Description

The Fidelity Global Investment Grade Bond ETF employs a comprehensive investment strategy, spanning a diverse array of fixed income instruments with varied maturities. Its portfolio encompasses global investment-grade bonds, higher-yielding securities, and floating-rate debt. To manage risk, the fund limits its exposure to non-investment grade assets to a maximum of 25% of its total value. Investment decisions are driven by a dual approach, combining a top-down assessment of macroeconomic trends and fixed income market dynamics with a detailed, bottom-up analysis of individual securities. Key factors considered during the selection and divestment process include an instrument's characteristics, its projected long-term intrinsic value, credit quality, fundamental financial strength, and opportunities arising from short-term market dislocations. Furthermore, the fund maintains strict currency risk management, capping unhedged foreign currency exposure at 10% of the portfolio.