Exchange-traded funds (ETFs)
Like any stock on an exchange, ETFs can be traded at any time when the exchange it's listed on is open. Read more here about how you can invest in ETFs.
Important information - please keep in mind that the value of investments can fall as well as rise, so you may get back less than you invest. This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to an authorised financial adviser.
Investing in ETFs
- Start investing from as little as £50 every month or £1,000 as a lump sum
- Manage and track your investments easily at any time through your secure online account
- Get instant access to our investment guidance and expert market insights.
Choose from a large selection
- Explore our full range of ETFs to search, filter and select your favourites
- Diversify your portfolio in a cost-effective way.
Clear and simple fees
- Pay £10 for buying or selling an ETF online and £1.50 for buys as part of a regular savings plan and for dividend re-investments.
- Our standard service fee of just 0.35% applies when you have over £7,500 invested or if you have a regular savings plan. This is capped at £45 for ETFs, and ETFs held in an Investment Account do not incur a service fee.
- If your SIPP has not yet been moved to our new system* there is a broker trading charge of 0.10% per individual buy and sell. It's important to note that if you switch from one investment trust to another, you will pay the charge twice – once for selling, and again for buying the new one.
ETFs track equity indices and as a result the value of the fund may go down as well as up. Performance data is based on the net asset value (NAV) of an ETF which may not be the same as the market price of an ETF. Individual shareholders may realise returns that are different to the NAV performance.
*This is applicable where you opened your SIPP before 27 March 2019 and you have not received a letter from us saying that it’s been moved to our new system. Or, if you opened a SIPP after 27 March 2019 and you were over 54 years of age at that time.
Why choose Fidelity
With more than 45 years’ experience we’ve already earned the trust of over one million UK investors.
Start investing in just a few steps, with 24/7 online access from your computer, tablet or phone.
Save more with low costs, no initial charges and no additional fees to switch or exit.
How ETFs are priced
As ETFs are investments that are openly traded on a stock exchange, the price fluctuates throughout the day depending on demand. It's important to understand the difference between the price you pay for the investment (dictated daily by the stock market) and the dealing charges and service fees set by the fund manager and investment platform.
If you are buying ETFs, the price you buy or sell at depends on which type of order you place with us:
Market order – you are provided with a quote based on the latest price which is available for 15 seconds. If you’re happy with the quote, you can buy or sell the shares immediately. If you’re not happy with the price, you can request another quote at the end of the 15 second period. If the market is closed or a quote cannot be provided for either a market-related or technical reason, you can choose to buy or sell shares without seeing a quote first. This is also known as an 'At best order' as we send your request to the market and attempt to fill that order at the best price available from a number of different market makers. Prices can be volatile when market first opens, so you may wish to place a Limit order.
Limit order – you tell us the maximum price you’re willing to pay for a set number of shares (for example, 100 shares at £2.00 a share). Alternatively, if you are selling, you tell us the minimum price you would like for a set number of shares. We send your request to the market and it is executed if your limit price (or better) is achieved for the full amount of your order. Limit orders expire at the end of the day if the market is open or at the end of the following day if it is closed.
In addition any re-investment, regular savings plan and withdrawal plan deals are aggregated and combined with other customer’s orders. They are then placed at certain times of day, and will achieve the best price available at the time of market execution.
What is currency hedging?
When investing internationally an investor is effectively making two investments - one in the foreign equity itself and the other in the exchange rate value of that investment. Unhedged international investments tend to be more volatile as they are exposed to the risk and return of both equities and foreign exchange. Currency hedging strategies aim to mitigate this risk. They allow separation of equity market risk from currency risk and therefore allow more accurate implementation of investment views.