FEMV vs KMID

FEMVAFidelity Enhanced Mid Cap Value ETF

KMIDFVirtus KAR Mid-Cap ETF

In short

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.

KMID Most active mid-cap funds swing for growth. Virtus KAR Mid-Cap writes something different into its prospectus: buy mid-caps it sees as undervalued against their growth potential, while aiming for less market risk than the Russell Midcap Index.

Stated mandate

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

KMID The Fund seeks long-term capital appreciation by investing in medium-capitalization companies that KAR considers undervalued relative to their future growth potential, while seeking less market risk than the Russell Midcap Index.

Why people hold it

• 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.

• KMID The risk goal is in the prospectus, not the marketing: it seeks long-term capital appreciation while targeting less market risk than the Russell Midcap Index.
• Active stock picking without single-name drama. KAR buys mid-caps it considers undervalued versus future growth, spread across a couple hundred holdings.
• One job, one market: US mid-cap stocks only. No foreign sleeve, no bond ballast, nothing to unpack about what you actually own.

Worth knowing

• 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.

• KMID It charges 0.80%, above the 0.65% median for active US equity ETFs. Systematic peers like DFAU (0.12%) and DFAC (0.17%) cover US stocks for a fraction of that.
• Young and small: it launched in October 2024 and trades thinly, so bid-ask spreads can run wider than at household-name mid-cap funds.
• With a track record this short, the lower-risk mandate has not yet met a full market cycle. Cash also lands only once or twice a year, not monthly.

Full FEMV profile⁠

Full KMID profile⁠