Fidelity Investments announced Thursday it launched the Fidelity Conservative Income Bond Fund.
The fund will invest in a combination of money market and high-quality, investment-grade debt with short durations and be managed by Fidelity 20-year veteran James K. “Kim” Miller.
“The aging U.S. demographics and the recent volatility in both the equity and fixed income markets have heightened demand by investors of all types for short-term investment products to help them manage risk within their portfolios,” Miller said. “Recent developments have led to the creation of additional potential investments for fixed income funds along the shorter segment of the yield curve, and the Fidelity Conservative Income Bond Fund will seek to take advantage of those opportunities.”
The fund’s benchmark is the Barclays Capital 3-6 Month U.S. Treasury Bills Index and it will maintain a dollar-weighted average maturity of 0.75 years or less.