Latest news with #Fidelity
Yahoo
6 hours ago
- Business
- Yahoo
Gold prices steady as investors await Fed interest rate decision
Gold (GC=F) Gold prices were little changed on Wednesday morning as investors refrained from making significant moves ahead of the US Federal Reserve's latest interest rate decision, due later in the day. Gold futures were flat at $3,322.90 per ounce at the time of writing, while spot gold was also muted, at $3,330.98 per ounce. The Federal Reserve is expected to leave its benchmark interest rate unchanged within the 4.25% to 4.5% range despite persistent calls from US president Donald Trump to lower borrowing costs. Traders continue to price in a possible rate cut in September. "There could be a chance that the Fed may start to tilt towards the dovish side of the pendulum, and that is being portrayed on the Treasury yields," Oanda senior market analyst Kelvin Wong said. Expectations of looser monetary policy are contributing to bullish sentiment for gold, which has already gained more than 27% this year, outperforming most major asset classes. Read more: Should you invest in gold? Investment firm Fidelity believes bullion could climb as high as $4,000 an ounce by year-end, buoyed by a weakening US dollar and a pivot by the Fed towards rate cuts. Speaking to Bloomberg, Ian Samson, a fund manager at Fidelity, said the firm remains optimistic on the outlook for gold. 'The rationale for that was that we saw a clearer path to a more dovish Federal Reserve,' he said. Samson added that some cross-asset portfolios had increased their exposure after gold prices pulled back from a record high of $3,500 reached in April. In certain cases, allocations were doubled from an initial 5% over the past year. He also noted that August tends to be a softer month for risk assets, making diversification more appealing. 'More diversification makes sense,' Samson said. Oil (BZ=F, CL=F) Oil prices were mixed in early European trading as investors assessed potential geopolitical developments after US president Donald Trump significantly shortened his deadline for Russia to end its military campaign in Ukraine. Brent crude futures slipped 0.2% to trade at $70.22 per barrel, at the time of writing, while West Texas Intermediate futures climbed by 0.1% to $69.28 a barrel. The price moves came a day after Trump warned of sweeping measures against Russia, including the imposition of 100% secondary tariffs on countries continuing to trade with Moscow. The president said such measures would come into force unless progress was made towards ending the war within 10 to 12 days, an acceleration from the previously stated 50-day window. The announcement has heightened tensions with Beijing, Russia's largest oil customer. At a press conference in Stockholm, where US officials are holding trade talks with the EU, treasury secretary Scott Bessent warned that China could face 'substantial tariffs' if it continues its current purchasing practices. Read more: HSBC launches $3bn share buyback despite second-quarter profit plunge Analysts at JP Morgan noted in a report that while China is unlikely to adhere to US sanctions, India has indicated a willingness to comply, potentially jeopardising 2.3 million barrels per day of Russian oil exports. Meanwhile, in Venezuela, international partners of state oil company PDVSA remain in limbo as they await formal US approval to resume operations. Talks held last week between Washington and Caracas raised the prospect of easing sanctions, a move that could bring Venezuelan crude back to market and help offset upward pressure on global prices. Pound (GBPUSD=X, GBPEUR=X) The pound was muted against the dollar on Wednesday morning, trading flat at $1.3361, and is expected to remain under pressure as the Bank of England (BoE) is almost certain to cut interest rates in next week's monetary policy meeting. Markets have become increasingly confident that the BoE will reduce its key borrowing rates on 7 August as UK labour market conditions have cooled down, following an increase in employers' contributions to social security schemes. The US dollar index ( which measures the greenback against a basket of six currencies, was higher at 98.78. Stocks: Create your watchlist and portfolio Elsewhere in currencies, the pound was also muted against the euro, trading at €1.1563 at the time of writing. In equities, the FTSE 100 (^FTSE) was in the red this morning, down 0.3% to 9,107 in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Cision Canada
a day ago
- Business
- Cision Canada
Fidelity Investments Canada expands income solutions with launch of Fidelity Equity Premium Yield ETF Fund Français
New mutual fund aims to generate cash flows and long-term capital growth TORONTO, July 29, 2025 /CNW/ - Today, Fidelity Investments Canada ULC (Fidelity) launched Fidelity Equity Premium Yield ETF Fund. This new mutual fund invests directly in Fidelity Equity Premium Yield ETF, which employs an options-based equity strategy for investors who are seeking cash flow and to potentially achieve long-term growth while mitigating portfolio volatility. Fidelity Equity Premium Yield ETF Fund offers exposure to an equity and options-based investment strategy that can generate potentially higher levels of cash flow compared to equity-only strategies. "Covered call strategies have become popular due to their potential to generate attractive cash flows, and today's expansion provides investors with more opportunity to access this strategy in a mutual fund," said Kelly Creelman, Senior Vice President, Products and Marketing, Fidelity. "Fidelity Equity Premium Yield ETF Fund aims to enhance income and mitigate overall portfolio volatility while still providing investors with another option to diversify their investment portfolios to help build their financial futures." Why consider this fund: Fidelity Equity Premium Yield ETF Fund aims to provide cash flows and long-term capital growth. It invests in Fidelity Equity Premium Yield ETF, which implements a fundamental, quantitative and derivatives strategy aiming to create a portfolio that can provide enhanced cash flow, long term capital appreciation and reduced portfolio volatility. Potentially enhanced cash flow: Aims to enhance cash flow generation while allowing investors to remain invested in equity markets. Equity growth potential: Aims to provide some upside participation by providing exposure to equity markets. Reduced volatility: Seeks to moderately reduce its overall portfolio volatility relative to the S&P 500 index. Tax-efficient cash flow: Option premiums are distributed monthly and are generally taxed as capital gains or treated as return of capital. Learn more and get expert insights: Advisors and Investors: Listen to the FidelityConnects podcast to learn more about this launch and the Fidelity Equity Premium Yield ETF: At Fidelity Investments Canada, our mission is to build a better future for our clients. Our diversified business serves financial advisors, wealth management firms, employers, institutions and individuals. As the marketplace evolves, we are constantly innovating and offering our clients choice of investment and wealth management products, services and technological solutions all backed by the global strength and scale of Fidelity. With assets under management of $310 billion (as at July 22, 2025), Fidelity Investments Canada is privately held and committed to helping our diverse clients meet their goals over the long term. Fidelity funds are available through financial advisors and online trading platforms. Commissions, trailing commissions, management fees, brokerage fees and expenses may be associated with investments in mutual funds and ETFs. Please read the mutual fund's or ETF's prospectus, which contains detailed investment information, before investing. Mutual funds and ETFs are not guaranteed. Their values change frequently and investors may experience a gain or a loss. Past performance may not be repeated. Fidelity Equity Premium Yield ETF aims to provide income and long-term capital growth. In implementing an options-based strategy that aims to enhance cash flow and mitigate overall portfolio volatility, the ETF sells (writes) call options on an index representing the performance of companies with large market capitalizations, such as the S&P 500 Index. The ETF's ability to provide distributions to unitholders will depend on the yield available on the equity securities held by the ETF and the premiums received with respect to its written call options. There is no guarantee that the ETF will make regular distributions to its unitholders or that distributions to unitholders will remain consistent, and the amounts distributed to unitholders could vary based on the market or economic environment and other factors. Distributions in excess of the ETF's current and accumulated earnings and profits will be treated as a return of capital, which is a distribution from the unitholder's investment principal rather than net profits from the ETF's returns. Therefore, any portion of a distribution that is characterized as a return of capital should not be confused with the ETF's "yield" or "income." Writing call options also involves risks, including that the ETF may be required to sell the underlying asset or settle in cash an amount of equal value at a price below the market price at the time of exercise of an option. The premiums associated with writing covered call options may not exceed the returns that would have resulted if the ETF had remained directly invested in the securities subject to call options. Please read the ETF's prospectus for more details of these and other risks. Find us on social media @FidelityCanada
Straits Times
2 days ago
- Business
- Straits Times
US$4,000 gold possible as Fed cuts rates and US dollar drops, Fidelity says
Gold is up by more than 25 per cent in 2025, though the precious metal has traded within a tight range over the past few months. Melbourne – Gold could hit US$4,000 an ounce by the end of 2026 as the Federal Reserve lowers interest rates to cushion the US economy, the US dollar drops, and central banks keep expanding holdings, according to Fidelity International. Multi-asset fund manager Ian Samson said the firm remained bullish on the precious metal, with some cross-asset portfolios recently increasing holdings as prices eased from an all-time high above US$3,500 an ounce in April. Spot gold was down 0.2 per cent at US$3,308.39 per ounce, as at 0024 GMT. 'The rationale for that was that we saw a clearer path to a more dovish Federal Reserve,' Mr Samson said in an interview, adding that some funds had as much as doubled their 5 per cent allocation over the past year. Gold is up by more than 25 per cent in 2025, as uncertainty around US President Donald Trump's aggressive attempts to reshape global trade, conflicts in the Middle East and Ukraine, and central-bank accumulation buttressed gains. Still, the metal has traded within a tight range over the past few months, with demand for havens cooling a little as some progress in US trade talks eased fears about worst-case-scenarios for the global economy. 'Perhaps you're going to avoid the doomsday scenarios that were painted earlier in the year, but ultimately we're heading to a 15 per cent-or-so tax on about 11 per cent of the US economy – which is imports,' said Mr Samson, referring to Trump's tariffs. 'That's a pretty decent tax hike. You'd expect it to slow the economy.' Fidelity's bullish outlook for gold is similar to that from Goldman Sachs Group, which has made the case in recent quarters for an eventual rally to as much as US$4,000 an ounce. Still, others are cautious, including Citigroup, which forecasts weaker prices. Top stories Swipe. Select. Stay informed. Asia Thirty dead, over 80,000 evacuated, following heavy rain in Beijing World Trump says many are starving in Gaza, vows to set up food centres Business BYD tops Singapore car sales in first half of 2025 with almost one-fifth of the market Asia Giant algal bloom off South Australia devastates marine life, threatens seafood exports Asia Cambodia, Thailand agree to 'immediate and unconditional ceasefire' to de-escalate border row Singapore ST Explains: What we know about the Tanjong Katong sinkhole so far Sport Dare to dream, urges Singapore's first International Swimming Hall of Famer Joseph Schooling Singapore 44 suspects under probe for involvement in SIM card fraud Fed officials are due to gather this week to set policy. While no change is expected at this meeting, chair Jerome Powell may face dissents from officials who want to provide support to a slowing labour market. A US slowdown would likely see the dovish camp gain more influence in guiding policy, with the US dollar tending to soften in environments of weaker growth, Mr Samson said. In addition, Mr Powell – whose term as Fed chair ends next May – will probably be replaced by someone 'more amenable' to lower borrowing costs as Mr Trump continues to lobby for interest rate cuts, he said. Non-yielding gold typically benefits when the US dollar softens and interest rates ease. Elsewhere, the world's central banks are likely to go on buying gold, he added, while growing fiscal deficits – particularly in the United States – would continue to reinforce the precious metal's appeal as a hard asset. 'Sure, gold has come a long way, but if you look at when gold's been in a bull market – like 2001 to 2011 – it annualised 20 per cent per annum,' he said. 'From 2021 to today, it's also annualising 20 per cent a year. So it's not necessarily, in the context of a bull run, massively overstretched.' BLOOMBERG
Yahoo
2 days ago
- Business
- Yahoo
3 Magnificent Mutual Funds to Maximize Your Retirement Portfolio
There is never a wrong time to invest in mutual funds for retirement. So, if you're still looking for the best mutual funds, the Zacks Mutual Fund Rank can be a great guide. The easiest way to judge a mutual fund's quality over time is by analyzing its performance, diversification, and fees. Using the Zacks Mutual Fund Rank of over 19,000 mutual funds, we've identified three outstanding mutual funds that are ideally suited to help long-term investors pursue and achieve their retirement investing goals. Let's learn about some of Zacks' highest ranked mutual funds with low fees you may want to consider. Dodge & Cox Balanced Fund I (DODBX) has a 0.52% expense ratio and 0.5% management fee. DODBX is a part of the Allocation Balanced fund category; these funds like to invest in a variety of asset types, finding a balance between stocks, bonds, cash, and sometimes even precious metals and commodities; they are mostly categorized by their respective asset allocation. With yearly returns of 11.94% over the last five years, this fund clearly wins. Fidelity Advisor Energy Fund A (FANAX) is a stand out amongst its peers. FANAX is a Sector - Energy fund, which are comprised of various changing and hugely important industries throughout the massive global energy sector. With five-year annualized performance of 23.48%, expense ratio of 0.98% and management fee of 0.71%, this diversified fund is an attractive buy with a strong history of performance. T. Rowe Price Science & Technology Adviser (PASTX): 1.06% expense ratio and 0.63% management fee. With a much more diversified approach, PASTX--part of the Sector - Tech mutual fund category--gives investors a way to own a stake in the notoriously risky tech sector. With a five-year annual return of 15.1%, this fund is a well-diversified fund with a long track record of success. There you have it. If your financial advisor had you put your money into any of our top-ranked funds, then they've got you covered. If not, you may need to talk. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Get Your Free (DODBX): Fund Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Hans India
2 days ago
- Business
- Hans India
Investments in crypto, is it a catalyst or cataclysm
The cryptocurrency world, born from the cypherpunk dream of circumventing traditional financial gatekeepers and government oversight, finds itself in a profound and deeply ironic moment. With each passing day, the US administration isn't just tolerating crypto; it's actively formalising and legalising it, providing the very structure its creators sought to avoid. This unexpected embrace, far from stifling the industry, is fueling a new wave of institutional euphoria and mainstream acceptance, fundamentally reshaping crypto's trajectory and granting it fresh legs for growth. What many early proponents aimed to subvertironically became the wing of the dominant power. Bitcoin, the cryptocurrencies' genesis block famously contained the headline decrying bank bailouts. The repulsion from the fiat currency with foundational thesis on decentralization, privacy, and freedom from government-controlled monetary systems. Yet, the current surge in legitimacy and capital inflow is undeniably abetted by the deliberate U.S. government policy. This isn't accidental tolerance but a calculated, sometimes contentious, move to bring the unruly asset class within the regulatory perimeter. The pivotal shift began not with sweeping legislation, but with a crucial, though reluctant regulatory nod of introducing futures-based Bitcoin ETFs. This provided a familiar, regulated wrapper for institutional investors wary of direct crypto exposure. It was a signal that the SEC, albeit cautiously, was opening a door. The trickle of institutional capital the true watershed moment arrived with the long-awaited approval of spot Bitcoin ETFs in early 2024. This wasn't just another product, it was a game-changer. Suddenly, major Wall Street players like BlackRock, Fidelity, and VanEck could offer funds holding the actual Bitcoin, traded on traditional exchanges. The GENIUS Act not only legitimised the digital tokens but mandated stablecoin issuers to maintain reserves backing outstanding payment stable coins on at least one-on-one basis. The reserves may consist of certain assets including US dollars, federal reserve notes, funds held at certain insured or regulated depository institutions, short-term treasuries, reverse repo agreements and money market funds. The law while providing leeway to the stablecoins to enter the mainstream has also addressed a consistent market for the dollar assets, which is being increasingly shunned by the foreign sovereigns. The legislation has brought clarity on the asset classification, regulatory framework while streamlining anti-money laundering (AML) and Know Your Customer (KYC) guidelines. This wave of regulation, even if incomplete, grants the industry a form of 'pseudo-legitimacy'. The US is charging ahead with these policy formulations even as the rest of the world is in a 'wait-and-watch' mode. The EU while a pioneer in MiCA (Markets in Crypto-Assets Regulation) is restrictive and complex in implementation. The UK and Switzerland are actively working on the framework but still finalising the details. Singapore and UAE have built progressive crypto-friendly regulations to foster innovation while enforcing investor protection. The other major economies like China and India are often maintained stricter stances or even outright bans, creating a fragmented global with this backdrop, would an investment in cryptos make sense for investors? Post pandemic, increasingly Indians have participated in crypto trading extending beyond the urban areas into smaller cities, primarily driven by the younger population. Though, many of burnt their hands with the tokens beyond the blue-chips (like Bitcoin, Ethereum, etc.) the lure for quick returns has allowed to continue to pursue. Domestic crypto exchanges like CoinDCX, ZebPay are legally allowed to operate with FIU-IND (Financial Intelligence Unit) along with the basic KYC compliance. Lack of legislation puts them beyond the purview of SEBI, RBI currently while a flat 30 per cent tax plus applicable surcharge and 4 per centcess is levied over the gains made in these digital assets. Also, a 1 per cent TDS is automatically deducted by the Indian exchanges exceeding Rs. 10K. Stable coins are gaining currency thanks to the recent US legislations, are increasingly finding interest among the 100 million crypto users in India. Though better than the 'rug-pulls' of ICO (Initial Coin Offering) frenzy of '17, the crypto heists are now becoming a menace. Two Indian exchanges were breached with WazirX reportedly loosing $230mn and recently CoinDCX lost about $44mn. Despite the cybersecurity breaches and lack of regulation, the historical returns (though limited period of history) aren't allowing to investors to ignore this burgeoning asset class. (The author is a partner at 'Wealocity Analytics', a SEBI registered Research Analyst firm and could be reached at [email protected])
