Vanguard's VFH or Fidelity's FNCL: Which Financial ETF Is the Better Long-Term Buy?
Both funds track 400+ financial stocks with nearly identical sector weights. VFH offers a larger asset base and slightly higher yield, while FNCL charges a lower expense ratio.
Overview
While Vanguard Financials ETF (NYSEMKT:VFH) and Fidelity MSCI Financials Index ETF (NYSEMKT:FNCL) track similar baskets of financial stocks, VFH offers a much larger asset base and a slightly higher trailing yield.
These two funds are designed for investors seeking low-cost access to the U.S. financial sector. Both VFH and FNCL include banks, insurance companies, and capital markets firms. Because their portfolios are so similar, the choice often comes down to specific issuer preference or minor differences in liquidity and size.
Details
Beta measures price volatility relative to the S&P 500; beta is calculated from monthly returns over the available fund history (up to five years). The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.
Source
Originally published at www.fool.com.