Fidelity has expanded its sustainable research enhanced range with the launch of an emerging market ETF.
The Fidelity Sustainable Research Enhanced Emerging Markets Equity UCITS ETF (FEMR) is listed on London Stock Exchange and Deutsche Boerse with a total expense ratio of 0.50%
Actively managed, FEMR uses the MSCI Emerging Markets index as an initial universe and selects stocks based on quantitative company data in combination with macroeconomic indicators.
Companies that do not meet the ESG criteria defined by Fidelity are excluded.
The remaining companies are then weighted in favour of those that the firm identifies as having positive fundamental outlook and strong sustainable credentials using Fidelity’s Sustainable Ratings.
Fidelity debuted the range in June with the launch of US, Europe and global ETFs using similar strategies for their respective regions.
Product Panel: Fidelity’s active ESG ETFs
Nick King (pictured), head of ETFs at Fidelity International, commented: “Our new sustainable ETF range offers investors a cost-effective and differentiated product aligned to their growing ESG requirements.
"We have seen a good level of interest since the launch in June, and I am pleased we can now offer clients an emerging market building block to implement their regional views.”
Fidelity said it hopes to add further ETFs to the range in the coming months.