Annual Report June 30, 2017

Annual Report June 30, 2017 A Program of the Massachusetts Educational Financing Authority. Managed by Fidelity Investments

Contents Executive Director s Message to Participants 5 Performance: The Bottom Line 6 Market Recap 42 Fund Talk: The Managers Overview 43 U.Fund College Portfolio (Fidelity Funds) 46 Investment Summary 47 Investments 48 Financial Statements U.Fund Portfolio 2018 (Fidelity Funds) 50 Investment Summary 51 Investments 52 Financial Statements U.Fund Portfolio 2021 (Fidelity Funds) 54 Investment Summary 55 Investments 56 Financial Statements U.Fund Portfolio 2024 (Fidelity Funds) 58 Investment Summary 59 Investments 60 Financial Statements U.Fund Portfolio 2027 (Fidelity Funds) 62 Investment Summary 63 Investments 64 Financial Statements U.Fund Portfolio 2030 (Fidelity Funds) 66 Investment Summary 67 Investments 68 Financial Statements U.Fund Portfolio 2033 (Fidelity Funds) 70 Investment Summary 71 Investments 72 Financial Statements U.Fund Portfolio 2036 (Fidelity Funds) 74 Investment Summary 75 Investments 76 Financial Statements U.Fund Conservative Portfolio (Fidelity Funds) 78 Investment Summary 79 Investments 80 Financial Statements U.Fund Moderate Growth Portfolio (Fidelity Funds) U.Fund Aggressive Growth Portfolio (Fidelity Funds) 82 Investment Summary 83 Investments 84 Financial Statements 86 Investment Summary 87 Investments 88 Financial Statements U.Fund Money Market Portfolio 90 Financial Statements U.Fund College Portfolio (Fidelity Index) 92 Investment Summary 93 Investments 94 Financial Statements U.Fund Portfolio 2018 (Fidelity Index) 96 Investment Summary 97 Investments 98 Financial Statements Annual Report 2

U.Fund Portfolio 2021 (Fidelity Index) U.Fund Portfolio 2024 (Fidelity Index) U.Fund Portfolio 2027 (Fidelity Index) U.Fund Portfolio 2030 (Fidelity Index) U.Fund Portfolio 2033 (Fidelity Index) U.Fund Portfolio 2036 (Fidelity Index) U.Fund Conservative Portfolio (Fidelity Index) U.Fund Moderate Growth Portfolio (Fidelity Index) U.Fund Aggressive Growth Portfolio (Fidelity Index) U.Fund Intermediate Treasury Index Portfolio U.Fund International Index Portfolio U.Fund Fidelity 500 Index Portfolio U.Fund Total Market Index Portfolio U.Fund Bank Deposit Portfolio U.Fund College Portfolio (Multi-Firm) U.Fund Portfolio 2018 (Multi-Firm) U.Fund Portfolio 2021 (Multi-Firm) U.Fund Portfolio 2024 (Multi-Firm) 100 Investment Summary 101 Investments 102 Financial Statements 104 Investment Summary 105 Investments 106 Financial Statements 108 Investment Summary 109 Investments 110 Financial Statements 112 Investment Summary 113 Investments 114 Financial Statements 116 Investment Summary 117 Investments 118 Financial Statements 120 Investment Summary 121 Investments 122 Financial Statements 124 Investment Summary 125 Investments 126 Financial Statements 128 Investment Summary 129 Investments 130 Financial Statements 132 Investment Summary 133 Investments 134 Financial Statements 136 Financial Statements 138 Financial Statements 140 Financial Statements 142 Financial Statements 144 Financial Statements 146 Investment Summary 147 Investments 148 Financial Statements 150 Investment Summary 151 Investments 152 Financial Statements 154 Investment Summary 155 Investments 156 Financial Statements 158 Investment Summary 159 Investments 160 Financial Statements 3 Annual Report

U.Fund Portfolio 2027 (Multi-Firm) U.Fund Portfolio 2030 (Multi-Firm) U.Fund Portfolio 2033 (Multi-Firm) U.Fund Portfolio 2036 (Multi-Firm) Notes to Financial Statements 178 Report of Independent Auditors 181 162 Investment Summary 163 Investments 164 Financial Statements 166 Investment Summary 167 Investments 168 Financial Statements 170 Investment Summary 171 Investments 172 Financial Statements 174 Investment Summary 175 Investments 176 Financial Statements 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 the Massachusetts Educational Financing Authority or of FMR LLC or an affiliated company. 2017 FMR LLC. All rights reserved. This report and the financial statements contained herein are submitted for the general information of the holders of units of the Portfolios. This report is not authorized for distribution to prospective participants in the Portfolios unless preceded or accompanied by a current Fact Kit. Portfolio units are not deposits or obligations of, or guaranteed by, any depository institution. Units are not insured by the FDIC, Federal Reserve Board or any other agency, and are subject to investment risks, including possible loss of principal amount invested. Although the underlying deposits are eligible for FDIC insurance, subject to applicable federal deposit insurance limits, the Units of the Bank Deposit Portfolio are not insured or guaranteed by the FDIC or any other government agency. You are responsible for monitoring the total amount of your assets on deposit at the depository bank, including amounts held directly at the depository bank. All such deposits held in the same ownership capacity at the depository bank are subject to aggregation and to the current FDIC insurance coverage limitation of $250,000. Please see a 529 Fact Kit for more details. Neither the Portfolios, the mutual funds in which they invest, nor Fidelity Distributors Corporation is a bank. For more information on any Fidelity fund, including objectives, risks, charges and expenses, call 1-800-544-8888 for a free prospectus. For more information on the U.Fund, including objectives, risks, charges, and expenses, call 1-800-544-2776 for a free Fact Kit. Read it carefully before you invest or send money. Annual Report 4

Executive Director s Message to Participants Dear Participant: On behalf of the Massachusetts Educational Financing Authority (MEFA), it is my pleasure to present you with the U.Fund College Investing Plan Annual Report. The Annual Report reviews the financial highlights of the U.Fund for the period July 1, 2016, through June 30, 2017, including the performance of the investment portfolios, along with expense, holdings and asset allocation information. Also included is the Managers Overview, a discussion with U.Fund Portfolio Managers Andrew Dierdorf and Brett Sumsion, which offers insight into the performance of the Portfolios and the markets over the past year, as well as an outlook for the months ahead. We are pleased to offer U.Fund participants a diverse selection of investments to help you achieve your college savings goals. The U.Fund College Investing Plan includes age-based and risk-based, or static, Portfolios that are invested in Fidelity mutual funds, as well as agebased Multi-Firm Portfolios that invest in mutual funds from a broad range of investment companies. In addition, the U.Fund offers Index Portfolios that are invested in Fidelity index funds. During the year, Fidelity made some contractual changes affecting the lineup of underlying investments available to Multi-Firm Portfolios. Multi-Firm Portfolios were launched in 2011 to provide U.Fund participants with options that included fund families beyond Fidelity. As the mutual fund market continues to evolve, less-expensive share classes have become more broadly available across fund companies. The contractual changes allow U.Fund Co-Portfolio Managers to leverage a broader array of mutual funds, including those that have lower expense ratios. The net result should be a reduction in expenses paid by Participants. Also, as announced on July 6, 2016, total asset-based fees for Fidelity Index Portfolios within Fidelity-managed direct-sold 529 plans have dropped by 30% to 52%. This reduction is the result of recent enhancements made to Fidelity s overall index fund line-up, now providing Fidelity s 529 Index Portfolios access to lower-priced share classes for underlying mutual funds, as well as a drop in total net expenses for those funds. As a reminder, four additional underlying portfolio managers became involved in the fund selection process for the U.Fund s Multi-Firm Portfolios starting in 2016. Andrew Dierdorf and Brett Sumsion continue to manage asset allocation, fund oversight and portfolio management. The new portfolio managers include John Stone (U.S. Equity), Wilfred Chilangwa (International and Emerging Markets), Gregory Pappas (Fixed Income), and Larry Rakers (Commodities). In addition, we made a change to the money market fund used in all 529 age-based portfolios in response to recent money market reform. All age-based portfolios now include FIMM Government Money Market in place of FIMM Money Market. Lastly, we are pleased to announce the launch of age-based Portfolio 2036, available across Fidelity Funds, Multi-Firm and Fidelity Index platforms and intended primarily for beneficiaries with a birth year of 2017 to 2019. The investment options in the U.Fund provide you with a variety of investment choices, including sophisticated age-based solutions directly linked to objective-based investment approach to help achieve your savings goals for your higher education expenses. And as you know, U.Fund earnings grow tax deferred, and withdrawals for qualified higher-education expenses such as tuition, books, and room and board costs are exempt from federal income tax and, for Massachusetts residents, state income tax. Also, as of January 1, 2017 and through the 2021 tax year, Massachusetts residents may deduct up to $1,000 (filing single) or $2,000 (filing married/joint) from their annual taxable income for Massachusetts state income tax purposes when making a contribution to their Massachusetts 529 college savings plan account. We encourage you to call Fidelity s dedicated College Planning Specialists at 1-800-544-2776 for a personalized review of your specific college savings goals or with any questions about the U.Fund. On behalf of MEFA, the Commonwealth s Authority on helping families plan, save and pay for college, thank you for choosing the U.Fund College Investing Plan. Sincerely, Thomas M. Graf Executive Director MEFA 5 Annual Report

U.Fund College Portfolio (Fidelity Funds) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund College Portfolio (Fidelity Funds) 4.91% 19.55% 38.56% U.Fund College Portfolio Composite Index 3.62% 18.68% 38.95% MSCI ACWI (All Country World Index) ex USA Index 20.66% 42.71% 13.49% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 6.34% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 102.67% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 54.97% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund College Portfolio Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund College Portfolio (Fidelity Funds) 4.91% 3.64% 3.32% U.Fund College Portfolio Composite Index 3.62% 3.48% 3.34% MSCI ACWI (All Country World Index) ex USA Index 20.66% 7.37% 1.27% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.62% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.32% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 4.48% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. $10,000 Over 10 Years Period Ending Values $13,856 U Fund College Portfolio (Fidelity Funds) $13,895 U.Fund College Portfolio Composite Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund College Portfolio (Fidelity Funds) on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the U.Fund College Portfolio Composite Index performed over the same period. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 6

U.Fund Portfolio 2018 (Fidelity Funds) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Portfolio 2018 (Fidelity Funds) 6.44% 34.14% 38.84% U.Fund Portfolio 2018 Composite Index 4.84% 32.25% 42.50% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 102.67% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 54.97% MSCI ACWI (All Country World Index) ex USA Index 20.66% 42.71% 13.49% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 6.34% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2018 Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. $10,000 Over 10 Years Period Ending Values $13,884 U.Fund Portfolio 2018 (Fidelity Funds) $14,250 U.Fund Portfolio 2018 Composite Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2018 (Fidelity Funds) on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2018 Composite Index performed over the same period. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Portfolio 2018 (Fidelity Funds) 6.44% 6.05% 3.34% U.Fund Portfolio 2018 Composite Index 4.84% 5.75% 3.61% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.32% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 4.48% MSCI ACWI (All Country World Index) ex USA Index 20.66% 7.37% 1.27% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.62% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 7 Annual Report

U.Fund Portfolio 2021 (Fidelity Funds) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Portfolio 2021 (Fidelity Funds) 9.12% 44.72% 43.10% U.Fund Portfolio 2021 Composite Index 7.28% 42.30% 48.20% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 102.67% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 54.97% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 6.34% MSCI ACWI (All Country World Index) ex USA Index 20.66% 42.71% 13.49% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2021 Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. $10,000 Over 10 Years Period Ending Values $14,310 U.Fund Portfolio 2021 (Fidelity Funds) $14,820 U.Fund Portfolio 2021 Composite Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2021 (Fidelity Funds) on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2021 Composite Index performed over the same period. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Portfolio 2021 (Fidelity Funds) 9.12% 7.67% 3.65% U.Fund Portfolio 2021 Composite Index 7.28% 7.31% 4.01% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.32% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 4.48% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.62% MSCI ACWI (All Country World Index) ex USA Index 20.66% 7.37% 1.27% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 8

U.Fund Portfolio 2024 (Fidelity Funds) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Portfolio 2024 (Fidelity Funds) 11.64% 55.04% 47.49% U.Fund Portfolio 2024 Composite Index 9.63% 52.25% 53.78% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 102.67% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 54.97% MSCI ACWI (All Country World Index) ex USA Index 20.66% 42.71% 13.49% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 6.34% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2024 Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. $10,000 Over 10 Years Period Ending Values $14,749 U.Fund Portfolio 2024 (Fidelity Funds) $15,378 U.Fund Portfolio 2024 Composite Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2024 (Fidelity Funds) on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2024 Composite Index performed over the same period. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Portfolio 2024 (Fidelity Funds) 11.64% 9.17% 3.96% U.Fund Portfolio 2024 Composite Index 9.63% 8.77% 4.40% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.32% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 4.48% MSCI ACWI (All Country World Index) ex USA Index 20.66% 7.37% 1.27% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.62% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 9 Annual Report

U.Fund Portfolio 2027 (Fidelity Funds) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2027 (Fidelity Funds) 14.26% 64.47% 54.60% U.Fund Portfolio 2027 Composite Index 12.00% 61.62% 65.08% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 106.90% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 48.13% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 3.86% MSCI ACWI (All Country World Index) ex USA Index 20.66% 42.71% 10.24% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2027 Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2027 (Fidelity Funds) 14.26% 10.46% 4.67% U.Fund Portfolio 2027 Composite Index 12.00% 10.08% 5.39% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.91% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 4.20% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.40% MSCI ACWI (All Country World Index) ex USA Index 20.66% 7.37% 1.03% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. $10,000 Over Life of Portfolio Period Ending Values $15,460 U.Fund Portfolio 2027 (Fidelity Funds) $16,508 U.Fund Portfolio 2027 Composite Index Life of Portfolio: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2027 (Fidelity Funds) on December 14, 2007, when the Portfolio started. The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2027 Composite Index performed over the same period. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 10

U.Fund Portfolio 2030 (Fidelity Funds) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2030 (Fidelity Funds) 16.72% 70.86% 72.40% U.Fund Portfolio 2030 Composite Index 14.47% 67.97% 76.22% MSCI ACWI (All Country World Index) ex USA Index 20.66% 42.71% 28.24% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 117.58% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 24.30% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2030 Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. $10,000 Over Life of Portfolio Period Ending Values $17,240 U.Fund Portfolio 2030 (Fidelity Funds) $17,622 U.Fund Portfolio 2030 Composite Index Life of Portfolio: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2030 (Fidelity Funds) on December 28, 2010, when the Portfolio started. The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2030 Composite Index performed over the same period. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2030 (Fidelity Funds) 16.72% 11.31% 8.73% U.Fund Portfolio 2030 Composite Index 14.47% 10.93% 9.09% MSCI ACWI (All Country World Index) ex USA Index 20.66% 7.37% 3.90% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 12.68% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 3.40% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 11 Annual Report

U.Fund Portfolio 2033 (Fidelity Funds) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Life of Portfolio U.Fund Portfolio 2033 (Fidelity Funds) 19.36% 30.70% U.Fund Portfolio 2033 Composite Index 16.99% 30.36% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.58% Dow Jones U.S. Total Stock Market Index SM 18.52% 41.75% MSCI ACWI (All Country World Index) ex USA Index 20.66% 12.41% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2033 Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. $10,000 Over Life of Portfolio Period Ending Values $13,070 U.Fund Portfolio 2033 (Fidelity Funds) $13,036 U.Fund Portfolio 2033 Composite Index Life of Portfolio: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2033 (Fidelity Funds) on December 18, 2013, when the Portfolio started. The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2033 Composite Index performed over the same period. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Life of Portfolio U.Fund Portfolio 2033 (Fidelity Funds) 19.36% 7.87% U.Fund Portfolio 2033 Composite Index 16.99% 7.79% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 3.15% Dow Jones U.S. Total Stock Market Index SM 18.52% 10.38% MSCI ACWI (All Country World Index) ex USA Index 20.66% 3.36% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 12

U.Fund Portfolio 2036 (Fidelity Funds) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Life of Portfolio U.Fund Portfolio 2036 (Fidelity Funds) 12.60% U.Fund Portfolio 2036 Composite Index 9.57% Dow Jones U.S. Total Stock Market Index SM 8.46% MSCI ACWI (All Country World Index) ex USA Index 13.35% Bloomberg Barclays U.S. Aggregate Bond Index 2.98% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2036 Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. The returns for the Life of Portfolio period are from December 14, 2016 to June 30, 2017. Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. These numbers will be reported once the Portfolio is a year old. In addition, the growth of a hypothetical $10,000 investment in the Portfolio will appear. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 13 Annual Report

U.Fund Conservative Portfolio (Fidelity Funds) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Conservative Portfolio (Fidelity Funds) 0.85% 6.63% 27.58% U.Fund Conservative Portfolio (Fidelity Funds) Composite Index 0.14% 5.88% 26.01% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 54.97% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 6.34% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Conservative Portfolio (Fidelity Funds) Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. $10,000 Over 10 Years Period Ending Values $12,758 U.Fund Conservative Portfolio (Fidelity Funds) $12,601 U.Fund Conservative Portfolio (Fidelity Funds) Composite Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Conservative Portfolio (Fidelity Funds) on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the U.Fund Conservative Portfolio (Fidelity Funds) Composite Index performed over the same period. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Conservative Portfolio (Fidelity Funds) 0.85% 1.29% 2.47% U.Fund Conservative Portfolio (Fidelity Funds) Composite Index 0.14% 1.15% 2.34% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 4.48% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.62% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 14

U.Fund Moderate Growth Portfolio (Fidelity Funds) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Moderate Growth Portfolio (Fidelity Funds) 14.82% 59.34% 64.34% U.Fund Moderate Growth Portfolio (Fidelity Funds) Composite Index 13.06% 57.67% 71.76% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 102.67% MSCI ACWI (All Country World Index) ex USA Index 20.66% 42.71% 13.49% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 54.97% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Moderate Growth Portfolio (Fidelity Funds) Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. $10,000 Over 10 Years Period Ending Values $16,434 U.Fund Moderate Growth Portfolio (Fidelity Funds) $17,176 U.Fund Moderate Growth Portfolio (Fidelity Funds) Composite Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Moderate Growth Portfolio (Fidelity Funds) on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the U.Fund Moderate Growth Portfolio (Fidelity Funds) Composite Index performed over the same period. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Moderate Growth Portfolio (Fidelity Funds) 14.82% 9.76% 5.09% U.Fund Moderate Growth Portfolio (Fidelity Funds) Composite Index 13.06% 9.53% 5.56% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.32% MSCI ACWI (All Country World Index) ex USA Index 20.66% 7.37% 1.27% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 4.48% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 15 Annual Report

U.Fund Aggressive Growth Portfolio (Fidelity Funds) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Aggressive Growth Portfolio (Fidelity Funds) 20.39% 80.00% 59.20% U.Fund Aggressive Growth Portfolio (Fidelity Funds) Composite Index 19.24% 77.50% 68.39% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 102.67% MSCI ACWI (All Country World Index) ex USA Index 20.66% 42.71% 13.49% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Aggressive Growth Portfolio (Fidelity Funds) Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. $10,000 Over 10 Years Period Ending Values $15,920 U.Fund Aggressive Growth Portfolio (Fidelity Funds) $16,839 U.Fund Aggressive Growth Portfolio (Fidelity Funds) Composite Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Aggressive Growth Portfolio (Fidelity Funds) on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the U.Fund Aggressive Growth Portfolio (Fidelity Funds) Composite Index performed over the same period. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U Fund Aggressive Growth Portfolio (Fidelity Funds) 20.39% 12.47% 4.76% U.Fund Aggressive Growth Portfolio (Fidelity Funds) Composite Index 19.24% 12.16% 5.35% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.32% MSCI ACWI (All Country World Index) ex USA Index 20.66% 7.37% 1.27% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 16

U.Fund Money Market Portfolio Performance: The Bottom Line Performance The information provided in the tables below shows you the performance of the Portfolio with comparisons over different time periods to the portfolio s relevant benchmark. Seeing the returns over different time periods can help you assess the portfolio s performance across multiple market environments. The performance information is presented in two ways cumulative total returns and average annual total returns. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Money Market Portfolio 0.09% 0.18% 5.53% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 6.34% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index. The benchmark includes reinvested dividends and capital gains, if any. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Money Market Portfolio 0.09% 0.04% 0.54% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.62% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 17 Annual Report

U.Fund College Portfolio (Fidelity Index) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund College Portfolio (Fidelity Index) 3.16% 16.03% 41.11% U.Fund College Portfolio (Fidelity Index) Composite Index 3.36% 17.20% 43.30% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 102.67% MSCI EAFE Index 20.51% 52.85% 12.47% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 6.34% Bloomberg Commodity Index Total Return -6.50% -38.45% -48.89% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 54.97% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund College Portfolio (Fidelity Index) Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund College Portfolio (Fidelity Index) 3.16% 3.02% 3.50% U.Fund College Portfolio (Fidelity Index) Composite Index 3.36% 3.22% 3.66% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.32% MSCI EAFE Index 20.51% 8.86% 1.18% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.62% Bloomberg Commodity Index Total Return -6.50% -9.25% -6.49% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 4.48% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. $10,000 Over 10 Years Period Ending Values $14,111 U.Fund College Portfolio (Fidelity Index) $14,330 U.Fund College Portfolio (Fidelity Index) Composite Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund College Portfolio (Fidelity Index) on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the U.Fund College Portfolio (Fidelity Index) Composite Index performed over the same period. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 18

U.Fund Portfolio 2018 (Fidelity Index) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Portfolio 2018 (Fidelity Index) 4.32% 29.13% 42.32% U.Fund Portfolio 2018 (Fidelity Index) Composite Index 4.56% 30.60% 45.69% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 102.67% MSCI EAFE Index 20.51% 52.85% 12.47% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 6.34% Bloomberg Commodity Index Total Return -6.50% -38.45% -48.89% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 54.97% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2018 (Fidelity Index) Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Portfolio 2018 (Fidelity Index) 4.32% 5.25% 3.59% U.Fund Portfolio 2018 (Fidelity Index) Composite Index 4.56% 5.48% 3.83% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.32% MSCI EAFE Index 20.51% 8.86% 1.18% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.62% Bloomberg Commodity Index Total Return -6.50% -9.25% -6.49% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 4.48% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. $10,000 Over 10 Years Period Ending Values $14,232 U.Fund Portfolio 2018 (Fidelity Index) $14,569 U.Fund Portfolio 2018 (Fidelity Index) Composite Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2018 (Fidelity Index) on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2018 (Fidelity Index) Composite Index performed over the same period. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 19 Annual Report

U.Fund Portfolio 2021 (Fidelity Index) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Portfolio 2021 (Fidelity Index) 6.68% 39.21% 46.81% U.Fund Portfolio 2021 (Fidelity Index) Composite Index 7.00% 40.92% 50.46% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 102.67% MSCI EAFE Index 20.51% 52.85% 12.47% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 6.34% Bloomberg Commodity Index Total Return -6.50% -38.45% -48.89% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 54.97% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2021 (Fidelity Index) Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Portfolio 2021 (Fidelity Index) 6.68% 6.84% 3.91% U.Fund Portfolio 2021 (Fidelity Index) Composite Index 7.00% 7.10% 4.17% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.32% MSCI EAFE Index 20.51% 8.86% 1.18% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.62% Bloomberg Commodity Index Total Return -6.50% -9.25% -6.49% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 4.48% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. $10,000 Over 10 Years Period Ending Values $14,681 U.Fund Portfolio 2021 (Fidelity Index) $15,046 U.Fund Portfolio 2021 (Fidelity Index) Composite Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2021 (Fidelity Index) on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2021 (Fidelity Index) Composite Index performed over the same period. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 20

U.Fund Portfolio 2024 (Fidelity Index) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Portfolio 2024 (Fidelity Index) 9.05% 49.42% 51.72% U.Fund Portfolio 2024 (Fidelity Index) Composite Index 9.32% 51.14% 55.58% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 102.67% MSCI EAFE Index 20.51% 52.85% 12.47% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 6.34% Bloomberg Commodity Index Total Return -6.50% -38.45% -48.89% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 54.97% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2024 (Fidelity Index) Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Portfolio 2024 (Fidelity Index) 9.05% 8.36% 4.26% U.Fund Portfolio 2024 (Fidelity Index) Composite Index 9.32% 8.61% 4.52% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.32% MSCI EAFE Index 20.51% 8.86% 1.18% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.62% Bloomberg Commodity Index Total Return -6.50% -9.25% -6.49% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 4.48% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. $10,000 Over 10 Years Period Ending Values $15,172 U.Fund Portfolio 2024 (Fidelity Index) $15,558 U.Fund Portfolio 2024 (Fidelity Index) Composite Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2024 (Fidelity Index) on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2024 (Fidelity Index) Composite Index performed over the same period. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 21 Annual Report

U.Fund Portfolio 2027 (Fidelity Index) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2027 (Fidelity Index) 11.41% 58.36% 58.20% U.Fund Portfolio 2027 (Fidelity Index) Composite Index 11.65% 60.15% 64.25% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 106.90% MSCI EAFE Index 20.51% 52.85% 12.54% Bloomberg Commodity Index Total Return -6.50% -38.45% -52.91% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 48.13% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 3.86% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2027 (Fidelity Index) Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2027 (Fidelity Index) 11.41% 9.63% 4.92% U.Fund Portfolio 2027 (Fidelity Index) Composite Index 11.65% 9.88% 5.33% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.91% MSCI EAFE Index 20.51% 8.86% 1.24% Bloomberg Commodity Index Total Return -6.50% -9.25% -7.58% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 4.20% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.40% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. $10,000 Over Life of Portfolio Period Ending Values $15,820 U.Fund Portfolio 2027 (Fidelity Index) $16,425 U.Fund Portfolio 2027 (Fidelity Index) Composite Index Life of Portfolio: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2027 (Fidelity Index) on December 14, 2007, when the Portfolio started. The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2027 (Fidelity Index) Composite Index performed over the same period. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 22

U.Fund Portfolio 2030 (Fidelity Index) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2030 (Fidelity Index) 13.85% 63.99% 73.50% U.Fund Portfolio 2030 (Fidelity Index) Composite Index 14.09% 65.83% 75.73% MSCI EAFE Index 20.51% 52.85% 39.56% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 117.58% Bloomberg Commodity Index Total Return -6.50% -38.45% -48.04% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 24.30% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2030 (Fidelity Index) Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2030 (Fidelity Index) 13.85% 10.40% 8.83% U.Fund Portfolio 2030 (Fidelity Index) Composite Index 14.09% 10.65% 9.05% MSCI EAFE Index 20.51% 8.86% 5.25% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 12.68% Bloomberg Commodity Index Total Return -6.50% -9.25% -9.57% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 3.40% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. $10,000 Over Life of Portfolio Period Ending Values $17,350 U.Fund Portfolio 2030 (Fidelity Index) $17,573 U.Fund Portfolio 2030 (Fidelity Index) Composite Index Life of Portfolio: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2030 (Fidelity Index) on December 28, 2010, when the Portfolio started. The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2030 (Fidelity Index) Composite Index performed over the same period. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 23 Annual Report

U.Fund Portfolio 2033 (Fidelity Index) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Life of Portfolio U.Fund Portfolio 2033 (Fidelity Index) 16.41% 27.70% U.Fund Portfolio 2033 (Fidelity Index) Composite Index 16.58% 28.50% Dow Jones U.S. Total Stock Market Index SM 18.52% 41.75% MSCI EAFE Index 20.51% 13.63% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.58% Bloomberg Commodity Index Total Return -6.50% -33.93% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2033 (Fidelity Index) Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. $10,000 Over Life of Portfolio Period Ending Values $12,770 U.Fund Portfolio 2033 (Fidelity Index) $12,850 U.Fund Portfolio 2033 (Fidelity Index) Composite Index Life of Portfolio: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2033 (Fidelity Index) on December 18, 2013, when the Portfolio started. The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2033 (Fidelity Index) Composite Index performed over the same period. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Life of Portfolio U.Fund Portfolio 2033 (Fidelity Index) 16.41% 7.16% U.Fund Portfolio 2033 (Fidelity Index) Composite Index 16.58% 7.35% Dow Jones U.S. Total Stock Market Index SM 18.52% 10.38% MSCI EAFE Index 20.51% 3.68% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 3.15% Bloomberg Commodity Index Total Return -6.50% -11.07% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 24

U.Fund Portfolio 2036 (Fidelity Index) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Life of Portfolio U.Fund Portfolio 2036 (Fidelity Index) 9.80% U.Fund Portfolio 2036 (Fidelity Index) Composite Index 9.35% Dow Jones U.S. Total Stock Market Index SM 8.46% MSCI EAFE Index 13.27% Bloomberg Barclays U.S. Aggregate Bond Index 2.98% Bloomberg Commodity Index Total Return -5.36% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2036 (Fidelity Index) Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. The returns for the Life of Portfolio period are from December 14, 2016 to June 30, 2017. Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. These numbers will be reported once the Portfolio is a year old. In addition, the growth of a hypothetical $10,000 investment in the Portfolio will appear. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 25 Annual Report

U.Fund Conservative Portfolio (Fidelity Index) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Conservative Portfolio (Fidelity Index) -0.08% 4.73% 29.69% U.Fund Conservative Portfolio (Fidelity Index) Composite Index 0.14% 5.65% 31.74% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 6.34% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 54.97% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Conservative Portfolio (Fidelity Index) Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. $10,000 Over 10 Years Period Ending Values $12,969 U.Fund Conservative Portfolio (Fidelity Index) $13,174 U.Fund Conservative Portfolio (Fidelity Index) Composite Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Conservative Portfolio (Fidelity Index) on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the U.Fund Conservative Portfolio (Fidelity Index) Composite Index performed over the same period. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Conservative Portfolio (Fidelity Index) -0.08% 0.93% 2.63% U.Fund Conservative Portfolio (Fidelity Index) Composite Index 0.14% 1.11% 2.79% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.62% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 4.48% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 26

U.Fund Moderate Growth Portfolio (Fidelity Index) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Moderate Growth Portfolio (Fidelity Index) 12.43% 54.37% 70.88% U.Fund Moderate Growth Portfolio (Fidelity Index) Composite Index 12.70% 56.10% 75.33% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 102.67% MSCI EAFE Index 20.51% 52.85% 12.47% Bloomberg Commodity Index Total Return -6.50% -38.45% -48.89% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 54.97% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Moderate Growth Portfolio (Fidelity Index) Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Moderate Growth Portfolio (Fidelity Index) 12.43% 9.07% 5.50% U.Fund Moderate Growth Portfolio (Fidelity Index) Composite Index 12.70% 9.32% 5.78% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.32% MSCI EAFE Index 20.51% 8.86% 1.18% Bloomberg Commodity Index Total Return -6.50% -9.25% -6.49% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 4.48% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. $10,000 Over 10 Years Period Ending Values $17,088 U.Fund Moderate Growth Portfolio (Fidelity Index) $17,533 U.Fund Moderate Growth Portfolio (Fidelity Index) Composite Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Moderate Growth Portfolio (Fidelity Index) on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the U.Fund Moderate Growth Portfolio (Fidelity Index) Composite Index performed over the same period. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 27 Annual Report

U.Fund Aggressive Growth Portfolio (Fidelity Index) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Aggressive Growth Portfolio (Fidelity Index) 18.58% 76.79% 65.56% U.Fund Aggressive Growth Portfolio (Fidelity Index) Composite Index 18.81% 78.37% 69.11% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 102.67% MSCI EAFE Index 20.51% 52.85% 12.47% Bloomberg Commodity Index Total Return -6.50% -38.45% -48.89% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Aggressive Growth Portfolio (Fidelity Index) Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. $10,000 Over 10 Years Period Ending Values $16,556 U.Fund Aggressive Growth Portfolio (Fidelity Index) $16,911 U.Fund Aggressive Growth Portfolio (Fidelity Index) Composite Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Aggressive Growth Portfolio (Fidelity Index) on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the U.Fund Aggressive Growth Portfolio (Fidelity Index) Composite Index performed over the same period. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Aggressive Growth Portfolio (Fidelity Index) 18.58% 12.07% 5.17% U.Fund Aggressive Growth Portfolio (Fidelity Index) Composite Index 18.81% 12.27% 5.39% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.32% MSCI EAFE Index 20.51% 8.86% 1.18% Bloomberg Commodity Index Total Return -6.50% -9.25% -6.49% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 28

U.Fund Intermediate Treasury Index Portfolio Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. $10,000 Over 10 Years Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Intermediate Treasury Index Portfolio -3.18% 6.18% 59.74% Bloomberg Barclays U.S. 5-10 Year Treasury Bond Index -2.94% 7.75% 65.80% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the Bloomberg Barclays U.S. 5-10 Year Treasury Bond Index. The benchmark includes reinvested dividends and capital gains, if any. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Intermediate Treasury Index Portfolio -3.18% 1.21% 4.80% Bloomberg Barclays U.S. 5-10 Year Treasury Bond Index -2.94% 1.50% 5.19% Period Ending Values $15,974 U.Fund Intermediate Treasury Index Portfolio $16,580 Bloomberg Barclays U.S. 5-10 Year Treasury Bond Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Intermediate Treasury Index Portfolio on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the Bloomberg Barclays U.S. 5-10 Year Treasury Bond Index performed over the same period. Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 29 Annual Report

U.Fund International Index Portfolio Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. $10,000 Over 10 Years Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund International Index Portfolio 20.00% 51.05% 9.69% MSCI EAFE Index 20.51% 52.85% 12.47% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the MSCI EAFE Index. The benchmark includes reinvested dividends and capital gains, if any. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund International Index Portfolio 20.00% 8.60% 0.93% MSCI EAFE Index 20.51% 8.86% 1.18% Period Ending Values $10,969 U.Fund International Index Portfolio $11,247 MSCI EAFE Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund International Index Portfolio on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the MSCI EAFE Index performed over the same period. Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 30

U.Fund Fidelity 500 Index Portfolio Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. $10,000 Over 10 Years Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Fidelity 500 Index Portfolio 17.76% 96.16% 95.10% S&P 500 Index 17.90% 97.92% 100.08% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the S&P 500 Index. The benchmark includes reinvested dividends and capital gains, if any. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Fidelity 500 Index Portfolio 17.76% 14.43% 6.91% S&P 500 Index 17.90% 14.63% 7.18% Period Ending Values $19,510 U.Fund Fidelity 500 Index Portfolio $20,008 S&P 500 Index Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Fidelity 500 Index Portfolio on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the S&P 500 Index performed over the same period. Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 31 Annual Report

U.Fund Total Market Index Portfolio Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. $10,000 Over 10 Years Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Total Market Index Portfolio 18.44% 95.54% 97.48% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 102.67% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the Dow Jones U.S. Total Stock Market Index SM. The benchmark includes reinvested dividends and capital gains, if any. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Past 10 U.Fund Total Market Index Portfolio 18.44% 14.35% 7.04% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 7.32% Period Ending Values $19,748 U.Fund Total Market Index Portfolio $20,267 Dow Jones U.S. Total Stock Market Index SM Past 10 Years: Let s say hypothetically that $10,000 was invested in U.Fund Total Market Index Portfolio on June 30, 2007 (past ten year period). The chart shows how the value of that investment would have changed, and also shows how the Dow Jones U.S. Total Stock Market Index SM performed over the same period. Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 32

U.Fund Bank Deposit Portfolio Performance: The Bottom Line Performance The information provided in the tables below shows you the performance of the Portfolio with comparisons over different time periods. Seeing the returns over different time periods can help you assess the portfolio s performance across multiple market environments. The performance information is presented in two ways cumulative total returns and average annual total returns. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Bank Deposit Portfolio 0.40% 0.90% 1.10% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. The Portfolio s returns are for the one-year and five-year periods ending June 30, 2017 and for the Life of Portfolio period from September 16, 2010 to June 30, 2017. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Bank Deposit Portfolio 0.40% 0.18% 0.16% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 33 Annual Report

U.Fund College Portfolio (Multi-Firm) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund College Portfolio (Multi-Firm) 5.23% 18.74% 24.80% U.Fund College Portfolio Composite Index 3.62% 18.68% 24.31% MSCI ACWI (All Country World Index) ex USA Index 20.66% 42.71% 50.16% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 0.99% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 137.24% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 15.84% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund College Portfolio Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund College Portfolio (Multi-Firm) 5.23% 3.50% 3.92% U.Fund College Portfolio Composite Index 3.62% 3.48% 3.85% MSCI ACWI (All Country World Index) ex USA Index 20.66% 7.37% 7.31% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.17% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 16.19% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 2.59% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. $10,000 Over Life of Portfolio Period Ending Values $12,480 U.Fund College Portfolio (Multi-Firm) $12,431 U.Fund College Portfolio Composite Index Life of Portfolio: Let s say hypothetically that $10,000 was invested in U.Fund College Portfolio (Multi-Firm) on September 28, 2011, when the Portfolio started. The chart shows how the value of that investment would have changed, and also shows how the U.Fund College Portfolio Composite Index performed over the same period. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 34

U.Fund Portfolio 2018 (Multi-Firm) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2018 (Multi-Firm) 6.47% 31.88% 44.80% U.Fund Portfolio 2018 Composite Index 4.84% 32.25% 45.20% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 137.24% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 15.84% MSCI ACWI (All Country World Index) ex USA Index 20.66% 42.71% 50.16% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 0.99% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2018 Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2018 (Multi-Firm) 6.47% 5.69% 6.64% U.Fund Portfolio 2018 Composite Index 4.84% 5.75% 6.69% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 16.19% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 2.59% MSCI ACWI (All Country World Index) ex USA Index 20.66% 7.37% 7.31% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.17% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. $10,000 Over Life of Portfolio Period Ending Values $14,480 U.Fund Portfolio 2018 (Multi-Firm) $14,520 U.Fund Portfolio 2018 Composite Index Life of Portfolio: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2018 (Multi-Firm) on September 28, 2011, when the Portfolio started. The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2018 Composite Index performed over the same period. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 35 Annual Report

U.Fund Portfolio 2021 (Multi-Firm) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2021 (Multi-Firm) 8.91% 41.22% 57.60% U.Fund Portfolio 2021 Composite Index 7.28% 42.30% 59.47% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 137.24% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 15.84% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 0.99% MSCI ACWI (All Country World Index) ex USA Index 20.66% 42.71% 50.16% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2021 Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2021 (Multi-Firm) 8.91% 7.15% 8.22% U.Fund Portfolio 2021 Composite Index 7.28% 7.31% 8.44% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 16.19% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 2.59% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.17% MSCI ACWI (All Country World Index) ex USA Index 20.66% 7.37% 7.31% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. $10,000 Over Life of Portfolio Period Ending Values $15,760 U.Fund Portfolio 2021 (Multi-Firm) $15,947 U.Fund Portfolio 2021 Composite Index Life of Portfolio: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2021 (Multi-Firm) on September 28, 2011, when the Portfolio started. The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2021 Composite Index performed over the same period. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 36

U.Fund Portfolio 2024 (Multi-Firm) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2024 (Multi-Firm) 11.27% 50.40% 69.80% U.Fund Portfolio 2024 Composite Index 9.63% 52.25% 73.30% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 137.24% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 15.84% MSCI ACWI (All Country World Index) ex USA Index 20.66% 42.71% 50.16% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 0.99% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2024 Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2024 (Multi-Firm) 11.27% 8.50% 9.63% U.Fund Portfolio 2024 Composite Index 9.63% 8.77% 10.02% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 16.19% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 2.59% MSCI ACWI (All Country World Index) ex USA Index 20.66% 7.37% 7.31% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.17% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. $10,000 Over Life of Portfolio Period Ending Values $16,980 U.Fund Portfolio 2024 (Multi-Firm) $17,330 U.Fund Portfolio 2024 Composite Index Life of Portfolio: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2024 (Multi-Firm) on September 28, 2011, when the Portfolio started. The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2024 Composite Index performed over the same period. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 37 Annual Report

U.Fund Portfolio 2027 (Multi-Firm) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2027 (Multi-Firm) 13.61% 58.44% 80.30% U.Fund Portfolio 2027 Composite Index 12.00% 61.62% 85.82% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 137.24% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 15.84% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.95% 0.99% MSCI ACWI (All Country World Index) ex USA Index 20.66% 42.71% 50.16% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2027 Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2027 (Multi-Firm) 13.61% 9.64% 10.78% U.Fund Portfolio 2027 Composite Index 12.00% 10.08% 11.36% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 16.19% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 2.59% Bloomberg Barclays U.S. 3 Month Treasury Bellwether Index 0.50% 0.19% 0.17% MSCI ACWI (All Country World Index) ex USA Index 20.66% 7.37% 7.31% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. $10,000 Over Life of Portfolio Period Ending Values $18,030 U.Fund Portfolio 2027 (Multi-Firm) $18,582 U.Fund Portfolio 2027 Composite Index Life of Portfolio: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2027 (Multi-Firm) on September 28, 2011, when the Portfolio started. The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2027 Composite Index performed over the same period. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 38

U.Fund Portfolio 2030 (Multi-Firm) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2030 (Multi-Firm) 16.01% 64.09% 86.90% U.Fund Portfolio 2030 Composite Index 14.47% 67.97% 93.67% MSCI ACWI (All Country World Index) ex USA Index 20.66% 42.71% 50.16% Dow Jones U.S. Total Stock Market Index SM 18.52% 96.85% 137.24% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.57% 15.84% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2030 Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. $10,000 Over Life of Portfolio Period Ending Values $18,690 U.Fund Portfolio 2030 (Multi-Firm) $19,367 U.Fund Portfolio 2030 Composite Index Life of Portfolio: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2030 (Multi-Firm) on September 28, 2011, when the Portfolio started. The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2030 Composite Index performed over the same period. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Past 5 Life of Portfolio U.Fund Portfolio 2030 (Multi-Firm) 16.01% 10.41% 11.47% U.Fund Portfolio 2030 Composite Index 14.47% 10.93% 12.16% MSCI ACWI (All Country World Index) ex USA Index 20.66% 7.37% 7.31% Dow Jones U.S. Total Stock Market Index SM 18.52% 14.51% 16.19% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 2.21% 2.59% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 39 Annual Report

U.Fund Portfolio 2033 (Multi-Firm) Performance: The Bottom Line Performance There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Past 1 year Life of Portfolio U.Fund Portfolio 2033 (Multi-Firm) 18.27% 26.90% U.Fund Portfolio 2033 Composite Index 16.99% 30.36% Dow Jones U.S. Total Stock Market Index SM 18.52% 41.75% MSCI ACWI (All Country World Index) ex USA Index 20.66% 12.41% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 11.58% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2033 Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. $10,000 Over Life of Portfolio Period Ending Values $12,690 U.Fund Portfolio 2033 (Multi-Firm) $13,036 U.Fund Portfolio 2033 Composite Index Life of Portfolio: Let s say hypothetically that $10,000 was invested in U.Fund Portfolio 2033 (Multi-Firm) on December 18, 2013, when the Portfolio started. The chart shows how the value of that investment would have changed, and also shows how the U.Fund Portfolio 2033 Composite Index performed over the same period. Average Annual Total Returns Periods ended June 30, 2017 Past 1 year Life of Portfolio U.Fund Portfolio 2033 (Multi-Firm) 18.27% 6.97% U.Fund Portfolio 2033 Composite Index 16.99% 7.79% Dow Jones U.S. Total Stock Market Index SM 18.52% 10.38% MSCI ACWI (All Country World Index) ex USA Index 20.66% 3.36% Bloomberg Barclays U.S. Aggregate Bond Index -0.31% 3.15% Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. Annual Report 40

U.Fund Portfolio 2036 (Multi-Firm) Performance: The Bottom Line There are several ways to evaluate a portfolio s historical performance. You can look at the total percentage change in value, the average annual percentage change or the growth of a hypothetical $10,000 investment. Total return reflects the change in the value of an investment. Cumulative Total Returns Periods ended June 30, 2017 Life of Portfolio U.Fund Portfolio 2036 (Multi-Firm) 10.90% U.Fund Portfolio 2036 Composite Index 9.57% Dow Jones U.S. Total Stock Market Index SM 8.46% MSCI ACWI (All Country World Index) ex USA Index 13.35% Bloomberg Barclays U.S. Aggregate Bond Index 2.98% Cumulative total returns show the Portfolio s performance in percentage terms over the periods shown. For example, if you invested $1,000 in a portfolio that had a 5% return over the past year, the value of your investment would be $1,050. You can compare the Portfolio s return to the performance of the U.Fund Portfolio 2036 Composite Index, an approximate weighted combination of the unmanaged indices as noted in the total return table above. These benchmarks include reinvested dividends and capital gains, if any. The index weightings may be adjusted periodically to reflect the Portfolio s changing asset allocation. The returns for the Life of Portfolio period are from December 14, 2016 to June 30, 2017. Average annual total returns take the Portfolio s cumulative return and show you what would have happened if the Portfolio had performed at a constant rate each year. These numbers will be reported once the Portfolio is a year old. In addition, the growth of a hypothetical $10,000 investment in the Portfolio will appear. Understanding Performance How a portfolio did yesterday is no guarantee of how it will do tomorrow. The stock market, for example, has a history of long-term growth and short-term volatility. In turn, the unit price and return of a portfolio that invests in stocks will vary. That means if you sell your units during a market downturn, you might lose money. But if you can ride out the market s ups and downs, you may have a gain. 41 Annual Report

Market Recap For the 12 months ending June 30, 2017, a continued synchronized expansion in global economic activity provided a favorable environment for asset markets. Flagging energy prices and muted inflation mitigated concerns about potential overheating. An unsettled political environment ahead of the U.S. presidential election spurred market turbulence last autumn, but stocks rose sharply beginning in early November, largely due to optimism that U.S. economic growth and corporate earnings would accelerate. At the start of the new year, investor sentiment was decidedly favorable amid a steady, tranquil backdrop that included unusually low volatility for most asset markets, as well as decelerating inflation and ample global monetary accommodation. Bolstered by a weaker dollar in 2017, non-u.s. equities particularly in emerging markets led the global stock market rally. As of June 30, 2017, most developed economies appear to be in the more mature (mid-to-late) stages of the business cycle. China s economy remains broadly steady, the eurozone is on a mid-cycle upswing and the U.S. remains a mix of late-cycle dynamics. For the year, the MSCI ACWI (All Country World Index) Index a combined measure of U.S., foreign developed-markets (DM) and emergingmarkets (EM) equity performance gained 19.26%. Among regions, favorable election results in France and elsewhere suggested ebbing political uncertainty and near-term risk in the eurozone: Europe (+25%) more than doubled the gain of the U.K. (+12%), which faced more-mixed conditions ahead of its expected exit from the European Union ( Brexit ). U.S. stocks (+18%) rallied on post-election optimism. Despite continued central-bank easing, Japan (+20%) modestly lagged the rest of the Asia Pacific group (+21%). Commodity-price volatility whipsawed Canada (+13%), but the EM group (+24%) boomed. Around the world, small-cap bested large-cap stocks. Growth-oriented stocks topped value counterparts in the U.S.; the reverse was true elsewhere. Looking at MSCI ACWI sectors, information technology (+36%) led the way, boosted by a surge among major U.S. and Chinese internet names. Financials (+36%) rode atop rising interest rates that, at the same time, pressured real estate (+4%) along with utilities (+4%), consumer staples (+5%) and other so-called bond proxy or income-oriented sectors. Telecommunication services (-2%), another bond-proxy sector, posted the sole negative, hurt by both rising rates and increased competition. Health care (+10%) lagged early on due to turmoil around drug pricing and health care legislation, only to rebound later in the period amid strong balance sheets and dividend yields, particularly in the U.S. and Europe, as well as rising demand for medical products and services. Energy (+1%) fared well for the first half of the period given rising prices for crude oil and natural gas as well as optimism that OPEC (the Organization of the Petroleum Exporting Countries) might be able to rein in production enough to support a further oil-price advance. Oil prices peaked on the first trading day of the new year, though, and lost considerable ground thereafter. The remaining sectors clustered closer to the MSCI ACWI result. Meanwhile, U.S. taxable investment-grade bonds declined slightly the past 12 months. The early part of the period proved volatile, marked by concerns about monetary-policy tightening in response to global economic growth. The Bloomberg Barclays U.S. Aggregate Bond Index returned -0.31% for the year. Bond yields reached an all-time low shortly after the U.K. s late-june 2016 Brexit vote. Bond yields began to rise heading into the U.S. presidential election and rallied strongly thereafter; many investors viewed then-president-elect Donald Trump s economic agenda as stimulative and potentially inflationary. Yields also rode the U.S. Federal Reserve s December decision to raise policy interest rates, and its signal for additional hikes. Bond yields moderated early in 2017, as it became clear that changes to tax, health care and fiscal policies would take time to develop and implement, and that the pace of rate increases was likely to be gradual, with follow-on quarter-point hikes in March and June. Within the Bloomberg Barclays index, investment-grade corporate credit (+2%) led all major market segments, while U.S. Treasuries declined. Outside the index, riskier non-core bond segments led the broader market with U.S. high-yield debt producing a double-digit gain whereas inflation-protected securities turned in a slightly negative result. The views expressed above reflect those of the portfolio manager(s) only through the end of the period as stated on the cover of this report and do not necessarily represent the views of Fidelity or any other person in the Fidelity organization. Any such views are subject to change at any time based upon market or other conditions and Fidelity disclaims any responsibility to update such views. These views may not be relied on as investment advice and, because investment decisions for a Fidelity fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Fidelity fund. Effective August 24, 2016, all Barclays benchmark indices were co-branded as the Bloomberg Barclays Indices for a period of five. Annual Report 42

Fund Talk: The Managers Overview Andrew Dierdorf (left) and Brett Sumsion, Co-Portfolio Managers of U.Fund College Investing Plan Portfolios Q. Brett, would you please describe asset markets for the 12 months ending June 30, 2017? A. The U.S. equity bellwether S&P 500 gained 17.90% this period, rising sharply following the November election and gaining further ground through the end of February on optimism for President Trump s pro-business agenda. Equity markets leveled off, though, as the fledgling administration faced tests of its domestic agenda. Stocks reacted with uncertainty to efforts by Congress in March to repeal and replace the Affordable Care Act, and then surged through June 30, driven largely by the so-called FAANG group namely, Facebook, Apple, Amazon.com, Netflix and Alphabet s Google and a few other names. Overall, growth-oriented stocks outpaced value segments this year, and small-cap stocks finished well ahead of large-caps. Sector-wise, financials (+38%) fared best, riding an uptick in bond yields and a surge in bank shares, particularly post-election. Technology (+34%) also did quite well, as a handful of major index constituents posted stellar returns. Industrials (+22%) and materials (+19%) responded to the call for increased infrastructure spending and a rise in related commodity prices, respectively, while e-commerce buoyed consumer discretionary (+17%). Conversely, telecom services (-12%) and real estate (0%) struggled amid as investor appetite for riskier assets not to mention the likelihood of additional interest rate hikes curbed demand for dividend-rich sectors. Energy (-4%) lagged due to low oil prices. Foreign developed-markets (DM) and emerging-markets (EM) stocks did even better, largely because of a broadly weaker U.S. dollar. The MSCI World ex USA Index of DM equities gained 19.74%, while the MSCI Emerging Markets Index went even higher, up 24.17%. Meanwhile, U.S. investment-grade bond results were slightly negative; commodity results, much more so. Q. Andrew, how did the Portfolios perform on an absolute basis the past 12 months? A. For the year, each of the age-based Fidelity Index, Fidelity Funds and Multi-Firm Portfolios posted a gain, ranging from about 3% to 5% for each platform s College Portfolio and up to about 16% to 19% for Portfolio 2033, the longest-dated offering operational for a full year. In addition, the actively managed Fidelity Funds and Multi-Firm Portfolios outperformed their respective Composite benchmarks by about 1 to 2 percentage points, depending on strategy. (For specific results for Fidelity Funds Portfolios, Fidelity Index Portfolios and Multi-Firm Portfolios, please refer to the performance section of this report.) Q. What influenced age-based Fidelity Funds Portfolios relative results? A. Versus Composites, top-down asset allocation decisions contributed the bulk of the outperformance, most notably our strategy of underweighting the investment-grade debt asset class, particularly in favor of EM equity. Non-benchmark allocations to high-yield debt also helped. Indeed, except for inflation-protected debt, all of the Portfolios out-of-composite fixed-income diversifiers outperformed the Bloomberg Barclays aggregate bond index. In many cases, the allocations were modest and thus exerted small influence individually but collectively these exposures provided diversification from an asset allocation perspective. Detractions generally were modest and included the allocation to inflation-protected debt (-1%), which declined amid diminished inflation expectations. For similar reasons, but also because of the drop in energy prices, Portfolio allocations to commodity securities (-7%) detracted. Though this was the period s worst-performing asset class by far, we believe it s important to maintain diversification and inflation protection within the Portfolios. Valued added from underlying investments also was strong. Collectively, our U.S. equity investments outperformed the asset class, adding substantial value. Highlights include Fidelity Growth Company Fund (+33%) our largest U.S. equity investment which led its specific benchmark by 12 percentage points. Our valueoriented and smaller-cap investments detracted modestly from relative results. The positive from U.S. equity was offset somewhat by less favorable results among foreign investments, some of which underperformed their non-u.s. equity benchmarks. Notably, despite double-digit gains, both Fidelity Diversified International Fund (+18%) and Fidelity Emerging Markets Fund (+21%). lagged their specific benchmarks by as much as 3 percentage points. On the debt side, both Fidelity Investment Grade Bond Fund (+2%) and Fidelity Total Bond Fund (+2%) led the core fixed-income asset class result, which was slightly negative. Both portfolio management teams seek to add value via sector positioning and security selection, and to manage risk by keeping duration roughly in line with that of the Bloomberg Barclays index. Q. How about Multi-Firm Portfolios? A. We observed similar comparisons among Multi-Firm Portfolios. Allocation decisions added the most value, with underlying investments also contributing. In the U.S. equity sleeve, Fidelity Growth Company Fund again stood out, but so did the JPMorgan U.S. Equity Fund (+20%). In many cases, highlighting other full-year results is complicated because we made a number of changes to Multi-Firm Portfolios underlying investments at the share-class level during the year, as I will describe later. In DM equity, T. Rowe Price Overseas Stock Fund helped, but most other underlying investments detracted, most notably William Blair International Growth Fund and MFS International Value Fund. Also, Acadian Emerging Markets Portfolio (+28%) led its EM benchmark 43 Annual Report