Fidelity is to close its five-strong thematic ETF range citing “unique challenges” for the thematic ETF space. 

Each fund holds assets under management (AUM) significantly below $50m leaving them “no longer economically viable to run”. 

The below ETFs are set to cease trading on 4 February and will close the following week:  

• The Fidelity Clean Energy UCITS ETF (FNRW) 

• The Fidelity Cloud Computing UCITS ETF (FCLD) 

• The Fidelity Digital Health UCITS ETF (FDHT) 

• The Fidelity Electric Vehicles & Future Transportation UCITS ETF (FDRV) 

• The Fidelity Metaverse UCITS ETF (FMVR) 

The closures form part of a “strategic review” of Fidelity’s existing range, with the asset manager looking to sharpen the focus of its ETF business under the leadership of Alistair Baillie Strong – promoted to head of ETFs in September 2024. 

“The decision to close our range of thematic ETFs reflects our commitment to building a focused and scalable ETF platform and underscores our determination to allocate resources where they can drive the greatest benefits for clients,” explained Baillie Strong.  

Although thematic ETFs remain “valuable instruments” in investor toolkits, Baillie Strong cited “unique challenges” for thematic products with a growing number of launches despite outflows from the space.  

Fidelity is Europe’s second largest active ETF issuer by AUM and recently unveiled its new ‘quality value’ range.