They're here. Fidelity's
] low-cost sector ETFs have hit the market
Now, what kind of impact will they actually have? Will they put a squeeze on State Street's
] own ETFs?
Fido purports that its ETFs are now the lowest priced, beating the competition by two basis points. In one article, Barron's
Brendan Conway writes that this is hardly a competitive moat
. "Fidelity ends up with the lowest management fees by a microscopic margin," he writes.
In the end, Fido may end up being its own worst competition, Conway writes in another article
. Instead of putting the squeeze on ETF giants like State Street, Fido's ETFs may instead draw money from its mutual funds, he writes.
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