Fidelity Asset Allocation and Balanced Funds

An Asset Allocation Fund would usually comprise a diversified pool of equities, bonds and cash asset classes. The manager of an Asset Allocation Fund usually has the discretion to vary the asset mix according to the fund's investment objective and market conditions.

In addition to the traditional type of asset allocation funds, Fidelity in Singapore also offers investors Lifestyle Funds. A Lifestyle Fund is a diversified target-dated portfolio whose asset composition becomes increasingly more conservative as the target date approaches. This fund will be liquidated at target dates. For investors who prefer to invest using Singapore Dollars, or thorough the Supplementary Retirement Scheme, look for funds marked SGD or SRS respectively. Funds which offer monthly dividend payout share classes are marked MD.

Fidelity Balanced Funds invest in a diversified portfolio of equities, bonds and cash and aim to provide investors with regular income and long-term capital and income growth. Unlike Asset Allocation Funds, the asset class composition in a Balanced Fund is usually pre-determined and may be allowed to only vary within prescribed ranges.