ETF Research Center

FCOM seeks to provide investment returns that correspond, before fees and expenses, generally to the performance of the MSCI USA IMI Communication Services 25/50 Index.

FUND BASICS
Category	US Equities
Fund Sponsor	FMR LLC
Website	www.fidelity.com
Inception date	Oct 24, 2013
Assets (mns)	$503
Currency	USD
Expense ratio	8 bp
Distributions	Quarterly

FUND STRUCTURE
Regulation	Open-Ended Fund
Custodian	State Street Bank & Trust Co
Weighting	Market Cap
Index replication	Full
Uses derivatives	No
Options available	No

SECTOR BREAKDOWN

CONSTITUENT BREAKDOWN
No. of constituents	106
Wgt avg mkt cap (mns)	$389,371
Large cap (>$10bn)	84.8%
Mid cap ($2-10bn)	11.9%
Small cap (<$2bn)	3.3%
Developed mkts	100.0%
Emerging mkts	0.0%

TOP TEN HOLDINGS
Total	67.9 %
FACEBOOK	14.6 %
ALPHABET INC. CLASS C	12.0 %
ALPHABET INC. CLASS A	11.4 %
AT&T INC	7.2 %
NETFLIX INC	5.4 %
COMCAST CORP-CL A	4.2 %
VERIZON COMMUNICATIONS INC	4.1 %
WALT DISNEY CO/THE	3.9 %
CHARTER COMMUNICATIONS, INC. CLASS	3.1 %
T-MOBILE US, INC.	1.9 %

TOP COUNTRY EXPOSURE
	UNITED STATES	98.9 %
	BRITAIN	0.7 %
	CANADA	0.1 %

HISTORICAL PERFORMANCE info

	Custom date range	Compare to
	thru

Standardized Annual Returns (thru January 31)
Year-to-date	1 year	5 years	10 years	Since Incep.
0.6%	15.9%	10.1%	--	8.9%

Market Correlations
versus...	Beta	R-squared
S&P500	0.77	52%
MSCI EAFE	0.72	38%
MSCI Emg. Mkts.	0.44	24%

Technical Indicators
Recent close	$36.35
30d moving avg.	$37.28
Annualized volatility	13.0%
Short interest (ETF)	0.1%
Short interest (Underlying)	4.7%
Relative strength (RSI)	56

Liquidity measures
Avg. volume (thou.)	174
Turnover	1.3%
Bid/Ask (% of price)	0.05%
ADV underlying (mns)	$20,024

Distributions

FINDING ALTERNATIVE FUNDS

Below is a list of 20 potential alternatives to the Fidelity MSCI Telecommunication Services Index ETF ETF based on the alternatives' overlap in portfolio holdings with FCOM. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker:

FCOM

Expense:

8 bp

ALTAR Score™:

5.1%

ALTERNATIVE ETFs BASED ON OVERLAP WITH FCOM
Ticker	Fund Name	Overlap¹ vs FCOM (%)	Expense ratio (bp)	Savings vs FCOM (bp)	ALTAR Score™ (%)	ALTAR vs FCOM (%)
VOX	Vanguard Telecommunication Services Index Fund	97.9	10	-2	5.1	-0.0
XLC	The Communication Services Select Sector SPDR Fund	76.2	13	-5	6.0	+0.9
IXP	iShares Global Telecom ETF	68.3	46	-38	6.1	+1.0
JHCS	John Hancock Multifactor Media & Communications ETF	64.0	40	-32	5.7	+0.6
EWCO	Invesco S&P 500 Equal Weight Communication Services ETF	48.0	40	-32	6.5	+1.4
IEME	iShares Evolved U.S. Media & Entertainment ETF	39.8	18	-10	6.3	+1.2
PNQI	Invesco NASDAQ Internet ETF	25.0	62	-54	2.5	-2.6
PBS	Invesco Dynamic Media ETF	24.1	63	-55	3.2	-1.9
FDN	First Trust Dow Jones Internet Index Fund	23.4	52	-44	3.1	-2.0
IYC	iShares U.S. Consumer Services ETF	22.2	42	-34	4.7	-0.4
QYLD	Global X NASDAQ 100 Covered Call ETF	21.2	60	-52	4.6	-0.5
TTTN	UP Fintech China-U.S. Internet Titans ETF	21.0	59	-51	3.8	-1.3
QQQ	Invesco QQQ Trust	20.2	20	-12	4.8	-0.3
NUSI	Nationwide Risk-Managed Income ETF	19.6	68	-60	4.5	-0.6
SOCL	Global X Social Media ETF	18.8	65	-57	3.0	-2.1
ENTR	Entrepreneur 30 Fund	18.7	49	-41	2.8	-2.3
TMFC	Motley Fool 100 Index ETF	18.1	50	-42	4.1	-1.0
IYZ	iShares U.S. Telecommunications ETF	18.1	42	-34	7.6	+2.5
XLG	Invesco S&P 500 Top 50 ETF	17.8	20	-12	5.2	+0.1
IGM	iShares North American Tech ETF	17.5	46	-38	4.4	-0.7

¹Overlap is the percentage of holdings by weight that are identical. For example, if Fund A has a 2% position in Apple, Inc. (AAPL) and Fund B has a 5% position, their overlapping position in AAPL is 2%.

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RESULTS & ESTIMATES

	2015	2016	2017	2018	2019	2020E	2021E
Sales per share	**	**	**	**	**	**	**
Earnings per share	**	**	**	**	**	**	**
Dividends per share	**	**	**	**	**	**	**
Book value per share	**	**	**	**	**	**	**

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

OTHER FUNDAMENTAL METRICS

Long term EPS growth est.	**%		Debt-to-equity	**x
Asset turnover	**%		Assets-to-equity	**x

Return on equity

Revision activity*

*Six months ago = 100

Net margins

Compound annual growth rates

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VALUATION METRICS

	2019	2020E	2021E
Price-to-sales	**	**	**
Price-to-earnings	**	**	**
Price-to-cash flow	**	**	**
Price-to-growth	**	**	**
Price-to-book value	**	**	**
Yield	**	**	**

Historical valuation trends

Forward multiple:	Fidelity MSCI Telecommunication Services Index ETF
Relative to:	S&P500	MSCI EAFE	MSCI Emg. Mkts.	Other ETF:

UNDERWEIGHT

Below average appreciation potential. A rating of UNDERWEIGHT is assigned to ETFs with ALTAR Scores in the 2nd quintile (ranking higher than only 20%-40%) of their category. Typically, funds in this category consist of stocks trading at relatively expensive valuations and/or having below-average fundamentals.

ALTAR Score™

Calculation of ALTAR Score™
Avg. Return on Equity	13.8	%
Divided by: Fwd. P/BV	2.7	x
Less: Expense ratio	8	bp
Equals: ALTAR Score	5.1	%

More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS

COMPOSITE RATING	1.38	CATEGORY AVERAGE	1.56

The composite rating is a weighted average of analysts' consensus recommendations for individual ETF constituents, based on the following scale: BUY = 1; OVERWEIGHT = 1.5, HOLD = 2; UNDERWEIGHT = 2.5; and SELL = 3. Readers are cautioned that because analyst ratings tend to be inflated, the composite score may be more useful as a relative measure of sentiment between funds rather than as a stand-alone recommendation.