MutualFundWire.com: Fido Will Shutter a $47MM-AUM Quintet

MutualFundWire.com

The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication

Friday, October 24, 2025

Fido Will Shutter a $47MM-AUM Quintet

The team at a 78,000-employee, $6.4-trillion-AUM* fund firm is preparing to shut down a $47.34-million-AUM quintet of exchange-traded funds. The move represents a fraction of the firm's current ETF business, which includes more than 70 ETFs and ETPs in total, with $144 billion in combined AUM.

Last week, the folks at Fidelity Investments [profile] revealed plans to liquidate four active ESG ETFs and one index ETF. The affected funds include:

the Fidelity Digital Health ETF (FDHT on the Cboe BZX);

the Fidelity Sustainable Core Plus Bond ETF (FSBD on the NYSE Arca);

the Fidelity Sustainable Low Duration Bond ETF (FSLD on the NYSE Arca);

the Fidelity Sustainable U.S. Equity ETF (FSST on the NYSE Arca); and

the Fidelity Women's Leadership ETF (FDWM on the NYSE Arca).

On October 15 and 16, the funds' boards approved the liquidation plans. The five ETFs' planned last trading day will be November 13, and the Fidelity team will pull the plug a week later, on November 20.

FDWM and FSST's inception date was June 15, 2021, and both funds come with an expense ratio of 59 basis points. FSST now has about $17.23 million in AUM**, while FDWM has about $4.52 million**.

FDHT's inception date was October 5, 2021, and it comes with an expense ratio of 40bps. The ETF now has about $8.64 million in AUM**.

FSLD and FSBD's inception date was April 19, 2022. FSBD comes with an expense ratio of 36bps and now has about $11.92 million in AUM**, while FSLD's expense ratio is 20bps and it now has about $5.03 million in AUM**.

FDHT is designed to track the Fidelity Digital Health Index, from index provider Fidelity Product Services LLC (FPS). The ETF is subadvised by Geode Capital Management, LLC and PMed, in since inception, by a five-person Geode team:

Louis Bottari, senior portfolio manager;

Payal Gupta, PM;

Peter Matthew, senior PM;

Robert Regan, PM; and

Navid Sohrabi, senior PM.

FSBD is subadvised by FMR Investment Management (UK) Limited. The fund's PM team includes:

Franco Castagliulo;

Brian Day;

Michael Foggin;

Benjamin Harrison;

Celso Munoz;

Ford O'Neill;

Michael Plage; and

Stacie Ware.

Ware, Harrison, and Day joined FSBD's PM team last year, while the rest have PMed the ETF since inception.

FSLD is powered by a four-person PM team:

David DeBiase;

Rob Galusza;

John Mistovich; and

Julian Potenzal.

Mistovich joined FSLD's PM team in 2024, while the rest have PMed the fund since inception.

Since inception, FSST has been run by a pair of PMs:

Nicole Connolly; and

Michael Robertson.

Since inception, FDWM is also run by a pair of PMs:

Kenyon Hunt, who joined the PM team last year; and

Connolly, who has PMed the ETF since inception.

FDWM, FSST, and FDHT are series of Fidelity Covington Trust, while FSBD and FSLD are series of Fidelity Merrimack Street Trust. The liquidating ETFs' other service providers include:

Deloitte & Touche LLP as independent accounting firm;

Fidelity Distributors Company LLC (FDC) as distributor; and

State Street Bank and Trust Company as custodian, dividend disbursing agent, and transfer agent.