Fidelity Select Materials Portfolio

[Pages:6]QUARTERLY FUND REVIEW | AS OF MARCH 31, 2022

Fidelity? Select Materials Portfolio

Investment Approach

? Fidelity? Select Materials Portfolio is a sector-based equity-focused strategy that seeks to outperform its benchmark through active management.

? We conduct in-depth fundamental research, supported by Fidelity's deep and experienced global cyclicals team, to develop a differentiated view from consensus on product- and endmarket trends.

? We follow a contrarian investment approach and focus on companies in which we anticipate a positive change in business fundamentals before it is recognized and properly valued in the company's stock price.

? We also look for reasonably valued stocks of firms with improving returns on capital, healthy freecash-flow yields, the potential for price-earnings multiple expansion, or defensive-growth characteristics.

? Sector strategies could be used by investors as alternatives to individual stocks for either tacticalor strategic-allocation purposes.

PERFORMANCE SUMMARY

Select Materials Portfolio Gross Expense Ratio: 0.80%2

Cumulative

3 Month

YTD

1 Year

Annualized

3 Year

5 Year

10 Year/ LOF1

0.45% 0.45% 19.93% 17.74% 10.13% 8.77%

S&P 500 Index MSCI US IMI Materials 25/50 Linked Index Morningstar Fund Natural Resources % Rank in Morningstar Category (1% = Best) # of Funds in Morningstar Category

-4.60% -1.08% 8.48%

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-4.60% -1.08% 8.48%

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15.65% 14.20% 25.31%

54% 113

18.92% 18.68% 18.43%

54% 107

15.99% 12.39% 11.80%

69% 100

14.64% 11.17% 6.07%

35% 88

1 Life of Fund (LOF) if performance is less than 10 years. Fund inception date: 09/29/1986. 2 This expense ratio is from the most recent prospectus and generally is based on amounts incurred during the

most recent fiscal year, or estimated amounts for the current fiscal year in the case of a newly launched fund. It does not include any fee waivers or reimbursements, which would be reflected in the fund's net expense ratio.

Past performance is no guarantee of future results. Investment return and principal value of an investment will fluctuate; therefore, you may have a gain or loss when you sell your shares. Current performance may be higher or lower than the performance stated. Performance shown is that of the fund's Retail Class shares (if multiclass). You may own another share class of the fund with a different expense structure and, thus, have different returns. To learn more or to obtain the most recent month-end or other share-class performance, visit performance, institutional., or . Total returns are historical and include change in share value and reinvestment of dividends and capital gains, if any. Cumulative total returns are reported as of the period indicated.

For definitions and other important information, please see the Definitions and Important Information section of this Fund Review.

FUND INFORMATION

Manager(s): Ashley Fernandes Jody Simes

Trading Symbol: FSDPX

Start Date: September 29, 1986

Size (in millions): $1,224.27

Morningstar Category: Fund Natural Resources Stock markets, especially foreign markets, are volatile and can decline significantly in response to adverse issuer, political, regulatory, market, or economic developments. The materials industries can be significantly affected by the level and volatility of commodity prices, the exchange value of the dollar, import and export controls, worldwide competition, liability for environmental damage, depletion of resources, and mandated expenditures for safety and pollution control. Foreign securities are subject to interest rate, currency exchange rate, economic, and political risks. The fund may have additional volatility because of its narrow concentration in a specific industry. Nondiversified funds that focus on a relatively small number of stocks tend to be more volatile than diversified funds and the market as a whole.

Not FDIC Insured ? May Lose Value ? No Bank Guarantee

QUARTERLY FUND REVIEW: Fidelity? Select Materials Portfolio | AS OF MARCH 31, 2022

Market Review

For the three months ending March 31, 2022, the materials sector, as measured by the MSCI U.S. IMI Materials 25/50 Linked Index, returned -1.08%, while the broadly based S&P 500? index finished at -4.60%.

Uncertainty washed over the stock market to begin the new year. Stocks slid as investors digested geopolitical unrest, with Russia invading and escalating its attack on Ukraine, and the Fed's accelerated plan to hike interest rates amid soaring inflation. The S&P 500? lost ground in both January and February before gaining in March. Also in March, the Fed announced the first of what was expected to be many increases in its benchmark interest rate.

Against this backdrop, the MSCI sector index moved roughly in line with the S&P 500? in the first two months of the quarter before showing some relative strength in March. In the wake of Russia's invasion of Ukraine, investors worried about curtailed supply of industrial metals and fertilizer components, among other materials, and bid up the prices of these stocks. This late-quarter strength enabled materials to outperform the S&P 500? for the three months.

Looking at the two largest segments within the materials index, specialty chemicals (-18%) and industrial gases (-10%) underperformed the sector index for the quarter. On the other hand, steel (+33%) aluminum (+33%), fertilizers & agricultural chemicals (+31%), and gold (+29%) all advanced strongly. Commodity chemicals (+8%) also posted a gain.

According to data from financial data provider FactSet Research Systems as of March 31, the materials sector is expected to report the third-highest year-over-year Q1 earnings growth rate of the 11 S&P 500? sectors, at 30.5%, led by the metals & mining group.

Performance Review

For the first quarter, the fund's Retail Class shares gained 0.45%, topping both the sector benchmark, the MSCI U.S. IMI Materials 25/50 Linked Index, and the broadly based S&P 500?.

Versus the MSCI sector index, the fund benefited the most from a large overweighting and solid stock selection in fertilizers & agricultural chemicals. Positioning in copper and specialty chemicals also notably lifted the fund's relative result.

Among individual holdings, it helped to overweight CF Industries Holdings (+46%). The maker and distributor of nitrogen-based crop nutrients saw rising prices and curtailed global supply of fertilizer, partly related to Russia's invasion of Ukraine. Russia is a major global producer of fertilizer ingredients. The combination of international sanctions and Russia's removal from the international banking system cut off a large percentage of global fertilizer supply. CF Industries also experienced robust demand for fertilizer, due to higher prices for crops such as corn, which encouraged increased planting. The company boosted shipments from its nitrogen complex in Louisiana to help offset tight supply.

A sizable out-of-benchmark stake in First Quantum Minerals also bolstered the fund's performance versus the MSCI index. Shares of the copper, nickel, gold and zinc miner rose roughly 45% for the first three months of 2022, gaining amid reduced global supply of metals and minerals due to rising inflation, the war in Ukraine and international sanctions placed on Russia.

Conversely, an underweighting and subpar picks in the steel group weighed on the fund's relative performance. Choices in commodity chemicals also detracted. At the stock level, underweighting steel producer Nucor (+21%) hurt notably.

LARGEST CONTRIBUTORS VS. BENCHMARK

Holding

Market Segment

Average Relative Relative Contribution Weight (basis points)*

CF Industries Holdings, Inc.

Fertilizers & Agricultural Chemicals

3.13%

133

Nutrien Ltd.

Fertilizers & Agricultural Chemicals

2.73%

93

First Quantum Minerals Ltd.

Copper

2.06%

77

The Mosaic Co.

Fertilizers & Agricultural Chemicals

1.15%

62

Sherwin-Williams Co.

Specialty Chemicals

-0.59%

20

* 1 basis point = 0.01%.

LARGEST DETRACTORS VS. BENCHMARK

Holding

Market Segment

Average Relative Relative Contribution Weight (basis points)*

Nucor Corp.

Steel

-2.16%

-109

Tronox Holdings PLC

Commodity Chemicals

3.42%

-58

Cleveland-Cliffs, Inc.

Steel

-0.57%

-53

Dow, Inc.

Commodity Chemicals

-3.52%

-47

United States Steel Corp. Steel

-0.57%

-29

* 1 basis point = 0.01%.

2 | For definitions and other important information, please see Definitions and Important Information section of this Fund Review.

QUARTERLY FUND REVIEW: Fidelity? Select Materials Portfolio | AS OF MARCH 31, 2022

Outlook and Positioning

For 2022, we see potential for volatility among commodity-based equities, due to less government stimulus, rising interest rates and geopolitical tension. Yet we feel many commodity firms still could be supported by favorable supply/demand factors, and we plan to emphasize the shares of these companies in the fund.

The fund's positioning did not change very much in the first quarter, although we increased the fund's positioning in aluminum and reduced our steel holdings.

We like the longer-term prospects for copper, a metal that is widely used in the production of electric vehicles (EVs) and equipment that produces wind and solar power. Green transportation and power appear to be important growth markets for the foreseeable future, in our view. Among copper names, the fund owned non-index positions in First Quantum Minerals and Lundin Mining, as well as an overweighting in Freeport-McMoRan.

Meanwhile, the price of aluminum hit record highs in March, as sanctions on Russia fueled worries about supplies from Moscowbased Rusal, the world's second-largest aluminum company by primary production output. The fund had a relatively large stake in aluminum producer Alcoa at the end of the three months.

On the other hand, steel prices declined from the beginning of the year into mid-February, before reversing and recovering their yearto-date losses by March 31.

We added to the fund's position in fertilizers & agricultural chemicals in Q1, making it the largest industry overweighting at quarter's end. Even before Russia's invasion of Ukraine, agricultural commodities saw an improving supply and demand picture. Overweighted positions in fertilizers & agricultural chemicals on March 31 included CF Industries Holdings, Mosaic and Corteva.

We sightly underweighted commodity chemicals at the end of March, although within this group, we held notable stakes in Tronox Holdings and Olin. Tronox is the world's leading integrated manufacturer of the paint and coatings pigment titanium dioxide (TiO2). Olin is a leading provider of caustic soda and chlorine. We like the prospects for both companies.

Conversely, we made paper packaging, a relatively defensive group, an underweighted position as of March 31. We did not hold index positions Amcor, International Paper, WestRock, Sealed Air, and Graphic Packaging Holding at the end of the quarter.

Thank you for your confidence in Fidelity's investment-management capabilities.

10 LARGEST HOLDINGS

Holding

Market Segment

Linde PLC

Industrial Gases

Freeport-McMoRan, Inc.

Copper

CF Industries Holdings, Inc.

Newmont Corp. Alcoa Corp.

Fertilizers & Agricultural Chemicals

Gold

Aluminum

Sherwin-Williams Co.

Specialty Chemicals

Albemarle Corp. U.S.

Specialty Chemicals

Corteva, Inc. Air Products & Chemicals, Inc.

Fertilizers & Agricultural Chemicals

Industrial Gases

Ecolab, Inc.

Specialty Chemicals

10 Largest Holdings as a % of Net Assets

50.68%

Total Number of Holdings

45

The 10 largest holdings are as of the end of the reporting period, and may not be representative of the fund's current or future investments. Holdings do not include money market investments.

ASSET ALLOCATION

Asset Class

Portfolio Weight

Index Weight

Relative Weight

Relative Change From Prior Quarter

Domestic Equities

91.64% 100.00% -8.36% -1.63%

International Equities

7.34%

0.00%

7.34%

1.83%

Developed Markets

7.34%

0.00%

7.34%

1.83%

Emerging Markets

0.00%

0.00%

0.00%

0.00%

Tax-Advantaged Domiciles

0.00%

0.00%

0.00%

0.00%

Bonds

0.00%

0.00%

0.00%

0.00%

Cash & Net Other Assets 1.02%

0.00%

1.02%

-0.20%

Net Other Assets can include fund receivables, fund payables, and offsets to other derivative positions, as well as certain assets that do not fall into any of the portfolio composition categories. Depending on the extent to which the fund invests in derivatives and the number of positions that are held for future settlement, Net Other Assets can be a negative number.

"Tax-Advantaged Domiciles" represent countries whose tax policies may be favorable for company incorporation.

3 | For definitions and other important information, please see Definitions and Important Information section of this Fund Review.

QUARTERLY FUND REVIEW: Fidelity? Select Materials Portfolio | AS OF MARCH 31, 2022

LARGEST OVERWEIGHTS BY MARKET SEGMENT

Market Segment

Portfolio Weight

Index Weight

Relative Weight

Relative Change From Prior Quarter

Fertilizers & Agricultural Chemicals

17.22%

8.39%

8.83%

4.09%

Copper

9.45%

5.55%

3.89%

0.93%

Aluminum

Forest Products

Construction Materials

4.30% 1.36%

4.71%

1.70% 0.42%

4.33%

2.60% 0.94%

0.37%

2.36% -0.19%

-0.14%

LARGEST UNDERWEIGHTS BY MARKET SEGMENT

Market Segment

Portfolio Weight

Index Weight

Relative Weight

Relative Change From Prior Quarter

Paper Packaging Steel

2.33% 3.42%

7.56% 8.65%

-5.23% -5.23%

-0.21% -5.90%

Specialty Chemicals 22.99% 25.42% -2.43%

1.53%

Industrial Gases

Commodity Chemicals

14.28% 16.65%

7.23%

8.03%

-2.37% -0.80%

-0.16% -2.49%

LARGEST OVERWEIGHTS BY HOLDING

Holding CF Industries Holdings, Inc.

Nutrien Ltd. Alcoa Corp. Tronox Holdings PLC First Quantum Minerals Ltd.

Market Segment

Fertilizers & Agricultural Chemicals Fertilizers & Agricultural Chemicals Aluminum Commodity Chemicals Copper

Relative Weight

4.24%

3.24% 3.02% 2.93% 2.42%

LARGEST UNDERWEIGHTS BY HOLDING

Holding Dow, Inc. Nucor Corp. Linde PLC Amcor PLC International Paper Co.

Market Segment Commodity Chemicals Steel Industrial Gases Paper Packaging Paper Packaging

Relative Weight

-3.58% -3.23% -1.81% -1.32% -1.29%

3-YEAR RISK/RETURN STATISTICS

Beta Standard Deviation Sharpe Ratio Tracking Error Information Ratio R-Squared

Portfolio 0.99

22.77% 0.75 4.28% -0.22 0.96

Index 1.00 22.69% 0.79

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4 | For definitions and other important information, please see Definitions and Important Information section of this Fund Review.

QUARTERLY FUND REVIEW: Fidelity? Select Materials Portfolio | AS OF MARCH 31, 2022

Definitions and Important Information

Information provided in this document is for informational and educational purposes only. To the extent any investment information in this material is deemed to be a recommendation, it is not meant to be impartial investment advice or advice in a fiduciary capacity and is not intended to be used as a primary basis for you or your client's investment decisions. Fidelity, and its representatives may have a conflict of interest in the products or services mentioned in this material because they have a financial interest in, and receive compensation, directly or indirectly, in connection with the management, distribution and/or servicing of these products or services including Fidelity funds, certain third-party funds and products, and certain investment services.

IMPORTANT FUND INFORMATION Relative positioning data presented in this commentary is based on the fund's primary benchmark (index) unless a secondary benchmark is provided to assess performance.

On April 1, 2022, Ashley Fernandes assumed co-management responsibilities for the fund, joining Jody Simes. The two will manage the fund together until December 31, 2022, at which point Jody Simes plans to retire and Ashley will become sole Portfolio Manager.

INDICES It is not possible to invest directly in an index. All indices represented are unmanaged. All indices include reinvestment of dividends and interest income unless otherwise noted.

MSCI U.S. IMI Materials 25/50 Index is a modified marketcapitalization-weighted index of stocks designed to measure the performance of Materials companies in the MSCI U.S. Investable Market 2500 Index. The MSCI U.S. Investable Market 2500 Index is the aggregation of the MSCI U.S. Large Cap 300, Mid Cap 450, and Small Cap 1750 Indices.

S&P 500 is a market-capitalization-weighted index of 500 common stocks chosen for market size, liquidity, and industry group representation to represent U.S. equity performance.

MARKET-SEGMENT WEIGHTS Market-segment weights illustrate examples of sectors or industries in which the fund may invest, and may not be representative of the fund's current or future investments. They should not be construed or used as a recommendation for any sector or industry.

RANKING INFORMATION ? 2022 Morningstar, Inc. All rights reserved. The Morningstar information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or redistributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Fidelity does not review the Morningstar data and, for mutual fund performance, you should check the fund's current prospectus for the most up-to-date information concerning applicable loads, fees and expenses.

% Rank in Morningstar Category is the fund's total-return

percentile rank relative to all funds that have the same Morningstar Category. The highest (or most favorable) percentile rank is 1 and the lowest (or least favorable) percentile rank is 100. The topperforming fund in a category will always receive a rank of 1%. % Rank in Morningstar Category is based on total returns which include reinvested dividends and capital gains, if any, and exclude sales charges. Multiple share classes of a fund have a common portfolio but impose different expense structures.

RELATIVE WEIGHTS Relative weights represents the % of fund assets in a particular market segment, asset class or credit quality relative to the benchmark. A positive number represents an overweight, and a negative number is an underweight. The fund's benchmark is listed immediately under the fund name in the Performance Summary.

5 |

3-YEAR RISK/RETURN STATISTICS

Beta is a measure of the volatility of a fund relative to its benchmark index. A beta greater (less) than 1 is more (less) volatile than the index.

Information Ratio measures a fund's active return (fund's average monthly return minus the benchmark's average monthly return) in relation to the volatility of its active returns.

R-Squared measures how a fund's performance correlates with a benchmark index's performance and shows what portion of it can be explained by the performance of the overall market/index. RSquared ranges from 0, meaning no correlation, to 1, meaning perfect correlation. An R-Squared value of less than 0.5 indicates that annualized alpha and beta are not reliable performance statistics.

Sharpe Ratio is a measure of historical risk-adjusted performance. It is calculated by dividing the fund's excess returns (the fund's average annual return for the period minus the 3-month "risk free" return rate) and dividing it by the standard deviation of the fund's returns. The higher the ratio, the better the fund's return per unit of risk. The three month "risk free" rate used is the 90-day Treasury Bill rate.

Standard Deviation is a statistical measurement of the dispersion of a fund's return over a specified time period. Fidelity calculates standard deviations by comparing a fund's monthly returns to its average monthly return over a 36-month period, and then annualizes the number. Investors may examine historical standard deviation in conjunction with historical returns to decide whether a fund's volatility would have been acceptable given the returns it would have produced. A higher standard deviation indicates a wider dispersion of past returns and thus greater historical volatility. Standard deviation does not indicate how the fund actually performed, but merely indicates the volatility of its returns over time.

Tracking Error is the divergence between the price behavior of a position or a portfolio and the price behavior of a benchmark, creating an unexpected profit or loss.

Before investing in any mutual fund, please carefully consider the investment objectives, risks, charges, and expenses. For this and other information, call or write Fidelity for a free prospectus or, if available, a summary prospectus. Read it carefully before you invest.

Past performance is no guarantee of future results.

Views expressed are through the end of the period stated and do not necessarily represent the views of Fidelity. Views are subject to change at any time based upon market or other conditions and Fidelity disclaims any responsibility to update such views. These views may not be relied on as investment advice and, because investment decisions for a Fidelity fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Fidelity fund. The securities mentioned are not necessarily holdings invested in by the portfolio manager(s) or FMR LLC. References to specific company securities should not be construed as recommendations or investment advice.

Diversification does not ensure a profit or guarantee against a loss.

S&P 500 is a registered service mark of Standard & Poor's Financial Services LLC.

Other third-party marks appearing herein are the property of their respective owners.

All other marks appearing herein are registered or unregistered trademarks or service marks of FMR LLC or an affiliated company.

Fidelity Brokerage Services LLC, Member NYSE, SIPC, 900 Salem Street, Smithfield, RI 02917.

Fidelity Distributors Company LLC, 500 Salem Street, Smithfield, RI 02917.

? 2022 FMR LLC. All rights reserved.

Not NCUA or NCUSIF insured. May lose value. No credit union guarantee.

657352.38.0

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