Younger Americans Investing More Regularly than Their Older Counterparts

BOSTON, April 4, 2006 - With a spotlight on reduced pensions, concerns over Social Security and rising medical costs for retirees, many Americans are already stepping up this year to take on greater personal responsibility for their retirement savings.

Fidelity Investments reports that it has seen the number of new IRA accounts opened by the firm increase by 22 percent and savings levels increase by 25 percent in 2006, compared with 2005¹. According to Fidelity-sponsored research, nearly half (48 percent) of investors choosing to open IRAs responded that they are doing so due to concerns over future Social Security benefits.

"The message is hitting home that Americans today need to shoulder the burden of financing their own retirement," said Jeffrey R. Carney, president, Fidelity Personal Investments. "While we can't predict our own longevity or the impact of inflation, we do have control over our own ability to save for the future. The decision to save more today is the one thing that we as investors can count on to improve our chances of living the life we want in retirement."

The study found additional factors that appear to be impacting investors' decision to open an IRA. They include inflation and the rising cost of retirement (43 percent), the appeal of tax-advantaged savings (42 percent) and rising healthcare costs (31 percent).

Research further reveals that younger people are investing more regularly than their older counterparts with more than half (57 percent) of those ages 18-35 contributing annually to their IRA vs. just 44 percent of all investors.

The vast majority of IRA owners (89 percent) agree that opening an IRA account has provided them with additional benefits along with saving more for retirement². These include more confidence that they will be able to live the lifestyle they hope for in retirement (43 percent), less anxiety over retirement (27 percent), more diligent financial habits (26 percent) and an impetus to create a financial plan for retirement (23 percent). For investors, one of the best ways to make savings a habit is to make the process simple and automatic. To help, Fidelity introduced the SimpleStart^SM IRA which makes it easy for investors to get started saving with a no-fee IRA³, automatic monthly investments as low as $200⁴, and the option of instant diversification through a single mutual fund investment based on a target retirement date⁵.

With this year's IRA contribution deadline fast approaching, Fidelity offers five basic tips for those who have not yet contributed to an IRA:

•		Contribute before April 17th for the current 2005 tax year. Even if you're unable to contribute the maximum $4,000, make sure you contribute what you can.
•		For workers age 50 and over, make a catch-up contribution of $500 above the annual limit for 2005 or an additional $1,000 for tax year 2006.
•		Achieve instant diversification with an all-in-one fund solution like a Fidelity Freedom Fund.
•		Put your IRA on autopilot by setting up monthly contributions directly from your bank account.
•		If you haven't already, develop an overall plan to determine how much you'll need to save for your retirement.

Investors interested in learning more about how to choose the IRA that's right for them or how to select investments for their IRA can call 1-800 FIDELITY, visit one of Fidelity's 110 Investor Centers located nationwide, or logon to Fidelity's Retirement Resource Center to test their retirement IQ with Fidelity's 60-second retirement quiz found at www.fidelity.com/retire.

About the Survey

This Fidelity study was conducted by Opinion Research Corporation International among a sample of 502 American IRA owners (Traditional and/or Roth IRAs). The online survey was conducted between February 24^th and March 1, 2006. The margin of error for the sample is +/-4 percent at the 95% confidence level.

The experience of these investors may not be representative of all investors and is not indicative or future performance or success.

About Fidelity

Fidelity Investments is one of the world's largest providers of financial services, with custodied assets of $2.5 trillion, including managed assets of over $1.2 trillion as of January 31, 2006. Fidelity offers investment management, retirement planning, brokerage, and human resources and benefits outsourcing services to more than 21 million individuals and institutions as well as through 5,500 financial intermediary firms. The firm is the largest mutual fund company in the United States, the No. 1 provider of workplace retirement savings plans, one of the largest mutual fund supermarkets and a leading online brokerage firm. For more information about Fidelity Investments, visit www.fidelity.com.

Performance of the Freedom Funds depends on that of their underlying Fidelity funds. These funds are subject to the volatility of the financial markets in the U.S. and abroad and may be subject to the additional risks associated with investing in high yield, small cap and foreign securities. Fidelity Freedom Funds are managed by Strategic Advisers, Inc., a subsidiary of FMR Corp.

Before investing, consider the funds' investment objectives, risks, charges and expenses. Contact Fidelity for a prospectus containing this information. Read it carefully.

¹Increases in new Fidelity IRA accounts and contributions reported as of March 17, 2006, over the same time last year.

²There are inherent risks when investing in securities.

³IRA Brokerage account fee is eliminated (except SIMPLE IRA). Fund expenses and brokerage commissions still apply. Depending on your situation low-balance, short-term trading, and account closing fees may apply.

⁴Certain Fidelity and non-Fidelity funds are not eligible.

⁵Diversification/asset allocation/periodic investment plans do not assure a profit or protect against a loss in a declining market.

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Fidelity Brokerage Services LLC, Member NYSE, SIPC,
100 Summer Street, Boston, MA 02110