FQAL: A Quality ETF Underperforming The Market
FQAL offers exposure to high-quality companies with strong fundamentals but has consistently underperformed benchmarks and similar quality ETF. FQAL's stock selection methodology boosts profitability measures and growth metrics, but valuation multiples are higher compared to peer group of fundamental ETFs. While FQAL's risk-adjusted returns are in line with the benchmark, the fund has delivered sub-par performance over time, lagging both peer groups and the broader market.
Is Fidelity Quality Factor ETF (FQAL) a Strong ETF Right Now?
Designed to provide broad exposure to the Style Box - Large Cap Blend category of the market, the Fidelity Quality Factor ETF (FQAL) is a smart beta exchange traded fund launched on 09/12/2016.
Should Fidelity Quality Factor ETF (FQAL) Be on Your Investing Radar?
The Fidelity Quality Factor ETF (FQAL) was launched on 09/12/2016, and is a passively managed exchange traded fund designed to offer broad exposure to the Large Cap Blend segment of the US equity market.
FQAL: Exemplary Quality, Some Growth Exposure, Yet Performance Is Unconvincing
FQAL is a passively managed vehicle with a strategy revolving around highly profitable U.S. bellwethers. My analysis illustrated that its portfolio has an edge over IVV when it comes to ROA, net income margin, FCF margin, and other quality parameters. Its value and growth characteristics are mostly on par with those of IVV.
