Fidelity Strategic Dividend & Income Fund

QUARTERLY FUND REVIEW AS OF DECEMBER 31, 2017 Fidelity Strategic Dividend & Income Fund Investment Approach Fidelity Strategic Dividend & Income Fund is a multi-asset-class strategy that seeks to provide reasonable income, and potentially also capital appreciation, by investing in a diversified mix of dividend-oriented equity and hybrid securities. The fund's assets are allocated among high dividend-yielding stocks, preferred stocks, real estate investment trusts (REITs) and convertible securities, using a target weighting of 50%, 20%, 15% and 15%, respectively. This strategic allocation attempts to take advantage of the low correlation among these equity/hybrid classes with a goal of optimizing total returns while containing volatility over time. Specialized subportfolio managers are responsible for security selection in their respective areas of expertise and represent the primary source of alpha (risk-adjusted excess return), while the lead portfolio managers have the flexibility to make tactical allocation shifts around the target mix to help manage risk and capitalize on relative-value opportunities. PERFORMANCE SUMMARY Cumulative 3 Month YTD 1 Year Annualized 3 Year 5 Year 10 Year/ LOF 1 Fidelity Strategic Dividend & Income Fund Gross Expense Ratio: 0.78% 2 3.97% 12.17% 12.17% 7.72% 10.78% 6.58% S&P 500 Index 6.64% 21.83% 21.83% 11.41% 15.79% 8.50% Fidelity Strategic Dividend & Income Composite Index Morningstar Fund Allocation--70% to 85% Equity 3.77% 14.66% 14.66% 9.27% 12.24% 6.89% 4.06% 15.80% 15.80% 6.56% 9.22% 5.38% % Rank in Morningstar Category (1% = Best) -- -- 81% 38% 17% 10% # of Funds in Morningstar Category -- -- 349 316 279 201 1 Life of Fund (LOF) if performance is less than 10 years. Fund inception date: 12/23/2003. 2 This expense ratio is from the most recent prospectus and generally is based on amounts incurred during the most recent fiscal year. Past performance is no guarantee of future results. Investment return and principal value of an investment will fluctuate; therefore, you may have a gain or loss when you sell your shares. Current performance may be higher or lower than the performance stated. Performance shown is that of the fund's Retail Class shares (if multiclass). You may own another share class of the fund with a different expense structure and, thus, have different returns. To learn more or to obtain the most recent month-end or other share-class performance, visit fidelity.com/performance, institutional.fidelity.com, or 401k.com. Total returns are historical and include change in share value and reinvestment of dividends and capital gains, if any. Cumulative total returns are reported as of the period indicated. For definitions and other important information, please see the Definitions and Important Information section of this Fund Review. FUND INFORMATION Manager(s): Team Managed Trading Symbol: FSDIX Start Date: December 23, 2003 Size (in millions): $5,219.33 Morningstar Category: Fund Allocation--70% to 85% Equity Stock markets, especially foreign markets, are volatile and can decline significantly in response to adverse issuer, political, regulatory, market, or economic developments. Fixed income investments entail interest rate risk (as interest rates rise bond prices usually fall), the risk of issuer default, issuer credit risk and inflation risk. Foreign securities are subject to interest rate, currency exchange rate, economic, and political risks. Changes in real estate values or economic downturns can have a significant negative effect on issuers in the real estate industry. Lowerquality bonds can be more volatile and have greater risk of default than higherquality bonds. Value stocks can perform differently than other types of stocks and can continue to be undervalued by the market for long periods of time. Not FDIC Insured May Lose Value No Bank Guarantee

Market Review Persistent and synchronous global economic acceleration along with low volatility, low inflation and accommodative monetary policies continued to support asset markets in the fourth quarter, especially stocks. Amid U.S. tax and regulatory reform plus robust corporate earnings U.S. stocks made a strong and steady advance for the three months ending December 31, 2017, with the S&P 500 index gaining 6.64%. For the quarter, growth-oriented stocks in the S&P 500 index continued the trend of outperforming value stocks, but only by a slim margin. By capitalization, large-caps fared best, finishing just ahead of mid-caps and topping small-caps by a wider margin. Emerging-markets (EM) equities led the global rally for the fourth quarter in a row. The MSCI Emerging Markets Index rose 7.50%, bolstered by a weaker U.S. dollar and rising import demand and manufacturing activity, particularly in China. Meanwhile, the MSCI World Index of global developed-markets stocks returned 5.60%; excluding the U.S. (+7%), developed-world equities gained about 4%. Large-cap and growth-oriented stocks outpaced other MSCI World size and style segments this period. In fixed income, U.S. taxable investment-grade bonds posted a slightly positive return for the fourth quarter of 2017, amid recordlow volatility and strong demand for new issues. The Bloomberg Barclays U.S. Aggregate Bond Index returned 0.39%, as coupon income more than offset the negative price impact of modestly higher interest rates. The passage of a federal tax-reform package contributed to higher yields this period, though its overall impact on the bond market has been fairly modest. Longer-term rates rose moderately, while shorter-term rates advanced more, continuing their yearlong climb. The Federal Open Market Committee (FOMC) raised target interest rates by 0.25 percentage points in December, and recent Fed communications suggest a broad-based consensus exists for the continuation of gradual policy-rate normalization. This quarter, the Fidelity Strategic Dividend & Income Composite Index SM returned 3.77%, with every asset class in the Composite index generating positive performance. Dividend-paying equities, which make up roughly half the index, were the strongest performers by far. For the quarter, the MSCI USA High Dividend Yield Index gained 6.47%, reflecting the robust economic backdrop and investors' continued comfort with riskier assets. In this segment, the information technology and industrials sectors fared particularly well, gaining roughly 14% and 11%, respectively. Utilities (-2%) fared worst, with health care (-1%) the only other sector dipping into the red. Convertibles hybrid securities that combine features of both stocks and bonds also participated in the equity-market rally, albeit to a lesser extent. For the quarter, The BofA Merrill Lynch SM All US Convertibles Index added 1.55%. Within this index, the materials and industrials sectors fared best, each gaining about 4%, while information technology representing roughly a third of the index's total weight gained about 3%. The next-largest index sector, consumer discretionary, returned -1%. The small telecommunications services sector (-21%) fared worst by far. Meanwhile, a stronger economy led to rising interest rates and thus underperformance from asset classes that historically have been more sensitive to interest rates. The weakest-performing asset class in the Composite, for example, was preferred stocks: The BofA Merrill Lynch SM Fixed Rate Preferred Securities Index returned 0.43%. Meanwhile, real estate investment trusts (REITs), as measured by the FTSE NAREIT Equity REITs Index, returned 1.51%. Over the long term, REIT performance has not been overly correlated with changes in interest rates, although in recent years this sensitivity to rate changes has been more pronounced. THREE-MONTH RETURNS Asset Class Total Return Dividend-Paying Equities 1 6.47% Preferred Stocks 2 0.43% Convertible Securities 3 1.56% REITs 4 1.51% 1 MSCI USA High Dividend Yield Index 2 The BofA Merrill Lynch Fixed Rate Preferred Securities Index 3 The BofA Merrill Lynch All US Convertibles Index 4 FTSE NAREIT Equity REITs Index 2 For definitions and other important information, please see Definitions and Important Information section of this Fund Review.

Performance Review DETAILED FUND ATTRIBUTION RELATIVE TO BENCHMARK Strategy: Asset Allocation Strategy: Security Selection Dividend-Paying Equities We maintained an average weighting of roughly three percentage points above benchmark in this asset class. In light of equities' strong showing, our positioning modestly helped the fund's result on a Composite-relative basis. (Positive) Preferred Stocks Our underweighting in preferreds which we saw as prudent given potentially higher interest rates added value. This rate-sensitive asset class turned in a roughly flat return, several points behind the Composite index. (Positive) Convertible Securities The fund was overweighted in convertibles, which had a marginally negative impact on the fund's relative performance. (Slight Negative) REITs The fund's modest underweighting in REITs this quarter reflected what we saw as better risk/reward potential elsewhere in the market, especially equities. This stance had a slightly positive effect on performance, as REITs modestly trailed the Composite index. (Slight Positive) Dividend-Paying Equities Overall, selection was positive here, led by picks in the information technology and telecommunication services sectors. That said, modestly overweighting the lagging telecoms sector proved a partial offset, as did stock picking in energy and industrials. (Positive) Preferred Stocks Selection among preferred securities was essentially neutral, with good picks in the food & drug retail and capital goods groups, among others, offset by weak picks among banks & thrifts. (Neutral) Convertible Securities The fund benefited here overall, with good positioning in health care and strong picks in tech and telecoms. But an overweighting in the latter group, which underperformed massively, offset some value. (Positive) REITs Selection in the REITs sleeve modestly hampered the fund's relative performance. Stock picking among industrial/office and diversified REITs hurt results, although the fund benefited from favorable picks in retail. Underweighting this latter group detracted in light of its relative outperformance this quarter. (Negative) 3 For definitions and other important information, please see Definitions and Important Information section of this Fund Review.

ASSET ALLOCATION PERFORMANCE SUMMARY Asset Class Benchmark Average Relative Weight Relative Contribution (basis points)* Dividend-Paying Equities MSCI USA High Div Yield 2.9% 26 Top-Level ETFs, Futures, Options & Swaps S&P 500 (ends 4/19/17) 0.0% 0 Preferred Stock BofA ML Fix Rt Pref Sec -2.9% 8 Convertibles BofA ML All US Convt 1.3% 4 REITs FTSE NAREIT Eq REIT Comp -1.5% -1 Master Limited Partnerships Alerian MLP Index (starts 12/22/17) 0.1% 1 Invested Assets Subtotals FID Strat D & I Comp Idx -0.1% 39 Top-Level Cash & Net Other Assets -- 0.1% 1 Net Expenses -- -- -22 Total Value Added 17 *1 basis point = 0.01%. Net Other Assets can include fund receivables, fund payables, and offsets to other derivative positions, as well as certain assets that do not fall into any of the portfolio composition categories. Depending on the extent to which the fund invests in derivatives and the number of positions that are held for future settlement, Net Other Assets can be a negative number. 4 For definitions and other important information, please see Definitions and Important Information section of this Fund Review.

Outlook and Positioning The fund employs a lead portfolio-manager/subportfolio-manager structure. The two co-lead portfolio managers make the allocation decisions across the major asset classes of the fund. Individual selection decisions within each of the asset classes are made by experienced and specialized managers within their respective areas of expertise. Our asset allocation investment process is a disciplined, multistep approach incorporating a large number of economic and market signals. The process begins with strategic allocation across the fund's asset classes. Depending on the co-lead portfolio managers' outlook for each type of investment, they may over- or underweight an asset class versus the neutral mix. This is done judiciously, with an eye toward long-term trends and in a strategic manner to help preserve the integrity of the portfolios. Separate from the asset allocation investment process, each subportfolio has its own dedicated portfolio manager who employs an asset class-specific process for security selection. The aim of the fund's investment approach is to offer a welldiversified strategy with the potential to deliver strong income regardless of the interest-rate environment. During the quarter, we remained overweighted in dividend-paying stocks because we believed they provided a better risk/reward trade-off than other, rate-sensitive asset classes in the portfolio, such as REITs and preferred stocks. Meanwhile, the fund ended 2017 with a modest overweighting in convertibles, even as we slightly reduced exposure to this asset class over the course of the fourth quarter, reflecting our lesser conviction relative to equities. In a new area of investment, this quarter we added a modest allocation to master limited partnerships (MLPs), an asset class we find attractive both for its relatively high yields and its ability to diversify a portfolio. MLPs, found largely in the energy industry, have been beaten down in recent years and, at year end, offered particularly attractive yields relative to their risk, in our view. As of December 31 we see a relatively benign economic and market backdrop, with solid economic growth trends tempered by various sources of uncertainty, including geopolitical risks and questions about the Federal Reserve's next moves. The Fed, which is expected to continue its gradual pace of interest rate hikes, has also announced plans to scale back quantitative easing by reducing the size of its balance sheet the central bank's economic stimulus program in place for nearly a decade. We will be monitoring these and other trends as we assess the relative investment opportunities available in our investment universe, and we will not hesitate to adjust the fund's asset allocations when we see potential to add value for the fund's shareholders. We believe that the preponderance of factors currently supports equities hence the fund's period-end overweighting in value stocks and convertible securities. MARKET-SEGMENT DIVERSIFICATION Market Segment Portfolio Weight Change From Prior Quarter Information Technology 16.77% 0.68% Real Estate 14.81% 0.30% Consumer Staples 13.40% 0.42% Health Care 9.44% -0.32% Financials 6.93% 1.41% Energy 6.40% 1.37% Consumer Discretionary 4.80% 0.78% Utilities 3.53% -1.30% Materials 3.34% 1.77% Industrials 3.07% -0.44% Telecommunication Services 1.73% -1.66% Other 0.00% 0.00% 10 LARGEST HOLDINGS Holding Microsoft Corp. Johnson & Johnson Cisco Systems, Inc. Procter & Gamble Co. Wal-Mart Stores, Inc. Amgen, Inc. DowDuPont, Inc. PepsiCo, Inc. Verizon Communications, Inc. Qualcomm, Inc. 10 Largest Holdings as a % of Net Assets Market Segment Information Technology Health Care Information Technology Consumer Staples Consumer Staples Health Care Materials Consumer Staples Telecommunication Services Information Technology 21.98% Total Number of Holdings 376 The 10 largest holdings are as of the end of the reporting period, and may not be representative of the fund's current or future investments. Holdings do not include money market investments. 5 For definitions and other important information, please see Definitions and Important Information section of this Fund Review.

SUBPORTFOLIO COMPOSITION Asset Class Portfolio Weight Strategic Allocation Relative Weight Relative Change From Prior Quarter Dividend-Paying Equities 54.52% 50.00% 4.52% 3.41% Domestic Equities 50.26% -- -- -- International Equities 2.49% -- -- -- REITs 0.30% -- -- -- MLPs 0.18% -- -- -- Cash & Net Other Assets 1.28% -- -- -- Preferred Stock 16.56% 20.00% -3.44% -0.13% Preferred Stock/Convertible Preferred 2.71% -- -- -- Corporate Bonds 9.37% -- -- -- Cash & Net Other Assets 4.49% -- -- -- Convertibles 14.39% 15.00% -0.61% -3.21% Convertibles 12.45% -- -- -- Domestic Equities 1.11% -- -- -- International Equities 0.20% -- -- -- Corporate Bonds 0.13% -- -- -- Cash & Net Other Assets 0.51% -- -- -- REITs 13.54% 15.00% -1.46% -0.38% REITs & Related Investments 13.35% -- -- -- Cash & Net Other Assets 0.19% -- -- -- MLPs 1.54% -- 1.54% 1.44% MLPs & Related Investments 1.47% -- -- -- Cash & Net Other Assets 0.07% -- -- -- Top Level Fund -0.56% -- -0.56% -1.23% Top-Level Cash & Net Other Assets -0.56% -- -- -- Net Other Assets can include fund receivables, fund payables, and offsets to other derivative positions, as well as certain assets that do not fall into any of the portfolio composition categories. Depending on the extent to which the fund invests in derivatives and the number of positions that are held for future settlement, Net Other Assets can be a negative number. 6 For definitions and other important information, please see Definitions and Important Information section of this Fund Review.

Definitions and Important Information Unless otherwise disclosed to you, in providing this information, Fidelity is not undertaking to provide impartial investment advice, act as an impartial adviser, or to give advice in a fiduciary capacity. IMPORTANT FUND INFORMATION Relative positioning data presented in this commentary is based on the fund's primary benchmark (index) unless a secondary benchmark is provided to assess performance. Effective 7/20/17, Adam Kramer was added as co-lead portfolio manager, Ford O'Neil transitioned to co-lead portfolio manager, while Joanna Bewick transitioned off the fund. Effective 9/9/17, Brian Chang was added as co-portfolio manager of the fund. Effective 12/30/17, Scott Offen transitioned off the fund. INDICES It is not possible to invest directly in an index. All indices represented are unmanaged. All indices include reinvestment of dividends and interest income unless otherwise noted. Fidelity Strategic Dividend & Income Composite Index is a customized blend of unmanaged indexes, weighted as follows: MSCI USA High Dividend Yield Index - 50%; FTSE NAREIT Equity REITs Index - 15%; The BofA Merrill Lynch All US Convertibles Index - 15%; and The BofA Merrill Lynch Fixed Rate Preferred Securities Index - 20%. The composition differed in periods prior to December 20, 2011. S&P 500 is a market-capitalization-weighted index of 500 common stocks chosen for market size, liquidity, and industry group representation to represent U.S. equity performance. S&P 500 is a market-capitalization-weighted index of 500 common stocks chosen for market size, liquidity and industry group representation to represent U.S. equity performance. Russell 2000 Index is a market-capitalization-weighted index designed to measure the performance of the small-cap segment of the U.S. equity market. It includes approximately 2,000 of the smallest securities in the Russell 3000 Index. MSCI World Index is a market-capitalization-weighted index that is designed to measure the investable equity market performance for global investors of developed markets. The BofA Merrill Lynch All US Convertibles Index is a marketcapitalization-weighted index of domestic US corporate convertible securities including mandatory convertible preferreds. The BofA Merrill Lynch Fixed Rate Preferred Securities Index is a market-capitalization-weighted index of fixed-rate US dollardenominated preferred securities issued in the US domestic market. Qualifying securities must have an investment-grade rating (based on an average of Moody's, S&P and Fitch) and an investment-graderated country of risk. In addition, qualifying securities must be issued as public securities or through a 144a filing, must be issued in $25, $50, or $100 par/liquidation preference increments, must have at least one year until final maturity, a fixed coupon or dividend schedule and must have a minimum amount outstanding of $100 million. FTSE NAREIT Equity REITs Index is a market-capitalizationweighted index that is designed to measure the performance of taxqualified Real Estate Investment Trusts (REITs) that are listed on the New York Stock Exchange, the NYSE MKT LLC, or the NASDAQ National Market List with more than fifty percent of total assets in qualifying real estate assets secured by real property. Mortgage and Timber REITs are excluded. Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based, market-value-weighted benchmark that measures the performance of the investment-grade, U.S. dollar-denominated, fixed-rate taxable bond market. Sectors in the index include Treasuries, governmentrelated and corporate securities, MBS (agency fixed-rate and hybrid ARM pass-throughs), ABS and CMBS. MARKET-SEGMENT WEIGHTS Market-segment weights illustrate examples of sectors or industries in which the fund may invest, and may not be representative of the fund's current or future investments. Should not be construed or used as a recommendation for any sector or industry. RANKING INFORMATION 2018 Morningstar, Inc. All rights reserved. The Morningstar information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or redistributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Fidelity does not review the Morningstar data and, for mutual fund performance, you should check the fund's current prospectus for the most up-to-date information concerning applicable loads, fees and expenses. % Rank in Morningstar Category is the fund's total-return percentile rank relative to all funds that have the same Morningstar Category. The highest (or most favorable) percentile rank is 1 and the lowest (or least favorable) percentile rank is 100. The top-performing fund in a category will always receive a rank of 1%. % Rank in Morningstar Category is based on total returns which include reinvested dividends and capital gains, if any, and exclude sales charges. Multiple share classes of a fund have a common portfolio but impose different expense structures. RELATIVE WEIGHTS Relative weights represents the % of fund assets in a particular market segment, asset class or credit quality relative to the benchmark. A positive number represents an overweight, and a negative number is an underweight. The fund's benchmark is listed immediately under the fund name in the Performance Summary. 7

Before investing in any mutual fund, please carefully consider the investment objectives, risks, charges, and expenses. For this and other information, call or write Fidelity for a free prospectus or, if available, a summary prospectus. Read it carefully before you invest. Past performance is no guarantee of future results. Views expressed are through the end of the period stated and do not necessarily represent the views of Fidelity. 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. The securities mentioned are not necessarily holdings invested in by the portfolio manager(s) or FMR LLC. References to specific company securities should not be construed as recommendations or investment advice. Diversification does not ensure a profit or guarantee against a loss. S&P 500 is a registered service mark of Standard & Poor's Financial Services LLC. Other third-party marks appearing herein are the property of their respective owners. All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company. Fidelity Brokerage Services LLC, Member NYSE, SIPC., 900 Salem Street, Smithfield, RI 02917. Fidelity Investments Institutional Services Company, Inc., 500 Salem Street, Smithfield, RI 02917. 2018 FMR LLC. All rights reserved. Not NCUA or NCUSIF insured. May lose value. No credit union guarantee. 667043.20.0