Fidelity Enhanced Emerging Markets ETF (FEMR)

Overview

The fund operates as a multi-asset investment option, specifically focusing on diversification across various asset classes through investment in Class I shares of a broad range of other funds. Its strategic allocation lies between equity securities, fixed-income securities, and money market securities, aimed at optimizing the balance between risk and return for its investors. By adjusting the percentage of assets allocated to each type of underlying fund, it seeks to maintain flexibility and adapt to changing market conditions while pursuing its investment objective.

Products and Services

• Equity Securities Investment

  Approximately 20% to 60% of the fund's assets are allocated to underlying funds that primarily invest in equity securities. This segment is designed for growth through exposure to stocks and other equity instruments. The exact allocation within this range allows the fund to manage risk and return based on market conditions and investment outlook.

• Fixed-Income Securities Investment

  Allocating 40% to 80% of its resources to underlying funds focused on fixed-income securities, the fund seeks income and stability. This portion includes investments in bonds and other debt instruments, offering a balance that cushions against the volatility of equity markets. The emphasis on fixed-income securities underscores the fund's conservative investment stance, aiming for steady returns.

• Money Market Securities Investment

  A smaller allocation of 0% to 20% is made to underlying funds that invest in money market securities. This segment provides liquidity and safety, with investments typically in cash equivalents, like short-term government bonds or certificates of deposit. Although it represents the smallest allocation, it plays a crucial role in risk management and capital preservation within the fund’s strategy.