For Investors
Fidelity Advisor Strategic Real Return Fund†
Fund Overview | Class A: FSRAX • Class T: FSRTX • Class I: FSIRX
May help protect against inflation
Key facts
Fidelity Advisor Strategic Real Return Fund seeks real returns – returns above
• Seeks real returns consistent
inflation – consistent with reasonable investment risk. The fund invests in four
asset classes that are tied to inflation and have had low correlation – returns move
inversely or independently to one another.1 The lead manager believes that the
combination of these asset classes – versus investing in any single asset class –
may provide a better hedge against inflation, lower volatility, and a better risk/
return profile.
Neutral allocation
with reasonable investment risk
• Strives to help protect against
inflation
• Combines four asset classes
with low correlation
• Adjusts asset allocation by
Asset class benefits
+/- 10% to capitalize on market
opportunities
U.S. Treasury InflationProtected Securities (U.S. TIPS)
• Principal value adjusts semiannually based on
changes in the Consumer Price Index (CPI)2
Portfolio managers
30%
• Seeks potential for inflation-protected income
Joanna Bewick, CFA
Floating rate high-yield
bank debt
25%
Lead manager
• Interest rates adjust at regular intervals to reflect
changes in short-term interest rates
25%
as a fixed-income analyst and has
•Includes loans of non-investment-grade companies
managed the Fidelity and Advisor
•Seeks income potential with low volatility and
attractive risk-adjusted returns
April 2008.
•Tracks the direction of interest rates
Commodity-linked notes
and related investments
Ms. Bewick joined Fidelity in 1997
• Performance is linked to the Dow Jones-UBS
Commodity Index Total Return3
• Seeks capital appreciation potential
Strategic Real Return Funds since
Ford O’Neil
Comanager
Mr. O’Neil is a 23-year Fidelity
veteran and has managed the
Fidelity and Advisor Strategic Real
Return Funds since June 2012.
Real estate investment trusts
and real estate-related securities
• Seeks potential for income and capital appreciation
• Tends to be less sensitive to rising interest rates
20%
Subportfolio managers
Franco Castagliuolo, CFA, and
William W. Irving, PhD – Inflationprotected debt securities
The fund’s asset allocation may vary from the neutral mix. The lead manager
makes allocations shifts – typically less than +/- 10% – to take advantage of
relative value opportunities.
Not FDIC Insured • May Lose Value • No Bank Guarantee
Mark Snyderman, CFA, and
Samuel J. Wald, CFA – Real estate
investment trusts
Why Fidelity
Investments
Why consider this strategy
Fidelity is one of the world’s
injected massive liquidity into the financial system, raising the specter of inflation.
largest providers of financial
services, with over $451 billion in
global asset allocation assets.4,5
• Innovative asset allocation
strategies
• Pioneer in target-date investing
Global asset allocation
professionals:4
93 | Research analysts and
While inflation has been tame over the past few years, monetary policy has
Equally important, even when relatively tame, inflation can cause the buying
power of a dollar to decrease substantially.
Low levels of inflation can erode buying power
Over the past 10 years, the buying power of $1 fell to
$0.79
Source: Bureau of Labor Statistics, U.S. CPI All Urban for the period 8/1/03–7/31/13.
associates
45 | Portfolio managers
20 | Other
1.0
0.8
0.6
0.4
0.2
0.0
For more information about
Fidelity Advisor Strategic Real Return Fund,
please contact your financial advisor today.
Stock markets, especially foreign markets, are volatile and can decline significantly in response to adverse issuer, political, regulatory, market, or
economic developments. • Floating rate loans generally are subject to restrictions on resale, sometimes trade infrequently in the secondary market
and as a result may be more difficult to value, buy, or sell. A floating rate loan may not be fully collateralized and therefore may decline significantly
in value. • In general the bond market is volatile, and fixed-income securities carry interest rate risk. (As interest rates rise, bond prices usually fall,
and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed-income securities also carry inflation, credit, and default risks
for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so holding them until maturity to avoid
losses caused by price volatility is not possible. Increases in real interest rates can cause the price of inflation-protected debt securities to decrease.
• Foreign securities are subject to interest rate, currency exchange rate, economic, and political risks. • Changes in real estate values or economic
downturns can have a significant negative effect on issuers in the real estate industry. • Lower-quality bonds can be more volatile and have greater
risk of default than higher-quality bonds. • The fund can invest in securities that may have a leveraging effect (such as derivatives and forwardsettling securities) that may increase market exposure, magnify investment risks, and cause losses to be realized more quickly. • Commodity-linked
investments may be more volatile and less liquid than underlying instruments or measures. Their value may be affected by the performance of the
overall commodities baskets as well as weather, disease, and regulatory developments.
† Classes A, T, and I are classes of Fidelity Strategic Real Return Fund.
1. Correlation is a statistical measure of how two streams of returns move in relation to one another. A correlation of 1.0 implies that as one portfolio moves
in price, the other will move in lockstep in the same direction. Negative 1.0 implies a perfectly inverse relationship – the portfolios move in exact opposite
directions. The nearer the measure is to 0.0, the less strong the relationship is between the behavior of the two return streams. 2. The Consumer Price Index
(CPI) is a measure that examines the weighted average of prices of a basket of consumer goods and services, such as transportation, food, and medical care.
The CPI is calculated by taking price changes for each item in the predetermined basket of goods and averaging them; the goods are weighted according to
their importance. Changes in CPI are used to assess price changes associated with the cost of living. 3. The Dow Jones-UBS Commodity Index Total Return
is an unmanaged index composed of futures contracts on 19 physical commodities. This may include commodity-linked notes and short-term investment-grade
debt securities. It is not possible to invest directly in an index. 4. FMR LLC and Pyramis Global Advisors, as of 6/30/13. Data is unaudited. These figures reflect
the resources of FMR LLC, a U.S. company, and its subsidiaries. Global asset allocation assets include assets which may be invested in other Fidelity or affiliated
products. Numbers may not add due to rounding. Other investment professionals include division management and other investment professionals. 5. This
statement is based on total worldwide assets under management as of December 31, 2012, reported by Pensions & Investments’ annual money manager survey.
Third-party trademarks and service marks are the property of their respective owners. All other trademarks and service marks are the property of FMR LLC or
an affiliated company.
Not NCUA or NCUSIF insured. May lose value. No credit union guarantee.
Before investing, consider the fund’s investment objectives, risks, charges, and expenses. Contact your investment
professional or visit advisor.fidelity.com for a prospectus or, if available, a summary prospectus containing this
information. Read it carefully.
668362.1.0
Fidelity Investments Institutional Services Company, INC., 500 Salem Street, Smithfield, RI 02917
1.9585229.100
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