FDFF Profile
Fidelity Covington Trust - Disruptive Finance ETF is a fund that primarily focuses on investing in securities of companies within the disruptive finance sector. The fund commits to allocating at least 80% of its assets to firms that are at the forefront of financial innovation, targeting those that are either pioneering new business models or introducing unconventional approaches that have the potential to significantly alter the financial landscape. This strategy is rooted in Fidelity’s broader disruptive investing philosophy, which seeks to capitalize on emerging trends that could reshape industries and redefine how products and services are delivered to customers.
The Disruptive Finance ETF is designed to tap into the growth opportunities presented by these transformative companies, which often challenge established market players and create new market dynamics. By focusing on businesses that leverage technology, data, and innovative practices, the fund aims to benefit from the long-term growth potential associated with the evolving financial sector. These companies might include those involved in fintech, digital payments, blockchain technology, and other cutting-edge areas that are redefining the financial services industry.
The fund operates under a non-diversified structure, meaning it may invest a larger portion of its assets in a smaller number of companies compared to diversified funds. This approach can increase the potential for higher returns but also comes with increased risk, as the fund's performance is more heavily influenced by the success or failure of its selected investments. Fidelity leverages its extensive research capabilities and expertise in identifying companies that are poised to disrupt traditional financial services and create new growth opportunities.
Fidelity Covington Trust - Disruptive Finance ETF is part of Fidelity’s broader suite of thematic ETFs that focus on disruptive innovations across various sectors. The fund is managed by Fidelity’s team of experienced portfolio managers who utilize both qualitative and quantitative analysis to select investments. The goal is to achieve long-term capital appreciation by investing in companies that not only have strong growth potential but also the ability to fundamentally change the way financial services are delivered, thereby offering investors exposure to the future of finance.
|
