Source - SMW
Fidelity European Values beat its benchmark despite reporting a fall in returns following a 'difficult' year for equities. 

For the year ended 31 December 2018, net asset value per share total return fell 4.8%, while the Benchmark Index, the FTSE World Europe (ex UK) Index saw returns fall 9.5%.

The share price total return over the period fell 6.8%. 

Portfolio manager Sam Morse stock selection capabilities were once again the 'significant drivers of performance with several of our high-conviction holdings contributing positively to returns, despite the a 'difficult year' for equities, the company said. 
'The company’s NAV total return performance over three and five years remains ahead of the Benchmark,' it added.
The company recommended a final dividend of 6.28p per share and had also decided from the 2019 financial year to pay both an interim and a final dividend.
Fidelity sounded a cautious note on markets for the current year, citing concerns around trade and geopolitical uncertainty, and slowing global growth. But also said these condition made for a favourable backdrop for long-term investors.
'Equity markets are set to face some challenges due to ongoing trade concerns between the US and its trading partners,' the company said. 
'Concerns around the fiscal challenges in Italy, continuing uncertainty over Brexit and the current slowdown in global economic growth, may negatively impact investors’ preference for risk assets.'
'Nonetheless, an uncertain market environment is likely to create buying opportunities for long term investors, and in these circumstances your Portfolio Manager’s concentration on fundamentally strong businesses should continue to help performance.'