N-CSRS 1 main.htm

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

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number 811-215

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

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

Scott C. Goebel, Secretary

245 Summer St.

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

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

Date of fiscal year end:

December 31

 

 

Date of reporting period:

June 30, 2014

Item 1. Reports to Stockholders

Fidelity®

Series Emerging Markets Debt

Fund

Fidelity Series Emerging Markets Debt Fund
Class F

Semiannual Report

June 30, 2014

(Fidelity Cover Art)

Contents

Shareholder Expense Example

(Click Here)

An example of shareholder expenses.

Investment Changes

(Click Here)

A summary of major shifts in the fund's investments over the past six months.

Investments

(Click Here)

A complete list of the fund's investments with their market values.

Financial Statements

(Click Here)

Statements of assets and liabilities, operations, and changes in net assets, as well as financial highlights.

Notes

(Click Here)

Notes to the financial statements.

To view a fund's proxy voting guidelines and proxy voting record for the 12-month period ended June 30, visit http://www.fidelity.com/proxyvotingresults or visit the Securities and Exchange Commission's (SEC) web site at http://www.sec.gov. You may also call 1-800-544-8544 for Fidelity Series Emerging Markets Debt Fund or 1-800-835-5092 for Class F of the fund to request a free copy of the proxy voting guidelines.

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

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

All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company. © 2014 FMR LLC. All rights reserved.

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

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

NOT FDIC INSURED • MAY LOSE VALUE • NO BANK GUARANTEE

Neither the fund nor Fidelity Distributors Corporation is a bank.

Semiannual Report

Shareholder Expense Example

As a shareholder of the Fund, you incur two types of costs: (1) transaction costs, and (2) ongoing costs, including management fees and other Fund expenses. This Example is intended to help you understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds.

The Example is based on an investment of $1,000 invested at the beginning of the period and held for the entire period (January 1, 2014 to June 30, 2014).

Actual Expenses

The first line of the accompanying table for each class of the Fund provides information about actual account values and actual expenses. You may use the information in this line, together with the amount you invested, to estimate the expenses that you paid over the period. Simply divide your account value by $1,000.00 (for example, an $8,600 account value divided by $1,000.00 = 8.6), then multiply the result by the number in the first line for a class of the Fund under the heading entitled "Expenses Paid During Period" to estimate the expenses you paid on your account during this period. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.

Hypothetical Example for Comparison Purposes

The second line of the accompanying table for each class of the Fund provides information about hypothetical account values and hypothetical expenses based on a Class' actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Class' actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses you paid for the period. You may use this information to compare the ongoing costs of investing in the Fund and other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds. In addition, the Fund, as a shareholder in the underlying Fidelity Central Funds, will indirectly bear its pro-rata share of the fees and expenses incurred by the underlying Fidelity Central Funds. These fees and expenses are not included in the Fund's annualized expense ratio used to calculate the expense estimate in the table below.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transaction costs. Therefore, the second line of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

Semiannual Report

Shareholder Expense Example - continued

 

Annualized
Expense Ratio B

Beginning
Account Value
January 1, 2014

Ending
Account Value
June 30, 2014

Expenses Paid
During Period*
January 1, 2014
to June 30, 2014

Series Emerging Markets Debt

.84%

 

 

 

Actual

 

$ 1,000.00

$ 1,087.80

$ 4.35

Hypothetical A

 

$ 1,000.00

$ 1,020.63

$ 4.21

Class F

.73%

 

 

 

Actual

 

$ 1,000.00

$ 1,088.40

$ 3.78

Hypothetical A

 

$ 1,000.00

$ 1,021.17

$ 3.66

A 5% return per year before expenses

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

* Expenses are equal to each Class' annualized expense ratio, multiplied by the average account value over the period, multiplied by 181/365 (to reflect the one-half year period).

Semiannual Report

Investment Changes (Unaudited)

Top Five Countries as of June 30, 2014

(excluding cash equivalents)

% of fund's
net assets

% of fund's net assets
6 months ago

Venezuela

12.6

8.8

Mexico

9.5

7.7

Indonesia

7.3

6.7

Argentina

6.8

5.3

Turkey

6.2

6.3

Percentages are adjusted for the effect of open futures contracts, if applicable.

Top Five Holdings as of June 30, 2014

(by issuer, excluding cash equivalents)

% of fund's
net assets

% of fund's net assets
6 months ago

Venezuelan Republic

7.6

4.3

Russian Federation

5.6

5.4

Turkish Republic

5.1

5.3

Petroleos de Venezuela SA

5.0

4.5

Indonesian Republic

4.7

4.4

 

28.0

Asset Allocation (% of fund's net assets)

As of June 30, 2014

As of December 31, 2013

hhh244584

Corporate Bonds 38.3%

 

hhh244584

Corporate Bonds 34.5%

 

hhh244587

Government
Obligations 57.0%

 

hhh244587

Government
Obligations 56.0%

 

hhh244590

Supranational Obligations 0.3%

 

hhh244592

Supranational Obligations 0.0%

 

hhh244594

Stocks 0.0%

 

hhh244596

Stocks 0.0%†

 

hhh244598

Preferred Securities 0.9%

 

hhh244598

Preferred Securities 1.3%

 

hhh244601

Other Investments 0.5%

 

hhh244601

Other Investments 0.5%

 

hhh244604

Short-Term
Investments and
Net Other Assets
(Liabilities) 3.0%

 

hhh244604

Short-Term
Investments and
Net Other Assets
(Liabilities) 7.7%

 

hhh244607

† Amount represents less than 0.1%.

Semiannual Report

Investments June 30, 2014 (Unaudited)

Showing Percentage of Net Assets

Nonconvertible Bonds - 38.3%

 

Principal Amount (c)

Value

Argentina - 2.8%

Aeropuertos Argentina 2000 SA:

10.75% 12/1/20 (e)

$ 4,545,960

$ 4,773,258

10.75% 12/1/20 (Reg. S)

464,400

487,620

Banco de Galicia y Buenos Aires SA 16% 1/1/19 (Reg. S)

870,000

913,500

City of Buenos Aires 9.95% 3/1/17 (e)

4,390,000

4,449,265

Empresa Distribuidora y Comercializadora Norte SA 9.75% 10/25/22 (e)

2,828,000

2,177,560

Inversiones y Representaciones SA:

8.5% 2/2/17 (Reg. S)

205,000

200,900

11.5% 7/20/20 (Reg. S)

10,000

10,717

Pan American Energy LLC 7.875% 5/7/21 (e)

2,875,000

3,004,375

Transportadora de Gas del Sur SA 9.625% 5/14/20 (e)

7,683,595

7,837,267

YPF SA:

8.75% 4/4/24 (e)

3,415,000

3,568,334

8.875% 12/19/18 (e)

5,455,000

5,755,025

TOTAL ARGENTINA

33,177,821

Bailiwick of Jersey - 0.5%

Polyus Gold International Ltd.:

5.625% 4/29/20 (e)

5,925,000

5,865,750

5.625% 4/29/20 (Reg. S)

550,000

544,500

TOTAL BAILIWICK OF JERSEY

6,410,250

Bangladesh - 0.3%

Banglalink Digital Communications Ltd. 8.625% 5/6/19 (e)

3,255,000

3,450,300

Bermuda - 0.1%

Digicel Group Ltd. 8.25% 9/1/17 (e)

1,035,000

1,064,808

Brazil - 0.5%

Banco Daycoval SA 5.75% 3/19/19 (e)

1,645,000

1,715,735

Itau Unibanco Holding SA 6.2% 12/21/21 (e)

1,655,000

1,766,713

Rearden G Holdings Eins GmbH 7.875% 3/30/20 (e)

2,290,000

2,421,675

TOTAL BRAZIL

5,904,123

British Virgin Islands - 1.0%

Arcos Dorados Holdings, Inc. 10.25% 7/13/16 (e)

BRL

13,272,000

5,676,415

Gold Fields Orogen Holding BVI Ltd.:

4.875% 10/7/20 (e)

4,150,000

3,818,000

Nonconvertible Bonds - continued

 

Principal Amount (c)

Value

British Virgin Islands - continued

Gold Fields Orogen Holding BVI Ltd.: - continued

4.875% 10/7/20 (Reg. S)

$ 300,000

$ 276,000

Magnesita Finance Ltd. 8.625% (e)(f)

1,895,000

1,876,050

TOTAL BRITISH VIRGIN ISLANDS

11,646,465

Canada - 0.6%

Pacific Rubiales Energy Corp.:

5.375% 1/26/19 (e)

1,750,000

1,824,375

7.25% 12/12/21 (e)

4,848,000

5,381,280

Sino-Forest Corp. 6.25% 10/21/17 (b)(e)

3,220,000

0

TOTAL CANADA

7,205,655

Cayman Islands - 2.1%

Comcel Trust 6.875% 2/6/24 (e)

1,740,000

1,879,200

KWG Property Holding Ltd. 12.5% 8/18/17 (e)

1,830,000

1,958,100

Odebrecht Finance Ltd. 7.5% (e)(f)

8,250,000

8,507,813

Petrobras International Finance Co. Ltd.:

5.375% 1/27/21

4,045,000

4,215,820

6.875% 1/20/40

4,910,000

5,143,225

8.375% 12/10/18

3,055,000

3,627,919

TOTAL CAYMAN ISLANDS

25,332,077

El Salvador - 0.2%

Telemovil Finance Co. Ltd. 8% 10/1/17 (e)

2,764,000

2,905,793

Georgia - 0.9%

Georgia Bank Joint Stock Co.:

7.75% 7/5/17 (e)

4,315,000

4,617,050

7.75% 7/5/17 (Reg. S)

1,100,000

1,177,000

Georgian Oil & Gas Corp.:

6.875% 5/16/17 (e)

2,435,000

2,570,873

6.875% 5/16/17 (Reg. S)

450,000

475,110

JSC Georgian Railway 7.75% 7/11/22 (e)

1,565,000

1,752,800

TOTAL GEORGIA

10,592,833

Guatemala - 0.1%

Cementos Progreso Trust 7.125% 11/6/23 (e)

1,540,000

1,663,200

Indonesia - 2.6%

Perusahaan Penerbit SBSN 6.125% 3/15/19 (e)

2,710,000

3,011,488

PT Adaro Indonesia 7.625% 10/22/19 (e)

5,645,000

5,927,250

PT Gadjah Tunggal Tbk 7.75% 2/6/18 (e)

2,775,000

2,848,260

Nonconvertible Bonds - continued

 

Principal Amount (c)

Value

Indonesia - continued

PT Pertamina Persero:

4.3% 5/20/23 (e)

$ 1,880,000

$ 1,777,822

4.3% 5/20/23 (Reg S.)

1,000,000

943,750

4.875% 5/3/22 (e)

3,520,000

3,493,600

5.25% 5/23/21 (e)

2,200,000

2,266,000

5.625% 5/20/43 (e)

2,184,000

1,960,140

5.625% 5/20/43 (Reg. S)

900,000

807,750

6% 5/3/42 (e)

3,845,000

3,595,075

6.5% 5/27/41 (e)

3,820,000

3,810,450

6.5% 5/27/41 (Reg. S)

700,000

698,250

TOTAL INDONESIA

31,139,835

Ireland - 1.9%

MTS International Funding Ltd. 8.625% 6/22/20 (e)

7,160,000

8,469,564

Vimpel Communications OJSC 7.748% 2/2/21 (Issued by VIP Finance Ireland Ltd. for Vimpel Communications) (e)

10,315,000

11,269,138

Vnesheconombank Via VEB Finance PLC 6.902% 7/9/20 (e)

2,340,000

2,544,867

TOTAL IRELAND

22,283,569

Kazakhstan - 1.5%

Development Bank of Kazakhstan JSC 4.125% 12/10/22 (e)

1,100,000

1,043,790

Kazagro National Management Holding JSC 4.625% 5/24/23 (e)

1,050,000

1,015,770

KazMunaiGaz Finance Sub BV:

6.375% 4/9/21 (e)

2,025,000

2,254,838

7% 5/5/20 (e)

2,385,000

2,712,938

9.125% 7/2/18 (e)

1,415,000

1,704,863

KazMunaiGaz National Co.:

4.4% 4/30/23 (e)

1,840,000

1,804,120

5.75% 4/30/43 (e)

3,020,000

2,899,200

Zhaikmunai International BV:

7.125% 11/13/19 (e)

3,330,000

3,621,375

7.125% 11/13/19 (Reg. S)

450,000

489,375

TOTAL KAZAKHSTAN

17,546,269

Korea (South) - 0.1%

Export-Import Bank of Korea 6% 6/4/16 (Reg. S)

INR

104,200,000

1,703,183

Luxembourg - 2.9%

Alrosa Finance SA 7.75% 11/3/20 (e)

5,600,000

6,195,280

Nonconvertible Bonds - continued

 

Principal Amount (c)

Value

Luxembourg - continued

Aquarius Investments Luxemburg 8.25% 2/18/16

$ 4,185,000

$ 4,321,021

EVRAZ Group SA:

6.5% 4/22/20 (e)

1,915,000

1,785,738

8.25% 11/10/15 (e)

5,670,000

5,921,181

9.5% 4/24/18 (Reg. S)

3,800,000

4,089,750

RSHB Capital SA 6% 6/3/21 (e)(g)

1,305,000

1,311,525

SB Capital SA 5.5% 2/26/24 (e)(g)

3,080,000

2,995,300

TMK Capital SA 7.75% 1/27/18

8,120,000

8,424,500

TOTAL LUXEMBOURG

35,044,295

Malaysia - 0.1%

Petroliam Nasional Bhd (Petronas) 7.625% 10/15/26 (Reg. S)

900,000

1,233,883

Mexico - 6.7%

America Movil S.A.B. de CV 6.45% 12/5/22

MXN

40,400,000

3,087,969

Comision Federal de Electricid 5.75% 2/14/42 (e)

950,000

1,009,375

Credito Real S.A.B. de CV 7.5% 3/13/19 (e)

1,600,000

1,728,000

Gruma S.A.B. de CV 7.75% (Reg. S) (f)

5,914,000

5,987,925

Office Depot de Mexico SA de CV 6.875% 9/20/20 (e)

2,345,000

2,503,288

Pemex Project Funding Master Trust:

6.625% 6/15/35

7,845,000

9,237,488

6.625% 6/15/38

285,000

333,450

8.625% 12/1/23 (d)

320,000

407,680

Petroleos Mexicanos:

3.5% 1/30/23

3,085,000

3,012,503

4.875% 1/24/22

2,585,000

2,796,453

4.875% 1/18/24

2,680,000

2,874,300

4.875% 1/18/24 (e)

140,000

150,150

5.5% 1/21/21

4,130,000

4,635,925

5.5% 6/27/44

4,555,000

4,741,755

6% 3/5/20

2,000,000

2,288,000

6.375% 1/23/45 (e)

5,655,000

6,566,869

6.5% 6/2/41

7,405,000

8,608,313

6.625% (e)(f)

12,960,000

13,446,000

Tenedora Nemak SA de CV 5.5% 2/28/23 (e)

1,550,000

1,577,125

TV Azteca SA de CV 7.5% 5/25/18 (Reg. S)

5,285,000

5,628,525

TOTAL MEXICO

80,621,093

Netherlands - 4.0%

DTEK Finance BV 9.5% 4/28/15 (Reg. S)

3,785,000

3,567,363

GTB Finance BV:

6% 11/8/18 (e)

4,250,000

4,228,750

Nonconvertible Bonds - continued

 

Principal Amount (c)

Value

Netherlands - continued

GTB Finance BV: - continued

7.5% 5/19/16 (e)

$ 2,650,000

$ 2,779,320

HSBK BV:

7.25% 5/3/17 (e)

2,625,000

2,831,850

7.25% 5/3/17 (Reg. S)

550,000

593,340

Indosat Palapa Co. BV:

7.375% 7/29/20 (e)

2,050,000

2,221,790

7.375% 7/29/20

750,000

812,850

Intergas Finance BV 6.375% 5/14/17 (Reg. S)

2,875,000

3,097,813

Listrindo Capital BV 6.95% 2/21/19 (e)

1,210,000

1,303,775

Majapahit Holding BV 7.75% 1/20/20 (e)

1,535,000

1,795,950

Metinvest BV:

8.75% 2/14/18 (Reg. S)

335,000

291,450

10.25% 5/20/15 (e)

7,482,000

7,201,425

10.25% 5/20/15 (Reg. S)

650,000

625,625

Mozambique Ematum Finance 2020 6.305% 9/11/20 (Reg. S)

2,635,000

2,661,350

Nord Gold NV 6.375% 5/7/18 (e)

5,910,000

5,843,513

Nostrum Oil & Gas Finance BV 6.375% 2/14/19 (e)

3,435,000

3,589,575

Petrobras Global Finance BV 2.3665% 1/15/19 (g)

4,690,000

4,666,550

VimpelCom Holdings BV 9% 2/13/18 (Reg S.)

RUB

21,290,000

602,111

TOTAL NETHERLANDS

48,714,400

Nigeria - 0.3%

FBN Finance Co. BV 8.25% 8/7/20 (e)(g)

1,720,000

1,784,500

Zenith Bank PLC 6.25% 4/22/19 (e)

2,410,000

2,401,083

TOTAL NIGERIA

4,185,583

Paraguay - 0.5%

BBVA Paraguay SA 9.75% 2/11/16 (e)

3,050,000

3,278,750

Telefonica Celular del Paraguay SA:

6.75% 12/13/22 (e)

1,820,000

1,958,775

6.75% 12/13/22 (Reg. S)

400,000

430,000

TOTAL PARAGUAY

5,667,525

Philippines - 0.6%

Development Bank of Philippines 8.375% (f)(g)

3,885,000

4,154,176

Power Sector Assets and Liabilities Management Corp.:

7.39% 12/2/24 (e)

1,600,000

2,056,000

7.39% 12/2/24 (Reg. S)

500,000

642,500

TOTAL PHILIPPINES

6,852,676

Nonconvertible Bonds - continued

 

Principal Amount (c)

Value

Turkey - 1.1%

Finansbank A/S:

5.5% 5/11/16 (Reg. S)

$ 3,700,000

$ 3,795,830

6.25% 4/30/19 (e)

4,210,000

4,347,246

Yapi ve Kredi Bankasi A/S:

5.25% 12/3/18 (e)

1,165,000

1,192,727

6.75% 2/8/17 (e)

4,165,000

4,456,550

TOTAL TURKEY

13,792,353

Ukraine - 0.2%

Naftogaz of Ukraine NJSC 9.5% 9/30/14

2,910,000

2,851,800

United Kingdom - 1.3%

Afren PLC:

6.625% 12/9/20 (e)

1,710,000

1,765,575

10.25% 4/8/19 (Reg. S)

2,089,000

2,368,404

Biz Finance PLC 8.375% 4/27/15 (Reg. S)

8,455,000

7,905,425

Ferrexpo Finance PLC 7.875% 4/7/16 (e)

3,170,000

3,051,125

TOTAL UNITED KINGDOM

15,090,529

United States of America - 0.4%

Southern Copper Corp.:

6.75% 4/16/40

1,760,000

1,913,659

7.5% 7/27/35

2,750,000

3,201,344

TOTAL UNITED STATES OF AMERICA

5,115,003

Venezuela - 5.0%

Petroleos de Venezuela SA:

4.9% 10/28/14

8,145,000

8,127,896

6% 11/15/26 (e)

3,965,000

2,557,425

8.5% 11/2/17 (e)

29,920,000

27,984,176

8.5% 11/2/17 (Reg. S)

3,600,000

3,367,080

9% 11/17/21 (Reg. S)

2,515,000

2,137,499

9.75% 5/17/35 (e)

11,090,000

9,082,710

12.75% 2/17/22 (e)

6,660,000

6,734,925

TOTAL VENEZUELA

59,991,711

TOTAL NONCONVERTIBLE BONDS

(Cost $442,624,323)


461,187,032

Government Obligations - 57.0%

 

Principal Amount (c)

Value

Argentina - 4.0%

Argentine Republic:

7% 10/3/15

$ 20,785,000

$ 19,735,358

7% 4/17/17

15,965,000

14,675,383

Buenos Aires Province 10.875% 1/26/21 (Reg. S)

4,390,000

4,192,450

City of Buenos Aires 12.5% 4/6/15 (e)

2,535,000

2,579,363

Provincia de Cordoba 12.375% 8/17/17 (e)

4,460,000

4,292,750

Provincia de Neuquen Argentina 7.875% 4/26/21 (Reg. S)

2,958,000

2,921,025

TOTAL ARGENTINA

48,396,329

Armenia - 0.5%

Republic of Armenia 6% 9/30/20 (e)

6,020,000

6,351,100

Aruba - 0.1%

Aruba Government 4.625% 9/14/23 (e)

1,670,000

1,629,920

Azerbaijan - 0.3%

Azerbaijan Republic 4.75% 3/18/24 (e)

1,600,000

1,648,000

State Oil Co. of Azerbaijan Republic 4.75% 3/13/23 (Reg. S)

2,400,000

2,388,000

TOTAL AZERBAIJAN

4,036,000

Bahamas (Nassau) - 0.1%

Bahamian Republic 6.95% 11/20/29 (e)

1,095,000

1,216,545

Barbados - 0.1%

Barbados Government 7% 8/4/22 (e)

755,000

685,163

Belarus - 1.1%

Belarus Republic:

8.75% 8/3/15 (Reg. S)

10,230,000

10,524,624

8.95% 1/26/18

2,075,000

2,241,000

TOTAL BELARUS

12,765,624

Bolivia - 0.4%

Plurinational State of Bolivia:

4.875% 10/29/22 (e)

2,135,000

2,141,405

5.95% 8/22/23 (e)

2,390,000

2,521,450

5.95% 8/22/23

400,000

422,000

TOTAL BOLIVIA

5,084,855

Brazil - 3.0%

Brazilian Federative Republic:

4.25% 1/7/25

1,760,000

1,783,760

5.625% 1/7/41

9,290,000

9,986,750

Government Obligations - continued

 

Principal Amount (c)

Value

Brazil - continued

Brazilian Federative Republic: - continued

7.125% 1/20/37

$ 7,810,000

$ 9,879,650

8.25% 1/20/34

6,465,000

8,954,025

12.25% 3/6/30

3,215,000

5,947,750

TOTAL BRAZIL

36,551,935

Colombia - 1.5%

Colombian Republic:

5.625% 2/26/44

1,075,000

1,204,000

6.125% 1/18/41

3,170,000

3,796,075

7.375% 9/18/37

3,450,000

4,692,000

10.375% 1/28/33

5,484,000

8,664,720

TOTAL COLOMBIA

18,356,795

Congo - 0.7%

Congo Republic 3.5% 6/30/29 (d)

9,224,141

8,376,812

Costa Rica - 0.5%

Costa Rican Republic:

4.25% 1/26/23 (e)

1,950,000

1,872,000

4.375% 4/30/25 (e)

1,120,000

1,046,080

5.625% 4/30/43 (e)

730,000

652,620

7% 4/4/44 (e)

2,180,000

2,267,200

TOTAL COSTA RICA

5,837,900

Croatia - 1.5%

Croatia Republic:

5.5% 4/4/23 (e)

3,115,000

3,235,706

6% 1/26/24 (e)

1,150,000

1,233,375

6.25% 4/27/17 (e)

3,820,000

4,137,518

6.375% 3/24/21 (e)

3,120,000

3,428,100

6.625% 7/14/20 (e)

2,760,000

3,084,300

6.75% 11/5/19 (e)

3,100,000

3,475,875

TOTAL CROATIA

18,594,874

Dominican Republic - 1.4%

Dominican Republic:

1.1344% 8/30/24 (g)

5,200,000

4,524,000

5.875% 4/18/24 (e)

1,650,000

1,721,775

5.875% 4/18/24

470,000

490,445

7.45% 4/30/44 (e)

4,020,000

4,304,207

Government Obligations - continued

 

Principal Amount (c)

Value

Dominican Republic - continued

Dominican Republic: - continued

7.5% 5/6/21 (e)

$ 3,710,000

$ 4,234,965

9.04% 1/23/18 (e)

1,009,911

1,114,436

TOTAL DOMINICAN REPUBLIC

16,389,828

El Salvador - 0.3%

El Salvador Republic:

7.625% 2/1/41 (e)

1,000,000

1,050,000

7.65% 6/15/35 (Reg. S)

1,375,000

1,487,063

8.25% 4/10/32 (Reg. S)

1,150,000

1,308,125

TOTAL EL SALVADOR

3,845,188

Georgia - 0.2%

Georgia Republic 6.875% 4/12/21 (e)

1,875,000

2,123,438

Hungary - 0.9%

Hungarian Republic:

5.375% 3/25/24

1,704,000

1,823,280

5.75% 11/22/23

2,793,000

3,079,283

7.625% 3/29/41

4,298,000

5,504,105

TOTAL HUNGARY

10,406,668

Indonesia - 4.2%

Indonesian Republic:

3.375% 4/15/23 (e)

1,615,000

1,497,913

4.875% 5/5/21 (e)

4,990,000

5,239,500

5.25% 1/17/42 (e)

3,195,000

3,035,250

5.375% 10/17/23

2,150,000

2,281,688

5.875% 3/13/20 (e)

4,695,000

5,211,450

6.625% 2/17/37 (e)

3,100,000

3,441,000

6.75% 1/15/44 (e)

4,070,000

4,680,500

7.75% 1/17/38 (e)

8,070,000

10,057,238

8.5% 10/12/35 (Reg. S)

7,320,000

9,699,000

11.625% 3/4/19 (e)

4,250,000

5,793,813

TOTAL INDONESIA

50,937,352

Iraq - 0.6%

Republic of Iraq 5.8% 1/15/28 (Reg. S)

8,250,000

7,425,000

Ivory Coast - 0.5%

Ivory Coast 7.7743% 12/31/32 (d)

5,965,000

5,778,594

Jordan - 0.2%

Jordanian Kingdom 3.875% 11/12/15

2,425,000

2,437,125

Government Obligations - continued

 

Principal Amount (c)

Value

Lebanon - 1.6%

Lebanese Republic:

4% 12/31/17

$ 7,859,250

$ 7,839,602

4.75% 11/2/16

1,780,000

1,800,470

5.15% 11/12/18

2,650,000

2,663,250

5.45% 11/28/19

3,705,000

3,714,263

6.375% 3/9/20

2,570,000

2,692,075

TOTAL LEBANON

18,709,660

Lithuania - 0.0%

Lithuanian Republic 6.625% 2/1/22 (Reg.S)

200,000

241,750

Mexico - 2.8%

Comision Federal de Electricid 5.75% 2/14/42 (Reg. S)

600,000

637,500

United Mexican States:

4.75% 3/8/44

7,838,000

7,994,760

5.55% 1/21/45

1,640,000

1,865,500

6.05% 1/11/40

8,232,000

9,977,184

6.75% 9/27/34

6,535,000

8,462,825

7.5% 4/8/33

1,800,000

2,484,000

8.3% 8/15/31

1,740,000

2,551,710

TOTAL MEXICO

33,973,479

Morocco - 0.3%

Moroccan Kingdom:

4.25% 12/11/22 (e)

2,805,000

2,808,506

5.5% 12/11/42 (e)

1,250,000

1,228,600

TOTAL MOROCCO

4,037,106

Namibia - 0.1%

Republic of Namibia 5.5% 11/3/21 (e)

1,670,000

1,788,954

Netherlands - 0.2%

Republic of Angola 7% 8/16/19 (Issued by Northern Lights III BV for Republic of Angola) (Reg. S)

2,100,000

2,289,420

Nigeria - 0.2%

Central Bank of Nigeria warrants 11/15/20 (h)

3,750

630,087

Republic of Nigeria 6.75% 1/28/21 (e)

1,100,000

1,214,125

TOTAL NIGERIA

1,844,212

Pakistan - 1.4%

Islamic Republic of Pakistan:

7.125% 3/31/16 (e)

8,056,000

8,297,680

7.125% 3/31/16 (Reg. S)

100,000

103,000

Government Obligations - continued

 

Principal Amount (c)

Value

Pakistan - continued

Islamic Republic of Pakistan: - continued

7.25% 4/15/19 (e)

$ 6,965,000

$ 7,121,713

8.25% 4/15/24 (e)

1,150,000

1,185,938

TOTAL PAKISTAN

16,708,331

Panama - 0.4%

Panamanian Republic:

6.7% 1/26/36

1,300,000

1,603,550

8.875% 9/30/27

1,265,000

1,808,950

9.375% 4/1/29

1,170,000

1,740,960

TOTAL PANAMA

5,153,460

Paraguay - 0.1%

Republic of Paraguay 4.625% 1/25/23 (e)

625,000

635,000

Peru - 0.9%

Peruvian Republic:

4% 3/7/27 (d)

3,350,000

3,350,000

8.75% 11/21/33

4,930,000

7,503,460

TOTAL PERU

10,853,460

Philippines - 1.7%

Philippine Republic:

7.75% 1/14/31

4,860,000

6,712,875

9.5% 2/2/30

5,135,000

8,029,856

10.625% 3/16/25

3,535,000

5,545,531

TOTAL PHILIPPINES

20,288,262

Romania - 1.0%

Romanian Republic:

4.375% 8/22/23 (e)

2,308,000

2,365,238

6.125% 1/22/44 (e)

3,368,000

3,827,227

6.75% 2/7/22 (e)

4,011,000

4,788,131

6.75% 2/7/22

400,000

477,500

TOTAL ROMANIA

11,458,096

Russia - 5.6%

Russian Federation:

4.5% 4/4/22 (e)

1,800,000

1,840,500

4.875% 9/16/23 (e)

5,400,000

5,575,500

5.625% 4/4/42 (e)

3,800,000

3,961,500

5.875% 9/16/43 (e)

3,600,000

3,843,000

Government Obligations - continued

 

Principal Amount (c)

Value

Russia - continued

Russian Federation: - continued

7.5% 3/31/30 (Reg. S)

$ 24,793,575

$ 28,714,415

12.75% 6/24/28 (Reg. S)

13,390,000

23,184,785

TOTAL RUSSIA

67,119,700

Serbia - 1.2%

Republic of Serbia:

5.25% 11/21/17 (e)

1,580,000

1,647,150

5.875% 12/3/18 (e)

3,410,000

3,627,388

6.75% 11/1/24 (e)

6,095,348

6,165,444

7.25% 9/28/21 (e)

2,200,000

2,508,000

TOTAL SERBIA

13,947,982

South Africa - 0.1%

South African Republic 5.875% 9/16/25

1,195,000

1,328,243

Sri Lanka - 1.4%

Democratic Socialist Republic of Sri Lanka:

5.125% 4/11/19 (e)

1,350,000

1,371,938

5.875% 7/25/22 (e)

1,545,000

1,589,419

5.875% 7/25/22

785,000

807,569

6% 1/14/19 (e)

2,615,000

2,752,288

6.25% 10/4/20 (e)

5,090,000

5,412,961

6.25% 7/27/21 (e)

2,520,000

2,658,600

7.4% 1/22/15 (e)

2,210,000

2,274,090

TOTAL SRI LANKA

16,866,865

Tanzania - 0.1%

United Republic of Tanzania 6.332% 3/9/20 (g)

1,190,000

1,267,350

Turkey - 5.1%

Turkish Republic:

5.125% 3/25/22

2,815,000

2,974,048

5.625% 3/30/21

3,275,000

3,569,750

6.25% 9/26/22

3,125,000

3,521,250

6.75% 4/3/18

4,400,000

4,967,600

6.75% 5/30/40

3,965,000

4,626,362

6.875% 3/17/36

7,770,000

9,149,175

7% 3/11/19

2,870,000

3,303,370

7.25% 3/5/38

4,825,000

5,958,875

7.375% 2/5/25

7,725,000

9,385,875

7.5% 11/7/19

5,855,000

6,941,103

Government Obligations - continued

 

Principal Amount (c)

Value

Turkey - continued

Turkish Republic: - continued

8% 2/14/34

$ 1,900,000

$ 2,498,690

11.875% 1/15/30

2,920,000

4,995,536

TOTAL TURKEY

61,891,634

Ukraine - 0.9%

Ukraine Financing of Infrastructure Projects State Enterprise 8.375% 11/3/17 (e)

3,975,000

3,756,375

Ukraine Government:

7.75% 9/23/20 (e)

1,920,000

1,831,680

7.95% 2/23/21

350,000

334,250

9.25% 7/24/17 (e)

5,260,000

5,325,750

TOTAL UKRAINE

11,248,055

United States of America - 0.5%

U.S. Treasury Bonds 3.625% 8/15/43

5,584,000

5,885,882

Uruguay - 0.6%

Uruguay Republic 7.875% 1/15/33 pay-in-kind

5,210,000

7,085,600

Venezuela - 7.6%

Venezuelan Republic:

oil recovery rights 4/15/20 (h)

57,010

1,254,220

5.75% 2/26/16 (Reg S.)

18,460,000

17,481,620

6% 12/9/20

3,090,000

2,371,575

7% 3/31/38

2,400,000

1,686,000

8.5% 10/8/14

13,660,000

13,694,150

9% 5/7/23 (Reg. S)

12,140,000

10,379,700

9.25% 9/15/27

3,635,000

3,126,100

9.25% 5/7/28 (Reg. S)

3,990,000

3,351,600

9.375% 1/13/34

3,460,000

2,915,050

11.75% 10/21/26 (Reg. S)

6,720,000

6,578,880

11.95% 8/5/31 (Reg. S)

13,415,000

13,146,700

12.75% 8/23/22

10,290,000

10,572,975

13.625% 8/15/18

5,005,000

5,405,400

TOTAL VENEZUELA

91,963,970

Vietnam - 1.0%

Vietnamese Socialist Republic:

1.1875% 3/12/16 (g)

1,527,304

1,344,028

4% 3/12/28 (d)

8,288,750

7,542,762

6.875% 1/15/16 (e)

2,740,000

2,931,800

TOTAL VIETNAM

11,818,590

Government Obligations - continued

 

Principal Amount (c)

Value

Zambia - 0.1%

Republic of Zambia 5.375% 9/20/22 (e)

$ 1,335,000

$ 1,256,636

TOTAL GOVERNMENT OBLIGATIONS

(Cost $655,319,346)


686,888,742

Supranational Obligations - 0.3%

 

European Bank for Reconstruction & Development 6.2% 6/27/15

INR

116,600,000

1,934,403

Inter-American Development Bank 4.75% 10/25/15(Reg. S)

INR

51,000,000

827,328

International Finance Corp. 7.75% 12/3/16

INR

73,000,000

1,227,325

TOTAL SUPRANATIONAL OBLIGATIONS

(Cost $4,023,579)


3,989,056

Sovereign Loan Participations - 0.5%

 

Indonesia - 0.5%

Indonesian Republic loan participation:

Goldman Sachs 1.1875% 12/14/19 (g)

3,498,490

3,393,535

Mizuho 1.1875% 12/14/19 (g)

2,825,600

2,740,832

TOTAL SOVEREIGN LOAN PARTICIPATIONS

(Cost $6,083,409)


6,134,367

Preferred Securities - 0.9%

 

Brazil - 0.2%

Cosan Overseas Ltd. 8.25% (f)

2,550,000

2,688,410

British Virgin Islands - 0.1%

Magnesita Finance Ltd. 8.625% (Reg. S) (f)

300,000

303,184

Cayman Islands - 0.4%

CSN Islands XII Corp. 7% (Reg. S) (f)

4,915,000

4,652,154

Odebrecht Finance Ltd. 7.5% (Reg. S) (f)

300,000

310,414

TOTAL CAYMAN ISLANDS

4,962,568

Preferred Securities - continued

 

Principal Amount (c)

Value

India - 0.2%

Reliance Industries Ltd.:

5.875% (e)(f)

$ 2,000,000

$ 2,007,390

5.875% (Reg. S) (f)

300,000

301,108

TOTAL INDIA

2,308,498

TOTAL PREFERRED SECURITIES

(Cost $10,351,021)


10,262,660

Money Market Funds - 2.3%

Shares

 

Fidelity Cash Central Fund, 0.11% (a)
(Cost $28,091,511)

28,091,511


28,091,511

TOTAL INVESTMENT PORTFOLIO - 99.3%

(Cost $1,146,493,189)

1,196,553,368

NET OTHER ASSETS (LIABILITIES) - 0.7%

7,949,257

NET ASSETS - 100%

$ 1,204,502,625

Currency Abbreviations

BRL

-

Brazilian real

INR

-

Indian rupee

MXN

-

Mexican peso

RUB

-

Russian ruble

Legend

(a) Affiliated fund that is generally available only to investment companies and other accounts managed by Fidelity Investments. The rate quoted is the annualized seven-day yield of the fund at period end. A complete unaudited listing of the fund's holdings as of its most recent quarter end is available upon request. In addition, each Fidelity Central Fund's financial statements are available on the SEC's website or upon request.

(b) Non-income producing - Security is in default.

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

(d) 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.

(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 $508,551,384 or 42.2% of net assets.

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

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

(h) Quantity represents share amount.

Affiliated Central Funds

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

Fund

Income earned

Fidelity Cash Central Fund

$ 19,637

Other Information

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

The following is a summary of the inputs used, as of June 30, 2014, 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 in the accompanying Notes to Financial Statements.

Valuation Inputs at Reporting Date:

Description

Total

Level 1

Level 2

Level 3

Investments in Securities:

Corporate Bonds

$ 461,187,032

$ -

$ 461,187,032

$ -

Government Obligations

686,888,742

-

683,538,742

3,350,000

Supranational Obligations

3,989,056

-

3,989,056

-

Sovereign Loan Participations

6,134,367

-

-

6,134,367

Preferred Securities

10,262,660

-

10,262,660

-

Money Market Funds

28,091,511

28,091,511

-

-

Total Investments in Securities:

$ 1,196,553,368

$ 28,091,511

$ 1,158,977,490

$ 9,484,367

The composition of credit quality ratings as a percentage of net assets is as follows (Unaudited):

U.S. Government and U.S. Government Agency Obligations

0.5%

AAA,AA,A

8.5%

BBB

33.3%

BB

16.1%

B

14.1%

CCC,CC,C

16.3%

Not Rated

8.0%

Other Investments

0.2%

Short-Term Investments and Net Other Assets

3.0%

 

100.0%

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

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

Semiannual Report

Financial Statements

Statement of Assets and Liabilities

 

June 30, 2014 (Unaudited)

 

 

 

Assets

Investment in securities, at value - See accompanying schedule:

Unaffiliated issuers (cost $1,118,401,678)

$ 1,168,461,857

 

Fidelity Central Funds (cost $28,091,511)

28,091,511

 

Total Investments (cost $1,146,493,189)

 

$ 1,196,553,368

Cash

 

1,129,117

Receivable for investments sold

7,294,738

Receivable for fund shares sold

5,167

Interest receivable

20,828,719

Distributions receivable from Fidelity Central Funds

3,170

Total assets

1,225,814,279

 

 

 

Liabilities

Payable for investments purchased

$ 6,048,675

Payable for fund shares redeemed

14,448,144

Accrued management fee

666,795

Other affiliated payables

100,067

Other payables and accrued expenses

47,973

Total liabilities

21,311,654

 

 

 

Net Assets

$ 1,204,502,625

Net Assets consist of:

 

Paid in capital

$ 1,142,781,660

Undistributed net investment income

13,352,479

Accumulated undistributed net realized gain (loss) on investments and foreign currency transactions

(1,701,183)

Net unrealized appreciation (depreciation) on investments and assets and liabilities in foreign currencies

50,069,669

Net Assets

$ 1,204,502,625

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

Semiannual Report

Statement of Assets and Liabilities - continued

 

June 30, 2014 (Unaudited)

 

 

 

Series Emerging Markets Debt:
Net Asset Value, offering price and redemption price per share ($599,786,288 ÷ 56,363,410 shares)

$ 10.64

 

 

 

Class F:
Net Asset Value, offering price and redemption price per share ($604,716,337 ÷ 56,826,648 shares)

$ 10.64

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

Semiannual Report

Financial Statements - continued

Statement of Operations

Six months ended June 30, 2014 (Unaudited)

 

 

 

Investment Income

 

 

Dividends

 

$ 584,041

Interest

 

39,637,300

Income from Fidelity Central Funds

 

19,637

Total income

 

40,240,978

 

 

 

Expenses

Management fee

$ 3,836,158

Transfer agent fees

319,478

Accounting fees and expenses

266,422

Custodian fees and expenses

26,805

Independent trustees' compensation

2,299

Audit

35,637

Legal

1,117

Miscellaneous

5,341

Total expenses before reductions

4,493,257

Expense reductions

(150)

4,493,107

Net investment income (loss)

35,747,871

Realized and Unrealized Gain (Loss)

Net realized gain (loss) on:

Investment securities:

 

 

Unaffiliated issuers

(335,395)

Foreign currency transactions

(75,715)

Total net realized gain (loss)

 

(411,110)

Change in net unrealized appreciation (depreciation) on:

Investment securities

64,006,842

Assets and liabilities in foreign currencies

61,206

Total change in net unrealized appreciation (depreciation)

 

64,068,048

Net gain (loss)

63,656,938

Net increase (decrease) in net assets resulting from operations

$ 99,404,809

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

Semiannual Report

Statement of Changes in Net Assets

 

Six months ended
June 30, 2014
(Unaudited)

Year ended
December 31,
2013

Increase (Decrease) in Net Assets

 

 

Operations

 

 

Net investment income (loss)

$ 35,747,871

$ 66,671,909

Net realized gain (loss)

(411,110)

3,063,923

Change in net unrealized appreciation (depreciation)

64,068,048

(119,476,161)

Net increase (decrease) in net assets resulting
from operations

99,404,809

(49,740,329)

Distributions to shareholders from net investment income

(31,922,047)

(60,898,715)

Distributions to shareholders from net realized gain

-

(9,446,672)

Total distributions

(31,922,047)

(70,345,387)

Share transactions - net increase (decrease)

(10,424,045)

102,824,491

Total increase (decrease) in net assets

57,058,717

(17,261,225)

 

 

 

Net Assets

Beginning of period

1,147,443,908

1,164,705,133

End of period (including undistributed net investment income of $13,352,479 and undistributed net investment income of $9,526,655, respectively)

$ 1,204,502,625

$ 1,147,443,908

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

Semiannual Report

Financial Highlights - Series Emerging Markets Debt

 

Six months ended
June 30, 2014

Years ended December 31,

 

(Unaudited)

2013

2012

2011 G

Selected Per-Share Data

 

 

 

 

Net asset value, beginning of period

$ 10.05

$ 11.15

$ 9.92

$ 10.00

Income from Investment Operations

 

 

 

 

Net investment income (loss) D

  .313

  .603

  .627

  .420

Net realized and unrealized gain (loss)

  .556

  (1.068)

  1.218

  (.127)

Total from investment operations

  .869

  (.465)

  1.845

  .293

Distributions from net investment income

  (.279)

  (.550)

  (.565)

  (.365)

Distributions from net realized gain

  -

  (.085)

  (.050)

  (.008)

Total distributions

  (.279)

  (.635)

  (.615)

  (.373)

Net asset value, end of period

$ 10.64

$ 10.05

$ 11.15

$ 9.92

Total Return B, C

  8.78%

  (4.22)%

  19.09%

  2.97%

Ratios to Average Net Assets E, H

 

 

 

 

Expenses before reductions

  .84% A

  .84%

  .85%

  .90% A

Expenses net of fee waivers, if any

  .84% A

  .84%

  .85%

  .90% A

Expenses net of all reductions

  .84% A

  .84%

  .85%

  .90% A

Net investment income (loss)

  6.16% A

  5.73%

  5.95%

  5.37% A

Supplemental Data

 

 

 

 

Net assets, end of period (000 omitted)

$ 599,786

$ 581,496

$ 675,329

$ 567,740

Portfolio turnover rate F

  41% A

  36%

  41%

  45% A

A Annualized

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

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

D Calculated based on average shares outstanding during the period.

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

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

G For the period March 17, 2011 (commencement of operations) to December 31, 2011.

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

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

Semiannual Report

Financial Highlights - Class F

 

Six months ended
June 30, 2014

Years ended December 31,

 

(Unaudited)

2013

2012

2011 G

Selected Per-Share Data

 

 

 

 

Net asset value, beginning of period

$ 10.05

$ 11.15

$ 9.92

$ 10.00

Income from Investment Operations

 

 

 

 

Net investment income (loss) D

  .318

  .613

  .641

  .430

Net realized and unrealized gain (loss)

  .557

  (1.066)

  1.217

  (.126)

Total from investment operations

  .875

  (.453)

  1.858

  .304

Distributions from net investment income

  (.285)

  (.562)

  (.578)

  (.376)

Distributions from net realized gain

  -

  (.085)

  (.050)

  (.008)

Total distributions

  (.285)

  (.647)

  (.628)

  (.384)

Net asset value, end of period

$ 10.64

$ 10.05

$ 11.15

$ 9.92

Total Return B, C

  8.84%

  (4.11)%

  19.24%

  3.08%

Ratios to Average Net Assets E, H

 

 

 

 

Expenses before reductions

  .73% A

  .72%

  .73%

  .76% A

Expenses net of fee waivers, if any

  .73% A

  .72%

  .73%

  .76% A

Expenses net of all reductions

  .73% A

  .72%

  .73%

  .76% A

Net investment income (loss)

  6.27% A

  5.84%

  6.07%

  5.51% A

Supplemental Data

 

 

 

 

Net assets, end of period (000 omitted)

$ 604,716

$ 565,948

$ 489,376

$ 253,475

Portfolio turnover rateF

  41% A

  36%

  41%

  45% A

A Annualized

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

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

D Calculated based on average shares outstanding during the period.

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

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

G For the period March 17, 2011 (commencement of operations) to December 31, 2011.

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

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

Semiannual Report

Notes to Financial Statements

For the period ended June 30, 2014 (Unaudited)

1. Organization.

Fidelity® Series Emerging Markets Debt Fund (the Fund) is a non-diversified fund of Fidelity Hastings Street Trust (the Trust) and is authorized to issue an unlimited number of shares. Shares of the Fund are only available for purchase by mutual funds for which Fidelity Management & Research Company (FMR) or an affiliate serves as an investment manager. The Trust is registered under the Investment Company Act of 1940, as amended (the 1940 Act), as an open-end management investment company organized as a Massachusetts business trust. The Fund offers Series Emerging Markets Debt and Class F shares, each of which has equal rights as to assets and voting privileges. Each class has exclusive voting rights with respect to matters that affect that class.

2. Investments in Fidelity Central Funds.

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

The Money Market Central Funds seek preservation of capital and current income and are managed by Fidelity Investments Money Management, Inc. (FIMM), an affiliate of the investment adviser. Annualized expenses of the Money Market Central Funds as of their most recent shareholder report date are less than .01%.

A complete unaudited list of holdings for each Fidelity Central Fund is available upon request or at the Securities and Exchange Commission (the SEC) website at www.sec.gov. In addition, the financial statements of the Fidelity Central Funds are available on the SEC website or upon request.

3. Significant Accounting Policies.

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

Investment Valuation. Investments are valued as of 4:00 p.m. Eastern time on the last calendar day of the period. In accordance with valuation policies and procedures

Semiannual Report

Notes to Financial Statements (Unaudited) - continued

3. Significant Accounting Policies - continued

Investment Valuation - continued

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

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

Level 1 - quoted prices in active markets for identical investments

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

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

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

Debt securities, including restricted securities, are valued based on evaluated prices received from third party pricing vendors or from brokers who make markets in such securities. Corporate bonds, foreign government and government agency obligations, preferred securities, supranational obligations, U.S. government and government agency obligations and sovereign loan participations are valued by pricing vendors who utilize matrix pricing which considers yield or price of bonds of comparable quality, coupon, maturity and type or by broker-supplied prices. When independent prices are unavailable or unreliable, debt securities may be valued utilizing pricing methodologies which consider similar factors that would be used by third party pricing vendors. Debt securities 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.

Semiannual Report

3. Significant Accounting Policies - continued

Investment Valuation - continued

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

Changes in valuation techniques may result in transfers in or out of an assigned level within the disclosure hierarchy. The aggregate value of investments by input level, as of June 30, 2014, is included at the end of the Fund's Schedule of Investments.

Foreign Currency. The Fund may use foreign currency contracts to facilitate transactions in foreign-denominated securities. Gains and losses from these transactions may arise from changes in the value of the foreign currency or if the counterparties do not perform under the contracts' terms.

Foreign-denominated assets, including investment securities, and liabilities are translated into U.S. dollars at the exchange rates at period end. Purchases and sales of investment securities, income and dividends received and expenses denominated in foreign currencies are translated into U.S. dollars at the exchange rate in effect on the transaction date.

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

Investment Transactions and Income. For financial reporting purposes, the Fund's investment holdings and NAV include trades executed through the end of the last business day of the period. The NAV per share for processing shareholder transactions is calculated as of the close of business of the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time and includes trades executed through the end of the prior business day. Gains and losses on securities sold are determined on the basis of identified cost. Dividend income is recorded on the ex-dividend date, except for certain dividends from foreign securities where the ex-dividend date may have passed, which are recorded as soon as the Fund is informed of the ex-dividend date. Non-cash dividends included in dividend income, if any, are recorded at the fair market value of the securities received. Income and capital gain distributions from Fidelity Central Funds, if any, are recorded on the ex-dividend date. Interest income is accrued as earned and includes coupon interest and amortization of premium and accretion of discount on debt securities as applicable. Investment income is recorded net of foreign taxes withheld where recovery of such taxes is uncertain. Debt obligations may be placed on non-accrual status and related interest income may be reduced by ceasing current accruals and writing off interest receivables when the collection of all or a portion of interest has become doubtful based on consistently applied procedures. A debt obligation is removed from non-accrual status

Semiannual Report

Notes to Financial Statements (Unaudited) - continued

3. Significant Accounting Policies - continued

Investment Transactions and Income - continued

when the issuer resumes interest payments or when collectability of interest is reasonably assured.

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

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

Dividends are declared and recorded daily and paid monthly from net investment income. Distributions from realized gains, if any, are declared and recorded on the ex-dividend date. Income dividends and capital gain distributions are declared separately for each class. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from GAAP.

Capital accounts within the financial statements are adjusted for permanent book-tax differences. These adjustments have no impact on net assets or the results of operations. Capital accounts are not adjusted for temporary book-tax differences which will reverse in a subsequent period.

Book-tax differences are primarily due to foreign currency transactions, market discount and losses deferred due to wash sales and excise tax regulations.

Semiannual Report

3. Significant Accounting Policies - continued

Income Tax Information and Distributions to Shareholders - continued

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

Gross unrealized appreciation

$ 70,653,348

Gross unrealized depreciation

(9,889,731)

Net unrealized appreciation (depreciation) on securities and other investments

$ 60,763,617

 

 

Tax cost

$ 1,135,789,751

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

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

4. Purchases and Sales of Investments.

Purchases and sales of securities, other than short-term securities and U.S. government securities, aggregated $251,693,423 and $216,294,203, respectively.

5. Fees and Other Transactions with Affiliates.

Management Fee. Fidelity Management & Research Company (the investment adviser) and its affiliates provide the Fund with investment management related services for which the Fund pays a monthly management fee. The management fee is the sum of an individual fund fee rate that is based on an annual rate of .55% of the Fund's average net assets and an annualized group fee rate that averaged .11% during the period. The group fee rate is based upon the average net assets of all the mutual funds advised by the investment adviser, including any mutual funds previously advised by the

Semiannual Report

Notes to Financial Statements (Unaudited) - continued

5. Fees and Other Transactions with Affiliates - continued

Management Fee - continued

investment adviser that are currently advised by Fidelity SelectCo, LLC, an affiliate of the investment adviser. The group fee rate decreases as assets under management increase and increases as assets under management decrease. For the reporting period, the total annualized management fee rate was .66% of the Fund's average net assets.

Transfer Agent Fees. Fidelity Investments Institutional Operations Company, Inc., (FIIOC), an affiliate of the investment adviser, is the transfer, dividend disbursing and shareholder servicing agent for each class of the Fund. FIIOC receives account fees and asset-based fees that vary according to the account size and type of account of the shareholders of Series Emerging Markets Debt. FIIOC receives no fees for providing transfer agency services to Class F. FIIOC pays for typesetting, printing and mailing of shareholder reports, except proxy statements.

For the period, transfer agent fees for each applicable class were as follows:

 

Amount

% of
Average
Net Assets*

Series Emerging Markets Debt

$ 319,478

.11

* Annualized

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

6. Committed Line of Credit.

The Fund participates with other funds managed by the investment adviser or an affiliate in a $4.25 billion credit facility (the "line of credit") to be utilized for temporary or emergency purposes to fund shareholder redemptions or for other short-term liquidity purposes. The Fund has agreed to pay commitment fees on its pro-rata portion of the line of credit, which amounted to $1,062 and is reflected in Miscellaneous expenses on the Statement of Operations. During the period, the Fund did not borrow on this line of credit.

7. Expense Reductions.

Through arrangements with the Fund's custodian, credits realized as a result of uninvested cash balances were used to reduce the Fund's expenses. During the period, these credits reduced the Fund's custody expenses by $150.

Semiannual Report

8. Distributions to Shareholders.

Distributions to shareholders of each class were as follows:

Six months ended
June 30,
2014

Year ended
December 31,
2013

From net investment income

 

 

Series Emerging Markets Debt

$ 15,816,816

$ 31,725,708

Class F

16,105,231

29,173,007

Total

$ 31,922,047

$ 60,898,715

From net realized gain

 

 

Series Emerging Markets Debt

$ -

$ 4,891,715

Class F

-

4,554,957

Total

$ -

$ 9,446,672

9. Share Transactions.

Transactions for each class of shares were as follows:

 

Shares

Dollars

Six months ended
June 30,
2014

Year ended
December 31,
2013

Six months ended
June 30,
2014

Year ended
December 31,
2013

Series Emerging Markets Debt

 

 

 

 

Shares sold

2,835,033

6,919,257

$ 29,200,701

$ 73,381,434

Reinvestment of distributions

1,538,107

3,513,095

15,816,816

36,617,423

Shares redeemed

(5,889,110)

(13,142,055)

(60,355,684)

(140,657,146)

Net increase (decrease)

(1,515,970)

(2,709,703)

$ (15,338,167)

$ (30,658,289)

Class F

 

 

 

 

Shares sold

4,589,320

12,223,406

$ 47,137,919

$ 130,713,732

Reinvestment of distributions

1,565,517

3,242,861

16,105,231

33,727,964

Shares redeemed

(5,659,925)

(3,040,263)

(58,329,028)

(30,958,916)

Net increase (decrease)

494,912

12,426,004

$ 4,914,122

$ 133,482,780

10. Other.

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

Semiannual Report

Notes to Financial Statements (Unaudited) - continued

10. Other - continued

At the end of the period, mutual funds managed by the investment adviser or its affiliates were the owners of record of all of the outstanding shares of the Fund.

11. Credit Risk.

The Fund's relatively large investment in countries with limited or developing capital markets may involve greater risks than investments in more developed markets and the prices of such investments may be volatile. The yields of emerging market debt obligations reflect, among other things, perceived credit risk. The consequences of political, social or economic changes in these markets may have disruptive effects on the market prices of the Fund's investments and the income they generate, as well as the Fund's ability to repatriate such amounts.

Semiannual Report

Investment Adviser

Fidelity Management & Research Company

Boston, MA

Investment Sub-Advisers

FMR Co., Inc.

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

Fidelity Management & Research
(Hong Kong) Limited

Fidelity Management & Research
(Japan) Inc.

FIL Investments (Japan) Limited

FIL Investment Advisors

FIL Investment Advisors (UK) Limited

General Distributor

Fidelity Distributors Corporation

Smithfield, RI

Transfer and Service Agents

Fidelity Investments Institutional Operations Company, Inc.

Boston, MA

Fidelity Service Company, Inc.

Boston, MA

Custodian

Brown Brothers Harriman & Co.

Boston, MA

(Fidelity Investment logo)(registered trademark)
Corporate Headquarters
245 Summer St., Boston, MA 02210
www.fidelity.com

SED-SANN-0814
1.924253.103

Item 2. Code of Ethics

Not applicable.

Item 3. Audit Committee Financial Expert

Not applicable.

Item 4. Principal Accountant Fees and Services

Not applicable.

Item 5. Audit Committee of Listed Registrants

Not applicable.

Item 6. Investments

(a) Not applicable.

(b) Not applicable

Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies

Not applicable.

Item 8. Portfolio Managers of Closed-End Management Investment Companies

Not applicable.

Item 9. Purchase of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers

Not applicable.

Item 10. Submission of Matters to a Vote of Security Holders

There were no material changes to the procedures by which shareholders may recommend nominees to the Fidelity Hastings Street Trust's Board of Trustees.

Item 11. Controls and Procedures

(a)(i) The President and Treasurer and the Chief Financial Officer have concluded that the Fidelity Hastings Street 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 second fiscal quarter of the period covered by this report that has materially affected, or is reasonably likely to materially affect, the Trust's internal control over financial reporting.

Item 12. Exhibits

(a)

(1)

Not applicable.

(a)

(2)

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.

(a)

(3)

Not applicable.

(b)

 

Certification pursuant to Rule 30a-2(b) under the Investment Company Act of 1940 (17 CFR 270.30a-2(b)) is furnished and attached hereto as Exhibit 99.906CERT.

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 Hastings Street Trust

By:

/s/Kenneth B. Robins

 

Kenneth B. Robins

 

President and Treasurer

 

 

Date:

August 26, 2014

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:

August 26, 2014

By:

/s/Howard J. Galligan III

 

Howard J. Galligan III

 

Chief Financial Officer

 

 

Date:

August 26, 2014