Fidelity Investments Hong Kong Retirement Education March 6, 2002 Fidelity Retirement Services Investment Review

Hong Kong Baptist University 1998 Superannuation Fund 1 High Growth Profile invests in Fidelity Advantage Portfolio Fund – Growth Fund Ordinary Class 2 Growth Profile invests in Fidelity Advantage Portfolio Fund – Balanced Fund Ordinary Class 3 Balanced Profile invests in Fidelity Advantage Portfolio Fund – Stable Growth Fund Ordinary Class

High Growth Profile High Growth Profile invests in Fidelity Advantage Portfolio Fund – Growth Fund Ordinary Class Benchmark: A composite index consisting of 27% FTSE AW HK, 3% HSBC, 12% FTSE AW Japan, 12% FTSE AW Asia Pacific ex. Japan ex. HK, 18% FTSE AW North America, 18% FTSE AW Europe, 7% Salomon Smith Barney WGBI, and 3% 1-month HIBOR Median: Survey median for the growth fund category is the median representative from the Mercer Hong Kong Investment Choice Survey Universe Source: Fidelity Investments & Mercer Investment Consulting, Ordinary Class, NAV to NAV, in USD, as of December 31, 2002.

Growth Profile Growth Profile invests in Fidelity Advantage Portfolio Fund – Balanced Fund Ordinary Class Benchmark: A composite index consisting of 21.6% FTSE AW HK, 2.4% HSBC, 9% FTSE AW Japan, 9% FTSE AW Asia Pacific ex. Japan ex. HK, 14% FTSE AW North America, 14% FTSE AW Europe, 25% Salomon Smith Barney WGBI, and 5% 1-month HIBOR Median: Survey median for the balanced fund category is the median representative from the Mercer Hong Kong Investment Choice Survey Universe Source: Fidelity Investments & Mercer Investment Consulting, Ordinary Class, NAV to NAV, in USD, as of December 31, 2002.

Balanced Profile Balanced Profile invests in Fidelity Advantage Portfolio Fund – Stable Growth Fund Ordinary Class Benchmark: A composite index consisting of 15.3% FTSE AW HK, 1.7% HSBC, 6.5% FTSE AW Japan, 6.5% FTSE AW Asia Pacific ex. Japan ex. HK, 10% FTSE AW North America, 10% FTSE AW Europe, 45% Salomon Smith Barney WGBI, and 5% 1-month HIBOR Median: Survey median for the stable growth fund category is the median representative from the Mercer Hong Kong Investment Choice Survey Universe Source: Fidelity Investments & Mercer Investment Consulting, Ordinary Class, NAV to NAV, in USD, as of December 31, 2002.

High Growth Profile High Growth Profile invests in Fidelity Advantage Portfolio Fund – Growth Fund Ordinary Class Median: Survey median for the growth fund category is the median representative from the Mercer Hong Kong Investment Choice Survey Universe Source: Mercer Investment Consulting, NAV to NAV, in USD, as of December 31, 2002.

Growth Profile Growth Profile invests in Fidelity Advantage Portfolio Fund – Balanced Fund Ordinary Class Median: Survey median for the balanced fund category is the median representative from the Mercer Hong Kong Investment Choice Survey Universe Source: Mercer Investment Consulting, NAV to NAV, in USD, as of December 31, 2002.

Balanced Profile Balanced Profile invests in Fidelity Advantage Portfolio Fund – Stable Growth Fund Ordinary Class Median: Survey median for the stable growth fund category is the median representative from the Mercer Hong Kong Investment Choice Survey Universe Source: Mercer Investment Consulting, NAV to NAV, in USD, as of December 31, 2002.

High Growth Profile High Growth Profile invests in Fidelity Advantage Portfolio Fund – Growth Fund Ordinary Class Benchmark: A composite index consisting of 27% FTSE AW HK, 3% HSBC, 12% FTSE AW Japan, 12% FTSE AW Asia Pacific ex. Japan ex. HK, 18% FTSE AW North America, 18% FTSE AW Europe, 7% Salomon Smith Barney WGBI, and 3% 1-month HIBOR Source: Fidelity Investments, Ordinary Class, NAV to NAV, in USD, as of December 31, 2002.

Growth Profile Growth Profile invests in Fidelity Advantage Portfolio Fund – Balanced Fund Ordinary Class Benchmark: A composite index consisting of 21.6% FTSE AW HK, 2.4% HSBC, 9% FTSE AW Japan, 9% FTSE AW Asia Pacific ex. Japan ex. HK, 14% FTSE AW North America, 14% FTSE AW Europe, 25% Salomon Smith Barney WGBI, and 5% 1-month HIBOR Source: Fidelity Investments, Ordinary Class, NAV to NAV, in USD, as of December 31, 2002.

Balanced Profile Balanced Profile invests in Fidelity Advantage Portfolio Fund – Stable Growth Fund Ordinary Class Benchmark: A composite index consisting of 15.3% FTSE AW HK, 1.7% HSBC, 6.5% FTSE AW Japan, 6.5% FTSE AW Asia Pacific ex. Japan ex. HK, 10% FTSE AW North America, 10% FTSE AW Europe, 45% Salomon Smith Barney WGBI, and 5% 1-month HIBOR Source: Fidelity Investments, Ordinary Class, NAV to NAV, in USD, as of December 31, 2002.

Cumulative Performance since Inception Superannuation Fund Inception with Fidelity Investments on April 1, 2002 and performance inception on April 30, 2002 High Growth Profile invests in Fidelity Advantage Portfolio Fund – Growth Fund Ordinary Class Benchmark: A composite index consisting of 27% FTSE AW HK, 3% HSBC, 12% FTSE AW Japan, 12% FTSE AW Asia Pacific ex. Japan ex. HK, 18% FTSE AW North America, 18% FTSE AW Europe, 7% Salomon Smith Barney WGBI, and 3% 1-month HIBOR Growth Profile invests in Fidelity Advantage Portfolio Fund – Balanced Fund Ordinary Class Benchmark: A composite index consisting of 21.6% FTSE AW HK, 2.4% HSBC, 9% FTSE AW Japan, 9% FTSE AW Asia Pacific ex. Japan ex. HK, 14% FTSE AW North America, 14% FTSE AW Europe, 25% Salomon Smith Barney WGBI, and 5% 1-month HIBOR Balanced Profile invests in Fidelity Advantage Portfolio Fund – Stable Growth Fund Ordinary Class Benchmark: A composite index consisting of 15.3% FTSE AW HK, 1.7% HSBC, 6.5% FTSE AW Japan, 6.5% FTSE AW Asia Pacific ex. Japan ex. HK, 10% FTSE AW North America, 10% FTSE AW Europe, 45% Salomon Smith Barney WGBI, and 5% 1-month HIBOR Source: Fidelity Investments, Ordinary Class, NAV to NAV, in USD, from April 30, 2002 to January 31, 2003.

Difficult to see bonds outperforming equities by so much=Own bonds and equities Corporate bonds, especially high yield bonds, offer value relative to government bonds =Bias towards corporate bonds Difficult to forecast market returns= Own globally diversified on a sector and geographic basis portfolio Divergence between growth and value likely to be less extreme=Own growth and value Value in large, mid and small cap stocks=Stock pickers market - invest across the broad market 2003 Investment Strategy Outlook

Asset ClassInvestment ViewMain Reasons Hong Kong Equity Cautiously Positive  DowngradedHigh dividend yield. Fundamental slowly improving. USA Equity Cautiously Positive  Upgraded Valuations improving. Strong buying momentum. Fundamental improving. Japan Equity Cautiously Positive  DowngradedAttractive valuations. Excess money supply. Europe EquityNegative  Downgraded Dim economic prospect. More company downgrades than upgrades. Asia Pacific Equity Cautiously Positive StableRelatively cheap valuations. Maybe more upgrades in Global BondNegative  Downgraded Valuation fair but equities are little more attractive in the coming cycle. Investment Strategy Summary

Investment involves risks. Past performance is no guarantee of future returns. Please refer to the Explanatory Memorandum of Fidelity Advantage Portfolio Fund for further details. Investment in the Fidelity Advantage Portfolio Fund is not available to the general investing public. Investment in the Fidelity Advantage Portfolio Fund is available only to ORSO and MPF retirement benefit schemes, their related Approved Pool Investment Funds, institutions, high net worth individuals, or those individuals who have recently been or still are members of an ORSO or MPF retirement benefit scheme. If you are an individual retail investor who is not a current member of an ORSO or MPF retirement benefit scheme but wish to invest your accrued benefits in Fidelity managed funds, please contact Fidelity for further details about our range of investment funds, which are available to the general public.

Geographic Allocation Asset ClassTargetCurrent Hong Kong Equities30% Japan Equities12%11.88% Other Asia Pacific Equities12%11.88% US Equities18%17.86% European Equities18%17.94% Global Bonds7%7.39% Cash & Others3%3.09% High Growth Profile High Growth Profile invests in Fidelity Advantage Portfolio Fund – Growth Fund Ordinary Class Source: Fidelity Investments as of December 31, 2002.

Geographic Allocation Asset ClassTargetCurrent Hong Kong Equities24%24.45% Japan Equities9%8.88% Other Asia Pacific Equities9%9.00% US Equities14%14.03% European Equities14%13.98% Global Bonds25%26.69% Cash & Others5%2.99% Growth Profile invests in Fidelity Advantage Portfolio Fund – Balanced Fund Ordinary Class Source: Fidelity Investments as of December 31, Growth Profile

Geographic Allocation Asset ClassTargetCurrent Hong Kong Equities17%17.02% Japan Equities6.5%6.06% Other Asia Pacific Equities6.5%6.29% US Equities10%9.70% European Equities10%9.52% Global Bonds45%46.43% Cash & Others5% Balanced Profile invests in Fidelity Advantage Portfolio Fund – Stable Growth Fund Ordinary Class Source: Fidelity Investments as of December 31, Balanced Profile

Major Holdings Hutchison Whampoa LtdHong Kong2.95% HSBC Holdings Plc (HK)Hong Kong2.92% Cheung Kong Holdings LtdHong Kong2.73% China Mobile (HK) LtdHong Kong2.38% Hang Seng Bank LtdHong Kong2.35% Sun Hung Kai Properties LtdHong Kong2.23% Hong Kong & China Gas Co LtdHong Kong1.82% CLP Holdings LtdHong Kong1.42% Hong Kong Electric Holdings OrdHong Kong1.17% Vodafone Group PlcUnited Kingdom0.87% Total20.84% High Growth Profile High Growth Profile invests in Fidelity Advantage Portfolio Fund – Growth Fund Ordinary Class Source: Fidelity Investments as of December 31, 2002.

Major Holdings Hutchison Whampoa LtdHong Kong2.40% HSBC Holdings Plc (HK)Hong Kong2.38% Cheung Kong Holdings LtdHong Kong2.23% China Mobile (HK) LtdHong Kong1.94% Hang Seng Bank LtdHong Kong1.92% Sun Hung Kai Properties LtdHong Kong1.81% Hong Kong & China Gas Co LtdHong Kong1.49% Ustb 6.25% 5/15/30USA1.31% Japan Govt Ser 4 1.1% 6/20/05Japan1.17% CLP Holdings LtdHong Kong1.16% Total17.81% Growth Profile invests in Fidelity Advantage Portfolio Fund – Balanced Fund Ordinary Class Source: Fidelity Investments as of December 31, Growth Profile

Major Holdings Ustb 6.25% 5/15/30USA2.28% Japan Govt Ser 4 1.1% 6/20/05Japan2.03% France Oat 5.75% 10/25/32France1.97% France Oat 5.25% 4/25/08France1.91% Instituto De Credit Frn 2/1/05Spain1.80% Hutchison Whampoa LtdHong Kong1.67% HSBC Holdings Plc (HK)Hong Kong1.65% Belgium Govt 7.75% 10/15/04 20Belgium1.64% Cheung Kong Holdings LtdHong Kong1.55% Denmark Govt Bullet 7% 12/15/4Denmark1.43% Total17.93% Balanced Profile invests in Fidelity Advantage Portfolio Fund – Stable Growth Fund Ordinary Class Source: Fidelity Investments as of December 31, Balanced Profile