FFLG vs GUSE

FFLGBFidelity Fundamental Large Cap Growth ETF

GUSEAGoldman Sachs Enhanced U.S. Equity ETF

In short

FFLG Fidelity hands its portfolio managers' highest-conviction large-cap growth ideas to a quantitative construction process, which builds them into a roughly 100-stock portfolio. Human picks, machine sizing, at a below-median fee.

GUSE Goldman's fundamental stock pickers hunting long-term growth in US companies, for 0.30% a year. The strategy dates to 2008 and charges well under the typical active US growth fund.

Stated mandate

FFLG The fund seeks long-term capital growth through a diversified domestic large-cap growth equity strategy. Its process combines Fidelity portfolio managers’ fundamental research and high-conviction ideas with quantitative portfolio construction.

GUSE The Fund seeks long-term growth of capital by investing in companies that the Investment Adviser believes are positioned for long-term growth.

Why people hold it

• FFLG Charges 0.38% a year, under the median fee for active large-cap growth funds in its peer group.
• The mandate is unusually specific: fundamental research and high-conviction ideas, then quantitative portfolio construction across roughly 100 domestic large-cap growth names.fidelity.com
• Sits in the top quartile of its active US growth cohort, with a live record dating to its 2021 launch and quarterly distributions.

• GUSE Charges 0.30% a year, against a 0.54% median for its active US growth cohort. Cheap, for stock picking.
• Actively run with no index to shadow. Managers hold companies they judge positioned for long-term growth, so the portfolio can look different from a large-cap benchmark.
• Inception dates to 2008, so the strategy has run through multiple market cycles, not one long rally.
• One of the stronger implementations in a crowded field of active US growth funds.

Worth knowing

• FFLG This is one slice of the market. A domestic large-cap growth book moves with growth stocks, which can look nothing like the broad index in a given stretch.
• Fidelity's own FELG covers large-cap growth at 0.18%, so the in-house index-plus route costs less than this stock-picking one.
• Mid-sized and moderately traded, so spreads can run wider than at the category's largest funds.

• GUSE Trades thinly next to the category's heavyweights. Spreads can be wider, which bites most on large or hurried orders.
• Two peers in the same top tier undercut it on fee: JUSA at 0.12% and FELG at 0.18%. Price is not where this one stands out.
• Distributions land once or twice a year, not monthly. Growth of capital is the stated goal, not an income stream.

Full FFLG profile⁠

Full GUSE profile⁠