Feb. 27, 2003 -- Fidelity Investments is temporarily waiving the sales charge on the $26.7-billion Fidelity Contrafund (FCNTX), and has permanently eliminated the sales charges on nine international stock funds in an effort to attract investors.
Investors can buy shares in Contrafund without paying the 3% sales charge, or front-end load, until June 30.
The Boston-based company also dropped the charges on Fidelity Canada (FICDX), Fidelity China Region (FHKCX), Fidelity Emerging Market (FEMKX), Fidelity Japan (FJPNX), Fidelity Japan Smaller Companies (FJSCX), Fidelity Latin America (FLATX), Fidelity Southeast Asia (FSEAX), Fidelity Nordic (FNORX), and Fidelity Pacific Basin (FPBFX).
Fidelity Contrafund has seen its assets drop from a peak of $48 billion in March, 2000, because of stock market depreciation, and $4 billion in redemptions by shareholders, a Fidelity spokesman said.
Fidelity believes that dropping the charge on the Contrafund "may encourage some investors to take a second look" at the fund, particularly now, when people are looking for investment products for individual retirement accounts, the spokesman, John Brokleman, said.
Fidelity ended the year with assets under management of $773.8 billion, versus $955.1 billion at the end of 1999.