(2_FIDELITY_LOGOS)FIDELITY
FOREIGN CURRENCY
FUNDS
ANNUAL REPORT
DECEMBER 31, 1994
CONTENTS
PRESIDENT'S MESSAGE 3 Ned Johnson on investing
strategies.
PERFORMANCE 4 How the funds have done over time.
FUND TALK 10 The manager's review of fund
performance, strategy and outlook.
FINANCIAL STATEMENTS 12 Statements of assets and liabilities,
operations, and changes in net
assets,
as well as financial highlights.
NOTES 24 Notes to the financial statements.
REPORT OF INDEPENDENT 27 The auditors' opinion.
ACCOUNTANTS
THIS REPORT AND THE FINANCIAL STATEMENTS CONTAINED HEREIN ARE SUBMITTED FOR
THE GENERAL
INFORMATION OF THE SHAREHOLDERS OF THE FUNDS. THIS REPORT IS NOT AUTHORIZED
FOR DISTRIBUTION
TO PROSPECTIVE INVESTORS IN THE FUNDS 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, THE FEDERAL
RESERVE BOARD OR
ANY OTHER AGENCY, AND ARE SUBJECT TO INVESTMENT RISK, INCLUDING THE
POSSIBLE LOSS OF
PRINCIPAL. NEITHER THE FUNDS NOR FIDELITY DISTRIBUTORS CORPORATION IS A
BANK. FOR MORE
INFORMATION ON ANY FIDELITY FUND, INCLUDING CHARGES AND EXPENSES, CALL
1-800-544-8888
FOR A FREE PROSPECTUS. READ IT CAREFULLY BEFORE YOU INVEST OR SEND MONEY.
PRESIDENT'S MESSAGE
DEAR SHAREHOLDER:
The unsettling period that began for investors when the Federal Reserve
Board raised short-term interest rates in February continued into the
fourth quarter of 1994. The Board raised the federal funds rate - the rate
banks charge each other for overnight loans - five times from February
through August, taking it from 3.00% to 4.75%. A sixth increase in November
lifted the rate to 5.50%. The Fed rate hikes were intended to forestall
inflation that could result from an improving U.S. economy, and they led to
below-average returns for many stocks and negative returns for many bond
investments.
The volatility we have witnessed this year follows a period in which there
was a nearly perfect investing environment. Although there was a
late-summer rally in stocks and, to a lesser extent in bond markets, it is
impossible to predict where interest rates might go or what might happen in
the markets in the months ahead. That's why it probably is a good time to
again review your investment portfolio and how well it matches your goals.
If you can leave your money invested over the long term, you can avoid much
of the volatility that generally accompanies the stock market in the short
term, as we have been witnessing this year. You also can help to manage
risk through diversification of investments. 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 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. As with any mutual fund, 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 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, as we have discussed here. A periodic investment
plan will not, of course, assure a profit or protect against a loss.
If you have any questions, please call us at 1-800-544-8888. We stand ready
to provide the information you need to make the investments that are right
for you.
Best regards,
Edward C. Johnson 3d
FIDELITY DEUTSCHE MARK PERFORMANCE PORTFOLIO, L.P.
PERFORMANCE: THE BOTTOM LINE
There are several ways to evaluate a fund's 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. Each
performance figure includes changes in a fund's share price. If Fidelity
had not reimbursed certain expenses during the periods shown, the fund's
returns would have been lower.
CUMULATIVE TOTAL RETURNS
PERIODS ENDED DECEMBER 31, 1994 PAST 1 PAST 5 LIFE OF
YEAR YEARS FUND
Deutsche Mark Performance Portfolio, L.P. 16.39% 49.27% 63.30%
Deutsche Mark Performance Portfolio, L.P.
(incl. maximum 0.4% sales charge) 15.93% 48.67% 62.65%
German Deutsche Mark 12.18% 9.10% 18.68%
CUMULATIVE TOTAL RETURNS show the fund's performance in percentage terms
over a set period - in this case, one year, five years or since the fund
started on November 16, 1989. For example, if you had invested $1,000 in a
fund that had a 5% return over the past year, you would have $1,050. You
can compare these figures to the performance of the German deutsche mark,
whose returns reflect a hypothetical unmanaged investment in the currency
itself. The exchange rates used in calculating these returns are based on
the mean between the best available bid and asked quotations at 4 p.m.
Eastern time from a pool of 500 banking institutions which actively trade
in this currency.
AVERAGE ANNUAL TOTAL RETURNS
PERIODS ENDED DECEMBER 31, 1994 PAST 1 PAST 5 LIFE OF
YEAR YEARS FUND
Deutsche Mark Performance Portfolio, L.P. 16.39% 8.34% 10.03%
Deutsche Mark Performance Portfolio, L.P.
(incl. maximum 0.4% sales charge) 15.93% 8.25% 9.95%
German Deutsche Mark 12.18% 1.76% 3.39%
AVERAGE ANNUAL TOTAL RETURNS take the fund's actual (or cumulative) return
and show you what would have happened if the fund had performed at a
constant rate each year.
$10,000 OVER LIFE OF FUND
Deutsche Mark (497) Deutsche Mark Per Re
11/16/89 9960.00 10000.00
11/30/89 10308.60 10322.20
12/31/89 10896.24 10877.85
01/31/90 10995.84 10913.35
02/28/90 10916.16 10772.70
03/31/90 11075.52 10855.37
04/30/90 11234.88 10949.09
05/31/90 11175.12 10839.38
06/30/90 11483.88 11073.04
07/31/90 12081.48 11587.27
08/31/90 12230.88 11668.15
09/30/90 12370.32 11735.16
10/31/90 12848.40 12111.57
11/30/90 13097.40 12279.80
12/31/90 13216.92 12330.85
01/31/91 13446.00 12452.77
02/28/91 13107.36 12058.36
03/31/91 11802.60 10798.00
04/30/91 11872.32 10775.86
05/31/91 11683.08 10550.20
06/30/91 11314.56 10154.06
07/31/91 11832.48 10544.15
08/31/91 11882.28 10526.04
09/30/91 12539.64 11045.11
10/31/91 12569.52 11000.18
11/30/91 12987.84 11311.44
12/31/91 13993.80 12125.95
01/31/92 13266.72 11414.65
02/29/92 13117.32 11219.65
03/31/92 13187.04 11192.33
04/30/92 13236.84 11158.37
05/31/92 13645.20 11439.50
06/30/92 14521.68 12083.72
07/31/92 15079.44 12471.35
08/31/92 15955.92 13111.59
09/30/92 16025.64 12991.17
10/31/92 14730.84 11920.78
11/30/92 14342.40 11558.14
12/31/92 14143.20 11347.73
01/31/93 14302.56 11413.23
02/28/93 14083.44 11178.72
03/31/93 14501.76 11445.20
04/30/93 14790.60 11601.89
05/31/93 14830.44 11583.62
06/30/93 13884.24 10785.34
07/31/93 13675.08 10559.29
08/31/93 14262.72 10969.34
09/30/93 14691.00 11265.01
10/31/93 14292.60 10907.53
11/30/93 14103.36 10721.82
12/31/93 13973.88 10579.33
01/31/94 14053.56 10603.13
02/28/94 14362.32 10790.40
03/31/94 14681.04 10991.63
04/30/94 14900.16 11117.90
05/31/94 15009.72 11168.54
06/30/94 15617.28 11583.62
07/31/94 15696.96 11616.55
08/31/94 15756.72 11627.57
09/30/94 16105.32 11852.40
10/31/94 16653.12 12228.35
11/30/94 16015.68 11717.96
12/30/94 16264.68 11867.70
$10,000 OVER LIFE OF FUND: Let's say you invested $10,000 in Fidelity
Deutsche Mark Performance Portfolio, L.P. on November 16, 1989, when the
fund began, and paid the maximum 0.4% sales charge. As the chart shows, by
December 31, 1994, the value of your investment would have grown to $16,265
- - a 62.65% increase on your initial investment. For comparison, look at how
the German deutsche mark did over the same period. The same $10,000
investment would have grown to $11,868 - an 18.68% increase.
UNDERSTANDING
PERFORMANCE
How a fund did yesterday is
no guarantee of how it will do
tomorrow. The value of
foreign currencies compared
to the value of the U.S. dollar
changes daily. Changes in
interest rates and political
events can both affect a
currency's value compared to
the dollar. In turn, the share
price and return of a fund that
invests in foreign currencies
will vary. That means if you
sell your shares during a
downturn, you might lose
money. But if you can ride out
short-term ups and downs, you
may have a gain.
(checkmark)
FIDELITY STERLING PERFORMANCE PORTFOLIO, L.P.
PERFORMANCE: THE BOTTOM LINE
There are several ways to evaluate a fund's 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. Each
performance figure includes changes in a fund's share price. If Fidelity
had not reimbursed certain expenses during the periods shown, the fund's
returns would have been lower.
CUMULATIVE TOTAL RETURNS
PERIODS ENDED DECEMBER 31, 1994 PAST 1 PAST 5 LIFE OF
YEAR YEARS FUND
Sterling Performance Portfolio, L.P. 9.88% 43.31% 47.90%
Sterling Performance Portfolio, L.P.
(incl. maximum 0.4% sales charge) 9.44% 42.74% 47.31%
British Pound Sterling 6.05% -2.80% -0.85%
CUMULATIVE TOTAL RETURNS show the fund's performance in percentage terms
over a set period - in this case, one year, five years or since the fund
started on November 16, 1989. For example, if you had invested $1,000 in a
fund that had a 5% return over the past year, you would have $1,050. You
can compare these figures to the performance of the British pound sterling,
whose returns reflect a hypothetical unmanaged investment in the currency
itself. The exchange rates used in calculating these returns are based on
the mean between the best available bid and asked quotations at 4 p.m.
Eastern time from a pool of 500 banking institutions which actively trade
in this currency.
AVERAGE ANNUAL TOTAL RETURNS
PERIODS ENDED DECEMBER 31, 1994 PAST 1 PAST 5 LIFE OF
YEAR YEARS FUND
Sterling Performance Portfolio, L.P. 9.88% 7.46% 7.93%
Sterling Performance Portfolio, L.P.
(incl. maximum 0.4% sales charge) 9.44% 7.38% 7.84%
British Pound Sterling 6.05% -0.57% -0.17%
AVERAGE ANNUAL TOTAL RETURNS take the fund's actual (or cumulative) return
and show you what would have happened if the fund had performed at a
constant rate each year.
$10,000 OVER LIFE OF FUND
Sterling (498) British Pound Sterli
11/16/89 9960.00 10000.00
11/30/89 9930.12 9938.77
12/31/89 10278.72 10201.45
01/31/90 10806.60 10627.94
02/28/90 10896.24 10611.90
03/31/90 10826.52 10416.32
04/30/90 10906.20 10377.05
05/31/90 11284.68 10624.37
06/30/90 11882.28 11070.30
07/31/90 12798.60 11796.50
08/31/90 13087.44 11965.97
09/30/90 13157.16 11876.17
10/31/90 13804.56 12298.43
11/30/90 13963.92 12305.60
12/31/90 14033.64 12238.98
01/31/91 14392.20 12448.38
02/28/91 14143.20 12103.25
03/31/91 13007.76 11018.28
04/30/91 13077.48 10961.04
05/31/91 12918.12 10741.56
06/30/91 12420.12 10264.31
07/31/91 13017.72 10669.14
08/31/91 13077.48 10640.44
09/30/91 13714.92 11076.12
10/31/91 13734.84 11010.61
11/30/91 14033.64 11191.65
12/31/91 14910.12 11820.73
01/31/92 14392.20 11311.65
02/29/92 14252.76 11128.69
03/31/92 14163.12 10985.77
04/30/92 14621.28 11255.33
05/31/92 15129.24 11572.21
06/30/92 15876.24 12064.04
07/31/92 16145.16 12198.88
08/31/92 16752.72 12584.49
09/30/92 15358.32 11307.61
10/31/92 13426.08 9855.21
11/30/92 13147.20 9599.64
12/31/92 13107.36 9561.93
01/31/93 13027.68 9409.84
02/28/93 12499.80 9017.09
03/31/93 13346.40 9593.82
04/30/93 13894.20 9959.09
05/31/93 13834.44 9884.45
06/30/93 13266.72 9444.94
07/31/93 13236.84 9390.30
08/31/93 13336.44 9437.90
09/30/93 13446.00 9478.89
10/31/93 13356.36 9377.78
11/30/93 13455.96 9407.04
12/31/93 13406.16 9350.07
01/31/94 13704.96 9531.70
02/28/94 13565.52 9405.65
03/31/94 13585.44 9390.30
04/30/94 13944.00 9605.46
05/31/94 13914.12 9561.93
06/30/94 14262.72 9773.04
07/31/94 14292.60 9773.04
08/31/94 14252.76 9713.06
09/30/94 14681.04 9977.93
10/31/94 15278.64 10356.68
11/30/94 14681.04 9910.76
12/30/94 14730.84 9915.41
$10,000 OVER LIFE OF FUND: Let's say you invested $10,000 in Fidelity
Sterling Performance Portfolio, L.P. on November 16, 1989, when the fund
began, and paid the maximum 0.4% sales charge. As the chart shows, by
December 31, 1994, the value of your investment would have grown to $14,731
- - a 47.31% increase on your initial investment. For comparison, look at how
the British pound sterling did over the same period. The same $10,000
investment would be valued at $9,915 - a decrease of 0.85%.
UNDERSTANDING
PERFORMANCE
How a fund did yesterday is
no guarantee of how it will do
tomorrow. The value of foreign
currencies compared to the
value of the U.S. dollar
changes daily. Changes in
interest rates and political
events can both affect a
currency's value compared to
the dollar. In turn, the share
price and return of a fund that
invests in foreign currencies
will vary. That means if you sell
your shares during a downturn,
you might lose money. But if
you can ride out short-term
ups and downs, you may have
a gain.
(checkmark)
FIDELITY YEN PERFORMANCE PORTFOLIO, L.P.
PERFORMANCE: THE BOTTOM LINE
There are several ways to evaluate a fund's 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. Each
performance figure includes changes in a fund's share price. If Fidelity
had not reimbursed certain expenses during the periods shown, the fund's
returns would have been lower.
CUMULATIVE TOTAL RETURNS
PERIODS ENDED DECEMBER 31, 1994 PAST 1 PAST 5 LIFE OF
YEAR YEARS FUND
Yen Performance Portfolio, L.P. 12.64% 68.29% 69.30%
Yen Performance Portfolio, L.P.
(incl. maximum 0.4% sales charge) 12.19% 67.62% 68.62%
Japanese Yen 12.11% 44.26% 44.14%
CUMULATIVE TOTAL RETURNS show the fund's performance in percentage terms
over a set period - in this case, one year, five years or since the fund
started on November 16, 1989. For example, if you had invested $1,000 in a
fund that had a 5% return over the past year, you would have $1,050. You
can compare these figures to the performance of the Japanese yen, whose
returns reflect a hypothetical unmanaged investment in the currency itself.
The exchange rates used in calculating these returns are based on the mean
between the best available bid and asked quotations at
4 p.m. Eastern time from a pool of 500 banking institutions which actively
trade in this currency.
AVERAGE ANNUAL TOTAL RETURNS
PERIODS ENDED DECEMBER 31, 1994 PAST 1 PAST 5 LIFE OF
YEAR YEARS FUND
Yen Performance Portfolio, L.P. 12.64% 10.97% 10.81%
Yen Performance Portfolio, L.P.
(incl. maximum 0.4% sales charge) 12.19% 10.88% 10.72%
Japanese Yen 12.11% 7.60% 7.38%
AVERAGE ANNUAL TOTAL RETURNS take the fund's actual (or cumulative) return
and show you what would have happened if the fund had performed at a
constant rate each year.
$10,000 OVER LIFE OF FUND
Yen (499) Japanese Yen Relativ
11/16/89 9960.00 10000.00
11/30/89 10049.64 10066.51
12/31/89 10019.76 9991.66
01/31/90 10029.72 9954.31
02/28/90 9760.80 9639.96
03/31/90 9232.92 9079.89
04/30/90 9252.84 9048.46
05/31/90 9701.04 9452.99
06/30/90 9750.84 9452.99
07/31/90 10209.00 9858.75
08/31/90 10398.24 9998.61
09/30/90 10846.44 10381.23
10/31/90 11593.44 11051.50
11/30/90 11463.96 10851.32
12/31/90 11234.88 10618.91
01/31/91 11653.20 10952.16
02/28/91 11543.64 10808.09
03/31/91 10936.08 10182.72
04/30/91 11414.16 10560.41
05/31/91 11284.68 10393.99
06/30/91 11404.20 10458.25
07/31/91 11473.92 10464.34
08/31/91 11583.48 10507.93
09/30/91 11981.88 10814.59
10/31/91 12230.88 10996.56
11/30/91 12370.32 11058.30
12/31/91 12918.12 11517.14
01/31/92 12878.28 11431.07
02/29/92 12529.68 11100.13
03/31/92 12270.72 10830.89
04/30/92 12260.76 10790.24
05/31/92 12778.68 11259.20
06/30/92 13017.72 11447.45
07/31/92 12878.28 11312.35
08/31/92 13336.44 11684.68
09/30/92 13724.88 11995.66
10/31/92 13366.32 11653.43
11/30/92 13246.80 11527.30
12/31/92 13236.84 11516.22
01/31/93 13266.72 11534.70
02/28/93 13973.88 12164.13
03/31/93 14422.08 12529.85
04/30/93 14920.08 12941.49
05/31/93 15477.84 13431.11
06/30/93 15547.56 13443.67
07/31/93 15906.12 13739.13
08/31/93 15916.08 13728.64
09/30/93 15726.84 13541.16
10/31/93 15398.16 13245.51
11/30/93 15348.36 13182.36
12/31/93 14969.88 12857.02
01/31/94 15398.16 13227.23
02/28/94 16005.72 13747.01
03/31/94 16314.48 14006.82
04/30/94 16503.72 14161.33
05/31/94 16015.68 13718.16
06/30/94 17041.56 14589.55
07/31/94 16802.52 14392.39
08/31/94 16752.72 14349.30
09/30/94 16941.96 14501.26
10/31/94 17340.36 14836.45
11/30/94 17011.68 14537.92
12/30/94 16862.28 14414.04
$10,000 OVER LIFE OF FUND: Let's say you invested $10,000 in Fidelity Yen
Performance Portfolio, L.P. on November 16, 1989, when the fund began, and
paid the maximum 0.4% sales charge. As the chart shows, by December 31,
1994, the value of your investment would have grown to $16,862 - a 68.62%
increase on your initial investment. For comparison, look at how the
Japanese yen did over the same period. The same $10,000 investment would
have grown to $14,414 - a 44.14% increase.
UNDERSTANDING
PERFORMANCE
How a fund did yesterday is
no guarantee of how it will do
tomorrow. The value of foreign
currencies compared to the
value of the U.S. dollar
changes daily. Changes in
interest rates and political
events can both affect a
currency's value compared to
the dollar. In turn, the share
price and return of a fund that
invests in foreign currencies
will vary. That means if you
sell your shares during a
market downturn, you might
lose money. But if you can ride
out short-term ups and downs,
you may have a gain.
(checkmark)
FUND TALK: THE MANAGER'S OVERVIEW
An interview with Scott Kuldell, Portfolio Manager of Foreign
Currency Funds
Q. SCOTT, HOW DID THE FUNDS PERFORM?
A. For the year ended December 31, 1994, the deutsche mark fund rose
16.39%, compared to a 12.18% increase in the value of the mark relative to
the U.S. dollar; the sterling fund rose 9.88%, compared to a 6.05% increase
in the pound; and the yen fund gained 12.64%, compared to a 12.11% increase
in the yen.
Q. WHY DID THE FUNDS BEAT THE
CURRENCY EXCHANGE RATES?
A. The funds invest in what we call "synthetic money market securities" - a
combination of U.S. dollar-denominated money market instruments and forward
foreign currency contracts. This combination is designed to replicate the
return of a foreign-denominated money market instrument. That means that
each fund earns the exchange rate plus the interest rate of the country it
follows. So, if interest rates in Germany are around 5% - which they were
at the end of the period - the change in the NAV of the deutsche mark fund
should beat the currency exchange rate by about 5%, minus fund expenses.
Q. LET'S TALK ABOUT THE YEN, WHICH HIT A SERIES OF POST-WORLD WAR II HIGHS
AGAINST THE DOLLAR IN 1994. WHY WAS IT SO STRONG?
A. First, let me say that the yen was strong mostly during the first six
months of 1994. This was due largely to Japan's $60 billion annual trade
surplus with the United States. I should note that this surplus has been
driving the strength of the yen for years. A second factor was the huge
purchase of Japanese stocks by foreigners in the first half of the year.
When foreigners buy a country's stocks, they also need to buy its currency,
causing its value to increase. During the second half of the year when
foreign inflows slowed, stocks fell and the yen was flat.
Q. HOW ABOUT THE DEUTSCHE MARK. HOW DID IT PERFORM?
A. Like the yen, the mark turned in its strongest performance in the first
half of the year. During this period, economists raised their growth
forecasts for Germamy, and the positive change in outlook benefited the
mark. In addition, German industries went through extensive cost cutting
and restructuring, which enhanced German competitiveness relative to the
United States and contributed to the stronger mark.
Q. . . . AND STERLING?
A. It performed fairly well - somewhere between the strong mark and the
weak dollar. That's not surprising since the pound tends to behave like a
hybrid between the dollar and the mark. Its mark characteristics come from
the fact that the United Kingdom has strong trade ties with the rest of
Europe, where the mark is the dominant currency. The pound is similar to
the dollar in that the United Kingdom's monetary policy is closer to that
of the United States than of Europe.
Q. WHAT'S THE OUTLOOK FOR THE DOLLAR?
A. I think the dollar will outperform the mark. I see it staying somewhat
flat relative to the pound. As for its performance against the yen, it's
difficult to determine going forward. However, I think the yen is quite
overvalued. That means that if it does weaken, it could drop significantly
against the dollar.
FUND FACTS
GOAL: to approximate the
performance of each
currency relative to the U.S.
dollar while earning current
income
START DATE: November 16, 1989
SIZE: as of December 31,
1994, $8.5 million in the
Fidelity Deutsche Mark; $3.3
million in the Fidelity Sterling,
and $3.5 million in the Fidelity
Yen Performance Portfolios
MANAGER: Scott Kuldell, since
April 1994; manager, Fidelity
Short-Term World Income
Fund, since April 1994; joined
Fidelity in 1987
(checkmark)
SCOTT KULDELL ON USING THE
FUNDS FOR DIVERSIFICATION
PURPOSES:
"In general, foreign currency
funds do well when the dollar
is weak. So, if the dollar
declines against the yen,
mark, or sterling, the funds'
investments in these
currencies protect the
shareholders' purchasing
power of goods from these
countries.
"In addition, foreign currency
funds usually perform well
when the U.S. stock and bond
markets are having a difficult
time, and poorly when these
markets do well. We've seen
this over the past three years
- - 1992 and 1993 were
excellent years for stocks and
bonds, but horrible years for
currency funds. However, in
1994, the reverse was true.
"Because currency funds can
offer protection against a
weak dollar and a falling stock
and bond market, it may be
wise to include them in a
well-diversified portfolio of
investments."
(solid bullet) While the dollar has
weakened compared to the
mark, yen and sterling, it has
strengthened considerably
against the currencies of two of
its largest trading partners -
Canada and Mexico. Some
economists think that tight
U.S. monetary policies helped
the dollar against these
currencies.
FIDELITY DEUTSCHE MARK PERFORMANCE PORTFOLIO, L.P.
FINANCIAL STATEMENTS
STATEMENT OF ASSETS AND LIABILITIES
<TABLE>
<CAPTION>
<S> <C> <C>
DECEMBER 31, 1994
ASSETS
Investment in repurchase agreements in a joint $ 8,577,000
trading account
Cash 522
Unrealized appreciation on foreign currency contracts 16,962
Receivable from investment adviser for expense 1,216
reductions
TOTAL ASSETS 8,595,700
LIABILITIES
Payable for closed foreign currency contracts $ 6,650
Payable for fund shares redeemed 42,628
Accrued management fee 3,597
Other payables and accrued expenses 25,337
TOTAL LIABILITIES 78,212
NET ASSETS $ 8,517,488
NET ASSETS CONSIST OF:
Paid in capital $ $
3,827,874
Undistributed net investment income 1,927,496
Accumulated undistributed net realized gain (loss) on 2,745,156
investments and foreign currency transactions
Net unrealized appreciation (depreciation) on 16,962
investments and assets and liabilities in foreign
currencies
NET ASSETS, for 521,560 shares outstanding $ 8,517,488
SHARES OUTSTANDING HELD BY: 10,014
General Partners
Limited Partners 511,546
TOTAL SHARES OUTSTANDING 521,560
NET ASSET VALUE and redemption price per share $16.33
($8,517,488 (divided by) 521,560 shares)
Maximum offering price per share (100/99.60 of $16.33) $16.40
</TABLE>
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
<S> <C> <C>
YEAR ENDED DECEMBER 31, 1994
INVESTMENT INCOME $ 327,042
Interest
EXPENSES
Management fee $ 37,832
Transfer agent fees 16,378
Accounting fees and expenses 45,002
Non-interested trustees' compensation 41
Custodian fees and expenses 18,010
Registration fees 21,095
Audit 14,567
Legal 5,875
Miscellaneous 467
Total expenses before reductions 159,267
Expense reductions (45,473) 113,794
NET INVESTMENT INCOME 213,248
REALIZED AND UNREALIZED GAIN (LOSS) 646,081
Net realized gain (loss) on foreign currency transactions
Change in net unrealized appreciation (depreciation) on 124,104
assets and liabilities in foreign currencies
NET GAIN (LOSS) 770,185
NET INCREASE (DECREASE) IN NET ASSETS RESULTING $ 983,433
FROM OPERATIONS
</TABLE>
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
<S> <C> <C>
YEAR ENDED YEAR ENDED
DECEMBER 31, DECEMBER 31,
1994 1993
INCREASE (DECREASE) IN NET ASSETS
Operations $ 213,248 $ 135,324
Net investment income
Net realized gain (loss) 646,081 (33,647)
Change in net unrealized appreciation (depreciation) 124,104 (47,662)
NET INCREASE (DECREASE) IN NET ASSETS RESULTING 983,433 54,015
FROM OPERATIONS
Share transactions 10,835,517 15,574,053
Net proceeds from sales of shares
Cost of shares redeemed (9,078,477) (18,858,279)
Net increase (decrease) in net assets resulting from 1,757,040 (3,284,226)
share transactions
TOTAL INCREASE (DECREASE) IN NET ASSETS 2,740,473 (3,230,211)
NET ASSETS
Beginning of period 5,777,015 9,007,226
End of period (including undistributed net investment $ 8,517,488 $ 5,777,015
income of $1,927,496 and $1,714,248, respectively)
OTHER INFORMATION
Shares
Sold 693,468 1,077,896
Redeemed (583,738) (1,300,301)
NET INCREASE (DECREASE) 109,730 (222,405)
</TABLE>
FINANCIAL HIGHLIGHTS - DEUTSCHE MARK PORTFOLIO
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
YEARS ENDED DECEMBER 31,
1994 1993 1992 1991 1990
SELECTED PER-SHARE DATA
Net asset value, beginning $ 14.03 $ 14.20 $ 14.05 $ 13.27 $ 10.94
of period
Income from Investment
Operations
Net investment income .43 C .23 C .34 C .55 C .61
Net realized and unrealized 1.87 (.40) (.19) .23 1.72
gain (loss)
Total from investment 2.30 (.17) .15 .78 2.33
operations
Net asset value, end of period $ 16.33 $ 14.03 $ 14.20 $ 14.05 $ 13.27
TOTAL RETURN A, B 16.39% (1.20) 1.07% 5.88% 21.30%
%
RATIOS AND SUPPLEMENTAL
DATA
Net assets, end of period $ 8,517 $ 5,777 $ 9,007 $ 24,070 $ 12,115
(000 omitted)
Ratio of expenses to average 1.50% 1.50% 1.29% 1.50% 1.50%
net assets
Ratio of expenses to average 2.10% 2.21% 1.29% 1.80% 2.50%
net assets before expense D
reductions
Ratio of net investment income 2.81% 1.62% 2.38% 4.38% 6.62%
to average net assets
</TABLE>
A THE TOTAL RETURNS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT BEEN
REDUCED DURING THE PERIODS SHOWN (SEE NOTE 5 OF NOTES TO FINANCIAL
STATEMENTS).
B TOTAL RETURNS DO NOT INCLUDE THE ONE TIME SALES CHARGE AND FOR PERIODS OF
LESS THAN ONE YEAR ARE NOT ANNUALIZED.
C NET INVESTMENT INCOME PER SHARE HAS BEEN CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING.
D LIMITED IN ACCORDANCE WITH A STATE EXPENSE LIMITATION.
FIDELITY STERLING PERFORMANCE PORTFOLIO, L.P.
FINANCIAL STATEMENTS
STATEMENT OF ASSETS AND LIABILITIES
<TABLE>
<CAPTION>
<S> <C> <C>
DECEMBER 31, 1994
ASSETS
Investment in repurchase agreements in a joint $ 3,465,000
trading account
Cash 116
Receivable from investment adviser for expense 4,395
reductions
TOTAL ASSETS 3,469,511
LIABILITIES
Unrealized depreciation on foreign currency contracts $ 10,287
Payable for closed foreign currency contracts 1,053
Payable for fund shares redeemed 83,843
Accrued management fee 1,437
Other payables and accrued expenses 29,672
TOTAL LIABILITIES 126,292
NET ASSETS $ 3,343,219
NET ASSETS CONSIST OF:
Paid in capital $ 1,784,226
Undistributed net investment income 807,774
Accumulated undistributed net realized gain (loss) on 761,506
investments and foreign currency transactions
Net unrealized appreciation (depreciation) on (10,287)
investments and assets and liabilities in foreign
currencies
NET ASSETS, for 226,006 shares outstanding $ 3,343,219
SHARES OUTSTANDING HELD BY: 10,014
General Partners
Limited Partners 215,992
TOTAL SHARES OUTSTANDING 226,006
NET ASSET VALUE and redemption price per share $14.79
($3,343,219 (divided by) 226,006 shares)
Maximum offering price per share (100/99.60 of $14.79) $14.85
</TABLE>
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
<S> <C> <C>
YEAR ENDED DECEMBER 31, 1994
INVESTMENT INCOME $ 150,149
Interest
EXPENSES
Management fee $ 17,904
Transfer agent fees 6,572
Accounting fees and expenses 45,001
Non-interested trustees' compensation 21
Custodian fees and expenses 18,502
Registration fees 19,977
Audit 17,362
Legal 3,858
Miscellaneous 423
Total expenses before reductions 129,620
Expense reductions (75,890) 53,730
NET INVESTMENT INCOME 96,419
REALIZED AND UNREALIZED GAIN (LOSS) 246,511
Net realized gain (loss) on foreign currency transactions
Change in net unrealized appreciation (depreciation) on (21,127)
assets and liabilities in foreign currencies
NET GAIN (LOSS) 225,384
NET INCREASE (DECREASE) IN NET ASSETS RESULTING $ 321,803
FROM OPERATIONS
</TABLE>
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
<S> <C> <C>
YEAR ENDED YEAR ENDED
DECEMBER 31, DECEMBER 31,
1994 1993
INCREASE (DECREASE) IN NET ASSETS
Operations $ 96,419 $ 48,220
Net investment income
Net realized gain (loss) 246,511 (75,739)
Change in net unrealized appreciation (depreciation) (21,127) 22,212
NET INCREASE (DECREASE) IN NET ASSETS RESULTING 321,803 (5,307)
FROM OPERATIONS
Share transactions 2,153,790 7,075,230
Net proceeds from sales of shares
Cost of shares redeemed (2,816,251) (5,100,872)
Net increase (decrease) in net assets resulting from (662,461) 1,974,358
share transactions
TOTAL INCREASE (DECREASE) IN NET ASSETS (340,658) 1,969,051
NET ASSETS
Beginning of period 3,683,877 1,714,826
End of period (including undistributed net investment $ 3,343,219 $ 3,683,877
income of $807,774 and $711,355, respectively)
OTHER INFORMATION
Shares
Sold 151,048 521,471
Redeemed (198,768) (378,047)
NET INCREASE (DECREASE) (47,720) 143,424
</TABLE>
FINANCIAL HIGHLIGHTS - STERLING PORTFOLIO
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
YEARS ENDED DECEMBER 31,
1994 1993 1992 1991 1990
SELECTED PER-SHARE DATA
Net asset value, beginning $ 13.46 $ 13.16 $ 14.97 $ 14.09 $ 10.32
of period
Income from Investment
Operations
Net investment income .38 C .22 C .34 C .55 C .94
Net realized and unrealized .95 .08 D (2.15) .33 2.83
gain (loss)
Total from investment 1.33 .30 (1.81) .88 3.77
operations
Net asset value, end of period $ 14.79 $ 13.46 $ 13.16 $ 14.97 $ 14.09
TOTAL RETURN A, B 9.88% 2.28% (12.09) 6.25% 36.53%
%
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period $ 3,343 $ 3,684 $ 1,715 $ 10,857 $ 3,301
(000 omitted)
Ratio of expenses to average 1.50% 1.50% 1.50% 1.50% 1.50%
net assets
Ratio of expenses to average 2.60% 2.60% 2.34% 2.60% 2.50%
net assets before expense E E E E
reductions
Ratio of net investment 2.69% 1.61% 2.27% 4.08% 6.77%
income to average net
assets
</TABLE>
A THE TOTAL RETURNS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT BEEN
REDUCED DURING THE PERIODS SHOWN (SEE NOTE 5 OF NOTES TO FINANCIAL
STATEMENTS).
B TOTAL RETURNS DO NOT INCLUDE THE ONE TIME SALES CHARGE AND FOR PERIODS OF
LESS THAN ONE YEAR ARE NOT ANNUALIZED.
C NET INVESTMENT INCOME PER SHARE HAS BEEN CALCULATED BASED ON AVERAGE
SHARES OUTSTANDING.
D THE AMOUNT SHOWN FOR A SHARE OUTSTANDING DOES NOT CORRESPOND WITH THE
AGGREGATE NET GAIN ON FOREIGN CURRENCY CONTRACTS FOR THE PERIOD ENDED DUE
TO THE TIMING OF SALES AND REPURCHASES OF FUND SHARES IN RELATION TO
FLUCTUATING MARKET VALUES OF THE FOREIGN CURRENCY CONTRACTS OF THE FUND.
E LIMITED IN ACCORDANCE WITH A STATE EXPENSE LIMITATION.
FIDELITY YEN PERFORMANCE PORTFOLIO, L.P.
FINANCIAL STATEMENTS
STATEMENT OF ASSETS AND LIABILITIES
<TABLE>
<CAPTION>
<S> <C> <C>
DECEMBER 31, 1994
ASSETS
Investment in repurchase agreements in a joint $ 3,621,000
trading account
Cash 540
Interest receivable 650
Receivable from investment adviser for expense 3,226
reductions
TOTAL ASSETS 3,625,416
LIABILITIES
Unrealized depreciation on foreign currency contracts $ 58,934
Payable for closed foreign currency contracts 27,670
Payable for fund shares redeemed 4,956
Accrued management fee 1,531
Other payables and accrued expenses 27,709
TOTAL LIABILITIES 120,800
NET ASSETS $ 3,504,616
NET ASSETS CONSIST OF:
Paid in capital $ 1,349,242
Undistributed net investment income 649,168
Accumulated undistributed net realized gain (loss) on 1,565,140
investments and foreign currency transactions
Net unrealized appreciation (depreciation) on (58,934)
investments and assets and liabilities in foreign
currencies
NET ASSETS, for 207,044 shares outstanding $ 3,504,616
SHARES OUTSTANDING HELD BY: 10,014
General Partners
Limited Partners 197,030
TOTAL SHARES OUTSTANDING 207,044
NET ASSET VALUE and redemption price per share $16.93
($3,504,616 (divided by) 207,044 shares)
Maximum offering price per share (100/99.60 of $16.93) $17.00
</TABLE>
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
<S> <C> <C>
YEAR ENDED DECEMBER 31, 1994
INVESTMENT INCOME $ 139,881
Interest
EXPENSES
Management fee $ 16,021
Transfer agent fees 9,698
Accounting fees and expenses 45,001
Non-interested trustees' compensation 17
Custodian fees and expenses 15,802
Registration fees 20,027
Audit 15,068
Legal 3,579
Miscellaneous 426
Total expenses before reductions 125,639
Expense reductions (77,460) 48,179
NET INVESTMENT INCOME 91,702
REALIZED AND UNREALIZED GAIN (LOSS) 147,427
Net realized gain (loss) on foreign currency transactions
Change in net unrealized appreciation (depreciation) on 19,816
assets and liabilities in foreign currencies
NET GAIN (LOSS) 167,243
NET INCREASE (DECREASE) IN NET ASSETS RESULTING $ 258,945
FROM OPERATIONS
</TABLE>
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
<S> <C> <C>
YEAR ENDED YEAR ENDED
DECEMBER 31, DECEMBER 31,
1994 1993
INCREASE (DECREASE) IN NET ASSETS
Operations $ 91,702 $ 62,428
Net investment income
Net realized gain (loss) 147,427 652,638
Change in net unrealized appreciation (depreciation) 19,816 (56,343)
NET INCREASE (DECREASE) IN NET ASSETS RESULTING 258,945 658,723
FROM OPERATIONS
Share transactions 6,054,031 7,597,669
Net proceeds from sales of shares
Cost of shares redeemed (5,060,920) (9,804,614)
Net increase (decrease) in net assets resulting from 993,111 (2,206,945)
share transactions
TOTAL INCREASE (DECREASE) IN NET ASSETS 1,252,056 (1,548,222)
NET ASSETS
Beginning of period 2,252,560 3,800,782
End of period (including undistributed net investment $ 3,504,616 $ 2,252,560
income of $649,168 and $557,466, respectively)
OTHER INFORMATION
Shares
Sold 363,818 511,338
Redeemed (306,656) (647,376)
NET INCREASE (DECREASE) 57,162 (136,038)
</TABLE>
FINANCIAL HIGHLIGHTS - YEN PORTFOLIO
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
YEARS ENDED DECEMBER 31,
1994 1993 1992 1991 1990
SELECTED PER-SHARE DATA
Net asset value, beginning $ 15.03 $ 13.29 $ 12.97 $ 11.28 $ 10.06
of period
Income from Investment
Operations
Net investment income .47 C .24 .28 .48 .60
C C
Net realized and unrealized 1.43 1.50 .04 1.21 .62
gain (loss)
Total from investment 1.90 1.74 .32 1.69 1.22
operations
Net asset value, end $ 16.93 $ 15.03 $ 13.29 $ 12.97 $ 11.28
of period
TOTAL RETURN A, B 12.64 13.09 2.47 14.98 12.13
% % % % %
RATIOS AND SUPPLEMENTAL DATA
Net assets, end of period $ 3,505 $ 2,253 $ 3,801 $ 4,796 $ 4,415
(000 omitted)
Ratio of expenses to average 1.50 1.50 1.50 1.50 1.50
net assets % % % % %
Ratio of expenses to average net 2.60 2.60 2.60 2.60 2.50
assets before expense % % % % %
reductions D
Ratio of net investment income to 2.86 1.56 2.13 4.43 6.34
average net assets % % % % %
</TABLE>
A THE TOTAL RETURNS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT BEEN
REDUCED DURING THE PERIODS SHOWN (SEE NOTE 5 OF NOTES TO FINANCIAL
STATEMENTS).
B TOTAL RETURNS DO NOT INCLUDE THE ONE TIME SALES CHARGE AND FOR PERIODS OF
LESS THAN ONE YEAR ARE NOT ANNUALIZED.
C NET INTEREST PER SHARE HAS BEEN CALCULATED BASED ON AVERAGE SHARES
OUTSTANDING.
D LIMITED IN ACCORDANCE WITH A STATE EXPENSE LIMITATION.
NOTES TO FINANCIAL STATEMENTS
For the period ended December 31, 1994
1. SIGNIFICANT ACCOUNTING
POLICIES.
Fidelity Deutsche Mark Performance Portfolio, L.P., Fidelity Sterling
Performance Portfolio, L.P., and Fidelity Yen Performance Portfolio, L.P.
(the funds) are registered under the Investment Company Act of 1940, as
amended (the 1940 Act), as open-end management investment companies
organized as limited partnerships in the State of Delaware. Each fund is
authorized to issue an unlimited number of limited partnership shares.
Fidelity Management & Research Company (FMR), a wholly owned subsidiary of
FMR Corp., is each fund's Non-Managing General Partner and investment
adviser. Each fund has twelve Managing General Partners who supervise the
management and operations of the fund. The following summarizes the
significant accounting policies of the funds:
FOREIGN CURRENCY TRANSLATION. The accounting records of each 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.
Effective January 1, 1994, the funds adopted Statement of Position (SOP)
93-4: Foreign Currency Accounting and Financial Statement Presentation for
Investment Companies. In accordance with this SOP, reported net realized
gains and losses on foreign currency transactions represent net gains and
losses from sales and maturities of forward currency contracts and
disposition of foreign currencies.
INCOME TAXES. As limited partnerships, the funds are not subject to income
taxes. Instead, each partner is allocated a proportionate share of taxable
income.
INTEREST INCOME. Interest income is accrued as earned.
DISTRIBUTIONS AND ALLOCATIONS.
The funds do not intend to make cash distributions. Net interest income,
realized gains and losses, and other deductions and credits of each fund
are allocated daily to the outstanding shares of each fund. The amounts
allocated are determined in accordance with income tax regulations which
may differ from generally accepted accounting principles. These
differences are primarily due to differing treatments for foreign currency
transactions.
INVESTMENT TRANSACTIONS. Investment transactions are accounted for as of
trade date.
2. OPERATING POLICIES.
FORWARD FOREIGN CURRENCY
CONTRACTS. The funds use forward contracts to acquire exposure to foreign
currencies. These contracts involve market risk in excess of the unrealized
gain or loss reflected in each fund's Statement of Assets and Liabilities.
The U.S. dollar value of the currencies each fund has committed to buy is
shown in Note 7 under the caption "Forward Foreign Currency Contracts."
2. OPERATING POLICIES - CONTINUED
FORWARD FOREIGN CURRENCY
CONTRACTS - CONTINUED
This amount represents the aggregate exposure each fund has acquired
through currency contracts at period end. Losses may arise due to 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 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.
REPURCHASE AGREEMENTS. Each fund, through its custodian, receives delivery
of the underlying securities, whose market value is required to be at least
102% of the resale price at the time of purchase. The fund's investment
adviser, Fidelity Management & Research Company (FMR), is responsible for
determining that the value of these underlying securities remains at least
equal to the resale price.
JOINT TRADING ACCOUNT. Pursuant to an Exemptive Order issued by the
Securities and Exchange Commission, each fund, along with other affiliated
entities of 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.
3. JOINT TRADING ACCOUNT.
Each fund may use a joint trading account for the purpose of investing in
repurchase agreements. These repurchase agreements were with entities whose
creditworthiness has been reviewed and found satisfactory by FMR. The
repurchase agreements were dated December 30, 1994 and due January 3, 1995.
The maturity values of the joint trading account investments were
$8,582,499 for Fidelity Deutsche Mark Performance Portfolio, L.P.,
$3,467,221 for Fidelity Sterling Performance, L.P., and $3,623,321 for
Fidelity Yen Performance, L.P., all at 5.77%.
The investments in repurchase agreements through the joint trading account
are summarized as follows:
SUMMARY OF JOINT TRADING
Number of dealers or banks 23
Maximum amount with one dealer or bank 19.4%
Aggregate principal amount of agreements $15,687,225,000
Aggregate maturity amount of agreements $15,697,284,038
Aggregate market value of collateral $16,045,330,965
Coupon rates of collateral 3 7/8% to 15 3/4%
Maturity dates of collateral 1/3/95 to 11/15/24
4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.
MANAGEMENT FEE. As each fund's investment adviser, FMR receives a fee that
is computed daily at an annual rate of .50% of each fund's average net
assets.
SALES LOAD. For the period, Fidelity Distributors Corporation (FDC), an
affiliate of FMR and the general distributor of the fund, received sales
charges of $33,247, $7,267 and $19,354 for the Deutsche Mark, Sterling and
Yen Performance Portfolios, respectively, on sales of shares of each fund.
TRANSFER AGENT FEES. Fidelity Service Co. (FSC), an affiliate of FMR, is
the funds' transfer, dividend disbursing and shareholder servicing agent.
FSC receives fees based on the type, size, number of accounts and the
number of transactions made by shareholders. FSC pays for typesetting,
printing and mailing of all shareholder reports, except proxy statements.
ACCOUNTING FEE. FSC maintains the funds' accounting records. The accounting
fee is based on the level of average net assets for the month plus
out-of-pocket expenses.
5. EXPENSE REDUCTIONS.
FMR voluntarily agreed to reimburse the funds' operating expenses
(excluding interest, taxes, brokerage commissions and extraordinary
expenses) above an annual rate of 1.50% of average net assets. FMR retains
the ability to be repaid by the funds for these expense reductions in the
event that expenses fall below the limit prior to the end of the fiscal
year. For the period, the the reimbursement reduced expenses by $45,473, $
75,890 and $77,460 for Deutsche Mark, Sterling and Yen Performance
Portfolios, respectively.
6. BENEFICIAL INTEREST.
At the end of the period, one limited partner was record owner of
approximately 29% of the total outstanding shares of Fidelity Sterling
Performance Portfolio.
7. COMMITMENTS.
At the period end, each fund had various contracts open which obligate the
funds to take delivery of their respective currencies at specified future
dates. Open contracts were as follows:
FORWARD FOREIGN CURRENCY CONTRACTS
SETTLEMENT UNREALIZED
DATE VALUE GAIN/(LOSS)
CONTRACTS TO BUY
DEUTSCHE MARK PERFORMANCE PORTFOLIO, L.P.
13,133,744 DEM 2/27/95 $8,490,345 $ 16,962
(Payable amount $8,473,383)
STERLING PERFORMANCE PORTFOLIO, L.P.
2,143,227 GBP 2/27/95 $3,356,722 $ (10,287)
(Payable amount $3,367,009)
YEN PERFORMANCE PORTFOLIO, L.P.
342,496,088 JPY 2/27/95 $3,455,944 $ (58,934)
(Payable amount $3,514,878)
REPORT OF INDEPENDENT ACCOUNTANTS
To the Partners of Fidelity Deutsche Mark Performance Portfolio, L.P.,
Fidelity Sterling Performance
Portfolio, L.P. and Fidelity Yen
Performance Portfolio, L.P.:
We have audited the accompanying statements of assets and liabilities of
Fidelity Deutsche Mark Performance Portfolio, L.P., Fidelity Sterling
Performance Portfolio, L.P. and Fidelity Yen Performance Portfolio, L.P.,
as of December 31, 1994, and the related statements of operations for the
year then ended, the statements of changes in net assets for each of the
two years in the period then ended and the financial highlights for each of
the five years in the period then ended. These financial statements and
financial highlights are the responsibility of each 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, 1994 by correspondence with the
custodian and brokers. An audit also includes assessing the accounting
principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. 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 Deutsche Mark Performance Portfolio, L.P., Fidelity Sterling
Performance Portfolio, L.P. and Fidelity Yen Performance Portfolio, L.P. as
of December 31, 1994, the results of their operations for the year then
ended, the changes in their net assets for each of the two years in the
period then ended, and the financial highlights for each of the five years
in the period then ended , in conformity with generally accepted accounting
principles.
/s/ COOPERS & LYBRAND L.L.P.
COOPERS & LYBRAND L.L.P.
Boston, Massachusetts
February 6, 1995
TO CALL FIDELITY
FOR FUND INFORMATION AND QUOTES
The Fidelity Telephone Connection offers you special automated telephone
services for quotes and balances. The services are easy to use,
confidential and quick. All you need is a Touch Tone telephone.
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(PIN)
The first time you call one of our automated telephone services, we'll ask
you
to set up your Personal Identification
Number (PIN). The PIN assures that
only you have automated telephone
access to your account information.
Please have your Customer Number
(T-account #) handy when you call --
you'll need it to establish your PIN. If
you would ever like to change your PIN, just choose the "Change your
Personal
Identification Number" option when
you call. If you forget your PIN, please
call a Fidelity representative at 1-800-
544-6666 for assistance.
(PHONE_GRAPHIC)(PHONE_GRAPHIC)MUTUAL FUND QUOTES*
1-800-544-8544
Just make a selection from this record-ed menu:
PRESS
For quotes on funds you own.
1.
For an individual fund quote.
2.
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requested Fidelity fund quotes.
3.
For quotes on Fidelity Select
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4.
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5.
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6.
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1.
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2.
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4.
* WHEN YOU CALL THE QUOTES LINE, PLEASE REMEMBER THAT A FUND'S YIELD AND
RETURN WILL
VARY AND, EXCEPT FOR MONEY MARKET FUNDS, SHARE PRICE WILL ALSO VARY. THIS
MEANS THAT
YOU MAY HAVE A GAIN OR LOSS WHEN YOU SELL YOUR SHARES. THERE IS NO
ASSURANCE THAT
MONEY MARKET FUNDS WILL BE ABLE TO MAINTAIN A STABLE $1 SHARE PRICE; AN
INVESTMENT IN
A MONEY MARKET FUND IS NOT INSURED OR GUARANTEED BY THE U.S. GOVERNMENT.
TOTAL
RETURNS ARE HISTORICAL AND INCLUDE CHANGES IN SHARE PRICE, REINVESTMENT OF
DIVIDENDS
AND CAPITAL GAINS, AND THE EFFECTS OF ANY SALES CHARGES.
TO WRITE FIDELITY
If more than one address is listed, please locate the address that is
closest to you. We'll give your correspondence immediate attention and send
you written confirmation upon completion of your request.
(LETTER_GRAPHIC)MAKING CHANGES
TO YOUR ACCOUNT
(such as changing name, address, bank, etc.)
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0002
(LETTER_GRAPHIC)FOR NON-RETIREMENT
ACCOUNTS
BUYING SHARES
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0003
OVERNIGHT EXPRESS
Fidelity Investments
100 Crosby Parkway - KP2C
Covington, KY 41015-4399
SELLING SHARES
Fidelity Investments
P.O. Box 193
Boston, MA 02210-0193
Fidelity Investments
P.O. Box 660602
Dallas, TX 75266-0602
Fidelity Investments
P.O. Box 30281
Salt Lake City, UT 84130-0281
OVERNIGHT EXPRESS
Fidelity Investments
Attn: Redemptions
World Trade Center
164 Northern Avenue
Boston, MA 02210
GENERAL CORRESPONDENCE
Fidelity Investments
P.O. Box 193
Boston, MA 02210-0193
(LETTER_GRAPHIC)FOR RETIREMENT
ACCOUNTS
BUYING SHARES
Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0003
SELLING SHARES
Fidelity Investments
P.O. Box 660602
Dallas, TX 75266-0602
GENERAL CORRESPONDENCE
Fidelity Investments
P.O. Box 660602
Dallas, TX 75266-0602
TO VISIT FIDELITY
For directions and hours,
please call 1-800-544-9797.
ARIZONA
7373 N. Scottsdale Road
Scottsdale, AZ
CALIFORNIA
851 East Hamilton Avenue
Campbell, CA
527 North Brand Boulevard
Glendale, CA
19100 Von Karman Avenue
Irvine, CA
10100 Santa Monica Blvd.
Los Angeles, CA
811 Wilshire Boulevard
Los Angeles, CA
251 University Avenue
Palo Alto, CA
1760 Challenge Way
Sacramento, CA
7676 Hazard Center Drive
San Diego, CA
455 Market Street
San Francisco, CA
1400 Civic Drive
Walnut Creek, CA
COLORADO
1625 Broadway
Denver, CO
CONNECTICUT
185 Asylum Street
Hartford, CT
265 Church Street
New Haven, CT
300 Atlantic Street
Stamford, CT
DELAWARE
222 Delaware Avenue
Wilmington, DE
FLORIDA
4400 N. Federal Highway
Boca Raton, FL
90 Alhambra Plaza
Coral Gables, FL
4090 N. Ocean Boulevard
Ft. Lauderdale, FL
4001 Tamiami Trail, North
Naples, FL
1907 West State Road 434
Orlando, FL
2401 PGA Boulevard
Palm Beach Gardens, FL
8065 Beneva Road
Sarasota, FL
2000 66th Street, North
St. Petersburg, FL
GEORGIA
3525 Piedmont Road, N.E.
Atlanta, GA
1000 Abernathy Road
Atlanta, GA
HAWAII
700 Bishop Street
Honolulu, HI
ILLINOIS
215 East Erie Street
Chicago, IL
One North Franklin
Chicago, IL
540 Lake Cook Road
Deerfield, IL
1415 West 22nd Street
Oak Brook, IL
1700 East Golf Road
Schaumburg, IL
LOUISIANA
201 St. Charles Avenue
New Orleans, LA
MAINE
3 Canal Plaza
Portland, ME
MARYLAND
1 West Pennsylvania Ave.
Towson, MD
7401 Wisconsin Avenue
Bethesda, MD
MASSACHUSETTS
470 Boylston Street
Boston, MA
21 Congress Street
Boston, MA
25 State Street
Boston, MA
300 Granite Street
Braintree, MA
101 Cambridge Street
Burlington, MA
416 Belmont Street
Worcester, MA
MICHIGAN
280 North Woodward Ave.
Birmingham, MI
26955 Northwestern Hwy.
Southfield, MI
MINNESOTA
38 South Sixth Street
Minneapolis, MN
MISSOURI
700 West 47th Street
Kansas City, MO
8885 Ladue Road
Ladue, MO
200 North Broadway
St. Louis, MO
NEW JERSEY
60B South Street
Morristown, NJ
501 Route 17, South
Paramus, NJ
505 Millburn Avenue
Short Hills, NJ
NEW YORK
1050 Franklin Avenue
Garden City, NY
999 Walt Whitman Road
Melville, L.I., NY
71 Broadway
New York, NY
350 Park Avenue
New York, NY
10 Bank Street
White Plains, NY
NORTH CAROLINA
2200 West Main Street
Durham, NC
4611 Sharon Road
Charlotte, NC
OHIO
600 Vine Street
Cincinnati, OH
1903 East Ninth Street
Cleveland, OH
28699 Chagrin Boulevard
Woodmere Village, OH
OREGON
121 S.W. Morrison Street
Portland, OR
PENNSYLVANIA
1735 Market Street
Philadelphia, PA
439 Fifth Avenue
Pittsburgh, PA
TENNESSEE
5100 Poplar Avenue
Memphis, TN
TEXAS
10000 Research Boulevard
Austin, TX
7001 Preston Road
Dallas, TX
1155 Dairy Ashford
Houston, TX
1010 Lamar Street
Houston, TX
2701 Drexel Drive
Houston, TX
400 East Las Colinas Blvd.
Irving, TX
14100 San Pedro
San Antonio, TX
UTAH
215 South State Street
Salt Lake City, UT
VERMONT
199 Main Street
Burlington, VT
VIRGINIA
8180 Greensboro Drive
McLean, VA
WASHINGTON
411 108th Avenue, N.E.
Bellevue, WA
1001 Fourth Avenue
Seattle, WA
WASHINGTON, DC
1775 K Street, N.W.
Washington, DC
WISCONSIN
222 East Wisconsin Avenue
Milwaukee, WI
INVESTMENT ADVISER
Fidelity Management &
Research Company
Boston, MA
OFFICERS
Edward C. Johnson 3d, President
J. Gary Burkhead, Senior Vice President
Arthur S. Loring, Secretary
Gary L. French, Treasurer
John H. Costello, Assistant Treasurer
Leonard M. Rush, Assistant Treasurer
MANAGING GENERAL PARTNERS
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*
NON-MANAGING GENERAL PARTNER
Fidelity Management & Research
Company
Boston, MA
GENERAL DISTRIBUTOR
Fidelity Distributors Corporation
Boston, MA
TRANSFER AND SHAREHOLDER
SERVICING AGENT
Fidelity Service Co.
Boston, MA
CUSTODIAN
The Chase Manhattan Bank, N.A.
New York, NY
FIDELITY'S TAXABLE BOND FUNDS
Capital & Income Fund
Ginnie Mae Portfolio
Global Bond Fund
Government Securities Fund
Intermediate Bond Fund
Investment Grade Bond Fund
Mortgage Securities Portfolio
New Markets Income Fund
Short-Intermediate Government Fund
Short-Term Bond Portfolio
Short-Term World Income Fund
Spartan(registered trademark) Ginnie Mae Fund
Spartan Government Income Fund
Spartan High Income Fund
Spartan Investment Grade Bond Fund
Spartan Limited Maturity
Government Fund
Spartan Long-Term Government
Bond Fund
Spartan Short-Intermediate Government Fund
Spartan Short-Term Income Fund
THE FIDELITY TELEPHONE CONNECTION
MUTUAL FUND 24-HOUR SERVICE
Account Balances 1-800-544-7544
Exchanges/Redemptions 1-800-544-7777
Mutual Fund Quotes 1-800-544-8544
Account Assistance 1-800-544-6666
Product Information 1-800-544-8888
Retirement Accounts 1-800-544-4774
(8 a.m. - 9 p.m.)
TDD Service 1-800-544-0118
for the deaf and hearing impaired
(9 a.m. - 9 p.m. Eastern time)
(registered trademark)
* INDEPENDENT TRUSTEES
AUTOMATED LINES FOR QUICKEST SERVICE
