N-CSRS 1 main.htm

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number 811-2676

Fidelity School Street Trust
(Exact name of registrant as specified in charter)

245 Summer St., Boston, Massachusetts 02210
(Address of principal executive offices) (Zip code)

Scott C. Goebel, Secretary

245 Summer St.

Boston, Massachusetts 02210
(Name and address of agent for service)

Registrant's telephone number, including area code: 617-563-7000

Date of fiscal year end:	December 31

Date of reporting period:	June 30, 2013

This report on Form N-CSR relates solely to the Registrant's Fidelity Global Bond Fund, Fidelity International Bond Fund and Fidelity Strategic Income Fund series (each, a "Fund" and collectively, the "Funds").

Item 1. Reports to Stockholders

(Fidelity Investment logo)(registered trademark)
Fidelity Advisor®

Global Bond

Fund - Class A, Class T,
and Class C

Semiannual Report

June 30, 2013

(Fidelity Cover Art)

Class A, Class T, and
Class C are classes of
Fidelity® Global Bond Fund

Shareholder Expense Example	(Click Here)	An example of shareholder expenses.
Investment Changes	(Click Here)	A summary of major shifts in the fund's investments over the past six months.
Investments	(Click Here)	A complete list of the fund's investments with their market values.
Financial Statements	(Click Here)	Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights.
Notes	(Click Here)	Notes to the financial statements.
Report of Independent Registered Public Accounting Firm	(Click Here)

To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-877-208-0098 to request a free copy of the proxy voting guidelines.

Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.

Other third-party marks appearing herein are the property of their respective owners.

This report and the financial statements contained herein are submitted for the general information of the shareholders of the fund. This report is not authorized for distribution to prospective investors in the fund unless preceded or accompanied by an effective prospectus.

A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC's web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330. For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com, http://advisor.fidelity.com, or http://www.401k.com, as applicable.

NOT FDIC INSURED • MAY LOSE VALUE • NO BANK GUARANTEE

Neither the fund nor Fidelity Distributors Corporation is a bank.

Semiannual Report

Shareholder Expense Example

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, including sales charges (loads) on purchase payments or redemption proceeds, and (2) ongoing costs, including management fees, distribution and/or service (12b-1) fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (January 1, 2013 to June 30, 2013).

Actual Expenses

The first line of the accompanying table for each class of the Fund provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line for a class of the Fund under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.

Hypothetical Example for Comparison Purposes

The second line of the accompanying table for each class of the Fund provides information about hypothetical account values and hypothetical expenses based on a Class' actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class' actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. A small balance maintenance fee of $12.00 that is charged once a year may apply for certain accounts with a value of less than $2,000. This fee is not included in the table below. If it was, the estimate of expenses you paid during the period would be higher, and your ending account value lower, by this amount. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds. In addition, if these transactional costs were included, your costs would have been higher.

Semiannual Report

Shareholder Expense Example - continued

	Annualized Expense Ratio ^B	Beginning Account Value January 1, 2013	Ending Account Value June 30, 2013	Expenses Paid During Period* January 1, 2013 to June 30, 2013
Class A	1.00%
Actual		$ 1,000.00	$ 946.50	$ 4.83
Hypothetical^A		$ 1,000.00	$ 1,019.84	$ 5.01
Class T	1.00%
Actual		$ 1,000.00	$ 946.50	$ 4.83
Hypothetical^A		$ 1,000.00	$ 1,019.84	$ 5.01
Class C	1.75%
Actual		$ 1,000.00	$ 942.50	$ 8.43
Hypothetical^A		$ 1,000.00	$ 1,016.12	$ 8.75
Global Bond	.75%
Actual		$ 1,000.00	$ 947.40	$ 3.62
Hypothetical^A		$ 1,000.00	$ 1,021.08	$ 3.76
Institutional Class	.75%
Actual		$ 1,000.00	$ 947.40	$ 3.62
Hypothetical^A		$ 1,000.00	$ 1,021.08	$ 3.76

^A 5% return per year before expenses

^B Annualized expense ratio reflects expenses net of applicable fee waivers.

* Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period). The fees and expenses of the underlying Fidelity Central Funds in which the Fund invests are not included in the Fund's annualized expense ratio.

Semiannual Report

Investment Changes (Unaudited)

The information in the following tables is based on the combined investments of the Fund and its pro-rata share of the investments of Fidelity's fixed-income central funds.

Currency Exposure (% of fund's net assets)

	As of June 30, 2013	As of December 31, 2012
US Dollar	39.3%	43.4%
European Monetary Unit	26.6%	24.6%
Japanese Yen	11.8%	9.3%
Mexican Peso	4.2%	2.4%
British Pound	3.5%	4.9%
Other	14.6%	15.4%

Percentages are based on exposure to currencies and include the effect of foreign currency contracts, futures contracts, options and swaps, as applicable.

Geographic Diversification (% of fund's net assets)
As of June 30, 2013		As of December 31, 2012
	United States of America 34.3%		United States of America 72.7%
	United Kingdom 11.6%		United Kingdom 2.8%
	Mexico 10.8%		Mexico 2.9%
	France 7.7%		France 1.3%
	Sweden 5.3%		Sweden 1.0%
	Brazil 3.3%		Brazil 0.0%
	Singapore 3.2%		Singapore 1.5%
	Netherlands 3.2%		Netherlands 1.8%
	Australia 2.8%		Australia 4.1%
	Other 17.8%		Other 11.9%

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Percentages are based on country or territory of incorporation and include the effect of futures contracts, options and swaps, as applicable. Foreign currency contracts and other assets and liabilities are included within United States of America, as applicable.

Quality Diversification (% of fund's net assets)
As of June 30, 2013		As of December 31, 2012
	U.S. Government and U.S. Government Agency Obligations 12.1%		U.S. Government and U.S. Government Agency Obligations 18.0%
	AAA 15.5%		AAA 13.2%
	AA 18.9%		AA 4.5%
	A 6.1%		A 3.4%
	BBB 29.2%		BBB 10.5%
	BB and Below 9.4%		BB and Below 0.7%
	Not Rated 3.7%		Not Rated 2.4%
	Short-Term Investments and Net Other Assets 5.1%		Short-Term Investments and Net Other Assets 47.3%

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We have used ratings from Moody's Investors Service, Inc. Where Moody's® ratings are not available, we have used S&P® ratings. All ratings are as of the date indicated and do not reflect subsequent changes.

Weighted Average Maturity as of June 30, 2013
		6 months ago
Years	8.1	7.5

This is a weighted average of all the maturities of the securities held in a fund. Weighted Average Maturity (WAM) can be used as a measure of sensitivity to interest rate changes and market changes. Generally, the longer the maturity, the greater the sensitivity to such changes. WAM is based on the dollar-weighted average length of time until principal payments must be paid. Depending on the types of securities held in a fund, certain maturity shortening devices (e.g., demand features, interest rate resets, and call options) may be taken into account when calculating the WAM.

Duration as of June 30, 2013
		6 months ago
Years	5.8	5.0

Duration is a measure of a security's price sensitivity to changes in interest rates. Duration differs from maturity in that it considers a security's interest payments in addition to the amount of time until the security reaches maturity, and also takes into account certain maturity shortening features (e.g., demand features, interest rate resets, and call options) when applicable. Securities with longer durations generally tend to be more sensitive to interest rate changes than securities with shorter durations. A fund with a longer average duration generally can be expected to be more sensitive to interest rate changes than a fund with a shorter average duration.

Asset Allocation (% of fund's net assets)
As of June 30, 2013*			As of December 31, 2012**
	Corporate Bonds 24.0%			Corporate Bonds 10.8%
	U.S. Government and U.S. Government Agency Obligations 12.1%			U.S. Government and U.S. Government Agency Obligations 18.0%
	CMOs and Other Mortgage Related Securities 4.6%			CMOs and Other Mortgage Related Securities 1.4%
	Municipal Bonds 0.2%			Municipal Bonds 0.1%
	Foreign Government and Government Agency Obligations 52.8%			Foreign Government and Government Agency Obligations 22.2%
	Other Investments 1.2%			Other Investments 0.2%
	Short-Term Investments and Net Other Assets (Liabilities) 5.1%			Short-Term Investments and Net Other Assets (Liabilities) 47.3%
* Futures and Swaps		(1.0)%	** Futures and Swaps		4.9%
* Foreign Currency Contracts		3.4%	** Foreign Currency Contracts		36.0%

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Percentages in the above tables are adjusted for the effect of TBA Sale Commitments.

Semiannual Report

Investments June 30, 2013

Showing Percentage of Net Assets

Nonconvertible Bonds - 24.0%
		Principal Amount (b)		Value
Australia - 0.2%
FMG Resources (August 2006) Pty Ltd.:
6.375% 2/1/16 (d)		$ 70,000		$ 69,913
7% 11/1/15 (d)		75,000		75,750
TOTAL AUSTRALIA				145,663
Bermuda - 0.0%
Aircastle Ltd. 6.25% 12/1/19		5,000		5,194
NCL Corp. Ltd. 5% 2/15/18 (d)		20,000		19,800
TOTAL BERMUDA				24,994
Canada - 0.3%
Atlantic Power Corp. 9% 11/15/18		70,000		70,700
Precision Drilling Corp. 6.625% 11/15/20		20,000		20,700
Quebecor Media, Inc. 7.75% 3/15/16		15,000		15,225
Telesat Canada/Telesat LLC 6% 5/15/17 (d)		70,000		71,400
Tervita Corp.:
8% 11/15/18 (d)		5,000		5,025
9.75% 11/1/19 (d)		15,000		13,950
VPII Escrow Corp. 6.75% 8/15/18 (d)(f)		20,000		20,525
TOTAL CANADA				217,525
Cayman Islands - 1.7%
MCE Finance Ltd. 5% 2/15/21 (d)		20,000		18,600
Offshore Group Investment Ltd.:
7.125% 4/1/23 (d)		10,000		9,775
7.5% 11/1/19		30,000		31,200
Petrobras International Finance Co. Ltd. 5.75% 1/20/20		67,000		69,705
Seagate HDD Cayman 4.75% 6/1/23 (d)		25,000		23,313
Thames Water Utilities Cayman Finance Ltd. 5.375% 7/21/25 (j)	GBP	195,000		322,630
UPCB Finance III Ltd. 6.625% 7/1/20 (d)		150,000		155,250
Yorkshire Water Services Finance Ltd.:
6% 4/24/25 (j)	GBP	200,000		342,221
6.375% 8/19/39	GBP	50,000		94,038
TOTAL CAYMAN ISLANDS				1,066,732
Czech Republic - 0.4%
Ceske Energeticke Zavody A/S 4.25% 4/3/22 (d)		250,000		248,075
Finland - 0.4%
Citycon Oyj 3.75% 6/24/20 (Reg. S)	EUR	220,000		281,402
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
France - 0.6%
EDF SA 5.375% 12/31/49 (j)	EUR	200,000		$ 265,620
Veolia Environnement SA 4.45% (e)(j)	EUR	100,000		125,575
TOTAL FRANCE				391,195
Germany - 0.3%
Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH 5.625% 4/15/23 (Reg. S)	EUR	150,000		187,918
Ireland - 0.3%
Ardagh Packaging Finance PLC/Ardagh MP Holdings U.S.A., Inc. 7% 11/15/20 (d)		215,000		206,400
Liberia - 0.1%
Royal Caribbean Cruises Ltd.:
5.25% 11/15/22		30,000		29,250
7.5% 10/15/27		40,000		43,400
TOTAL LIBERIA				72,650
Luxembourg - 0.6%
Intelsat Jackson Holdings SA:
5.5% 8/1/23 (d)		10,000		9,375
6.625% 12/15/22 (d)		75,000		72,563
6.625% 12/15/22 (d)		10,000		9,700
7.25% 4/1/19		20,000		20,800
Intelsat Luxembourg SA:
7.75% 6/1/21 (d)		40,000		40,400
8.125% 6/1/23 (d)		20,000		20,650
Trinseo Materials Operating SCA/Trinseo Materials Finance, Inc. 8.75% 2/1/19 (d)		20,000		19,200
Wind Acquisition Finance SA 7.375% 2/15/18	EUR	150,000		196,956
TOTAL LUXEMBOURG				389,644
Mexico - 0.7%
Petroleos Mexicanos:
5.5% 6/27/44		133,000		120,033
6.5% 6/2/41		333,000		343,823
TOTAL MEXICO				463,856
Netherlands - 0.3%
NXP BV/NXP Funding LLC:
3.75% 6/1/18 (d)		80,000		78,400
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
Netherlands - continued
NXP BV/NXP Funding LLC: - continued
5.75% 2/15/21 (d)		$ 5,000		$ 5,063
Petrobras Global Finance BV 5.625% 5/20/43		87,000		75,512
TOTAL NETHERLANDS				158,975
Norway - 0.2%
DnB Boligkreditt A/S 1.875% 6/18/19	EUR	50,000		66,006
Petroleum Geo-Services ASA 7.375% 12/15/18 (d)		30,000		32,625
TOTAL NORWAY				98,631
Singapore - 0.0%
Flextronics International Ltd. 4.625% 2/15/20 (d)		5,000		4,850
United Kingdom - 5.6%
Anglian Water PLC 6.625% 1/15/29 (c)	GBP	100,000		192,142
Eastern Power Networks PLC 5.75% 3/8/24	GBP	85,000		147,497
ENW Finance PLC 6.125% 7/21/21	GBP	200,000		355,312
Great Rolling Stock Co. Ltd. 6.25% 7/27/20	GBP	250,000		438,410
HSBC Bank PLC 6.5% 7/7/23 (Reg. S)	GBP	150,000		263,789
Imperial Tobacco Finance 9% 2/17/22	GBP	155,000		318,432
INEOS Finance PLC 8.375% 2/15/19 (d)		5,000		5,463
InterContinental Hotel Group PLC:
3.875% 11/28/22	GBP	135,000		203,201
6% 12/9/16	GBP	100,000		171,410
Marks & Spencer PLC 4.75% 6/12/25	GBP	125,000		180,331
National Grid Electricity Transmission PLC 4% 6/8/27	GBP	100,000		148,492
Nationwide Building Society 6.75% 7/22/20	EUR	165,000		231,621
Porterbrook Rail Finance Ltd. 5.5% 4/20/19	GBP	290,000		487,844
Scottish Widows PLC 5.5% 6/16/23	GBP	125,000		181,972
Severn Trent Utilities Finance PLC 3.625% 1/16/26	GBP	100,000		146,644
Western Power Distribution South Wales PLC 5.75% 3/23/40	GBP	50,000		85,698
TOTAL UNITED KINGDOM				3,558,258
United States of America - 12.3%
Alpha Natural Resources, Inc.:
6% 6/1/19		15,000		12,225
6.25% 6/1/21		5,000		3,988
AMC Networks, Inc. 4.75% 12/15/22		10,000		9,650
American Axle & Manufacturing, Inc. 6.25% 3/15/21		30,000		30,375
Ameristar Casinos, Inc. 7.5% 4/15/21		30,000		31,350
Amgen, Inc. 5.375% 5/15/43		133,000		137,704
Anadarko Petroleum Corp. 6.375% 9/15/17		80,000		91,970
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
United States of America - continued
Antero Resources Finance Corp.:
6% 12/1/20		$ 5,000		$ 4,900
9.375% 12/1/17		20,000		21,300
Aon Corp. 5% 9/30/20		67,000		73,441
APX Group, Inc. 8.75% 12/1/20 (d)		15,000		14,288
ARAMARK Corp. 5.75% 3/15/20 (d)		10,000		10,225
Ashland, Inc.:
3% 3/15/16 (d)		5,000		5,025
3.875% 4/15/18 (d)		10,000		9,825
Audatex North America, Inc. 6% 6/15/21 (d)		15,000		15,038
Axiall Corp. 4.875% 5/15/23 (d)		10,000		9,500
Ball Corp. 4% 11/15/23		45,000		41,625
Bank of America Corp. 5.7% 1/24/22		75,000		83,211
Brandywine Operating Partnership LP 3.95% 2/15/23		183,000		171,982
Brocade Communications Systems, Inc. 4.625% 1/15/23 (d)		25,000		23,438
Building Materials Corp. of America:
6.75% 5/1/21 (d)		66,000		70,125
6.875% 8/15/18 (d)		60,000		63,300
CB Richard Ellis Services, Inc.:
5% 3/15/23		10,000		9,450
6.625% 10/15/20		20,000		21,100
CCO Holdings LLC/CCO Holdings Capital Corp.:
5.75% 1/15/24		5,000		4,825
6.625% 1/31/22		75,000		78,563
7% 1/15/19		20,000		21,150
7.25% 10/30/17		20,000		21,225
Cequel Communications Escrow 1 LLC/Cequel Communications Escrow Capital Corp. 6.375% 9/15/20 (d)		5,000		5,088
Ceridian Corp. 11.25% 11/15/15		20,000		20,275
Chesapeake Energy Corp.:
5.375% 6/15/21		10,000		9,950
5.75% 3/15/23		10,000		10,125
6.125% 2/15/21		30,000		31,500
6.875% 11/15/20		75,000		81,375
Chrysler Group LLC/CG Co-Issuer, Inc.:
8% 6/15/19		5,000		5,456
8.25% 6/15/21		65,000		71,825
CIT Group, Inc.:
5% 8/15/22		20,000		19,850
5.375% 5/15/20		20,000		20,475
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
United States of America - continued
CIT Group, Inc.: - continued
5.5% 2/15/19 (d)		$ 70,000		$ 72,275
Claire's Stores, Inc. 9% 3/15/19 (d)		5,000		5,488
Clean Harbors, Inc.:
5.125% 6/1/21		5,000		5,038
5.25% 8/1/20		15,000		15,225
Clear Channel Worldwide Holdings, Inc. 6.5% 11/15/22 (d)		5,000		5,125
Comcast Corp. 4.65% 7/15/42		115,000		110,399
CONSOL Energy, Inc. 8% 4/1/17		5,000		5,263
Continental Airlines, Inc. 6.75% 9/15/15 (d)		75,000		76,500
Continental Resources, Inc. 4.5% 4/15/23 (d)		15,000		14,550
Covanta Holding Corp. 7.25% 12/1/20		95,000		99,616
Crown Americas LLC/Crown Americas Capital Corp. IV 4.5% 1/15/23 (d)		10,000		9,425
CST Brands, Inc. 5% 5/1/23 (d)		5,000		4,863
D.R. Horton, Inc. 4.375% 9/15/22		5,000		4,750
Dana Holding Corp. 6.5% 2/15/19		15,000		15,825
DCP Midstream LLC 4.75% 9/30/21 (d)		153,000		155,751
Delta Air Lines, Inc. pass-thru trust certificates 8.021% 8/10/22		9,210		10,062
Denbury Resources, Inc. 4.625% 7/15/23		45,000		41,400
DigitalGlobe, Inc. 5.25% 2/1/21 (d)		60,000		57,450
Discover Financial Services 3.85% 11/21/22		213,000		199,911
DJO Finance LLC/DJO Finance Corp.:
8.75% 3/15/18		15,000		16,275
9.875% 4/15/18		5,000		5,225
Dolphin Subsidiary II, Inc. 7.25% 10/15/21		5,000		5,175
Duke Realty LP 6.5% 1/15/18		87,000		100,011
Eagle Spinco, Inc. 4.625% 2/15/21 (d)		5,000		4,788
Emergency Medical Services Corp. 8.125% 6/1/19		20,000		21,250
Energy Partners Ltd. 8.25% 2/15/18		5,000		5,150
Energy Transfer Equity LP 7.5% 10/15/20		20,000		21,850
Equity One, Inc. 3.75% 11/15/22		183,000		172,119
ERP Operating LP 4.625% 12/15/21		213,000		225,506
Everest Acquisition LLC/Everest Acquisition Finance, Inc. 9.375% 5/1/20		125,000		140,938
Exterran Holdings, Inc. 7.25% 12/1/18		10,000		10,538
Fifth Third Bancorp 8.25% 3/1/38		67,000		85,037
First Data Corp.:
6.75% 11/1/20 (d)		5,000		5,088
7.375% 6/15/19 (d)		10,000		10,275
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
United States of America - continued
First Data Corp.: - continued
12.625% 1/15/21		$ 15,000		$ 15,863
FirstEnergy Corp. 7.375% 11/15/31		340,000		358,823
Forest Oil Corp. 7.5% 9/15/20 (d)		10,000		9,500
FTI Consulting, Inc. 6.75% 10/1/20		15,000		15,750
GenCorp, Inc. 7.125% 3/15/21 (d)		5,000		5,175
General Motors Financial Co., Inc.:
2.75% 5/15/16 (d)		5,000		4,919
3.25% 5/15/18 (d)		5,000		4,863
4.25% 5/15/23 (d)		5,000		4,656
GenOn Energy, Inc. 9.5% 10/15/18		10,000		11,100
Hanesbrands, Inc. 6.375% 12/15/20		15,000		16,050
Hawk Acquisition Sub, Inc. 4.25% 10/15/20 (d)		35,000		33,425
HCA, Inc. 8% 10/1/18		10,000		11,488
HD Supply, Inc.:
7.5% 7/15/20 (d)		20,000		20,300
8.125% 4/15/19		10,000		10,950
10.5% 1/15/21		5,000		5,169
HealthSouth Corp.:
5.75% 11/1/24		15,000		14,588
7.25% 10/1/18		13,000		13,975
Hertz Corp. 6.75% 4/15/19		30,000		31,725
Hexion U.S. Finance Corp. 6.625% 4/15/20 (d)		15,000		14,925
Icahn Enterprises LP/Icahn Enterprises Finance Corp.:
7.75% 1/15/16		20,000		20,650
8% 1/15/18		120,000		126,000
International Lease Finance Corp.:
3.875% 4/15/18		5,000		4,700
8.25% 12/15/20		75,000		84,281
8.625% 9/15/15		15,000		16,425
8.625% 1/15/22		20,000		23,000
8.875% 9/1/17		50,000		56,375
J. Crew Group, Inc. 8.125% 3/1/19		5,000		5,250
JBS U.S.A. LLC/JBS U.S.A. Finance, Inc. 8.25% 2/1/20 (d)		45,000		47,138
JMC Steel Group, Inc. 8.25% 3/15/18 (d)		20,000		19,550
JPMorgan Chase & Co. 4.5% 1/24/22		100,000		104,657
Legend Acquisition Sub, Inc. 10.75% 8/15/20 (d)		15,000		12,075
Lennar Corp. 4.75% 12/15/17		60,000		60,000
Liberty Property LP:
3.375% 6/15/23		233,000		215,954
4.75% 10/1/20		67,000		70,516
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
United States of America - continued
LINN Energy LLC/LINN Energy Finance Corp.:
6.5% 5/15/19		$ 125,000		$ 120,938
8.625% 4/15/20		20,000		21,000
Lucent Technologies, Inc.:
6.45% 3/15/29		10,000		7,575
6.5% 1/15/28		5,000		3,750
Masco Corp. 5.85% 3/15/17		20,000		21,100
MasTec, Inc. 4.875% 3/15/23		10,000		9,500
MGM Mirage, Inc.:
6.75% 10/1/20		5,000		5,175
7.625% 1/15/17		20,000		21,800
Mirant Mid-Atlantic LLC 10.06% 12/30/28		97,429		108,147
NCR Corp. 4.625% 2/15/21		130,000		124,150
Netflix, Inc. 5.375% 2/1/21 (d)		10,000		9,900
NeuStar, Inc. 4.5% 1/15/23 (d)		20,000		18,900
Nielsen Finance LLC/Nielsen Finance Co.:
4.5% 10/1/20 (d)		5,000		4,800
7.75% 10/15/18		15,000		16,050
NII Capital Corp.:
7.625% 4/1/21		20,000		15,550
10% 8/15/16		10,000		9,700
NiSource Finance Corp.:
4.45% 12/1/21		100,000		103,209
5.25% 2/15/43		240,000		234,734
NRG Energy, Inc. 6.625% 3/15/23 (d)		20,000		19,900
NSG Holdings II, LLC 7.75% 12/15/25 (d)		100,000		103,500
Nuance Communications, Inc. 5.375% 8/15/20 (d)		35,000		34,563
Oil States International, Inc. 6.5% 6/1/19		25,000		25,875
Post Holdings, Inc. 7.375% 2/15/22		10,000		10,700
Prudential Financial, Inc. 4.5% 11/16/21		200,000		210,599
Puget Energy, Inc. 6.5% 12/15/20		20,000		22,400
Regions Financial Corp. 7.75% 11/10/14		80,000		86,446
Reynolds American, Inc. 3.25% 11/1/22		347,000		322,380
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC/Reynolds Group Issuer (Luxembourg) SA:
5.75% 10/15/20		80,000		79,800
8.5% 5/15/18 (c)		10,000		10,300
9.875% 8/15/19		15,000		16,050
Rite Aid Corp.:
9.25% 3/15/20		70,000		77,175
9.5% 6/15/17		20,000		20,725
Rockwood Specialties Group, Inc. 4.625% 10/15/20		5,000		5,013
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
United States of America - continued
Rosetta Resources, Inc. 5.625% 5/1/21		$ 20,000		$ 19,525
Sabra Health Care LP/Sabra Capital Corp. 8.125% 11/1/18		13,000		13,943
Samson Investment Co. 10% 2/15/20 (d)		20,000		20,950
Sanmina-SCI Corp. 7% 5/15/19 (d)		15,000		15,300
Sealed Air Corp.:
6.5% 12/1/20 (d)		5,000		5,275
8.125% 9/15/19 (d)		10,000		11,050
SemGroup Corp. 7.5% 6/15/21 (d)		40,000		40,600
Seminole Hard Rock Entertainment, Inc. 5.875% 5/15/21 (d)		15,000		14,475
Severstal Columbus LLC 10.25% 2/15/18		15,000		15,863
Sprint Nextel Corp.:
6% 12/1/16		20,000		21,138
7% 3/1/20 (d)		20,000		21,600
9% 11/15/18 (d)		25,000		29,250
Standard Pacific Corp.:
8.375% 1/15/21		30,000		34,200
10.75% 9/15/16		20,000		23,750
Starz LLC/Starz Finance Corp. 5% 9/15/19		15,000		14,775
Steel Dynamics, Inc.:
5.25% 4/15/23 (d)		20,000		19,700
6.125% 8/15/19 (d)		5,000		5,263
7.625% 3/15/20		30,000		31,950
Synovus Financial Corp.:
5.125% 6/15/17		10,000		9,825
7.875% 2/15/19		15,000		16,725
Targa Resources Partners LP/Targa Resources Partners Finance Corp.:
4.25% 11/15/23 (d)		10,000		9,000
5.25% 5/1/23 (d)		25,000		24,000
7.875% 10/15/18		15,000		15,975
Tenneco, Inc. 6.875% 12/15/20		15,000		16,050
The AES Corp.:
4.875% 5/15/23		10,000		9,300
7.375% 7/1/21		100,000		109,750
The Dow Chemical Co. 4.125% 11/15/21		120,000		122,654
Time Warner, Inc. 4.9% 6/15/42		167,000		159,063
Toll Brothers Finance Corp. 4.375% 4/15/23		15,000		13,950
TransDigm, Inc. 5.5% 10/15/20 (d)		20,000		18,900
TransUnion Holding Co., Inc. 8.125% 6/15/18 pay-in-kind (d)		30,000		31,763
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
United States of America - continued
Triumph Group, Inc. 4.875% 4/1/21 (d)		$ 10,000		$ 9,950
Tronox Finance LLC 6.375% 8/15/20 (d)		15,000		14,138
TRW Automotive, Inc. 4.5% 3/1/21 (d)		50,000		49,875
Valeant Pharmaceuticals International:
6.5% 7/15/16 (d)		5,000		5,150
6.875% 12/1/18 (d)		10,000		10,250
VPI Escrow Corp. 6.375% 10/15/20 (d)		120,000		118,500
Walter Energy, Inc. 8.5% 4/15/21 (d)		10,000		7,950
WellPoint, Inc.:
3.3% 1/15/23		183,000		174,103
4.625% 5/15/42		73,000		67,787
Western Refining, Inc. 6.25% 4/1/21 (d)		10,000		9,775
WideOpenWest Finance LLC/WideOpenWest Capital Corp. 10.25% 7/15/19		20,000		21,250
Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp.:
4.25% 5/30/23 (d)		10,000		9,200
5.375% 3/15/22		10,000		10,200
TOTAL UNITED STATES OF AMERICA				7,899,767
TOTAL NONCONVERTIBLE BONDS (Cost $16,190,883)			15,416,535
Commercial Mortgage Securities - 4.6%

United States of America - 4.6%
GE Capital Commercial Mortgage Corp. sequential payer Series 2007-C1 Class A4, 5.543% 12/10/49		310,000		343,829
LB-UBS Commercial Mortgage Trust sequential payer Series 2007-C1 Class A4, 5.424% 2/15/40		750,000		833,334
Wachovia Bank Commercial Mortgage Trust sequential payer:
Series 2007-C30 Class A5, 5.342% 12/15/43		500,000		553,589
Series 2007-C32 Class A3, 5.7359% 6/15/49 (j)		225,000		251,660
Series 2007-C33 Class A4, 5.9241% 2/15/51 (j)		900,000		1,001,188
TOTAL COMMERCIAL MORTGAGE SECURITIES (Cost $3,035,274)			2,983,600
U.S. Government and Government Agency Obligations - 5.5%
		Principal Amount (b)		Value
U.S. Treasury Obligations - 5.5%
U.S. Treasury Bonds:
2.875% 5/15/43		$ 362,000		$ 320,823
3.5% 2/15/39		770,000		783,355
U.S. Treasury Notes:
1.5% 7/31/16 (g)(h)		1,950,000		1,995,856
2.375% 2/28/15 (i)		420,000		434,470
TOTAL U.S. GOVERNMENT AND GOVERNMENT AGENCY OBLIGATIONS (Cost $3,642,372)			3,534,504
Foreign Government and Government Agency Obligations - 52.8%

Australia - 2.6%
Australian Commonwealth:
5.5% 4/21/23	AUD	1,526,000		1,592,509
5.75% 7/15/22	AUD	58,000		61,287
TOTAL AUSTRALIA				1,653,796
Belgium - 0.8%
Belgian Kingdom 2.25% 6/22/23	EUR	410,000		514,630
Brazil - 3.3%
Brazilian Federative Republic:
Series F, 10% 1/1/19	BRL	1,500,000		648,038
2.625% 1/5/23		960,000		835,200
10% 1/1/23	BRL	1,500,000		635,354
TOTAL BRAZIL				2,118,592
Canada - 2.1%
Canadian Government:
1.5% 3/1/17	CAD	330,000		312,899
2.75% 6/1/22	CAD	616,000		603,981
4% 6/1/41	CAD	118,000		135,733
Ontario Province 4.65% 6/2/41	CAD	110,000		117,113
Province of Quebec 4.25% 12/1/21	CAD	190,000		195,389
TOTAL CANADA				1,365,115
Chile - 0.7%
Chilean Republic 2.25% 10/30/22		500,000		451,200
France - 7.1%
French Government:
OAT 5.5% 4/25/29	EUR	80,000		137,850
Foreign Government and Government Agency Obligations - continued
		Principal Amount (b)		Value
France - continued
French Government: - continued
0.25% 11/25/15	EUR	580,000		$ 750,697
1% 5/25/18	EUR	1,880,000		2,422,616
1% 11/25/18	EUR	950,000		1,214,235
TOTAL FRANCE				4,525,398
Germany - 1.8%
German Federal Republic:
1.5% 5/15/23	EUR	250,000		318,586
2.5% 1/4/21	EUR	200,000		284,072
3.5% 7/4/19	EUR	350,000		523,299
TOTAL GERMANY				1,125,957
Ireland - 0.5%
Irish Republic 4.5% 4/18/20	EUR	250,000		339,736
Italy - 2.2%
Buoni Poliennali Del Tes 3.5% 6/1/18	EUR	1,100,000		1,435,245
Japan - 2.8%
Japan Government:
1% 9/20/20	JPY	115,000,000		1,191,086
1.6% 3/20/33	JPY	25,700,000		254,689
Japan Government Thirty Year B 1.8% 3/20/43	JPY	31,450,000		314,338
TOTAL JAPAN				1,760,113
Korea (South) - 1.0%
Korean Republic 3% 3/10/23	KRW	780,000,000		660,683
Mexico - 10.1%
United Mexican States:
6.5% 6/10/21	MXN	6,720,000		546,834
6.5% 6/9/22	MXN	13,390,000		1,086,179
7.5% 6/3/27	MXN	7,140,000		617,152
7.75% 12/14/17	MXN	7,490,000		637,391
7.75% 11/13/42	MXN	3,600,000		299,228
8% 12/17/15	MXN	39,680,000		3,311,523
TOTAL MEXICO				6,498,307
Netherlands - 2.9%
Dutch Government (Reg.S) 1.75% 7/15/23	EUR	1,500,000		1,886,969
Foreign Government and Government Agency Obligations - continued
		Principal Amount (b)		Value
Singapore - 3.2%
Republic of Singapore:
3% 9/1/24	SGD	1,675,000		$ 1,370,622
3.25% 9/1/20	SGD	790,000		673,175
TOTAL SINGAPORE				2,043,797
South Africa - 1.1%
South African Republic:
6.25% 3/31/36	ZAR	1,800,000		139,471
10.5% 12/21/26	ZAR	4,830,000		593,181
TOTAL SOUTH AFRICA				732,652
Sweden - 4.7%
Swedish Kingdom:
3.5% 6/1/22	SEK	4,115,000		682,901
3.75% 8/12/17	SEK	14,420,000		2,346,292
TOTAL SWEDEN				3,029,193
United Kingdom - 5.9%
United Kingdom, Great Britain and Northern Ireland:
1.75% 1/22/17	GBP	200,000		312,917
3.75% 9/7/20	GBP	1,070,000		1,822,531
5% 3/7/18	GBP	820,000		1,458,613
5% 3/7/25	GBP	85,000		159,308
TOTAL UNITED KINGDOM				3,753,369
TOTAL FOREIGN GOVERNMENT AND GOVERNMENT AGENCY OBLIGATIONS (Cost $35,046,718)			33,894,752
Municipal Securities - 0.2%

United States of America - 0.2%
California Gen. Oblig. 7.5% 4/1/34 (Cost $125,519)		100,000		129,628
Floating Rate Loans - 0.1%
		Principal Amount (b)		Value
United States of America - 0.1%
Chesapeake Energy Corp. Tranche B, term loan 5.75% 12/2/17 (j)		$ 20,000		$ 20,250
First Data Corp. term loan 4.193% 3/24/18 (j)		30,000		29,213
TOTAL FLOATING RATE LOANS (Cost $49,428)			49,463

Preferred Securities - 1.1%

Germany - 0.5%
RWE AG 4.625% (e)(j)	220,000		302,862
Sweden - 0.6%
Vattenfall Treasury AB 5.25% (e)(j)	295,000		403,297
TOTAL PREFERRED SECURITIES (Cost $715,839)		706,159
Fixed-Income Funds - 6.4%
	Shares
Fidelity Mortgage Backed Securities Central Fund (k) (Cost $4,225,274)	38,732		4,108,303
Money Market Funds - 4.4%

Fidelity Cash Central Fund, 0.13% (a) (Cost $2,796,074)	2,796,074		2,796,074

Purchased Swaptions - 0.0%
	Expiration Date		Notional Amount (b)	Value
Put Options - 0.0%
Option on a credit default swap with Deutsche Bank AG to buy protection on the 5-Year iTraxx Europe Series 19 Index expiring June 2018 exercise rate 1.05%	7/17/13	EUR	1,450,000	$ 15,493
Option on a credit default swap with JPMorgan Chase Bank to buy protection on the CDX N.A. Investment Grade 5-Year Series 20 Index expiring June 2018 exercise rate .90%	8/21/13		1,500,000	5,636
TOTAL PURCHASED SWAPTIONS (Cost $7,534)				21,129

TOTAL INVESTMENT PORTFOLIO - 99.1%

(Cost $65,834,915)

63,640,147

NET OTHER ASSETS (LIABILITIES) - 0.9%

575,635

NET ASSETS - 100%

$ 64,215,782

Futures Contracts
	Expiration Date	Underlying Face Amount at Value	Unrealized Appreciation/ (Depreciation)
Purchased
Treasury Contracts
7 CBOT 10 Year U.S. Treasury Note Contracts	Sept. 2013	$ 885,938	$ 1,734
24 CBOT 5 Year U.S. Treasury Note Contracts	Sept. 2013	2,905,125	(32,486)
TOTAL PURCHASED		3,791,063	(30,752)
Sold
Bond Index Contracts
14 Euro-Bobl Index Contracts (Germany)	Sept. 2013	2,281,532	18,665
Futures Contracts - continued
	Expiration Date	Underlying Face Amount at Value	Unrealized Appreciation/ (Depreciation)
Sold - continued
Bond Index Contracts - continued
4 Euro-Bund Index Contracts (Germany)	Sept. 2013	$ 736,838	$ (3,076)
9 LIFFE Long Gilt Index Contracts (United Kingdom)	Sept. 2013	1,531,749	73,222
TOTAL BOND INDEX CONTRACTS		4,550,119	88,811
Treasury Contracts
1 CBOT Ultra Long Term U.S. Treasury Bond Contracts	Sept. 2013	147,313	4,276
TOTAL SOLD		4,697,432	93,087
		$ 8,488,495	$ 62,335

The face value of futures purchased as a percentage of net assets is 5.9%

The face value of futures sold as a percentage of net assets is 7.3%

Foreign Currency Contracts
Settlement Date	Currency	Counterparty	Type	Quantity	Contract Amount (b)	Unrealized Appreciation/ (Depreciation)
7/1/13	AUD	Deutsche Bank AG	Buy	690,138	$ 641,621	$ (10,456)
7/1/13	EUR	Deutsche Bank AG	Buy	1,415,000	1,842,330	(495)
7/1/13	GBP	JPMorgan Chase Bank	Sell	55,000	83,419	(233)
7/1/13	ZAR	Deutsche Bank AG	Buy	3,345,163	335,634	2,772
7/2/13	ZAR	JPMorgan Chase Bank	Buy	2,476,756	249,492	1,064
7/3/13	JPY	JPMorgan Chase Bank	Sell	18,923,532	190,502	(298)
9/12/13	AUD	Deutsche Bank AG	Sell	690,000	638,064	10,610
Foreign Currency Contracts - continued
Settlement Date	Currency	Counterparty	Type	Quantity	Contract Amount (b)	Unrealized Appreciation/ (Depreciation)
9/12/13	AUD	Morgan Stanley Capital Svc LLC	Buy	384,000	$ 366,837	$ (17,646)
9/12/13	AUD	Morgan Stanley Capital Svc LLC	Sell	99,000	91,025	999
9/12/13	BRL	Citibank NA	Sell	3,055,000	1,395,551	47,908
9/12/13	CAD	Goldman Sachs Bank USA	Sell	190,000	186,670	6,350
9/12/13	CAD	JPMorgan Chase Bank	Buy	27,000	25,550	75
9/12/13	CAD	Morgan Stanley Capital Svc LLC	Sell	98,000	93,256	248
9/12/13	CHF	Morgan Stanley Capital Svc LLC	Buy	738,000	799,731	(17,861)
9/12/13	CHF	Morgan Stanley Capital Svc LLC	Sell	69,000	73,923	822
9/12/13	CLP	Goldman Sachs Bank USA	Buy	413,872,000	831,486	(26,869)
9/12/13	CLP	Morgan Stanley Capital Svc LLC	Sell	52,200,000	101,290	(193)
9/12/13	CZK	JPMorgan Chase Bank	Sell	888,000	44,445	(4)
9/12/13	CZK	Morgan Stanley Capital Svc LLC	Buy	3,114,000	161,607	(5,734)
9/12/13	DKK	Morgan Stanley Capital Svc LLC	Buy	2,075,000	371,421	(8,994)
9/12/13	EUR	Barclays Bank PLC, London	Sell	94,000	123,424	1,027
Foreign Currency Contracts - continued
Settlement Date	Currency	Counterparty	Type	Quantity	Contract Amount (b)	Unrealized Appreciation/(Depreciation)
9/12/13	EUR	Barclays Bank PLC, London	Sell	108,000	$ 144,758	$ 4,131
9/12/13	EUR	Barclays Bank PLC, London	Sell	221,000	295,710	7,947
9/12/13	EUR	Barclays Bank PLC, London	Sell	347,000	452,420	592
9/12/13	EUR	Barclays Bank PLC, London	Sell	688,000	895,586	(256)
9/12/13	EUR	Credit Suisse Intl.	Sell	1,203,000	1,604,383	37,962
9/12/13	EUR	Deutsche Bank AG	Sell	1,415,000	1,842,904	439
9/12/13	EUR	Goldman Sachs Bank USA	Buy	7,352,000	9,812,420	(239,411)
9/12/13	EUR	Morgan Stanley Capital Svc LLC	Buy	165,000	216,338	(1,492)
9/12/13	EUR	Morgan Stanley Capital Svc LLC	Buy	439,000	576,643	(5,023)
9/12/13	EUR	Morgan Stanley Capital Svc LLC	Sell	96,000	125,779	778
9/12/13	GBP	Barclays Bank PLC, London	Buy	428,000	670,242	(19,611)
9/12/13	GBP	Citibank NA	Sell	3,878,000	6,088,266	193,063
9/12/13	GBP	Deutsche Bank AG	Sell	82,000	128,243	3,590
9/12/13	GBP	JPMorgan Chase Bank	Buy	41,000	62,156	171
9/12/13	GBP	Morgan Stanley Capital Svc LLC	Sell	430,000	664,651	10,980
9/12/13	HUF	JPMorgan Chase Bank	Buy	150,000,000	655,755	1,135
Foreign Currency Contracts - continued
Settlement Date	Currency	Counterparty	Type	Quantity	Contract Amount (b)	Unrealized Appreciation/(Depreciation)
9/12/13	HUF	Morgan Stanley Capital Svc LLC	Sell	150,000,000	$ 656,285	$ (606)
9/12/13	JPY	Barclays Bank PLC, London	Sell	10,850,000	111,084	1,648
9/12/13	JPY	Deutsche Bank AG	Sell	23,550,000	249,497	11,964
9/12/13	JPY	JPMorgan Chase Bank	Sell	12,450,000	125,372	(203)
9/12/13	JPY	Morgan Stanley Capital Svc LLC	Buy	27,600,000	282,962	(4,580)
9/12/13	JPY	Morgan Stanley Capital Svc LLC	Buy	614,550,000	6,488,724	(290,178)
9/12/13	JPY	Morgan Stanley Capital Svc LLC	Sell	16,700,000	170,999	2,558
9/12/13	KRW	Barclays Bank PLC, London	Buy	690,600,000	601,988	2,508
9/12/13	KRW	Credit Suisse Intl.	Sell	860,800,000	758,014	4,538
9/12/13	KRW	Goldman Sachs Bank USA	Buy	1,444,000,000	1,275,393	(11,431)
9/12/13	MXN	Barclays Bank PLC, London	Sell	1,731,000	134,018	1,351
9/12/13	MXN	Goldman Sachs Bank USA	Sell	52,577,000	4,115,520	85,909
9/12/13	MXN	JPMorgan Chase Bank	Buy	4,292,000	318,378	10,570
9/12/13	MYR	Citibank NA	Buy	4,164,000	1,323,081	(5,151)
9/12/13	MYR	Morgan Stanley Capital Svc LLC	Sell	362,000	113,154	(1,421)
Foreign Currency Contracts - continued
Settlement Date	Currency	Counterparty	Type	Quantity	Contract Amount (b)	Unrealized Appreciation/(Depreciation)
9/12/13	NOK	Goldman Sachs Bank USA	Buy	1,192,000	$ 207,652	$ (11,959)
9/12/13	NOK	JPMorgan Chase Bank	Sell	307,000	50,149	(252)
9/12/13	NZD	Citibank NA	Buy	270,000	216,899	(8,820)
9/12/13	NZD	JPMorgan Chase Bank	Sell	76,000	58,396	(175)
9/12/13	PLN	Deutsche Bank AG	Buy	1,871,000	561,404	(1,009)
9/12/13	PLN	Goldman Sachs Bank USA	Sell	1,516,000	477,241	23,174
9/12/13	PLN	Morgan Stanley Capital Svc LLC	Sell	1,100,000	334,571	5,103
9/12/13	SEK	Barclays Bank PLC, London	Sell	763,000	117,910	4,331
9/12/13	SEK	Goldman Sachs Bank USA	Sell	16,412,000	2,537,729	94,673
9/12/13	SEK	JPMorgan Chase Bank	Sell	257,000	38,015	(242)
9/12/13	SGD	Credit Suisse Intl.	Sell	374,000	298,129	3,017
9/12/13	SGD	Morgan Stanley Capital Svc LLC	Buy	141,000	111,298	(39)
9/12/13	SGD	Morgan Stanley Capital Svc LLC	Sell	2,051,000	1,635,481	17,101
9/12/13	THB	JPMorgan Chase Bank	Buy	31,200,000	1,011,489	(5,241)
9/12/13	ZAR	Credit Suisse Intl.	Sell	1,385,000	137,993	(550)
9/12/13	ZAR	Deutsche Bank AG	Sell	3,564,000	353,880	(2,630)
Foreign Currency Contracts - continued
Settlement Date	Currency	Counterparty	Type	Quantity	Contract Amount (b)	Unrealized Appreciation/(Depreciation)
9/12/13	ZAR	JPMorgan Chase Bank	Sell	2,477,000	$ 246,932	$ (845)
9/12/13	ZAR	Morgan Stanley Capital Svc LLC	Buy	2,598,000	260,393	(512)
						$ (99,312)

For the period, the average contract value for foreign currency contracts was $160,351,424. Contract value represents contract amount in United States dollars plus or minus unrealized appreciation or depreciation, respectively.

See accompanying notes which are an integral part of the financial statements.

Semiannual Report

Swaps
Credit Default Swaps
Underlying Reference	Rating (1)	Expiration Date	Clearinghouse/ Counterparty (4)	Fixed Payment Received/ (Paid)	Notional Amount (2)(3)		Value (1)	Upfront Premium Received/ (Paid)(5)	Unrealized Appreciation/ (Depreciation)
Buy Protection
BBVA Senior Finance SA		Sep. 2018	JPMorgan Chase Bank	(3%)	EUR	600,000	$ 3,833	$ (8,641)	$ (4,808)
CDX N.A. High Yield 5-Year Series 19 Index		Dec. 2017	Deutsche Bank AG	(5%)		1,100,000	(46,095)	44,702	(1,393)
Gas Natural Capital Markets SA		Mar. 2018	Deutsche Bank AG	(1%)	EUR	220,000	9,738	(21,093)	(11,355)
Kering SA		Dec. 2017	Credit Suisse Intl.	(1%)	EUR	100,000	(265)	(1,352)	(1,617)
Next PLC		Jun. 2018	Citibank NA	(1%)	EUR	350,000	(1,927)	(1,765)	(3,692)
Santander Intl Debt SA		Sep. 2018	JPMorgan Chase Bank	(3%)	EUR	600,000	(1,735)	(2,439)	(4,174)
Valeo SA		Jun. 2018	Citibank NA	(1%)	EUR	350,000	10,090	(14,180)	(4,090)
TOTAL BUY PROTECTION							(26,361)	(4,768)	(31,129)
Sell Protection
CDX N.A. High Yield 5-Year Series 20 Index	B3	Jun. 2018	CME	5%		2,500,000	9,375	0	9,375
TOTAL CREDIT DEFAULT SWAPS							$ (16,986)	$ (4,768)	$ (21,754)

(1) Ratings are presented for credit default swaps in which the Fund has sold protection on the underlying referenced debt. Ratings for an underlying index represent a weighted average of the ratings of all securities included in the index. The credit rating or value can be measures of the current payment/performance risk. Ratings are from Moody's Investors Service, Inc. Where Moody's ratings are not available, S&P ratings are disclosed and are indicated as such. All ratings are as of the report date and do not reflect subsequent changes.

(2) Notional amount is stated in U.S. dollars unless otherwise noted.

(3) The notional amount of each credit default swap where the Fund has sold protection approximates the maximum potential amount of future payments that the Fund could be required to make if a credit event were to occur.

(4) Swaps with CME Group (CME) are centrally cleared over-the-counter (OTC) swaps.

(5) Any premiums for centrally cleared OTC swaps are recorded periodically throughout the term of the swap to variation margin and included in unrealized appreciation (depreciation).

Semiannual Report

See accompanying notes which are an integral part of the financial statements.

Currency Abbreviations
AUD	-	Australian dollar
BRL	-	Brazilian real
CAD	-	Canadian dollar
CHF	-	Swiss franc
CLP	-	Chilean peso
CZK	-	Czech koruna
DKK	-	Danish krone
EUR	-	European Monetary Unit
GBP	-	British pound
HUF	-	Hungarian forint
JPY	-	Japanese yen
KRW	-	Korean won
MXN	-	Mexican peso
MYR	-	Malyasian ringgit
NOK	-	Norwegian krone
NZD	-	New Zealand dollar
PLN	-	Polish zloty (new)
SEK	-	Swedish krona
SGD	-	Singapore dollar
THB	-	Thai baht
ZAR	-	South African rand

Legend

(a) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements, which are not covered by the Fund's Report of Independent Registered Public Accounting Firm, are available on the SEC's website or upon request.

(b) Amount is stated in United States dollars unless otherwise noted.

(c) Security initially issued at one coupon which converts to a higher coupon at a specified date. The rate shown is the rate at period end.

(d) Security exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. At the end of the period, the value of these securities amounted to $2,753,498 or 4.3% of net assets.

(e) Security is perpetual in nature with no stated maturity date.

(f) Security or a portion of the security purchased on a delayed delivery or when-issued basis.

(g) Security or a portion of the security was pledged to cover margin requirements for futures contracts. At period end, the value of securities pledged amounted to $176,045.

(h) Security or a portion of the security has been segregated as collateral for open foreign currency contracts. At period end, the value of securities pledged amounted to $1,008,163.

(i) Security or a portion of the security was pledged to cover margin requirements for centrally cleared OTC swaps. At period end, the value of securities pledged amounted to $133,444.

(j) Coupon rates for floating and adjustable rate securities reflect the rates in effect at period end.

(k) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. A complete unaudited schedule of portfolio holdings for each Fidelity Central Fund is filed with the SEC for the first and third quarters of each fiscal year on Form N-Q and is available upon request or at the SEC's website at www.sec.gov. An unaudited holdings listing for the Fund, which presents direct holdings as well as the pro rata share of securities and other investments held indirectly through its investment in underlying non-money market Fidelity Central Funds, is available at fidelity.com and/or advisor.fidelity.com, as applicable. In addition, each Fidelity Central Fund's financial statements, which are not covered by the Fund's Report of Independent Registered Public Accounting Firm, are available on the SEC's website or upon request.

Affiliated Central Funds

Information regarding fiscal year to date income earned by the Fund from investments in Fidelity Central Funds is as follows:

Fund	Income earned
Fidelity Cash Central Fund	$ 10,351
Fidelity Mortgage Backed Securities Central Fund	116,310
Total	$ 126,661

Additional information regarding the Fund's fiscal year to date purchases and sales, including the ownership percentage, of the non Money Market Central Funds is as follows:

Fund	Value, beginning of period	Purchases	Sales Proceeds	Value, end of period	% ownership, end of period
Fidelity Mortgage Backed Securities Central Fund	$ 10,273,978	$ 5,951,089	$ 11,858,200	$ 4,108,303	0.0%

Other Information

Categorizations in the Schedule of Investments are based on country or territory of incorporation.

The following is a summary of the inputs used, as of June 30, 2013, involving the Fund's assets and liabilities carried at fair value. The inputs or methodology used for valuing securities may not be an indication of the risk associated with investing in those securities. For more information on valuation inputs, and their aggregation into the levels used in the tables below, please refer to the Investment Valuation section in the accompanying Notes to Financial Statements.

Valuation Inputs at Reporting Date:
Description	Total	Level 1	Level 2	Level 3
Investments in Securities:
Corporate Bonds	$ 15,416,535	$ -	$ 15,416,535	$ -
Commercial Mortgage Securities	2,983,600	-	2,983,600	-
U.S. Government and Government Agency Obligations	3,534,504	-	3,534,504	-
Foreign Government and Government Agency Obligations	33,894,752	-	33,894,752	-
Municipal Securities	129,628	-	129,628	-
Floating Rate Loans	49,463	-	49,463	-
Preferred Securities	706,159	-	706,159	-
Fixed-Income Funds	4,108,303	4,108,303	-	-
Money Market Funds	2,796,074	2,796,074	-	-
Purchased Swaptions	21,129	-	21,129	-
Total Investments in Securities:	$ 63,640,147	$ 6,904,377	$ 56,735,770	$ -
Valuation Inputs at Reporting Date:
Description	Total	Level 1	Level 2	Level 3
Other Derivative Instruments:
Assets
Foreign Currency Contracts	$ 601,108	$ -	$ 601,108	$ -
Futures Contracts	97,897	97,897	-	-
Swaps	33,036	-	33,036	-
Total Assets	$ 732,041	$ 97,897	$ 634,144	$ -
Liabilities
Foreign Currency Contracts	$ (700,420)	$ -	$ (700,420)	$ -
Futures Contracts	(35,562)	(35,562)	-	-
Swaps	(50,022)	-	(50,022)	-
Total Liabilities	$ (786,004)	$ (35,562)	$ (750,442)	$ -
Total Other Derivative Instruments:	$ (53,963)	$ 62,335	$ (116,298)	$ -

Value of Derivative Instruments

The following table is a summary of the Fund's value of derivative instruments by primary risk exposure as of June 30, 2013. For additional information on derivative instruments, please refer to the Derivative Instruments section in the accompanying Notes to Financial Statements.

Primary Risk Exposure / Derivative Type	Value
	Asset	Liability
Credit Risk
Purchased Swaptions (c)	$ 21,129	$ -
Swaps (d)	33,036	(50,022)
Total Credit Risk	54,165	(50,022)
Foreign Exchange Risk
Foreign Currency Contracts (a)	601,108	(700,420)
Interest Rate Risk
Futures Contracts (b)	97,897	(35,562)
Total Value of Derivatives	$ 753,170	$ (786,004)

(a) Gross value is presented in the Statement of Assets and Liabilities in the unrealized appreciation/depreciation on foreign currency contracts line-items.

(b) Reflects gross cumulative appreciation/(depreciation) on futures contracts as presented in the Schedule of Investments. Only the period end variation margin is separately presented in the Statement of Assets and Liabilities and is included in the receivable/payable for daily variation margin for derivative instruments line-items.

(d) For bi-lateral OTC swaps, reflects gross value which is presented in the Statement of Assets and Liabilities in the bi-lateral OTC swaps, at value line-items. For centrally cleared OTC swaps, reflects gross cumulative unrealized appreciation (depreciation) as presented in the Schedule of Investments. For centrally cleared OTC swaps, only the period end receivable or payable for daily variation margin and net unrealized appreciation (depreciation) are presented in the Statement of Assets and Liabilities.

The following table is a summary of the Fund's derivatives inclusive of potential netting arrangements.

Counterparty	Value of Derivative Assets	Value of Derivative Liabilities	Collateral Received	Collateral Pledged	Net (a)
Citibank NA	$ 251,061	$ (15,898)	$ -	$ -	$ 235,163
Goldman Sachs Bank USA	210,106	(289,670)	-	-	(79,564)
Deutsche Bank AG	54,606	(60,685)	-	-	(6,079)
Credit Suisse Intl.	45,517	(815)	-	-	44,702
Morgan Stanley Capital Svc LLC	38,589	(354,279)	-	-	(315,690)
Barclays Bank PLC, London	23,535	(19,867)	-	1,008,163	1,011,831
JPMorgan Chase Bank	22,484	(9,228)	-	-	13,256
Centrally Cleared OTC Swaps	9,375	-	-	133,444	142,819
Exchange Traded Futures	97,897	(35,562)	-	176,045	238,380
Total	$ 753,170	$ (786,004)

(a) Net represents the receivable / (payable) that would be due from / (to) the counterparty in an event of default. Netting may be allowed across transactions traded under the same legal agreement with the same legal entity. Please refer to Derivative Instruments - Risk Exposures and the Use of Derivative Instruments section in the accompanying Notes to Financial Statements.

See accompanying notes which are an integral part of the financial statements.

Semiannual Report

Financial Statements

Statement of Assets and Liabilities

	June 30, 2013

Assets
Investment in securities, at value - See accompanying schedule: Unaffiliated issuers (cost $58,813,567)	$ 56,735,770
Fidelity Central Funds (cost $7,021,348)	6,904,377
Total Investments (cost $65,834,915)		$ 63,640,147
Foreign currency held at value (cost $470,973)		463,409
Receivable for investments sold		3,370,225
Unrealized appreciation on foreign currency contracts		601,108
Receivable for fund shares sold		136,847
Interest receivable		631,120
Distributions receivable from Fidelity Central Funds		7,675
Receivable for daily variation margin for derivative instruments		5,844
Bi-lateral OTC swaps, at value		23,661
Receivable from investment adviser for expense reductions		18,483
Other receivables		826
Total assets		68,899,345

Liabilities
Payable for investments purchased Regular delivery	$ 3,706,884
Delayed delivery	25,000
Unrealized depreciation on foreign currency contracts	700,420
Payable for swap agreements	1,031
Payable for fund shares redeemed	74,629
Bi-lateral OTC swaps, at value	50,022
Accrued management fee	35,291
Distribution and service plan fees payable	4,325
Other affiliated payables	16,507
Other payables and accrued expenses	69,454
Total liabilities		4,683,563

Net Assets		$ 64,215,782
Net Assets consist of:
Paid in capital		$ 71,896,801
Undistributed net investment income		297,673
Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions		(5,692,665)
Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies		(2,286,027)
Net Assets		$ 64,215,782

See accompanying notes which are an integral part of the financial statements.

Semiannual Report

Statement of Assets and Liabilities - continued

	June 30, 2013

Calculation of Maximum Offering Price Class A: Net Asset Value and redemption price per share ($3,716,050 ÷ 390,247 shares)		$ 9.52

Maximum offering price per share (100/96.00 of $9.52)		$ 9.92
Class T: Net Asset Value and redemption price per share ($2,797,113 ÷ 293,745 shares)		$ 9.52

Maximum offering price per share (100/96.00 of $9.52)		$ 9.92
Class C: Net Asset Value and offering price per share ($3,512,482 ÷ 369,172 shares)^A		$ 9.51

Global Bond: Net Asset Value, offering price and redemption price per share ($51,588,785 ÷ 5,416,426 shares)		$ 9.52

Institutional Class: Net Asset Value, offering price and redemption price per share ($2,601,352 ÷ 273,129 shares)		$ 9.52

^A Redemption price per share is equal to net asset value less any applicable contingent deferred sales charge.

See accompanying notes which are an integral part of the financial statements.

Semiannual Report

Financial Statements - continued

Statement of Operations

	Six months ended June 30, 2013

Investment Income
Dividends		$ 20,252
Interest		1,736,522
Income from Fidelity Central Funds		126,661
Income before foreign taxes withheld		1,883,435
Less foreign taxes withheld		(2,342)
Total income		1,881,093

Expenses
Management fee	$ 429,673
Transfer agent fees	89,838
Distribution and service plan fees	24,172
Accounting fees and expenses	39,475
Custodian fees and expenses	10,734
Independent trustees' compensation	279
Registration fees	136,031
Audit	61,962
Legal	44
Interest	278
Miscellaneous	368
Total expenses before reductions	792,854
Expense reductions	(197,930)	594,924
Net investment income (loss)		1,286,169
Realized and Unrealized Gain (Loss) Net realized gain (loss) on:
Investment securities:
Unaffiliated issuers	(1,977,042)
Fidelity Central Funds	(116,305)
Foreign currency transactions	(2,271,334)
Futures contracts	(192,831)
Swaps	(20,053)
Total net realized gain (loss)		(4,577,565)
Change in net unrealized appreciation (depreciation) on: Investment securities	(3,948,293)
Assets and liabilities in foreign currencies	47,219
Futures contracts	57,736
Swaps	20,361
Total change in net unrealized appreciation (depreciation)		(3,822,977)
Net gain (loss)		(8,400,542)
Net increase (decrease) in net assets resulting from operations		$ (7,114,373)

See accompanying notes which are an integral part of the financial statements.

Semiannual Report

Statement of Changes in Net Assets

	Six months ended June 30, 2013	For the period May 22, 2012 (commencement of operations) to December 31, 2012
Increase (Decrease) in Net Assets
Operations
Net investment income (loss)	$ 1,286,169	$ 545,526
Net realized gain (loss)	(4,577,565)	(530,143)
Change in net unrealized appreciation (depreciation)	(3,822,977)	1,536,950
Net increase (decrease) in net assets resulting from operations	(7,114,373)	1,552,333
Distributions to shareholders from net investment income	(1,147,898)	(492,850)
Distributions to shareholders from net realized gain	(42,360)	(435,871)
Total distributions	(1,190,258)	(928,721)
Share transactions - net increase (decrease)	(94,305,149)	166,201,950
Total increase (decrease) in net assets	(102,609,780)	166,825,562

Net Assets
Beginning of period	166,825,562	-
End of period (including undistributed net investment income of $297,673 and undistributed net investment income of $159,402, respectively)	$ 64,215,782	$ 166,825,562

See accompanying notes which are an integral part of the financial statements.

Semiannual Report

Financial Highlights - Class A

	Six months ended June 30,	Years ended December 31,
	2013	2012 ^H
Selected Per-Share Data
Net asset value, beginning of period	$ 10.14	$ 10.00
Income from Investment Operations
Net investment income (loss) ^E	.073	.088
Net realized and unrealized gain (loss)	(.613)	.207
Total from investment operations	(.540)	.295
Distributions from net investment income	(.078)	(.078)
Distributions from net realized gain	(.002)	(.077)
Total distributions	(.080)	(.155)
Net asset value, end of period	$ 9.52	$ 10.14
Total Return ^{B, C, D}	(5.35)%	2.95%
Ratios to Average Net Assets ^{F, I}
Expenses before reductions	1.31% ^A	1.61% ^A
Expenses net of fee waivers, if any	1.00% ^A	1.00% ^A
Expenses net of all reductions	1.00% ^A	1.00% ^A
Net investment income (loss)	1.48% ^A	1.44% ^A
Supplemental Data
Net assets, end of period (000 omitted)	$ 3,716	$ 3,041
Portfolio turnover rate ^G	312% ^A	91% ^A

^A Annualized

^B Total returns for periods of less than one year are not annualized.

^C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.

^D Total returns do not include the effect of the sales charges.

^E Calculated based on average shares outstanding during the period.

^F Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.

^G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.

^H For the period May 22, 2012 (commencement of operations) to December 31, 2012.

^I Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.

See accompanying notes which are an integral part of the financial statements.

Semiannual Report

Financial Highlights - Class T

	Six months ended June 30,	Years ended December 31,
	2013	2012 ^H
Selected Per-Share Data
Net asset value, beginning of period	$ 10.14	$ 10.00
Income from Investment Operations
Net investment income (loss) ^E	.073	.088
Net realized and unrealized gain (loss)	(.613)	.207
Total from investment operations	(.540)	.295
Distributions from net investment income	(.078)	(.078)
Distributions from net realized gain	(.002)	(.077)
Total distributions	(.080)	(.155)
Net asset value, end of period	$ 9.52	$ 10.14
Total Return ^{B, C, D}	(5.35)%	2.95%
Ratios to Average Net Assets ^{F, I}
Expenses before reductions	1.31% ^A	1.61% ^A
Expenses net of fee waivers, if any	1.00% ^A	1.00% ^A
Expenses net of all reductions	1.00% ^A	1.00% ^A
Net investment income (loss)	1.48% ^A	1.44% ^A
Supplemental Data
Net assets, end of period (000 omitted)	$ 2,797	$ 2,747
Portfolio turnover rate ^G	312% ^A	91% ^A

^A Annualized

^B Total returns for periods of less than one year are not annualized.

^C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.

^D Total returns do not include the effect of the sales charges.

^E Calculated based on average shares outstanding during the period.

^G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.

^H For the period May 22, 2012 (commencement of operations) to December 31, 2012.

See accompanying notes which are an integral part of the financial statements.

Semiannual Report

Financial Highlights - Class C

	Six months ended June 30,	Years ended December 31,
	2013	2012 ^H
Selected Per-Share Data
Net asset value, beginning of period	$ 10.14	$ 10.00
Income from Investment Operations
Net investment income (loss) ^E	.036	.042
Net realized and unrealized gain (loss)	(.617)	.208
Total from investment operations	(.581)	.250
Distributions from net investment income	(.047)	(.033)
Distributions from net realized gain	(.002)	(.077)
Total distributions	(.049)	(.110)
Net asset value, end of period	$ 9.51	$ 10.14
Total Return ^{B, C, D}	(5.75)%	2.50%
Ratios to Average Net Assets ^{F, I}
Expenses before reductions	2.08% ^A	2.36% ^A
Expenses net of fee waivers, if any	1.75% ^A	1.75% ^A
Expenses net of all reductions	1.75% ^A	1.75% ^A
Net investment income (loss)	.73% ^A	.69% ^A
Supplemental Data
Net assets, end of period (000 omitted)	$ 3,512	$ 2,994
Portfolio turnover rate ^G	312% ^A	91% ^A

^A Annualized

^B Total returns for periods of less than one year are not annualized.

^C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.

^D Total returns do not include the effect of the contingent deferred sales charge.

^E Calculated based on average shares outstanding during the period.

^G Amount does not include the portfolio activity of any underlying Fidelity Central Funds.

^H For the period May 22, 2012 (commencement of operations) to December 31, 2012.

See accompanying notes which are an integral part of the financial statements.

Semiannual Report

Financial Highlights - Global Bond

	Six months ended June 30,	Years ended December 31,
	2013	2012 ^G
Selected Per-Share Data
Net asset value, beginning of period	$ 10.14	$ 10.00
Income from Investment Operations
Net investment income (loss) ^D	.086	.103
Net realized and unrealized gain (loss)	(.616)	.208
Total from investment operations	(.530)	.311
Distributions from net investment income	(.088)	(.094)
Distributions from net realized gain	(.002)	(.077)
Total distributions	(.090)	(.171)
Net asset value, end of period	$ 9.52	$ 10.14
Total Return ^{B, C}	(5.26)%	3.11%
Ratios to Average Net Assets ^{E, H}
Expenses before reductions	1.01% ^A	1.28% ^A
Expenses net of fee waivers, if any	.75% ^A	.75% ^A
Expenses net of all reductions	.75% ^A	.75% ^A
Net investment income (loss)	1.73% ^A	1.69% ^A
Supplemental Data
Net assets, end of period (000 omitted)	$ 51,589	$ 155,463
Portfolio turnover rate ^F	312% ^A	91% ^A

^A Annualized

^B Total returns for periods of less than one year are not annualized.

^C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.

^D Calculated based on average shares outstanding during the period.

^E Fees and expenses of any underlying Fidelity Central Funds are not included in the Fund's expense ratio. The Fund indirectly bears its proportionate share of the expenses of any underlying Fidelity Central Funds.

^F Amount does not include the portfolio activity of any underlying Fidelity Central Funds.

^G For the period May 22, 2012 (commencement of operations) to December 31, 2012.

^H Expense ratios reflect operating expenses of the class. Expenses before reductions do not reflect amounts reimbursed by the investment adviser or reductions from expense offset arrangements and do not represent the amount paid by the class during periods when reimbursements or reductions occur. Expense ratios before reductions for start-up periods may not be representative of longer-term operating periods. Expenses net of fee waivers reflect expenses after reimbursement by the investment adviser but prior to reductions from expense offset arrangements. Expenses net of all reductions represent the net expenses paid by the class.

See accompanying notes which are an integral part of the financial statements.

Semiannual Report

Financial Highlights - Institutional Class

	Six months ended June 30,	Years ended December 31,
	2013	2012 ^G
Selected Per-Share Data
Net asset value, beginning of period	$ 10.14	$ 10.00
Income from Investment Operations
Net investment income (loss) ^D	.086	.104
Net realized and unrealized gain (loss)	(.616)	.207
Total from investment operations	(.530)	.311
Distributions from net investment income	(.088)	(.094)
Distributions from net realized gain	(.002)	(.077)
Total distributions	(.090)	(.171)
Net asset value, end of period	$ 9.52	$ 10.14
Total Return ^{B, C}	(5.26)%	3.11%
Ratios to Average Net Assets ^{E, H}
Expenses before reductions	1.04% ^A	1.36% ^A
Expenses net of fee waivers, if any	.75% ^A	.75% ^A
Expenses net of all reductions	.75% ^A	.75% ^A
Net investment income (loss)	1.73% ^A	1.69% ^A
Supplemental Data
Net assets, end of period (000 omitted)	$ 2,601	$ 2,580
Portfolio turnover rate ^F	312% ^A	91% ^A

^A Annualized

^B Total returns for periods of less than one year are not annualized.

^C Total returns would have been lower if certain expenses had not been reduced during the applicable periods shown.

^D Calculated based on average shares outstanding during the period.

^F Amount does not include the portfolio activity of any underlying Fidelity Central Funds.

^G For the period May 22, 2012 (commencement of operations) to December 31, 2012.

See accompanying notes which are an integral part of the financial statements.

Semiannual Report

Notes to Financial Statements

For the period ended June 30, 2013

1. Organization.

Fidelity® Global Bond Fund (the Fund) is a non-diversified fund of Fidelity School Street Trust (the Trust) and is authorized to issue an unlimited number of shares. The Trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Massachusetts business trust. The Fund offers Class A, Class T, Class C, Global Bond and Institutional Class shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class.

2. Investments in Fidelity Central Funds.

The Fund invests in Fidelity Central Funds, which are open-end investment companies generally available only to other investment companies and accounts managed by Fidelity Management & Research Company (FMR) and its affiliates. The Fund's Schedule of Investments lists each of the Fidelity Central Funds held as of period end, as an investment of the Fund, but does not include the underlying holdings of each Fidelity Central Fund. As an Investing Fund, the Fund indirectly bears its proportionate share of the expenses of the underlying Fidelity Central Funds.

Based on its investment objective, each Fidelity Central Fund may invest or participate in various investment vehicles or strategies that are similar to those of the Fund. These strategies are consistent with the investment objectives of the Fund and may involve certain economic risks which may cause a decline in value of each of the Fidelity Central Funds and thus a decline in the value of the Fund. The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of FMR. The following summarizes the Fund's investment in each non-money market Fidelity Central Fund.

Fidelity Central Fund

Investment Manager

Investment Objective

Investment Practices

Fidelity Mortgage Backed Securities Central Fund

FIMM

Seeks a high level of income by normally investing in investment-grade mortgage-related securities and repurchase agreements for those securities.

Delayed Delivery & When Issued Securities

Futures

Repurchase Agreements

Swaps

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Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds which contain the significant accounting policies (including investment valuation policies) of those funds, which are not covered by the Fund's Report of Independent Registered Public Accounting Firm, are available on the SEC website or upon request.

3. Significant Accounting Policies.

The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP), which require management to make certain estimates and assumptions at the date of the financial statements. Actual results could differ from those estimates. Subsequent events, if any, through the date that the financial statements were issued have been evaluated in the preparation of the financial statements. The following summarizes the significant accounting policies of the Fund:

Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. In accordance with valuation policies and procedures approved by the Board of Trustees (the Board), the Fund attempts to obtain prices from one or more third party pricing vendors or brokers to value its investments. When current market prices, quotations or currency exchange rates are not readily available or reliable, investments will be fair valued in good faith by the FMR Fair Value Committee (the Committee), in accordance with procedures adopted by the Board. Factors used in determining fair value vary by investment type and may include market or investment specific events, changes in interest rates and credit quality. The frequency with which these procedures are used cannot be predicted and they may be utilized to a significant extent. The Committee oversees the Fund's valuation policies and procedures and is responsible for approving and reporting to the Board all fair value determinations.

The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels as shown below:

Level 1 - quoted prices in active markets for identical investments

Level 2 - other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, etc.)

Level 3 - unobservable inputs (including the Fund's own assumptions based on the best information available)

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Investment Valuation - continued

Valuation techniques used to value the Fund's investments by major category are as follows:

Debt securities, including restricted securities, are valued based on evaluated prices received from third party pricing vendors or from brokers who make markets in such securities. For corporate bonds, floating rate loans, foreign government and government agency obligations, municipal securities, preferred securities and U.S. government and government agency obligations, pricing vendors utilize matrix pricing which considers yield or price of bonds of comparable quality, coupon, maturity and type as well as broker-supplied prices. For commercial mortgage securities, pricing vendors utilize matrix pricing which considers prepayment speed assumptions, attributes of the collateral, yield or price of bonds of comparable quality, coupon, maturity and type as well as broker-supplied prices. Swaps are marked-to-market daily based on valuations from third party pricing vendors, registered derivatives clearing organizations (clearinghouses) or broker-supplied valuations. These pricing sources may utilize inputs such as interest rate curves, credit spread curves, default possibilities and recovery rates. When independent prices are unavailable or unreliable, debt securities and swaps may be valued utilizing pricing methodologies which consider similar factors that would be used by third party pricing vendors. For foreign debt securities, when significant market or security specific events arise, valuations may be determined in good faith in accordance with procedures adopted by the Board. Debt securities and swaps are generally categorized as Level 2 in the hierarchy but may be Level 3 depending on the circumstances.

The U.S. dollar value of foreign currency contracts is determined using currency exchange rates supplied by a pricing service and are categorized as Level 2 in the hierarchy. Futures contracts are valued at the settlement price established each day by the board of trade or exchange on which they are traded and are categorized as Level 1 in the hierarchy. Options traded over-the-counter are valued using broker-supplied valuations and are categorized as Level 2 in the hierarchy. Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value (NAV) each business day and are categorized as Level 1 in the hierarchy.

Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level, as of June 30, 2013, is included at the end of the Fund's Schedule of Investments.

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Foreign Currency - continued

denominated in foreign currencies are translated into U.S. dollars at the exchange rate in effect on the transaction date.

The effects of exchange rate fluctuations on investments are included with the net realized and unrealized gain (loss) on investment securities. Other foreign currency transactions resulting in realized and unrealized gain (loss) are disclosed separately.

Realized gains and losses on foreign currency transactions arise from the disposition of foreign currency, closed foreign currency contracts, realized changes in the value of foreign currency between the trade and settlement dates on security transactions, and the difference between the amounts of dividends, interest and foreign withholding taxes recorded on transaction date and the U.S. dollar equivalent of the amounts actually received or paid. Unrealized gains and losses on assets and liabilities in foreign currencies arise from changes in the value of foreign currency including foreign currency contracts, and from assets and liabilities denominated in foreign currencies, other than investments, which are held at period end.

Class Allocations and Expenses. Investment income, realized and unrealized capital gains and losses, common expenses of the Fund, and certain fund-level expense reductions, if any, are allocated on a pro-rata basis to each class based on the relative net assets of each class to the total net assets of the Fund. Each class differs with respect to transfer agent and distribution and service plan fees incurred. Certain expense reductions may also differ by class. Expenses directly attributable to a fund are charged to that fund. Expenses attributable to more than one fund are allocated among the respective funds on the basis of relative net assets or other appropriate methods. Expense estimates are accrued in the period to which they relate and adjustments are made when actual amounts are known.

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3. Significant Accounting Policies - continued

Income Tax Information and Distributions to Shareholders. Each year, the Fund intends to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code, including distributing substantially all of its taxable income and realized gains. As a result, no provision for income taxes is required. The Fund files a U.S. federal tax return, in addition to state and local tax returns as required. A fund's federal income tax returns are subject to examination by the Internal Revenue Service (IRS) for a period of three fiscal years after they are filed. State and local tax returns may be subject to examination for an additional fiscal year depending on the jurisdiction. Foreign taxes are provided for based on the Fund's understanding of the tax rules and rates that exist in the foreign markets in which it invests.

Distributions are declared and recorded on the ex-dividend date. Income dividends and capital gain distributions are declared separately for each class. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP.

Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Temporary book-tax differences will reverse in a subsequent period.

Book-tax differences are primarily due to futures contracts, swaps, foreign currency transactions, market discount, partnerships (including allocations from Fidelity Central Funds) and losses deferred due to wash sales and excise tax regulations.

The federal tax cost of investment securities and unrealized appreciation (depreciation) as of period end were as follows:

Gross unrealized appreciation	$ 351,402
Gross unrealized depreciation	(2,544,792)
Net unrealized appreciation (depreciation) on securities and other investments	$ (2,193,390)

Tax cost	$ 65,833,537

Delayed Delivery Transactions and When-Issued Securities. During the period, the Fund transacted in securities on a delayed delivery or when-issued basis. Payment and delivery may take place after the customary settlement period for that security. The price of the underlying securities and the date when the securities will be delivered and paid for are fixed at the time the transaction is negotiated. The securities purchased on a delayed delivery or when-issued basis are identified as such in the Fund's Schedule of Investments. The Fund may receive compensation for interest forgone in the purchase of a delayed delivery or when-issued security. With respect to purchase commitments, the Fund identifies securities as segregated in its records with a value at least equal to the

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Delayed Delivery Transactions and When-Issued Securities - continued

amount of the commitment. Losses may arise due to changes in the value of the underlying securities or if the counterparty does not perform under the contract's terms, or if the issuer does not issue the securities due to political, economic, or other factors.

Restricted Securities. The Fund may invest in securities that are subject to legal or contractual restrictions on resale. These securities generally may be resold in transactions exempt from registration or to the public if the securities are registered. Disposal of these securities may involve time-consuming negotiations and expense, and prompt sale at an acceptable price may be difficult. Information regarding restricted securities is included at the end of the Fund's Schedule of Investments.

Loans and Other Direct Debt Instruments. The Fund invests in direct debt instruments which are interests in amounts owed to lenders by corporate or other borrowers. These instruments may be in the form of loans, trade claims or other receivables and may include standby financing commitments such as revolving credit facilities that obligate the Fund to supply additional cash to the borrower on demand. Loans may be acquired through assignment or participation, or may be made directly to a borrower. The Fund may be contractually obligated to receive approval from the agent bank and/or borrower prior to the sale of these loans. The Fund did not have any unfunded loan commitments, which are contractual obligations for future funding, at period end.

4. Derivative Instruments.

Risk Exposures and the Use of Derivative Instruments. The Fund's investment objective allows the Fund to enter into various types of derivative contracts, including futures contracts, foreign currency contracts, options and swaps. Derivatives are investments whose value is primarily derived from underlying assets, indices or reference rates and may be transacted on an exchange or over-the-counter (OTC). Derivatives may involve a future commitment to buy or sell a specified asset based on specified terms, to exchange future cash flows at periodic intervals based on a notional principal amount, or for one party to make one or more payments upon the occurrence of specified events in exchange for periodic payments from the other party.

The Fund used derivatives to increase returns, to gain exposure to certain types of assets, to facilitate transactions in foreign-denominated securities and to manage exposure to certain risks as defined below. The success of any strategy involving derivatives depends on analysis of numerous economic factors, and if the strategies for investment do not work as intended, the Fund may not achieve its objectives.

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4. Derivative Instruments - continued

Risk Exposures and the Use of Derivative Instruments - continued

The Fund's use of derivatives increased or decreased its exposure to the following risks:

Credit Risk	Credit risk relates to the ability of the issuer of a financial instrument to make further principal or interest payments on an obligation or commitment that it has to the Fund.
Foreign Exchange Risk	Foreign exchange rate risk relates to fluctuations in the value of an asset or liability due to changes in currency exchange rates.
Interest Rate Risk	Interest rate risk relates to the fluctuations in the value of interest-bearing securities due to changes in the prevailing levels of market interest rates.

The Fund is also exposed to additional risks from investing in derivatives, such as liquidity risk and counterparty credit risk. Liquidity risk is the risk that the Fund will be unable to close out the derivative in the open market in a timely manner. Counterparty credit risk is the risk that the counterparty will not be able to fulfill its obligation to the Fund. Derivative counterparty credit risk is managed through formal evaluation of the creditworthiness of all potential counterparties. On certain OTC derivatives such as foreign currency contracts, options and bi-lateral swaps, the Fund attempts to reduce its exposure to counterparty credit risk by entering into an International Swaps and Derivatives Association, Inc. (ISDA) Master Agreement with each of its counterparties. The ISDA Master Agreement gives the Fund the right to terminate all transactions traded under such agreement upon the deterioration in the credit quality of the counterparty beyond specified levels. The ISDA Master Agreement gives each party the right, upon an event of default by the other party or a termination of the agreement, to close out all transactions traded under such agreement and to net amounts owed under each transaction to one net payable by one party to the other. To mitigate counterparty credit risk on bi-lateral OTC derivatives, the Fund receives collateral in the form of cash or securities once the Fund's net unrealized appreciation on outstanding derivative contracts under an ISDA Master Agreement exceeds certain applicable thresholds, subject to certain minimum transfer provisions. The collateral received is held in segregated accounts with the Fund's custodian bank in accordance with the collateral agreements entered into between the Fund, the counterparty and the Fund's custodian bank. The Fund could experience delays and costs in gaining access to the collateral even though it is held by the Fund's custodian bank. The Fund's maximum risk of loss from counterparty credit risk related to bi-lateral OTC derivatives is generally the aggregate unrealized appreciation and unpaid counterparty payments in excess of any collateral pledged by the counterparty to the Fund. The Fund may be required to pledge collateral for the benefit of the counterparties on bi-lateral OTC derivatives in an amount not less than each counterparty's unrealized appreciation on outstanding derivative contracts, subject to certain minimum transfer provisions, and any such pledged collateral is identified in the

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Risk Exposures and the Use of Derivative Instruments - continued

Schedule of Investments. Exchange-traded futures contracts are not covered by the ISDA Master Agreement; however counterparty credit risk related to exchange-traded futures contracts may be mitigated by the protection provided by the exchange on which they trade. Counterparty credit risk related to centrally cleared OTC swaps may be mitigated by the protection provided by the clearinghouse. A summary of the Fund's derivatives inclusive of potential netting arrangements is presented at the end of the Schedule of Investments.

Investing in derivatives may involve greater risks than investing in the underlying assets directly and, to varying degrees, may involve risk of loss in excess of any initial investment and collateral received and amounts recognized in the Statement of Assets and Liabilities. In addition, there may be the risk that the change in value of the derivative contract does not correspond to the change in value of the underlying instrument.

Net Realized Gain (Loss) and Change in Net Unrealized Appreciation (Depreciation) on Derivatives. The table below, which reflects the impacts of derivatives on the financial performance of the Fund, summarizes the net realized gain (loss) and change in net unrealized appreciation (depreciation) for derivatives during the period as presented in the Statement of Operations.

Primary Risk Exposure / Derivative Type	Net Realized Gain (Loss)	Change in Net Unrealized Appreciation (Depreciation)
Credit Risk
Purchased Options (a)	$ 19,275	$ 28,423
Swaps (a)	(20,053)	20,361
Total Credit Risk	(778)	48,784
Foreign Exchange Risk
Foreign Currency Contracts (b)	(2,220,628)	57,693
Interest Rate Risk
Futures Contracts (a)	(192,831)	57,736
Totals	$ (2,414,237)	$ 164,213

(a) A summary of the value of derivatives by primary risk exposure as of period end is included at the end of the Schedule of Investments and is representative of activity for the period.

(b) A summary of the value of foreign currency contracts by risk exposure as of period end, as well as the average value during the period, is included at the end of the Schedule of Investments.

Foreign Currency Contracts. Foreign currency contracts represent obligations to purchase or sell foreign currency on a specified future date at a price fixed at the time the contracts are entered into. The Fund used foreign currency contracts to facilitate transactions in foreign-denominated securities and to manage exposure to certain foreign currencies.

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Notes to Financial Statements - continued

4. Derivative Instruments - continued

Foreign Currency Contracts - continued

Foreign currency contracts are valued daily and fluctuations in exchange rates on open contracts are recorded as unrealized appreciation or (depreciation) and reflected in the Statement of Assets and Liabilities. When the contract is closed, the Fund realizes a gain or loss equal to the difference between the closing value and the value at the time it was opened. Non-deliverable forward foreign currency exchange contracts are settled with the counterparty in cash without the delivery of foreign currency. The net realized gain (loss) and change in net unrealized appreciation (depreciation) on foreign currency contracts during the period is included in the Statement of Operations as part of net realized gain (loss) on foreign currency transactions and change in unrealized gain (loss) on assets and liabilities in foreign currencies, respectively.

Any open foreign currency contracts at period end are presented in the Schedule of Investments under the caption "Foreign Currency Contracts." The contract amount and unrealized appreciation (depreciation) reflects each contract's exposure to the underlying currency at period end.

Futures Contracts. A futures contract is an agreement between two parties to buy or sell a specified underlying instrument for a fixed price at a specified future date. The Fund used futures contracts to manage its exposure to the fluctuations in interest rates.

Upon entering into a futures contract, a fund is required to deposit either cash or securities (initial margin) with a clearing broker in an amount equal to a certain percentage of the face value of the contract. Futures contracts are marked-to-market daily and subsequent daily payments (variation margin) are made or received by a fund depending on the daily fluctuations in the value of the futures contracts and are recorded as unrealized appreciation or (depreciation). This receivable and/or payable, if any, is included in daily variation margin for derivative instruments in the Statement of Assets and Liabilities. Realized gain or (loss) is recorded upon the expiration or closing of a futures contract. The net realized gain (loss) and change in net unrealized appreciation (depreciation) on futures contracts during the period is included in the Statement of Operations.

Any open futures contracts at period end are presented in the Schedule of Investments under the caption "Futures Contracts." The underlying face amount at value reflects each contract's exposure to the underlying instrument or index at period end. Securities deposited to meet initial margin requirements are identified in the Schedule of Investments.

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4. Derivative Instruments - continued

Options - continued

underlying derivative instrument if the holder exercises the option on or before the expiration date. The Fund uses OTC options, such as swaptions, which are options where the underlying instrument is a swap, to manage its exposure to potential credit events.

Upon entering into an options contract, a fund will pay or receive a premium. Premiums paid on purchased options are reflected as cost of investments and premiums received on written options are reflected as a liability on the Statement of Assets and Liabilities. Certain options may be purchased or written with premiums to be paid or received on a future date. Options are valued daily and any unrealized appreciation (depreciation) is reflected on the Statement of Assets and Liabilities. When an option is exercised, the cost or proceeds of the underlying instrument purchased or sold is adjusted by the amount of the premium. When an option is closed the Fund will realize a gain or loss depending on whether the proceeds or amount paid for the closing sale transaction is greater or less than the premium received or paid. When an option expires, gains and losses are realized to the extent of premiums received and paid, respectively. The net realized and unrealized gains (losses) on purchased options are included on the Statement of Operations in net realized gain (loss) and change in net unrealized appreciation (depreciation) on investment securities. The net realized gain (loss) and change in net unrealized appreciation (depreciation) on written options are reflected separately on the Statement of Operations.

Any open options at period end are presented in the Schedule of Investments under the captions "Purchased Options," "Purchased Swaptions," "Written Options" and "Written Swaptions," as applicable.

Writing puts and buying calls tend to increase exposure to the underlying instrument while buying puts and writing calls tend to decrease exposure to the underlying instrument. For purchased options, risk of loss is limited to the premium paid, and for written options, risk of loss is the change in value in excess of the premium received.

Swaps. A swap is a contract between two parties to exchange future cash flows at periodic intervals based on a notional principal amount. A bi-lateral OTC swap is a transaction between a fund and a dealer counterparty where cash flows are exchanged between the two parties for the life of the swap. A centrally cleared OTC swap is a transaction executed between a fund and a dealer counterparty, then cleared by a futures commission merchant (FCM) through a clearinghouse. Once cleared, the clearinghouse serves as a central counterparty, with whom a fund exchanges cash flows for the life of the transaction, similar to transactions in futures contracts.

Bi-lateral OTC swaps are marked-to-market daily and changes in value are reflected in the Statement of Assets and Liabilities in the bi-lateral OTC swaps at value line items.

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4. Derivative Instruments - continued

Swaps - continued

Any upfront premiums paid or received upon entering a bi-lateral OTC swap to compensate for differences between stated terms of the swap and prevailing market conditions (e.g. credit spreads, interest rates or other factors) are recorded in net unrealized appreciation (depreciation) in the Statement of Assets and Liabilities and amortized to realized gain or (loss) ratably over the term of the swap. Any unamortized upfront premiums are presented in the Schedule of Investments.

Centrally cleared OTC swaps require a fund to deposit either cash or securities (initial margin) with the FCM, at the instruction of and for the benefit of the clearinghouse. Securities deposited to meet initial margin requirements are identified in the Schedule of Investments. Centrally cleared OTC swaps are marked-to-market daily and subsequent payments (variation margin) are made or received depending on the daily fluctuations in the value of the swaps and are recorded as unrealized appreciation or (depreciation). These daily payments, if any, are included in receivable or payable for daily variation margin for derivative instruments in the Statement of Assets and Liabilities. Any premiums for centrally cleared OTC swaps are recorded periodically throughout the term of the swap to variation margin and included in unrealized appreciation (depreciation) in the Statement of Assets and Liabilities. Any premiums are recognized as realized gain (loss) upon termination or maturity of the swap.

For both bi-lateral and centrally cleared OTC swaps, payments are exchanged at specified intervals, accrued daily commencing with the effective date of the contract and recorded as realized gain or (loss). Realized gain or (loss) is also recorded in the event of an early termination of a swap. The net realized gain (loss) and change in net unrealized appreciation (depreciation) on swaps during the period is included in the Statement of Operations.

Any open swaps at period end are included in the Schedule of Investments under the caption "Swaps."

Credit Default Swaps. Credit default swaps enable the Fund to buy or sell protection against specified credit events on a single-name issuer or a traded credit index. Under the terms of a credit default swap the buyer of protection (buyer) receives credit protection in exchange for making periodic payments to the seller of protection (seller) based on a fixed percentage applied to a notional principal amount. In return for these payments, the seller will be required to make a payment upon the occurrence of one or more specified credit events. The Fund enters into credit default swaps as a seller to gain credit exposure to an issuer and/or as a buyer to obtain a measure of protection against defaults of an issuer. Periodic payments are made over the life of the contract by the buyer provided that no credit event occurs.

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4. Derivative Instruments - continued

Credit Default Swaps - continued

For credit default swaps on most corporate and sovereign issuers, credit events include bankruptcy, failure to pay or repudiation/moratorium. For credit default swaps on corporate or sovereign issuers, the obligation that may be put to the seller is not limited to the specific reference obligation described in the Schedule of Investments. For credit default swaps on asset-backed securities, a credit event may be triggered by events such as failure to pay principal, maturity extension, rating downgrade or write-down. For credit default swaps on asset-backed securities, the reference obligation described represents the security that may be put to the seller. For credit default swaps on a traded credit index, a specified credit event may affect all or individual underlying securities included in the index.

As a seller, if an underlying credit event occurs, the Fund will pay a net settlement amount of cash equal to the notional amount of the swap less the recovery value of the reference obligation or underlying securities comprising an index. Only in the event of the industry's inability to value the underlying asset will the Fund be required to take delivery of the reference obligation or underlying securities comprising an index and pay an amount equal to the notional amount of the swap.

As a buyer, if an underlying credit event occurs, the Fund will receive a net settlement amount of cash equal to the notional amount of the swap less the recovery value of the reference obligation or underlying securities comprising an index. Only in the event of the industry's inability to value the underlying asset will the Fund be required to deliver the reference obligation or underlying securities comprising an index in exchange for payment of an amount equal to the notional amount of the swap.

Typically, the value of each credit default swap and credit rating disclosed for each reference obligation in the Schedule of Investments, where the Fund is the seller, can be used as measures of the current payment/performance risk of the swap. As the value of the swap changes as a positive or negative percentage of the total notional amount, the payment/performance risk may decrease or increase, respectively. In addition to these measures, FMR monitors a variety of factors including cash flow assumptions, market activity and market sentiment as part of its ongoing process of assessing payment/performance risk.

5. Purchases and Sales of Investments.

Purchases and sales of securities (including the Fixed-Income Central Funds), other than short-term securities and U.S. government securities, aggregated $168,384,875 and $169,873,466, respectively.

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Notes to Financial Statements - continued

6. Fees and Other Transactions with Affiliates.

Management Fee. FMR and its affiliates provide the Fund with investment management related services for which the Fund pays a monthly management fee. The management fee is the sum of an individual fund fee rate that is based on an annual rate of .45% of the Fund's average net assets and an annualized group fee rate that averaged .11% during the period. The group fee rate is based upon the average net assets of all the mutual funds advised by FMR. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the period, the total annualized management fee rate was .57% of the Fund's average net assets.

Distribution and Service Plan Fees. In accordance with Rule 12b-1 of the 1940 Act, the Fund has adopted separate Distribution and Service Plans for each class of shares. Certain classes pay Fidelity Distributors Corporation (FDC), an affiliate of FMR, separate Distribution and Service Fees, each of which is based on an annual percentage of each class' average net assets. In addition, FDC may pay financial intermediaries for selling shares of the Fund and providing shareholder support services. For the period, the Distribution and Service Fee rates, total fees and amounts retained by FDC were as follows:

	Distribution Fee	Service Fee	Total Fees	Retained by FDC
Class A	-%	.25%	$ 4,209	$ 3,155
Class T	-%	.25%	3,475	3,145
Class C	.75%	.25%	16,488	14,187
			$ 24,172	$ 20,487

Sales Load. FDC may receive a front-end sales charge of up to 4.00% for selling Class A shares and Class T shares, some of which is paid to financial intermediaries for selling shares of the Fund. Depending on the holding period, FDC may receive contingent deferred sales charges levied on Class A, Class T and Class C redemptions. The deferred sales charges range from 1.00% for Class C shares, .75% for certain purchases of Class A shares and .25% for certain purchases of Class T shares.

For the period, sales charge amounts retained by FDC were as follows:

	Retained by FDC
Class A	$ 798
Class T	192
Class C*	37
	$ 1,027

* When Class C shares are initially sold, FDC pays commissions from its own resources to financial intermediaries through which the sales are made.

Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of FMR, is the transfer, dividend disbursing and shareholder

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Transfer Agent Fees - continued

servicing agent for each class of the Fund. FIIOC receives account fees and asset-based fees that vary according to the account size and type of account of the shareholders of the respective classes of the Fund. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements. For the period, transfer agent fees for each class were as follows:

	Amount	% of Average Net Assets*
Class A	$ 3,037	.18
Class T	2,405	.17
Class C	3,298	.20
Global Bond	79,059	.11
Institutional Class	2,039	.16
	$ 89,838

* Annualized

Accounting Fees. Fidelity Service Company, Inc. (FSC), an affiliate of FMR, maintains the Fund's accounting records. The fee is based on the level of average net assets for each month.

Interfund Lending Program. Pursuant to an Exemptive Order issued by the SEC, the Fund, along with other registered investment companies having management contracts with FMR, may participate in an interfund lending program. This program provides an alternative credit facility allowing the funds to borrow from, or lend money to, other participating affiliated funds. At period end, there were no interfund loans outstanding. The Fund's activity in this program during the period for which loans were outstanding was as follows:

Borrower or Lender	Average Loan Balance	Weighted Average Interest Rate	Interest Expense
Borrower	$ 10,100,333	.33%	$ 278

7. Committed Line of Credit.

The Fund participates with other funds managed by FMR or an affiliate in a $4.25 billion credit facility (the "line of credit") to be utilized for temporary or emergency purposes to fund shareholder redemptions or for other short-term liquidity purposes. The Fund has agreed to pay commitment fees on its pro-rata portion of the line of credit, which amounted to $26 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, there were no borrowings on this line of credit.

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Notes to Financial Statements - continued

8. Expense Reductions.

FMR contractually agreed to reimburse each class to the extent annual operating expenses exceeded certain levels of average net assets as noted in the table below. This reimbursement will remain in place through February 28, 2014. Some expenses, for example interest expense, including commitment fees, are excluded from this reimbursement.

The following classes were in reimbursement during the period:

	Expense Limitations	Reimbursement
Class A	1.00%	$ 5,269
Class T	1.00%	4,235
Class C	1.75%	5,459
Global Bond	.75%	178,977
Institutional Class	.75%	3,762
		$ 197,702

In addition, through arrangements with the Fund's custodian, credits realized as a result of uninvested U.S. dollar cash balances were used to reduce the Fund's expenses. During the period, these credits reduced the Fund's custody expenses by $228.

9. Distributions to Shareholders.

Distributions to shareholders of each class were as follows:

	Six months ended June 30, 2013	Year ended December 31, 2012 ^A
From net investment income
Class A	$ 27,692	$ 21,150
Class T	22,117	20,008
Class C	16,663	8,851
Global Bond	1,057,848	419,249
Institutional Class	23,578	23,592
Total	$ 1,147,898	$ 492,850
From net realized gain
Class A	$ 631	$ 22,231
Class T	549	19,979
Class C	613	22,156
Global Bond	40,057	352,134
Institutional Class	510	19,371
Total	$ 42,360	$ 435,871

^A For the period May 22, 2012 (commencement of operations) to December 31, 2012.

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10. Share Transactions.

Transactions for each class of shares were as follows:

	Shares		Dollars
	Six months ended June 30, 2013	Year ended December 31, 2012 ^A	Six months ended June 30, 2013	Year ended December 31, 2012 ^A
Class A
Shares sold	92,260	297,699	$ 913,260	$ 2,987,457
Reinvestment of distributions	2,762	4,252	27,301	43,238
Shares redeemed	(4,735)	(1,991)	(46,978)	(20,238)
Net increase (decrease)	90,287	299,960	$ 893,583	$ 3,010,457
Class T
Shares sold	21,502	267,172	$ 211,950	$ 2,674,873
Reinvestment of distributions	2,293	3,932	22,666	39,987
Shares redeemed	(1,008)	(146)	(10,049)	(1,500)
Net increase (decrease)	22,787	270,958	$ 224,567	$ 2,713,360
Class C
Shares sold	77,707	292,516	$ 772,215	$ 2,934,597
Reinvestment of distributions	1,726	3,052	17,027	31,007
Shares redeemed	(5,671)	(158)	(56,472)	(1,612)
Net increase (decrease)	73,762	295,410	$ 732,770	$ 2,963,992
Global Bond
Shares sold	7,904,762	15,449,560	$ 79,400,192	$ 156,144,834
Reinvestment of distributions	105,911	75,497	1,051,317	768,036
Shares redeemed	(17,928,869)	(190,435)	(176,791,823)	(1,944,936)
Net increase (decrease)	(9,918,196)	15,334,622	$ (96,340,314)	$ 154,967,934
Institutional Class
Shares sold	17,166	250,316	$ 170,112	$ 2,503,244
Reinvestment of distributions	2,427	4,223	24,017	42,963
Shares redeemed	(1,003)	-	(9,884)	-
Net increase (decrease)	18,590	254,539	$ 184,245	$ 2,546,207

^A For the period May 22, 2012 (commencement of operations) to December 31, 2012.

11. Other.

The Fund's organizational documents provide former and current trustees and officers with a limited indemnification against liabilities arising in connection with the performance of their duties to the Fund. In the normal course of business, the Fund may also enter into contracts that provide general indemnifications. The Fund's maximum exposure under these arrangements is unknown as this would be dependent on future

Semiannual Report

Notes to Financial Statements - continued

11. Other - continued

claims that may be made against the Fund. The risk of material loss from such claims is considered remote.

At the end of the period, FMR or its affiliates were the owners of record of 61% of the total outstanding shares of the Fund.

12. Risks of Investing in European Countries.

The recent global financial crisis has created uncertainty surrounding the sovereign debt of many European countries. If there is a default or debt restructuring by any European country, or if one or more countries leave the European Monetary Union or the European Monetary Union dissolves, there may be wide-ranging effects on global markets. Such events could significantly affect the value or liquidity of the Fund's investments in the region or with exposure to the region.

Semiannual Report

Report of Independent Registered Public Accounting Firm

To the Trustees of Fidelity School Street Trust and the Shareholders of Fidelity Global Bond Fund:

In our opinion, the accompanying statement of assets and liabilities, including the schedule of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Fidelity Global Bond Fund (a fund of Fidelity School Street Trust) at June 30, 2013, the results of its operations, the changes in its net assets and the financial highlights for each of the periods indicated, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as "financial statements") are the responsibility of the Fidelity Global Bond Fund's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at June 30, 2013 by correspondence with the custodian, brokers and agent banks, provide a reasonable basis for our opinion.

PricewaterhouseCoopers LLP

Boston, Massachusetts

August 21, 2013

Semiannual Report

Investment Adviser

Fidelity Management & Research Company
Boston, MA

Investment Sub-Advisers

FMR Co., Inc.

Fidelity Investments Money
Management, Inc.

Fidelity Management & Research
(U.K.) Inc.

Fidelity Management & Research
(Hong Kong) Limited

Fidelity Management & Research
(Japan) Inc.

General Distributor

Fidelity Distributors Corporation

Smithfield, RI

Transfer and Service Agents

Fidelity Investments Institutional Operations Company, Inc.

Boston, MA

Fidelity Service Company, Inc.

Boston, MA

Custodian

JPMorgan Chase Bank

New York, NY

(Fidelity Investment logo)(registered trademark)

AGLB-USAN-0813
1.939041.101

(Fidelity Investment logo)(registered trademark)
Fidelity Advisor®

Global Bond

Fund - Institutional Class

Semiannual Report

June 30, 2013

(Fidelity Cover Art)

Institutional Class is a
class of Fidelity® Global
Bond Fund

Shareholder Expense Example	(Click Here)	An example of shareholder expenses.
Investment Changes	(Click Here)	A summary of major shifts in the fund's investments over the past six months.
Investments	(Click Here)	A complete list of the fund's investments with their market values.
Financial Statements	(Click Here)	Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights.
Notes	(Click Here)	Notes to the financial statements.
Report of Independent Registered Public Accounting Firm	(Click Here)

Standard & Poor's, S&P and S&P 500 are registered service marks of The McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity Distributors Corporation.

Other third-party marks appearing herein are the property of their respective owners.

A fund files its complete schedule of portfolio holdings with the SEC for the first and third quarters of each fiscal year on Form N-Q. Forms N-Q are available on the SEC's web site at http://www.sec.gov. A fund's Forms N-Q may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. Information regarding the operation of the SEC's Public Reference Room may be obtained by calling 1-800-SEC-0330. For a complete list of a fund's portfolio holdings, view the most recent holdings listing, semiannual report, or annual report on Fidelity's web site at http://www.fidelity.com, http://www.advisor.fidelity.com, or http://www.401k.com, as applicable.

NOT FDIC INSURED • MAY LOSE VALUE • NO BANK GUARANTEE

Neither the fund nor Fidelity Distributors Corporation is a bank.

Semiannual Report

Shareholder Expense Example

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (January 1, 2013 to June 30, 2013).

Actual Expenses

Hypothetical Example for Comparison Purposes

Semiannual Report

Shareholder Expense Example - continued

	Annualized Expense Ratio ^B	Beginning Account Value January 1, 2013	Ending Account Value June 30, 2013	Expenses Paid During Period* January 1, 2013 to June 30, 2013
Class A	1.00%
Actual		$ 1,000.00	$ 946.50	$ 4.83
Hypothetical^A		$ 1,000.00	$ 1,019.84	$ 5.01
Class T	1.00%
Actual		$ 1,000.00	$ 946.50	$ 4.83
Hypothetical^A		$ 1,000.00	$ 1,019.84	$ 5.01
Class C	1.75%
Actual		$ 1,000.00	$ 942.50	$ 8.43
Hypothetical^A		$ 1,000.00	$ 1,016.12	$ 8.75
Global Bond	.75%
Actual		$ 1,000.00	$ 947.40	$ 3.62
Hypothetical^A		$ 1,000.00	$ 1,021.08	$ 3.76
Institutional Class	.75%
Actual		$ 1,000.00	$ 947.40	$ 3.62
Hypothetical^A		$ 1,000.00	$ 1,021.08	$ 3.76

^A 5% return per year before expenses

^B Annualized expense ratio reflects expenses net of applicable fee waivers.

Semiannual Report

Investment Changes (Unaudited)

The information in the following tables is based on the combined investments of the Fund and its pro-rata share of the investments of Fidelity's fixed-income central funds.

Currency Exposure (% of fund's net assets)

	As of June 30, 2013	As of December 31, 2012
US Dollar	39.3%	43.4%
European Monetary Unit	26.6%	24.6%
Japanese Yen	11.8%	9.3%
Mexican Peso	4.2%	2.4%
British Pound	3.5%	4.9%
Other	14.6%	15.4%

Percentages are based on exposure to currencies and include the effect of foreign currency contracts, futures contracts, options and swaps, as applicable.

Geographic Diversification (% of fund's net assets)
As of June 30, 2013		As of December 31, 2012
	United States of America 34.3%		United States of America 72.7%
	United Kingdom 11.6%		United Kingdom 2.8%
	Mexico 10.8%		Mexico 2.9%
	France 7.7%		France 1.3%
	Sweden 5.3%		Sweden 1.0%
	Brazil 3.3%		Brazil 0.0%
	Singapore 3.2%		Singapore 1.5%
	Netherlands 3.2%		Netherlands 1.8%
	Australia 2.8%		Australia 4.1%
	Other 17.8%		Other 11.9%

sss1734327

Quality Diversification (% of fund's net assets)
As of June 30, 2013		As of December 31, 2012
	U.S. Government and U.S. Government Agency Obligations 12.1%		U.S. Government and U.S. Government Agency Obligations 18.0%
	AAA 15.5%		AAA 13.2%
	AA 18.9%		AA 4.5%
	A 6.1%		A 3.4%
	BBB 29.2%		BBB 10.5%
	BB and Below 9.4%		BB and Below 0.7%
	Not Rated 3.7%		Not Rated 2.4%
	Short-Term Investments and Net Other Assets 5.1%		Short-Term Investments and Net Other Assets 47.3%

sss1734345

Weighted Average Maturity as of June 30, 2013
		6 months ago
Years	8.1	7.5

Duration as of June 30, 2013
		6 months ago
Years	5.8	5.0

Asset Allocation (% of fund's net assets)
As of June 30, 2013*			As of December 31, 2012**
	Corporate Bonds 24.0%			Corporate Bonds 10.8%
	U.S. Government and U.S. Government Agency Obligations 12.1%			U.S. Government and U.S. Government Agency Obligations 18.0%
	CMOs and Other Mortgage Related Securities 4.6%			CMOs and Other Mortgage Related Securities 1.4%
	Municipal Bonds 0.2%			Municipal Bonds 0.1%
	Foreign Government and Government Agency Obligations 52.8%			Foreign Government and Government Agency Obligations 22.2%
	Other Investments 1.2%			Other Investments 0.2%
	Short-Term Investments and Net Other Assets (Liabilities) 5.1%			Short-Term Investments and Net Other Assets (Liabilities) 47.3%
* Futures and Swaps		(1.0)%	** Futures and Swaps		4.9%
* Foreign Currency Contracts		3.4%	** Foreign Currency Contracts		36.0%

sss1734361

Percentages in the above tables are adjusted for the effect of TBA Sale Commitments.

Semiannual Report

Investments June 30, 2013

Showing Percentage of Net Assets

Nonconvertible Bonds - 24.0%
		Principal Amount (b)		Value
Australia - 0.2%
FMG Resources (August 2006) Pty Ltd.:
6.375% 2/1/16 (d)		$ 70,000		$ 69,913
7% 11/1/15 (d)		75,000		75,750
TOTAL AUSTRALIA				145,663
Bermuda - 0.0%
Aircastle Ltd. 6.25% 12/1/19		5,000		5,194
NCL Corp. Ltd. 5% 2/15/18 (d)		20,000		19,800
TOTAL BERMUDA				24,994
Canada - 0.3%
Atlantic Power Corp. 9% 11/15/18		70,000		70,700
Precision Drilling Corp. 6.625% 11/15/20		20,000		20,700
Quebecor Media, Inc. 7.75% 3/15/16		15,000		15,225
Telesat Canada/Telesat LLC 6% 5/15/17 (d)		70,000		71,400
Tervita Corp.:
8% 11/15/18 (d)		5,000		5,025
9.75% 11/1/19 (d)		15,000		13,950
VPII Escrow Corp. 6.75% 8/15/18 (d)(f)		20,000		20,525
TOTAL CANADA				217,525
Cayman Islands - 1.7%
MCE Finance Ltd. 5% 2/15/21 (d)		20,000		18,600
Offshore Group Investment Ltd.:
7.125% 4/1/23 (d)		10,000		9,775
7.5% 11/1/19		30,000		31,200
Petrobras International Finance Co. Ltd. 5.75% 1/20/20		67,000		69,705
Seagate HDD Cayman 4.75% 6/1/23 (d)		25,000		23,313
Thames Water Utilities Cayman Finance Ltd. 5.375% 7/21/25 (j)	GBP	195,000		322,630
UPCB Finance III Ltd. 6.625% 7/1/20 (d)		150,000		155,250
Yorkshire Water Services Finance Ltd.:
6% 4/24/25 (j)	GBP	200,000		342,221
6.375% 8/19/39	GBP	50,000		94,038
TOTAL CAYMAN ISLANDS				1,066,732
Czech Republic - 0.4%
Ceske Energeticke Zavody A/S 4.25% 4/3/22 (d)		250,000		248,075
Finland - 0.4%
Citycon Oyj 3.75% 6/24/20 (Reg. S)	EUR	220,000		281,402
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
France - 0.6%
EDF SA 5.375% 12/31/49 (j)	EUR	200,000		$ 265,620
Veolia Environnement SA 4.45% (e)(j)	EUR	100,000		125,575
TOTAL FRANCE				391,195
Germany - 0.3%
Unitymedia Hessen GmbH & Co. KG/Unitymedia NRW GmbH 5.625% 4/15/23 (Reg. S)	EUR	150,000		187,918
Ireland - 0.3%
Ardagh Packaging Finance PLC/Ardagh MP Holdings U.S.A., Inc. 7% 11/15/20 (d)		215,000		206,400
Liberia - 0.1%
Royal Caribbean Cruises Ltd.:
5.25% 11/15/22		30,000		29,250
7.5% 10/15/27		40,000		43,400
TOTAL LIBERIA				72,650
Luxembourg - 0.6%
Intelsat Jackson Holdings SA:
5.5% 8/1/23 (d)		10,000		9,375
6.625% 12/15/22 (d)		75,000		72,563
6.625% 12/15/22 (d)		10,000		9,700
7.25% 4/1/19		20,000		20,800
Intelsat Luxembourg SA:
7.75% 6/1/21 (d)		40,000		40,400
8.125% 6/1/23 (d)		20,000		20,650
Trinseo Materials Operating SCA/Trinseo Materials Finance, Inc. 8.75% 2/1/19 (d)		20,000		19,200
Wind Acquisition Finance SA 7.375% 2/15/18	EUR	150,000		196,956
TOTAL LUXEMBOURG				389,644
Mexico - 0.7%
Petroleos Mexicanos:
5.5% 6/27/44		133,000		120,033
6.5% 6/2/41		333,000		343,823
TOTAL MEXICO				463,856
Netherlands - 0.3%
NXP BV/NXP Funding LLC:
3.75% 6/1/18 (d)		80,000		78,400
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
Netherlands - continued
NXP BV/NXP Funding LLC: - continued
5.75% 2/15/21 (d)		$ 5,000		$ 5,063
Petrobras Global Finance BV 5.625% 5/20/43		87,000		75,512
TOTAL NETHERLANDS				158,975
Norway - 0.2%
DnB Boligkreditt A/S 1.875% 6/18/19	EUR	50,000		66,006
Petroleum Geo-Services ASA 7.375% 12/15/18 (d)		30,000		32,625
TOTAL NORWAY				98,631
Singapore - 0.0%
Flextronics International Ltd. 4.625% 2/15/20 (d)		5,000		4,850
United Kingdom - 5.6%
Anglian Water PLC 6.625% 1/15/29 (c)	GBP	100,000		192,142
Eastern Power Networks PLC 5.75% 3/8/24	GBP	85,000		147,497
ENW Finance PLC 6.125% 7/21/21	GBP	200,000		355,312
Great Rolling Stock Co. Ltd. 6.25% 7/27/20	GBP	250,000		438,410
HSBC Bank PLC 6.5% 7/7/23 (Reg. S)	GBP	150,000		263,789
Imperial Tobacco Finance 9% 2/17/22	GBP	155,000		318,432
INEOS Finance PLC 8.375% 2/15/19 (d)		5,000		5,463
InterContinental Hotel Group PLC:
3.875% 11/28/22	GBP	135,000		203,201
6% 12/9/16	GBP	100,000		171,410
Marks & Spencer PLC 4.75% 6/12/25	GBP	125,000		180,331
National Grid Electricity Transmission PLC 4% 6/8/27	GBP	100,000		148,492
Nationwide Building Society 6.75% 7/22/20	EUR	165,000		231,621
Porterbrook Rail Finance Ltd. 5.5% 4/20/19	GBP	290,000		487,844
Scottish Widows PLC 5.5% 6/16/23	GBP	125,000		181,972
Severn Trent Utilities Finance PLC 3.625% 1/16/26	GBP	100,000		146,644
Western Power Distribution South Wales PLC 5.75% 3/23/40	GBP	50,000		85,698
TOTAL UNITED KINGDOM				3,558,258
United States of America - 12.3%
Alpha Natural Resources, Inc.:
6% 6/1/19		15,000		12,225
6.25% 6/1/21		5,000		3,988
AMC Networks, Inc. 4.75% 12/15/22		10,000		9,650
American Axle & Manufacturing, Inc. 6.25% 3/15/21		30,000		30,375
Ameristar Casinos, Inc. 7.5% 4/15/21		30,000		31,350
Amgen, Inc. 5.375% 5/15/43		133,000		137,704
Anadarko Petroleum Corp. 6.375% 9/15/17		80,000		91,970
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
United States of America - continued
Antero Resources Finance Corp.:
6% 12/1/20		$ 5,000		$ 4,900
9.375% 12/1/17		20,000		21,300
Aon Corp. 5% 9/30/20		67,000		73,441
APX Group, Inc. 8.75% 12/1/20 (d)		15,000		14,288
ARAMARK Corp. 5.75% 3/15/20 (d)		10,000		10,225
Ashland, Inc.:
3% 3/15/16 (d)		5,000		5,025
3.875% 4/15/18 (d)		10,000		9,825
Audatex North America, Inc. 6% 6/15/21 (d)		15,000		15,038
Axiall Corp. 4.875% 5/15/23 (d)		10,000		9,500
Ball Corp. 4% 11/15/23		45,000		41,625
Bank of America Corp. 5.7% 1/24/22		75,000		83,211
Brandywine Operating Partnership LP 3.95% 2/15/23		183,000		171,982
Brocade Communications Systems, Inc. 4.625% 1/15/23 (d)		25,000		23,438
Building Materials Corp. of America:
6.75% 5/1/21 (d)		66,000		70,125
6.875% 8/15/18 (d)		60,000		63,300
CB Richard Ellis Services, Inc.:
5% 3/15/23		10,000		9,450
6.625% 10/15/20		20,000		21,100
CCO Holdings LLC/CCO Holdings Capital Corp.:
5.75% 1/15/24		5,000		4,825
6.625% 1/31/22		75,000		78,563
7% 1/15/19		20,000		21,150
7.25% 10/30/17		20,000		21,225
Cequel Communications Escrow 1 LLC/Cequel Communications Escrow Capital Corp. 6.375% 9/15/20 (d)		5,000		5,088
Ceridian Corp. 11.25% 11/15/15		20,000		20,275
Chesapeake Energy Corp.:
5.375% 6/15/21		10,000		9,950
5.75% 3/15/23		10,000		10,125
6.125% 2/15/21		30,000		31,500
6.875% 11/15/20		75,000		81,375
Chrysler Group LLC/CG Co-Issuer, Inc.:
8% 6/15/19		5,000		5,456
8.25% 6/15/21		65,000		71,825
CIT Group, Inc.:
5% 8/15/22		20,000		19,850
5.375% 5/15/20		20,000		20,475
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
United States of America - continued
CIT Group, Inc.: - continued
5.5% 2/15/19 (d)		$ 70,000		$ 72,275
Claire's Stores, Inc. 9% 3/15/19 (d)		5,000		5,488
Clean Harbors, Inc.:
5.125% 6/1/21		5,000		5,038
5.25% 8/1/20		15,000		15,225
Clear Channel Worldwide Holdings, Inc. 6.5% 11/15/22 (d)		5,000		5,125
Comcast Corp. 4.65% 7/15/42		115,000		110,399
CONSOL Energy, Inc. 8% 4/1/17		5,000		5,263
Continental Airlines, Inc. 6.75% 9/15/15 (d)		75,000		76,500
Continental Resources, Inc. 4.5% 4/15/23 (d)		15,000		14,550
Covanta Holding Corp. 7.25% 12/1/20		95,000		99,616
Crown Americas LLC/Crown Americas Capital Corp. IV 4.5% 1/15/23 (d)		10,000		9,425
CST Brands, Inc. 5% 5/1/23 (d)		5,000		4,863
D.R. Horton, Inc. 4.375% 9/15/22		5,000		4,750
Dana Holding Corp. 6.5% 2/15/19		15,000		15,825
DCP Midstream LLC 4.75% 9/30/21 (d)		153,000		155,751
Delta Air Lines, Inc. pass-thru trust certificates 8.021% 8/10/22		9,210		10,062
Denbury Resources, Inc. 4.625% 7/15/23		45,000		41,400
DigitalGlobe, Inc. 5.25% 2/1/21 (d)		60,000		57,450
Discover Financial Services 3.85% 11/21/22		213,000		199,911
DJO Finance LLC/DJO Finance Corp.:
8.75% 3/15/18		15,000		16,275
9.875% 4/15/18		5,000		5,225
Dolphin Subsidiary II, Inc. 7.25% 10/15/21		5,000		5,175
Duke Realty LP 6.5% 1/15/18		87,000		100,011
Eagle Spinco, Inc. 4.625% 2/15/21 (d)		5,000		4,788
Emergency Medical Services Corp. 8.125% 6/1/19		20,000		21,250
Energy Partners Ltd. 8.25% 2/15/18		5,000		5,150
Energy Transfer Equity LP 7.5% 10/15/20		20,000		21,850
Equity One, Inc. 3.75% 11/15/22		183,000		172,119
ERP Operating LP 4.625% 12/15/21		213,000		225,506
Everest Acquisition LLC/Everest Acquisition Finance, Inc. 9.375% 5/1/20		125,000		140,938
Exterran Holdings, Inc. 7.25% 12/1/18		10,000		10,538
Fifth Third Bancorp 8.25% 3/1/38		67,000		85,037
First Data Corp.:
6.75% 11/1/20 (d)		5,000		5,088
7.375% 6/15/19 (d)		10,000		10,275
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
United States of America - continued
First Data Corp.: - continued
12.625% 1/15/21		$ 15,000		$ 15,863
FirstEnergy Corp. 7.375% 11/15/31		340,000		358,823
Forest Oil Corp. 7.5% 9/15/20 (d)		10,000		9,500
FTI Consulting, Inc. 6.75% 10/1/20		15,000		15,750
GenCorp, Inc. 7.125% 3/15/21 (d)		5,000		5,175
General Motors Financial Co., Inc.:
2.75% 5/15/16 (d)		5,000		4,919
3.25% 5/15/18 (d)		5,000		4,863
4.25% 5/15/23 (d)		5,000		4,656
GenOn Energy, Inc. 9.5% 10/15/18		10,000		11,100
Hanesbrands, Inc. 6.375% 12/15/20		15,000		16,050
Hawk Acquisition Sub, Inc. 4.25% 10/15/20 (d)		35,000		33,425
HCA, Inc. 8% 10/1/18		10,000		11,488
HD Supply, Inc.:
7.5% 7/15/20 (d)		20,000		20,300
8.125% 4/15/19		10,000		10,950
10.5% 1/15/21		5,000		5,169
HealthSouth Corp.:
5.75% 11/1/24		15,000		14,588
7.25% 10/1/18		13,000		13,975
Hertz Corp. 6.75% 4/15/19		30,000		31,725
Hexion U.S. Finance Corp. 6.625% 4/15/20 (d)		15,000		14,925
Icahn Enterprises LP/Icahn Enterprises Finance Corp.:
7.75% 1/15/16		20,000		20,650
8% 1/15/18		120,000		126,000
International Lease Finance Corp.:
3.875% 4/15/18		5,000		4,700
8.25% 12/15/20		75,000		84,281
8.625% 9/15/15		15,000		16,425
8.625% 1/15/22		20,000		23,000
8.875% 9/1/17		50,000		56,375
J. Crew Group, Inc. 8.125% 3/1/19		5,000		5,250
JBS U.S.A. LLC/JBS U.S.A. Finance, Inc. 8.25% 2/1/20 (d)		45,000		47,138
JMC Steel Group, Inc. 8.25% 3/15/18 (d)		20,000		19,550
JPMorgan Chase & Co. 4.5% 1/24/22		100,000		104,657
Legend Acquisition Sub, Inc. 10.75% 8/15/20 (d)		15,000		12,075
Lennar Corp. 4.75% 12/15/17		60,000		60,000
Liberty Property LP:
3.375% 6/15/23		233,000		215,954
4.75% 10/1/20		67,000		70,516
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
United States of America - continued
LINN Energy LLC/LINN Energy Finance Corp.:
6.5% 5/15/19		$ 125,000		$ 120,938
8.625% 4/15/20		20,000		21,000
Lucent Technologies, Inc.:
6.45% 3/15/29		10,000		7,575
6.5% 1/15/28		5,000		3,750
Masco Corp. 5.85% 3/15/17		20,000		21,100
MasTec, Inc. 4.875% 3/15/23		10,000		9,500
MGM Mirage, Inc.:
6.75% 10/1/20		5,000		5,175
7.625% 1/15/17		20,000		21,800
Mirant Mid-Atlantic LLC 10.06% 12/30/28		97,429		108,147
NCR Corp. 4.625% 2/15/21		130,000		124,150
Netflix, Inc. 5.375% 2/1/21 (d)		10,000		9,900
NeuStar, Inc. 4.5% 1/15/23 (d)		20,000		18,900
Nielsen Finance LLC/Nielsen Finance Co.:
4.5% 10/1/20 (d)		5,000		4,800
7.75% 10/15/18		15,000		16,050
NII Capital Corp.:
7.625% 4/1/21		20,000		15,550
10% 8/15/16		10,000		9,700
NiSource Finance Corp.:
4.45% 12/1/21		100,000		103,209
5.25% 2/15/43		240,000		234,734
NRG Energy, Inc. 6.625% 3/15/23 (d)		20,000		19,900
NSG Holdings II, LLC 7.75% 12/15/25 (d)		100,000		103,500
Nuance Communications, Inc. 5.375% 8/15/20 (d)		35,000		34,563
Oil States International, Inc. 6.5% 6/1/19		25,000		25,875
Post Holdings, Inc. 7.375% 2/15/22		10,000		10,700
Prudential Financial, Inc. 4.5% 11/16/21		200,000		210,599
Puget Energy, Inc. 6.5% 12/15/20		20,000		22,400
Regions Financial Corp. 7.75% 11/10/14		80,000		86,446
Reynolds American, Inc. 3.25% 11/1/22		347,000		322,380
Reynolds Group Issuer, Inc./Reynolds Group Issuer LLC/Reynolds Group Issuer (Luxembourg) SA:
5.75% 10/15/20		80,000		79,800
8.5% 5/15/18 (c)		10,000		10,300
9.875% 8/15/19		15,000		16,050
Rite Aid Corp.:
9.25% 3/15/20		70,000		77,175
9.5% 6/15/17		20,000		20,725
Rockwood Specialties Group, Inc. 4.625% 10/15/20		5,000		5,013
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
United States of America - continued
Rosetta Resources, Inc. 5.625% 5/1/21		$ 20,000		$ 19,525
Sabra Health Care LP/Sabra Capital Corp. 8.125% 11/1/18		13,000		13,943
Samson Investment Co. 10% 2/15/20 (d)		20,000		20,950
Sanmina-SCI Corp. 7% 5/15/19 (d)		15,000		15,300
Sealed Air Corp.:
6.5% 12/1/20 (d)		5,000		5,275
8.125% 9/15/19 (d)		10,000		11,050
SemGroup Corp. 7.5% 6/15/21 (d)		40,000		40,600
Seminole Hard Rock Entertainment, Inc. 5.875% 5/15/21 (d)		15,000		14,475
Severstal Columbus LLC 10.25% 2/15/18		15,000		15,863
Sprint Nextel Corp.:
6% 12/1/16		20,000		21,138
7% 3/1/20 (d)		20,000		21,600
9% 11/15/18 (d)		25,000		29,250
Standard Pacific Corp.:
8.375% 1/15/21		30,000		34,200
10.75% 9/15/16		20,000		23,750
Starz LLC/Starz Finance Corp. 5% 9/15/19		15,000		14,775
Steel Dynamics, Inc.:
5.25% 4/15/23 (d)		20,000		19,700
6.125% 8/15/19 (d)		5,000		5,263
7.625% 3/15/20		30,000		31,950
Synovus Financial Corp.:
5.125% 6/15/17		10,000		9,825
7.875% 2/15/19		15,000		16,725
Targa Resources Partners LP/Targa Resources Partners Finance Corp.:
4.25% 11/15/23 (d)		10,000		9,000
5.25% 5/1/23 (d)		25,000		24,000
7.875% 10/15/18		15,000		15,975
Tenneco, Inc. 6.875% 12/15/20		15,000		16,050
The AES Corp.:
4.875% 5/15/23		10,000		9,300
7.375% 7/1/21		100,000		109,750
The Dow Chemical Co. 4.125% 11/15/21		120,000		122,654
Time Warner, Inc. 4.9% 6/15/42		167,000		159,063
Toll Brothers Finance Corp. 4.375% 4/15/23		15,000		13,950
TransDigm, Inc. 5.5% 10/15/20 (d)		20,000		18,900
TransUnion Holding Co., Inc. 8.125% 6/15/18 pay-in-kind (d)		30,000		31,763
Nonconvertible Bonds - continued
		Principal Amount (b)		Value
United States of America - continued
Triumph Group, Inc. 4.875% 4/1/21 (d)		$ 10,000		$ 9,950
Tronox Finance LLC 6.375% 8/15/20 (d)		15,000		14,138
TRW Automotive, Inc. 4.5% 3/1/21 (d)		50,000		49,875
Valeant Pharmaceuticals International:
6.5% 7/15/16 (d)		5,000		5,150
6.875% 12/1/18 (d)		10,000		10,250
VPI Escrow Corp. 6.375% 10/15/20 (d)		120,000		118,500
Walter Energy, Inc. 8.5% 4/15/21 (d)		10,000		7,950
WellPoint, Inc.:
3.3% 1/15/23		183,000		174,103
4.625% 5/15/42		73,000		67,787
Western Refining, Inc. 6.25% 4/1/21 (d)		10,000		9,775
WideOpenWest Finance LLC/WideOpenWest Capital Corp. 10.25% 7/15/19		20,000		21,250
Wynn Las Vegas LLC/Wynn Las Vegas Capital Corp.:
4.25% 5/30/23 (d)		10,000		9,200
5.375% 3/15/22		10,000		10,200
TOTAL UNITED STATES OF AMERICA				7,899,767
TOTAL NONCONVERTIBLE BONDS (Cost $16,190,883)			15,416,535
Commercial Mortgage Securities - 4.6%

United States of America - 4.6%
GE Capital Commercial Mortgage Corp. sequential payer Series 2007-C1 Class A4, 5.543% 12/10/49		310,000		343,829
LB-UBS Commercial Mortgage Trust sequential payer Series 2007-C1 Class A4, 5.424% 2/15/40		750,000		833,334
Wachovia Bank Commercial Mortgage Trust sequential payer:
Series 2007-C30 Class A5, 5.342% 12/15/43		500,000		553,589
Series 2007-C32 Class A3, 5.7359% 6/15/49 (j)		225,000		251,660
Series 2007-C33 Class A4, 5.9241% 2/15/51 (j)		900,000		1,001,188
TOTAL COMMERCIAL MORTGAGE SECURITIES (Cost $3,035,274)			2,983,600
U.S. Government and Government Agency Obligations - 5.5%
		Principal Amount (b)		Value
U.S. Treasury Obligations - 5.5%
U.S. Treasury Bonds:
2.875% 5/15/43		$ 362,000		$ 320,823
3.5% 2/15/39		770,000		783,355
U.S. Treasury Notes:
1.5% 7/31/16 (g)(h)		1,950,000		1,995,856
2.375% 2/28/15 (i)		420,000		434,470
TOTAL U.S. GOVERNMENT AND GOVERNMENT AGENCY OBLIGATIONS (Cost $3,642,372)			3,534,504
Foreign Government and Government Agency Obligations - 52.8%

Australia - 2.6%
Australian Commonwealth:
5.5% 4/21/23	AUD	1,526,000		1,592,509
5.75% 7/15/22	AUD	58,000		61,287
TOTAL AUSTRALIA				1,653,796
Belgium - 0.8%
Belgian Kingdom 2.25% 6/22/23	EUR	410,000		514,630
Brazil - 3.3%
Brazilian Federative Republic:
Series F, 10% 1/1/19	BRL	1,500,000		648,038
2.625% 1/5/23		960,000		835,200
10% 1/1/23	BRL	1,500,000		635,354
TOTAL BRAZIL				2,118,592
Canada - 2.1%
Canadian Government:
1.5% 3/1/17	CAD	330,000		312,899
2.75% 6/1/22	CAD	616,000		603,981
4% 6/1/41	CAD	118,000		135,733
Ontario Province 4.65% 6/2/41	CAD	110,000		117,113
Province of Quebec 4.25% 12/1/21	CAD	190,000		195,389
TOTAL CANADA				1,365,115
Chile - 0.7%
Chilean Republic 2.25% 10/30/22		500,000		451,200
France - 7.1%
French Government:
OAT 5.5% 4/25/29	EUR	80,000		137,850
Foreign Government and Government Agency Obligations - continued
		Principal Amount (b)		Value
France - continued
French Government: - continued
0.25% 11/25/15	EUR	580,000		$ 750,697
1% 5/25/18	EUR	1,880,000		2,422,616
1% 11/25/18	EUR	950,000		1,214,235
TOTAL FRANCE				4,525,398
Germany - 1.8%
German Federal Republic:
1.5% 5/15/23	EUR	250,000		318,586
2.5% 1/4/21	EUR	200,000		284,072
3.5% 7/4/19	EUR	350,000		523,299
TOTAL GERMANY				1,125,957
Ireland - 0.5%
Irish Republic 4.5% 4/18/20	EUR	250,000		339,736
Italy - 2.2%
Buoni Poliennali Del Tes 3.5% 6/1/18	EUR	1,100,000		1,435,245
Japan - 2.8%
Japan Government:
1% 9/20/20	JPY	115,000,000		1,191,086
1.6% 3/20/33	JPY	25,700,000		254,689
Japan Government Thirty Year B 1.8% 3/20/43	JPY	31,450,000		314,338
TOTAL JAPAN				1,760,113
Korea (South) - 1.0%
Korean Republic 3% 3/10/23	KRW	780,000,000		660,683
Mexico - 10.1%
United Mexican States:
6.5% 6/10/21	MXN	6,720,000		546,834
6.5% 6/9/22	MXN	13,390,000		1,086,179
7.5% 6/3/27	MXN	7,140,000		617,152
7.75% 12/14/17	MXN	7,490,000		637,391
7.75% 11/13/42	MXN	3,600,000		299,228
8% 12/17/15	MXN	39,680,000		3,311,523
TOTAL MEXICO				6,498,307
Netherlands - 2.9%
Dutch Government (Reg.S) 1.75% 7/15/23	EUR	1,500,000		1,886,969
Foreign Government and Government Agency Obligations - continued
		Principal Amount (b)		Value
Singapore - 3.2%
Republic of Singapore:
3% 9/1/24	SGD	1,675,000		$ 1,370,622
3.25% 9/1/20	SGD	790,000		673,175
TOTAL SINGAPORE				2,043,797
South Africa - 1.1%
South African Republic:
6.25% 3/31/36	ZAR	1,800,000		139,471
10.5% 12/21/26	ZAR	4,830,000		593,181
TOTAL SOUTH AFRICA				732,652
Sweden - 4.7%
Swedish Kingdom:
3.5% 6/1/22	SEK	4,115,000		682,901
3.75% 8/12/17	SEK	14,420,000		2,346,292
TOTAL SWEDEN				3,029,193
United Kingdom - 5.9%
United Kingdom, Great Britain and Northern Ireland:
1.75% 1/22/17	GBP	200,000		312,917
3.75% 9/7/20	GBP	1,070,000		1,822,531
5% 3/7/18	GBP	820,000		1,458,613
5% 3/7/25	GBP	85,000		159,308
TOTAL UNITED KINGDOM				3,753,369
TOTAL FOREIGN GOVERNMENT AND GOVERNMENT AGENCY OBLIGATIONS (Cost $35,046,718)			33,894,752
Municipal Securities - 0.2%

United States of America - 0.2%
California Gen. Oblig. 7.5% 4/1/34 (Cost $125,519)		100,000		129,628
Floating Rate Loans - 0.1%
		Principal Amount (b)		Value
United States of America - 0.1%
Chesapeake Energy Corp. Tranche B, term loan 5.75% 12/2/17 (j)		$ 20,000		$ 20,250
First Data Corp. term loan 4.193% 3/24/18 (j)		30,000		29,213
TOTAL FLOATING RATE LOANS (Cost $49,428)			49,463

Preferred Securities - 1.1%

Germany - 0.5%
RWE AG 4.625% (e)(j)	220,000		302,862
Sweden - 0.6%
Vattenfall Treasury AB 5.25% (e)(j)	295,000		403,297
TOTAL PREFERRED SECURITIES (Cost $715,839)		706,159
Fixed-Income Funds - 6.4%
	Shares
Fidelity Mortgage Backed Securities Central Fund (k) (Cost $4,225,274)	38,732		4,108,303
Money Market Funds - 4.4%

Fidelity Cash Central Fund, 0.13% (a) (Cost $2,796,074)	2,796,074		2,796,074

Purchased Swaptions - 0.0%
	Expiration Date		Notional Amount (b)	Value
Put Options - 0.0%
Option on a credit default swap with Deutsche Bank AG to buy protection on the 5-Year iTraxx Europe Series 19 Index expiring June 2018 exercise rate 1.05%	7/17/13	EUR	1,450,000	$ 15,493
Option on a credit default swap with JPMorgan Chase Bank to buy protection on the CDX N.A. Investment Grade 5-Year Series 20 Index expiring June 2018 exercise rate .90%	8/21/13		1,500,000	5,636
TOTAL PURCHASED SWAPTIONS (Cost $7,534)				21,129

TOTAL INVESTMENT PORTFOLIO - 99.1%

(Cost $65,834,915)

63,640,147

NET OTHER ASSETS (LIABILITIES) - 0.9%

575,635

NET ASSETS - 100%

$ 64,215,782

Futures Contracts
	Expiration Date	Underlying Face Amount at Value	Unrealized Appreciation/ (Depreciation)
Purchased
Treasury Contracts
7 CBOT 10 Year U.S. Treasury Note Contracts	Sept. 2013	$ 885,938	$ 1,734
24 CBOT 5 Year U.S. Treasury Note Contracts	Sept. 2013	2,905,125	(32,486)
TOTAL PURCHASED		3,791,063	(30,752)
Sold
Bond Index Contracts
14 Euro-Bobl Index Contracts (Germany)	Sept. 2013	2,281,532	18,665
Futures Contracts - continued
	Expiration Date	Underlying Face Amount at Value	Unrealized Appreciation/ (Depreciation)
Sold - continued
Bond Index Contracts - continued
4 Euro-Bund Index Contracts (Germany)	Sept. 2013	$ 736,838	$ (3,076)
9 LIFFE Long Gilt Index Contracts (United Kingdom)	Sept. 2013	1,531,749	73,222
TOTAL BOND INDEX CONTRACTS		4,550,119	88,811
Treasury Contracts
1 CBOT Ultra Long Term U.S. Treasury Bond Contracts	Sept. 2013	147,313	4,276
TOTAL SOLD		4,697,432	93,087
		$ 8,488,495	$ 62,335

The face value of futures purchased as a percentage of net assets is 5.9%

The face value of futures sold as a percentage of net assets is 7.3%

Foreign Currency Contracts
Settlement Date	Currency	Counterparty	Type	Quantity	Contract Amount (b)	Unrealized Appreciation/ (Depreciation)
7/1/13	AUD	Deutsche Bank AG	Buy	690,138	$ 641,621	$ (10,456)
7/1/13	EUR	Deutsche Bank AG	Buy	1,415,000	1,842,330	(495)
7/1/13	GBP	JPMorgan Chase Bank	Sell	55,000	83,419	(233)
7/1/13	ZAR	Deutsche Bank AG	Buy	3,345,163	335,634	2,772
7/2/13	ZAR	JPMorgan Chase Bank	Buy	2,476,756	249,492	1,064
7/3/13	JPY	JPMorgan Chase Bank	Sell	18,923,532	190,502	(298)
9/12/13	AUD	Deutsche Bank AG	Sell	690,000	638,064	10,610
Foreign Currency Contracts - continued
Settlement Date	Currency	Counterparty	Type	Quantity	Contract Amount (b)	Unrealized Appreciation/ (Depreciation)
9/12/13	AUD	Morgan Stanley Capital Svc LLC	Buy	384,000	$ 366,837	$ (17,646)
9/12/13	AUD	Morgan Stanley Capital Svc LLC	Sell	99,000	91,025	999
9/12/13	BRL	Citibank NA	Sell	3,055,000	1,395,551	47,908
9/12/13	CAD	Goldman Sachs Bank USA	Sell	190,000	186,670	6,350
9/12/13	CAD	JPMorgan Chase Bank	Buy	27,000	25,550	75
9/12/13	CAD	Morgan Stanley Capital Svc LLC	Sell	98,000	93,256	248
9/12/13	CHF	Morgan Stanley Capital Svc LLC	Buy	738,000	799,731	(17,861)
9/12/13	CHF	Morgan Stanley Capital Svc LLC	Sell	69,000	73,923	822
9/12/13	CLP	Goldman Sachs Bank USA	Buy	413,872,000	831,486	(26,869)
9/12/13	CLP	Morgan Stanley Capital Svc LLC	Sell	52,200,000	101,290	(193)
9/12/13	CZK	JPMorgan Chase Bank	Sell	888,000	44,445	(4)
9/12/13	CZK	Morgan Stanley Capital Svc LLC	Buy	3,114,000	161,607	(5,734)
9/12/13	DKK	Morgan Stanley Capital Svc LLC	Buy	2,075,000	371,421	(8,994)
9/12/13	EUR	Barclays Bank PLC, London	Sell	94,000	123,424	1,027
Foreign Currency Contracts - continued
Settlement Date	Currency	Counterparty	Type	Quantity	Contract Amount (b)	Unrealized Appreciation/(Depreciation)
9/12/13	EUR	Barclays Bank PLC, London	Sell	108,000	$ 144,758	$ 4,131
9/12/13	EUR	Barclays Bank PLC, London	Sell	221,000	295,710	7,947
9/12/13	EUR	Barclays Bank PLC, London	Sell	347,000	452,420	592
9/12/13	EUR	Barclays Bank PLC, London	Sell	688,000	895,586	(256)
9/12/13	EUR	Credit Suisse Intl.	Sell	1,203,000	1,604,383	37,962
9/12/13	EUR	Deutsche Bank AG	Sell	1,415,000	1,842,904	439
9/12/13	EUR	Goldman Sachs Bank USA	Buy	7,352,000	9,812,420	(239,411)
9/12/13	EUR	Morgan Stanley Capital Svc LLC	Buy	165,000	216,338	(1,492)
9/12/13	EUR	Morgan Stanley Capital Svc LLC	Buy	439,000	576,643	(5,023)
9/12/13	EUR	Morgan Stanley Capital Svc LLC	Sell	96,000	125,779	778
9/12/13	GBP	Barclays Bank PLC, London	Buy	428,000	670,242	(19,611)
9/12/13	GBP	Citibank NA	Sell	3,878,000	6,088,266	193,063
9/12/13	GBP	Deutsche Bank AG	Sell	82,000	128,243	3,590
9/12/13	GBP	JPMorgan Chase Bank	Buy	41,000	62,156	171
9/12/13	GBP	Morgan Stanley Capital Svc LLC	Sell	430,000	664,651	10,980
9/12/13	HUF	JPMorgan Chase Bank	Buy	150,000,000	655,755	1,135
Foreign Currency Contracts - continued
Settlement Date	Currency	Counterparty	Type	Quantity	Contract Amount (b)	Unrealized Appreciation/(Depreciation)
9/12/13	HUF	Morgan Stanley Capital Svc LLC	Sell	150,000,000	$ 656,285	$ (606)
9/12/13	JPY	Barclays Bank PLC, London	Sell	10,850,000	111,084	1,648
9/12/13	JPY	Deutsche Bank AG	Sell	23,550,000	249,497	11,964
9/12/13	JPY	JPMorgan Chase Bank	Sell	12,450,000	125,372	(203)
9/12/13	JPY	Morgan Stanley Capital Svc LLC	Buy	27,600,000	282,962	(4,580)
9/12/13	JPY	Morgan Stanley Capital Svc LLC	Buy	614,550,000	6,488,724	(290,178)
9/12/13	JPY	Morgan Stanley Capital Svc LLC	Sell	16,700,000	170,999	2,558
9/12/13	KRW	Barclays Bank PLC, London	Buy	690,600,000	601,988	2,508
9/12/13	KRW	Credit Suisse Intl.	Sell	860,800,000	758,014	4,538
9/12/13	KRW	Goldman Sachs Bank USA	Buy	1,444,000,000	1,275,393	(11,431)
9/12/13	MXN	Barclays Bank PLC, London	Sell	1,731,000	134,018	1,351
9/12/13	MXN	Goldman Sachs Bank USA	Sell	52,577,000	4,115,520	85,909
9/12/13	MXN	JPMorgan Chase Bank	Buy	4,292,000	318,378	10,570
9/12/13	MYR	Citibank NA	Buy	4,164,000	1,323,081	(5,151)
9/12/13	MYR	Morgan Stanley Capital Svc LLC	Sell	362,000	113,154	(1,421)
Foreign Currency Contracts - continued
Settlement Date	Currency	Counterparty	Type	Quantity	Contract Amount (b)	Unrealized Appreciation/(Depreciation)
9/12/13	NOK	Goldman Sachs Bank USA	Buy	1,192,000	$ 207,652	$ (11,959)
9/12/13	NOK	JPMorgan Chase Bank	Sell	307,000	50,149	(252)
9/12/13	NZD	Citibank NA	Buy	270,000	216,899	(8,820)
9/12/13	NZD	JPMorgan Chase Bank	Sell	76,000	58,396	(175)
9/12/13	PLN	Deutsche Bank AG	Buy	1,871,000	561,404	(1,009)
9/12/13	PLN	Goldman Sachs Bank USA	Sell	1,516,000	477,241	23,174
9/12/13	PLN	Morgan Stanley Capital Svc LLC	Sell	1,100,000	334,571	5,103
9/12/13	SEK	Barclays Bank PLC, London	Sell	763,000	117,910	4,331
9/12/13	SEK	Goldman Sachs Bank USA	Sell	16,412,000	2,537,729	94,673
9/12/13	SEK	JPMorgan Chase Bank	Sell	257,000	38,015	(242)
9/12/13	SGD	Credit Suisse Intl.	Sell	374,000	298,129	3,017
9/12/13	SGD	Morgan Stanley Capital Svc LLC	Buy	141,000	111,298	(39)
9/12/13	SGD	Morgan Stanley Capital Svc LLC	Sell	2,051,000	1,635,481	17,101
9/12/13	THB	JPMorgan Chase Bank	Buy	31,200,000	1,011,489	(5,241)
9/12/13	ZAR	Credit Suisse Intl.	Sell	1,385,000	137,993	(550)
9/12/13	ZAR	Deutsche Bank AG	Sell	3,564,000	353,880	(2,630)
Foreign Currency Contracts - continued
Settlement Date	Currency	Counterparty	Type	Quantity	Contract Amount (b)	Unrealized Appreciation/(Depreciation)
9/12/13	ZAR	JPMorgan Chase Bank	Sell	2,477,000	$ 246,932	$ (845)
9/12/13	ZAR	Morgan Stanley Capital Svc LLC	Buy	2,598,000	260,393	(512)
						$ (99,312)

See accompanying notes which are an integral part of the financial statements.

Semiannual Report

Swaps
Credit Default Swaps
Underlying Reference	Rating (1)	Expiration Date	Clearinghouse/ Counterparty (4)	Fixed Payment Received/ (Paid)	Notional Amount (2)(3)		Value (1)	Upfront Premium Received/ (Paid)(5)	Unrealized Appreciation/ (Depreciation)
Buy Protection
BBVA Senior Finance SA		Sep. 2018	JPMorgan Chase Bank	(3%)	EUR	600,000	$ 3,833	$ (8,641)	$ (4,808)
CDX N.A. High Yield 5-Year Series 19 Index		Dec. 2017	Deutsche Bank AG	(5%)		1,100,000	(46,095)	44,702	(1,393)
Gas Natural Capital Markets SA		Mar. 2018	Deutsche Bank AG	(1%)	EUR	220,000	9,738	(21,093)	(11,355)
Kering SA		Dec. 2017	Credit Suisse Intl.	(1%)	EUR	100,000	(265)	(1,352)	(1,617)
Next PLC		Jun. 2018	Citibank NA	(1%)	EUR	350,000	(1,927)	(1,765)	(3,692)
Santander Intl Debt SA		Sep. 2018	JPMorgan Chase Bank	(3%)	EUR	600,000	(1,735)	(2,439)	(4,174)
Valeo SA		Jun. 2018	Citibank NA	(1%)	EUR	350,000	10,090	(14,180)	(4,090)
TOTAL BUY PROTECTION							(26,361)	(4,768)	(31,129)
Sell Protection
CDX N.A. High Yield 5-Year Series 20 Index	B3	Jun. 2018	CME	5%		2,500,000	9,375	0	9,375
TOTAL CREDIT DEFAULT SWAPS							$ (16,986)	$ (4,768)	$ (21,754)

(2) Notional amount is stated in U.S. dollars unless otherwise noted.

(4) Swaps with CME Group (CME) are centrally cleared over-the-counter (OTC) swaps.

(5) Any premiums for centrally cleared OTC swaps are recorded periodically throughout the term of the swap to variation margin and included in unrealized appreciation (depreciation).

Semiannual Report

See accompanying notes which are an integral part of the financial statements.

Currency Abbreviations
AUD	-	Australian dollar
BRL	-	Brazilian real
CAD	-	Canadian dollar
CHF	-	Swiss franc
CLP	-	Chilean peso
CZK	-	Czech koruna
DKK	-	Danish krone
EUR	-	European Monetary Unit
GBP	-	British pound
HUF	-	Hungarian forint
JPY	-	Japanese yen
KRW	-	Korean won
MXN	-	Mexican peso
MYR	-	Malyasian ringgit
NOK	-	Norwegian krone
NZD	-	New Zealand dollar
PLN	-	Polish zloty (new)
SEK	-	Swedish krona
SGD	-	Singapore dollar
THB	-	Thai baht
ZAR	-	South African rand