Fidelity vs. Vanguard Financials: Which Financials ETF Offers More Bang for Your Buck?
Asset size, track record, and portfolio makeup set these two low-cost sector funds apart for investors seeking financial sector exposure.
Fidelity vs. Vanguard Financials: Which Financials ETF Offers More Bang for Your Buck?
Overview
Both the Fidelity MSCI Financials Index ETF (NYSEMKT:FNCL) and Vanguard Financials ETF (NYSEMKT:VFH) target the broad U.S. financial sector. These funds capture banks, insurance providers, and capital markets firms, offering investors a low-cost way to gain diversified exposure to the engines of the American economy through passively managed portfolios.
While the funds provide nearly identical market exposure, the Fidelity fund offers a lower expense ratio while the Vanguard fund features significantly deeper liquidity.
Beta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
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Source
Originally published at www.fool.com.
