CGMM vs FEMV

CGMMBCapital Group U.S. Small and Mid Cap ETF

FEMVAFidelity Enhanced Mid Cap Value ETF

In short

CGMM Capital Group's stock-pickers turned loose on the Russell 2500: roughly 90 U.S. small and mid caps instead of thousands, at a fee below the typical active U.S. equity ETF.

FEMV Active mid-cap value, priced like an index fund. FEMV hunts capital appreciation in the Russell Midcap Value corner of the US market for 0.23% a year, a fraction of the typical active US equity ETF fee.

Stated mandate

CGMM Seeks long-term capital appreciation by investing in small- and mid-capitalization U.S. companies.

FEMV The fund seeks capital appreciation and targets the U.S. mid-cap value segment of the equity market.

Why people hold it

• CGMM At 0.51%, it undercuts the 0.65% median for active U.S. equity ETFs, and comes in cheaper than NBSM (0.75%), another fund measured against the Russell 2500.
• Roughly 90 holdings against a benchmark that spans thousands of names. A genuine stock-picking portfolio, not an index tracker wearing an active label.
• A 2025 launch that already runs at multi-billion-dollar size and trades actively, and it sits in the upper tier of its active U.S. equity peer group.

• FEMV 0.23% a year, well under the going rate for active US equity ETFs. At that price, cost stops being the argument against going active.
• The mandate is stated plainly: US mid-cap value, measured against the Russell Midcap Value index, aiming at capital appreciation. Little guesswork about what you own.fidelity.com
• The portfolio mix and risk profile screen well against other active US stock ETFs, with no leverage, derivatives quirks or unusual wrapper features flagged in the structure.
• Part of Fidelity's Enhanced lineup, whose large-cap sibling FELC (0.18%) ranks among the strongest active US equity funds in the peer group.

Worth knowing

• CGMM It opened in January 2025, so there is no full market cycle yet to judge the managers' results against the Russell 2500.
• Small and mid caps move harder than large caps, and a roughly 90-stock active book can wander well away from the benchmark in either direction.
• Cheap for active, not cheap outright: broad index-style peers like DFAU (0.12%) and active FFSM (0.43%) charge less.

• FEMV Launched in 2026, so there is no long record to lean on and the risk read rests on a short history.
• A small asset base and thin trading volume are the trade-off for being early. Spreads can run wider than at a mega-fund, especially in fast markets.
• Distributions land once or twice a year, not monthly. This is a growth-of-capital mandate, not an income schedule.

Full CGMM profile⁠

Full FEMV profile⁠