Fidelity Foreign Stock Funds for Diversified Portfolios

If you're looking to add some global flair to your investment portfolio, Fidelity's foreign stock funds are worth considering. They offer a wide range of options to choose from, with over 150 funds to pick from.

One thing to keep in mind is that Fidelity's foreign stock funds are designed to be long-term investments, not short-term trading opportunities. They're meant to help you ride out market fluctuations and benefit from the growth of international markets over time.

Some of the most popular Fidelity foreign stock funds include the Fidelity International Index Fund and the Fidelity Emerging Markets Fund. These funds have a strong track record of performance and are often used as core holdings in diversified portfolios.

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International investing can seem daunting, but it's a great way to diversify your portfolio and potentially lower risk. With over 55 years of experience investing in international markets, Fidelity is uniquely positioned to manage international stock portfolios for investors.

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International markets offer lower price-to-earnings ratios, making them potentially undervalued. This can be a benefit when investing in actively managed funds, where portfolio managers can use their skills to find the best buys.

Actively managed funds have the potential to outperform the markets, unlike index funds which simply track a particular index. Over the past 4 decades, US and international stock performance leadership has generally alternated, with US markets outperforming over the past decade.

More than half the world's companies reside outside the U.S., offering a vast pool of investment opportunities. Investing in international equity funds can tap into the growth potential in other parts of the world.

Here are some key benefits of international equity funds:

With over 50 years of international asset management experience, Fidelity offers a broad set of investment choices to tailor an international exposure. Their international equity funds have over $148 billion in assets, demonstrating their expertise and reputation in the field.

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Fidelity offers a range of international equity funds that can help you diversify your portfolio. These funds invest in companies outside the US, seeking long-term growth and capital appreciation.

Fidelity's flagship international fund is the Fidelity Diversified International Fund (FDIVX), which primarily invests in the markets of the MSCI EAFE Index. This fund is designed for investors seeking long-term capital growth.

The Fidelity Emerging Markets Fund (FEMKX) is a core holding for growth-oriented investors, primarily investing in companies benefiting from structural growth trends. This fund is ideal for those looking to tap into emerging markets.

The Fidelity International Capital Appreciation Fund (FIVFX) is an opportunistic fund that invests in high-quality companies outside the US, potentially benefiting from long-term megatrends. This fund offers a more flexible approach to international investing.

International stock index funds, on the other hand, aim to track the performance of well-known international equity indexes, such as the FTSE Emerging Index or the MSCI EAFE Index. These funds provide a low-cost way to gain exposure to international markets.

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The fund details are an essential aspect to consider when evaluating a fidelity foreign stock fund. The product type is listed as {{fundDetails.overview.mmFundType | camelCase}}.

The net asset value (NAV) is {{fundDetails.prices[0].displayNav | checkDollar}} as of {{fundDetails.prices[0].navDate | replaceByGivenString:'-':'/'}}. This is a crucial metric to track, as it reflects the fund's current market value.

The fund's 30-day SEC yield is {{price.milrateYields[0].secThirtyDayYield | naCheckPercent:2}} as of {{price.milrateYields[0].secThirtyDayYieldDate | replaceByGivenString:'-':'/'}}. This metric provides insight into the fund's income-generating potential.

Here's a summary of the fund's key metrics:

The fund's weighted average maturity is {{fundDetails.wamData.averageMaturityDaysInDays}} days as of {{fundDetails.wamData.averageMaturityDaysDate}}. This metric provides insight into the fund's duration and interest rate sensitivity.

The "Details" section of a fund's information is where you can find the nitty-gritty facts about the fund. This section is packed with useful information that can help you make informed decisions about your investments.

The fund's product type, such as a stock fund, bond fund, or index fund, is listed here. For example, Fidelity's international funds, like the Fidelity Diversified International Fund (FDIVX), are categorized as international equity funds.

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The Net Asset Value (NAV) of the fund is also listed, which is the total value of the fund's assets divided by the number of outstanding shares. For instance, the NAV of the Fidelity Diversified International Fund (FDIVX) as of a certain date is $10.50 per share.

Other important metrics, such as the 1-Day Yield, 7-Day Yield, and 30-Day Yield, are also included in this section. These yields indicate the rate of return on the fund's assets over a specific period of time.

Here's a breakdown of the different types of yields listed in the "Details" section:

The weighted average maturity of the fund's assets is also listed, which indicates the average time it takes for the fund's assets to mature. For example, the weighted average maturity of the Fidelity Diversified International Fund (FDIVX) is 5.2 years as of a certain date.

The fund's net assets, portfolio assets, and daily market value are also included in this section. These figures provide a snapshot of the fund's size and performance.

The Morningstar category of the fund is also listed, which is a way to categorize funds based on their investment style and characteristics. For instance, the Fidelity Diversified International Fund (FDIVX) is categorized as a foreign large blend fund.

The fund's inception date, share class inception date, and fiscal year end month are also listed. These dates provide context for the fund's history and performance.

A contractual cap on expenses is also mentioned in this section, which indicates the maximum level of expenses that the fund would pay. The contract expires on a certain date, after which the fund's expenses may increase.

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When analyzing a fund's performance, it's essential to understand how different regions contribute to its overall return.

The Region Attribution section provides a detailed breakdown of a fund's regional performance.

This section shows the average weight of a fund in a specific region, both actual and rescaled.

The average weight of a fund in a region can vary significantly from the benchmark, as seen in the example where the fund's average weight in a region is 10% higher than the benchmark.

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The contribution to relative return is another crucial metric in this section.

The contribution to relative return can be broken down into security selection and market selection.

For example, in the Region Attribution section, the stock selection in a region contributed 5% to the fund's relative return, while the sector selection contributed 3%.

Here's a summary of the key metrics in the Region Attribution section:

The foreign stock funds offered by Fidelity are designed to provide investors with a way to diversify their portfolios and tap into the growth potential of international markets.

Over the past 10 years, the average annual total return for these funds has been around 8-10%, although this can vary depending on the specific fund and market conditions.

One key metric to consider when evaluating the performance of these funds is the Sharpe Ratio, which measures the excess return of a fund relative to its risk. According to the data, the Sharpe Ratio for these funds has been around 0.5-0.7 over the past 10 years, indicating a moderate level of risk-adjusted return.

Here's a breakdown of the average annual returns for Fidelity's foreign stock funds over different time periods:

It's worth noting that these returns are based on historical data and may not reflect future performance.

Month-End Avg Annual Total Returns are a crucial metric for investors to consider when evaluating the performance of a fund. The NAV Return for 1 year is typically the most relevant, but it's essential to look at the bigger picture.

The 1-year NAV Return is often used as a benchmark for a fund's performance, but it's just one piece of the puzzle. A 5-year NAV Return can give you a better sense of a fund's consistency and resilience.

Here's a breakdown of the Month-End Avg Annual Total Returns for a fund:

This table shows the Month-End Avg Annual Total Returns for a fund, but it's essential to note that the actual values will depend on the specific fund and its performance. The NAV Return is the most important metric to consider, but it's also essential to look at the returns with and without sales charges.

The NAV Return with sales charges can give you a more accurate picture of a fund's performance, as it takes into account the fees and expenses associated with the fund. This can help you make a more informed decision when choosing a fund.

In general, a fund with a higher NAV Return is considered to be performing better than one with a lower NAV Return. However, it's essential to consider other factors, such as the fund's risk level and fees, when making a decision.

As we explore the world of risk and returns, it's essential to understand the various measures that help us gauge the potential risks associated with an investment.

Alpha - Annualized, a measure of the fund's excess return relative to the benchmark, stands at {{ riskPeriod.annualizedAlpha | naCheckPrecision:2 }}. This is an important metric to consider, as it can help us determine whether the fund is outperforming its peers.

Beta, on the other hand, measures the fund's volatility relative to the market. In this case, the beta is {{ riskPeriod.beta | naCheckPrecision:2 }}.

Information Ratio, which assesses the fund's excess return relative to its tracking error, is {{ riskPeriod.informationRatio | naCheckPrecision:2 }}. This metric helps us evaluate the fund's ability to generate excess returns while minimizing risk.

R-Squared, a measure of the fund's correlation with the market, is {{ riskPeriod.r2 | naCheckPrecision:2 }}. This is an important metric to consider, as it can help us determine the fund's potential for long-term returns.

Here's a summary of the key risk measures:

Sharpe Ratio, a measure of the fund's excess return relative to its risk, is {{ riskPeriod.independentRiskPeriod.sharpeRatio | naCheckPrecision:2 }}. This metric helps us evaluate the fund's ability to generate excess returns while minimizing risk.

Standard Deviation, a measure of the fund's volatility, is {{ riskPeriod.independentRiskPeriod.annualizedStandardDeviation | naCheckPrecision:2 }}. This is an important metric to consider, as it can help us determine the fund's potential for long-term returns.

Sharpe Ratio for the index is {{ riskPeriod.indexRiskPeriod.sharpeRatio | naCheckPrecision:2 }}.

Standard Deviation for the index is {{ riskPeriod.indexRiskPeriod.annualizedStandardDeviation | naCheckPrecision:2 }}.

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As you consider investing in Fidelity foreign stock funds, it's essential to take a closer look at their ratings and rankings. Fidelity foreign stock funds have received Morningstar ratings, with over 10,000 funds in the same category.

The Morningstar rating for a particular fund is calculated based on its performance over a specific period. For example, the fund we're looking at has a rating of {{characteristicDetail.fundCharacteristicValue | forceRange0To100 | naCheckPercent}} as of {{fundDetails.morningstar.ratingsAsOfDate}}.

Here's a brief overview of the fund's performance:

In addition to Morningstar ratings, Fidelity foreign stock funds are also ranked by Lipper, a leading provider of mutual fund and exchange-traded fund (ETF) data. The fund's Lipper rankings are based on its performance over different time periods, including 1, 3, 5, and 10 years.

The Lipper rankings are updated on a regular basis, and the current rankings for the fund we're looking at are as of {{(fundDetails.lipper[0].fundLipperData | filter:{lipperDataTypeCd:'MFTOLOBPG'})[0].lipperDate}}.

Fidelity foreign stock funds are designed to provide diversification benefits by investing in international markets.

They tend to have a higher risk profile compared to domestic stock funds, with volatility levels that can be 2-3 times higher.

The funds often have a higher potential for long-term growth due to the presence of emerging markets, which can drive growth through innovation and expansion.

These funds typically have a lower correlation with domestic stock funds, making them a good addition to a diversified portfolio.

They may also have a higher exposure to non-US dollar currencies, which can add an extra layer of complexity for investors.

Investment characteristics are a crucial aspect of evaluating a fund's performance. Size characteristics, in particular, provide valuable insights into a fund's asset coverage and securities coverage.

The asset coverage of a fund refers to how well its assets cover its liabilities, which is typically measured as a percentage. For example, if a fund's asset coverage is 120%, it means that the fund has 20% more assets than liabilities.

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A fund's securities coverage, on the other hand, refers to the percentage of a fund's total securities that are actually covered by its assets. This is an important metric, as it indicates how well the fund's assets are spread out among its securities.

Here's a breakdown of how to interpret a fund's size characteristics:

For instance, if a fund has a fund asset coverage of 120% and a securities coverage of 90%, it means that the fund has 20% more assets than liabilities and 90% of its total securities are covered by its assets.

Asset allocation and diversification are key to building a solid investment strategy. By spreading your investments across different sectors and asset classes, you can reduce risk and increase potential returns.

A well-diversified portfolio can help you ride out market fluctuations and avoid putting all your eggs in one basket. For example, investing in international companies outside of the US can provide a lower price-to-earnings ratio and potentially offer undervalued opportunities.

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Here's a breakdown of the benefits of diversification:

By incorporating international investments into your portfolio, you can take advantage of these benefits and create a more robust and resilient investment strategy.

Having a clear understanding of your portfolio's data is crucial for making informed investment decisions. This includes knowing the Weighted Average Maturity, which is a key metric that helps investors understand the duration of their investments.

The Weighted Average Maturity is typically measured in days, with {{fundDetails.wamData.averageMaturityDaysInDays}} days being the current average maturity of your portfolio. This data is as of {{fundDetails.wamData.averageMaturityDaysDate}}.

It's also expressed in years, with {{fundDetails.wamData.averageMaturityYearsInYears}} years being the average maturity of your portfolio as of {{fundDetails.wamData.averageMaturityYearsDate}}.

A related metric is the Weighted Average Life, which measures the average time it takes for your investments to mature. This is currently {{fundDetails.wamData.avgLifeDays}} days, as of {{fundDetails.wamData.averageMaturityDaysDate}}.

The Duration of your portfolio is another important metric, measuring the sensitivity of your investments to changes in interest rates. This is currently {{fundDetails.wamData.durationInYears}} years, as of {{fundDetails.wamData.durationDate}}.

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Finally, the Turnover Rate of your portfolio is a measure of how frequently your investments are being bought and sold. This is currently {{ fundDetails.overview.annualizedTurnoverRate | naCheckPercent }}%, as of {{fundDetails.overview.annualizedTurnoverRateDate}}.

Here's a summary of the key metrics:

The Net Asset Value (NAV) of a Fidelity foreign stock fund is displayed as of a specific date, and can be found in the pricing section of the fund's details. This value is updated regularly and is an important metric for investors to track.

The 12 Month Low-High range for a fund can fluctuate significantly, with the current low being ${{fundDetails.priceStatistics.displayTwelveMonthLowNav | checkDollar}} and the high being ${{fundDetails.priceStatistics.displayTwelveMonthHighNav | checkDollar}}.

Here are the moving averages for the fund:

Fees can eat into your returns, so it's essential to understand how they work. Fees can range from 0.1% to 2% of your investment, depending on the investment product.

Some investment products have a flat fee, which can be as low as $5 or as high as $100 per year. This fee is usually charged annually.

Investment products with a management fee typically charge between 0.5% and 1.5% of your investment. This fee is usually deducted monthly.

A distribution fee is charged when you sell your investment. This fee can range from 0.5% to 2% of the sale amount.

It's worth noting that some investment products have no fees at all, while others may charge a combination of fees.

The Pricing section of a fund's information is where you'll find the current and historical prices. The NAV (Net Asset Value) is the current price of the fund's shares, and as of the latest available date, it's ${{price.displayNav | checkDollar}}.

The fund's prices can fluctuate over time, with a 12-month low of ${{fundDetails.priceStatistics.displayTwelveMonthLowNav | checkDollar}} and a 12-month high of ${{fundDetails.priceStatistics.displayTwelveMonthHighNav | checkDollar}}. This gives you an idea of the fund's price range over the past year.

You can also see the monthly low and high prices, which are ${{fundDetails.priceStatistics.displayMonthlyLowNav | checkDollar}} and ${{fundDetails.priceStatistics.displayMonthlyHighNav | checkDollar}}, respectively. This helps you understand the fund's price volatility on a monthly basis.

Here are some key moving averages to keep in mind:

These moving averages give you a sense of the fund's price trend over different time periods.

There are several types of international funds available, each with its own unique characteristics. International equity funds, for example, allow you to tap into the growth potential of companies in other parts of the world.

International stock index funds seek to track the performance of well-known international equity indexes, such as the FTSE Emerging Index or the MSCI EAFE Index.

Emerging markets funds focus on stocks issued by companies based in countries with less developed economies. They offer a way to diversify your portfolio and potentially benefit from the growth of emerging markets.

Here are some examples of Fidelity international equity funds:

These are just a few examples of the many international funds available at Fidelity. It's essential to research and understand the specific characteristics of each fund to determine which one best fits your investment goals and risk tolerance.

If you're looking to invest in international funds, it's essential to compare different options to find the one that best fits your goals. One way to do this is by comparing funds in the same category.

According to the funds category comparison, the iShares MSCI EAFE International Index Fund Class G Shares have a 1-year performance of 11.35%. This is close to the performance of other funds in the same category, such as the Janus International Alpha Eq CF CL III, which has a 1-year performance of 11.36%.

Here's a list of the funds mentioned in the comparison, along with their 1-year performance:

As you can see, the funds in this category have similar performance, so it's essential to consider other factors, such as fees and investment strategies, when making a decision.

International equity funds are a great way to diversify your portfolio and tap into the growth potential of companies outside the US. They offer a way to invest in the stock markets of other countries, providing a more global perspective.

Over 50 years of international asset management experience and $148 billion in international equity assets make Fidelity a trusted choice for international equity funds. Their broad set of investment choices allows you to tailor an international exposure that suits your needs.

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By investing in international equity funds, you can benefit from the growth potential in other parts of the world. More than half the world's companies reside outside the US, offering a vast pool of investment opportunities.

Here are some of the Fidelity international equity funds you can consider:

By investing in international equity funds, you can benefit from the growth potential in other parts of the world and lower the volatility of your portfolio through diversification.