Fidelity Short-Term Bond ETF (FSTB)

The Fidelity Short-Term Bond ETF (FSTB) is an actively managed exchange-traded fund from Fidelity Investments that aims to provide current income while limiting fluctuations in share value.

The fund invests mainly in investment-grade debt securities with short maturities, keeping the portfolio's overall duration low. Holdings typically include U.S. Treasury and government agency obligations, corporate bonds, and asset-backed and mortgage-related securities. Fidelity's portfolio managers select securities and manage interest-rate and credit exposure using the firm's fixed income research rather than replicating an index.

Because it is actively managed, the fund can shift among sectors and adjust maturities as conditions change. It is commonly used as a lower-volatility fixed income holding alongside longer-duration bond funds, and its shares trade on Nasdaq like a stock.