FCLD Profile
The Fidelity Cloud Computing ETF is designed to provide investors with targeted exposure to the rapidly growing cloud computing sector. The fund seeks to replicate the performance of an index that captures a global universe of companies involved in the cloud computing industry. These companies span various market capitalizations and are integral to the delivery of computing services over the internet, including infrastructure, platforms, and software. By focusing on firms that enable and drive the adoption of cloud computing, the ETF aims to offer investors access to a sector that is at the forefront of digital transformation.
In alignment with its investment objective, the Fidelity Cloud Computing ETF invests at least 80% of its assets in securities that are included in its underlying index, as well as in depositary receipts that represent these securities. The fund’s portfolio is constructed to reflect the performance of the index as closely as possible, allowing investors to participate in the growth and innovation within the cloud computing space. The index itself is designed to be comprehensive, capturing a wide range of companies that contribute to the global cloud computing ecosystem, from established tech giants to emerging players.
The ETF is non-diversified, meaning it may hold a concentrated portfolio of securities, which can result in increased exposure to the specific risks associated with the cloud computing sector. This includes technological advancements, regulatory changes, and market competition, all of which can significantly impact the performance of the companies within the fund. However, this concentrated exposure also allows investors to potentially benefit from the robust growth trends in cloud computing, as the sector continues to expand and integrate into various aspects of the global economy.
As cloud computing becomes increasingly critical to modern business operations, the Fidelity Cloud Computing ETF offers a strategic way to capitalize on this technological shift. The fund is particularly suited for investors looking to gain exposure to the innovative companies driving the evolution of cloud-based services. By investing in this ETF, investors can participate in the ongoing digital revolution, while also benefiting from the expertise and resources of Fidelity, one of the most respected names in asset management. Despite its potential for growth, investors should remain mindful of the inherent risks associated with investing in a sector that is subject to rapid technological change and market volatility.
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