Fidelity Funds Please Note: Fidelity Funds is an umbrella fund with funds investing in equities, debt, money market securities and/or other instrument

Transcription

1 Fidelity Funds Société d investissement à capital variable Established in Luxembourg Fidelity Prospectus for Hong Kong Investors A commitment to investment performance

2 Fidelity Funds Please Note: Fidelity Funds is an umbrella fund with funds investing in equities, debt, money market securities and/or other instruments, including derivatives. Some funds can invest in emerging market securities which may be more volatile and subject to greater political and economic risks. The funds which invest primarily in a single sector or market are subject to higher concentration risk. Some funds can invest in non-investment grade bonds which may be more volatile and subject to greater credit and liquidity risks. Some funds invest in derivative instruments and/or structured products such as assetbacked or mortgage-backed securities which can involve additional material risks such as counterparty risks or credit and liquidity risk which may lead to high risks of capital loss. Some derivative instruments and structured products may employ leverage which can cause greater volatility. In an extreme scenario, the value of the fund may be worth substantially less than the original amount you have invested and in the worst case could be worth nothing. FIL Investment Management (Hong Kong) Limited January 2017

3 FIL Investment Management (Hong Kong) Limited Level 21, Two Pacific Place, 88 Queensway Admiralty, Hong Kong Tel: (852) Fax: (852) Fidelity Funds (the Fund ) Fidelity Funds EURO STOXX 50 TM Fund (the Sub-Fund ) 23 June 2017 Dear Shareholder, The Securities and Futures Commission (the SFC ) requires all SFC-authorised index funds (including the Sub-Fund) to disclose the up-to-date weightings of the top 10 largest constituent securities of the underlying index (being the EURO STOXX 50 TM Index, in the case of the Sub-Fund) in both the Product Key Facts Statement ( KFS ) and the Hong Kong Prospectus ( Prospectus ) within a month of the date of publication. We have become aware that the above disclosure requirements have not been fully addressed in the current Fund Prospectus and KFS previously issued in respect of the Sub-Fund. Investors should note that as at 31 May 2017, the top 10 largest constituent securities of the EURO STOXX 50 TM Index were: Rank Company ICB Super-Sector* Weighting (as % of Index) 1. TOTAL OIL & GAS SIEMENS INDUSTRIAL GOODS & SERVICES SANOFI HEALTH CARE BAYER CHEMICALS SAP TECHNOLOGY BANCO SANTANDER BANKS UNILEVER PERSONAL & HOUSEHOLD GOODS ALLIANZ INSURANCE ANHEUSER-BUSCH INBEV FOOD & BEVERAGE BASF CHEMICALS 3.19 Investors may obtain the latest index information and other important news of the Index at the website of the index provider, This website has not been reviewed by the SFC. We apologise for any inconvenience this issue may have caused, and wish to assure you that neither you nor the Sub-Fund have been adversely affected as a result of this matter, and that the Sub-Fund has always been managed in accordance with its investment objective and policy. Our internal product documentation process has been enhanced to prevent similar incidents in the future. If you have any questions concerning this matter, please contact the Fidelity Investor Hotline^ at Yours faithfully, Mark Talbot Managing Director, Asia Pacific Signed on behalf of FIL Investment Management (Hong Kong) Limited as Hong Kong Representative of Fidelity Funds * This is determined by the Industry Classification Benchmark ( ICB ), which is an industry classification taxonomy used to segregate markets into sectors within the macroeconomy. ^ International Toll-free Number , available to calls from Australia, Canada, Japan, South Korea, Malaysia, New Zealand, the Philippines, Singapore, Taiwan, Thailand and USA. Service may not be available for certain mobile carriers. The + sign represents the International Access Prefix. China Toll-free Number: The Fidelity Investor Hotline is available from 9am to 6pm, Monday to Friday (except Hong Kong public holidays). Fidelity, Fidelity International, the Fidelity International logo and F symbol are trademarks of FIL Limited.

4 Fidelity Funds Société d Investissement à Capital Variable 2a, rue Albert Borschette, L-1246 B.P. 2174, L-1021 Luxembourg R.C.S. Luxembourg B34036 Tél: (1) Fax: THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION. IF IN DOUBT, PLEASE SEEK PROFESSIONAL ADVICE. Change to Fidelity Funds Fidelity Funds - Asian Aggressive Fund name change Key Facts We are changing the name of Fidelity Funds - Asian Aggressive Fund to Fidelity Funds - Asia Pacific Opportunities Fund. The change does not affect the manner in which the Fund is managed. The risk profile of the Fund and the risk factors applicable to the Fund will remain unchanged. There will be no change to the level of fees that you currently pay. This letter is for information only and you do not need to take any action as this change will automatically enter into effect on 10 July May 2017 Dear Shareholder, As part of the ongoing process whereby Fidelity regularly reviews its range of funds to ensure that they are clearly labelled, I am writing to notify you of the decision taken by the board of directors of Fidelity Funds (the Board ) to change the name of Fidelity Funds - Asian Aggressive Fund (the Fund ) to Fidelity Funds - Asia Pacific Opportunities Fund. The Change will take effect on 10 July 2017 or such later date as may be decided by the Board (the Effective Date ). Our records show that you are a shareholder in the Fund (the Shareholders or you ). For more information on the impacted class of Shares and the corresponding ISIN Code, please refer to the Appendix enclosed herein. Any terms not defined herein shall have the same meaning as in the Fidelity Prospectus for Hong Kong Investors (the Prospectus ). On the Effective Date the name of the Fund will be amended as follows (the Change ): From: Fidelity Funds - Asian Aggressive Fund To: Fidelity Funds - Asia Pacific Opportunities Fund The Investment Objective, the Notes section and the reference currency for the Fund remain unchanged - please refer to the Prospectus. 1

5 Rationale for and Impact of the Changes The name change aims to better reflect the Fund s existing focus on identifying a small number of opportunities in the Asia Pacific ex Japan region and concentrating the Fund s capital in these. The current use of the word Aggressive in the Fund s name implies a high volatility approach, but the Fund has consistently recorded volatility below that of the Asia Pacific ex Japan market as a whole. It is important to stress that the Change does not affect the manner in which the Fund is managed and that its current risk profile is not expected to change. The Board believes that the Change is in the best interest of the Shareholders. There will be no change to the level of fees that you currently pay. Mailing charges associated with the Change will be borne by FIL Fund Management Limited as the Investment Manager of Fidelity Funds. The Change will be reflected in the next update to the Prospectus and the Product Key Facts Statement ( KFS ) of the Fund. The Board accepts full responsibility for the accuracy of the content of this letter and confirms, having made all reasonable enquiries, that to the best of its knowledge and belief there are no other facts the omission of which would make any statement herein misleading. This letter is for information purposes only and you do not need to take any action. I would like to thank you for your investment and I look forward to helping you with future requests. If you have any questions related to this Change or if you would like to request for a copy of the Prospectus, the KFS of the Fund, the Articles of Incorporation, the latest audited annual report and accounts and unaudited semi-annual report and accounts of Fidelity Funds (which is also available at or other material agreements relating to Fidelity Funds, please contact your usual Financial Adviser or the Fidelity Investor Hotline^ at , or you can write to the Hong Kong Representative at Level 21, Two Pacific Place, 88 Queensway, Admiralty, Hong Kong. Yours faithfully, Marc Wathelet Director, FIL (Luxembourg) S.A. Corporate Director, Fidelity Funds CL * This website has not been reviewed by the Securities and Futures Commission (SFC) in Hong Kong. ^ International Toll-free Number , available to calls from Australia, Canada, Japan, South Korea, Malaysia, New Zealand, the Philippines, Singapore, Taiwan, Thailand and USA. Service may not be available for certain mobile carriers. The + sign represents the International Access Prefix. China Toll-free Number: The Fidelity Investor Hotline is available from 9am to 6pm, Monday to Friday (except Hong Kong public holidays). Fidelity, Fidelity International, the Fidelity International logo and the F symbol are trademarks of FIL Limited. 2

6 Appendix - List of ISIN Code Class of Shares (old name) Class of Shares (new name effective 10 July 2017) ISIN Code FF - Asian Aggressive Fund A-ACC-Euro FF - Asia Pacific Opportunities Fund A- ACC-Euro LU

7 Fidelity Funds Société d Investissement à Capital Variable 2a, rue Albert Borschette, L-1246 B.P. 2174, L-1021 Luxembourg R.C.S. Luxembourg B34036 Tél: (1) Fax: THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION. IF IN DOUBT, PLEASE SEEK PROFESSIONAL ADVICE. Important Changes to Fidelity Funds Fidelity Funds - Euro Balanced Fund change of investment objective Key Facts We are changing the investment objective of Fidelity Funds - Euro Balanced Fund. The risk factors applicable to the Fund will remain unchanged. The Change aims to more appropriately reflect the allocation between equities and bonds in the Fund i.e. to have a higher weighting in equities and a lower weighting in bonds. The fund may also invest in UCITs and UCIs. There will be no change to the level of fees that you currently pay. Shareholder Choices If you agree with the Change proposed in this letter, you do not need to take any action. If you do not agree with the Change this letter sets out the options available to you. Dear Shareholder, 26 May 2017 As part of the ongoing process whereby Fidelity regularly reviews its range of funds to ensure that the investment objectives of the funds appropriately reflect the investment intention of the fund manager, we are writing to notify you of the decision taken by the board of directors of Fidelity Funds (the Board ) to change the investment objective of Fidelity Funds - Euro Balanced Fund (the Fund ). The Change will take effect from 10 July 2017 or such later date as may be decided by the Board (the Effective Date ). Our records show that you are a shareholder in the Fund (the Shareholders or you ). For more information on the impacted classes of Shares and the corresponding ISIN Codes, please refer to the Appendix enclosed herein. Any terms not defined herein shall have the same meaning as in the Fidelity Prospectus for Hong Kong Investors (the Prospectus ). On the Effective Date, the investment objective of the Fund will be changed as follows (the Change ): From: Fund Name Investment Objective Notes Fidelity Funds - Euro Balanced Fund Invests primarily in equities and bonds denominated in Euro. The fund will aim to invest at least 30% and a maximum of 60% of the total assets in equities. The remainder (normally a minimum 40%, maximum 70%) will be invested in bonds. Reference Ccy: Euro 1

8 To: Fund Name Investment Objective Notes Fidelity Funds Euro Balanced Fund Invests primarily in equities and bonds denominated in Euro. The fund will aim to invest a minimum of 45% and a maximum of 70% of the net assets in assets with exposure to equities and a minimum of 30% and a maximum of 55% of the net assets in assets with exposure to bonds. The fund may also invest in UCITS and UCIs. Reference Ccy: Euro Rationale for and Impact of the Changes The Change is designed to more appropriately reflect the current intended allocation between equities and bonds in the Fund, i.e. to have a higher weighting in equities and a lower weighting in bonds. The Fund may also invest in UCITs and UCIs and a sentence has been added to the Fund s investment objective to this effect. It is important to stress that Risk Factors applicable to the Fund will not change as a result of the Change. The Board believes that the Change is in the best interest of the Shareholders. There will be no change to the level of fees that you currently pay. Mailing charges associated with the Change will be borne by FIL Fund Management Limited as the Investment Manager of Fidelity Funds. Shareholder Choices 1. If you agree with this Change you do not need to take any action. 2. If you are not in agreement with this Change, we are offering you a free switch of your existing shares in the Fund into any other fund within Fidelity Funds available to you, or, 3. You may redeem your existing shares in the Fund free of charge. If you wish to switch or redeem your shares in the Fund you should contact either your Financial Adviser or usual Fidelity Service Centre. Any instruction to switch or redeem should be made in writing before 5.00 pm HK time on 7 July Different procedures may apply if dealing is made through a financial adviser or other fund distributor #. For further information on these arrangements, please contact your usual contact. The Change will be reflected in the next update to the Prospectus and the Product Key Facts Statement ( KFS ) of the Fund. The Board accepts full responsibility for the accuracy of the content of this letter and confirms, having made all reasonable enquiries, that to the best of its knowledge and belief there are no other facts the omission of which would make any statement herein misleading. # Please note that some distributors or other intermediaries may charge additional fees (such as switching or transaction fees) or expenses at their own discretion. For further information on these please contact your financial adviser or your usual contact at the distributor/intermediary whom you transact with. 2

9 I would like to thank you for your investment and I look forward to helping you with future requests. If you have any questions related to this Change or if you would like to request for a copy of the Prospectus, the KFS of the Fund, the Articles of Incorporation, the latest audited annual report and accounts and unaudited semi-annual report and accounts of Fidelity Funds (which is also available at or other material agreements relating to Fidelity Funds, please contact your usual Financial Adviser or the Fidelity Investor Hotline^ at , or you can write to the Hong Kong Representative at Level 21, Two Pacific Place, 88 Queensway, Admiralty, Hong Kong. Yours faithfully, Marc Wathelet Director, FIL (Luxembourg) S.A. Corporate Director, Fidelity Funds CL * This website has not been reviewed by the Securities and Futures Commission (SFC) in Hong Kong. ^ International Toll-free Number , available to calls from Australia, Canada, Japan, South Korea, Malaysia, New Zealand, the Philippines, Singapore, Taiwan, Thailand and USA. Service may not be available for certain mobile carriers. The + sign represents the International Access Prefix. China Toll-free Number: The Fidelity Investor Hotline is available from 9am to 6pm, Monday to Friday (except Hong Kong public holidays). Fidelity, Fidelity International, the Fidelity International logo and the F symbol are trademarks of FIL Limited. 3

10 Appendix - List of ISIN Codes Classes of Shares FF - Euro Balanced Fund A-ACC-Euro FF - Euro Balanced Fund A-ACC-USD (hedged) FF - Euro Balanced Fund A-Euro FF - Euro Balanced Fund A-MCDIST(G)-Euro ISIN Codes LU LU LU LU

11 Fidelity Funds Société d Investissement à Capital Variable 2a, rue Albert Borschette, L-1246 B.P. 2174, L-1021 Luxembourg R.C.S. Luxembourg B34036 Tél: (1) Fax: THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION. IF IN DOUBT, PLEASE SEEK PROFESSIONAL ADVICE. Important Changes to Fidelity Funds Fidelity Funds - Asian Smaller Companies Fund change of investment objective Key Facts We are changing some of the wording associated with the investment objective of Fidelity Funds - Asian Smaller Companies Fund. The risk profile of the Fund and the risk factors applicable to the Fund will remain unchanged. The Change aims to cater for market development in terms of the size of smaller companies in Asia. There will be no change to the level of fees that you currently pay. Shareholder Choices If you agree with the Change proposed in this letter, you do not need to take any action. If you do not agree with the Change this letter sets out the options available to you. Dear Shareholder, 26 May 2017 As part of the ongoing process whereby Fidelity regularly reviews its range of funds to ensure that the investment objectives of the funds appropriately reflect the investment intention of the fund manager, I am writing to notify you of the decision taken by the board of directors of Fidelity Funds (the Board ) to change the investment objective of Fidelity Funds - Asian Smaller Companies Fund (the Fund ). The Change will take effect from 10 July 2017 or such later date as may be decided by the Board (the Effective Date ). Our records show that you are a shareholder in the Fund (the Shareholders or you ). For more information on the impacted classes of Shares and the corresponding ISIN Codes, please refer to the Appendix enclosed herein. Any terms not defined herein shall have the same meaning as in the Fidelity Prospectus for Hong Kong Investors (the Prospectus ). On the Effective Date, the investment objective of the Fund will be changed as follows (the Change ): From: Fund Name Investment Objective Notes Fidelity Funds - Asian Smaller Companies Fund The fund aims to achieve long-term capital growth by investing primarily in a diversified portfolio of smaller companies that have their head office or exercise a predominant part of their activities in Asia Pacific (excluding Japan). Smaller companies are generally defined as having a market capitalisation range of less than USD 2,500 million in terms of the company s full market capitalisation. The fund may have an exposure to companies with market capitalisations falling outside this range. Reference Ccy: USD 1

12 To: Fund Name Investment Objective Notes Fidelity Funds - Asian Smaller Companies Fund The fund aims to achieve long-term capital growth by investing primarily in a diversified portfolio of smaller companies that have their head office or exercise a predominant part of their activities in Asia Pacific (excluding Japan). Portfolio Information: Smaller companies are generally defined as having a market capitalisation range of less than USD 5,000 million in terms of the company s full market capitalisation. The fund may have an exposure to companies with market capitalisations falling outside this range. Reference Ccy: USD Rationale for and Impact of the Changes The Change is designed to cater for market development in terms of the size of smaller companies in Asia. It is important to stress that the current risk profile of the Fund is not expected to change as a result of the Change. The Board believes that the Change is in the best interest of the Shareholders. There will be no change to the level of fees that you currently pay. Mailing charges associated with the Change will be borne by FIL Fund Management Limited as the Investment Manager of Fidelity Funds. Shareholder Choices 1. If you agree with this Change you do not need to take any action. 2. If you are not in agreement with this Change, we are offering you a free switch of your existing shares in the Fund into any other fund within Fidelity Funds available to you, or, 3. You may redeem your existing shares in the Fund free of charge. If you wish to switch or redeem your shares in the Fund you should contact either your Financial Adviser or usual Fidelity Service Centre. Any instruction to switch or redeem should be made in writing before 5.00 pm HK time on 7 July Instructions will normally be dealt at the next calculated net asset value. Different procedures may apply if dealing is made through a financial adviser or other fund distributor #. For further information on these arrangements, please contact your usual Financial Adviser or usual Fidelity Service Centre. The Change will be reflected in the next update to the Prospectus and the Product Key Facts Statement ( KFS ) of the Fund. # Please note that some distributors or other intermediaries may charge additional fees (such as switching or transaction fees) or expenses at their own discretion. For further information on these please contact your financial adviser or your usual contact at the distributor/intermediary whom you transact with. 2

13 The Board accepts full responsibility for the accuracy of the content of this letter and confirms, having made all reasonable enquiries, that to the best of its knowledge and belief there are no other facts the omission of which would make any statement herein misleading. I would like to thank you for your investment and I look forward to helping you with future requests. If you have any questions related to this Change or if you would like to request for a copy of the Prospectus, the KFS of the Fund, the Articles of Incorporation, the latest audited annual report and accounts and unaudited semi-annual report and accounts of Fidelity Funds (which is also available at or other material agreements relating to Fidelity Funds, please contact your usual Financial Adviser or the Fidelity Investor Hotline^ at , or you can write to the Hong Kong Representative at Level 21, Two Pacific Place, 88 Queensway, Admiralty, Hong Kong. Yours faithfully, Marc Wathelet Director, FIL (Luxembourg) S.A. Corporate Director, Fidelity Funds CL * This website has not been reviewed by the Securities and Futures Commission (SFC) in Hong Kong. ^ International Toll-free Number , available to calls from Australia, Canada, Japan, South Korea, Malaysia, New Zealand, the Philippines, Singapore, Taiwan, Thailand and USA. Service may not be available for certain mobile carriers. The + sign represents the International Access Prefix. China Toll-free Number: The Fidelity Investor Hotline is available from 9am to 6pm, Monday to Friday (except Hong Kong public holidays). Fidelity, Fidelity International, the Fidelity International logo and the F symbol are trademarks of FIL Limited. 3

14 Appendix - List of ISIN Codes Classes of Shares FF - Asian Smaller Companies Fund A-ACC-Euro FF - Asian Smaller Companies Fund A-ACC-USD FF - Asian Smaller Companies Fund A-USD FF - Asian Smaller Companies Fund Y-ACC-USD ISIN Codes LU LU LU LU

15 Fidelity Funds Société d Investissement à Capital Variable 2a, rue Albert Borschette, L-1246 B.P. 2174, L-1021 Luxembourg R.C.S. Luxembourg B34036 Tél: (1) Fax: THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION. IF IN DOUBT, PLEASE SEEK PROFESSIONAL ADVICE. Changes to Fidelity Funds Fidelity Funds - International Bond Fund name change and investment objective adaptation Key Facts We are changing the name of Fidelity Funds - International Bond Fund to Fidelity Funds Global Bond Fund. As a result of this change the investment objective will also be amended. These changes do not affect the manner in which the Fund is managed. The risk profile of the Fund and the risk factors applicable to the Fund will remain unchanged. There will be no change to the level of fees that you currently pay. This letter is for information only and you do not need to take any action as these changes will automatically enter into effect on 10 July Dear Shareholder, 26 May 2017 As part of the ongoing process whereby Fidelity regularly reviews its range of funds to ensure that they are clearly labelled, I am writing to notify you of the decision taken by the board of directors of Fidelity Funds (the Board ) to change the name of Fidelity Funds - International Bond Fund (the Fund ) to Fidelity Funds - Global Bond Fund. As a consequence of this, we are also slightly adapting the investment objective to replace the words international markets by global markets. The Changes will take effect on 10 July 2017 or such later date as may be decided by the Board (the Effective Date ). Our records show that you are a shareholder in the Fund (the Shareholders or you ). For more information on the impacted classes of Shares and the corresponding ISIN Codes, please refer to the Appendix enclosed herein. Any terms not defined herein shall have the same meaning as in the Fidelity Prospectus for Hong Kong Investors (the Prospectus ). On the Effective Date the name and the investment objective of the Fund will be amended as follows (the Changes ): From: Fund Name Fidelity Funds - International Bond Fund Investment Objective Invests in international markets to maximise performance measured in US Dollars. The fund may invest its net assets directly in onshore China fixed income securities listed or traded on any Eligible Market in China. 1

16 To: Fund Name Fidelity Funds - Global Bond Fund Investment Objective Invests in global markets to maximise performance measured in US Dollars. The fund may invest its net assets directly in onshore China fixed income securities listed or traded on any Eligible Market in China. The Portfolio Information, the Notes section and the reference currency for the Fund remain unchanged - please refer to the Prospectus. Rationale for and Impact of the Changes The Changes are designed to align the Fund name and investment objective with the naming convention of other global fixed income funds in the Fidelity Funds range. It is important to stress that the Changes do not affect the manner in which the Fund is managed and that its current risk profile is not expected to change. The Board believes that the Changes are in the best interest of the Shareholders. There will be no change to the level of fees that you currently pay. Mailing charges associated with the Changes will be borne by FIL Fund Management Limited as the Investment Manager of Fidelity Funds. The Changes will be reflected in the next update to the Prospectus and the Product Key Facts Statement ( KFS ) of the Fund. The Board accepts full responsibility for the accuracy of the content of this letter and confirms, having made all reasonable enquiries, that to the best of its knowledge and belief there are no other facts the omission of which would make any statement herein misleading. This letter is for information purposes only and you do not need to take any action. I would like to thank you for your investment and I look forward to helping you with future requests. If you have any questions related to these Changes or if you would like to request for a copy of the Prospectus, the KFS of the Fund, the Articles of Incorporation, the latest audited annual report and accounts and unaudited semi-annual report and accounts of Fidelity Funds (which is also available at or other material agreements relating to Fidelity Funds, please contact your usual Financial Adviser or the Fidelity Investor Hotline^ at , or you can write to the Hong Kong Representative at Level 21, Two Pacific Place, 88 Queensway, Admiralty, Hong Kong. Yours faithfully, Marc Wathelet Director, FIL (Luxembourg) S.A. Corporate Director, Fidelity Funds CL * This website has not been reviewed by the Securities and Futures Commission (SFC) in Hong Kong. ^ International Toll-free Number , available to calls from Australia, Canada, Japan, South Korea, Malaysia, New Zealand, the Philippines, Singapore, Taiwan, Thailand and USA. Service may not be available for certain mobile carriers. The + sign represents the International Access Prefix. China Toll-free Number: The Fidelity Investor Hotline is available from 9am to 6pm, Monday to Friday (except Hong Kong public holidays). Fidelity, Fidelity International, the Fidelity International logo and the F symbol are trademarks of FIL Limited. 2

17 Appendix - List of ISIN Codes Classes of Shares (old name) Classes of Shares (new name effective 10 July 2017) ISIN Codes FF - International Bond Fund A-ACC-USD FF - Global Bond Fund A-ACC-USD LU FF - International Bond Fund A-USD FF - Global Bond Fund A-USD LU

18 Fidelity Funds Société d Investissement à Capital Variable 2a, rue Albert Borschette, L-1246 B.P. 2174, L-1021 Luxembourg R.C.S. Luxembourg B34036 Tél: (1) Fax: THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION. IF IN DOUBT, PLEASE SEEK PROFESSIONAL ADVICE. Important Changes to Fidelity Funds Fidelity Funds - Italy Fund Change of Investment Objective Key Facts We are changing the investment objective of Fidelity Funds - Italy Fund. The risk profile of the Fund and the risk factors applicable to the Fund will remain unchanged. The Changes aim to more appropriately disclose the Italian equity sector weightings of the Fund although they will have no impact on the way the Fund is currently being managed. The Changes also aim to allow the Fund to become an eligible investment for the piani individuali di risparmio a lungo termine (PIR) under the Italian Law No 232 of 11 December Shareholders resident in countries other than Italy will be unaffected by the change in tax treatment for Italian resident shareholders. There will be no change to the level of fees that you currently pay. This letter is for information only and you do not need to take any action. Dear Shareholder, 7 April 2017 As part of the ongoing process whereby Fidelity regularly reviews its range of funds to ensure that the investment objectives of the funds appropriately reflect the investment intention of the fund manager, I am writing to notify you of the decision taken by the board of directors of Fidelity Funds (the Board ) to change the investment objective of Fidelity Funds Italy Fund (the Fund ). The Changes will take effect from 17 April 2017 or such later date as may be decided by the Board (the Effective Date ). Our records show that you are a shareholder in the Fund (the Shareholders or you ). For more information on the impacted class of Shares and the corresponding ISIN Code, please refer to the Appendix enclosed herein. On the Effective Date, the investment objective of the Fund and some of the wording associated with it will be changed as follows (the Changes ): From: Fund Name Investment Objective Notes Fidelity Funds Italy Fund Invests principally in Italian equity securities. Reference Ccy: Euro This fund is eligible for the French PEA (Plan d Epargne en Actions) tax wrapper. 1

19 To: Fund Name Investment Objective Notes Fidelity Funds Italy Fund The fund aims to provide long-term capital growth by investing principally in Italian equity securities. Portfolio Information: The fund shall invest at least 70% of its assets in shares issued by companies not engaged in real estate business, which are resident in Italy or in another EU or EEA Member State with a permanent establishment in Italy. At least 30% of these shares, which corresponds to 21% of the fund s assets, shall be issued by companies which are not listed in the FTSE MIB index or in any equivalent indices. The fund cannot invest more than 10% of its assets in financial instruments issued by, or entered into with the same company, or companies belonging to the same group, or in cash deposits. Reference Ccy: Euro This fund is eligible for the French PEA (Plan d Epargne en Actions) tax wrapper. The fund s shares are eligible investments for a Piano Individuale di Risparmio a lungo termine (PIR) under the Italian Law No 232 of 11 December The fund cannot invest in financial instruments issued by companies which are not resident in countries that allow an adequate exchange of information with Italy. Rationale for and Impact of the Changes The Changes are designed to more appropriately disclose the Italian equity sector weightings of the Fund although they will not modify the style nor the philosophy under which the Fund is managed. The Changes will allow the Fund to become an eligible investment for piani individuali di risparmio a lungo termine (PIR) under the Italian Law No 232 of 11 December The Fund s current portfolio already falls within PIR parameters and will, therefore, not need to be rebalanced. PIR eligibility will have a favourable impact on the tax treatment of investments in the Fund held by individual shareholders resident in Italy under certain circumstances. Shareholders resident in countries other than Italy will be unaffected by the change in tax treatment for Italian resident shareholders. It is important to stress that the current risk profile of the Fund is not expected to change as a result of the Changes. The Board believes that the Changes are in the best interest of the Shareholders. There will be no change to the level of fees that you currently pay. Mailing charges associated with the Changes will be borne by FIL Fund Management Limited as the Investment Manager of Fidelity Funds. The Changes will be reflected in the next update to the Fidelity Prospectus for Hong Kong Investors (the Prospectus ) and the Product Key Facts Statement ( KFS ) of the Fund. The Board accepts full responsibility for the accuracy of the content of this letter and confirms, having made all reasonable enquiries, that to the best of its knowledge and belief there are no other facts the omission of which would make any statement herein misleading. This letter is for information only and you do not need to take any action. 2

20 Any terms not defined herein shall have the same meaning as in the Prospectus. I would like to thank you for your investment and I look forward to helping you with future requests. If you have any questions related to these Changes or if you would like to request for a copy of the Prospectus, the KFS of the Fund, the Articles of Incorporation, the latest audited annual report and accounts and unaudited semi-annual report and accounts of Fidelity Funds (which is also available at or other material agreements relating to Fidelity Funds, please contact your usual Financial Adviser or the Fidelity Investor Hotline^ at , or you can write to the Hong Kong Representative at Level 21, Two Pacific Place, 88 Queensway, Admiralty, Hong Kong. Yours faithfully, Marc Wathelet Director, FIL (Luxembourg) S.A. Corporate Director, Fidelity Funds CL * This website has not been reviewed by the Securities and Futures Commission (SFC) in Hong Kong. ^ International Toll-free Number , available to calls from Australia, Canada, Japan, South Korea, Malaysia, New Zealand, the Philippines, Singapore, Taiwan, Thailand and USA. Service may not be available for certain mobile carriers. The + sign represents the International Access Prefix. China Toll-free Number: The Fidelity Investor Hotline is available from 9am to 6pm, Monday to Friday (except Hong Kong public holidays). Fidelity, Fidelity International, the Fidelity International logo and the F symbol are trademarks of FIL Limited. 3

21 Appendix - List of ISIN Codes Classes of Shares FF - Italy Fund A-Euro ISIN Codes LU

22 Fidelity Funds Société d Investissement à Capital Variable 2a, rue Albert Borschette, L-1246 B.P. 2174, L-1021 Luxembourg R.C.S. Luxembourg B34036 Tél: (1) Fax: THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION. IF IN DOUBT, PLEASE SEEK PROFESSIONAL ADVICE. Important changes to information in the Fidelity Funds Prospectus Key Facts We intend to enhance the level of information provided in the Fidelity Funds Hong Kong Prospectus (the Prospectus ) to make it clearer where and how derivatives are used. This requires the following changes to the investment policies and objectives of the funds that will take effect from 20 February 2017: Amendments to the definition of primarily or principally to clarify that investments may also be achieved indirectly through derivatives or other instruments; Enhanced description of the types of derivatives and the purposes for which they are used; and Clarification regarding the use of derivatives for investment purposes on a nonextensive basis. The above changes are not expected to change the current extent or usage of derivatives by, or change the existing risk profile of the funds. Dear Shareholder, 30 November 2016 I am writing to notify you of a decision taken by the Board of Directors of Fidelity Funds (the Directors ) to amend certain disclosures in the Prospectus with respect to the use of financial derivative instruments. This decision has been taken to help investors more clearly understand the use of various investment instruments and techniques within the funds of Fidelity Funds so that they, in turn, are better informed about the potential suitability of the funds to their needs. The investment objectives of all funds of Fidelity Funds using the definition primarily or principally will be amended to clarify the use of derivative instruments. Where the objectives state that portfolios should be primarily or principally invested in specific asset classes, it will be made clear that this may be achieved through physical assets, derivatives or other such investment instruments. Please refer to Appendix 2 for further details on the amendments. The following enhancements will also apply to funds within all categories in Fidelity Funds except for the Cash Funds and the Systematic Multi Asset Risk Targeted Funds. The improvements will be implemented by amending the general investment policies of the relevant fund ranges as follows: 1) Introducing an enhanced description of the types of derivative instruments used and the purpose for which they are used. 2) Where the use of derivatives is currently permitted for the generation of additional capital or income, it will be clarified that this also includes the use of derivatives for investment purposes on a non-extensive basis. This means that derivatives may be used to gain or increase exposure to an underlying asset (as distinct from hedging or risk reduction) but in such a way that it does not increase the level of risk that a fund can take in line with its investment objective. 1

23 Please refer to Appendix 1 for the full text of the above enhancements. These changes will come into effect on 20 February 2017 or such later date as may be decided by the Directors (the Effective Date ). Upon the changes taking effect, exposure to the primary or principal investments of the relevant funds may be obtained through means that are both direct and indirect e.g. using derivatives to obtain exposure to the underlying assets. None of the amendments described above will change the existing risk profiles of the funds as described in the Prospectus or change the manner in which the funds are currently being managed. It is expected that the relevant funds will not use derivatives extensively for investment purposes as a result of the proposed changes as the current extent / usage of derivatives by such funds are expected to remain unchanged. Furthermore, there will be no change to the current fee structure of the funds as a result of the changes described here. Any costs in connection with the proposed changes (e.g. costs associated with shareholder mailings) will be borne by the management company of Fidelity Funds. The Directors accept full responsibility for the accuracy of the information contained in this letter. They confirm that, having made all reasonable enquiries, to the best of their knowledge and belief, there are no other facts the omission of which would make any statement herein misleading. If you have any questions relating to these changes, or if you would like to request a copy of the Prospectus, the Product Key Facts Statement of any of the funds, the Articles of Incorporation, the latest audited annual report and accounts and unaudited semi-annual report and accounts (which is also available at or other material agreements relating to Fidelity Funds, please contact your usual financial adviser or the Fidelity Investor Hotline^ at , or you can write to the Hong Kong Representative at Level 21, Two Pacific Place, 88 Queensway, Admiralty, Hong Kong. Yours faithfully, Marc Wathelet Director, FIL (Luxembourg) S.A., Corporate Director, Fidelity Funds * This website has not been reviewed by the Hong Kong Securities and Futures Commission. ^ International Toll-free Number , available to calls from Australia, Canada, Japan, South Korea, Malaysia, New Zealand, the Philippines, Singapore, Taiwan, Thailand and USA. Service may not be available for certain mobile carriers. The + sign represents the International Access Prefix. China Toll-free Number: The Fidelity Investor Hotline is available from 9am to 6pm, Monday to Friday (except Hong Kong public holidays). Fidelity, Fidelity International, the Fidelity International logo and the F symbol are trademarks of FIL Limited. 2

24 Appendix 1 Changes to Investment Policies The derivatives-related enhancements to the investment policy for each fund category as described in (1) and (2) of this letter will apply to the following fund ranges offered in Hong Kong. For further information on specific funds within each fund range, please refer to the Prospectus: Equity Funds Balanced Funds Bond Funds Fidelity Lifestyle Funds Institutional Reserved Funds 3

25 EQUITY FUNDS The aim of the Equity funds is to provide investors with long-term capital growth from diversified and actively managed portfolios of securities. or related instruments, including financial derivative instruments. Unless otherwise specified in the investment objective, the income from these funds is expected to be low. The Equity funds will invest primarily (at least 70% in value) and principally (at least 70% and normally 75% in value) inin, or achieve exposure to equities in the markets and sectors reflected in the name of each individual fund and in companies established outside those markets but which derive a significant proportion of their earnings from those markets. For any remaining assets, the Investment Manager has the freedom to invest outside the fund s principal geographies, market sectors, currency or asset classes. In selecting securities for the funds, several factors are considered in the investment process; for example, consideration may include, but is not limited to, a company s financials, including revenue and profit growth, return on capital, cash flows and other financial measures. In addition, company management, industry and economic environment, and other factors may be considered in the investment process. All Equity funds may use financial derivative instruments provided (a) they are economically appropriate in that they are realised in a costeffective way, (b) they are entered into for one or more of (i) reduction of risk, (ii) reduction of costand, (iii) generation of additional capital or income for the Equity funds (including for investment purposes on a non-extensive basis) with a level of risk which is consistent with the risk profile of the relevant Equity fund(s) and the risk diversification rules laid down in Part V. (5.1, A. III) of the Prospectus, and (c) their risks are adequately captured by the risk management process of the Fund*. Financial derivative instruments such as futures, contracts for difference and equity swaps may includebe used to synthetically replicate the performance of a single stock, basket or index of equity securities. Options such as puts, calls and warrants may be used to afford funds the right or obligation to buy or sell equity at a predetermined value and thereby either generate capital growth, income, or reduce risk. Forwards, non-deliverable forwards and currency swaps may also be used to manage currency exposures within a fund. Financial derivative instruments may be over-the-counter ( OTC ) and/or exchange traded options, equity index and single stock futures, contracts for difference, forward contracts or a combination thereof.instruments. Certain Equity funds may in addition make extensive use of financial derivative instruments or use complex derivative instruments or strategies to meet the investment objectives of the funds. When an Equity fund has such extended derivative powers this will be mentioned in the investment objective of the relevant fund. Unless otherwise specified in the notes to a fund under the title Global Exposure, the method used to calculate the global exposure relating to financial derivative instruments is the commitment approach (please refer to Part V, 5.1., D. of the Prospectus for further details). While the judicious use of financial derivative instruments may be beneficial, financial derivative instruments also involve risks different from, and, in certain cases greater than the risks presented by more traditional investments. The use of financial derivative instruments may cause the Share price to be more volatile. For a further description of risks relating to the use of financial derivative instruments please refer to Risk Factors, Part I (1.2) of the Prospectus. Certain Equity funds will be referred herein as Equity Income funds. While pursuing the same investment policy, these funds will intend to provide higher income than the other Equity funds. For the funds that are specifically allowed by their investment objective to make direct investments in China A Shares, such investments may, in addition to the QFII quota, be made through any permissible means available to the funds under prevailing laws and regulations (including through the Stock Connect or any other eligible means). Investor Profile Equity funds may be suitable for investors who wish to participate in equity markets while being prepared to accept the risks described for each Equity fund under Risk Factors, Part I (1.2) of the Prospectus. Investment in an Equity fund should be regarded as a long-term investment. * The use of financial derivative instruments in line with these criteria is referred to as Efficient Portfolio Management under the Regulation of

26 BALANCED FUNDS Balanced funds are the most conservative form of growth investment and invest in a diversified portfolio of equities, bonds and ancillary cash. or related instruments (including derivatives), bonds, ancillary cash and other assets (such as property or commodities), as described in their investment objective and portfolio information. Balanced funds aim to pay current income and achieve long-term growth of both capital and income. The Balanced funds may invest in bonds or debt instruments which, or achieve exposure to bonds, debt instruments or elements of their return (such as credit, interest rate or foreign exchange elements). Such bonds or debt instruments can, among others, be issued by governments, agencies, supra-nationals, private or publicly quoted companies, special purpose or investment vehicles, or trusts. They may pay fixed or variable coupons, whereby the variable element may be derived from prevailing market interest rates or the performance of other assets (e.g. asset-backed securities). Unless otherwise specified, asset-backed securities and mortgage-backed securities will not exceed 20% of the net assets of each fund, provided that such limit will not apply to investments in such securities issued or guaranteed by the United States government or United States government sponsored entities. The repayment of a bond may have a fixed date or may be subject to some issuer discretion (e.g. some mortgage bonds). Bonds can have conversion or subscription rights to other assets attached to them (e.g. convertible bonds). Not all bonds or debt instruments will have been rated by one or several rating agencies; some may have a below investment grade rating. The Balanced funds may have non-material exposure to loans that comply with the criteria applicable to Money Market Instruments for the purposes of the Law of Some Balanced funds may have a higher exposure to such instruments as further detailed in the notes to the relevant funds. All Balanced funds may use financial derivative instruments provided (a) they are economically appropriate in that they are realised in a costeffective way, (b) they are entered into for one or more of (i) reduction of risk, (ii) reduction of cost and (iii) generation of additional capital or income for the Balanced funds with a level of risk which is consistent with the risk profile of the relevant Balanced fund(s) (including for investment purposes on a non-extensive basis) and the risk diversification rules laid down in Part V. (5.1, A. III) of the Prospectus, and (c) their risks are adequately captured by the risk management process of the Fund*. Balanced funds may use financial derivative instruments to manage risks, generate income or capital growth associated with the asset classes in which they invest. Financial derivative instruments may includebe over-the-counter ( OTC ) and/or exchange traded options, equity index, single stock, interest rate, and bond futures, contracts for difference, swaps (such as interest rate and inflation index swaps), forward contracts, derivatives on indices or a combination thereofinstruments. Financial derivative instruments referencing underlying equity assets, such as futures, contracts for difference and equity swaps may be used to synthetically replicate the performance of a single stock, basket or index of equity securities. Options such as put, calls and warrants may be used to afford funds the right to buy or sell equity at a predetermined value and thereby either generate income, capital growth or reduce risk. Financial derivative instruments referencing underlying fixed income assets or components thereof may be used by Balanced funds to (i) increase or reduce exposure to interest rate risk (including inflation) through the use of interest rate or bond futures, options and interest rate, total return or inflation swaps (ii) buy or sell part or all of the credit risk relating to single issuer, or multiple issuers referenced in a basket or index through the use of bonds futures, options, credit default and total return swaps and (iii) to hedge, reduce or increase exposure to currencies through the use of forwards, including non-deliverable forwards and currency swaps. Financial derivative instruments may also be used to replicate the performance of a security or asset class (e.g. commodity indexes or property). Other strategies may include positions that benefit from a decline in value or that give exposure to certain elements of returns of a particular issuer or asset in order to provide returns that are unrelated to those of the general market, or positions that would not have been available without the use of financial derivative instruments. Certain Balanced funds may in addition make extensive use of financial derivative instruments or use complex derivative instruments or strategies to meet the investment objectives of the funds. When a Balanced fund has such extended derivative powers this will be mentioned in the investment objective of the relevant fund. Unless otherwise specified in the notes to a fund under the title Global Exposure, the method used to calculate the global exposure relating to financial derivative instruments is the commitment approach (please refer to Part V, 5.1., D. of the Prospectus for further details). While the judicious use of financial derivative instruments may be beneficial, financial derivative instruments also involve risks different from, and, in certain cases greater than the risks presented by more traditional investments. The use of financial derivative instruments may cause the Share price to be more volatile. For a further description of risks relating to the use of financial derivative instruments please refer to Risk Factors, Part I (1.2) of in the Prospectus. Investor Profile Balanced funds may be suitable for investors who wish to participate in capital markets while being prepared to accept the risks described for each Balanced fund under Risk Factors, Part I (1.2) of the Prospectus. Investment in a Balanced fund should be regarded as a long-term investment. * The use of financial derivative instruments in line with these criteria is referred to as Efficient Portfolio Management under the Regulation of