Fidelity Advisor^® Consumer Discretionary Portfolio: Investment Approach

• Fidelity^® Select Consumer Discretionary Portfolio is a sector-based, equity-focused strategy that seeks to outperform its benchmark through active management.
• We believe that the market is inherently inefficient and often too short-term-focused, which affords opportunities to generate excess returns with fundamental research utilizing a long-term investment horizon.
• We prefer companies where business quality or forward prospects seem underappreciated by the market and focus on identifying attractive relative value, including considering opportunities created by temporary issues or turnarounds.
• Stock selection and idea generation come from bottom-up research that leverages Fidelity's deep and experienced global consumer team. We also consider attractive consumer stocks outside of the benchmark that offer the potential for favorable risk-adjusted returns.
• Position sizing is based on conviction in the fundamental thesis and assessment of risk/reward.
• Sector strategies could be used by investors as alternatives to individual stocks for either tactical- or strategic-allocation purposes.