Upcoming changes to the underlying Fidelity Global Telecommunications fund
03 September 2018
We have been notified by Fidelity International (Fidelity International Investment Management (Luxembourg) S.A.) (‘The Company’) of the following changes of the underlying fund into which J97 Fidelity Global Telecommunications invests. These will take place on 01 October 2018 (the “Effective Date”).
The underlying fund into which the above mentioned fund invests will undergo a change of name and a change of investment objective. The changes to be made on the Effective Date are detailed in the table below.
The Company has stated:
“We propose to broaden the Fund’s investment remit from a pure sector strategy focused on telecommunications companies to a more diversified equity fund constructed from a universe of infrastructure sectors including, but not limited to, telecommunications, utilities, energy, transportation and social (including educational services and healthcare facilities).
“There are two key reasons for broadening the Fund’s investment remit beyond telecommunications to include other industries of the infrastructure sectors. Firstly, the nature of these industries allows companies to increase their prices in line with inflation, thereby enabling the Fund to consistently receive dividends from holding equity securities of these companies. Secondly, these industries are traditionally less dependent on the economic cycle. As a result, they may provide a diversification benefit to an investor’s portfolio.”
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Before 1st October 2018 |
From 1st October 2018 |
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Mirror Fund Name |
Fidelity Global Telecommunications |
Fidelity Global Infrastructure |
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Fund Code |
J97 |
J97 |
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Underlying Fund Name |
Fidelity Funds – Global Telecommunications Fund |
Fidelity Funds – Global Infrastructure Fund |
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Investment objective and investment policy of the underlying fund |
Aims to provide investors with long-term capital growth, principally through investment in the equity securities of companies throughout the world which are involved in the development, manufacture or sale of telecommunications services or equipment. |
Aims to provide investors with income and long-term capital growth, principally through investment in the equity securities of companies throughout the world selected from a universe of infrastructure sectors including, but not limited to, telecommunications, utilities, energy, transportation and social (including educational services and healthcare facilities). |
The Company has also stated:
“There are no other impacts that may materially prejudice the existing Shareholders’ rights or interests as a result of the proposed Changes outlined above.”
Should you have any questions regarding these changes, please contact International Funds & Investments.