Toronto-based Fidelity Investments Canada ULC plans to launch a suite of six dividend index ETFs, according to preliminary documents recently filed with securities regulators.
The six funds are: Fidelity Canadian High Dividend Index ETF (FCCD), Fidelity U.S. Dividend for Rising Rates Index ETF (FCRR), Fidelity U.S. Dividend for Rising Rates Currency Neutral Index ETF (FCRH), Fidelity U.S. High Dividend Index ETF (FCUD), Fidelity U.S. High Dividend Currency Neutral Index ETF (FCUH) and Fidelity International High Dividend Index ETF (FCID).
The ETFs seek to replicate the performance of a suite of Fidelity Canada indices. They invest mainly in dividend-paying equity securities of Canadian, U.S. and foreign companies.
Management fees for the funds range from 0.35% to 0.45%.
Fidelity Investments Canada is the manager and portfolio manager of the new ETFs.
It has retained Boston-based Geode Capital Management, LLC to act as subadvisor to the ETFs. Fidelity has also retained Boston-based State Street Global Advisors, Ltd. (SSgA) to act as subadvisor to FCRH and FCUH. SSgA is responsible solely for managing the currency hedging activities of these ETFs.