Fidelity, The Asset Management Giant Rolls Out ETFs Focused On Metaverse And Crypto

• The world’s fourth-largest asset management firm Fidelity Investments to roll out new ETFs for crypto and metaverse. 

• They continue to see demand, specifically from young investors, for access to the fast-growing industries in the digital ecosystem, highlighted Fidelity’s head of ETF management and strategy. 

• The ETFs would provide the clients the exposure to virtual payments related firms and metaverse. 

Fidelity, the world’s fourth-largest asset management firm, is launching a couple of new strategic exchange-traded funds (ETFs) that are focused on facilitating investors with exposure to crypto and metaverse sectors. 

These funds would be available around 21 April, for financial advisors and individual investors to buy commission-free via Fidelity’s online brokerage platforms.

ETFs To Facilitate Metaverse and Crypto Inclined Companies

The Fidelity Crypto Industry and Digital Payments ETF will invest around 80% of its assets in equity securities which are a part of Fidelity’s Crypto Industry and Digital Payments Index and in depositary receipts signifying securities included in the index. 

Furthermore, the fund facilitates indirect exposure to digital assets by investing in blockchain technology, mining and trading, and digital payments processing companies. 

Whereas the Fidelity Metaverse ETF (FMET) is for investing around 80% in securities that are part of the Fidelity Metaverse Index along with depositary receipts representing securities included in the index. 

According to Fidelity’s head of ETF management and strategy, Greg Friedman, they continue to see demand, specifically from young investors, for access to the fast-growing industries in the digital ecosystem, and these two thematic ETFs provide investors exposure to a familiar investment vehicle. 

The ETFs enable access to firms that develop, manufacture, distribute or sell products or services for developing and enabling the virtual world. For instance, computing hardware and components, design, digital infrastructure, and engineering software, gaming technology and software, web development and content services, and smartphone and wearable technology​.

With this rolling out of new ETFs, the company’s sustainable lineup will comprise twenty-two funds, including thematic sustainable funds that aim at a specific ESG theme and wide sustainable funds that include all three ESG themes.

The asset manager has about $4.2 trillion in assets under management. Earlier in January, it applied for a virtual world ETF.

Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.

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