Fidelity MSCI Information Technology Index ETF Investment Review and Insights

The Fidelity MSCI Information Technology Index ETF is a popular investment option for those looking to tap into the tech sector. It tracks the MSCI US Investable Market Information Technology 25/50 Index, which includes large, mid, and small-cap stocks in the information technology sector.

The fund has a low expense ratio of 0.085%, making it a cost-effective option for investors. Its net asset value (NAV) is calculated daily and is priced after the close of trading.

The ETF holds a diverse portfolio of 140 stocks, with the top holdings including companies like Microsoft, Apple, and Alphabet.

The Fidelity MSCI Information Tech ETF is a passively managed Sector Equity Technology exchange-traded fund (ETF) launched by Fidelity Investments in 2013.

The ETF seeks to provide investment returns that correspond to the performance of the MSCI USA IMI Information Technology 25/50 Index, which represents the performance of the information technology sector in the U.S. equity market.

The fund invests at least 80% of its assets in securities included in the underlying index. It may or may not hold all of the securities in the MSCI USA IMI Information Technology 25/50 Index.

The ETF has 296 securities in its portfolio, with the top 10 holdings constituting 60.1% of its assets. The ETF meets the SEC requirement of being classified as a nondiversified fund.

Fidelity MSCI Information Tech ETF has 0.8% of its portfolio invested in foreign issues, with 99.2% allocated to domestic stock. The bond allocation as a percentage of total assets is 0.0%.

The ETF has a single primary benchmark, the MSCI USA IMI/INFOR TECH 25-50 GR USD index, with a weighting of 100%.

The Fidelity MSCI Information Technology Index ETF has a significant presence in the market, with an initial investment of $10,000 growing to a substantial amount over the years.

This ETF has been adjusted for splits and dividends, providing a clear picture of its performance.

The chart shows the growth of the ETF, comparing it to the S&P 500 index or another benchmark, giving investors a comprehensive view of its performance.

Here's a breakdown of the ETF's performance over the years:

The ETF's performance has been impressive, with a 10-year annualized return of 20.70%, outperforming the S&P 500 benchmark with an annualized return of 11.26%.

The operating fees of the Fidelity MSCI Information Technology Index ETF (FTEC) are a crucial aspect to consider when investing.

FTEC has an expense ratio of 0.08%, which is considered low compared to other funds. This low expense ratio can help you save money in the long run.

Here's a breakdown of the operating fees of FTEC:

Note that the 12b-1 fee and administrative fee are both N/A, indicating that they are either not applicable or not disclosed. The management fee is also relatively low, at 0.08% of the fund's assets under management.

The Fidelity MSCI Information Technology Index ETF has a dividend yield of 0.50% over the last twelve months, with an annual payout of $0.91 per share.

The dividend payout has been relatively consistent over the years, with the exception of 2023 when it reached $1.11 per share.

Here's a breakdown of the dividend payout for each year:

The dividend payout is distributed quarterly, and the yield has been relatively stable over the years, ranging from 0.46% to 1.27%.

The Fidelity MSCI Information Technology Index ETF has a current volatility of 6.58%, which is the average percentage change in its value over the past month.

This means that the ETF's value has fluctuated by 6.58% on average, whether up or down, over the past month.

The chart showing the rolling one-month volatility illustrates this volatility.

The current Fidelity MSCI Information Technology Index ETF volatility is 6.58%, representing the average percentage change in the investment's value, either up or down over the past month.

This level of volatility can be a concern for investors who are risk-averse, as it may indicate a higher level of risk associated with the investment.

The chart below shows the rolling one-month volatility, allowing investors to visualize the fluctuations in the investment's value over time.

Investors can use this information to adjust their investment strategy and make more informed decisions about their portfolio.

The rolling one-month volatility can also be used to compare the Fidelity MSCI Information Technology Index ETF to other investments, such as the S&P 500 index, which may have a different level of volatility.

The grades of the Fidelity MSCI Information Tech ETF are a key indicator of its performance. Over the past year, the ETF has returned 29.5%, earning a grade of B.

The ETF's performance has been consistently strong, with returns of 11.8% over the past three years and 21.6% per year over the past five years. This has earned the ETF a grade of A in these timeframes.

Here's a breakdown of the ETF's grades over different time periods:

The ETF's grades vary depending on the time period, but overall, it has performed well.

The worst drawdowns of the Fidelity MSCI Information Technology Index ETF are a stark reminder of the risks involved in investing. A maximum drawdown of 34.95% occurred on Oct 14, 2022, after a recovery took 276 trading sessions.

This drawdown was the largest reduction in portfolio value due to a series of losing trades, and it's essential to understand the impact of such events on your investments. The ETF's current drawdown is 5.21%, a significant decrease from its peak.

One of the most significant drawdowns occurred between Dec 28, 2021, and Oct 14, 2022, with a total of 478 trading sessions. The ETF's value dropped by 34.95% during this period, with a recovery time of 276 trading sessions.

Here are the worst drawdowns of the Fidelity MSCI Information Technology Index ETF:

Understanding these worst drawdowns can help you prepare for potential losses and make more informed investment decisions.

The Fidelity MSCI Information Technology Index ETF has a solid foundation. It was launched on October 24, 2013.

The fund's legal name is Fidelity MSCI Information Technology Index ETF, and it's part of the Fidelity Group of Funds. This tells us that the fund is backed by a reputable company with a long history of managing investments.

The fund's shares outstanding number is 52,950,000, which is a significant amount of shares. This indicates that the fund is a large and established investment vehicle.

Here are the key details about the fund's shares:

The fund is managed by Jennifer Hsui, who has been at the helm since 2013.