Is Fidelity High Dividend ETF (FDVV) a Strong ETF Right Now?

Core Insights - The Fidelity High Dividend ETF (FDVV) is a smart beta ETF launched on September 12, 2016, providing broad exposure to the Style Box - All Cap Value category of the market [1] - The fund is managed by Fidelity and has accumulated over $6.09 billion in assets, making it one of the largest ETFs in its category [5] - FDVV aims to match the performance of the Fidelity Core Dividend Index, focusing on large and mid-cap high-dividend-paying companies [5] Fund Characteristics - The ETF has an annual operating expense ratio of 0.16%, positioning it as one of the cheaper options in the market [6] - It offers a 12-month trailing dividend yield of 3.10% [6] - The fund's top three sector allocations are Information Technology (26.8%), Financials, and Consumer Staples [7] Holdings and Performance - Nvidia Corp (NVDA) constitutes approximately 6.14% of the fund's total assets, with Microsoft Corp (MSFT) and Apple Inc (AAPL) also among the top holdings [8] - The top 10 holdings represent about 32.76% of FDVV's total assets under management [8] - Year-to-date, FDVV has increased by roughly 7.98% and has risen about 13.68% over the last 12 months as of August 4, 2025 [10] Risk and Diversification - The ETF has a beta of 0.91 and a standard deviation of 14.87% over the trailing three-year period, indicating a relatively lower risk profile [10] - With around 119 holdings, FDVV effectively diversifies company-specific risk [10] Alternatives - Other ETFs in the same space include iShares U.S. Equity Factor ETF (LRGF) and iShares Core S&P U.S. Value ETF (IUSV), with LRGF having $2.65 billion in assets and IUSV at $20.8 billion [12] - LRGF has an expense ratio of 0.08% and IUSV has a 0.04% expense ratio, presenting lower-cost alternatives for investors [12]