Firm has also introduced income ETF funds and growth-focused U.S. equity fund
Fidelity Investments Canada has expanded its ETF shelf with the launch of two new high-income active strategies.
“With ever increasing demand among investors for steady monthly income, we're pleased to launch the Fidelity Monthly High Income ETFs, leveraging the best of the Fidelity Investments organization's world-class resources with experienced portfolio managers and our abiding commitment to investors' long-term success,” said Kelly Creelman, senior vice president, Products, Fidelity Investments Canada ULC.
Offering a steady flow of income along with the potential for capital gains, the new ETFs are managed by Geoff Stein, David Wolf and David Tulk, portfolio managers and members of Fidelity Investments organization's Global Asset Allocation team. Investments within the portfolios are actively diversified to maintain a balance of risk and return, and compounding through reinvestment of monthly distributions can help investors reach their goals.
The two new ETFs are:
- Fidelity Canadian Monthly High Income ETF (FCMI) – Invested primarily in underlying funds that generally invest in a mix of Canadian and foreign equity securities and fixed-income securities, with generally more emphasis on Canadian equity and fixed income; and
- Fidelity Global Monthly High Income ETF (FCGI) - Invested primarily in underlying funds that generally invest in global equity securities and fixed income securities
The new ETFs are also available in mutual fund versions, with Series F management fees between 0.5% and 0.55%, and Series B management fees between 1.5% and 1.55%.
Fidelity also announced the Fidelity U.S. Growth Opportunities Class. The strategy is managed by portfolio manager Kyle Weaver, who has a reported expertise in identifying secular trends and business models that can create significant shareholder value over a three- to seven-year period. The strategy targets companies with lower valuations relative to their long-term earnings potential.
Fidelity U.S. Growth Opportunities Class will be available in both a U.S. dollar option and a systematic currency-hedged version, the firm said.
