SUPPLEMENT TO
FIDELITY'S BROADLY DIVERSIFIED INTERNATIONAL EQUITY FUNDS
DECEMBER 30, 1998 PROSPECTUS
The following information supplements the information found under the
heading "Average Annual Returns" in the "Performance" section on page
P-7.
Going forward, Diversified International Fund's performance will be
compared to the Morgan Stanley Capital International Europe,
Australasia, and Far East (EAFE) Index rather than the Morgan Stanley
Capital International GDP-Weighted Europe, Australasia, and Far East
Index. Changing Diversified International Fund's benchmark to the
Morgan Stanley Capital International EAFE Index will align the fund's
benchmark with that of other broadly diversified international funds
in its competitive universe.
The following information replaces similar information found under the
heading "Principal Investment Risks" in the "Investment Details"
section on page P-11.
FOREIGN EXPOSURE. Foreign securities, foreign currencies, and
securities issued by U.S. entities with substantial foreign operations
can involve additional risks relating to political, economic or
regulatory conditions in foreign countries. These risks include
fluctuations in foreign currencies; withholding or other taxes;
trading, settlement, custodial and other operational risks; and the
less stringent investor protection and disclosure standards of some
foreign markets. For example, many foreign countries are less prepared
than the United States to properly process and calculate information
related to dates from and after January 1, 2000, which could result in
difficulty pricing foreign investments and failure by foreign issuers
to pay timely dividends, interest or principal. All of these factors
can make foreign investments, especially those in emerging markets,
more volatile and potentially less liquid than U.S. investments. In
addition, foreign markets can perform differently than the U.S.
market.
The following information replaces similar information found under the
heading "Policies" in the "Account Features and Policies" section on
page P-18.
To reduce expenses, only one copy of most financial reports and
prospectuses will be mailed to your household, even if you have more
than one account in a fund. Call Fidelity at 1-800-544-8544 if you
need additional copies of financial reports or prospectuses.
Effective September 1, 1999, the following information replaces
similar information found under the heading "Fund Management" in the
"Fund Services" section on page P-20.
Penny Dobkin is vice president and lead manager of Worldwide, which
she has managed since May 1990. She also manages the international
equity portion for this fund. Previously, she managed other Fidelity
funds. Ms. Dobkin joined Fidelity in 1980.
Douglas Chase is manager of the U.S. equity portion of Worldwide,
which he has managed since September 1999. Previously, he managed
other Fidelity funds. Mr. Chase joined Fidelity as an equity analyst
in 1993 after receiving his MBA from the University of Michigan.
The following information replaces the last paragraph found under the
heading "Fund Management" in the "Fund Services" section on page P-20.
For International Value Fund, Overseas Fund and Diversified
International Fund, the fee is determined by calculating a basic fee
and then applying a performance adjustment. The performance adjustment
either increases or decreases the management fee, depending on how
well International Value Fund and Overseas Fund has performed relative
to the Morgan Stanley Capital International EAFE Index or Diversified
International Fund has performed relative to a blend of the
performance of the Morgan Stanley Capital International GDP-Weighted
EAFE Index and the Morgan Stanley Capital International EAFE Index.
For the period prior to August 1, 1999, Diversified International Fund
compares its performance to the Morgan Stanley Capital International
GDP-Weighted EAFE Index. For the period beginning August 1, 1999,
Diversified International Fund compares its performance to the Morgan
Stanley Capital International EAFE Index. Because the performance
adjustment is based on a rolling 36 month measurement period, during a
transition period Diversified International Fund's performance will be
compared to a blended index return that reflects the performance of
the Morgan Stanley Capital International EAFE Index for the portion of
the 36 month performance measurement period beginning August 1, 1999
and the performance of the Morgan Stanley Capital International
GDP-Weighted EAFE Index for the remainder of the measurement period.
At the conclusion of the transition period, the performance of the
Morgan Stanley Capital International GDP-Weighted EAFE Index will be
eliminated from the performance adjustment calculation, and the
calculation will include only the performance of the Morgan Stanley
Capital International EAFE Index.
The following information replaces the fifth paragraph found under the
heading "Fund Management" in the "Fund Services" section on page P-21.
The performance adjustment rate is calculated monthly by comparing
over the performance period International Value Fund's, Overseas
Fund's and Diversified International Fund's performance to that of the
Morgan Stanley Capital International EAFE Index.
The following information replaces similar information found under the
heading "Fund Management" in the "Fund Services" section on page P-21.
For Diversified International Fund, International Value Fund, and
Overseas Fund, the performance period is the most recent 36-month
period.
The total management fee for the fiscal year ended October 31, 1998
was 0.74% of the fund's average net assets for International Growth &
Income Fund, 0.83% of the fund's average net assets for Diversified
International Fund, 0.82% of the fund's average net assets for
International Value Fund, 0.90% of the fund's average net assets for
Overseas Fund, and 0.74% of the fund's average net assets for
Worldwide Fund.
