NVIDIA

Apple

Microsoft

Broadcom

Targa Resources

Exxon Mobil

Procter & Gamble

Philip Morris

Altria

Caterpillar

Fidelity High Dividend ETF

FDVV tracks an index of large- and mid-cap companies that exhibit positive dividend characteristics, with overweights to sectors that exhibit higher dividend yield.

Fidelity High Dividend ETF is part of Fidelity's smart beta approach to portfolio construction, targeting specific security characteristics. The ETF combines active and passive management to try to mitigate risk, enhance returns, and help express an investment view. But my concern is that this is a pseudo-growth ETF that investors will mistake for dividend focused fund. It can potentially create confusion.

FDVV: Fidelity Smart Beta ETF's Smart Sales Pitch Is One Investors Should Be Skeptical Of

Markets seem to have fallen in love with the ETF wrapper. This year, ETF launches are on track to set yet another record in 2023, having last done so in 2021.

Understanding Underlying Liquidity in ETFs

Dividend-focused ETFs may underperform compared to the S&P, but they offer a reliable source of income for investors. Fidelity's High Dividend ETF primarily invests in US and international equities with high dividend yields and solid dividend growth. FDVV has a sector limit of 35% and a notable allocation to the tech sector, making it an appealing choice for potential growth.

FDVV: Tech Focused Dividend ETF

Vanguard High Dividend Yield ETF

Looking to potentially add some current income to your portfolio? With the U.S. economy facing growing headwinds, current income via dividends specifically can provide meaningful ballast to an overall investment portfolio.

Find Opportunities for Your Portfolio With High Dividend ETF FDVV

Dividend-paying stocks perform well in high inflation environments, with the Fidelity High Dividend ETF outperforming other high div ETFs. FDVV focuses on dividend yield and excludes stocks with high payout ratios, prioritizing companies with potential for dividend growth. FDVV's sector allocation strategy results in a higher beta and contributes to its outperformance compared to other high div ETFs.

FDVV: A Best Performing High Div ETF Thanks To Its Higher Beta And Sector Selection

Fidelity High Dividend ETF is a solid investment for volatile market conditions due to its well-diversified portfolio and ability to perform well in both bull and bear markets. FDVV offers an above-average dividend yield of around 3.8% and has a strong track record of dividend increases, making it an attractive long-term investment. The ETF's exposure to large-cap growth and value stocks, as well as its high dividend grade and low-risk rating, contribute to its potential for sustainable returns.

FDVV: A Perfect ETF For Both Bull And Bear Markets

FDVV selects approximately 100 securities based on a proprietary dividend yield, dividend growth, and dividend payout ratio screen. Fees are 0.29%, and the ETF manages $1.5 billion in assets. February's reconstitution improved the fund's quality but decreased its yield. Instead of FDVV's 3.81% trailing dividend yield, shareholders can expect 3.25% going forward. The lower yield may be disappointing but I view it positively from a total returns perspective. Utilities stocks were removed entirely, and the ETF is a top performer in 2023.

FDVV: Shrinking 3.25% Dividend Yield, But An Optimistic Outlook

WisdomTree Emerging Markets High Dividend Fund

WisdomTree Global High Dividend Fund

iShares Core Dividend Growth ETF

WisdomTree US Quality Dividend Growth Fund

WisdomTree U.S. High Dividend Fund

Sound Equity Income ETF

WisdomTree U.S. Total Dividend Fund

WisdomTree International High Dividend Fund

VanEck Morningstar High Dividend ETF

iShares Select Dividend ETF

AAM S&P Emerging Markets High Dividend Value ETF 

First Trust Morningstar Dividend Leaders Index Fund

Fidelity Dividend ETF for Rising Rates

First Trust Value Line Dividend Index Fund

Xtrackers MSCI All World ex US High Dividend Yield Equity ETF

Xt EAFE Div Yld Shs

iShares Core High Dividend ETF

Voya Asia Pacific High Dividend Equity Income Fund

Voya Emerging Markets High Income Dividend Equity Fund

Invesco KBW High Dividend Yield Financial ETF

Legg Mason Low Volatility High Dividend ETF

Legg Mason International Low Volatility High Dividend ETF

FlexShares Quality Dividend Defensive Index Fund

Investing in dividend-paying stocks has proved to be a helpful strategy, outperforming global markets over the long term. Dividend income strategies play an important role for multi-asset income portfolios. But they can also run the risk of being too narrowly focused, which can limit both income potential and upside participation when equity markets rise.

Dividend Investing: Broader Is Better For Multi-Asset Strategies

Invesco S&P Intl Developed High Dividend Low Volatility ETF

ETRACS 2xMonthly Pay Leveraged US Small Cap High Dividend ETN

AAM S&P 500 High Dividend Value ETF

Invesco S&P 500 High Dividend Low Volatility ETF

SPDR Portfolio S&P 500 High Dividend ETF

Timothy Plan High Dividend Stock ETF

Vanguard International High Dividend Yield ETF

WBI Power Factor High Dividend ETF

Invesco S&P SmallCap High Dividend Low Volatility ETF

Stocks paying higher dividends showed their mettle during a challenging 2022: the S&P 500 High Dividend Index declined only a modest –1.1% even as the S&P 500 tumbled –18.1%. In our view, much of the volatility in high-dividend strategies, broadly speaking, comes down to portfolio design choices, which can create very different characteristics.

Taming Biases In High-Dividend Equity Strategies

FDVV is a dividend fund by Fidelity, well-diversified across sectors and holdings. Valuation ratios look attractive, and quality is a bit superior to the benchmark.

FDVV: A Well-Diversified Dividend ETF

Inflation and recession fears are making investors seek safe havens such as high-quality dividend-paying stocks. Fidelity High Dividend ETF gives exposure to numerous high-quality dividend-paying stocks.

FDVV: Invest In Dividend Safety In A High-Interest Rate Environment

FDVV is a high-dividend ETF with a 3.44% trailing dividend yield. Its expense ratio is 0.29% and has $1.34 billion in assets under management. Fidelity's model is proprietary, but it appears to take a barbell approach by combining low-risk defensive stocks with high-growth mega caps.

FDVV: A Barbell Dividend ETF Yielding 3.44% Worth Waiting For

The Fidelity "High Dividend" ETF has a TTM distribution yield of 3.96%. I wouldn't exactly call that "high yield" considering the current two-year Treasury is yielding ~4.5%. However, that is not necessarily a reason not to like the FDVV fund, which has out-performed the S&P 500 by almost 7% this year.

Fidelity High Dividend ETF: Energy Centric Income

Fidelity Blue Chip Growth ETF

Fidelity Stocks for Inflation ETF

Fidelity MSCI Energy Index ETF

Fidelity NASDAQ Composite Index

In turbulent times, investors would be well served considering the best Fidelity funds to buy now. Primarily, Fidelity represents an organization with a well-earned reputation for viability and stability.

10 Best Fidelity Funds to Buy Now

The Fidelity High Dividend ETF is certainly differentiated from most other high-dividend ETFs I have recently evaluated. I say that because the FDVV dividend ETF appears to be more thematic in nature: it is significantly overweight the energy and REIT sectors, yet the #1 holding is Apple.

Fidelity High Dividend ETF: Overweight Energy And REITs

The Fidelity High Dividend ETF selects about 100 large-cap stocks screened for three factors: dividend yield, payout ratio, and dividend growth. Fees are 0.29%, and FDVV's trailing yield is 2.91%. I expect the yield to increase to 3.28% after February's Index reconstitution. This article will detail those changes, highlighted by a substantial increase to defensive Utilities stocks.

FDVV: 3.28% Expected Dividend Yield, Practical Index Changes, And Still A Buy

Dividend investing has been in vogue amid bouts of volatility and uncertainty, pushing dividend ETFs to new highs.

Dividend ETFs Scaling New Highs

FDVV is a dividend ETF with 40% of asset value in two sectors: technology and financials.

FDVV: Good Value, Average Quality And Performance

Aptus Collared Income Opportunity ETF

VictoryShares US Large Cap High Div Volatility Wtd ETF

VictoryShares US Small Cap High Div Volatility Wtd ETF

First Trust Dorsey Wright Momentum & Dividend ETF

WisdomTree U.S. SmallCap Dividend Fund

Siren DIVCON Dividend Defender ETF

WisdomTree US Smallcap Quality Dividend Growth Fund

Global X SuperDividend US ETF

iShares U.S. Dividend & Buyback ETF

Amplify CWP Dividend & Option Income ETF

Invesco Dow Jones Industrial Average Dividend ETF

WisdomTree U.S. LargeCap Dividend Fund

WisdomTree U.S. MidCap Dividend Fund

WisdomTree Dividend ex-Financials Fund

First Trust BuyWrite Income

First Trust Hedged BuyWrite Income ETF

Each month, I give a broad overview of dividend and income-focused ETFs, selecting them from my growing database of about 750 funds. I've added a seventh category to this monthly series: risk management ETFs, bringing the total number of funds analyzed to 88.

December Dividend And Income ETF Report: The Ultimate Investors Guide

FDVV may be too complex, but it's difficult to overlook how attractive the ETF is at the moment. High-yield investors will be satisfied with its 3% payout, while dividend growth investors like how FDVV's constituents have grown dividends by 10% per year in the last five years.

FDVV Is A Buy, Now Let Me Tell You Why

FDVV is a high-yielding ETF with a poor track record and a very complex process for selecting stocks. An analysis of its current constituents reveals it is likely to align itself with the Russell 1000 if the bull market persists, but is very exposed if a correction occurs.

FDVV: An Attractive 3% Yield, But Just Too Complex For My Liking

FDVV is a passively managed fund that tracks the Fidelity High Dividend Index. The benchmark is rebalanced only once a year, likely to minimize the portfolio turnover.

FDVV: High-Yield Fund With Peculiar Stock Hierarchy

FDVV strategy and performance. Comparing FDVV with simple strategies.

Fidelity High Dividend ETF Review

Fidelity High Dividend ETF's High Exposure To Cyclical Sectors Will Drag Its Performance In The Current Recessionary Environment

Fidelity Low Volatility Factor ETF

Fidelity Quality Factor ETF

Fidelity Small-Mid Factor ETF

Fidelity MSCI Consumer Staples ETF

Fidelity MSCI Information Technology Index ETF

Fidelity has a growing ETF footprint and some of the following cost-efficient products can get investors into the firm's ETF stable.

News for Fidelity High Dividend ETF ETF (FDVV)