Fund Evaluator:

Fidelity International Small Cap Opp Overview

Fidelity International Small Cap Opp (FSCOX) is an actively managed International Equity Foreign Small/Mid Growth fund. Fidelity Investments launched the fund in 2005.

The investment seeks capital appreciation. The fund invests primarily in non-U.S. securities, including securities of issuers located in emerging markets. The Adviser considers non-U.S. securities to include investments that are tied economically to a particular country or region outside the U.S. Emerging markets include countries that have an emerging stock market as defined by MSCI, countries or markets with low- to middle-income economies as classified by the World Bank, and other countries or markets that the Adviser identifies as having similar emerging markets characteristics.

About Fidelity International Small Cap Opp (FSCOX)

There are 2 members of the management team with an average tenure of 9.34 years: Patrick Drouot (2025), Jed Weiss (2008). Management tenure is more important for actively managed funds than passive index funds.

The fund has 2 primary benchmarks: MSCI EAFE NR USD index with a weighting of 100% and MSCI EAFE Small Cap NR USD index with a weighting of 100%. Fidelity International Small Cap Opp has 204 securities in its portfolio. The top 10 holdings constitute 23.3% 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 International Small Cap Opp is part of the Equity global asset class and is within the International Equity fund group. Fidelity International Small Cap Opp has 94.4% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 2.8%. There is 94.4% 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 International Small Cap Opp has 2.8% of the portfolio in cash.

Assets Under Management

The fund has $905 million in total assets, which is above the $327 million average for the Foreign Small/Mid Growth 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.

FSCOX 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 International Small Cap Opp expense ratio is high compared to funds in the Foreign Small/Mid Growth category. Fidelity International Small Cap Opp has an expense ratio of 0.96%, which is 22% 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 International Small Cap Opp 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 64% for the Foreign Small/Mid Growth category.

Recently, in the month of June 2026, Fidelity International Small Cap Opp returned -2.8%, which earned it a grade of C, as the Foreign Small/Mid Growth category had an average return of -2.7%. 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 International Small Cap Opp has a trailing yield of 1.93%, which is above the 1.42% category average. The fund normally distributes its income annually 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 International Small Cap Opp Grades

Year to date, the fund has returned 5.7%, 3.1 percentage points worse than the category, which translates into a grade of D. The fund has returned 9.5% over the past year (grade of C), 14.2% over the past three years (grade of B) and 4.7% per year over the past five years (grade of A) and 9.5% per year over the past 10 years (grade of A).

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 International Small Cap Opp, including its riskiness, submit your email to unlock the rest of the article.