Fidelity MSCI Consumer Staples Index ETF (FSTA): Complete Beginner's Guide

What is Fidelity MSCI Consumer Staples Index ETF?

FSTA holds stocks of companies that make everyday household products people buy regardless of the economy, like food, beverages, and cleaning supplies. These businesses tend to be stable and reliable because demand for essentials rarely drops, even during recessions. It is a solid defensive choice for investors who want steady returns with lower volatility.

FSTA is managed by Fidelity and has been available since 2013. With $1.5B in assets under management, it's a growing fund that has attracted significant investor interest. The fund charges an expense ratio of 0.08%, which means for every $10,000 you invest, you pay approximately $8 per year in management fees.

FSTA at a Glance — Key Metrics

Top 10 Holdings in FSTA

FSTA holds 105 different securities. Here are the largest positions that make up the core of this fund:

FSTA Performance History

Here's how FSTA has performed over different time periods. Remember that past performance doesn't guarantee future results, but it gives you a sense of the fund's track record:

Beginner Suitability Score: 9.5/10

Our proprietary Beginner Suitability Score evaluates ETFs based on five factors that matter most to new investors: fees, volatility, diversification, dividend history, and track record length.

FSTA scores 9.5/10 because it has very low fees, shows lower-than-average volatility, offers broad diversification across 105 holdings, and has been available since 2013, giving it a proven track record.

How to Buy FSTA — Step by Step

1. Open a brokerage account — We recommend Fidelity, Charles Schwab, or Vanguard for ETF investing. All offer $0 commissions on ETF trades.
2. Fund your account — Transfer money from your bank. You can start with as little as $1 if your broker offers fractional shares.
3. Search for "FSTA" — Use the search bar in your brokerage platform to find Fidelity MSCI Consumer Staples Index ETF.
4. Place your order — Choose "Market Order" for simplicity or "Limit Order" if you want to set a specific price. Enter how many shares (or dollar amount) you want to buy.
5. Set up automatic investing — Most brokers let you schedule recurring purchases (e.g., $100/month on the 1st). This is dollar cost averaging in action.

FSTA Sector Allocation

Here's how FSTA distributes its investments across different sectors of the economy:

Dollar Cost Averaging Into FSTA

Here's what consistent monthly investing could look like over time, assuming an average annual return of 8% (approximate historical stock market average):

*Projections assume 8% average annual return with monthly compounding. Actual returns will vary. Past performance doesn't guarantee future results.

Fee impact: With FSTA's expense ratio of 0.08%, a $10,000 investment would lose approximately $686 to fees over 20 years compared to a zero-fee investment. This is a reasonable fee level for the value provided.

Pros and Cons of FSTA

Frequently Asked Questions