Fidelity US Quality Income UCITS ETF ACC-GBP (hedged)

Issuer: Fidelity International

Asset Class: Equity

TER: 30bps

Trading Currency: GBP

Pays Income: False

Listing Date: 22 Nov 2017

Ticker: FUSP

ISIN: IE00BYV03C98

This investment product provides exposure to high-quality U.S. companies that are expected to pay attractive and sustainable dividends. The strategy is built on a systematic, rules-based approach that aims to track a custom-built index. The underlying portfolio is constructed by screening the U.S. equity market for companies demonstrating strong and stable financial characteristics. These quality metrics typically include robust balance sheets, consistent profitability, and efficient cash flow generation, identifying businesses that are potentially more resilient across different economic cycles.

Alongside the quality filter, the methodology specifically targets companies with a high dividend yield, focusing on those with a strong track record of shareholder distributions. The dual focus on both quality and income seeks to deliver a combination of long-term capital appreciation and a reliable income stream. For this accumulating share class, any dividends received from the underlying holdings are automatically reinvested back into the fund to compound growth. The portfolio primarily consists of well-established, large-capitalization U.S. stocks that exhibit both financial strength and a commitment to returning capital to shareholders.

This particular share class is also currency-hedged, a feature designed to minimize the impact of exchange rate fluctuations between the base currency of the assets and the investor's home currency. This makes it particularly suitable for investors who wish to gain exposure to the U.S. quality income equity market while mitigating the foreign exchange risk associated with holding U.S. dollar-denominated assets.