DRLL vs FENY

DRLLCStrive U.S. Energy ETF

FENYAFidelity MSCI Energy Index ETF

In short

DRLL A challenger take on US energy: roughly 40 US-listed energy stocks in one 2022-vintage fund, priced just under the typical energy ETF but well above the index giants it lines up against.

FENY One of the cheapest ways to own U.S. energy: 0.08% a year for roughly 110 energy stocks tracked through MSCI's full-market benchmark. No stock picking, no clever tilts, just the sector at cost.

Stated mandate

DRLL The Fund seeks to track, before fees and expenses, the total return of an index made up of U.S.-listed equities in the energy sector.

FENY Seeks investment returns that generally correspond, before fees and expenses, to the performance of the MSCI USA IMI Energy 25/50 Index. The fund invests at least 80% of assets in securities included in that index and uses representative sampling.

Why people hold it

• DRLL Straight-ahead mandate: US-listed energy equities against a named capped energy index, and the portfolio has hugged that mandate rather than drifting into adjacent sectors.
• At 0.41%, it prices under the 0.45% median for energy sector funds.
• About 40 US-listed names keeps it a concentrated energy portfolio, not a diluted global sleeve.
• Distributions run on a quarterly schedule.

• FENY Costs 0.08% a year against a 0.45% median for broad energy funds. Only XLE matches it; VDE, IYE and ENFR all charge more.
• Tracks MSCI's USA IMI energy benchmark, a full-market read on the sector, so the basket runs roughly 110 names deep rather than a short list.
• Returns have lined up closely with the index it follows, and it trades actively. As implementations of broad energy go, this is one of the tidiest in the group.
• Running since 2013, so it has a long record through both oil booms and busts, and Fidelity has kept it plain vanilla the whole way.

Worth knowing

• DRLL The fee gap is the trade-off: XLE and FENY charge 0.08% and VDE 0.09% for broad US energy, a fraction of DRLL's 0.41%.
• Thinly traded next to the category's giants, so spreads and limit orders carry more weight, especially on bigger tickets.
• One sector, one country. It rides the oil and gas cycle with no bonds or foreign names in the mix to soften the ride.

• FENY One sector, one country. Oil and gas prices set the mood here, and the swings run wider than a total-market fund's.
• The index weights by company size, so even with roughly 110 holdings a handful of giants carry most of the load.
• Distributions land quarterly, not monthly, which matters if you are pacing income.

Full DRLL profile⁠

Full FENY profile⁠