Fund Evaluator:
Fidelity SAI Merger Arbitrage (FMADX)
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Best Performing in Event Driven Over the Last Year
| 5.1% | NexPoint Merger Arbitrage Z (HMEZX) |
| -1.5% | NexPoint Event Driven Z (HHCZX) |
Fund Details
Fidelity SAI Merger Arbitrage Overview
Fidelity SAI Merger Arbitrage (FMADX) is an actively managed Alternative Event Driven fund. Fidelity Investments launched the fund in 2025.
The investment seeks capital appreciation. The fund normally invests its assets in equity securities and equity related derivative instruments, including special purpose acquisition vehicles, of companies that are or may be involved in publicly announced or reported merger or re-organization events (including pre-definitive and definitive takeovers, buyouts, liquidations, corporate simplifications, spin offs, and other similar corporate transactions and reorganizations), including stock-for-stock, cash, and mixed consideration mergers and acquisitions, or companies that the Adviser believes may be involved in merger transactions. It is non-diversified.
About Fidelity SAI Merger Arbitrage (FMADX)
There are 1 members of the management team with an average tenure of 1.12 years: Niraj Gupta (2025). Management tenure is more important for actively managed funds than passive index funds.
The fund has 2 primary benchmarks: Bloomberg US Agg Bond TR USD index with a weighting of 100% and Bloomberg US Trsy Bellwethers 3M TR USD index with a weighting of 100%. Fidelity SAI Merger Arbitrage has 37 securities in its portfolio. The top 10 holdings constitute 75.1% of the fund’s assets. The fund meets the SEC requirement of being classified as a nondiversified fund. The fund is not considered to have an ESG focus with its investment selection and management.
Fidelity SAI Merger Arbitrage is part of the Alternative Strategies global asset class and is within the Alternative fund group. Fidelity SAI Merger Arbitrage has -0.0% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 87.3%. There is 0.5% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is -1.0% (-0.5% domestic bond, -0.5% foreign bond and 0.0% convertible bond). Fidelity SAI Merger Arbitrage has 13.2% of the portfolio in cash.
Assets Under Management
The fund has $637 million in total assets, which is above the $329 million average for the Event Driven 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.
FMADX 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 SAI Merger Arbitrage expense ratio is high compared to funds in the Event Driven category. Fidelity SAI Merger Arbitrage has an expense ratio of 1.10%, 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 SAI Merger Arbitrage has a portfolio turnover rate of 110%, indicating that holds its assets around 0.0 years. By way of comparison, the average portfolio turnover is 218% for the Event Driven category.
Recently, in the month of July 2026, Fidelity SAI Merger Arbitrage returned 0.5%, which earned it a grade of A, as the Event Driven category had an average return of 0.0%. 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 SAI Merger Arbitrage has a trailing yield of 1.54%, which is below the 2.23% category average.
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 SAI Merger Arbitrage Grades
Year to date, the fund has returned 1.9%, 0.4 percentage points worse than the category, which translates into a grade of C. The fund has returned 6.0% over the past year (grade of B).
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FMADX Trailing NAV Total Returns Data as of 7/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| FMADX Return (NAV) | 0.5% | 1.0% | 6.0% | na | na | na |
| FMADX Grade | A | B | B | na | na | na |
| +/- Category | 0.5% | 0.3% | -0.0% | na | na | na |
| Event Driven Avg | 0.0% | 0.7% | 6.0% | 6.3% | 3.9% | 4.4% |
| FMADX Tax Cost Ratio | na | na | 0.9% | na | na | na |
FMADX Annual NAV Total ReturnsData as of 7/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| FMADX Return (NAV) | 1.9% | na | na | na | na | na | na | na | na | na | na |
| FMADX Grade | C | na | na | na | na | na | na | na | na | na | na |
| +/- Category | -0.4% | na | na | na | na | na | na | na | na | na | na |
| Event Driven Avg | 2.4% | 8.9% | 4.2% | 4.8% | -1.6% | 2.4% | 7.7% | 7.0% | 3.1% | 4.6% | 2.8% |
| Risk Measures | |
| Standard Deviation: | na |
| Total Risk Index: | na |
| Category Risk Index: | na |
| Category Risk Grade: | |
| Beta: | na |
| R-Squared: | na |
| Leveraged Fund: | No |
| Inverse Fund: | No |
| Portfolio Characteristics | |
| Equity Investment Style: | Mid-Cap Value |
| Bond Investment Style: | na |
| Yield: | 1.5% |
| Dividend Distribution: | |
| Cap Gains Distribution: | |
| Total Assets: | $637 Mil |
| Fund Total Assets: | $ 637 Mil |
| Share Class Type: | Other |
| Portfolio Turnover: | 110% |
Management Team
| Number of Managers: 1 | |||
| Longest Tenure: 1.1 years | |||
| Average Tenure: 1.1 years | |||
| Managers (Year): Gupta Niraj (2025) | |||
Portfolio Composition (as of 6/30/26)
| # of Holdings: | 37 |
| % in Top 10 Holdings: | 75.1% |
| Fund is Non-Diversified: | Yes |
| % in Foreign Issues: | -0.0% |
Portfolio Allocation |
|
| Domestic Stock: | 87.3% |
| Foreign Stock: | 0.5% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | -0.5% |
| Foreign Bond: | -0.5% |
| Convertible Bond: | 0.0% |
| Other: | 0.0% |
| Cash: | 13.2% |
Purchase Information
| Fund Family: | Fidelity Investments |
| Phone Number: | 800-544-3455 |
| Website: |
| Status: | Open |
| Inception Date: | June 17, 2025 |
| Min. Initial Purchase: | $ 0 |
| Min. Initial IRA Purchase: | $ 0 |
| True No-Load: | Yes |
| Front Load Maximum: | 0.00% |
| Deferred Charge Maximum: | 0.00% |
| Redemption Charge Maximum: | 0.00% |
| 12b-1 Fee: | na |
Expenses and Fees | |
| Expense Ratio (%): | 1.10% ( Rating : High ) |
| Category Average Expense Ratio (%): | 1.92% |
| Share Class: | Fidelity SAI Merger Arbitrage |
| Min. Subsequent Purchase: | $ 0 |
| Min. Subsequent IRA Purchase: | $ 0 |
