Unfortunately, the image stabilisation mode isn't on all the time. When you select it, the F40fd simply sets a low shutter speed and locks most of the other settings accordingly. This copes well with even low-light conditions, but does limit your manual control in this mode.
Other modes include timesaving SP1 and SP2 settings, which allow you to save your two most recent shooting modes. If dividing your time between shooting kids and adults at a family gathering, you could switch between fast motion-capturing 'sport' and more sedate 'portrait'.
Performance
The F40fd is blisteringly fast. Without flash, focus lock is lightning-quick, and when focus is locked with a half-press of the shutter release, subsequent shutter response is near instantaneous. When required to focus, images are captured in a still-pretty-sharpish 0.6 seconds.
A continuous autofocus setting sees the F40fd constantly refocusing on whatever you point it at, which leads to correspondingly nippy shutter response but does drain the battery. Nevertheless, we had no complaints about battery life.

Flash doesn't slow it down much, either. 'Natural and flash' mode is a good idea -- it takes two photos and compares them side-by-side, one with flash and one without. Using this mode, however, does limit your choice to just standard or red-eye reducing flash rather than the five flash modes available elsewhere. Each image takes 0.5 seconds to capture, and the whole process takes up to 7 seconds to store the images and return to photo readiness.
Although image stabilisation mode limits your manual control, it does produce excellent photos. Fujifilm has concentrated on making the most of a larger sensor, in all modes, so even when set to ISO levels as high as 2,000 noise is barely a problem. The flash is excellent at adjusting its intensity to meet lighting conditions, and low-light picture quality is strong enough in all modes to frequently get by without flash.
Conclusion
The Fujifilm F40fd is easy to use, with a plethora of presets and strong automatic abilities giving excellent pictures. The experienced photographer will find plenty to love in the accessible manual settings, good picture quality and super-quick response. You might prefer the Canon Digital IXUS 950 IS, which has a bigger zoom and a viewfinder, but then it costs more and lacks the excellent picture quality at higher ISO settings.
The F40fd's little details like dual-card compatibility, a clear interface and customisable favourite modes add up to make this an accessible and clever compact.
Edited by Jason Jenkins
Additional editing by Kate Macefield