FBOT Profile
The Fidelity Covington Trust - Disruptive Automation ETF is a specialized fund focused on investing in companies at the forefront of automation technology. Under normal circumstances, the fund allocates at least 80% of its assets to securities of companies identified as leaders or emerging players in disruptive automation. These companies are characterized by their innovative approaches and technologies that have the potential to revolutionize industries by automating processes, increasing efficiency, and challenging established market leaders. The fund's investment strategy is rooted in identifying trends and technological advancements that could reshape how products and services are delivered across various sectors.
Fidelity's approach to disruptive automation is part of a broader strategy to capitalize on technological innovation that has the potential to displace traditional business models. The fund targets companies involved in areas such as robotics, artificial intelligence, machine learning, and advanced manufacturing. By focusing on firms that are developing or implementing cutting-edge technologies, the ETF aims to capture growth opportunities in sectors poised for significant transformation. This includes not only established tech giants but also smaller, innovative firms that could emerge as key players in the automation revolution.
The fund is non-diversified, meaning it may invest a significant portion of its assets in a limited number of companies or sectors. This concentrated approach allows the fund to take meaningful positions in companies that are believed to have high growth potential, but it also introduces higher risk compared to more diversified funds. Investors in the Disruptive Automation ETF should be prepared for potentially higher volatility due to the concentrated nature of the portfolio and the inherent risks associated with investing in emerging technologies.
Designed for investors seeking exposure to the cutting edge of technology and innovation, the Fidelity Covington Trust - Disruptive Automation ETF offers a unique opportunity to participate in the growth of automation-driven industries. The fund's focus on disruptive technologies aligns with long-term investment themes such as the future of work, industrial automation, and the digital transformation of various sectors. It is suitable for investors with a high risk tolerance who are looking to diversify their portfolios with exposure to companies that could redefine the competitive landscape and deliver significant returns over time.
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