Fidelity® High Dividend ETF (FDVV)

Overview

The Fidelityu00ae High Dividend ETF (FDVV) seeks to provide investment results that correspond to the performance of the Fidelity High Dividend Index. It focuses on large and mid-cap dividend-paying stocks with sustainable dividend yields. The ETF aims to deliver current income and capital appreciation.

Reputation and Reliability

Fidelity is a well-established and reputable financial services firm with a long history of managing investment products.

Management Expertise

Fidelity has a large and experienced team of investment professionals managing various asset classes, providing expertise in dividend-focused investing.

Goal

To seek investment results that correspond to the performance of the Fidelity High Dividend Index.

Investment Approach and Strategy

Strategy: FDVV aims to track the Fidelity High Dividend Index, which is designed to reflect the performance of stocks of large and mid-capitalization dividend-paying companies that are expected to continue to pay and grow their dividends.

Composition The ETF primarily holds stocks of dividend-paying companies. It is diversified across various sectors, but it typically has a higher allocation to sectors known for strong dividend yields, such as financials, utilities, and consumer staples.

Market Share: Data unavailable.

Total Net Assets (AUM): 1100000000

Key Competitors

• Vanguard High Dividend Yield ETF (VYM)
• Schwab US Dividend Equity ETF (SCHD)
• iShares Select Dividend ETF (DVY)

Competitive Landscape

The high dividend ETF market is competitive with several established players. FDVV benefits from Fidelity's brand recognition and low expense ratio, but faces stiff competition from larger ETFs like VYM and SCHD, which have greater AUM and liquidity. FDVV has a slightly different index construction that may appeal to certain investors. Competitors like DVY have different screening methodologies, which may lead to different performance characteristics.

Historical Performance: Historical performance data not provided in raw numerical format. Refer to financial sources for performance data over various time periods.

Benchmark Comparison: Benchmark comparison data not provided in raw numerical format. Refer to financial sources to compare FDVV's performance against its benchmark.

Expense Ratio: 0.29

Average Trading Volume

The ETF's average trading volume is relatively moderate, indicating reasonable liquidity.

Bid-Ask Spread

The bid-ask spread is usually tight, suggesting efficient trading and lower transaction costs.

Market Environment Factors

Economic indicators such as interest rates, inflation, and GDP growth, as well as sector-specific growth prospects and overall market sentiment, influence FDVV's performance.

Growth Trajectory

FDVV's growth is dependent on the performance of its underlying holdings and investor demand for high-dividend strategies. Changes to the index methodology or underlying holdings can also affect its performance.

Competitive Edge

FDVV benefits from Fidelity's established brand and distribution network. Its low expense ratio attracts cost-conscious investors. The ETF's index methodology targets sustainable dividend yields, which may appeal to investors seeking reliable income. However, other high dividend ETFs have significantly more Assets Under Management.

Volatility

FDVV's volatility is generally moderate, but it can fluctuate based on market conditions and the volatility of its underlying holdings.

Market Risk

FDVV is subject to market risk, including the risk of declines in stock prices and fluctuations in dividend payments. Sector-specific risks also exist depending on the ETF's allocation.

Ideal Investor Profile

FDVV is suitable for investors seeking current income and potential capital appreciation from dividend-paying stocks. It is well-suited to investors that are either in or approaching retirement.

Market Risk

FDVV is best for long-term investors seeking passive income and diversification through dividend-paying stocks.

The Fidelityu00ae High Dividend ETF (FDVV) offers a low-cost way to access a portfolio of high-dividend-paying stocks. It tracks the Fidelity High Dividend Index and primarily invests in large and mid-cap companies. While FDVV benefits from Fidelity's brand and low expense ratio, it faces competition from larger ETFs in the high-dividend space. Investors should consider its investment strategy and risk profile before investing. It is best suited for long-term investors who want some dividend paying funds in their portfolio.

Data Sources:

• Fidelity
• ETF.com
• Morningstar
• YCharts

Disclaimers:

The data and analysis provided are for informational purposes only and should not be considered investment advice. Investment decisions should be based on individual circumstances and consultation with a qualified financial advisor. Market share and some data may not be current.