ETF Research Center

The Fidelity Dividend ETF for Rising Rates tracks an index of large- and midcap companies in developed nations that exhibit strong dividend characteristics and have a positive correlation to increasing 10-year U.S. Treasury yields.

FUND BASICS
Category	US Equities
Fund Sponsor	Fidelity
Website	screener.fidelity.com
Inception date	Sep 12, 2016
Assets (mns)	$396
Currency	USD
Expense ratio	29 bp
Distributions	Quarterly

FUND STRUCTURE
Regulation	Open-Ended Fund
Custodian
Weighting	Tiered
Index replication
Uses derivatives	No
Options available	No

SECTOR BREAKDOWN

CONSTITUENT BREAKDOWN
No. of constituents	132
Wgt avg mkt cap (mns)	$287,150
Large cap (>$10bn)	88.2%
Mid cap ($2-10bn)	11.6%
Small cap (<$2bn)	0.2%
Developed mkts	100.0%
Emerging mkts	0.0%

TOP TEN HOLDINGS
Total	27.8 %
APPLE INC	6.1 %
MICROSOFT CORP	5.9 %
JOHNSON & JOHNSON	2.5 %
JPMORGAN CHASE & CO	2.5 %
INTEL CORP	1.9 %
BANK OF AMERICA CORP	1.9 %
MERCK & CO. INC.	1.9 %
BRISTOL-MYERS SQUIBB CO	1.8 %
AMGEN INC	1.7 %
ABBVIE INC	1.7 %

TOP COUNTRY EXPOSURE
	UNITED STATES	92.9 %
	BRITAIN	3.1 %
	IRELAND	1.7 %
	DENMARK	0.5 %
	BERMUDA	0.3 %
	NETHERLANDS	0.3 %
	HONG KONG	0.2 %
	AUSTRALIA	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.
-1.4%	17.3%	--	--	12.9%

Market Correlations
versus...	Beta	R-squared
S&P500	0.94	95%
MSCI EAFE	0.87	66%
MSCI Emg. Mkts.	0.59	52%

Technical Indicators
Recent close	$36.29
30d moving avg.	$35.69
Annualized volatility	11.8%
Short interest (ETF)	0.1%
Relative strength (RSI)	58

Liquidity measures
Avg. volume (thou.)	44
Turnover	0.4%
Bid/Ask (% of price)	0.29%
ADV underlying (mns)	$57,339

Distributions

FINDING ALTERNATIVE FUNDS

Below is a list of 20 potential alternatives to the Fidelity Dividend for Rising Rates ETF based on the alternatives' overlap in portfolio holdings with FDRR. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker:

FDRR

Expense:

29 bp

ALTAR Score™:

7.3%

ALTERNATIVE ETFs BASED ON OVERLAP WITH FDRR
Ticker	Fund Name	Overlap¹ vs FDRR (%)	Expense ratio (bp)	Savings vs FDRR (bp)	ALTAR Score™ (%)	ALTAR vs FDRR (%)
FDVV	Fidelity Core Dividend	61.9	29	0	6.9	-0.4
DLN	WisdomTree Large Cap Dividend	56.5	28	1	6.4	-0.8
OVOL	Invesco Russell 1000 Low Volatility Factor ETF	54.9	19	10	6.6	-0.7
OYLD	Invesco Russell 1000 Yield Factor ETF	53.9	19	10	7.4	+0.1
OEF	iShares S&P 100	52.9	20	9	5.2	-2.0
DIVB	iShares U.S. Dividend & Buyback	52.4	25	4	6.5	-0.7
DTD	WisdomTree Total Dividend	50.7	28	1	6.5	-0.7
IWL	iShares Russell Top 200	50.5	15	14	5.3	-1.9
DGRO	iShares Core Dividend Growth	48.0	8	21	6.3	-1.0
MGC	Vanguard Mega Cap 300 ETF	47.9	7	22	5.5	-1.8
VYM	Vanguard High Dividend Yield ETF	47.7	6	23	7.1	-0.2
QDYN	FlexShares Quality Dividend Dynamic	47.6	37	-8	7.0	-0.3
USDY	Pacific Global US Equity Income	46.8	29	0	7.4	+0.2
SNPE	Xtrackers S&P 500 ESG	46.2	11	18	5.5	-1.8
SCHV	Schwab U.S. Large-Cap Value	45.9	4	25	6.9	-0.4
XLG	Invesco S&P Top 50	45.9	20	9	4.9	-2.4
OUSA	O'Shares FTSE U.S. Quality Dividend	45.7	48	-19	5.9	-1.4
EPS	WisdomTree Earnings 500	45.4	8	21	6.7	-0.6
SPXN	ProShares S&P 500 Ex-Financials	45.0	27	2	5.5	-1.8
NACP	Impact Shares NAACP Minority Empowerment	44.9	75	-46	4.8	-2.4

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%.

Content on this tab for subscribers only**

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

Content on this tab for subscribers only

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 Dividend for Rising Rates
Relative to:	S&P500	MSCI EAFE	MSCI Emg. Mkts.	Other ETF:

OVERWEIGHT

Above average appreciation potential. A rating of OVERWEIGHT is assigned to ETFs with ALTAR Scores in the 4th quintile (ranking higher than 60%-80%) of their category. Typically, funds in this category consist of stocks trading at attractive valuations and/or having above-average fundamentals.

ALTAR Score™

Calculation of ALTAR Score™
Avg. Return on Equity	18.2	%
Divided by: Fwd. P/BV	2.4	x
Less: Expense ratio	29	bp
Equals: ALTAR Score	7.3	%

More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS

COMPOSITE RATING	1.55	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.