Fidelity launches thematic funds focused on disruption

Fidelity Investments Canada ULC has launched two mutual funds that invest in disruptive companies, and another that aims to be inflation-resilient.

The Fidelity Disruptors Class invests predominantly in equity securities of global companies in the areas of automation, communications, finance, medicine and technology. Managers try to identify companies with “innovative business models that could transform industries, challenge incumbents and create new opportunities,” a release from the firm said.

The Fidelity Disruptive Automation Class invests mostly in equity securities of international companies in the fields industrial robotics, artificial intelligence and autonomous driving.

Michael Kim, portfolio manager and quantitative analyst at Fidelity, manages the disruption funds alongside seven global managing directors of research.

The annual management fee for Series F of both funds is 0.85%, and both have a medium risk rating.

The company also launched the Fidelity Inflation-Focused Fund on Tuesday, which invests in inflation-resilient asset classes such as real estate, natural resources, gold, and inflation-linked and floating-rate bonds.

The mutual fund has a low-to-medium risk rating and a 0.9% annual management fee on the Series F version.

The inflation-focused fund is co-managed by Geoff Stein, David Wolf and David Tulk, all of whom are portfolio managers at Fidelity Investments’ global asset allocation group.

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