Fidelity Freedom Index Income Fund - Investor Class · NASDAQ:FIKFX

Fidelity Freedom Index Income Fund - Investor Class — Fidelity Investments — Debt Investor Presentation (February 2019)

41 slides from Fidelity Freedom Index Income Fund - Investor Class's debt investor presentation, February 2019

Slide 1: Understanding Bond Pricing
INVESTMENTS Understanding Bond Pricing
Slide 2: By better understanding bonds, you can more confidently use them
By better understanding bonds, you can more confidently use them to strengthen your portfolio. 2 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 3: Develop an Ongoing Strategy with Fidelity
Education on securities Develop an Resources to help Ongoing Strategy inform and assist you in managing your assets with Fidelity Insights for helping you make more prudent and informed decisions 3 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 4: Common Questions
1 2 3 Common How many of you currently Ever wonder why it’s harder to get a How many of you have a grasp on what Questions have bonds in your portfolio? bond quote than a stock quote? you’re being charged per bond trade? 4 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 7: The Makeup of the Bond Market Varies from the Stock Market
The Makeup of the Bond Market Varies from the Stock Market STOCK MARKET BOND MARKET Makeup Equity shares of publicly Debt securities issued by corporations, owned companies governments, government agencies, municipalities Size Limited to size of shares Relatively small and large offered by companies
Slide 8: Size
Size CHARACTERISTICS BOND STOCK Market Size1 $42 Trillion $36 Trillion Daily Trading Volumes2 $852 Billion $409 Billion Number of Securities3 1,150,000 5,334 Ford (example) $79 Billion $34 Billion Outstanding4 Ford (example) 311 1 Number of Issues4 1.Bonds—SIFMA,, Q3 2018, Equity-World Federation of
Slide 9: Volume: US Bond Markets
Volume: US Bond Markets DAILY TRADING VOLUME ($BN) AND CUSIPS OUTSTANDING $1,000 1.2M 989K $800 1.0M $589 800K $600 600K $400 400K $218 $200 109K 200K 1K 43K $30 14K $12 $4 $0 0K Treasuries MBS Corporate Municipal Agency Daily Trading Volume ($BN) # of Cusips Source: FINRA, SIFMA, Dec 2018 9 Copyrig
Slide 10: The bond market can be difficult to navigate
The bond market can be difficult to navigate because of its fragmented nature, its size, and its inconsistent trading. 10 Copyright 1998-2016 FMR LLC. All Rights Reserved.
Slide 12: Valuation Pricing: Monthly Statement
Valuation Pricing: Monthly Statement Bond Pricing Valuation For illustrative purposes only Source: Fidelity.com Screen-print taken on 1/30/2019 12 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 13: Valuation Pricing: Nightly Valuation
Valuation Pricing: Nightly Valuation For illustrative purposes only Source: Fidelity.com Screen-print taken on 12/22/2016 13 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 14: Valuation Pricing: Bond Details
Valuation Pricing: Bond Details For illustrative purposes only Source: Fidelity.com Screen-print taken on 12/22/2016 14 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 16: Historical Pricing: Trading Liquidity
Historical Pricing: Trading Liquidity For illustrative purposes only Source: Fidelity.com Screen-print taken on 12/22/2016 16 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 18: Live Pricing: Live Listing of Bonds Available
Live Pricing: Live Listing of Bonds Available For illustrative purposes only Source: Fidelity.com 18 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 19: Live Pricing: Treasuries and Corporate Live Bid and Offer Prices
Live Pricing: Treasuries and Corporate Live Bid and Offer Prices Bid Price: 99.421 Ask Price: 99.469 Yield Spread: 0.005% Bid Price: 105.904 Ask Price: 105.999 Yield Spread: 0.011% For illustrative purposes only Source: Fidelity.com 19 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 21: Live Pricing: Depth of Book
Live Pricing: Depth of Book 11 dealers offering 6 dealers bidding Different quantities and prices Different quantities and prices For illustrative purposes only Source: Fidelity.com 21 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 22: Live Depth of Book and Historical Recent Trades for Corporate Bonds
Live Depth of Book and Historical Recent Trades for Corporate Bonds Best Offer: 112.388 Best Bid: 111.902 Yield Spread: 0.108 Recent Trades Investor Bought earlier at 112.52 Investor Sold earlier at 112.20 For illustrative purposes only Source: Fidelity.com 22 Copyright 1998-2017 FMR LLC. All Rights
Slide 23: Live Depth of Book and Historical Recent Trades for Corporate Bonds
Live Depth of Book and Historical Recent Trades for Corporate Bonds Best Offer: 124.083 No Bids Trades often months apart Pricing increased over time, in line with general Muni market For illustrative purposes only Source: Fidelity.com 23 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 24: Live Pricing: The Yield Table
Live Pricing: The Yield Table Fidelity.com > Research > Fixed Income Bonds & CDs Quick and easy scan of 120 comparative yield data-points Derived every 15 minutes from live bond inventory Immediate, one-click, access to search results for that category For illustrative purposes only Source: Fidelity
Slide 25: Live Pricing: Using the Fidelity.com Bond Yield Table
Live Pricing: Using the Fidelity.Com Bond Yield Table View by Highest or Median yields Click on a yield to see offerings 25 Copyright 1998-2017 FMR LLC. All Rights Reserved. For illustrative purposes only Source: Fidelity.com
Slide 26: Live Pricing: The Yield Curve
Live Pricing: The Yield Curve For illustrative purposes only Source: Fidelity.com 26 Copyright 1998-2017 FMR LLC. All Rights Reserved. 26 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 28: Cost Transparency
Cost Transparency 1 2 3 PRICES SEEN BY PRICES SEEN BY OFFERINGS CUSTOMERS IN CUSTOMERS IN SEEN BY TRADERS OFFERINGS TRADE TICKET Disclosed $1 A Mark-up ($1/Bond) Bond Inventory Inventory Inventory Fidelity Process: (and prices) (and prices) (and prices) “Transparent Pricing” from dealers from dealer
Slide 29: Mark-up Fee Comparisons
Mark-up Fee Comparisons Another broker’s $21.07 per bond Mark-up (107.5036 – 105.3966) Fidelity’s $1 per bond Mark-up For illustrative purposes only (104.109 – 104.009) Source: Fidelity.com 29 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 31: Compare Fidelity's $1 per bond mark-up with competitors
Compare Fidelity’s $1 per bond mark-up with competitors who do not disclose their mark-up Fidelity.com/fixed-income-bonds/bond-pricing Online: Fidelity Viewpoint: How much am I Minimum markup or markdown of $19.95 applies if traded with a Fidelity representative. For U.S. Treasury purchases traded w
Slide 33: Next Steps
Next Steps Review the materials in your kit: Attend additional seminars: • Fidelity Viewpoints article, Is it time • Bond Investing Beyond Yield— to look at CDs? A Deeper Dive • Fixed Income Individual Securities • Demystifying Bond Selection for Your summary Portfolio • Using Fidelity’s Fixed Incom
Slide 34: Where to start: Fidelity.com > Research > Fixed Income, Bonds & CDs
Where to start: Fidelity.com > Research > Fixed Income, Bonds & CDs fixedincome.fidelity.co m/ftgw/fi/filanding For illustrative purposes only Source: Fidelity.com 34 Copyright 1998-2017 FMR LLC. All Rights Reserved. 34 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 35: How Fidelity Can Help
How Fidelity Can Help Meet with a Fidelity investment professional Further understand your current bond holdings Explore how you may improve your portfolio with bonds See if you’re currently paying additional mark-ups on bond transactions 35 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 37: Why Fidelity
Why Fidelity WE BELIEVE IN MAKING THE COMPLEX, SIMPLER Planning Trading Straightforward Expert Insights Security and and Advice Pricing and Investing Privacy Tools 828113.3.0 37 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 38: By better understanding bonds, you can more confidently use them
By better understanding bonds, you can more confidently use them to strengthen your portfolio. 38 Copyright 1998-2017 FMR LLC. All Rights Reserved.
Slide 39: Disclosures
Disclosures 1. (from pages 31) Fidelity commissioned Corporate Insight to study bond pricing, available online, for self-directed retail investors from five brokers that offer corporate and municipal bonds for comparison to Fidelity's standard online pricing. The study compared online bond prices fo
Slide 40: Disclosures
Disclosures Fidelity Go® and Fidelity® Strategic Disciplines are advisory services offered by Fidelity Personal and Workplace Advisors LLC (FPWA), a registered investment adviser. Fidelity® Strategic Disciplines includes the Breckinridge Intermediate Municipal Strategy, the Fidelity® Equity-Income S
Slide 41: Investments
INVESTMENTS

Fidelity Investments — Debt Investor Presentation (February 2019) on 6ix

Fidelity Freedom Index Income Fund - Investor Class — Fidelity Investments — Debt Investor Presentation (February 2019)

Slide 1: Understanding Bond Pricing

Slide 2: By better understanding bonds, you can more confidently use them

Slide 3: Develop an Ongoing Strategy with Fidelity

Slide 4: Common Questions

Slide 5: Today's Agenda

Slide 6: Understanding the Bond Market

Slide 7: The Makeup of the Bond Market Varies from the Stock Market

Slide 8: Size

Slide 9: Volume: US Bond Markets

Slide 10: The bond market can be difficult to navigate

Slide 11: Assessing Pricing for Individual Bonds

Slide 12: Valuation Pricing: Monthly Statement

Slide 13: Valuation Pricing: Nightly Valuation

Slide 14: Valuation Pricing: Bond Details

Slide 15: Valuation Pricing: Fixed Income Analytics

Slide 16: Historical Pricing: Trading Liquidity

Slide 17: Live Pricing: Fidelity Bond Aggregation

Slide 18: Live Pricing: Live Listing of Bonds Available

Slide 19: Live Pricing: Treasuries and Corporate Live Bid and Offer Prices

Slide 20: Live Pricing: Municipal Bond Offerings

Slide 21: Live Pricing: Depth of Book

Slide 22: Live Depth of Book and Historical Recent Trades for Corporate Bonds

Slide 23: Live Depth of Book and Historical Recent Trades for Corporate Bonds

Slide 24: Live Pricing: The Yield Table

Slide 25: Live Pricing: Using the Fidelity.com Bond Yield Table

Slide 26: Live Pricing: The Yield Curve

Slide 27: Understanding Trading Costs

Slide 28: Cost Transparency

Slide 29: Mark-up Fee Comparisons

Slide 30: Confirms now display Mark-up/down

Slide 31: Compare Fidelity's $1 per bond mark-up with competitors

Slide 32: In Review

Slide 33: Next Steps

Slide 34: Where to start: Fidelity.com > Research > Fixed Income, Bonds & CDs

Slide 35: How Fidelity Can Help

Slide 36: The Advantage of Working with Us

Slide 37: Why Fidelity

Slide 38: By better understanding bonds, you can more confidently use them

Slide 39: Disclosures

Slide 40: Disclosures

Slide 41: Investments