ONEQ - Fidelity Intermediate Municipal Income Fund Q2 2024 Review
2024-07-31 08:00:00 ET
Summary
- Fidelity Contrafund is a large-cap growth biased equity strategy focused on companies with durable multiyear earnings growth potential.
- Fidelity Intermediate Municipal Income Fund is a diversified national municipal bond strategy investing primarily in intermediate-maturity general obligation and revenue-backed securities.
- U.S. bonds in higher-yielding sectors modestly outperformed high-quality U.S. government and tax-exempt municipal securities in the second quarter of 2024, though results for both hovered close to break-even for the three months.
- The fund's underweight to issuers of higher-quality state general obligation bonds contributed to performance versus the Bloomberg 1-17 Year Municipal Bond Index.
Investment Approach
- Fidelity® Intermediate Municipal Income Fund is a diversified national municipal bond strategy investing primarily in intermediate-maturity general obligation and revenue-backed securities.
- Our investment approach focuses on fundamental credit analysis, yield-curve positioning and an analysis of the structural characteristics of each security.
- The fund's interest rate sensitivity is targeted closely to that of its benchmark to prevent interest rate speculation from overwhelming research-based strategies that we deem to have a higher likelihood of success.
- We emphasize a total-return approach that seeks to generate a high level of tax-exempt income, consistent with the preservation of capital.