Fidelity High Dividend Price, Forecast, Insider, Ratings, Fundamentals & Signals

The Fidelity High Dividend ETF, on the surface, focuses on large and mid-cap companies with attractive and growing dividends. It assesses investments based on dividend yield, payout ratio, and dividend growth that should provide a combination of enticing yield and dividend predictability. Yet, assessing the ETF more thoroughly and looking at the historical data it is clear that FDVV fails to deliver both on the above average yield and dividend stability aspect.

FDVV is a dividend ETF focusing on U.S. equities. It offers investors a 3.3% yield, with reasonably good performance and sector exposure. While FDVV is a solid choice, it is not particularly unique nor does it stand out compared to its peers.

The Fidelity High Dividend ETF (FDVV) was launched on 09/12/2016, and is a smart beta exchange traded fund designed to offer broad exposure to the Style Box - All Cap Value category of the market.

Dividend stocks, including REITs and utilities, have underperformed in recent years. Rising interest rates and increasing costs of capital have contributed to the underperformance. The beginnings of a strong dividend stock rally may have just begun on the back of some very good news.

DGI investors buy companies with long histories of increasing dividend payments. The strategy works because it shifts investors' attention to regular income payments, meaning they'll stay invested for longer. ETFs can supercharge the DGI strategy through rebalancings, regularly allocating more to higher-yielding stocks. In addition, investors can take advantage of an ETF's unique structure to avoid tax consequences. However, ETF screeners, as currently designed, are inadequate for DGI investors. They provide little to no information about an ETF's dividend safety, growth, or quality.

FDL: A Hard-To-Find, Respectable High Dividend ETF

FDVV: Expected Yield Falls To 3%, But This Dividend ETF Nicely Balances Quality And Growth

Designed to provide broad exposure to the Style Box - All Cap Value category of the market, the Fidelity High Dividend ETF (FDVV) is a smart beta exchange traded fund launched on 09/12/2016.

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.

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.