Fidelity Disruptive Automation ETF

Fidelity Disruptive Automation ETF (FBOT) is an actively managed fund that picks about 49 stocks tied to robotics, artificial intelligence, machine vision and factory automation, from Taiwan Semiconductor and Teradyne to Japan's Keyence. It costs 0.50% a year, below the 0.71% average of four similar robotics ETFs. About half its money sat outside the US as of August 31, 2026, including roughly 19% in Japan.

• Over the year to Oct 27, 2026, FBOT returned +12.8%, 2nd of 5 among similar funds.
• Its worst full calendar year was 2024 (+12.6%); its best was 2025 (+19.2%).
• The deepest fall in its price history was 23.6% (Jan 24, 2025 to Apr 8, 2025), recovered by Jun 27, 2025.

As of Aug 31, 2026, the fund held 49 securities; the ten largest made up 42.09% of assets.

• Over the three months to Aug 31, 2026, investors added a net $7.7M (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: -1.13%, -3.14%, +3.89%.

FBOT does not track an index. Fidelity's managers choose the stocks, and they must normally put at least 80% of assets in what the prospectus calls "disruptive automation" companies. That covers robotics, artificial intelligence, machine vision, process sensors, pneumatic systems, autonomous driving and electric vehicles, and 3D printing. A company can count if it meets at least one of five tests. Examples include having a new business model that challenges older rivals, being early to market, or holding patents with high potential impact. The fund can buy US or foreign stocks, in any sector, and in either the growth or value style.

Managers use fundamental analysis to pick stocks. That means looking at each company's finances and industry position, along with market and economic conditions. They then use quantitative (rules-based) methods to decide how much of each stock to hold. The prospectus sets no fixed rebalancing schedule. Portfolio turnover was 15%, which means trading is fairly light. The fund may use derivatives. As of August 31, 2026, it held none, with 99% in stocks and 0.85% in cash.

FBOT is "non-diversified" under federal law, so it can put more money into fewer companies than a diversified fund. As of August 31, 2026, the top 10 holdings made up 42% of assets. The largest were Taiwan Semiconductor (6.5%), Teradyne (5.5%), Deere (5.2%), Nvidia (4.8%) and Axon Enterprise (4.3%).

• FBOT charges 0.5% a year, versus an average of 0.71% for the similar funds below (2nd of 5, cheapest first).
• Using the prospectus's standard example, $10,000 invested would cost about $51 in the first year and $628 over 10 years (assuming a 5% annual return).

FBOT is a concentrated, actively picked bet on one theme, and it has swung harder than the broad market, so it fits as a small add-on rather than a foundation.

FBOT could add exposure to the growth of automation companies, but it is not a source of stability or income. Its trading history starts in 2023, so it has no record from the 2008 or 2020 crashes. Its prospectus, though, reports a 32.49% loss in 2022 and a 21.35% drop in the second quarter of that year. Since launch, its deepest fall was 23.6%, from January 24 to April 8, 2025. It got back to its earlier peak by June 27, 2025, about 2.6 months later. A retiree forced to sell during a drop like that would lock in the loss. The yield was 0.42% as of October 27, 2026, paid twice a year. In the SEC's standard $10,000 example, the 0.50% fee comes to about $51 for the first year and $628 over 10 years. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.

Matched by holdings overlap from the latest N-PORT reports.