Fidelity US Quality Income UCITS ETF Inc-USD

Fidelity US Quality Income UCITS ETF Inc. is an exchange-traded fund that tracks the Fidelity US Quality Income Index, targeting large and mid-capitalization U.S. companies with high dividend yields and robust quality fundamentals. It employs physical replication to hold around 111 securities, primarily U.S.-based, with top holdings like NVIDIA, Apple, Microsoft, and Alphabet, concentrated in technology (about 35%), financial services (14%), and healthcare (11%). The selection process screens for dividend-paying stocks using metrics such as free cash flow margin, return on invested capital, cash flow stability, dividend growth, payout ratios, and momentum, excluding low-momentum or dividend-cutting companies to ensure financial strength and sustainability. Domiciled in Ireland and UCITS-compliant, it features a low ongoing charge of 0.25% per annum, quarterly income distributions with a yield around 1.6%, and assets over USD 1.6 billion. Classified under SFDR Article 8, it promotes environmental and social characteristics, offering diversified exposure to high-quality, income-generating U.S. equities for total return strategies combining capital appreciation and dividends.