FHLC vs. FTEC

Last updated Jun 23, 2026

FHLC (Fidelity MSCI Health Care Index ETF) and FTEC (Fidelity MSCI Information Technology Index ETF) are both exchange-traded funds - FHLC is a Health & Biotech Equities fund tracking the MSCI USA IMI Health Care Index, while FTEC is a Technology Equities fund tracking the MSCI USA IMI Information Technology 25/50 Index. Both are passively managed. Over the past 10 years, FHLC returned 9.88%/yr vs 25.75%/yr for FTEC. A 0.58 correlation means they provide meaningful diversification when combined. Both charge a 0.08% expense ratio.

Performance

FHLC vs. FTEC - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Fidelity MSCI Health Care Index ETF (FHLC) and Fidelity MSCI Information Technology Index ETF (FTEC). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, FHLC achieves a -1.22% return, which is significantly lower than FTEC's 28.31% return. Over the past 10 years, FHLC has underperformed FTEC with an annualized return of 9.88%, while FTEC has yielded a comparatively higher 25.75% annualized return.

FHLC

• 1D: 0.90%
• 1M: 1.34%
• YTD: -1.22%
• 6M: -1.95%
• 1Y: 17.82%
• 3Y*: 6.59%
• 5Y*: 4.42%
• 10Y*: 9.88%

FTEC

• 1D: 0.40%
• 1M: 4.21%
• YTD: 28.31%
• 6M: 27.06%
• 1Y: 54.89%
• 3Y*: 32.23%
• 5Y*: 20.85%
• 10Y*: 25.75%

*Multi-year figures are annualized to reflect compound growth (CAGR)

FHLC vs. FTEC - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
FHLC Fidelity MSCI Health Care Index ETF	-1.22%	15.42%	2.48%	2.58%	-5.55%	20.39%	18.13%	21.94%	4.71%	23.34%
FTEC Fidelity MSCI Information Technology Index ETF	28.31%	22.11%	29.40%	53.30%	-29.59%	30.49%	45.83%	48.93%	-0.39%	36.83%

Correlation

The correlation between FHLC and FTEC is 0.10, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.10
Correlation (3Y) Calculated over the trailing 3-year period	0.27
Correlation (5Y) Calculated over the trailing 5-year period	0.45
Correlation (10Y) Calculated over the trailing 10-year period	0.55
Correlation (All Time) Calculated using the full available price history since Oct 24, 2013	0.58

Over the past year, the correlation between FHLC and FTEC has dropped to 0.10 - well below their long-term average of 0.58, suggesting their price drivers have been diverging.

FHLC vs. FTEC - Sectors Allocation Comparison

Sectors	FHLC	FTEC
Healthcare	99.7%	-
Technology	0.0%	98.3%
Financial Services	0.0%	0.6%
Industrials	0.0%	0.6%
Basic Materials	-	0.0%
Communication Services	-	0.0%
Consumer Cyclical	-	0.0%
Consumer Defensive	-	-
Energy	-	0.3%
Real Estate	-	-
Utilities	-	-

Return for Risk

FHLC vs. FTEC — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

FHLC

FHLC Risk / Return Rank: 34
FHLC Sharpe Ratio Rank: 35
FHLC Sortino Ratio Rank: 38
FHLC Omega Ratio Rank: 33
FHLC Calmar Ratio Rank: 35
FHLC Martin Ratio Rank: 31

FTEC

FTEC Risk / Return Rank: 70
FTEC Sharpe Ratio Rank: 80
FTEC Sortino Ratio Rank: 69
FTEC Omega Ratio Rank: 71
FTEC Calmar Ratio Rank: 70
FTEC Martin Ratio Rank: 60

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

FHLC vs. FTEC - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Fidelity MSCI Health Care Index ETF (FHLC) and Fidelity MSCI Information Technology Index ETF (FTEC). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	FHLC	FTEC	Difference
Sharpe ratio: Return per unit of total volatility	1.22	2.46	-1.24
Sortino ratio: Return per unit of downside risk	1.90	3.02	-1.12
Omega ratio: Gain probability vs. loss probability	1.22	1.40	-0.19
Calmar ratio: Return relative to maximum drawdown	1.72	3.39	-1.67
Martin ratio: Return relative to average drawdown	4.27	10.46	-6.20

FHLC vs. FTEC - Sharpe Ratio Comparison

The current FHLC Sharpe Ratio is 1.22, which is lower than the FTEC Sharpe Ratio of 2.46. The chart below compares the historical Sharpe Ratios of FHLC and FTEC, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

FHLC vs. FTEC - Drawdown Comparison

The maximum FHLC drawdown since its inception was -28.76%, smaller than the maximum FTEC drawdown of -34.95%. Use the drawdown chart below to compare losses from any high point for FHLC and FTEC.

Drawdown Indicators

	FHLC	FTEC	Difference
Max Drawdown Largest peak-to-trough decline	-28.76%	-34.95%	+6.19%
Max Drawdown (1Y) Largest decline over 1 year	-10.38%	-16.26%	+5.88%
Max Drawdown (3Y) Largest decline over 3 years	-16.87%	-27.30%	+10.43%
Max Drawdown (5Y) Largest decline over 5 years	-17.73%	-34.95%	+17.22%
Max Drawdown (10Y) Largest decline over 10 years	-28.76%	-34.95%	+6.19%
Current Drawdown Current decline from peak	-4.36%	-4.17%	-0.19%
Average Drawdown Average peak-to-trough decline	-5.19%	-5.57%	+0.38%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.19%	5.26%	-1.07%

Volatility

FHLC vs. FTEC - Volatility Comparison

The current volatility for Fidelity MSCI Health Care Index ETF (FHLC) is 4.92%, while Fidelity MSCI Information Technology Index ETF (FTEC) has a volatility of 10.69%. This indicates that FHLC experiences smaller price fluctuations and is considered to be less risky than FTEC based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	FHLC	FTEC	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.92%	10.69%	-5.77%
Volatility (6M) Calculated over the trailing 6-month period	10.46%	18.25%	-7.79%
Volatility (1Y) Calculated over the trailing 1-year period	14.70%	22.50%	-7.80%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	15.02%	25.54%	-10.52%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.85%	24.87%	-8.02%

FHLC vs. FTEC - Expense Ratio Comparison

Both FHLC and FTEC have an expense ratio of 0.08%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

FHLC vs. FTEC - Dividend Comparison

FHLC's dividend yield for the trailing twelve months is around 1.40%, more than FTEC's 0.35% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
FHLC Fidelity MSCI Health Care Index ETF	1.40%	1.40%	1.51%	1.40%	1.30%	1.16%	1.45%	1.18%	1.38%	1.38%	1.40%	2.07%
FTEC Fidelity MSCI Information Technology Index ETF	0.35%	0.43%	0.49%	0.77%	0.93%	0.63%	0.83%	1.03%	1.20%	0.96%	1.25%	1.27%

Frequently Asked Questions

Can I hold both FHLC and FTEC in my portfolio?

FHLC and FTEC have a correlation of 0.10, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, FHLC or FTEC?

FTEC has higher volatility (10.69%) compared to FHLC (4.92%). In terms of maximum drawdown, FHLC dropped -28.76% vs FTEC's -34.95%.

Which ETF is better, FHLC or FTEC?

On 10-year performance, FTEC leads with 25.75% vs 9.88% for FHLC. Both ETFs have the same 0.08% expense ratio. On volatility, FHLC has been the lower-risk option at 4.92%. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF has performed better, FHLC or FTEC?

Over the 10-year period, FTEC has performed better with a 25.75% return vs 9.88%. Past performance does not guarantee future results, so compare this with risk, fees, and fund exposure.

Which ETF is cheaper, FHLC or FTEC?

FHLC and FTEC have the same expense ratio: 0.08% per year.

Which ETF pays a higher dividend yield, FHLC or FTEC?

FHLC has the higher dividend yield at 1.40%, compared with 0.35% for FTEC.

What is the main difference between FHLC and FTEC?

FHLC is categorized as Health & Biotech Equities, while FTEC is Technology Equities. FHLC tracks MSCI USA IMI Health Care Index, while FTEC tracks MSCI USA IMI Information Technology 25/50 Index.

Which has better risk-adjusted returns?

FTEC currently has the higher Sharpe Ratio (2.46 vs 1.22), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.