In April 2022, Fidelity Investments launched four new crypto ETFs focused on growing investment trends. There are four Fidelity digital assets in the crypto ETF market. One ETF invests in equities of companies supporting the crypto and digital payments industries. Another Fidelity product launch invests in equities of companies developing the metaverse. The final two crypto ETFs are bond ETFs. They follow ESG criteria, especially regarding sustainability.
Learn More About Each Fidelity Product Here
1. Fidelity Crypto Industry and Digital Payments ETF (FDIG)
This ETF invests at least 80% of the fund’s assets in securities included in an index. The index is designed so that it reflects the performance of a global market for cryptocurrencies, related blockchain technologies, and digital payments processing, which includes both traditional financial institutions and non-financial firms.
2. Fidelity Metaverse ETF (FMET)
This ETF seeks to invest at least 80% of assets in securities included in an index called the Fidelity Metaverse Index. The index is designed for companies that develop, manufacture or sell products or services relating to establishing and enabling the Metaverse.
3. Fidelity Sustainable Core Plus Bond ETF (FSBD)
This ETF seeks a high level of current income. It normally invests at least 80% of the assets in debt securities that it considers to have positive environmental, social, and governance (ESG) benefits, as well as repurchase agreements (reps) for those securities.
4. Fidelity Sustainable Low Duration Bond ETF (FSLD)
This ETF aims to provide investors with a high level of current dividend income consistent with preserving their capital. Its typical portfolio includes at least 80% of its assets in investment-grade debt securities that it believes have positive ESG benefits, as well as repo positions for those securities.
Greg Friedman, Fidelity’s head of ETF management and strategy, said, “We continue to see demand, particularly from young investors, for access to the rapidly growing industries in the digital currencies, and these two thematic ETFs offer investors exposure to a familiar investment vehicle.”
Fidelity Investments was among the first asset managers to embrace cryptocurrencies. The firm introduced the WISE Origin Bitcoin Index Fund I back in 2020, but that fund was only available to qualified purchasers with at least $100,000 invested. Fidelity filed an SEC application to launch a Bitcoin ETF in March 2021, joining a growing number of other, though smaller, companies that had done the same thing.
To determine which Fidelity crypto ETF option is best for your overall investment strategy, you will want to consider factors such as market fluctuation, options for direct investments, and whether you have access to meet with financial advisers.