Fidelity Future of European Defense Screened UCITS ETF

The Fidelity Future of European Defense Screened UCITS ETF is an exchange-traded fund launched by HANetf in April 2025, designed to deliver targeted exposure to European defense and cyber defense companies domiciled in NATO and NATO+ ally countries, explicitly excluding U.S.-based firms. Its primary function is to track an index capturing Europe's rearmament efforts amid rising geopolitical tensions and shifts toward strategic autonomy, focusing on firms deriving significant revenue from defense spending, military manufacturing, cyber technologies, and related activities. Notable features include UCITS compliance for regulated transparency, full physical replication, accumulating structure that reinvests dividends, and rigorous screening to exclude companies with high exposure to controversial weapons. With approximately 167 million euros in assets under management and a total expense ratio of 0.39%, the ETF emphasizes higher allocation to European-listed entities benefiting from increased military budgets and reduced reliance on U.S. equipment. In the financial markets, it plays a pivotal role by offering investors a focused vehicle to participate in the continent's defense sector evolution, aligning with policy-driven spending surges while adhering to ethical NATO-aligned criteria.