ETF Evaluator: Fidelity Low Duration Bond Factor ETF (FLDR) Follow This ETF

Fidelity Low Duration Bond Factor ETF Overview

Fidelity Low Duration Bond Factor ETF (FLDR) is a passively managed Taxable Bond Ultrashort Bond exchange-traded fund (ETF). Fidelity Investments launched the ETF in 2018.

The investment seeks to provide investment returns that correspond, before fees and expenses, generally to the performance of the Fidelity Low Duration Investment Grade Factor Index℠. The fund normally invests at least 80% of assets in securities included in the index. The index is designed to optimize the balance of interest rate risk and credit risk such that both returns and risk measures may be improved relative to traditional U.S. investment grade floating rate note indices. The index is comprised solely of U.S. investment grade floating rate notes and U.S. Treasury notes.

About Fidelity Low Duration Bond Factor ETF (FLDR)

There are 3 members of the management team with an average tenure of 3.60 years: Brandon Bettencourt (2018), Mark Lande (2024) and Van Eswara (2025). Management tenure is more important for actively managed ETFs than passive index ETFs.

The ETF has 2 primary benchmarks: Bloomberg US Agg Bond TR USD index with a weighting of 100% and Fidelity Low Durtn IG Fct TR USD index with a weighting of 100%. Fidelity Low Duration Bond Factor ETF has 371 securities in its portfolio. The top 10 holdings constitute 13.0% of the ETF’s assets. The ETF meets the SEC requirement of being classified as a diversified fund. The ETF is not considered to have an ESG focus with its investment selection and management.

Fidelity Low Duration Bond Factor ETF is part of the Fixed Income global asset class and is within the Taxable Bond ETF group. Fidelity Low Duration Bond Factor ETF has 44.7% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 0.0% There is 0.0% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 99.5% (54.7% domestic bond, 44.7% foreign bond and 0.0% convertible bond). Fidelity Low Duration Bond Factor ETF has 0.3% of the portfolio in cash.

Assets Under Management

The fund has $1 billion in total assets, which is below the $5 billion average for the Ultrashort Bond category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.

FLDR Performance and Fees

The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Fidelity Low Duration Bond Factor ETF expense ratio is low compared to funds in the Ultrashort Bond category. Fidelity Low Duration Bond Factor ETF has an expense ratio of 0.15%, which is 32% lower than its category average, making the fund expense ratio grade a B. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.

High portfolio turnover can translate to higher expenses and lower aftertax returns. Fidelity Low Duration Bond Factor ETF has a portfolio turnover rate of 34%, which indicates that it holds its assets around / 0.0 years. By way of comparison, the average portfolio turnover is 57% for the Ultrashort Bond category.

Recently, in the month of July 2026, Fidelity Low Duration Bond Factor ETF returned 0.1%, which earned it a grade of F, as the Ultrashort Bond category had an average return of 0.3%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all ETFs in that category.

Fidelity Low Duration Bond Factor ETF has a trailing yield of 4.29%, which is above the 4.07% category average. The fund normally distributes its income monthly and its capital gains annually.

It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.

Fidelity Low Duration Bond Factor ETF Grades

Year to date, the ETF has returned 2.0%, 0.2 percentage points worse than the category, which translates into a grade of F. The fund has returned 4.2% over the past year (grade of C), 5.3% over the past three years (grade of B) and 3.7% per year over the past five years (grade of C).

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