The Fidelity Low Duration Bond Factor ETF (FLDR) has something to celebrate. The ETF was bumped up to Gold rated by Morningstar recently.
FLDR is a low duration bond fund: It invests in U.S. investment-grade floating rate notes and Treasury notes with a duration of 1 year or less. The fund has a low volatility profile: Its short duration and investment grade composition minimize interest rate and credit risk. The ETF's dividend will shrink: As interest rates move lower, the fund's yield will decrease.
The low duration ETF (FLDR) hit a 52-week high lately.
![]() FLDR 1 weeks ago | Other | $0.2 Per Share |
![]() FLDR 1 month ago Paid | Monthly | $0.2 Per Share |
![]() FLDR 2 months ago Paid | Monthly | $0.2 Per Share |
![]() FLDR 3 months ago Paid | Monthly | $0.18 Per Share |
![]() FLDR 4 months ago Paid | Monthly | $0.2 Per Share |
![]() FLDR 1 weeks ago | Other | $0.2 Per Share |
![]() FLDR 1 month ago Paid | Monthly | $0.2 Per Share |
![]() FLDR 2 months ago Paid | Monthly | $0.2 Per Share |
![]() FLDR 3 months ago Paid | Monthly | $0.18 Per Share |
![]() FLDR 4 months ago Paid | Monthly | $0.2 Per Share |
BATS Exchange | US Country |
This entity operates in the financial sector, focusing on investment solutions that primarily target U.S. investment-grade floating rate notes and U.S. Treasury notes. The core strategy of the fund is to invest at least 80% of its assets in securities that are included in a specifically designed index. The index aims to strike a balance between interest rate risk and credit risk, with the intention of optimizing returns and improving risk measures compared to traditional U.S. investment grade floating rate note indices. The investment approach is characterized by a focus on securities that not only offer investment grade quality but also the potential for more stable returns influenced by floating interest rates.
These are the primary investment vehicles of the fund, consisting of debt instruments that pay interest rates adjusting periodically based on market conditions. This product is aimed at investors seeking exposure to floating rate securities to potentially mitigate the impact of rising interest rates, while still maintaining a focus on investment grade credit quality.
A crucial component of the fund's investment strategy involves U.S. Treasury notes. These government-backed securities offer a risk-averse investment option, providing a reliable stream of income through fixed-interest payments. The inclusion of U.S. Treasury notes is intended to offer a stabilizing element to the fund's portfolio, balancing out the credit risks associated with floating rate notes.