Fidelity Investments Launching Crypto, Metaverse ETFs

Fidelity Investments has plans in the works to launch exchange-traded funds (ETFs) to enable investors to gain exposure to the broader world of digital assets, according to a press release on Tuesday (April 12).

The world’s fourth-largest asset management company is rolling out a total of seven new funds sometime around April 21 for individual investors and financial advisers to purchase commission-free through Fidelity’s online brokerage platforms.

Available will be two thematic ETFs — Fidelity Crypto Industry and Digital Payments ETF (FDIG) and Fidelity Metaverse ETF (FMET) — and five new fixed income sustainable funds and ETFs — Fidelity Sustainable Core Plus Bond Fund (FIAEX), Fidelity Sustainable Core Plus Bond ETF (FSBD), Fidelity Sustainable Low Duration Bond Fund (FAPGX), Fidelity Sustainable Low Duration Bond ETF (FSLD), and Fidelity Sustainable Intermediate Municipal Income Fund (FSIKX).

Read more: As New Crypto ETFs Continue to Spread Across Europe, the SEC Stands Fast in Opposition

“Leveraging Fidelity’s decades of investment expertise, we are focused on growing our broad product lineup with innovative strategies that offer choice, value and new opportunities to investors,” said Greg Friedman, Fidelity’s head of ETF management and strategy.

“We continue to see demand, particularly from young investors, for access to the rapidly growing industries in the digital ecosystem, and these two thematic ETFs offer investors exposure in a familiar investment vehicle,” Friedman said.

The two thematic ETFs expand Fidelity’s lineup into the crypto and metaverse industries, according to the release. Fidelity Crypto Industry and Digital Payments ETF doesn’t offer direct exposure to cryptocurrency. Instead, it offers the chance for people to back companies that support the broader digital assets ecosystem, including those involved in crypto mining and trading, blockchain technology, and digital payments processing.

Fidelity Metaverse ETF gives investors the opportunity to invest in businesses involved in enabling the metaverse — computing hardware and components, digital infrastructure, design and engineering software, gaming technology and software, web development and more.

The five new sustainable fixed income mutual funds and ETFs will use Fidelity’s proprietary ESG ratings frameworks to weigh an issuer’s sustainable business practices. The mutual funds will offer both retail and adviser share classes.

“Fidelity continues to grow its sustainable investing lineup, with a range of equity, fixed income, and asset allocation strategies, as investors continue to seek opportunities to invest alongside their values and influence positive change in the world,” said Pam Holding, co-head of equity and head of sustainable investing at Fidelity Investments.

“With the addition of these new sustainable fixed income strategies, our clients now have access to building blocks across multiple asset classes to help address their investment goals and priorities,” Holding said.