Fund Evaluator:

Fidelity Advisor Convertible Secs Z Overview

Fidelity Advisor Convertible Secs Z (FIQVX) is an actively managed Allocation Convertibles fund. Fidelity Investments launched the fund in 2018.

The investment seeks a high level of total return through a combination of current income and capital appreciation. The fund normally invests at least 80% of assets in convertible securities. It potentially investing in other types of securities, including common stocks. The fund invests in domestic and foreign issuers. It uses fundamental analysis of factors such as each issuer's financial condition and industry position, as well as market and economic conditions, to select investments.

About Fidelity Advisor Convertible Secs Z (FIQVX)

There are 2 members of the management team with an average tenure of 6.30 years: Adam Kramer (2016), Rick Gandhi (2024). Management tenure is more important for actively managed funds than passive index funds.

The fund has 2 primary benchmarks: Bloomberg US Universal TR USD index with a weighting of 100% and ICE BofA All US Convertible TR USD index with a weighting of 100%. Fidelity Advisor Convertible Secs Z has 373 securities in its portfolio. The top 10 holdings constitute 20.1% 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 Advisor Convertible Secs Z is part of the Hybrid Securities global asset class and is within the Allocation fund group. Fidelity Advisor Convertible Secs Z has 1.4% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 7.1%. There is 1.4% allocated to foreign stock, and 10.8% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.8% (0.8% domestic bond, 0.0% foreign bond and 76.3% convertible bond). Fidelity Advisor Convertible Secs Z has 3.5% of the portfolio in cash.

Assets Under Management

The fund has $144 million in total assets, which is below the $220 million average for the Convertibles 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.

FIQVX 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 Advisor Convertible Secs Z expense ratio is average compared to funds in the Convertibles category. Fidelity Advisor Convertible Secs Z has an expense ratio of 0.55%, which is 50% 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 Advisor Convertible Secs Z has a portfolio turnover rate of 89%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 109% for the Convertibles category.

Recently, in the month of June 2026, Fidelity Advisor Convertible Secs Z returned -1.0%, which earned it a grade of D, as the Convertibles category had an average return of 0.4%. 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 Advisor Convertible Secs Z has a trailing yield of 2.16%, which is above the 1.71% category average. The fund normally distributes its income quarterly and its capital gains 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 Advisor Convertible Secs Z Grades

Year to date, the fund has returned 21.7%, 3.3 percentage points better than the category, which translates into a grade of A. The fund has returned 35.5% over the past year (grade of B), 19.5% over the past three years (grade of A) and 9.6% per year over the past five years (grade of A) and 13.6% per year over the past 10 years (grade of A).

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