2024-08-09 10:00:00 ET
Summary
- Fidelity Municipal Income Fund is a diversified national municipal bond strategy investing in general obligation and revenue-backed municipal securities across the yield curve.
- 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.
- Munis benefited from a broad fixed-income rally in June, posting a 1.53% gain.
- The fund's overweight to health care bonds contributed to performance versus the Bloomberg 3+ Year Municipal Bond Index.
Investment Approach
- Fidelity® Municipal Income Fund is a diversified national municipal bond strategy investing in general obligation and revenue-backed municipal securities across the yield curve.
- 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.
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For further details see:
Fidelity Municipal Income Fund Q2 2024 Review
