Fidelity International expands Research Enhanced ETF range with two active bond strategies

Fidelity International (“Fidelity”), a global asset manager and retirement savings business, today announces the expansion of its Research Enhanced ETF range with two new investment grade corporate bond ETFs: the Fidelity USD Corporate Bond Research Enhanced UCITS ETF (FBIU)and the Fidelity EUR Corporate Bond Research Enhanced UCITS ETF (FBIE) (the “ETFs”).

Both ETFs list on Xetra and Borsa Italiana today and the London Stock Exchange tomorrow (29 January), with further European listings to follow. The ongoing charges figure (OCF) will be discounted at 0.03% for the first six months of launch, rising to 0.19% thereafter for the non-hedged share classes (0.24% for EUR hedged). 

Fidelity’s Research Enhanced ETF range spans equity and fixed income strategies and includes both Core and Paris Aligned Benchmark (PAB) approaches.

The new ETFs sit within Fidelity’s Core Research Enhanced range, offering investors a distinctive way to access active, benchmark-aware strategies through a trusted and established research platform. The strategies are designed to achieve income and capital growth through disciplined security selection, rather than relying on macro views or duration positioning, allowing investors to enhance core allocations while maintaining familiar risk characteristics. 

The ETFs provide diversified exposure to the US and European investment grade corporate bond markets, aiming to preserve the regional, sector, rating and currency characteristics of their respective Bloomberg benchmarks (the Bloomberg US Corporate Investment Grade Index and the Bloomberg Euro Aggregate Corporate Index). They also promote environmental and social characteristics by targeting an ESG score higher than that of the benchmark.

The launch of these SFDR Article 8 ETFs strengthens Fidelity’s fixed income ETF offering, which has $4.0bn assets under management*, and broadens client choice across core allocations.

Neil Davies, Head of ETF Product & Capital Markets for Europe and Asia Pacific at Fidelity International, commented: “Ongoing geopolitical risks, uneven global growth and a late-cycle backdrop are increasing demand for active, resilient, benchmark-aware solutions that can navigate uncertainty without taking outsized risk. Our new ETFs reflect how investors are increasingly accessing fixed income today – using active ETFs for flexibility, transparency and cost-efficient implementation, while increasing allocations to fixed income for income, diversification and portfolio stability.”

Fidelity International is currently the second-largest provider of active ETFs in Europe**, with $10.0bn in assets under management. Following these launches, Fidelity offers 25 ETFs across active equity, fixed income and differentiated index strategies, with total ETF assets of $13.8bn*.

Each ETF will be supported by $20m seed capital from authorised market participant Susquehanna.