N-Q 1 main.htm

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

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number 811-3587

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

82 Devonshire St., Boston, Massachusetts 02109
 (Address of principal executive offices)       (Zip code)

Scott C. Goebel, Secretary

82 Devonshire St.

Boston, Massachusetts 02109
(Name and address of agent for service)

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

Date of fiscal year end:

November 30

 

 

Date of reporting period:

February 29, 2012

Item 1. Schedule of Investments

Quarterly Holdings Report

for

Fidelity Advisor® Convertible
Securities Fund
Class A
Class T
Class B
Class C
Institutional Class

February 29, 2012

Class A, Class T, Class B, Class C and
Institutional Class
are classes of Fidelity® Convertible
Securities Fund 

1.884072.103

ACVS-QTLY-0412

Investments February 29, 2012 (Unaudited)

Showing Percentage of Net Assets

Corporate Bonds - 65.3%

 

Principal Amount (000s)

Value (000s)

Convertible Bonds - 64.6%

CONSUMER DISCRETIONARY - 12.2%

Auto Components - 0.1%

BorgWarner, Inc. 3.5% 4/15/12

$ 910

$ 2,310

Automobiles - 4.8%

Ford Motor Co. 4.25% 11/15/16

66,000

103,825

Diversified Consumer Services - 1.1%

Ingersoll-Rand Global Holding Co. Ltd. 4.5% 4/15/12

5,490

12,318

Stewart Enterprises, Inc. 3.375% 7/15/16 (e)

11,000

10,691

 

23,009

Hotels, Restaurants & Leisure - 5.0%

MGM Mirage, Inc. 4.25% 4/15/15

102,300

109,589

Media - 1.2%

Virgin Media, Inc. 6.5% 11/15/16

8,000

12,520

XM Satellite Radio, Inc. 7% 12/1/14 (e)

10,000

14,731

 

27,251

TOTAL CONSUMER DISCRETIONARY

265,984

CONSUMER STAPLES - 1.9%

Beverages - 0.7%

Molson Coors Brewing Co. 2.5% 7/30/13

14,000

14,767

Food Products - 1.2%

Smithfield Foods, Inc. 4% 6/30/13

22,250

26,284

TOTAL CONSUMER STAPLES

41,051

ENERGY - 11.1%

Energy Equipment & Services - 0.7%

Hornbeck Offshore Services, Inc. 1.625% 11/15/26 (c)(e)

3,000

3,304

Oil States International, Inc. 2.375% 7/1/25 (e)

4,500

11,509

 

14,813

Oil, Gas & Consumable Fuels - 10.4%

Alpha Natural Resources, Inc. 2.375% 4/15/15

72,000

67,226

Peabody Energy Corp. 4.75% 12/15/66

67,250

67,502

Corporate Bonds - continued

 

Principal Amount (000s)

Value (000s)

Convertible Bonds - continued

ENERGY - continued

Oil, Gas & Consumable Fuels - continued

Pioneer Natural Resources Co. 2.875% 1/15/38

$ 20,000

$ 37,850

Western Refining, Inc. 5.75% 6/15/14

29,185

53,518

 

226,096

TOTAL ENERGY

240,909

FINANCIALS - 1.4%

Diversified Financial Services - 0.9%

The NASDAQ Stock Market, Inc. 2.5% 8/15/13

20,000

20,300

Insurance - 0.5%

Fidelity National Financial, Inc. 4.25% 8/15/18 (e)

10,000

10,269

TOTAL FINANCIALS

30,569

HEALTH CARE - 2.8%

Health Care Equipment & Supplies - 1.9%

Alere, Inc. 3% 5/15/16

31,000

30,574

SonoSite, Inc. 3.75% 7/15/14

7,000

10,290

 

40,864

Health Care Providers & Services - 0.3%

Omnicare, Inc.:

3.25% 12/15/35

2,086

2,008

3.75% 12/15/25

3,610

5,144

 

7,152

Life Sciences Tools & Services - 0.2%

Charles River Laboratories International, Inc. 2.25% 6/15/13 (e)

4,000

4,017

Pharmaceuticals - 0.4%

Akorn, Inc. 3.5% 6/1/16 (e)

5,000

7,991

TOTAL HEALTH CARE

60,024

INDUSTRIALS - 10.1%

Aerospace & Defense - 1.0%

GenCorp, Inc. 4.0625% 12/31/39

7,830

7,615

Textron, Inc. 4.5% 5/1/13

6,440

13,729

 

21,344

Corporate Bonds - continued

 

Principal Amount (000s)

Value (000s)

Convertible Bonds - continued

INDUSTRIALS - continued

Airlines - 2.7%

Continental Airlines, Inc. 4.5% 1/15/15

$ 9,280

$ 12,192

UAL Corp.:

4.5% 6/30/21 (e)

10,500

9,126

4.5% 6/30/21

5,000

4,346

6% 10/15/29

3,600

8,999

US Airways Group, Inc.:

7% 9/30/20 (e)

4,810

4,054

7.25% 5/15/14

11,200

19,722

 

58,439

Commercial Services & Supplies - 0.8%

Metalico, Inc. 7% 4/30/28

20,000

17,400

Construction & Engineering - 0.5%

MasTec, Inc. 4.25% 12/15/14

8,000

10,895

Electrical Equipment - 0.7%

General Cable Corp. 4.5% 11/15/29 (c)

14,800

16,188

Machinery - 3.0%

Greenbrier Companies, Inc.:

2.375% 5/15/26 (e)

5,500

5,370

2.375% 5/15/26

8,000

7,810

3.5% 4/1/18 (e)

2,860

2,946

Terex Corp. 4% 6/1/15

19,590

33,738

Trinity Industries, Inc. 3.875% 6/1/36

15,000

16,031

 

65,895

Marine - 0.5%

Excel Maritime Carriers Ltd. 1.875% 10/15/27 (e)

34,000

11,900

Road & Rail - 0.9%

Hertz Global Holdings, Inc. 5.25% 6/1/14

10,000

18,550

TOTAL INDUSTRIALS

220,611

INFORMATION TECHNOLOGY - 20.4%

Communications Equipment - 0.7%

JDS Uniphase Corp. 1% 5/15/26 (e)

14,000

14,000

Corporate Bonds - continued

 

Principal Amount (000s)

Value (000s)

Convertible Bonds - continued

INFORMATION TECHNOLOGY - continued

Computers & Peripherals - 2.2%

EMC Corp.:

1.75% 12/1/13 (e)

$ 17,000

$ 29,888

1.75% 12/1/13

10,000

17,581

 

47,469

Electronic Equipment & Components - 1.5%

Anixter International, Inc. 1% 2/15/13 (e)

4,540

5,562

SYNNEX Corp. 4% 5/15/18

10,000

14,575

Vishay Intertechnology, Inc.:

2.25% 11/15/40 (e)

7,000

7,359

2.25% 5/15/41 (e)

7,000

6,011

 

33,507

Internet Software & Services - 2.0%

Equinix, Inc.:

3% 10/15/14

10,000

13,671

4.75% 6/15/16

10,000

18,175

VeriSign, Inc. 3.25% 8/15/37

10,000

12,450

 

44,296

IT Services - 0.8%

CACI International, Inc. 2.125% 5/1/14

6,000

7,238

DST Systems, Inc. 4.125% 8/15/23 (c)

8,612

10,539

 

17,777

Semiconductors & Semiconductor Equipment - 9.9%

Advanced Micro Devices, Inc. 6% 5/1/15

11,916

12,408

Amkor Technology, Inc. 6% 4/15/14

8,890

20,299

Intel Corp. 3.25% 8/1/39

13,000

17,827

Micron Technology, Inc.:

1.5% 8/1/31 (e)

10,000

10,800

1.875% 8/1/31 (e)

30,000

32,813

4.25% 10/15/13

6,130

10,666

Novellus Systems, Inc. 2.625% 5/15/41 (e)

20,000

26,300

ON Semiconductor Corp.:

1.875% 12/15/25 (e)

3,750

5,070

1.875% 12/15/25

10,000

13,513

2.625% 12/15/26

5,818

6,669

2.625% 12/15/26

29,512

34,769

Corporate Bonds - continued

 

Principal Amount (000s)

Value (000s)

Convertible Bonds - continued

INFORMATION TECHNOLOGY - continued

Semiconductors & Semiconductor Equipment - continued

PMC-Sierra, Inc. 2.25% 10/15/25

$ 10,000

$ 10,150

Xilinx, Inc. 3.125% 3/15/37

10,000

12,900

 

214,184

Software - 3.3%

Nuance Communications, Inc.:

2.75% 8/15/27

23,085

34,166

2.75% 11/1/31 (e)

32,000

36,848

 

71,014

TOTAL INFORMATION TECHNOLOGY

442,247

MATERIALS - 1.4%

Metals & Mining - 1.4%

Alcoa, Inc. 5.25% 3/15/14

5,000

8,475

ArcelorMittal SA 5% 5/15/14

2,170

2,399

Goldcorp, Inc. 2% 8/1/14

5,000

6,332

Horsehead Holding Corp. 3.8% 7/1/17 (e)

5,000

5,288

Newmont Mining Corp. 1.625% 7/15/17

5,000

7,431

 

29,925

TELECOMMUNICATION SERVICES - 3.3%

Diversified Telecommunication Services - 2.3%

Level 3 Communications, Inc.:

6.5% 10/1/16

19,820

30,498

7% 3/15/15

10,000

12,813

Time Warner Telecom, Inc. 2.375% 4/1/26

6,000

7,373

 

50,684

Wireless Telecommunication Services - 1.0%

Leap Wireless International, Inc. 4.5% 7/15/14

23,000

21,851

TOTAL TELECOMMUNICATION SERVICES

72,535

TOTAL CONVERTIBLE BONDS

1,403,855

Corporate Bonds - continued

 

Principal Amount (000s)

Value (000s)

Nonconvertible Bonds - 0.7%

CONSUMER DISCRETIONARY - 0.1%

Household Durables - 0.1%

K. Hovnanian Enterprises, Inc.:

7.5% 5/15/16

$ 1,000

$ 550

8.625% 1/15/17

4,000

2,200

 

2,750

MATERIALS - 0.1%

Chemicals - 0.1%

OMNOVA Solutions, Inc. 7.875% 11/1/18

2,960

2,738

TELECOMMUNICATION SERVICES - 0.5%

Diversified Telecommunication Services - 0.5%

Intelsat Luxembourg SA 11.25% 2/4/17

10,000

10,288

TOTAL NONCONVERTIBLE BONDS

15,776

TOTAL CORPORATE BONDS

(Cost $1,296,660)


1,419,631

Common Stocks - 2.8%

Shares

 

CONSUMER DISCRETIONARY - 0.0%

Hotels, Restaurants & Leisure - 0.0%

Ambassadors International, Inc. (a)(d)

230,377

5

Media - 0.0%

HMH Holdings, Inc. (a)(g)

52,880

13

HMH Holdings, Inc. warrants 3/9/17 (a)(g)

164,823

0

 

13

TOTAL CONSUMER DISCRETIONARY

18

FINANCIALS - 1.6%

Commercial Banks - 1.0%

Huntington Bancshares, Inc.

3,620,500

21,162

Insurance - 0.6%

MetLife, Inc. unit (a)

200,000

14,452

TOTAL FINANCIALS

35,614

Common Stocks - continued

Shares

Value (000s)

INFORMATION TECHNOLOGY - 1.2%

Electronic Equipment & Components - 0.5%

Viasystems Group, Inc. (a)

549,643

$ 10,179

Semiconductors & Semiconductor Equipment - 0.7%

ON Semiconductor Corp. (a)

1,716,800

15,571

TOTAL INFORMATION TECHNOLOGY

25,750

TOTAL COMMON STOCKS

(Cost $61,068)


61,382

Convertible Preferred Stocks - 23.2%

 

 

 

 

CONSUMER DISCRETIONARY - 8.5%

Automobiles - 7.2%

General Motors Co. 4.75%

3,645,600

155,627

Household Durables - 0.1%

Hovnanian Enterprises, Inc./K. Hovanian Enterprises, Inc. 7.25%

125,000

1,868

Leisure Equipment & Products - 0.2%

Callaway Golf Co. 7.50%

50,000

5,050

Media - 1.0%

Interpublic Group of Companies, Inc. 5.25%

10,000

10,454

LodgeNet Entertainment Corp. 10.00% (e)

11,118

12,034

 

22,488

TOTAL CONSUMER DISCRETIONARY

185,033

CONSUMER STAPLES - 1.1%

Food Products - 1.1%

Bunge Ltd. 4.875%

237,000

23,641

ENERGY - 0.5%

Oil, Gas & Consumable Fuels - 0.5%

Apache Corp. 6.00%

94,200

5,717

ATP Oil & Gas Corp. Series B, 8.00%

110,000

4,744

 

10,461

Convertible Preferred Stocks - continued

Shares

Value (000s)

FINANCIALS - 11.3%

Commercial Banks - 6.2%

Huntington Bancshares, Inc. 8.50%

2,100

$ 2,415

Wells Fargo & Co. 7.50%

120,550

132,484

 

134,899

Diversified Financial Services - 4.6%

Bank of America Corp. Series L, 7.25%

47,085

44,382

Citigroup, Inc. 7.50%

553,300

54,804

 

99,186

Insurance - 0.3%

Assured Guaranty Ltd. 8.50%

100,000

6,603

Real Estate Investment Trusts - 0.2%

Health Care REIT, Inc. Series I, 6.50%

98,800

5,224

TOTAL FINANCIALS

245,912

HEALTH CARE - 1.7%

Health Care Providers & Services - 1.7%

Tenet Healthcare Corp. 7.00%

40,000

37,294

UTILITIES - 0.1%

Electric Utilities - 0.1%

PPL Corp. 8.75%

38,300

2,053

TOTAL CONVERTIBLE PREFERRED STOCKS

(Cost $532,129)


504,394

Floating Rate Loans - 0.5%

 

Principal Amount (000s)

 

INDUSTRIALS - 0.5%

Airlines - 0.5%

US Airways Group, Inc. term loan 2.744% 3/23/14 (f)

(Cost $9,555)

$ 10,845


9,950

Money Market Funds - 6.6%

Shares

Value (000s)

Fidelity Cash Central Fund, 0.12% (b)
(Cost $143,175)

143,175,464

$ 143,175

TOTAL INVESTMENT PORTFOLIO - 98.4%

(Cost $2,042,587)

2,138,532

NET OTHER ASSETS (LIABILITIES) - 1.6%

34,054

NET ASSETS - 100%

$ 2,172,586

Legend

(a) Non-income producing

(b) Affiliated fund that is 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 are available on the SEC's website or upon request.

(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) Affiliated company

(e) 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 $287,881,000 or 13.3% of net assets.

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

(g) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $13,000 or 0.0% of net assets.

Additional information on each restricted holding is as follows:

Security

Acquisition Date

Acquisition Cost (000s)

HMH Holdings, Inc.

8/1/08 - 12/31/09

$ 6,903

HMH Holdings, Inc. warrants 3/9/17

3/9/10

$ 48

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
(Amounts in thousands)

Fidelity Cash Central Fund

$ 28

Other Affiliated Issuers

An affiliated company is a company in which the Fund has ownership of at least 5% of the voting securities. Fiscal year to date transactions with companies which are or were affiliates are as follows:

Affiliate
(Amounts in thousands)

Value, beginning of period

Purchases

Sales Proceeds

Dividend Income

Value, end of period

Ambassadors International, Inc.

$ 8

$ -

$ -

$ -

$ 5

Other Information

The following is a summary of the inputs used, as of February 29, 2012, 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 at the end of this listing.

Valuation Inputs at Reporting Date:

Description
(Amounts in thousands)

Total

Level 1

Level 2

Level 3

Investments in Securities:

Equities:

Consumer Discretionary

$ 185,051

$ 157,500

$ 27,551

$ -

Consumer Staples

23,641

-

23,641

-

Energy

10,461

5,717

4,744

-

Financials

281,526

255,247

26,279

-

Health Care

37,294

-

37,294

-

Information Technology

25,750

25,750

-

-

Utilities

2,053

-

2,053

-

Corporate Bonds

1,419,631

-

1,419,631

-

Floating Rate Loans

9,950

-

9,950

-

Money Market Funds

143,175

143,175

-

-

Total Investments in Securities:

$ 2,138,532

$ 587,389

$ 1,551,143

$ -

The following is a reconciliation of Investments in Securities for which Level 3 inputs were used in determining value:

(Amounts in thousands)

 

Investments in Securities:

Beginning Balance

$ 8

Total Realized Gain (Loss)

-

Total Unrealized Gain (Loss)

(8)

Cost of Purchases

-

Proceeds of Sales

-

Amortization/Accretion

-

Transfers in to Level 3

-

Transfers out of Level 3

-

Ending Balance

$ -

The change in unrealized gain (loss) for the period attributable to Level 3 securities held at February 29, 2012

$ (8)

The information used in the above reconciliation represents fiscal year to date activity for any Investments in Securities identified as using Level 3 inputs at either the beginning or the end of the current fiscal period. Transfers in or out of Level 3 represent the beginning value of any Security or Instrument where a change in the pricing level occurred from the beginning to the end of the period. The cost of purchases and the proceeds of sales may include securities received or delivered through corporate actions or exchanges.

Income Tax Information

At February 29, 2012, the cost of investment securities for income tax purposes was $2,036,484,000. Net unrealized appreciation aggregated $102,048,000, of which $240,697,000 related to appreciated investment securities and $138,649,000 related to depreciated investment securities.

Investment Valuation

Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. Security transactions are accounted for as of trade date. The Fund uses independent pricing services approved by the Board of Trustees to value its investments. When current market prices or quotations are not readily available or reliable, valuations may be determined in good faith in accordance with procedures adopted by the Board of Trustees. Factors used in determining value may include market or security 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 value used for net asset value calculation under these procedures may differ from published prices for the same securities. The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels: 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). Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. Valuation techniques used to value the Fund's investments by major category are as follows:

Equity securities, including restricted securities, for which market quotations are readily available, are valued at the last reported sale price or official closing price as reported by an independent pricing service on the primary market or exchange on which they are traded and are categorized as Level 1 in the hierarchy. In the event there were no sales during the day or closing prices are not available, securities are valued at the last quoted bid price or may be valued using the last available price and are generally categorized as Level 2 in the hierarchy. For foreign equity securities, when significant market or security specific events arise, comparisons to the valuation of American Depositary Receipts, futures contracts, Exchange-traded funds (ETFs) and certain indexes as well as quoted prices for similar securities are used and are categorized as Level 2 in the hierarchy in these circumstances. Utilizing these techniques may result in transfers between Level 1 and Level 2. For restricted securities and private placements where observable inputs are limited, assumptions about market activity and risk are used and are categorized as Level 3 in the hierarchy.

Debt securities, including restricted securities, are valued based on evaluated prices received from independent pricing services or from dealers who make markets in such securities. For corporate bonds and floating rate loans, pricing services utilize matrix pricing which considers yield or price of bonds of comparable quality, coupon, maturity and type as well as dealer supplied prices and are generally categorized as Level 2 in the hierarchy.

When independent prices are unavailable or unreliable, debt securities may be valued utilizing pricing matrices which consider similar factors that would be used by independent pricing services. These are generally categorized as Level 2 in the hierarchy but may be Level 3 depending on the circumstances. The Fund invests a significant portion of its assets in below investment grade securities. The value of these securities can be more volatile due to changes in the credit quality of the issuer and is sensitive to changes in economic, market and regulatory conditions.

Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value each business day and are categorized as Level 1 in the hierarchy.

For additional information on the Fund's policy regarding valuation of investments and other significant accounting policies, please refer to the Fund's most recent semiannual or annual shareholder report.

Quarterly Report

The fund's schedule of investments as of the date on the cover of this report has not been audited. This report is provided for the general information of the fund's shareholders. For more information regarding the fund and its holdings, please visit advisor.fidelity.com or call Fidelity at 1-877-208-0098 for a free copy of the fund's most recent prospectus and annual report.

Third party trademarks and service marks are the property of their respective owners. All other trademarks and service marks are the property of FMR LLC

or an affiliate.

Quarterly Report

Quarterly Holdings Report

for

Fidelity ® Convertible Securities Fund

February 29, 2012 

1.797939.108

CVS-QTLY-0412

Investments February 29, 2012 (Unaudited)

Showing Percentage of Net Assets

Corporate Bonds - 65.3%

 

Principal Amount (000s)

Value (000s)

Convertible Bonds - 64.6%

CONSUMER DISCRETIONARY - 12.2%

Auto Components - 0.1%

BorgWarner, Inc. 3.5% 4/15/12

$ 910

$ 2,310

Automobiles - 4.8%

Ford Motor Co. 4.25% 11/15/16

66,000

103,825

Diversified Consumer Services - 1.1%

Ingersoll-Rand Global Holding Co. Ltd. 4.5% 4/15/12

5,490

12,318

Stewart Enterprises, Inc. 3.375% 7/15/16 (e)

11,000

10,691

 

23,009

Hotels, Restaurants & Leisure - 5.0%

MGM Mirage, Inc. 4.25% 4/15/15

102,300

109,589

Media - 1.2%

Virgin Media, Inc. 6.5% 11/15/16

8,000

12,520

XM Satellite Radio, Inc. 7% 12/1/14 (e)

10,000

14,731

 

27,251

TOTAL CONSUMER DISCRETIONARY

265,984

CONSUMER STAPLES - 1.9%

Beverages - 0.7%

Molson Coors Brewing Co. 2.5% 7/30/13

14,000

14,767

Food Products - 1.2%

Smithfield Foods, Inc. 4% 6/30/13

22,250

26,284

TOTAL CONSUMER STAPLES

41,051

ENERGY - 11.1%

Energy Equipment & Services - 0.7%

Hornbeck Offshore Services, Inc. 1.625% 11/15/26 (c)(e)

3,000

3,304

Oil States International, Inc. 2.375% 7/1/25 (e)

4,500

11,509

 

14,813

Oil, Gas & Consumable Fuels - 10.4%

Alpha Natural Resources, Inc. 2.375% 4/15/15

72,000

67,226

Peabody Energy Corp. 4.75% 12/15/66

67,250

67,502

Corporate Bonds - continued

 

Principal Amount (000s)

Value (000s)

Convertible Bonds - continued

ENERGY - continued

Oil, Gas & Consumable Fuels - continued

Pioneer Natural Resources Co. 2.875% 1/15/38

$ 20,000

$ 37,850

Western Refining, Inc. 5.75% 6/15/14

29,185

53,518

 

226,096

TOTAL ENERGY

240,909

FINANCIALS - 1.4%

Diversified Financial Services - 0.9%

The NASDAQ Stock Market, Inc. 2.5% 8/15/13

20,000

20,300

Insurance - 0.5%

Fidelity National Financial, Inc. 4.25% 8/15/18 (e)

10,000

10,269

TOTAL FINANCIALS

30,569

HEALTH CARE - 2.8%

Health Care Equipment & Supplies - 1.9%

Alere, Inc. 3% 5/15/16

31,000

30,574

SonoSite, Inc. 3.75% 7/15/14

7,000

10,290

 

40,864

Health Care Providers & Services - 0.3%

Omnicare, Inc.:

3.25% 12/15/35

2,086

2,008

3.75% 12/15/25

3,610

5,144

 

7,152

Life Sciences Tools & Services - 0.2%

Charles River Laboratories International, Inc. 2.25% 6/15/13 (e)

4,000

4,017

Pharmaceuticals - 0.4%

Akorn, Inc. 3.5% 6/1/16 (e)

5,000

7,991

TOTAL HEALTH CARE

60,024

INDUSTRIALS - 10.1%

Aerospace & Defense - 1.0%

GenCorp, Inc. 4.0625% 12/31/39

7,830

7,615

Textron, Inc. 4.5% 5/1/13

6,440

13,729

 

21,344

Corporate Bonds - continued

 

Principal Amount (000s)

Value (000s)

Convertible Bonds - continued

INDUSTRIALS - continued

Airlines - 2.7%

Continental Airlines, Inc. 4.5% 1/15/15

$ 9,280

$ 12,192

UAL Corp.:

4.5% 6/30/21 (e)

10,500

9,126

4.5% 6/30/21

5,000

4,346

6% 10/15/29

3,600

8,999

US Airways Group, Inc.:

7% 9/30/20 (e)

4,810

4,054

7.25% 5/15/14

11,200

19,722

 

58,439

Commercial Services & Supplies - 0.8%

Metalico, Inc. 7% 4/30/28

20,000

17,400

Construction & Engineering - 0.5%

MasTec, Inc. 4.25% 12/15/14

8,000

10,895

Electrical Equipment - 0.7%

General Cable Corp. 4.5% 11/15/29 (c)

14,800

16,188

Machinery - 3.0%

Greenbrier Companies, Inc.:

2.375% 5/15/26 (e)

5,500

5,370

2.375% 5/15/26

8,000

7,810

3.5% 4/1/18 (e)

2,860

2,946

Terex Corp. 4% 6/1/15

19,590

33,738

Trinity Industries, Inc. 3.875% 6/1/36

15,000

16,031

 

65,895

Marine - 0.5%

Excel Maritime Carriers Ltd. 1.875% 10/15/27 (e)

34,000

11,900

Road & Rail - 0.9%

Hertz Global Holdings, Inc. 5.25% 6/1/14

10,000

18,550

TOTAL INDUSTRIALS

220,611

INFORMATION TECHNOLOGY - 20.4%

Communications Equipment - 0.7%

JDS Uniphase Corp. 1% 5/15/26 (e)

14,000

14,000

Corporate Bonds - continued

 

Principal Amount (000s)

Value (000s)

Convertible Bonds - continued

INFORMATION TECHNOLOGY - continued

Computers & Peripherals - 2.2%

EMC Corp.:

1.75% 12/1/13 (e)

$ 17,000

$ 29,888

1.75% 12/1/13

10,000

17,581

 

47,469

Electronic Equipment & Components - 1.5%

Anixter International, Inc. 1% 2/15/13 (e)

4,540

5,562

SYNNEX Corp. 4% 5/15/18

10,000

14,575

Vishay Intertechnology, Inc.:

2.25% 11/15/40 (e)

7,000

7,359

2.25% 5/15/41 (e)

7,000

6,011

 

33,507

Internet Software & Services - 2.0%

Equinix, Inc.:

3% 10/15/14

10,000

13,671

4.75% 6/15/16

10,000

18,175

VeriSign, Inc. 3.25% 8/15/37

10,000

12,450

 

44,296

IT Services - 0.8%

CACI International, Inc. 2.125% 5/1/14

6,000

7,238

DST Systems, Inc. 4.125% 8/15/23 (c)

8,612

10,539

 

17,777

Semiconductors & Semiconductor Equipment - 9.9%

Advanced Micro Devices, Inc. 6% 5/1/15

11,916

12,408

Amkor Technology, Inc. 6% 4/15/14

8,890

20,299

Intel Corp. 3.25% 8/1/39

13,000

17,827

Micron Technology, Inc.:

1.5% 8/1/31 (e)

10,000

10,800

1.875% 8/1/31 (e)

30,000

32,813

4.25% 10/15/13

6,130

10,666

Novellus Systems, Inc. 2.625% 5/15/41 (e)

20,000

26,300

ON Semiconductor Corp.:

1.875% 12/15/25 (e)

3,750

5,070

1.875% 12/15/25

10,000

13,513

2.625% 12/15/26

5,818

6,669

2.625% 12/15/26

29,512

34,769

Corporate Bonds - continued

 

Principal Amount (000s)

Value (000s)

Convertible Bonds - continued

INFORMATION TECHNOLOGY - continued

Semiconductors & Semiconductor Equipment - continued

PMC-Sierra, Inc. 2.25% 10/15/25

$ 10,000

$ 10,150

Xilinx, Inc. 3.125% 3/15/37

10,000

12,900

 

214,184

Software - 3.3%

Nuance Communications, Inc.:

2.75% 8/15/27

23,085

34,166

2.75% 11/1/31 (e)

32,000

36,848

 

71,014

TOTAL INFORMATION TECHNOLOGY

442,247

MATERIALS - 1.4%

Metals & Mining - 1.4%

Alcoa, Inc. 5.25% 3/15/14

5,000

8,475

ArcelorMittal SA 5% 5/15/14

2,170

2,399

Goldcorp, Inc. 2% 8/1/14

5,000

6,332

Horsehead Holding Corp. 3.8% 7/1/17 (e)

5,000

5,288

Newmont Mining Corp. 1.625% 7/15/17

5,000

7,431

 

29,925

TELECOMMUNICATION SERVICES - 3.3%

Diversified Telecommunication Services - 2.3%

Level 3 Communications, Inc.:

6.5% 10/1/16

19,820

30,498

7% 3/15/15

10,000

12,813

Time Warner Telecom, Inc. 2.375% 4/1/26

6,000

7,373

 

50,684

Wireless Telecommunication Services - 1.0%

Leap Wireless International, Inc. 4.5% 7/15/14

23,000

21,851

TOTAL TELECOMMUNICATION SERVICES

72,535

TOTAL CONVERTIBLE BONDS

1,403,855

Corporate Bonds - continued

 

Principal Amount (000s)

Value (000s)

Nonconvertible Bonds - 0.7%

CONSUMER DISCRETIONARY - 0.1%

Household Durables - 0.1%

K. Hovnanian Enterprises, Inc.:

7.5% 5/15/16

$ 1,000

$ 550

8.625% 1/15/17

4,000

2,200

 

2,750

MATERIALS - 0.1%

Chemicals - 0.1%

OMNOVA Solutions, Inc. 7.875% 11/1/18

2,960

2,738

TELECOMMUNICATION SERVICES - 0.5%

Diversified Telecommunication Services - 0.5%

Intelsat Luxembourg SA 11.25% 2/4/17

10,000

10,288

TOTAL NONCONVERTIBLE BONDS

15,776

TOTAL CORPORATE BONDS

(Cost $1,296,660)


1,419,631

Common Stocks - 2.8%

Shares

 

CONSUMER DISCRETIONARY - 0.0%

Hotels, Restaurants & Leisure - 0.0%

Ambassadors International, Inc. (a)(d)

230,377

5

Media - 0.0%

HMH Holdings, Inc. (a)(g)

52,880

13

HMH Holdings, Inc. warrants 3/9/17 (a)(g)

164,823

0

 

13

TOTAL CONSUMER DISCRETIONARY

18

FINANCIALS - 1.6%

Commercial Banks - 1.0%

Huntington Bancshares, Inc.

3,620,500

21,162

Insurance - 0.6%

MetLife, Inc. unit (a)

200,000

14,452

TOTAL FINANCIALS

35,614

Common Stocks - continued

Shares

Value (000s)

INFORMATION TECHNOLOGY - 1.2%

Electronic Equipment & Components - 0.5%

Viasystems Group, Inc. (a)

549,643

$ 10,179

Semiconductors & Semiconductor Equipment - 0.7%

ON Semiconductor Corp. (a)

1,716,800

15,571

TOTAL INFORMATION TECHNOLOGY

25,750

TOTAL COMMON STOCKS

(Cost $61,068)


61,382

Convertible Preferred Stocks - 23.2%

 

 

 

 

CONSUMER DISCRETIONARY - 8.5%

Automobiles - 7.2%

General Motors Co. 4.75%

3,645,600

155,627

Household Durables - 0.1%

Hovnanian Enterprises, Inc./K. Hovanian Enterprises, Inc. 7.25%

125,000

1,868

Leisure Equipment & Products - 0.2%

Callaway Golf Co. 7.50%

50,000

5,050

Media - 1.0%

Interpublic Group of Companies, Inc. 5.25%

10,000

10,454

LodgeNet Entertainment Corp. 10.00% (e)

11,118

12,034

 

22,488

TOTAL CONSUMER DISCRETIONARY

185,033

CONSUMER STAPLES - 1.1%

Food Products - 1.1%

Bunge Ltd. 4.875%

237,000

23,641

ENERGY - 0.5%

Oil, Gas & Consumable Fuels - 0.5%

Apache Corp. 6.00%

94,200

5,717

ATP Oil & Gas Corp. Series B, 8.00%

110,000

4,744

 

10,461

Convertible Preferred Stocks - continued

Shares

Value (000s)

FINANCIALS - 11.3%

Commercial Banks - 6.2%

Huntington Bancshares, Inc. 8.50%

2,100

$ 2,415

Wells Fargo & Co. 7.50%

120,550

132,484

 

134,899

Diversified Financial Services - 4.6%

Bank of America Corp. Series L, 7.25%

47,085

44,382

Citigroup, Inc. 7.50%

553,300

54,804

 

99,186

Insurance - 0.3%

Assured Guaranty Ltd. 8.50%

100,000

6,603

Real Estate Investment Trusts - 0.2%

Health Care REIT, Inc. Series I, 6.50%

98,800

5,224

TOTAL FINANCIALS

245,912

HEALTH CARE - 1.7%

Health Care Providers & Services - 1.7%

Tenet Healthcare Corp. 7.00%

40,000

37,294

UTILITIES - 0.1%

Electric Utilities - 0.1%

PPL Corp. 8.75%

38,300

2,053

TOTAL CONVERTIBLE PREFERRED STOCKS

(Cost $532,129)


504,394

Floating Rate Loans - 0.5%

 

Principal Amount (000s)

 

INDUSTRIALS - 0.5%

Airlines - 0.5%

US Airways Group, Inc. term loan 2.744% 3/23/14 (f)

(Cost $9,555)

$ 10,845


9,950

Money Market Funds - 6.6%

Shares

Value (000s)

Fidelity Cash Central Fund, 0.12% (b)
(Cost $143,175)

143,175,464

$ 143,175

TOTAL INVESTMENT PORTFOLIO - 98.4%

(Cost $2,042,587)

2,138,532

NET OTHER ASSETS (LIABILITIES) - 1.6%

34,054

NET ASSETS - 100%

$ 2,172,586

Legend

(a) Non-income producing

(b) Affiliated fund that is 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 are available on the SEC's website or upon request.

(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) Affiliated company

(e) 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 $287,881,000 or 13.3% of net assets.

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

(g) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $13,000 or 0.0% of net assets.

Additional information on each restricted holding is as follows:

Security

Acquisition Date

Acquisition Cost (000s)

HMH Holdings, Inc.

8/1/08 - 12/31/09

$ 6,903

HMH Holdings, Inc. warrants 3/9/17

3/9/10

$ 48

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
(Amounts in thousands)

Fidelity Cash Central Fund

$ 28

Other Affiliated Issuers

An affiliated company is a company in which the Fund has ownership of at least 5% of the voting securities. Fiscal year to date transactions with companies which are or were affiliates are as follows:

Affiliate
(Amounts in thousands)

Value, beginning of period

Purchases

Sales Proceeds

Dividend Income

Value, end of period

Ambassadors International, Inc.

$ 8

$ -

$ -

$ -

$ 5

Other Information

The following is a summary of the inputs used, as of February 29, 2012, 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 at the end of this listing.

Valuation Inputs at Reporting Date:

Description
(Amounts in thousands)

Total

Level 1

Level 2

Level 3

Investments in Securities:

Equities:

Consumer Discretionary

$ 185,051

$ 157,500

$ 27,551

$ -

Consumer Staples

23,641

-

23,641

-

Energy

10,461

5,717

4,744

-

Financials

281,526

255,247

26,279

-

Health Care

37,294

-

37,294

-

Information Technology

25,750

25,750

-

-

Utilities

2,053

-

2,053

-

Corporate Bonds

1,419,631

-

1,419,631

-

Floating Rate Loans

9,950

-

9,950

-

Money Market Funds

143,175

143,175

-

-

Total Investments in Securities:

$ 2,138,532

$ 587,389

$ 1,551,143

$ -

The following is a reconciliation of Investments in Securities for which Level 3 inputs were used in determining value:

(Amounts in thousands)

 

Investments in Securities:

Beginning Balance

$ 8

Total Realized Gain (Loss)

-

Total Unrealized Gain (Loss)

(8)

Cost of Purchases

-

Proceeds of Sales

-

Amortization/Accretion

-

Transfers in to Level 3

-

Transfers out of Level 3

-

Ending Balance

$ -

The change in unrealized gain (loss) for the period attributable to Level 3 securities held at February 29, 2012

$ (8)

The information used in the above reconciliation represents fiscal year to date activity for any Investments in Securities identified as using Level 3 inputs at either the beginning or the end of the current fiscal period. Transfers in or out of Level 3 represent the beginning value of any Security or Instrument where a change in the pricing level occurred from the beginning to the end of the period. The cost of purchases and the proceeds of sales may include securities received or delivered through corporate actions or exchanges.

Income Tax Information

At February 29, 2012, the cost of investment securities for income tax purposes was $2,036,484,000. Net unrealized appreciation aggregated $102,048,000, of which $240,697,000 related to appreciated investment securities and $138,649,000 related to depreciated investment securities.

Investment Valuation

Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. Security transactions are accounted for as of trade date. The Fund uses independent pricing services approved by the Board of Trustees to value its investments. When current market prices or quotations are not readily available or reliable, valuations may be determined in good faith in accordance with procedures adopted by the Board of Trustees. Factors used in determining value may include market or security 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 value used for net asset value calculation under these procedures may differ from published prices for the same securities. The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels: 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). Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. Valuation techniques used to value the Fund's investments by major category are as follows:

Equity securities, including restricted securities, for which market quotations are readily available, are valued at the last reported sale price or official closing price as reported by an independent pricing service on the primary market or exchange on which they are traded and are categorized as Level 1 in the hierarchy. In the event there were no sales during the day or closing prices are not available, securities are valued at the last quoted bid price or may be valued using the last available price and are generally categorized as Level 2 in the hierarchy. For foreign equity securities, when significant market or security specific events arise, comparisons to the valuation of American Depositary Receipts, futures contracts, Exchange-traded funds (ETFs) and certain indexes as well as quoted prices for similar securities are used and are categorized as Level 2 in the hierarchy in these circumstances. Utilizing these techniques may result in transfers between Level 1 and Level 2. For restricted securities and private placements where observable inputs are limited, assumptions about market activity and risk are used and are categorized as Level 3 in the hierarchy.

Debt securities, including restricted securities, are valued based on evaluated prices received from independent pricing services or from dealers who make markets in such securities. For corporate bonds and floating rate loans, pricing services utilize matrix pricing which considers yield or price of bonds of comparable quality, coupon, maturity and type as well as dealer supplied prices and are generally categorized as Level 2 in the hierarchy.

When independent prices are unavailable or unreliable, debt securities may be valued utilizing pricing matrices which consider similar factors that would be used by independent pricing services. These are generally categorized as Level 2 in the hierarchy but may be Level 3 depending on the circumstances. The Fund invests a significant portion of its assets in below investment grade securities. The value of these securities can be more volatile due to changes in the credit quality of the issuer and is sensitive to changes in economic, market and regulatory conditions.

Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value each business day and are categorized as Level 1 in the hierarchy.

For additional information on the Fund's policy regarding valuation of investments and other significant accounting policies, please refer to the Fund's most recent semiannual or annual shareholder report.

Quarterly Report

The fund's schedule of investments as of the date on the cover of this report has not been audited. This report is provided for the general information of the fund's shareholders. For more information regarding the fund and its holdings, please

see the fund's most recent prospectus and annual report.

Third party trademarks and service marks are the property of their respective owners. All other trademarks and service marks are the property of FMR LLC

or an affiliate.

Quarterly Report

Quarterly Holdings Report

for

Fidelity ®
Equity Dividend Income Fund
(formerly Fidelity Equity-Income II Fund)

February 29, 2012 

1.797940.108

EII-QTLY-0412

Investments February 29, 2012 (Unaudited)

Showing Percentage of Net Assets

Common Stocks - 99.7%

Shares

Value (000s)

CONSUMER DISCRETIONARY - 10.9%

Automobiles - 0.7%

Ford Motor Co.

2,774,100

$ 34,343

Hotels, Restaurants & Leisure - 3.1%

Brinker International, Inc.

215,100

5,935

Darden Restaurants, Inc.

539,500

27,509

McDonald's Corp.

894,400

88,796

Wyndham Worldwide Corp.

546,700

24,049

 

146,289

Media - 3.3%

Comcast Corp. Class A

1,773,700

52,111

The Walt Disney Co.

932,300

39,147

Time Warner Cable, Inc.

439,371

34,860

Time Warner, Inc.

782,443

29,115

 

155,233

Multiline Retail - 0.8%

Target Corp.

637,256

36,126

Specialty Retail - 2.2%

Foot Locker, Inc.

1,330,400

38,808

Home Depot, Inc.

813,700

38,708

Limited Brands, Inc.

213,200

9,920

Lowe's Companies, Inc.

661,900

18,785

 

106,221

Textiles, Apparel & Luxury Goods - 0.8%

VF Corp.

266,500

38,922

TOTAL CONSUMER DISCRETIONARY

517,134

CONSUMER STAPLES - 13.8%

Beverages - 3.8%

Anheuser-Busch InBev SA NV ADR

399,900

26,893

Diageo PLC

617,343

14,739

Dr Pepper Snapple Group, Inc.

712,400

27,107

PepsiCo, Inc.

218,871

13,776

The Coca-Cola Co.

1,394,542

97,423

 

179,938

Food & Staples Retailing - 1.4%

Safeway, Inc.

172,300

3,696

Sysco Corp.

242,000

7,120

Wal-Mart Stores, Inc.

991,100

58,554

 

69,370

Common Stocks - continued

Shares

Value (000s)

CONSUMER STAPLES - continued

Food Products - 0.8%

Kraft Foods, Inc. Class A

975,441

$ 37,135

Household Products - 4.7%

Colgate-Palmolive Co.

514,100

47,904

Kimberly-Clark Corp.

471,421

34,357

Procter & Gamble Co.

1,952,005

131,799

Reckitt Benckiser Group PLC

128,800

7,130

 

221,190

Tobacco - 3.1%

Altria Group, Inc.

737,200

22,190

British American Tobacco PLC sponsored ADR

146,700

14,858

Imperial Tobacco Group PLC

244,352

9,683

Japan Tobacco, Inc.

4,722

25,093

Lorillard, Inc.

56,800

7,445

Philip Morris International, Inc.

809,859

67,639

 

146,908

TOTAL CONSUMER STAPLES

654,541

ENERGY - 9.9%

Energy Equipment & Services - 0.4%

Ensco International Ltd. ADR

363,800

21,210

Oil, Gas & Consumable Fuels - 9.5%

Atlas Pipeline Partners, LP

238,000

8,794

Bonavista Energy Corp. (d)

254,200

5,908

BP PLC sponsored ADR

614,900

28,999

Chevron Corp.

1,135,370

123,892

Exxon Mobil Corp.

2,031,556

175,728

Inergy Midstream LP

229,600

4,865

Legacy Reserves LP

224,100

6,468

Marathon Oil Corp.

585,268

19,835

Marathon Petroleum Corp.

514,584

21,381

Occidental Petroleum Corp.

143,400

14,967

Penn West Petroleum Ltd.

366,100

7,994

Royal Dutch Shell PLC Class A sponsored ADR

411,500

30,077

 

448,908

TOTAL ENERGY

470,118

Common Stocks - continued

Shares

Value (000s)

FINANCIALS - 15.9%

Capital Markets - 0.6%

State Street Corp.

444,600

$ 18,775

UBS AG (NY Shares) (a)

584,900

8,206

 

26,981

Commercial Banks - 5.2%

Australia & New Zealand Banking Group Ltd.

401,129

9,441

BB&T Corp.

682,303

19,957

Comerica, Inc.

335,100

9,949

Huntington Bancshares, Inc.

1,693,600

9,899

M&T Bank Corp.

66,400

5,420

PNC Financial Services Group, Inc.

541,300

32,218

U.S. Bancorp

1,868,800

54,943

UMB Financial Corp.

121,700

5,069

Wells Fargo & Co.

3,209,208

100,416

 

247,312

Diversified Financial Services - 2.7%

CME Group, Inc.

32,870

9,516

JPMorgan Chase & Co.

3,047,553

119,586

 

129,102

Insurance - 3.1%

ACE Ltd.

274,400

19,677

AFLAC, Inc.

321,700

15,200

Allied World Assurance Co. Holdings Ltd.

214,900

14,177

Axis Capital Holdings Ltd.

702,000

21,657

MetLife, Inc.

990,217

38,173

Prudential Financial, Inc.

407,700

24,935

The Travelers Companies, Inc.

235,200

13,635

 

147,454

Real Estate Investment Trusts - 4.3%

AvalonBay Communities, Inc.

100,800

13,071

Boston Properties, Inc.

134,900

13,699

BRE Properties, Inc.

212,400

10,287

Camden Property Trust (SBI)

138,273

8,573

DDR Corp.

1,066,500

15,070

Douglas Emmett, Inc.

594,300

12,522

Essex Property Trust, Inc.

94,900

13,285

Kimco Realty Corp.

618,400

11,366

Lexington Corporate Properties Trust

790,500

6,838

Post Properties, Inc.

264,500

11,551

Prologis, Inc.

584,113

19,661

Common Stocks - continued

Shares

Value (000s)

FINANCIALS - continued

Real Estate Investment Trusts - continued

Public Storage

104,100

$ 13,957

Simon Property Group, Inc.

104,200

14,117

Ventas, Inc.

476,013

26,619

Weyerhaeuser Co.

563,408

11,770

 

202,386

TOTAL FINANCIALS

753,235

HEALTH CARE - 9.8%

Biotechnology - 0.5%

Amgen, Inc.

388,300

26,385

Health Care Equipment & Supplies - 0.6%

Covidien PLC

537,200

28,069

Health Care Providers & Services - 0.2%

WellPoint, Inc.

143,500

9,418

Pharmaceuticals - 8.5%

Eli Lilly & Co.

599,752

23,534

GlaxoSmithKline PLC

1,764,023

38,979

Johnson & Johnson

1,065,366

69,334

Merck & Co., Inc.

2,756,328

105,209

Pfizer, Inc.

4,062,335

85,715

Roche Holding AG (participation certificate)

188,827

32,869

Sanofi SA

647,722

47,910

 

403,550

TOTAL HEALTH CARE

467,422

INDUSTRIALS - 13.2%

Aerospace & Defense - 3.9%

Honeywell International, Inc.

566,300

33,734

Raytheon Co.

389,400

19,672

The Boeing Co.

600,617

45,016

United Technologies Corp.

1,042,530

87,437

 

185,859

Air Freight & Logistics - 1.2%

United Parcel Service, Inc. Class B

755,000

58,052

Commercial Services & Supplies - 0.4%

Republic Services, Inc.

594,511

17,734

Common Stocks - continued

Shares

Value (000s)

INDUSTRIALS - continued

Electrical Equipment - 1.0%

Cooper Industries PLC Class A

251,800

$ 15,415

Emerson Electric Co.

660,072

33,208

 

48,623

Industrial Conglomerates - 3.6%

3M Co.

346,100

30,318

General Electric Co.

7,390,997

140,798

 

171,116

Machinery - 1.5%

Caterpillar, Inc.

343,600

39,243

Cummins, Inc.

101,102

12,190

Illinois Tool Works, Inc.

256,100

14,262

Stanley Black & Decker, Inc.

63,300

4,861

 

70,556

Professional Services - 0.4%

Robert Half International, Inc.

584,600

16,620

Road & Rail - 1.2%

Norfolk Southern Corp.

170,100

11,720

Union Pacific Corp.

401,100

44,221

 

55,941

TOTAL INDUSTRIALS

624,501

INFORMATION TECHNOLOGY - 13.7%

Communications Equipment - 1.6%

Cisco Systems, Inc.

467,500

9,294

Motorola Solutions, Inc.

628,400

31,294

QUALCOMM, Inc.

552,400

34,348

 

74,936

Computers & Peripherals - 0.6%

Hewlett-Packard Co.

1,068,348

27,040

Electronic Equipment & Components - 0.3%

TE Connectivity Ltd.

474,616

17,347

IT Services - 3.8%

Accenture PLC Class A

819,600

48,799

Automatic Data Processing, Inc.

499,600

27,138

Fidelity National Information Services, Inc.

433,900

13,768

IBM Corp.

467,100

91,893

 

181,598

Common Stocks - continued

Shares

Value (000s)

INFORMATION TECHNOLOGY - continued

Semiconductors & Semiconductor Equipment - 3.9%

Analog Devices, Inc.

1,108,800

$ 43,476

Intel Corp.

1,826,387

49,093

Intersil Corp. Class A

800,900

9,066

Linear Technology Corp.

774,400

25,927

Maxim Integrated Products, Inc.

522,900

14,584

Texas Instruments, Inc.

1,261,500

42,071

 

184,217

Software - 3.5%

Microsoft Corp.

5,214,026

165,493

TOTAL INFORMATION TECHNOLOGY

650,631

MATERIALS - 3.2%

Chemicals - 2.8%

Air Products & Chemicals, Inc.

276,400

24,942

BASF AG

314,050

27,571

Dow Chemical Co.

633,332

21,223

E.I. du Pont de Nemours & Co.

488,000

24,815

LyondellBasell Industries NV Class A

471,900

20,377

Praxair, Inc.

160,400

17,484

 

136,412

Metals & Mining - 0.4%

Freeport-McMoRan Copper & Gold, Inc.

420,600

17,901

TOTAL MATERIALS

154,313

TELECOMMUNICATION SERVICES - 2.8%

Diversified Telecommunication Services - 2.2%

AT&T, Inc.

2,074,600

63,462

CenturyLink, Inc.

972,446

39,141

 

102,603

Wireless Telecommunication Services - 0.6%

Vodafone Group PLC

11,157,300

30,055

TOTAL TELECOMMUNICATION SERVICES

132,658

UTILITIES - 6.5%

Electric Utilities - 4.6%

American Electric Power Co., Inc.

687,877

25,871

Duke Energy Corp.

1,559,300

32,621

Common Stocks - continued

Shares

Value (000s)

UTILITIES - continued

Electric Utilities - continued

Edison International

913,357

$ 38,242

FirstEnergy Corp.

222,430

9,851

NextEra Energy, Inc.

816,272

48,576

Northeast Utilities

198,000

7,108

PPL Corp.

1,243,009

35,488

Southern Co.

472,900

20,897

 

218,654

Gas Utilities - 0.4%

ONEOK, Inc.

242,400

20,032

Multi-Utilities - 1.5%

National Grid PLC

1,987,791

20,244

PG&E Corp.

316,000

13,171

Sempra Energy

593,200

35,141

 

68,556

TOTAL UTILITIES

307,242

TOTAL COMMON STOCKS

(Cost $4,343,068)

4,731,795

Money Market Funds - 0.1%

 

 

 

 

Fidelity Cash Central Fund, 0.12% (b)

52

0*

Fidelity Securities Lending Cash Central Fund, 0.12% (b)(c)

4,219,500

4,220

TOTAL MONEY MARKET FUNDS

(Cost $4,220)

4,220

TOTAL INVESTMENT PORTFOLIO - 99.8%

(Cost $4,347,288)

4,736,015

NET OTHER ASSETS (LIABILITIES) - 0.2%

7,728

NET ASSETS - 100%

$ 4,743,743

Legend

(a) Non-income producing

(b) Affiliated fund that is 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 are available on the SEC's website or upon request.

(c) Investment made with cash collateral received from securities on loan.

(d) Security or a portion of the security is on loan at period end.

*Amount represents less than $1,000.

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
(Amounts in thousands)

Fidelity Cash Central Fund

$ 9

Fidelity Securities Lending Cash Central Fund

25

Total

$ 34

Other Information

The following is a summary of the inputs used, as of February 29, 2012, 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 table below, please refer to the Investment Valuation section at the end of this listing.

Valuation Inputs at Reporting Date:

Description
(Amounts in thousands)

Total

Level 1

Level 2

Level 3

Investments in Securities:

Equities:

Consumer Discretionary

$ 517,134

$ 517,134

$ -

$ -

Consumer Staples

654,541

639,802

14,739

-

Energy

470,118

470,118

-

-

Financials

753,235

753,235

-

-

Health Care

467,422

380,533

86,889

-

Industrials

624,501

624,501

-

-

Information Technology

650,631

650,631

-

-

Materials

154,313

154,313

-

-

Telecommunication Services

132,658

102,603

30,055

-

Utilities

307,242

286,998

20,244

-

Money Market Funds

4,220

4,220

-

-

Total Investments in Securities:

$ 4,736,015

$ 4,584,088

$ 151,927

$ -

Income Tax Information

At February 29, 2012, the cost of investment securities for income tax purposes was $4,354,110,000. Net unrealized appreciation aggregated $381,905,000, of which $472,633,000 related to appreciated investment securities and $90,728,000 related to depreciated investment securities.

Investment Valuation

Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. Security transactions are accounted for as of trade date. The Fund uses independent pricing services approved by the Board of Trustees to value its investments. When current market prices or quotations are not readily available or reliable, valuations may be determined in good faith in accordance with procedures adopted by the Board of Trustees. Factors used in determining value may include market or security specific events. The frequency with which these procedures are used cannot be predicted and they may be utilized to a significant extent. The value used for net asset value calculation under these procedures may differ from published prices for the same securities. The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels: 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). Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. Valuation techniques used to value the Fund's investments by major category are as follows:

Equity securities, including restricted securities, for which market quotations are readily available, are valued at the last reported sale price or official closing price as reported by an independent pricing service on the primary market or exchange on which they are traded and are categorized as Level 1 in the hierarchy. In the event there were no sales during the day or closing prices are not available, securities are valued at the last quoted bid price or may be valued using the last available price and are generally categorized as Level 2 in the hierarchy. For foreign equity securities, when significant market or security specific events arise, comparisons to the valuation of American Depositary Receipts, futures contracts, Exchange-traded funds (ETFs) and certain indexes as well as quoted prices for similar securities are used and are categorized as Level 2 in the hierarchy in these circumstances. Utilizing these techniques may result in transfers between Level 1 and Level 2. For restricted equity securities and private placements where observable inputs are limited, assumptions about market activity and risk are used and are categorized as Level 3 in the hierarchy.

Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value each business day and are categorized as Level 1 in the hierarchy.

For additional information on the Fund's policy regarding valuation of investments and other significant accounting policies, please refer to the Fund's most recent semiannual or annual shareholder report.

Quarterly Report

The fund's schedule of investments as of the date on the cover of this report has not been audited. This report is provided for the general information of the fund's shareholders. For more information regarding the fund and its holdings, please

see the fund's most recent prospectus and annual report.

Third party trademarks and service marks are the property of their respective owners. All other trademarks and service marks are the property of FMR LLC

or an affiliate.

Quarterly Report

Quarterly Holdings Report

for

Fidelity ® Independence Fund

February 29, 2012 

1.797942.108

FRE-QTLY-0412

Investments February 29, 2012 (Unaudited)

Showing Percentage of Net Assets

Common Stocks - 100.0%

Shares

Value (000s)

CONSUMER DISCRETIONARY - 26.0%

Auto Components - 2.3%

Autoliv, Inc.

400,000

$ 26,640

BorgWarner, Inc. (a)

125,000

10,355

Delphi Automotive PLC

400,000

12,800

TRW Automotive Holdings Corp. (a)

800,000

36,592

 

86,387

Automobiles - 0.9%

Ford Motor Co.

2,750,000

34,045

Diversified Consumer Services - 0.8%

Anhanguera Educacional Participacoes SA

465,700

6,120

Weight Watchers International, Inc.

318,700

24,852

 

30,972

Hotels, Restaurants & Leisure - 1.9%

Arcos Dorados Holdings, Inc.

530,000

11,141

Las Vegas Sands Corp.

250,000

13,903

Panera Bread Co. Class A (a)

165,300

25,552

Yum! Brands, Inc.

300,000

19,872

 

70,468

Household Durables - 2.7%

D.R. Horton, Inc.

1,075,000

15,416

Gafisa SA sponsored ADR (d)

2,084,000

11,566

KB Home (d)

1,532,709

17,504

PulteGroup, Inc. (a)

5,000,000

44,100

Toll Brothers, Inc. (a)

660,557

15,497

 

104,083

Internet & Catalog Retail - 0.3%

Amazon.com, Inc. (a)

24,800

4,456

Groupon, Inc. Class A (a)(d)

400,000

7,886

 

12,342

Media - 1.9%

CBS Corp. Class B

800,000

23,920

The Walt Disney Co.

1,100,000

46,189

 

70,109

Multiline Retail - 2.5%

Dollar Tree, Inc. (a)

250,000

22,128

Lojas Renner SA

200,000

7,614

Macy's, Inc.

1,752,300

66,535

 

96,277

Common Stocks - continued

Shares

Value (000s)

CONSUMER DISCRETIONARY - continued

Specialty Retail - 6.1%

Dick's Sporting Goods, Inc.

300,000

$ 13,428

Home Depot, Inc.

1,000,000

47,570

Limited Brands, Inc.

1,050,000

48,857

PetSmart, Inc.

300,000

16,722

Pier 1 Imports, Inc. (a)

500,000

8,585

TJX Companies, Inc.

1,500,000

54,915

Vitamin Shoppe, Inc. (a)

200,000

8,486

Williams-Sonoma, Inc.

872,700

33,686

 

232,249

Textiles, Apparel & Luxury Goods - 6.6%

Arezzo Industria e Comercio SA

796,000

14,827

Burberry Group PLC

600,000

13,477

Deckers Outdoor Corp. (a)(d)

681,100

50,919

Fossil, Inc. (a)

175,000

21,347

Michael Kors Holdings Ltd.

121,100

5,238

Michael Kors Holdings Ltd. (f)

701,366

27,301

NIKE, Inc. Class B

300,000

32,376

Prada SpA

1,000,000

5,647

PVH Corp.

250,800

21,321

Ralph Lauren Corp.

100,000

17,373

Under Armour, Inc. Class A (sub. vtg.) (a)

140,000

12,494

Vera Bradley, Inc. (a)(d)

333,889

12,254

VF Corp.

110,000

16,066

 

250,640

TOTAL CONSUMER DISCRETIONARY

987,572

CONSUMER STAPLES - 4.2%

Beverages - 0.9%

Monster Beverage Corp. (a)

600,000

34,314

Food & Staples Retailing - 0.2%

Drogasil SA

717,032

6,981

Food Products - 1.6%

Green Mountain Coffee Roasters, Inc. (a)

945,400

61,423

Personal Products - 1.1%

Hengan International Group Co. Ltd.

2,481,000

22,535

Nu Skin Enterprises, Inc. Class A

350,000

20,216

 

42,751

Common Stocks - continued

Shares

Value (000s)

CONSUMER STAPLES - continued

Tobacco - 0.4%

British American Tobacco PLC sponsored ADR

150,000

$ 15,192

TOTAL CONSUMER STAPLES

160,661

ENERGY - 16.3%

Energy Equipment & Services - 2.9%

Cameron International Corp. (a)

450,000

25,070

Ensco International Ltd. ADR

200,000

11,660

McDermott International, Inc. (a)

800,000

10,448

Noble Corp.

300,000

12,054

Schlumberger Ltd.

629,006

48,817

 

108,049

Oil, Gas & Consumable Fuels - 13.4%

Anadarko Petroleum Corp.

400,000

33,648

Chevron Corp.

510,100

55,662

Concho Resources, Inc. (a)

708,800

75,728

Continental Resources, Inc. (a)

816,400

74,031

Genel Energy PLC

638,500

8,207

Hess Corp.

300,000

19,476

HollyFrontier Corp.

400,000

13,052

Kosmos Energy Ltd.

367,500

5,149

Marathon Oil Corp.

400,000

13,556

Oasis Petroleum, Inc. (a)

600,000

19,242

Occidental Petroleum Corp.

500,000

52,185

Pioneer Natural Resources Co.

716,400

78,546

SM Energy Co.

200,000

15,744

Whiting Petroleum Corp. (a)

788,500

46,238

 

510,464

TOTAL ENERGY

618,513

FINANCIALS - 6.4%

Capital Markets - 2.5%

Apollo Global Management LLC Class A

2,601,800

36,477

Fortress Investment Group LLC

1,000,000

3,850

Morgan Stanley

3,000,000

55,620

 

95,947

Diversified Financial Services - 3.2%

Bank of America Corp.

1,000,000

7,970

Common Stocks - continued

Shares

Value (000s)

FINANCIALS - continued

Diversified Financial Services - continued

Citigroup, Inc.

1,600,000

$ 53,312

JPMorgan Chase & Co.

1,500,000

58,860

 

120,142

Real Estate Investment Trusts - 0.5%

American Tower Corp.

300,000

18,774

Real Estate Management & Development - 0.2%

CBRE Group, Inc. (a)

400,000

7,332

TOTAL FINANCIALS

242,195

HEALTH CARE - 11.3%

Biotechnology - 2.9%

Alexion Pharmaceuticals, Inc. (a)

475,000

39,772

Biogen Idec, Inc. (a)

200,000

23,294

Celgene Corp. (a)

50,000

3,666

Clovis Oncology, Inc.

39,600

990

InterMune, Inc. (a)

134,155

1,800

Synageva BioPharma Corp. (a)

100,000

3,732

Vertex Pharmaceuticals, Inc. (a)

941,700

36,651

 

109,905

Health Care Providers & Services - 4.4%

Accretive Health, Inc. (a)

600,000

15,594

HMS Holdings Corp. (a)

814,500

26,243

Humana, Inc.

519,500

45,248

UnitedHealth Group, Inc.

900,000

50,175

WellPoint, Inc.

475,000

31,174

 

168,434

Health Care Technology - 0.6%

SXC Health Solutions Corp. (a)

300,000

21,447

Pharmaceuticals - 3.4%

Allergan, Inc.

150,000

13,439

Elan Corp. PLC sponsored ADR (a)

2,100,000

26,250

Perrigo Co.

50,000

5,153

Shire PLC sponsored ADR

321,400

33,635

Valeant Pharmaceuticals International, Inc. (Canada) (a)

844,360

44,767

ViroPharma, Inc. (a)

200,000

6,412

 

129,656

TOTAL HEALTH CARE

429,442

Common Stocks - continued

Shares

Value (000s)

INDUSTRIALS - 11.3%

Airlines - 5.9%

Copa Holdings SA Class A

269,000

$ 19,252

Delta Air Lines, Inc. (a)

7,018,375

68,850

Gol Linhas Aereas Inteligentes SA sponsored ADR

700,000

6,153

Southwest Airlines Co.

2,250,000

20,205

United Continental Holdings, Inc. (a)

4,545,500

93,865

US Airways Group, Inc. (a)(d)

2,150,000

15,932

 

224,257

Building Products - 0.4%

Owens Corning (a)

500,000

15,825

Commercial Services & Supplies - 0.3%

Aggreko PLC

200,000

7,041

Swisher Hygiene, Inc.

1,531,745

4,519

 

11,560

Electrical Equipment - 0.3%

Roper Industries, Inc.

100,000

9,152

Machinery - 2.1%

Caterpillar, Inc.

162,600

18,571

Cummins, Inc.

52,200

6,294

Dover Corp.

175,000

11,204

Kennametal, Inc.

400,000

18,428

Parker Hannifin Corp.

296,000

26,584

 

81,081

Professional Services - 0.8%

Qualicorp SA

886,000

7,738

Robert Half International, Inc.

800,000

22,744

 

30,482

Road & Rail - 0.6%

Union Pacific Corp.

200,000

22,050

Trading Companies & Distributors - 0.9%

Air Lease Corp.:

Class A (a)(e)

500,600

12,310

Class A

498,200

12,251

Mills Estruturas e Servicos de Engenharia SA

801,000

10,447

 

35,008

TOTAL INDUSTRIALS

429,415

Common Stocks - continued

Shares

Value (000s)

INFORMATION TECHNOLOGY - 19.7%

Communications Equipment - 1.8%

Cisco Systems, Inc.

2,700,000

$ 53,676

HTC Corp.

340,000

7,646

Riverbed Technology, Inc. (a)

250,000

7,118

 

68,440

Computers & Peripherals - 8.4%

Apple, Inc. (a)

546,100

296,215

Lenovo Group Ltd.

9,048,000

8,014

SanDisk Corp. (a)

300,000

14,838

 

319,067

Internet Software & Services - 1.7%

Active Network, Inc.

129,800

2,077

Akamai Technologies, Inc. (a)

150,000

5,400

Bankrate, Inc.

471,600

11,243

Cornerstone OnDemand, Inc.

283,600

5,882

Facebook, Inc. Class B (f)

171,740

5,285

Rackspace Hosting, Inc. (a)

300,000

15,672

Tencent Holdings Ltd.

295,700

7,701

VeriSign, Inc.

200,000

7,390

YouKu.com, Inc. ADR (a)(d)

91,400

2,298

 

62,948

IT Services - 2.3%

Cognizant Technology Solutions Corp. Class A (a)

691,700

49,076

MasterCard, Inc. Class A

80,000

33,600

ServiceSource International, Inc.

250,000

4,200

 

86,876

Semiconductors & Semiconductor Equipment - 2.7%

Altera Corp.

400,000

15,380

ASML Holding NV

500,000

22,775

Freescale Semiconductor Holdings I Ltd.

1,289,600

20,801

Intel Corp.

700,000

18,816

NXP Semiconductors NV (a)

1,072,000

26,586

 

104,358

Software - 2.8%

Ariba, Inc. (a)

200,000

6,294

Citrix Systems, Inc. (a)

450,000

33,633

CommVault Systems, Inc. (a)

200,000

10,314

Informatica Corp. (a)

837,200

41,157

Common Stocks - continued

Shares

Value (000s)

INFORMATION TECHNOLOGY - continued

Software - continued

RealPage, Inc. (a)

275,941

$ 5,472

VMware, Inc. Class A (a)

100,000

9,889

 

106,759

TOTAL INFORMATION TECHNOLOGY

748,448

MATERIALS - 4.8%

Chemicals - 4.3%

Celanese Corp. Class A

350,000

16,650

CF Industries Holdings, Inc.

210,600

39,172

Dow Chemical Co.

724,600

24,281

Huntsman Corp.

600,000

8,196

LyondellBasell Industries NV Class A

482,300

20,826

Potash Corp. of Saskatchewan, Inc.

100,000

4,651

Rockwood Holdings, Inc. (a)

253,300

13,488

The Mosaic Co.

300,000

17,325

Westlake Chemical Corp.

325,000

19,575

 

164,164

Metals & Mining - 0.5%

First Quantum Minerals Ltd.

725,000

16,586

TOTAL MATERIALS

180,750

TOTAL COMMON STOCKS

(Cost $3,152,475)


3,796,996

Money Market Funds - 1.0%

 

 

 

 

Fidelity Cash Central Fund, 0.12% (b)

2,166,583

2,167

Fidelity Securities Lending Cash Central Fund, 0.12% (b)(c)

37,115,775

37,116

TOTAL MONEY MARKET FUNDS

(Cost $39,283)


39,283

TOTAL INVESTMENT PORTFOLIO - 101.0%

(Cost $3,191,758)

3,836,279

NET OTHER ASSETS (LIABILITIES) - (1.0)%

(38,265)

NET ASSETS - 100%

$ 3,798,014

Legend

(a) Non-income producing

(b) Affiliated fund that is 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 are available on the SEC's website or upon request.

(c) Investment made with cash collateral received from securities on loan.

(d) Security or a portion of the security is on loan at period end.

(e) 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 $12,310,000 or 0.3% of net assets.

(f) Restricted securities - Investment in securities not registered under the Securities Act of 1933 (excluding 144A issues). At the end of the period, the value of restricted securities (excluding 144A issues) amounted to $32,585,000 or 0.9% of net assets.

Additional information on each restricted holding is as follows:

Security

Acquisition Date

Acquisition Cost (000s)

Facebook, Inc. Class B

3/31/11

$ 4,294

Michael Kors Holdings Ltd.

7/8/11

$ 8,500

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
(Amounts in thousands)

Fidelity Cash Central Fund

$ 24

Fidelity Securities Lending Cash Central Fund

246

Total

$ 270

Other Information

The following is a summary of the inputs used, as of February 29, 2012, 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 at the end of this listing.

Valuation Inputs at Reporting Date:

Description
(Amounts in thousands)

Total

Level 1

Level 2

Level 3

Investments in Securities:

Equities:

Consumer Discretionary

$ 987,572

$ 960,271

$ 27,301

$ -

Consumer Staples

160,661

160,661

-

-

Energy

618,513

618,513

-

-

Financials

242,195

242,195

-

-

Health Care

429,442

429,442

-

-

Industrials

429,415

429,415

-

-

Information Technology

748,448

743,163

-

5,285

Materials

180,750

180,750

-

-

Money Market Funds

39,283

39,283

-

-

Total Investments in Securities:

$ 3,836,279

$ 3,803,693

$ 27,301

$ 5,285

The following is a reconciliation of Investments in Securities for which Level 3 inputs were used in determining value:

(Amounts in thousands)

 

Investments in Securities:

Beginning Balance

$ 12,794

Total Realized Gain (Loss)

-

Total Unrealized Gain (Loss)

991

Cost of Purchases

-

Proceeds of Sales

(8,500)

Amortization/Accretion

-

Transfers in to Level 3

-

Transfers out of Level 3

-

Ending Balance

$ 5,285

The change in unrealized gain (loss) for the period attributable to Level 3 securities held at February 29, 2012

$ 991

The information used in the above reconciliation represents fiscal year to date activity for any Investments in Securities identified as using Level 3 inputs at either the beginning or the end of the current fiscal period. Transfers in or out of Level 3 represent the beginning value of any Security or Instrument where a change in the pricing level occurred from the beginning to the end of the period. The cost of purchases and the proceeds of sales may include securities received or delivered through corporate actions or exchanges.

Income Tax Information

At February 29, 2012, the cost of investment securities for income tax purposes was $3,199,560,000. Net unrealized appreciation aggregated $636,719,000, of which $756,203,000 related to appreciated investment securities and $119,484,000 related to depreciated investment securities.

Investment Valuation

Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. Security transactions are accounted for as of trade date. The Fund uses independent pricing services approved by the Board of Trustees to value its investments. When current market prices or quotations are not readily available or reliable, valuations may be determined in good faith in accordance with procedures adopted by the Board of Trustees. Factors used in determining value may include market or security specific events. The frequency with which these procedures are used cannot be predicted and they may be utilized to a significant extent. The value used for net asset value calculation under these procedures may differ from published prices for the same securities. The Fund categorizes the inputs to valuation techniques used to value its investments into a disclosure hierarchy consisting of three levels: 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). Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. Valuation techniques used to value the Fund's investments by major category are as follows:

Equity securities, including restricted securities, for which market quotations are readily available, are valued at the last reported sale price or official closing price as reported by an independent pricing service on the primary market or exchange on which they are traded and are categorized as Level 1 in the hierarchy. In the event there were no sales during the day or closing prices are not available, securities are valued at the last quoted bid price or may be valued using the last available price and are generally categorized as Level 2 in the hierarchy. For foreign equity securities, when significant market or security specific events arise, comparisons to the valuation of American Depositary Receipts, futures contracts, Exchange-traded funds (ETFs) and certain indexes as well as quoted prices for similar securities are used and are categorized as Level 2 in the hierarchy in these circumstances. Utilizing these techniques may result in transfers between Level 1 and Level 2. For restricted equity securities and private placements where observable inputs are limited, assumptions about market activity and risk are used and are categorized as Level 3 in the hierarchy.

Investments in open-end mutual funds, including the Fidelity Central Funds, are valued at their closing net asset value each business day and are categorized as Level 1 in the hierarchy.

For additional information on the Fund's policy regarding valuation of investments and other significant accounting policies, please refer to the Fund's most recent semiannual or annual shareholder report.

Quarterly Report

The fund's schedule of investments as of the date on the cover of this report has not been audited. This report is provided for the general information of the fund's shareholders. For more information regarding the fund and its holdings, please

see the fund's most recent prospectus and annual report.

Third party trademarks and service marks are the property of their respective owners. All other trademarks and service marks are the property of FMR LLC

or an affiliate.

Quarterly Report

Item 2. Controls and Procedures

(a)(i) The President and Treasurer and the Chief Financial Officer have concluded that the Fidelity Financial Trust's (the "Trust") disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act) provide reasonable assurances that material information relating to the Trust is made known to them by the appropriate persons, based on their evaluation of these controls and procedures as of a date within 90 days of the filing date of this report.

(a)(ii) There was no change in the Trust's internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act) that occurred during the Trust's last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the Trust's internal control over financial reporting.

Item 3. Exhibits

Certification pursuant to Rule 30a-2(a) under the Investment Company Act of 1940 (17 CFR 270.30a-2(a)) is filed and attached hereto as Exhibit 99.CERT.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Fidelity Financial Trust

By:

/s/Kenneth B. Robins

 

Kenneth B. Robins

 

President and Treasurer

 

 

Date:

April 30, 2012

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By:

/s/Kenneth B. Robins

 

Kenneth B. Robins

 

President and Treasurer

 

 

Date:

April 30, 2012

By:

/s/Christine Reynolds

 

Christine Reynolds

 

Chief Financial Officer

 

 

Date:

April 30, 2012