98 27244.42
04/30/93 25591.77 26585.11
05/31/93 26188.11 27297.59
06/30/93 26403.81 27376.75
07/31/93 26962.08 27267.24
08/31/93 28649.59 28300.67
09/30/93 28573.46 28082.76
10/31/93 29474.31 28664.07
11/30/93 28230.88 28391.76
12/31/93 29110.28 28735.30
01/31/94 29362.20 29712.30
02/28/94 28312.55 28907.10
03/31/94 27220.91 27646.75
04/30/94 27444.84 28000.63
05/31/94 27500.82 28459.84
06/30/94 27500.82 27762.57
07/31/94 28158.60 28673.18
08/31/94 28326.54 29848.78
09/30/94 27934.67 29117.49
10/31/94 27640.77 29772.63
11/30/94 26787.06 28688.31
12/31/94 27023.15 29113.76
01/31/95 28222.58 29868.68
02/28/95 28945.12 31032.66
03/31/95 29219.69 31948.44
04/30/95 29855.53 32889.32
05/31/95 30635.88 34203.90
06/30/95 32239.92 34998.46
07/31/95 33323.74 36159.01
08/31/95 34277.50 36249.77
09/30/95 35448.02 37779.51
10/31/95 35317.96 37644.64
11/30/95 36257.27 39297.24
12/29/95 37334.94 40054.10

$10,000 OVER 10 YEARS: Let's say you invested $10,000 in Fidelity Advisor
Strategic Opportunities Fund - Class A on December 31, 1985, and paid the
current maximum 3.50% sales charge. As the chart shows, by December 31,
1995, the value of your investment would have grown to $37,335 - a 273.35%
increase on your initial investment. For comparison, look at how the S&P
500 did over the same period. With dividends reinvested, the same $10,000
investment would have grown to $40,054 - a 300.54% increase.
UNDERSTANDING
PERFORMANCE
How a fund did yesterday is
no guarantee of how it will do
tomorrow. The stock market,
for example, has a history of
growth in the long run and
volatility in the short run. In
turn, the share price and
return of a fund that invests in
stocks will vary. That means if
you sell your shares during a
market downturn, you might
lose money. But if you can
ride out the market's ups and
downs, you may have a gain.
(checkmark)
ADVISOR STRATEGIC OPPORTUNITIES FUND - CLASS B
PERFORMANCE: THE BOTTOM LINE

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. A fund's total return
includes changes in share price, plus reinvestment of any dividends (or
income) and capital gains (the profits the fund earns when it sells
securities that have grown in value). Initial offering of Class B shares
took place on June 30, 1994. Class B shares bear a 1.00% 12b-1/shareholder
service fee. This fee is not reflected in returns prior to that date.
Returns between August 20, 1986 and June 30, 1994 are those of Class A, and
reflect Class A's .65% 12b-1 fee. Returns prior to August 20, 1986 are
those of Initial Class, the original class of the fund. Had Class B's 12b-1
fee been reflected, prior returns would have been lower. If Fidelity had
not reimbursed certain class expenses during the periods shown, the total
returns would have been lower. Class B's contingent deferred sales charges
included in the past one year, past five years and past 10 years total
return figures are 4%, 1% and 0%, respectively.
CUMULATIVE TOTAL RETURNS
PERIODS ENDED DECEMBER 31, 1995 PAST 1 PAST 5 PAST 10
YEAR YEARS YEARS

Advisor Strategic Opportunities - Class B 37.35% 113.22% 284.43%

Advisor Strategic Opportunities - Class B 33.35% 112.22% 284.43%
(incl. contingent deferred sales charge)

S&P 500(registered trademark) 37.58% 115.52% 300.54%

Average Capital Appreciation Fund 30.34% 125.37% 245.70%

CUMULATIVE TOTAL RETURNS show Class B's performance in percentage terms
over a set period - in this case, one year, five years, or 10 years. For
example, if you invested $1,000 in a fund that had a 5% return over the
past year, the value of your investment would be $1,050. You can compare
Class B's returns to those of the Standard & Poor's Composite Index of 500
Stocks - a common proxy for the U.S. stock market. To measure how Class B's
performance stacked up against its peers, you can compare it to the average
capital appreciation fund, which reflects the performance of 158 capital
appreciation funds with similar objectives tracked by Lipper Analytical
Services over the past 12 months. These benchmarks include reinvested
dividends and capital gains, if any, and exclude the effects of sales
charges.
AVERAGE ANNUAL TOTAL RETURNS
PERIODS ENDED DECEMBER 31, 1995 PAST 1 PAST 5 PAST 10
YEAR YEARS YEARS

Advisor Strategic Opportunities - Class B 37.35% 16.35% 14.41%

Advisor Strategic Opportunities - Class B 33.35% 16.24% 14.41%
(incl. contingent deferred sales charge)

S&P 500 37.58% 16.60% 14.89%

Average Capital Appreciation Fund 30.34% 16.97% 12.31%

AVERAGE ANNUAL TOTAL RETURNS take Class B shares' actual (or 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
F A Strat Opp Cl B (S&P 500
12/31/85 10000.00 10000.00
01/31/86 10444.77 10056.00
02/28/86 11326.91 10808.19
03/31/86 12142.33 11411.29
04/30/86 11934.77 11282.34
05/31/86 12171.98 11882.56
06/30/86 12824.31 12083.37
07/31/86 12416.60 11407.91
08/31/86 13254.26 12254.38
09/30/86 12386.95 11240.94
10/31/86 12868.79 11889.55
11/30/86 13068.23 12178.46
12/31/86 12792.03 11867.91
01/31/87 13841.59 13466.52
02/28/87 13983.63 13998.45
03/31/87 14393.99 14403.00
04/30/87 13967.85 14274.81
05/31/87 14102.01 14399.01
06/30/87 14543.93 15126.15
07/31/87 15127.89 15893.05
08/31/87 15427.77 16485.86
09/30/87 15041.09 16124.82
10/31/87 12279.08 12651.53
11/30/87 11718.79 11609.05
12/31/87 11981.81 12492.50
01/31/88 12920.47 13018.43
02/29/88 13343.79 13625.09
03/31/88 13132.13 13204.07
04/30/88 13214.96 13350.64
05/31/88 13445.02 13466.79
06/30/88 14365.28 14084.92
07/31/88 14282.46 14031.39
08/31/88 13840.73 13554.33
09/30/88 14291.66 14131.74
10/31/88 14540.13 14524.60
11/30/88 14632.16 14316.90
12/31/88 14647.56 14567.45
01/31/89 15477.21 15633.78
02/28/89 15410.46 15244.50
03/31/89 15734.69 15599.70
04/30/89 16335.46 16409.32
05/31/89 17088.82 17073.90
06/30/89 17222.33 16976.58
07/31/89 18404.81 18509.57
08/31/89 18643.22 18872.35
09/30/89 18643.22 18794.98
10/31/89 18338.06 18358.93
11/30/89 18833.94 18733.46
12/31/89 19422.35 19183.06
01/31/90 18137.99 17895.87
02/28/90 18236.03 18126.73
03/31/90 18236.03 18607.09
04/30/90 17490.90 18141.91
05/31/90 18059.55 19910.75
06/30/90 18236.03 19775.36
07/31/90 18285.05 19712.07
08/31/90 17000.69 17930.10
09/30/90 16873.23 17056.91
10/31/90 16863.43 16983.56
11/30/90 17608.55 18080.70
12/31/90 18029.72 18585.15
01/31/91 18612.32 19395.46
02/28/91 19726.40 20782.24
03/31/91 20349.87 21285.17
04/30/91 20625.84 21336.26
05/31/91 21361.75 22257.98
06/30/91 20687.17 21238.57
07/31/91 21310.64 22228.28
08/31/91 21770.58 22755.09
09/30/91 21852.35 22375.08
10/31/91 21412.85 22674.91
11/30/91 20891.58 21761.11
12/31/91 22190.85 24250.58
01/31/92 22226.85 23799.52
02/29/92 22658.91 24108.91
03/31/92 22082.83 23638.79
04/30/92 22502.89 24333.77
05/31/92 23234.98 24453.01
06/30/92 23234.98 24088.66
07/31/92 23955.08 25073.88
08/31/92 23535.02 24559.87
09/30/92 23439.01 24849.67
10/31/92 23631.03 24936.65
11/30/92 24639.16 25786.99
12/31/92 25047.37 26104.17
01/31/93 25520.71 26323.44
02/28/93 26243.86 26681.44
03/31/93 27059.05 27244.42
04/30/93 26519.97 26585.11
05/31/93 27137.94 27297.59
06/30/93 27361.46 27376.75
07/31/93 27939.98 27267.24
08/31/93 29688.69 28300.67
09/30/93 29609.80 28082.76
10/31/93 30543.33 28664.07
11/30/93 29254.80 28391.76
12/31/93 30166.09 28735.30
01/31/94 30427.15 29712.30
02/28/94 29339.43 28907.10
03/31/94 28208.20 27646.75
04/30/94 28440.25 28000.63
05/31/94 28498.26 28459.84
06/30/94 28498.26 27762.57
07/31/94 29208.90 28673.18
08/31/94 29368.43 29848.78
09/30/94 28976.85 29117.49
10/31/94 28643.29 29772.63
11/30/94 27729.60 28688.31
12/31/94 27989.52 29113.76
01/31/95 29180.24 29868.68
02/28/95 29918.79 31032.66
03/31/95 30190.09 31948.44
04/30/95 30838.21 32889.32
05/31/95 31637.04 34203.90
06/30/95 33295.01 34998.46
07/31/95 34395.30 36159.01
08/31/95 35344.86 36249.77
09/30/95 36535.59 37779.51
10/31/95 36399.93 37644.64
11/30/95 37349.50 39297.24
12/29/95 38442.85 40054.10

$10,000 OVER 10 YEARS: Let's say you invested $10,000 in Fidelity Advisor
Strategic Opportunities Fund - Class B on December 31, 1985. As the chart
shows, by December 31, 1995, the value of your investment would have grown
to $38,443 - a 284.43% increase on your initial investment. For comparison,
look at how the S&P 500 did over the same period. With dividends
reinvested, the same $10,000 investment would have grown to $40,054 - a
300.54% increase.
UNDERSTANDING
PERFORMANCE
How a fund did yesterday is
no guarantee of how it will do
tomorrow. The stock market,
for example, has a history of
growth in the long run and
volatility in the short run. In
turn, the share price and
return of a fund that invests in
stocks will vary. That means if
you sell your shares during a
market downturn, you might
lose money. But if you can
ride out the market's ups and
downs, you may have a gain.
(checkmark)
FUND TALK: THE MANAGER'S OVERVIEW

MARKET RECAP
Strong corporate earnings and a
favorable interest rate
environment helped the U.S.
stock market post robust returns
for the 12 months ended
December 31, 1995. The Standard
& Poor's Composite Index of 500
Stocks finished the 12-month
period with a total return of
37.58% (including reinvested
dividends ) - well above its
historical annual average of
roughly 12%. With inflation
posing little threat, interest rates
fell during the first half of 1995.
The Federal Reserve Board cut
the fed funds rate - the rate
banks charge each other for
overnight loans - twice, in July
and December.
Large-capitalization stocks led
the rally, with the weak dollar
helping to bolster overseas
business. Technology companies
posted the strongest earnings
growth and stock price gain,
although they faltered somewhat
in the fourth quarter. Lower
interest rates and continued
merger and acquisition activity
helped financial stocks perform
well. In November, the Dow Jones
Industrial Average closed above
5000 for the first time. Returns
from foreign markets suffered as
investors brought capital back to
the U.S. The Morgan Stanley
Emerging Markets Free Index
was down 5.21% for the 12
months ended December 31. The
Morgan Stanley EAFE (Europe,
Australasia, Far East) Index was
up 11.21% for the year. European
markets fared well through 1995,
while the Japanese market
recently has shown signs of
recovery.
An interview with Daniel R. Frank Portfolio Manager of Fidelity Advisor
Strategic Opportunities Fund
Q. DAN, HOW DID THE FUND PERFORM OVER THE PAST 12 MONTHS?
A. The fund performed well, with Class A shares returning 38.16% and Class
B shares returning 37.35% during the year ended December 31, 1995. During
the same period, the average capital appreciation fund returned 30.34%,
according to Lipper Analytical Services.
Q. THE PAST YEAR'S MARKET SUCCESS WAS LED, TO A GREAT DEGREE, BY TECHNOLOGY
STOCKS. SINCE YOUR TECHNOLOGY HOLDINGS WERE NEGLIGIBLE DURING THE PERIOD,
WHAT FACTORS CONTRIBUTED TO THE FUND'S PERFORMANCE?
A. The story is nearly identical to our discussion in the semiannual report
at the end of June. In short, it's the three "Bs" - the Bells, banks and
bonds. The regional Bell operating companies (RBOCs) were spectacular,
standing as one of the best-performing sectors in the market last year.
Regional banks were one of the top performing sectors, as well. Also,
interest rates continued to come down, helping the long-term Treasury
position. Zero coupon bonds - which tend to be extremely sensitive to
changes in interest rates - were the fund's largest holding as of the end
of the period and outperformed the S&P 500.
Q. ALMOST ONE QUARTER OF THE FUND'S HOLDINGS WAS RBOCS - ABOUT THE SAME AS
SIX MONTHS AGO. THEIR PERFORMANCE CONTINUED TO BE SUPERIOR . . .
A. Nothing really has changed. BellSouth, Ameritech, Bell Atlantic, NYNEX
and SBC Communications remain among the fund's 10 largest holdings.
Revenue, earnings and dividend growth continued to be strong. Legislation
at the state levels continued to be favorable. Federal legislation, though
still pending, may help to allow the RBOCs to get into the long-distance
business while de-regulating the rest of their business. You have a
combination of continued growth in phone lines and such enhanced services
as voice mail, as well as increasing returns from the cellular and overseas
components of their operations. Further, by default, the RBOCs are the
Internet access providers. By this I mean that as people log-in to the
information superhighway, they're adding second and third phone lines at
home. Over the past decade, the total return from the RBOCs has been
substantially more than the S&P 500.
Q. ON THE OTHER HAND, YOU TRIMMED THE FUND'S HOLDING IN FINANCIAL SERVICES
ALMOST IN HALF - TO 14%. WHY?
A. If you look at the fund's history in recent years, you'll see that at
different times I've held big positions in this sector and also have had
less than 10% of the fund's holdings in financial services. Banks, for
example, tend to do well when interest rates come down. The underlying
fundamentals of their loan portfolios, however, had me nervous at the end
of the period. Consumer credit quality has been deteriorating and there has
been no loan growth. Banks have not performed well in the past when faced
with similar conditions.
Q. YOU INCREASED THE FUND'S HOLDINGS IN THE MEDIA AND LEISURE SECTOR. WHAT
DID YOU SEE THAT MADE THIS MARKET SEGMENT ATTRACTIVE?
A. The holdings in this sector during the period were mostly newspapers - a
new story for the fund - with a lot of new names added. These new holdings
included Gannett, Knight-Ridder and News Corp. These stocks have done
little over the past decade and have had their earnings depressed by the
dramatic rise in newsprint prices over the past three years. Many of these
companies generate substantial excess cash which has been and can continue
to be used to benefit shareholders. Icing on the cake would be a decline in
newsprint prices.
Q. WERE THERE ANY DISAPPOINTMENTS DURING THE PERIOD?
A. Going into 1995, I probably would have been happy with a return of 10%.
Still, Viacom, which was one of the fund's top holdings during the period
was a disappointment, particularly given its sizable assets, strong cash
flow and improving balance sheet. Kinder-Care Learning Centers, a provider
of day care services which the fund no longer held at the end of the
period, was another disappointment.
Q. WHAT'S YOUR STRATEGY GOING FORWARD?
A. It's extremely difficult to make accurate predictions about the future
of the securities markets. I think the market's performance during 1995 -
surpassing just about everyone's expectations - is perfect evidence of
that. As always, however, I will continue to seek out and invest in those
companies and market sectors where I believe there is value and the
opportunity for capital appreciation.
THE VIEWS EXPRESSED IN THIS REPORT REFLECT THOSE OF THE PORTFOLIO MANAGER
ONLY THROUGH THE END OF THE PERIOD OF THE REPORT AS STATED ON THE COVER.
THE MANAGER'S VIEWS ARE SUBJECT TO CHANGE AT ANY TIME BASED ON MARKET AND
OTHER CONDITIONS.

FUND FACTS
GOAL: seeks capital
appreciation by investing
primarily in securities of
companies believed by
Fidelity to involve a "Special
Situation"
START DATE: December 31, 1983
SIZE: as of December 31, 1995,
more than $751 million
MANAGER: Daniel R. Frank,
since inception; joined
Fidelity in 1979
(checkmark)
DAN FRANK ON HIS INVESTMENT
PHILOSOPHY:
"My philosophy really hasn't
changed in the 12 years I've
been managing this fund. I try
to find great businesses that
generate significant surplus
cash which can then be
redeployed to enhance
stockholder returns. At the
same time, I look for unique
opportunities that might not
meet those criteria. I also look
for the big industry trends.
These might include, for
example, the decline in
semiconductor prices or
dramatic changes in supply
and demand in a particular
industry, such as with
newsprint, steel, paper, oil
and others.
"I try to gather information
from as many sources as
possible. Fidelity provides us
with the resources to take
advantage of outside
research services and
consultants. I travel a great
deal to visit different
companies and countries. In
addition, I use proprietary
in-house research, I read
every newspaper I can and I
apply common sense."
INVESTMENT CHANGES

TOP TEN STOCKS AS OF DECEMBER 31, 1995
% OF FUND'S % OF FUND'S
INVESTMENTS INVESTMENTS
IN THESE STOCKS
6 MONTHS AGO

BellSouth Corp. 5.4 5.1

Ameritech Corp. 5.1 5.0

Bell Atlantic Corp. 4.9 4.9

I-Stat Corp. 4.7 7.2

NYNEX Corp. 4.6 4.3

SBC Communications, Inc. 4.4 4.7

Viacom, Inc. (various issues) 4.3 5.3

Philip Morris Companies, Inc. 2.3 0.0

Tootsie Roll Industries, Inc. 1.7 1.5

Regis Corp. 1.2 1.4

TOP FIVE MARKET SECTORS AS OF DECEMBER 31, 1995
% OF FUND'S % OF FUND'S
INVESTMENTS INVESTMENTS
IN THESE MARKET SECTORS
6 MONTHS AGO

Utilities 25.9 26.0

Finance 14.0 24.4

Media & Leisure 8.8 6.0

Nondurables 8.8 4.5

Health 6.0 10.6

Showing Percentage of Total Value of Investments in Securities

STATEMENT OF ASSETS AND LIABILITIES

<TABLE>
<CAPTION>
<S> <C> <C>
ASSETS DECEMBER 31, 1995

Investment in securities, at value (including repurchase $ 752,341,103
agreements of $39,414,000) (cost $623,837,619) -
See accompanying schedule

Cash 1,667

Receivable for investments sold 12,075,751

Receivable for fund shares sold 6,699,232

Dividends receivable 1,256,090

Interest receivable 230,632

Other receivables 101,210

Prepaid expenses 8,975

TOTAL ASSETS 772,714,660

LIABILITIES

Payable for investments purchased $ 15,531,409

Payable for fund shares redeemed 443,369

Distributions payable 4,222,435

Accrued management fee 375,779

Distribution fees payable 409,732

Other payables and accrued expenses 315,934

TOTAL LIABILITIES 21,298,658

NET ASSETS $ 751,416,002

Net Assets consist of: $ 609,715,457
Paid in capital

Accumulated undistributed net realized gain (loss) on 13,197,061
investments and foreign currency transactions

Net unrealized appreciation (depreciation) on 128,503,484
investments

NET ASSETS $ 751,416,002

CALCULATION OF MAXIMUM OFFERING PRICE $24.88
CLASS A:
NET ASSET VALUE, and redemption price per share
($619,992,880 (divided by) 24,920,869 shares)

Maximum offering price per share (100/95.25 of $24.88) $26.12

CLASS B: $24.56
NET ASSET VALUE, offering price and redemption price
per share ($87,565,658 (divided by) 3,565,455 shares) A

INSTITUTIONAL CLASS: $24.80
NET ASSET VALUE, offering price and redemption price
per share ($20,429,118 (divided by) 823,752 shares)

INITIAL CLASS: $25.10
NET ASSET VALUE and redemption price per share
($23,428,346 (divided by) 933,228 shares)

Maximum offering price per share (100/95.25 of $25.10) $26.35

</TABLE>

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

<TABLE>
<CAPTION>
<S> <C> <C>
INVESTMENT INCOME YEAR ENDED DECEMBER 31, 1995

Dividends $ 11,406,495

Interest 8,282,971

TOTAL INCOME 19,689,466

EXPENSES

Management fee $ 3,419,543
Basic fee

Performance adjustment 91,269

Transfer agent fees 1,162,980
Class A

Class B 126,686

Institutional Class 4,398

Initial Class 44,511

Distribution fees - Class A 3,182,013

Distribution fees - Class B 467,105

Accounting fees and expenses 315,623

Non-interested trustees' compensation 3,060

Custodian fees and expenses 42,292

Registration fees - Class A 76,078

Registration fees - Class B 61,368

Registration fees - Institutional Class 17,791

Registration fees - Initial Class 23,362

Audit 37,973

Legal 31,273

Interest 948

Reports to shareholders 29,651

Miscellaneous 2,006

Total expenses before reductions 9,139,930

Expense reductions (38,211) 9,101,719

NET INVESTMENT INCOME 10,587,747

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

Investment securities (including realized loss of 36,075,671
$246,335 on sales of investment in affiliated issuers)

Foreign currency transactions (11,657) 36,064,014

Change in net unrealized appreciation (depreciation) on:

Investment securities 132,488,727

Assets and liabilities in foreign currencies 10,596 132,499,323

NET GAIN (LOSS) 168,563,337

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM $ 179,151,084
OPERATIONS

</TABLE>

STATEMENT OF CHANGES IN NET ASSETS

<TABLE>
<CAPTION>
<S> <C> <C> <C>
YEAR ENDED THREE MONTHS YEAR ENDED
DECEMBER 31, ENDED SEPTEMBER 30,
1995 DECEMBER 31, 1994
1994

INCREASE (DECREASE) IN NET ASSETS

Operations $ 10,587,747 $ 2,067,920 $ 6,903,469
Net investment income

Net realized gain (loss) 36,064,014 (5,789,778) 8,280,193

Change in net unrealized appreciation 132,499,323 (9,641,386) (23,325,658)
(depreciation)

NET INCREASE (DECREASE) IN NET ASSETS 179,151,084 (13,363,244) (8,141,996)
RESULTING FROM OPERATIONS

Distributions to shareholders (9,290,408) (6,826,359) (5,752,632)
From net investment income
Class A

Class B (1,281,036) (382,214) -

Institutional Class (433,848) - -

Initial Class (449,705) (464,141) (458,027)

From net realized gain (13,102,251) (5,071,018) (22,876,692)
Class A

Class B (1,854,130) (211,573) -

Institutional Class (433,848) - -

Initial Class (494,507) (241,353) (1,535,740)

TOTAL DISTRIBUTIONS (27,339,733) (13,196,658) (30,623,091)

Share transactions - net increase 189,241,269 23,899,770 161,198,427
(decrease)

TOTAL INCREASE (DECREASE) IN NET ASSETS 341,052,620 (2,660,132) 122,433,340

NET ASSETS

Beginning of period 410,363,382 413,023,514 290,590,174

End of period (including undistributed $ 751,416,002 $ 410,363,382 $ 413,023,514
net investment income of $0,
$0, and $5,875,182 respectively)

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS - CLASS A YEAR ENDED THREE MONTHS YEARS ENDED SEPTEMBER 30,
DECEMBER 31, ENDED
DECEMBER 31,

SELECTED PER-SHARE DATA 1995 1994 1994 G 1993 1992 D 1991

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $ 18.70 $ 19.96 $ 22.52 $ 19.53 $ 21.38 $ 17.21

Income from Investment Operations

Net investment income .39 .10 F .39 F .33 .61 .66

Net realized and unrealized gain (loss) 6.73 (.75) (.81) 4.44 .58 4.26

Total from investment operations 7.12 (.65) (.42) 4.77 1.19 4.92

Less Distributions

From net investment income (.39) (.35) (.43) (.57) (.62) (.75)

From net realized gain (.55) (.26) (1.71) (1.21) (2.42) -

Total distributions (.94) (.61) (2.14) (1.78) (3.04) (.75)

Net asset value, end of period $ 24.88 $ 18.70 $ 19.96 $ 22.52 $ 19.53 $ 21.38

TOTAL RETURN B, C 38.16% (3.26)% (2.24)% 26.33% 7.26% 29.51%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period (000 omitted) $ 619,993 $ 375,691 $ 385,349 $ 269,833 $ 194,710 $ 199,604

Ratio of expenses to average net assets 1.61% 1.73% A, 1.85% 1.57% 1.46% 1.56%
H E

Ratio of expenses to average net assets after expense
reductions 1.61% I 1.73% A, 1.84% 1.57% 1.46% 1.56%
I I

Ratio of net investment income to average net assets 1.90% 2.03% A 1.89% 2.06% 3.22% 3.61%

Portfolio turnover 142% 228% A 159% 183% 211% 223%

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C>
YEAR ENDED THREE YEAR ENDED
DECEMBER MONTHS SEPTEMBER
31, ENDED 30,
DECEMBER
31,

1995 1994 1994 D

SELECTED PER-SHARE DATA

Net asset value, beginning of period $ 18.57 $ 19.98 $ 19.65

Income from Investment Operations

Net investment income .38 .06 E .05 E

Net realized and unrealized gain (loss) 6.54 (.74) .28

Total from investment operations 6.92 (.68) .33

Less Distributions

From net investment income (.38) (.47) -

From net realized gain (.55) (.26) -

Total distributions (.93) (.73) -

Net asset value, end of period $ 24.56 $ 18.57 $ 19.98

TOTAL RETURN B, C 37.35% (3.41)% 1.68%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period (000 omitted) $ 87,566 $ 17,090 $ 8,824

Ratio of expenses to average net assets 2.11% 2.58% A 2.63% A,
G

Ratio of expenses to average net assets after 2.10% F 2.53% A, 2.63% A
expense reductions F

Ratio of net investment income to average net 1.40% 1.22% A 1.11% A
assets

Portfolio turnover 142% 228% A 159%

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS - INITIAL CLASS YEAR ENDED THREE MONTHS YEARS ENDED SEPTEMBER 30,
DECEMBER 31, ENDED
DECEMBER 31,

SELECTED PER-SHARE DATA 1995 1994 1994 G 1993 1992 D 1991

</TABLE>

Net asset value, beginning of period $ 18.86 $ 20.23 $ 22.72 $ 19.72 $ 21.55 $ 17.37

Income from Investment Operations

Net investment income .50 .13 F .54 F .45 .73 .77

Net realized and unrealized gain (loss) 6.79 (.74) (.81) 4.46 .58 4.26

Total from investment operations 7.29 (.61) (.27) 4.91 1.31 5.03

Less Distributions

From net investment income (.50) (.50) (.51) (.70) (.72) (.85)

From net realized gain (.55) (.26) (1.71) (1.21) (2.42) -

Total distributions (1.05) (.76) (2.22) (1.91) (3.14) (.85)

Net asset value, end of period $ 25.10 $ 18.86 $ 20.23 $ 22.72 $ 19.72 $ 21.55

TOTAL RETURN B, C 38.75% (3.02)% (1.51)% 26.98% 7.89% 30.01%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period (000 omitted) $ 23,428 $ 17,583 $ 18,850 $ 20,707 $ 17,933 $ 19,193

Ratio of expenses to average net assets 1.04% 1.14% A 1.15% .89% .87% 1.00%

Ratio of expenses to average net assets after expense reductions 1.03% 1.11% A, 1.14% .89% .87% 1.00%

H H H

Ratio of net investment income to average net assets 2.47% 2.65% A 2.6% 2.74% 3.78% 4.12%

Portfolio turnover 142% 228% A 159% 183% 211% 223%

</TABLE>

A ANNUALIZED
B TOTAL RETURNS DO NOT INCLUDE THE ONE TIME SALES CHARGE AND 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 (SEE NOTE 6 OF NOTES TO FINANCIAL
STATEMENTS).
D AS OF OCTOBER 1, 1991 THE FUND DISCONTINUED THE USE OF EQUALIZATION
ACCOUNTING.
E INCLUDES REIMBURSEMENT OF $.03 PER SHARE FROM FIDELITY MANAGEMENT &
RESEARCH COMPANY FOR ADJUSTMENTS TO PRIOR PERIOD'S FEES.
F NET INVESTMENT INCOME PER SHARE HAS BEEN CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING THE PERIOD.
G EFFECTIVE OCTOBER 1, 1993, THE FUND ADOPTED STATEMENT OF POSITION 93-2,
"DETERMINATION, DISCLOSURE, AND FINANCIAL STATEMENT PRESENTATION OF INCOME,
CAPITAL GAIN, AND RETURN OF CAPITAL DISTRIBUTIONS BY INVESTMENT COMPANIES."
AS A RESULT, NET INVESTMENT INCOME PER SHARE MAY REFLECT CERTAIN
RECLASSIFICATIONS RELATED TO BOOK TO TAX DIFFERENCES.
H FMR HAS DIRECTED CERTAIN PORTFOLIO TRADES TO BROKERS WHO PAID A PORTION
OF THE FUND'S EXPENSES (SEE NOTE 6 OF NOTES TO FINANCIAL STATEMENTS).
FINANCIAL HIGHLIGHTS - INSTITUTIONAL CLASS

<TABLE>
<CAPTION>
<S> <C>
YEAR ENDED
DECEMBER 31,

1995 B

SELECTED PER-SHARE DATA

Net asset value, beginning of period $ 22.35

Income from Investment Operations

Net investment income .55

Net realized and unrealized gain (loss) 3.00

Total from investment operations 3.55

Less Distributions

From net investment income (.55)

From net realized gain (.55)

Total distributions (1.10)

Net asset value, end of period $ 24.80

TOTAL RETURN C, D 15.96%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period (000 omitted) $ 20,429

Ratio of expenses to average net assets .97% A

Ratio of expenses to average net assets after expense reductions .96% A,
E

Ratio of net investment income to average net assets 2.55% A

Portfolio turnover 142%

</TABLE>

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
J. Gary Burkhead, Senior Vice President
William J. Hayes, Vice President
Daniel R. Frank, Vice President
Arthur S. Loring, Secretary
Kenneth A. Rathgeber, Treasurer
Robert H. Morrison, Manager,
Security Transactions
John H. Costello, Assistant Treasurer
Leonard M. Rush, Assistant Treasurer
BOARD OF TRUSTEES
J. Gary Burkhead
Ralph F. Cox *
Phyllis Burke Davis *
Richard J. Flynn *
Edward C. Johnson 3d
E. Bradley Jones *
Donald J. Kirk *
Peter S. Lynch
Edward H. Malone *
Marvin L. Mann *
Gerald C. McDonough *
Thomas R. Williams *
GENERAL DISTRIBUTOR
Fidelity Distributors Corporation
Boston, MA
TRANSFER AND SHAREHOLDER
SERVICING AGENT
State Street Bank and Trust Company
Boston, MA - Class A
Fidelity Investments Institutional
Operations Company
Boston, MA - Class B
CUSTODIAN
Brown Brothers Harriman & Co.
Boston, MA
GROWTH FUNDS
Fidelity Advisor Overseas Fund
Fidelity Advisor Equity Growth Fund
Fidelity Advisor Global Resources Fund
Fidelity Advisor Growth
Opportunities Fund
Fidelity Advisor Strategic
Opportunities Fund
GROWTH AND INCOME FUNDS
Fidelity Advisor Equity Income Fund
Fidelity Advisor Income & Growth Fund
TAXABLE INCOME FUNDS
Fidelity Advisor Emerging Markets Income Fund
Fidelity Advisor High Yield Fund
Fidelity Advisor Strategic Income Fund
Fidelity Advisor Government Investment Fund
Fidelity Advisor Intermediate Bond Fund
Fidelity Advisor Short Fixed-Income Fund
MUNICIPAL FUNDS
Fidelity Advisor High Income
Municipal Fund
Fidelity Advisor Intermediate Municipal Income Fund
Fidelity Advisor Short-Intermediate Municipal Income Fund
STATE MUNICIPAL FUNDS
Fidelity Advisor New York Municipal Income Fund
MONEY MARKET FUNDS
Daily Money Fund: Money Market Portfolio
Daily Money Fund: U.S. Treasury Portfolio
Daily Tax-Exempt Money Fund
(REGISTERED TRADEMARK)
(registered trademark)
* INDEPENDENT TRUSTEES
SUPPLEMENT TO THE
ANNUAL REPORT TO
SHAREHOLDERS OF
FIDELITY ADVISOR STRATEGIC OPPORTUNITIES FUND
CLASS A AND CLASS B
DATED DECEMBER 31, 1995
SHARE TRANSACTIONS: The figures provided in footnote # 7 on page 33 of the
report represent actual dollar amounts.

(2_FIDELITY_LOGOS)FIDELITY ADVISOR

STRATEGIC OPPORTUNITIES
FUND - INITIAL CLASS
ANNUAL REPORT
DECEMBER 31, 1995
CONTENTS

PRESIDENT'S MESSAGE 3 Ned Johnson on stock market
strategies.

PERFORMANCE 4 How the fund has done over time.

FUND TALK 6 The manager's review of fund
performance, strategy and outlook.

INVESTMENT CHANGES 9 A summary of major shifts in the
fund's investments over the past six
months.

INVESTMENTS 10 A complete list of the fund's
investments with their market
values.

FINANCIAL STATEMENTS 18 Statements of assets and liabilities,
operations, and changes in net
assets,
as well as financial highlights.

NOTES 25 Notes to the financial statements.

REPORT OF INDEPENDENT 32 The auditors' opinion.
ACCOUNTANTS

DISTRIBUTIONS 33

<TABLE>
<CAPTION>
<S> <C> <C> <C>
PERIODS ENDED DECEMBER 31, 1995 PAST 1 YEAR PAST 5 YEARS PAST 10
YEARS

Advisor Strategic Opportunities - Initial Class 38.75% 120.80% 305.88%

Advisor Strategic Opportunities - Initial Class 33.89% 113.07% 291.68%
(incl. max. 3.50% sales charge) 1

S&P 500(registered trademark) 37.58% 115.52% 300.54%

Average Capital Appreciation Fund 30.34% 125.37% 245.70%

</TABLE>

CUMULATIVE TOTAL RETURNS show Initial Class' performance in percentage
terms over a set period - in this case, one year, five years, or 10 years.
For example, if you invested $1,000 in a fund that had a 5% return over the
past year, the value of your investment would be $1,050. You can compare
Initial Class' returns to those of the Standard & Poor's Composite Index of
500 Stocks - a common proxy for the U.S. stock market. To measure how
Initial Class' performance stacked up against its peers, you can compare it
to the average capital appreciation fund, which reflects the performance of
158 capital appreciation funds with similar objectives tracked by Lipper
Analytical Services over the past 12 months. These benchmarks include
reinvested dividends and capital gains, if any, and exclude the effects of
sales charges.
AVERAGE ANNUAL TOTAL RETURNS
PERIODS ENDED DECEMBER 31, 1995 PAST 1 PAST 5 PAST 10
YEAR YEARS YEARS

Advisor Strategic Opportunities - Initial Class 38.75% 17.17% 15.04%

Advisor Strategic Opportunities - Initial Class 33.89% 16.33% 14.63%
(incl. max. 3.50% sales charge) 1

S&P 500 37.58% 16.60% 14.89%

Average Capital Appreciation Fund 30.34% 16.97% 12.31%

AVERAGE ANNUAL TOTAL RETURNS take the Initial Class shares' actual (or
cumulative) return and show you what would have happened if Initial Class
shares had performed at a constant rate each year.

1 HAD THE FORMER MAXIMUM 4.75% SALES CHARGE BEEN REFLECTED, THE CUMULATIVE
AND AVERAGE ANNUAL TOTAL RETURNS FOR THE PAST ONE, FIVE, AND 10 YEARS WOULD
HAVE BEEN 32.16% AND 32.16%, 110.31% AND 16.03%, AND 286.60% AND 14.48%,
RESPECTIVELY.
$10,000 OVER 10 YEARS
FA Strat Opps InitiaS&P 500
12/31/85 9650.00 10000.00
01/31/86 10079.21 10056.00
02/28/86 10930.47 10808.19
03/31/86 11717.35 11411.29
04/30/86 11517.05 11282.34
05/31/86 11745.96 11882.56
06/30/86 12375.46 12083.37
07/31/86 11982.02 11407.91
08/31/86 12790.36 12254.38
09/30/86 11953.41 11240.94
10/31/86 12418.38 11889.55
11/30/86 12610.84 12178.46
12/31/86 12344.31 11867.91
01/31/87 13364.75 13466.52
02/28/87 13501.82 13998.45
03/31/87 13913.04 14403.00
04/30/87 13509.44 14274.81
05/31/87 13646.51 14399.01
06/30/87 14080.58 15126.15
07/31/87 14659.34 15893.05
08/31/87 14948.72 16485.86
09/30/87 14567.96 16124.82
10/31/87 11917.85 12651.53
11/30/87 11377.17 11609.05
12/31/87 11638.57 12492.50
01/31/88 12561.85 13018.43
02/29/88 12979.09 13625.09
03/31/88 12748.28 13204.07
04/30/88 12828.17 13350.64
05/31/88 13050.11 13466.79
06/30/88 13946.76 14084.92
07/31/88 13866.86 14031.39
08/31/88 13449.61 13554.33
09/30/88 13893.49 14131.74
10/31/88 14142.06 14524.60
11/30/88 14221.96 14316.90
12/31/88 14281.37 14567.45
01/31/89 15138.80 15633.78
02/28/89 15074.27 15244.50
03/31/89 15387.74 15599.70
04/30/89 15968.58 16409.32
05/31/89 16696.94 17073.90
06/30/89 16835.23 16976.58
07/31/89 17987.70 18509.57
08/31/89 18208.98 18872.35
09/30/89 18227.41 18794.98
10/31/89 17932.38 18358.93
11/30/89 18430.25 18733.46
12/31/89 18991.43 19183.06
01/31/90 17759.09 17895.87
02/28/90 17864.17 18126.73
03/31/90 17883.28 18607.09
04/30/90 17157.25 18141.91
05/31/90 17720.88 19910.75
06/30/90 17892.83 19775.36
07/31/90 17959.70 19712.07
08/31/90 16717.81 17930.10
09/30/90 16593.62 17056.91
10/31/90 16593.62 16983.56
11/30/90 17329.20 18080.70
12/31/90 17739.07 18585.15
01/31/91 18329.70 19395.46
02/28/91 19420.88 20782.24
03/31/91 20041.54 21285.17
04/30/91 20321.85 21336.26
05/31/91 21052.63 22257.98
06/30/91 20401.93 21238.57
07/31/91 21022.60 22228.28
08/31/91 21483.09 22755.09
09/30/91 21573.19 22375.08
10/31/91 21152.74 22674.91
11/30/91 20652.20 21761.11
12/31/91 21941.56 24250.58
01/31/92 21988.77 23799.52
02/29/92 22425.48 24108.91
03/31/92 21870.74 23638.79
04/30/92 22295.64 24333.77
05/31/92 23027.42 24453.01
06/30/92 23039.23 24088.66
07/31/92 23747.40 25073.88
08/31/92 23357.90 24559.87
09/30/92 23275.28 24849.67
10/31/92 23464.13 24936.65
11/30/92 24467.37 25786.99
12/31/92 24898.11 26104.17
01/31/93 25366.41 26323.44
02/28/93 26094.88 26681.44
03/31/93 26927.42 27244.42
04/30/93 26407.09 26585.11
05/31/93 27044.50 27297.59
06/30/93 27291.66 27376.75
07/31/93 27890.05 27267.24
08/31/93 29646.18 28300.67
09/30/93 29555.12 28082.76
10/31/93 30504.74 28664.07
11/30/93 29229.91 28391.76
12/31/93 30144.64 28735.30
01/31/94 30432.42 29712.30
02/28/94 29382.03 28907.10
03/31/94 28274.09 27646.75
04/30/94 28504.31 28000.63
05/31/94 28590.65 28459.84
06/30/94 28590.65 27762.57
07/31/94 29310.09 28673.18
08/31/94 29497.14 29848.78
09/30/94 29108.65 29117.49
10/31/94 28820.87 29772.63
11/30/94 27943.15 28688.31
12/31/94 28229.77 29113.76
01/31/95 29457.15 29868.68
02/28/95 30235.49 31032.66
03/31/95 30519.88 31948.44
04/30/95 31193.44 32889.32
05/31/95 32031.66 34203.90
06/30/95 33723.05 34998.46
07/31/95 34890.56 36159.01
08/31/95 35893.42 36249.77
09/30/95 37150.73 37779.51
10/31/95 37016.02 37644.64
11/30/95 38033.85 39297.24
12/29/95 39167.58 40054.10

$10,000 OVER 10 YEARS: Let's say you invested $10,000 in Fidelity Advisor
Strategic Opportunities Fund - Initial Class on December 31, 1985, and paid
the current maximum 3.50% sales charge. As the chart shows, by December 31,
1995, the value of your investment would have grown to $39,168 - a 291.68%
increase on your initial investment. For comparison, look at how the S&P
500 did over the same period. With dividends reinvested, the same $10,000
investment would have grown to $40,054 - a 300.54% increase.
UNDERSTANDING
PERFORMANCE
How a fund did yesterday is
no guarantee of how it will do
tomorrow. The stock market,
for example, has a history of
growth in the long run and
volatility in the short run. In
turn, the share price and
return of a fund that invests in
stocks will vary. That means if
you sell your shares during a
market downturn, you might
lose money. But if you can
ride out the market's ups and
downs, you may have a gain.
(checkmark)
FUND TALK: THE MANAGER'S OVERVIEW

MARKET RECAP
Strong corporate earnings and a
favorable interest rate
environment helped the U.S.
stock market post robust returns
for the 12 months ended
December 31, 1995. The Standard
& Poor's Composite Index of 500
Stocks finished the 12-month
period with a total return of
37.58% (including reinvested
dividends ) - well above its
historical annual average of
roughly 12%. With inflation
posing little threat, interest rates
fell during the first half of 1995.
The Federal Reserve Board cut
the fed funds rate - the rate
banks charge each other for
overnight loans - twice, in July
and December.
Large-capitalization stocks led
the rally, with the weak dollar
helping to bolster overseas
business. Technology companies
posted the strongest earnings
growth and stock price gain,
although they faltered somewhat
in the fourth quarter. Lower
interest rates and continued
merger and acquisition activity
helped financial stocks perform
well. In November, the Dow Jones
Industrial Average closed above
5000 for the first time. Returns
from foreign markets suffered as
investors brought capital back to
the U.S. The Morgan Stanley
Emerging Markets Free Index
was down 5.21% for the 12
months ended December 31. The
Morgan Stanley EAFE (Europe,
Australasia, Far East) Index was
up 11.21% for the year. European
markets fared well through 1995,
while the Japanese market
recently has shown signs of
recovery.
An interview with Daniel R. Frank Portfolio Manager of Fidelity Advisor
Strategic Opportunities Fund
Q. DAN, HOW DID THE FUND PERFORM OVER THE PAST 12 MONTHS?
A. The fund performed well, with Initial Class shares returning 38.75%
during the year ended December 31, 1995. During the same period, the
average capital appreciation fund returned 30.34%, according to Lipper
Analytical Services.
Q. THE PAST YEAR'S MARKET SUCCESS WAS LED, TO A GREAT DEGREE, BY TECHNOLOGY
STOCKS. SINCE YOUR TECHNOLOGY HOLDINGS WERE NEGLIGIBLE DURING THE PERIOD,
WHAT FACTORS CONTRIBUTED TO THE FUND'S PERFORMANCE?
A. The story is nearly identical to our discussion in the semiannual report
at the end of June. In short, it's the three "Bs" - the Bells, banks and
bonds. The regional Bell operating companies (RBOCs) were spectacular,
standing as one of the best-performing sectors in the market last year.
Regional banks were one of the top performing sectors, as well. Also,
interest rates continued to come down, helping the long-term Treasury
position. Zero coupon bonds - which tend to be extremely sensitive to
changes in interest rates - were the fund's largest holding as of the end
of the period and outperformed the S&P 500.
Q. ALMOST ONE QUARTER OF THE FUND'S HOLDINGS WAS RBOCS - ABOUT THE SAME AS
SIX MONTHS AGO. THEIR PERFORMANCE CONTINUED TO BE SUPERIOR . . .
A. Nothing really has changed. BellSouth, Ameritech, Bell Atlantic, NYNEX
and SBC Communications remain among the fund's 10 largest holdings.
Revenue, earnings and dividend growth continued to be strong. Legislation
at the state levels continued to be favorable. Federal legislation, though
still pending, may help to allow the RBOCs to get into the long-distance
business while de-regulating the rest of their business. You have a
combination of continued growth in phone lines and such enhanced services
as voice mail, as well as increasing returns from the cellular and overseas
components of their operations. Further, by default, the RBOCs are the
Internet access providers. By this I mean that as people log-in to the
information superhighway, they're adding second and third phone lines at
home. Over the past decade, the total return from the RBOCs has been
substantially more than the S&P 500.
Q. ON THE OTHER HAND, YOU TRIMMED THE FUND'S HOLDING IN FINANCIAL SERVICES
ALMOST IN HALF - TO 14%. WHY?
A. If you look at the fund's history in recent years, you'll see that at
different times I've held big positions in this sector and also have had
less than 10% of the fund's holdings in financial services. Banks, for
example, tend to do well when interest rates come down. The underlying
fundamentals of their loan portfolios, however, had me nervous at the end
of the period. Consumer credit quality has been deteriorating and there has
been no loan growth. Banks have not performed well in the past when faced
with similar conditions.
Q. YOU INCREASED THE FUND'S HOLDINGS IN THE MEDIA AND LEISURE SECTOR. WHAT
DID YOU SEE THAT MADE THIS MARKET SEGMENT ATTRACTIVE?
A. The holdings in this sector during the period were mostly newspapers - a
new story for the fund - with a lot of new names added. These new holdings
included Gannett, Knight-Ridder and News Corp. These stocks have done
little over the past decade and have had their earnings depressed by the
dramatic rise in newsprint prices over the past three years. Many of these
companies generate substantial excess cash which has been and can continue
to be used to benefit shareholders. Icing on the cake would be a decline in
newsprint prices.
Q. WERE THERE ANY DISAPPOINTMENTS DURING THE PERIOD?
A. Going into 1995, I probably would have been happy with a return of 10%.
Still, Viacom, which was one of the fund's top holdings during the period
was a disappointment, particularly given its sizable assets, strong cash
flow and improving balance sheet. Kinder-Care Learning Centers, a provider
of day care services which the fund no longer held at the end of the
period, was another disappointment.
Q. WHAT'S YOUR STRATEGY GOING FORWARD?
A. It's extremely difficult to make accurate predictions about the future
of the securities markets. I think the market's performance during 1995 -
surpassing just about everyone's expectations - is perfect evidence of
that. As always, however, I will continue to seek out and invest in those
companies and market sectors where I believe there is value and the
opportunity for capital appreciation.
THE VIEWS EXPRESSED IN THIS REPORT REFLECT THOSE OF THE PORTFOLIO MANAGER
ONLY THROUGH THE END OF THE PERIOD OF THE REPORT AS STATED ON THE COVER.
THE MANAGER'S VIEWS ARE SUBJECT TO CHANGE AT ANY TIME BASED ON MARKET AND
OTHER CONDITIONS.

FUND FACTS
GOAL: seeks capital
appreciation by investing
primarily in securities of
companies believed by
Fidelity to involve a "Special
Situation"
START DATE: December 31,
1983
SIZE: as of December 31,
1995, more than $751 million
MANAGER: Daniel R. Frank,
since inception; joined
Fidelity in 1979
(checkmark)
DAN FRANK ON HIS INVESTMENT
PHILOSOPHY:
"My philosophy really hasn't
changed in the 12 years I've
been managing this fund. I try
to find great businesses that
generate significant surplus
cash which can then be
redeployed to enhance
stockholder returns. At the
same time, I look for unique
opportunities that might not
meet those criteria. I also look
for the big industry trends.
These might include, for
example, the decline in
semiconductor prices or
dramatic changes in supply
and demand in a particular
industry, such as with
newsprint, steel, paper, oil
and others.
"I try to gather information
from as many sources as
possible. Fidelity provides us
with the resources to take
advantage of outside
research services and
consultants. I travel a great
deal to visit different
companies and countries. In
addition, I use proprietary
in-house research, I read
every newspaper I can, and I
apply common sense."
INVESTMENT CHANGES

TOP TEN STOCKS AS OF DECEMBER 31, 1995
% OF FUND'S % OF FUND'S
INVESTMENTS INVESTMENTS
IN THESE STOCKS
6 MONTHS AGO

BellSouth Corp. 5.4 5.1

Ameritech Corp. 5.1 5.0

Bell Atlantic Corp. 4.9 4.9

I-Stat Corp. 4.7 7.2

NYNEX Corp. 4.6 4.3

SBC Communications, Inc. 4.4 4.7

Viacom, Inc. (various issues) 4.3 5.3

Philip Morris Companies, Inc. 2.3 0.0

Tootsie Roll Industries, Inc. 1.7 1.5

Regis Corp. 1.2 1.4

TOP FIVE MARKET SECTORS AS OF DECEMBER 31, 1995
% OF FUND'S % OF FUND'S
INVESTMENTS INVESTMENTS
IN THESE MARKET SECTORS
6 MONTHS AGO

Utilities 25.9 26.0

Finance 14.0 24.4

Media & Leisure 8.8 6.0

Nondurables 8.8 4.5

Health 6.0 10.6

Showing Percentage of Total Value of Investments in Securities

STATEMENT OF ASSETS AND LIABILITIES

<TABLE>
<CAPTION>
<S> <C> <C>
ASSETS DECEMBER 31, 1995

Investment in securities, at value (including repurchase $ 752,341,103
agreements of $39,414,000) (cost $623,837,619) -
See accompanying schedule

Cash 1,667

Receivable for investments sold 12,075,751

Receivable for fund shares sold 6,699,232

Dividends receivable 1,256,090

Interest receivable 230,632

Other receivables 101,210

Prepaid expenses 8,975

TOTAL ASSETS 772,714,660

LIABILITIES

Payable for investments purchased $ 15,531,409

Payable for fund shares redeemed 443,369

Distributions payable 4,222,435

Accrued management fee 375,779

Distribution fees payable 409,732

Other payables and accrued expenses 315,934

TOTAL LIABILITIES 21,298,658

NET ASSETS $ 751,416,002

Net Assets consist of: $ 609,715,457
Paid in capital

Accumulated undistributed net realized gain (loss) on 13,197,061
investments and foreign currency transactions

Net unrealized appreciation (depreciation) on 128,503,484
investments

NET ASSETS $ 751,416,002

CALCULATION OF MAXIMUM OFFERING PRICE $24.88
CLASS A:
NET ASSET VALUE, and redemption price per share
($619,992,880 (divided by) 24,920,869 shares)

Maximum offering price per share (100/95.25 of $24.88) $26.12

CLASS B: $24.56
NET ASSET VALUE, offering price and redemption price
per share ($87,565,658 (divided by) 3,565,455 shares) A

INSTITUTIONAL CLASS: $24.80
NET ASSET VALUE, offering price and redemption price
per share ($20,429,118 (divided by) 823,752 shares)

INITIAL CLASS: $25.10
NET ASSET VALUE and redemption price per share
($23,428,346 (divided by) 933,228 shares)

Maximum offering price per share (100/95.25 of $25.10) $26.35

</TABLE>

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

<TABLE>
<CAPTION>
<S> <C> <C>
INVESTMENT INCOME YEAR ENDED DECEMBER 31, 1995

Dividends $ 11,406,495

Interest 8,282,971

TOTAL INCOME 19,689,466

EXPENSES

Management fee $ 3,419,543
Basic fee

Performance adjustment 91,269

Transfer agent fees 1,162,980
Class A

Class B 126,686

Institutional Class 4,398

Initial Class 44,511

Distribution fees - Class A 3,182,013

Distribution fees - Class B 467,105

Accounting fees and expenses 315,623

Non-interested trustees' compensation 3,060

Custodian fees and expenses 42,292

Registration fees - Class A 76,078

Registration fees - Class B 61,368

Registration fees - Institutional Class 17,791

Registration fees - Initial Class 23,362

Audit 37,973

Legal 31,273

Interest 948

Reports to shareholders 29,651

Miscellaneous 2,006

Total expenses before reductions 9,139,930

Expense reductions (38,211) 9,101,719

NET INVESTMENT INCOME 10,587,747

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

Investment securities (including realized loss of 36,075,671
$246,335 on sales of investment in affiliated issuers)

Foreign currency transactions (11,657) 36,064,014

Change in net unrealized appreciation (depreciation) on:

Investment securities 132,488,727

Assets and liabilities in foreign currencies 10,596 132,499,323

NET GAIN (LOSS) 168,563,337

NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM $ 179,151,084
OPERATIONS

</TABLE>

STATEMENT OF CHANGES IN NET ASSETS

<TABLE>
<CAPTION>
<S> <C> <C> <C>
YEAR ENDED THREE MONTHS YEAR ENDED
DECEMBER 31, ENDED SEPTEMBER 30,
1995 DECEMBER 31, 1994
1994

INCREASE (DECREASE) IN NET ASSETS

Operations $ 10,587,747 $ 2,067,920 $ 6,903,469
Net investment income

Net realized gain (loss) 36,064,014 (5,789,778) 8,280,193

Change in net unrealized appreciation 132,499,323 (9,641,386) (23,325,658)
(depreciation)

NET INCREASE (DECREASE) IN NET ASSETS 179,151,084 (13,363,244) (8,141,996)
RESULTING FROM OPERATIONS

Distributions to shareholders (9,290,408) (6,826,359) (5,752,632)
From net investment income
Class A

Class B (1,281,036) (382,214) -

Institutional Class (433,848) - -

Initial Class (449,705) (464,141) (458,027)

From net realized gain (13,102,251) (5,071,018) (22,876,692)
Class A

Class B (1,854,130) (211,573) -

Institutional Class (433,848) - -

Initial Class (494,507) (241,353) (1,535,740)

TOTAL DISTRIBUTIONS (27,339,733) (13,196,658) (30,623,091)

Share transactions - net increase 189,241,269 23,899,770 161,198,427
(decrease)

TOTAL INCREASE (DECREASE) IN NET ASSETS 341,052,620 (2,660,132) 122,433,340

NET ASSETS

Beginning of period 410,363,382 413,023,514 290,590,174

End of period (including undistributed $ 751,416,002 $ 410,363,382 $ 413,023,514
net investment income of $0,
$0, and $5,875,182 respectively)

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS - CLASS A YEAR ENDED THREE MONTHS YEARS ENDED SEPTEMBER 30,
DECEMBER 31, ENDED
DECEMBER 31,

SELECTED PER-SHARE DATA 1995 1994 1994 G 1993 1992 D 1991

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $ 18.70 $ 19.96 $ 22.52 $ 19.53 $ 21.38 $ 17.21

Income from Investment Operations

Net investment income .39 .10 F .39 F .33 .61 .66

Net realized and unrealized gain (loss) 6.73 (.75) (.81) 4.44 .58 4.26

Total from investment operations 7.12 (.65) (.42) 4.77 1.19 4.92

Less Distributions

From net investment income (.39) (.35) (.43) (.57) (.62) (.75)

From net realized gain (.55) (.26) (1.71) (1.21) (2.42) -

Total distributions (.94) (.61) (2.14) (1.78) (3.04) (.75)

Net asset value, end of period $ 24.88 $ 18.70 $ 19.96 $ 22.52 $ 19.53 $ 21.38

TOTAL RETURN B, C 38.16% (3.26)% (2.24)% 26.33% 7.26% 29.51%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period (000 omitted) $ 619,993 $ 375,691 $ 385,349 $ 269,833 $ 194,710 $ 199,604

Ratio of expenses to average net assets 1.61% 1.73% A, 1.85% 1.57% 1.46% 1.56%
H E

Ratio of expenses to average net assets after expense
reductions 1.61% I 1.73% A, 1.84% 1.57% 1.46% 1.56%
I I

Ratio of net investment income to average net assets 1.90% 2.03% A 1.89% 2.06% 3.22% 3.61%

Portfolio turnover 142% 228% A 159% 183% 211% 223%

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C>
YEAR ENDED THREE YEAR ENDED
DECEMBER MONTHS SEPTEMBER
31, ENDED 30,
DECEMBER
31,

1995 1994 1994 D

SELECTED PER-SHARE DATA

Net asset value, beginning of period $ 18.57 $ 19.98 $ 19.65

Income from Investment Operations

Net investment income .38 .06 E .05 E

Net realized and unrealized gain (loss) 6.54 (.74) .28

Total from investment operations 6.92 (.68) .33

Less Distributions

From net investment income (.38) (.47) -

From net realized gain (.55) (.26) -

Total distributions (.93) (.73) -

Net asset value, end of period $ 24.56 $ 18.57 $ 19.98

TOTAL RETURN B, C 37.35% (3.41)% 1.68%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period (000 omitted) $ 87,566 $ 17,090 $ 8,824

Ratio of expenses to average net assets 2.11% 2.58% A 2.63% A,
G

Ratio of expenses to average net assets after 2.10% F 2.53% A, 2.63% A
expense reductions F

Ratio of net investment income to average net 1.40% 1.22% A 1.11% A
assets

Portfolio turnover 142% 228% A 159%

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS - INITIAL CLASS YEAR ENDED THREE MONTHS YEARS ENDED SEPTEMBER 30,
DECEMBER 31, ENDED
DECEMBER 31,

SELECTED PER-SHARE DATA 1995 1994 1994 G 1993 1992 D 1991

</TABLE>

Net asset value, beginning of period $ 18.86 $ 20.23 $ 22.72 $ 19.72 $ 21.55 $ 17.37

Income from Investment Operations

Net investment income .50 .13 F .54 F .45 .73 .77

Net realized and unrealized gain (loss) 6.79 (.74) (.81) 4.46 .58 4.26

Total from investment operations 7.29 (.61) (.27) 4.91 1.31 5.03

Less Distributions

From net investment income (.50) (.50) (.51) (.70) (.72) (.85)

From net realized gain (.55) (.26) (1.71) (1.21) (2.42) -

Total distributions (1.05) (.76) (2.22) (1.91) (3.14) (.85)

Net asset value, end of period $ 25.10 $ 18.86 $ 20.23 $ 22.72 $ 19.72 $ 21.55

TOTAL RETURN B, C 38.75% (3.02)% (1.51)% 26.98% 7.89% 30.01%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period (000 omitted) $ 23,428 $ 17,583 $ 18,850 $ 20,707 $ 17,933 $ 19,193

Ratio of expenses to average net assets 1.04% 1.14% A 1.15% .89% .87% 1.00%

Ratio of expenses to average net assets after expense reductions 1.03% 1.11% A, 1.14% .89% .87% 1.00%

H H H

Ratio of net investment income to average net assets 2.47% 2.65% A 2.6% 2.74% 3.78% 4.12%

Portfolio turnover 142% 228% A 159% 183% 211% 223%

</TABLE>

A ANNUALIZED
B TOTAL RETURNS DO NOT INCLUDE THE ONE TIME SALES CHARGE AND 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 (SEE NOTE 6 OF NOTES TO FINANCIAL
STATEMENTS).
D AS OF OCTOBER 1, 1991 THE FUND DISCONTINUED THE USE OF EQUALIZATION
ACCOUNTING.
E INCLUDES REIMBURSEMENT OF $.03 PER SHARE FROM FIDELITY MANAGEMENT &
RESEARCH COMPANY FOR ADJUSTMENTS TO PRIOR PERIOD'S FEES.
F NET INVESTMENT INCOME PER SHARE HAS BEEN CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING DURING THE PERIOD.
G EFFECTIVE OCTOBER 1, 1993, THE FUND ADOPTED STATEMENT OF POSITION 93-2,
"DETERMINATION, DISCLOSURE, AND FINANCIAL STATEMENT PRESENTATION OF INCOME,
CAPITAL GAIN, AND RETURN OF CAPITAL DISTRIBUTIONS BY INVESTMENT COMPANIES."
AS A RESULT, NET INVESTMENT INCOME PER SHARE MAY REFLECT CERTAIN
RECLASSIFICATIONS RELATED TO BOOK TO TAX DIFFERENCES.
H FMR HAS DIRECTED CERTAIN PORTFOLIO TRADES TO BROKERS WHO PAID A PORTION
OF THE FUND'S EXPENSES (SEE NOTE 6 OF NOTES TO FINANCIAL STATEMENTS).
FINANCIAL HIGHLIGHTS - INSTITUTIONAL CLASS

<TABLE>
<CAPTION>
<S> <C>
YEAR ENDED
DECEMBER 31,

1995 B

SELECTED PER-SHARE DATA

Net asset value, beginning of period $ 22.35

Income from Investment Operations

Net investment income .55

Net realized and unrealized gain (loss) 3.00

Total from investment operations 3.55

Less Distributions

From net investment income (.55)

From net realized gain (.55)

Total distributions (1.10)

Net asset value, end of period $ 24.80

TOTAL RETURN C, D 15.96%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period (000 omitted) $ 20,429

Ratio of expenses to average net assets .97% A

Ratio of expenses to average net assets after expense reductions .96% A,
E

Ratio of net investment income to average net assets 2.55% A

Portfolio turnover 142%

</TABLE>

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
J. Gary Burkhead, Senior Vice President
William J. Hayes, Vice President
Daniel R. Frank, Vice President
Arthur S. Loring, Secretary
Kenneth A. Rathgeber, Treasurer
Robert H. Morrison, Manager,
Security Transactions
John H. Costello, Assistant Treasurer
Leonard M. Rush, Assistant Treasurer
BOARD OF TRUSTEES
J. Gary Burkhead
Ralph F. Cox *
Phyllis Burke Davis *
Richard J. Flynn *
Edward C. Johnson 3d
E. Bradley Jones *
Donald J. Kirk *
Peter S. Lynch
Edward H. Malone *
Marvin L. Mann *
Gerald C. McDonough *
Thomas R. Williams *
GENERAL DISTRIBUTOR
Fidelity Distributors Corporation
Boston, MA
TRANSFER AND SHAREHOLDER
SERVICING AGENT
Fidelity Service Company
Boston, MA
CUSTODIAN
Brown Brothers Harriman & Co.
Boston, MA
GROWTH FUNDS
Fidelity Advisor Overseas Fund
Fidelity Advisor Equity Growth Fund
Fidelity Advisor Global Resources Fund
Fidelity Advisor Growth
Opportunities Fund
Fidelity Advisor Strategic
Opportunities Fund
GROWTH AND INCOME FUNDS
Fidelity Advisor Equity Income Fund
Fidelity Advisor Income & Growth Fund
TAXABLE INCOME FUNDS
Fidelity Advisor Emerging Markets Income Fund
Fidelity Advisor High Yield Fund
Fidelity Advisor Strategic Income Fund
Fidelity Advisor Government Investment Fund
Fidelity Advisor Intermediate Bond Fund
Fidelity Advisor Short Fixed-Income Fund
MUNICIPAL FUNDS
Fidelity Advisor High Income
Municipal Fund
Fidelity Advisor Intermediate Municipal Income Fund
Fidelity Advisor Short-Intermediate Municipal Income Fund
STATE MUNICIPAL FUNDS
Fidelity Advisor New York Municipal Income Fund
MONEY MARKET FUNDS
Daily Money Fund: Money Market Portfolio
Daily Money Fund: U.S. Treasury Portfolio
Daily Tax-Exempt Money Fund
(REGISTERED TRADEMARK)
(registered trademark)
* INDEPENDENT TRUSTEES
SUPPLEMENT TO THE ANNUAL REPORT TO SHAREHOLDERS OF FIDELITY ADVISOR
STRATEGIC OPPORTUNITIES FUND INITIAL CLASS
DATED DECEMBER 31, 1995
SHARE TRANSACTIONS: The figures provided in footnote # 7 on page 31 of the
report represent actual dollar amounts.