Are Active ETFs On the Up as the Value Freeze Finally Thaws? April 23, 2021
Until the last several months of 2020, value stocks had languished. The situation is finally improving, bringing with it better things for certain actively managed ETFs like the
FBCV will normally invest primarily in equity securities of companies that the Adviser believes are undervalued in the marketplace in relation to factors such as assets, sales, earnings, growth potential, or cash flow, or in relation to securities of other companies in the same industry (stocks of these companies are often called “value” stocks). The Adviser normally invests at least 80% of the fund’s assets in blue chip companies (companies that, in FMR’s view, are well-known, well-established, and well-capitalized), which generally have large or medium market capitalizations.
March 12, 2021
With value stocks roaring higher, investors may want to consider an active approach to the beloved investment factor with some new actively managed ETFs, including the
FBCV is one of the initial trios of active non-transparent ETFs (ANTs) Fidelity launched in 2020, bringing the cache of one of the largest mutual and index fund issuers to this nifty new fund structure.
Value stocks usually trade at lower prices relative to fundamental measures of value, like earnings and the book value of assets. On the other hand, growth-oriented stocks tend to run at higher valuations since investors expect rapid growth in those company measures. Many investors are growing wary of high valuations in growth stocks.
December 24, 2020
After nearly a decade of back and forth with the Securities and Exchange Commission, active exchange-traded funds arrived with the ability to shield their portfolio holdings.
About 15 funds debuted this year from mutual fund families T. Rowe Price, Fidelity, and American Century, and from ETF developers Blue Tractor and Precidian. Some of the new ETFs replicate popular mutual funds. New ETFs include T. Rowe’s Blue Chip Growth ETF (TCHP), Dividend Growth ETF (TDVG), Equity Income ETF (TEQI) and Growth Stock ETF (TGRW), Fidelity’s Blue Chip Growth ETF (FBCV), Fidelity Blue Chip Value ETF (FBCG) and American Century Focused Dynamic Growth ETF (FDG).