Fidelity enters smart beta ETF market

Smart_betaFidelity International has entered the smart beta ETF market with the launch of two income-focused products.

The firm said the “competitively priced” ETFs enhanced its range of investment solutions on offer and combine Fidelity’s active investment ability with the systematic aspects of passive investing.

Designed to meet investor demand for income the Fidelity Global Quality Income Ucits ETF is priced at 0.4% and Fidelity US Quality Income Ucits ETF is priced at 0.3%.

The ETFs track companies paying attractive dividends and they aim to deliver yields higher than major broad cap-weighted indices.

Nick King, head of ETFs at Fidelity International, said: “Demand for smart beta strategies has been growing in recent years and is expected to continue to accelerate as investors look for competitively priced, differentiated products which provide a particular investment outcome. This is an area we believe our proven research capabilities and expertise can add value and increased choice for our clients.”

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