Fidelity Pacific Basin, which joins our Fund Portfolio this issue, has an outstanding record. So when its managers really like a stock, it pays to listen. And they really like Toyota Motors (TM ADR)—in fact, the automaker is the fund’s single largest position. Moreover, Fidelity Management & Research, the company to which Fidelity Pacific Basin belongs, more than doubled its stake in the stock last quarter, making it the largest U.S. holder of Toyota shares.
What’s to like about Toyota? Actually, there’s nothing not to like. The No. 1 automaker in Japan and No. 3 in the world, it’s a truly global company that sells its vehicles in more than 160 countries. This year, for the first time, Toyota captured more than 10 percent of the U.S. market, and almost 40 percent of its revenues come from North American operations.
One reason for its success is its commitment to high-quality products. Another is its leadership position in developing new technologies, including those used in creating environmentally friendlier autos.
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