Fund Evaluator:

Fidelity Equity Dividend Income Overview

Fidelity Equity Dividend Income (FEQTX) is an actively managed U.S. Equity Large Value fund. Fidelity Investments launched the fund in 1990.

The investment seeks a yield from dividend and interest income which exceeds the composite dividend yield on securities comprising the S&P 500® Index. The fund normally invests at least 80% of assets in equity securities. It normally invests primarily in income-producing equity securities that pay current dividends and show potential for capital appreciation, which tends to lead to investments in large cap "value" stocks.

About Fidelity Equity Dividend Income (FEQTX)

There are 1 members of the management team with an average tenure of 9.23 years: John Sheehy (2017). Management tenure is more important for actively managed funds than passive index funds.

The fund has 2 primary benchmarks: Russell 3000 TR USD index with a weighting of 100% and Russell 3000 Value TR USD index with a weighting of 100%. Fidelity Equity Dividend Income has 131 securities in its portfolio. The top 10 holdings constitute 21.6% of the fund’s assets. The fund meets the SEC requirement of being classified as a diversified fund. The fund is not considered to have an ESG focus with its investment selection and management.

Fidelity Equity Dividend Income is part of the Equity global asset class and is within the U.S. Equity fund group. Fidelity Equity Dividend Income has 12.9% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 85.7%. There is 12.9% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). Fidelity Equity Dividend Income has 1.4% of the portfolio in cash.

Assets Under Management

The fund has $5 billion in total assets, which is above the $1 billion average for the Large Value category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.

FEQTX Performance and Fees

The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Fidelity Equity Dividend Income expense ratio is average compared to funds in the Large Value category. Fidelity Equity Dividend Income has an expense ratio of 0.53%, which is 43% lower than its category average, making the fund expense ratio grade a A. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.

High portfolio turnover can translate to higher expenses and lower aftertax returns. Fidelity Equity Dividend Income has a portfolio turnover rate of 53%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 62% for the Large Value category.

Recently, in the month of June 2026, Fidelity Equity Dividend Income returned 2.0%, which earned it a grade of C, as the Large Value category had an average return of 1.6%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all funds in that category.

Fidelity Equity Dividend Income has a trailing yield of 2.63%, which is above the 1.25% category average. The fund normally distributes its income quarterly and its capital gains semi-annually.

It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.

Fidelity Equity Dividend Income Grades

Year to date, the fund has returned 10.4%, 0.6 percentage points worse than the category, which translates into a grade of C. The fund has returned 19.8% over the past year (grade of C), 14.8% over the past three years (grade of D) and 10.4% per year over the past five years (grade of C) and 10.8% per year over the past 10 years (grade of D).

For more mutual fund grades, analysis and screening tools to help your investment discovery, join AAII for a $2, full-access trial. Learn more here: https://invest.aaii.com/membership.

Otherwise, for more information about Fidelity Equity Dividend Income, including its riskiness, submit your email to unlock the rest of the article.