Notes SME email = FLI for all screens

1. Notes SME email = FLI for all screens

2.  Look for the [ICON] icon and bold black text for additional instructions.  Click the blue underline text to display additional information, including Internet resources.  Place your cursor over the bold yellow text to display additional information.  Click to review these tips during the course.  Use the forward and back arrows to navigate between screens.  Use the to jump to a specific course topic.  Click to print the current screen.  Click to email the current topic’s subject matter expert.  Click [FAVBUTTON] to add a referenced site to your Favorites list.  Click to exit the course. 1.1 Using This Course Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Please take a moment to review the following information before beginning FIIS Overview. Pre-requisites: There are no pre-requisites for this course. Time Estimate: The estimated time to complete this course is 30 minutes. Assessment: You will be asked to complete a 10-question assessment upon completion of the course material. You must complete the assessment to obtain course completion status. Navigation & Course Conventions: SP: maybe remove the left nav for this screen?

3. 2.1 Introduction Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Welcome to FIIS Overview! This course provides an introduction to Fidelity Investments Institutional Services (FIIS). An understanding of FIIS, its place within Fidelity, and its core functions helps FIIS associates to function more effectively within their work environment. Upon course completion, you will be able to: Photo: employees FIIS_OV_2.1_assoc [BULLET] Describe FIIS and its role within the Fidelity organization [BULLET] Identify and describe FIIS products and programs [BULLET] Explain the FIIS sales strategy [BULLET] Identify and describe the groups that compose FIIS Course topics are listed on the Main Menu to the left. To read a topic description, place your cursor over the topic. To jump to the topic, click on it. To review all topics in sequence, click the forward arrow. SP: place rollovers on topics

4. 2.1 rollovers Satya: these are the topic rollovers for previous screen Using This Course presents guidelines for navigating the course. To review these guidelines during the course, click Navigation on the bottom navigation bar. What Does FIIS Sell? provides an overview of the Fidelity products, programs, and retirement options for which FIIS is responsible. Introduction gives a brief description of the course and outlines its learning objectives. How Is FIIS Organized? provides an overview of the seven groups that compose FIIS. What Is FIIS? defines FIIS and its place within the Fidelity enterprise. Resources lists web sites, documents, and other reference materials. Summary revisits the learning objectives and concludes the course.

5. 3.1 What Is FIIS? Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Fidelity Investments Institutional Services Company, Inc. (FIIS) provides investment products and programs to over 4,500 financial institutions and institutional brokerage clients. FIIS offerings are in turn distributed to individual investors who rely on our institutional clients for investment services. FIIS operates in the following markets: Graphic: FIIS FIIS_OV_3.1_FIIS Brokerage firms Financial planners Insurance Banks Place your cursor over each market to learn more. Rollover area SP: place rollovers on yellow; place Fav link FIISnet [FAV] http://fnw.fmr.com/fiisnet/index.html

6. 3.1 rollovers Satya: these are the topic rollovers for previous screen Brokerage clients include both wirehouses and regional brokerages. A wirehouse is a national or international firm whose offices are linked by a communications system that allows rapid dissemination of financial information. Today, the term “wirehouse” refers to the biggest brokerages. Regional brokerages are full-service intermediaries whose data access is similar to that of wirehouses, but that are smaller in size (i.e., the next 50 largest full-service firms). Financial planners include banks and insurance agencies that offer investment services to their clients in addition to their traditional products and programs. This category also includes firms that provide securities transaction services to independent investment professionals. Insurance clients include insurance wholesalers as well as insurance agencies that offer investment services to their clients (see “Financial planners” above) Banking clients include bank business units, formerly known as bank trusts, that administer and manage assets for the benefit of others. The bank acts in fiduciary capacity for personal, institutional, employee benefit, and corporate trust investment portfolios.  Other clients include banks that offer investment services to their clients in addition to their traditional products and programs (see “Financial planners” above).

7. 3.2 FIIS Facts Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Founded in 1979, FIIS is headquartered in Boston, with field locations in Smithfield, RI and Merrimack, NH. In addition, regional sales representatives operate throughout the United States and Latin America. The company’s workforce of approximately 1200 employees help manage total assets of more than 190 billion on behalf of the institutional client and individual investor. Graphic: location map FIIS_OV_3.2_map FIIS Financial Facts*Total Assets Under Management: 191.5 billion Advisor Sales: 65.5 billion Institutional Sales: 125.2 billion Other: 0.8 billion * as of 3/31/05 SP: place word links

8. 3.3a FIIS: A Fidelity Company Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Fidelity Investments, the nation’s largest financial services mutual fund provider, sells its products and programs through three channels: directly to the public, through institutional intermediaries, and through company-sponsored retirement plans. FIIS is the organization within Fidelity that is responsible for distribution through institutional intermediaries. FIIS accounts for approximately 10.7% of total Fidelity customer assets under management. To learn more about Fidelity distribution, place your cursor over each sales channel below. Graphic: Fidelity channels FIIS_OV_3.3_Fidchannels Rollover area SP: place rollovers on graphic; place Fav link; place word link Fidelity.com [FAV] https://www.fidelity.com/

9. 3.3b The Fidelity Value Proposition Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary As a Fidelity company, FIIS has adopted the Fidelity Value Proposition. This value proposition conveys Fidelity’s commitment to customer success as expressed through its three core principles – Insight, Diversification, and Dedicated Support. Graphic: Fidelity/FIIS Value Prop FIIS_OV_3.3b_FidVP

10. 3.3 rollovers Satya: these are the topic rollovers for previous screen Individual investors who manage their own investment portfolio can purchase Fidelity products by phone, mail, over the Internet, or in person. The available product line includes trading and cash management, retirement and college savings plans, life insurance, estate planning, and charitable giving options. Individual investors who do not manage their own portfolios can obtain investment products and services through a financial institution (e.g., brokerage, bank, or insurance company). Fidelity established FIIS to distribute Fidelity offerings to financial institutions that advise individual investors. Companies, tax-exempt organizations, and government agencies rely on Fidelity for retirement plans and services. Fidelity is the nation's No. 1 provider of 401(k) plans and services, and one of the nation's top providers of 403(b), 457 and 401(a) retirement savings plans for colleges, universities, health care institutions, states, state agencies, and local governments.

11. 3.4 FIIS Core Strategies Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary FIIS is committed to evolving rapidly in response to challenges and opportunities in the business environment. To ensure the continued success of the organization, its clients, and individual investors, FIIS works continuously to chart and maintain a sound strategic direction. FIIS core strategies for 2005 include: Graphic: Annual Report iconFIIS_OV_3.4_docicon • [BULLET] Grow advisor base • [BULLET] Diversify asset base • [BULLET] Further pursue bank market and protect position in insurance • [BULLET] Protect and expand Institutional Money Market (IMM) • [BULLET] Improve quality of the customer experience • [BULLET] Better position FIIS in the marketplace Click the icon above to download Fidelity’s Annual Report. This report summarizes the business performance of each Fidelity business, including FIIS. SP: place word links; place link to doc off graphic

12. 3.5 Check Your Knowledge Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Which of the following statements regarding Fidelity Investments Institutional Services Company, Inc. (FIIS) are TRUE? (X) FIIS is headquartered in New York, NY, with field locations in Boston, MA and Smithfield, RI. Incorrect. FIIS is headquartered in Boston, MA, with field locations in both Smithfield, RI and Merrimack, NH. Regional sales representatives operate throughout the United States and Latin America. (X) FIIS distributes investment products and programs directly to the public. Incorrect. FIIS distributes investment products and programs through institutional intermediaries. ($) FIIS operates in the insurance market. Correct. FIIS distributes investment products through insurance wholesalers as well as through insurance agencies that offer investment services to their clients. ($) FIIS total assets under management account for approximately 10.7% of total Fidelity assets under management. Correct. FIIS total assets under management account for approximately 10.7% of total Fidelity assets under management.

13. 4.1 What Does FIIS Sell? Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary FIIS sells investment products, programs, and retirement options. Each category is described briefly below and in detail on the following screens. FIIS offers a wide range of investment products designed specifically for the investment professional (IP). Graphic: Products FIIS_OV_4.1_products Graphic: Programs FIIS_OV_4.1_programs FIIS offers investment programs to help both the institutional client and the investment professional grow their business. Graphic: Ret. OptsFIIS_OV_4.1_retops FIIS offers a comprehensive line of employer-sponsored and individual retirement products created exclusively for the investment professional market. SP: place Fav link and word link FIIS Sales & Marketing [FAV] http://fnw.fmr.com/fiisnet/distribution/index.html

14. 4.2 FIIS Products Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary FIIS distributes its investment products through investment professionals employed by or under contract with institutional clients. Fidelity investment products are listed below. Place your cursor over each product to learn more. Photo: IP FIIS_OV_4.2_IP Fidelity Advisor Funds Fidelity Advisor World Funds Fidelity Destiny Plans Fidelity Institutional Money Market Funds Sub-Advised Portfolios Fidelity Variable Insurance Products (VIP) Portfolios Rollover area SP: place rollovers on yellow

15. 4.2 rollovers Satya: these are the rollovers for previous screen Fidelity Advisor Funds include equity, fixed-income and money market mutual funds to meet the core investment needs of most investors. Advisor funds are distributed exclusively through investment professionals. Fidelity Institutional Money Market Funds are distributed to institutional and corporate clients who are extremely risk sensitive and are looking to preserve principal and earn a competitive return. Fidelity Advisor World Funds are offshore, Bermuda-based funds available only to investors who are neither citizens nor residents of the U.S. These funds are distributed through intermediaries, such as banks and brokerages, with operations in Latin America. Sub-Advised Portfolios are investment portfolios sub-advised by Fidelity Management and Research Company for FIIS' insurance clients, including Equitable, John Hancock, and MetLife. Fidelity Variable Insurance Products (VIP) Portfolios are distributed through large insurance companies as underlying investments for variable life and variable annuity products. Fidelity Destiny Plans are systematic investment plans that allow long-term investors to accumulate wealth over time by making disciplined monthly investments.

16. 4.3 FIIS Programs Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary FIIS offers investment programs targeted to specific investor needs. These programs help institutional clients and investment professionals grow their business by better serving the needs of their customers. Fidelity investment programs are listed below. Place your cursor over each program to learn more. Photo: IP/investor FIIS_OV_4.3_IPinvestor Fidelity Advisor Charitable Gift Fund (ACGF)Fidelity Advisor 529 Plan Retirement Income Services Rollover area SP: place rollovers on yellow

17. 4.3 rollovers Satya: these are the rollovers for previous screen The Advisor Charitable Gift Fund (ACGF) is a donor-advised fund and an IRS-approved public charity. Donors receive the tax advantages of donating to a public charity and the flexibility of recommending grants to the charities of their choice on their own timetable. Donors are able to choose from three investment pools including Growth (most aggressive), Asset Allocation, and Money Market (least aggressive). Fidelity Advisor 529 Plan is a college fund plan that offers income-, gift- and estate-planning benefits to investors. Offered exclusively through investment professionals, the Plan can be used to fund tuition, fees, room and board, books, supplies, required equipment, and other qualified expenses at almost any accredited higher learning institution in the United States. Retirement Income Services is a comprehensive program that provides investment professionals with business building ideas (e.g., client marketing, planning materials, possible investment solutions) to help them acquire clients and build clients’ retirement income.

18. 4.4 FIIS Retirement Options Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary FIIS also offers employer-sponsored and individual retirement products created exclusively for the investment professional market. Fidelity retirement options programs are listed below. Place your cursor over each retirement option to learn more. Photo: IP/retiree FIIS_OV_4.5_IPretire Fidelity Advisor 403(b) PlanFidelity Advisor-Delivered 401(k) Fidelity Advisor Traditional, Roth, and Rollover IRAs Fidelity Advisor SEP and SIMPLE IRAs Rollover area SP: place rollovers on yellow

19. 4.4 rollovers Satya: these are the rollovers for previous screen The Fidelity Advisor 403(b) Plan is a retirement savings plan available exclusively to K-12 public school employees. • The Fidelity Advisor-Delivered 401(k) serves companies with 10 to 1,500 participants with more than 100 investment options. This retirement plan is composed of the following programs: • Premium Service Program: A full-service plan for 25 to 1,500 participants and $2 million or more in plan assets. • Premium 100 Service Program: A comprehensive, lower-cost plan for 10 to 150 participants. Fidelity Advisor Traditional, Roth, and Rollover IRAs meet most clients’ retirement needs. Fueled by tax savings and potentially compounding earnings and interest, IRAs can be a powerful savings vehicle for retirement and legacy planning. Fidelity Advisor SEP and SIMPLE IRAs provide small business owners with a retirement savings option. Because these plans are cost-effective and easy to maintain, they are ideal solutions for the small business owner who must manage both personal and employee retirement accounts.

20. 4.5 Check Your Knowledge Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Which of the following FIIS offerings meet the core investment needs of most clients? (X) Fidelity Institutional Money Market Funds Incorrect. Fidelity Institutional Money Market Funds are distributed to institutional and corporate clients who are extremely risk sensitive and are looking to preserve principal and earn a competitive return. ($) Fidelity Advisor Funds Correct. Fidelity Advisor Funds include equity, fixed-income and money market mutual funds to meet the core investment needs of most investors. Advisor funds are distributed exclusively through investment professionals. (X) Fidelity Advisor 529 Plans Incorrect. Fidelity Advisor 529 Plans are designed for a specific investment purpose –helping investors save for college. (X) Fidelity Advisor 403(b) Plans Incorrect. The Fidelity Advisor 403(b) Plan is a retirement savings plan available exclusively to K-12 public school employees. (X) Retirement Income Services Incorrect. Retirement Income Services is a comprehensive program that provides investment professionals with business building ideas (e.g., client marketing, planning materials, possible investment solutions) to help them acquire clients and build clients’ retirement income.

21. 5.1 How Is FIIS Organized? Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary FIIS is composed of seven departments. As illustrated below, some departments provide direct client service and support, while others maintain FIIS operations in support of client satisfaction. Each department will be reviewed in detail on the following screens. To read a brief description of each department, place your cursor over the department name below. Graphic: FIIS Org chart FIIS_OV_5.1_FIISorg rollover area SP: place rollovers on graphic

22. 5.1 rollovers Satya: these are the rollovers for previous screen Distribution is the FIIS sales force. This department manages relationships with institutional clients and distributes Fidelity offerings through investment professionals. Client Services supports FIIS by providing transaction processing and record-keeping for the transfer agent, Fidelity Investments Institutional Operations Company, Inc. (FIIOC), as well as intermediary support and relationship management for FIIS clients. Marketing supports strategic business analysis, product and program development and management, fund performance analysis and consulting, investment professional acquisition and retention, and marketing communications and planning. Risk Management and Compliance protects the professional reputation of FIIS and the safety and security of FIIS Associates and by managing risk and ensuring regulatory and institutional compliance. Technology supports FIIS through the identification, development, and integration of technical solutions. Finance oversees responsibility for all financial functions within FIIS, working closely with all levels of management to ensure the long-term financial success of FIIS and its component departments. Human Resources provides support on compensation, benefits, staffing, leadership development, and other services.

23. 5.2 FIIS Distribution Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Distribution is the FIIS sales force. This department is responsible for selling products and programs to both institutions and investment professionals. Because FIIS clients differ in terms of the traditional services they offer and the infrastructure they possess, FIIS has developed a tailored distribution model to accommodate a varied client base. To learn more about the FIIS distribution model, place your cursor over each level below. Graphic: Distribution Model FIIS_OV_5.2_DistModel Rollover area SP: place rollovers on graphic

24. 5.2 rollovers Satya: these are the rollovers for previous screen Distribution is composed of the Advisor Distribution Group (ADG) and the Institutional Distribution Group (IDG). Both ADG and IDG provide sales and relationship management support to current and prospective clients. ADG focuses on advisor clients (i.e., wirehouses; brokerages; financial planners) while IDG focuses on institutional clients (i.e., insurance companies and wholesalers; bank and cash business units). Both ADG and IDG distribute Fidelity products, programs, and services through their respective clientele. The product line offered by each group is determined by the institution type. Institutional Money Market Funds, for example, are only distributed through cash business units, while Destiny Plans are only distributed through wirehouses, regional brokerages, and financial planners. Both ADG and IDG focus on developing and maintaining contacts with client home offices. Strong relationships with senior management and other decision-makers within the client firm enable FIIS to build, maintain, and extend sales programs. Within ADG, the Field Sales group (i.e., wholesalers) distribute Fidelity products directly to investment professionals working within the client firm. The Inside Sales group provides sales support to Field Sales and also distributes via outbound calls. Within IDG, the Field Sales group supports the client firm’s sales force in selling to investment professionals. The Inside Sales group provides sales support to Field Sales and also distributes via outbound calls. ADG and IDG support the investment professional in building his or her business and in using Fidelity products and programs as part of their investment strategies. Because IPs connect individual investors to Fidelity products, developing and maintaining strong IPs relationships is key to FIIS’ success. Investment professionals at client firms advise individual investors on investment strategies, including those options offered by Fidelity.

25. 5.3 The Advisor Distribution Group (ADG) Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary The Advisor Distribution Group (ADG) provides sales and relationship management support to Advisor clients and prospects, including wirehouses, regional brokerages, and financial planners. Fidelity products, and programs are distributed through the FIIS sales force to investment professionals within Advisor client firms. ADG is composed of six teams. Place your cursor over each ADG team to learn more. Graphic: Advisor model FIIS_OV_5.3_AdvModel Eastern and Western Regional Sales Offshore Retirement Inside Sales Relationship Management Sales Development Rollover area SP: place rollovers on yellow; place word links

26. 5.3 rollovers Satya: these are the rollovers for previous screen Eastern and Western Regional Sales supports the distribution of Fidelity Advisor Funds, Fidelity Advisor 529 Plans, and 401(k) retirement products to Advisor client firms. Offshore supports sales of Fidelity Advisor World Funds through intermediaries to non-resident aliens. Retirement is responsible for the development of a wide range of Premium 401(k) products. This team offers bundled products, programs, and services to meet the needs of plan sponsors and plan participants. Retirement works with investment professionals at Advisor client firms to help them build their retirement business with Fidelity. Inside Sales works jointly with field sales representatives in other ADG teams by providing telephone sales support to clients and prospects. Relationship Management works with client home offices to coordinate sales programs and obtain approval for the distribution of new Fidelity offerings. Sales Development coordinates business planning, training, and sales analysis.

27. 5.4 The Institutional Advisor Group (IDG) Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary The Advisor Distribution Group (ADG) provides sales and relationship management support to Institutional clients and prospects, including insurance wholesalers, bank business units (BBU), and cash business units (CBU). Fidelity products and programs are typically distributed through the client firm's sales force to the investment professional. For BBU and CBU products, IDG also distributes directly to bank money managers and corporate senior management. IDG is composed of five teams. Place your cursor over IDG team to learn more. Graphic: Inst model FIIS_OV_5.4_InstModel Bank Business Unit & Cash Business Unit Destiny Business Unit Insurance Business Unit Institutional Channel Management [BULLET/indent]Institutional Inside Sales Rollover area SP: place rollovers on yellow; place word links

28. 5.4 rollovers Satya: these are the rollovers for previous screen The Bank Business Unit and Cash Business Unit are responsible for the product strategy, marketing, relationship management and sales of Fidelity money market funds through bank capital markets departments and direct to large corporations. In addition, the Bank Business Unit supports sales of Advisor funds, 401(k) and 529 Plans, and Fidelity Advisor Charitable Gift Funds. The Destiny Business Unit is responsible for the product strategy, marketing, and sales of Destiny investment plans. Fidelity Destiny plans are systematic investment plans that allow long-term investors to accumulate wealth over time by making disciplined monthly investments in diversified mutual funds for either a 10- or 15-year period. The Insurance Business Unit coordinates relationship management and sales through insurance companies. Institutional Channel Management includes the key account managers and Institutional Inside Sales representatives who support various IDG field sales teams. Institutional Inside Sales is responsible for the development and management of relationships with senior management, home office contacts, sales forces, and various decision makers within Institutional client firms. Inside Sales teams include Bank Business Unit, Cash Business Unit (Direct and Institutional Cash Services), Destiny Business Unit, and Insurance Wholesale. Institutional Inside Sales is part of Institutional Channel Management.

29. 5.5 Check Your Knowledge Check Your Knowledge Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary In which of the following ways are the Advisor Distribution Group (ADG) and the Institutional Distribution Group (IDG) similar? (X) They distribute the same product line. Incorrect. The product line offered by each group is determined by the institution type. Institutional Money Market Funds, for example, are only distributed through cash business units, while Destiny Plans are only distributed through wirehouses, regional brokerages, and financial planners. ($) They work to develop relationships with client home offices. Correct. Strong relationships with senior management and other decision-makers within both Advisor and Institutional client firms enable FIIS to build, maintain, and extend sales programs. (X) They distribute through the client’s sales force. Incorrect. ADG distributes Fidelity products directly to investment professionals working within the client firm. IDG supports the client firm’s sales force in selling to investment professionals. ($) They are composed of both Field Sales and Inside Sales representatives. Correct. Field Sales acts as a face-to-face point of contact for clients in their territory. Inside Sales provides sales support to Field Sales and also distributes via outbound calls. ($) They focus on building business with investment professionals. Correct. Because IPs connect individual investors to the ADG and IDG product line, both groups work to develop and maintain strong IP relationships. Because IDG distributes through the client sales force, this group also supports the client sales force in developing IP relationships. (X) They distribute through wirehouses and regional brokerages. Incorrect. ADG distributes through wirehouses, regional brokerages, and financial planers. IDG distributes through insurance wholesalers, bank business units, and cash business units.

30. 5.6 FIIS Marketing Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Marketing is responsible for providing marketing strategy and support to FIIS’ sales efforts. Core marketing functions include: [BULLET] Acquiring and retaining high value advisors [BULLET] Providing investment consulting services to sales representatives and clients [BULLET] Managing marketing communications, meetings, and events [BULLET] Managing product and program lines [BULLET] Performing market analyses and developing business strategies Graphic: FIIS_OV_5.6_mrktsales

31. 5.7 Marketing Teams Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Marketing is composed of six teams, each of which performs a different marketing function in support of sales efforts. Place your cursor over each Marketing team to learn more. Photo: FIIS_OV_5.7_mrktcharts Advisor Marketing Investment Consulting Services (ICS) Marketing Communications (Marcom) Product Management Program Management Strategic Marketing Rollover area SP: place rollovers on yellow

32. 5.7 rollovers Satya: these are the rollovers for previous screen Advisor Marketing plans and implements the marketing initiatives necessary to acquire new advisors, develop strong and lasting relationships with the current base, and improve retention efforts for high value advisors. The Investment Consulting Services (ICS) team collects and analyzes information on fund performance and positioning (both FIIS’ and competitors’ funds) and consults with sales representatives and top-tier clients on its conclusions. Marketing Communications (Marcom) provides planning, strategy development, and execution for all marketing communications and meetings and events. Teams within Marcom include: Account Management; Associate Communications; Creative Development; Electronic Marketing; Meetings & Events; and Operations. Product Management is responsible for the promotion, development, positioning and maintenance of FIIS' product menu, including Fidelity Advisor Funds, Variable Insurance Product (VIP) Portfolios and Sub-advised Portfolios. Program Management focuses on the development and management of rollovers, individual retirement and small business products, and the Fidelity Advisor 403(b) program. Strategic Marketing performs customer, competitor, and industry analyses; identifies and evaluates strategic opportunities; and develops business strategies.

33. 5.8 FIIS Client Services Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Client Services supports FIIS by providing transaction processing and record-keeping for the transfer agent, Fidelity Investments Institutional Operations Company, Inc. (FIIOC), as well as intermediary support and relationship management for FIIS clients. To help ensure it fulfills its responsibilities to both FIIS and FIIS clients, Client Services has identified core attributes that its associates are expected to embrace and exemplify. Click on each attribute below to learn more. Focused: Associates understand and concentrate on the few key issues that truly make a difference. Graphic: FIIS_OV_5.8_CSlist FocusedSimplicityUnsiloedetc.etc. Simplicity: Associates approach work in a straightforward way, getting to the heart of the issue quickly and easily "Unsiloed" — Associates who work comfortably cross-functionally within FIIS and across Fidelity. Accountable — Associates who feel a strong sense of ownership for getting results and making the decisions entrusted to them. Decisive — Associates who take action, sometimes on limited information, and who get things done with speed and flexibility. SP: place word link; also - can we have areas of the graphic pop up text (the text in dotted line boxes) when clicked? See graphics ppt Passionate — Associates who bring energy and a sense of total personal commitment to their work and to the success of the organization. Caring — Associates who are generous toward colleagues and extend themselves warmly to those who work with and for them.

34. 5.9 Client Services Teams Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Client Services consists of five teams. Some teams provide direct service to clients and investors. Others provide business and operational support to Client Services as a whole. Place your cursor over each Client Services team to learn more. Photo: FIIS_OV_5.9_CSrep Financial Advisor & Shareholder Services Integrated Client Solutions Business Development Operations Services Regulatory Policy Development Rollover area SP: place rollovers on yellow SP: place rollovers on yellow

35. 5.9 rollovers Satya: these are the rollovers for previous screen (also see next slide) Financial Advisor & Shareholder Services consists of two teams:[BULLET] The Call Center, located in Smithfield, RI and Merrimack, NH, provides customer service to clients and individual investors by responding to inbound calls and performing trade execution. [BULLET]Transaction Processing is responsible for establishing new accounts, maintaining existing accounts, and completing trade requests that are mailed by either IPs or investors. This team also supports the sales force by ensuring Inside and Field Sales representatives are associated with the correct IPs and by maintaining the database that links IPs to their home offices and investors. Integrated Client Solutions consists of five teams: [BULLET] The Client Resolution Unit (CRU) handles all aspects of the problem resolution process. [BULLET] The Home Office Support Team (HOST) proactively supports the operational needs of client home offices. [BULLET]Relationship Management (RM) develops and strengthens relationships with leadership at strategic client organizations. [BULLET] The Settlement Services Group (SSG) performs wire-related trade activities (e.g., inbound wire purchase reconciliation). [BULLET]Automated Client Services (ACS) provides automated transaction support to client home offices. The Business Development Team provides business analysis and project management support to Client Services. This team is responsible for the business implementation of key strategic initiatives that impact all aspects of transfer agent operations.

36. 5.9 rollovers Satya: these are the rollovers for previous screen Operations Services provides operational support to Client Services and is composed of the following teams: Learning & Development, Outbound Services (e.g., statements, compensation, communications), Project Management, Reporting & Analysis, and Tax & Control. Regulatory Policy Development ensures organizational compliance with regulatory requirements by researching current and forthcoming regulations and developing appropriate policies around them.

37. 5.10 FIIS Technology Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Technology is responsible for identifying, developing, integrating, and supporting technical solutions for all FIIS departments. To achieve its mission of delivering timely solutions through the innovative application and development of cost-effective technologies, Technology has established four Technology Key Focus Areas. Click on each Key Focus Area below to learn more. Business Value: [bullet]Align application and business strategies [bullet] Provide applications that drive business results[bullet] Increase development capacity[bullet] Anticipate FIIS business needs Solution Delivery: [bullet]Deliver on technology portfolio commitments [bullet] Evolve FIIS technology architecture[bullet] Expand development pipeline Production Stability: [bullet]Provide reliable applications [bullet] Monitor and tune applications[bullet] Scale to meet increasing demands[bullet] Maintain security and privacy SP: can we have areas of the graphic pop up text (the text in dotted line boxes) when clicked? See graphics ppt Graphic: FIIS_OV_5.10_TechFocus Workforce Effectiveness: [bullet]Grow capabilities and competencies [bullet] Retain top talent[bullet] Develop a pipeline of talent[bullet] Instill FIIS goals, strategies, and objectives

38. 5.11 Technology Teams Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Technology consists of five teams. Some of these teams provide application development and support services to specific FIIS functions. Other teams provide cross-functional technical support (e.g., Shared Services). Place your cursor over each Technology team below to learn more. Photo: FIIS_OV_5.11_Tech Architecture & Planning Customer Relationship Management Technologies Products & Processing Sales & Service Technologies Shared Services Rollover area SP: place rollovers on yellow

39. 5.11 rollovers Satya: these are the rollovers for previous screen Architecture & Planning helps FIIS departments and other Technology teams achieve their goals by defining, delivering, and supporting effective technology solutions. This team’s job is to ‘connect the dots’ by integrating and supporting applications. Architecture and Planning teams include: Architecture; Business Services and Data Engineering (BSDE); Program Support ; Retirement Technology; and Training. Customer Relationship Management Technologies helps FIIS build stronger customer relationships by advancing our customer knowledge. CRM Technologies achieves this objective by providing tools to manage and enrich customer data, maximizing the availability and reliability of data access, advancing the quality of customer data, and providing business insight through data transformation. Teams include: Marketing Automation: Reporting and Business Data Management: and Warehousing, ETL, and Offshore. Products and Processing promotes the success of our business partners by delivering high quality, timely, and efficient technology solutions andservices. Products and Processing teams include: Infrastructure; Platform Products; and Processing and Compliance. Sales and Service Technologies creates business opportunities and solves business problems through innovative application development and cost-effective technologies. Sales and Service Technologies teams include: FIISView Team; Internet Presence; Remote Applications; and Sales Technology. Shared Services collaborates with business partners to provide outstanding services in testing, environment support, and release management. Shared Services teams include: Application and Infrastructure Services (AIS); Application Certification/ Data Security; Environment Services and Tools; and Systems Acceptance Testing/ Release Management.

40. 5.12 FIIS Finance Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Finance oversees all financial functions within FIIS, including support for Distribution, Marketing, Client Services, Technology, and administrative functions. By working closely with all levels of management, Finance ensures the long-term financial success of FIIS and its individual departments. Finance’s primary responsibilities include: [bullet] Directing financial analysis activities; making financial recommendations to management; highlighting problems, issues, and trends. [bullet] Partnering with all levels of management to define the strategic plan and deliverables for FIIS; measuring plan results [bullet] Performing profitability reviews [bullet] Analyzing new business opportunities and making recommendations to management on economic and operational feasibility [bullet] Leading the annual budget and business planning process and providing ongoing business support Photo: FIIS_OV_5.12_Finchart

41. 5.13 Finance Teams Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Finance consists of four teams. The first of these, Shared Financial Services, is responsible for the key processes, activities, and applications that are central to all business support functions within finance. The focus of this group is to drive higher overall efficiency and effectiveness across Finance through process expertise and improvement. The three other Finance teams support specific FIIS departments. These teams include: [bullet] Distribution Business Support[bullet] Business Planning & Analysis and Marketing Business Support[bullet] Client Services & Technology Business Support Photo: FIIS_OV_5.13_Fincalc

42. 5.14 FIIS Risk Management & Compliance Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Graphic: FIIS_OV_5.14_caution Risk Management & Compliance is responsible for assessing risks to FIIS operations and developing strategies to manage them. This departmentalso ensures that FIIS is compliant with industry regulations. By providing an integrated framework of risk management and compliance practices, standards, controls, and support services, Risk Management & Compliance protects FIIS and its associates and advances FIIS’ business objectives.

43. 5.15 Risk Management & Compliance Teams Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Risk Management & Compliance consists of three teams, each of which performs a core risk management or compliance function. Place your cursor over each team below to learn more. Photo: FIIS_OV_5.15_stamp Program Management [bullet/indent] Regulatory Execution [bullet/indent] Cross-Fidelity Programs[bullet/indent] Reporting Oversight[bullet/indent]Monitoring & Testing[bullet/indent] Education & Training[bullet/indent] Issue Resolution Control[bullet/indent]Correspondence Review[bullet/indent] Collateral Review[bullet/indent] Contract Management Rollover area SP: place rollovers on yellow

44. 5.15 rollovers Satya: these are the rollovers for previous screen The Program Management function includes regulatory and Fidelity mandated program executions, including: [bullet]Implementation of industry rules, including SEC (Securities & Exchange Commission) and NASD (National Association of Securities Dealers) requirements [bullet]Management of cross-Fidelity programs (i.e., Business Contingency Planning, Records Management, and Privacy)[bullet]Centralized risk reporting The Oversight function creates, implements, and advises on supervisory controls to help ensure that FIIS departments are compliant with corporate and industry regulatory standards and procedures. Activities include evaluating and monitoring controls on an ongoing basis, providing education and training on regulatory issues and controls, and conducting issue resolution. Specialized teams provide oversight and control for each of the following areas: Distribution, Marketing, Transfer Agent, and Information Security. The Control function is composed of three teams:[bullet] Correspondence Review monitors the email and hardcopy correspondence of FIIS Distribution staff (e.g, wholesalers, managers). [bullet] Collateral Review monitors the production and distribution of sales and other communications to ensure compliance with regulatory standards and internal policies and procedures.[bullet] Contract Management establishes, maintains, and retains FIIS contracts.

45. 5.16 FIIS Human Resources Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Fidelity Core Human Resources provides enterprise-wide support on compensation, benefits, staffing, leadership development, and other services. Within FIIS, however, the Human Resources Management Effectiveness team is responsible for providing internal support. This team works with FIIS managers to: [bullet] Develop leadership capabilities[bullet] Handle workforce issues[bullet] Develop teams through talent management and succession planning In addition, FIIS managers and associates can get help regarding payroll, benefits, and other human resources issues by contacting the HR Solutions group at 1-800-835-5099. Photo: FIIS_OV_5.16_ SP: create fav and link HR Solutions [FAV] https://hrsolutions.fidelity.com/wps/hr/Main

46. 5.17 FIIS At A Glance Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary The preceding topic has provided an overview of FIIS’ seven departments. To review how these departments work together to support FIIS and FIIS products, click on each oval below. Graphic: FIIS_OV_5.17_FIISoval FIIS is the intermediary distribution channel for Fidelity products. All FIIS departments support the sale of Fidelity products through institutional clients. Marketing develops strategies around the FIIS product line to drive product awareness and increase sales. Distribution builds client relationships and sells the product. Client Services supports the client through transaction processing, problem resolution, and other customer service activities. SP: click on graphic areas launch text boxes (see graphics ppt) Technology develops and supports technical solutions that enable FIIS to operate efficiently and continuously. Finance ensures that FIIS is profitable against its objectives. Risk Management & Compliance minimizes risks to business operations and maintains compliance with regulatory standards, thereby protecting FIIS operations, organizational reputation, and associate safety. Human Resources helps acquire, retain, and develop the associates who maintain FIIS operations.

47. 5.18 Check Your Knowledge Check Your Knowledge Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Which of the following is a department within FIIS? Select ALL that apply. ($) Marketing Correct. Marketing is responsible for providing marketing strategy and support to FIIS’ sales efforts. (X) Investment Consulting Services (ICS)Incorrect. Investment Consulting Services (ICS) is a team within Marketing. This team collects and analyzes information on fund performance and positioning (both FIIS’ and competitors’ funds) and consults with sales representatives and top-tier clients on its conclusions. (X) Financial Advisor & Shareholder ServicesIncorrect. Financial Advisor & Shareholder Servicesis a team within Client Services. Client Services is the FIIS department that provides transaction processing and record-keeping services for the transfer agent, as well as intermediary support and relationship management for FIIS clients. ($) Risk Management & Compliance Correct. Risk Management & Compliance is responsible for assessing risks to FIIS operations and developing strategies to manage them. This department also ensures that FIIS is compliant with industry regulations. ($) Finance Correct. Finance oversees all financial functions within FIIS, including support for Distribution, Marketing, Client Services, Technology, and administrative functions.

48. 6.1 Resources Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Use the following resources to learn more about Fidelity Investments and FIIS. Make sure to book mark the sites or download the documents for easy reference. Fidelity Resources Fidelity.com https://www.fidelity.com/ Fidelity Annual Report http://fnw.fmr.com/Fidelity_Exchange/03-04/2003annualreport.pdf Fidelity Organizational Chart https://hrsolutions.fidelity.com/dcl/uploadedfiles/NewHireOverview_Fidelity_Org_Chart.pdf Fidelity NOW http://www.fmr.com/Fidelity_NOW/ FIIS Resources FIIS Organizational Chart http://fnw.fmr.com/fiisnet/about_fiis/media/fiis_org_chart.pdf FIIS Fact Sheet http://www.fmr.com/fidelityfacts/FIIS/fiis.pdf FIISnet http://fnw.fmr.com/fiisnetFIIS Today http://fnw.fmr.com/fiisnet/about_fiis/fiis_today/index.html FIIS Online Reference http://fiisolr.fmr.com/olrsite/fiisgen/index.htm FIIS Learning Institute http://aspen.fmr.com/aspen/lang-en/management/LMS_LearnerHome.asp FIIS Product Lines[indent/bullet] Advisor (ADG) (doc: ADGProductGrid2.gif)[indent/bullet] Institutional (IDG) (doc: IDGProductGrid2.gif) SP: link to sites or docs as indicated

49. 7.1 Course Summary Introduction What Is FIIS? What Does FIIS Sell? How Is FIIS Organized? Resources Summary Congratulations! You have completed FIIS Overview! This course provided an introduction to Fidelity Investments Institutional Services (FIIS). An understanding of FIIS, its place within Fidelity, and its core functions helps FIIS associates to function more effectively within their work environment. You should now be able to: [BULLET] Describe FIIS and its role within the Fidelity organization [BULLET] Identify and describe FIIS products and programs [BULLET] Explain the FIIS sales strategy [BULLET] Identify and describe the groups that compose FIIS To advance to the Assessment, click the forward arrow.

50. Assessment Introduction Standard text here