FCVH ETF: U.S. value, CAD-hedged, holdings and MER

Short answer: FCVH is a rules-based U.S. value-tilted ETF from Fidelity, with CAD currency hedging on top. Listed in June 2020, 0.41% MER, 23.5% three-year annualized return through May 2026. It is a tilt, not a core, and the currency hedge is the feature that distinguishes it from unhedged peers.

FCVH is the U.S. value sibling to FCCV. The currency-neutral wrapper hedges USD exposure back to CAD, so headline returns reflect the underlying U.S. equity performance without the loonie’s moves layered on top.

Not financial advice. Fund details change. Check current disclosures before buying.

What FCVH actually is

FCVH is an ETF listed on the TSX in CAD. Fidelity runs the same rules-based value screen they use for FCCV, scoped to U.S. stocks. The “Currency Neutral” suffix means FCVH uses forward contracts to neutralize USD/CAD currency moves on a daily basis. You get the U.S. value strategy without the FX exposure.

FCVH fund facts
Attribute	Value
Ticker	FCVH (TSX)
Inception	June 5, 2020
Asset mix	U.S. equities, CAD-hedged
MER	0.41%
Currency	CAD (hedged)
Net assets	about $288.6M (May 2026)
3-year annualized return	23.5% (through May 19, 2026)

What FCVH holds

FCVH asset allocation

U.S. equity 99.6%

International equity 1.1%

Source: Morningstar Direct, data as of May 19, 2026, via The Globe and Mail. Negative cash reflects the cost of the currency hedge.

U.S. value tilts pull in more financials, energy, healthcare, and consumer staples, and less mega-cap tech, than a cap-weighted U.S. index would.

The fee

FCVH’s MER is 0.41%, about 4 basis points above FCMO (the momentum sibling). The extra cost is the currency hedge.

Fee drag calculator

How much FCVH's MER costs vs XUU over time

Starting balance Annual contribution Years Gross return %

Extra cost from FCVH

That's what you pay FCVH (0.41%) over 20 years above what XUU (0.07%) would charge on the same portfolio.

FCVH total fees

XUU total fees

Peer comparison: XUU, iShares Core S&P U.S. Total Market Index ETF (unhedged), broad U.S. equity benchmark. Assumes constant gross return, annual contributions made at year-end, and MER charged on average annual balance. Real returns vary.

For illustration only. Simplified compounding. Ignores trading costs, tracking error, distribution reinvestment timing, taxes, and the obvious fact that real returns are not constant. MERs and peer fees as of May 2026 and may change. Do not use this number as the basis for a real decision.

The 0.34% gap to XUU pays for both the value tilt and the hedge. Whether the hedge is worth it depends on your view of the loonie.

When the hedge helps and when it hurts

Tax treatment

Tax treatment for Canadian investors

Distribution frequency: Quarterly
What distributions are made of: Foreign income from U.S. dividends (taxed as interest in non-registered accounts)
Capital gains from the quarterly rebalance
Gains and losses from forward contracts used for currency hedging (treated as capital gains)
In a registered account: In an RRSP, the U.S. dividend withholding treaty exemption does NOT typically apply to currency-hedged ETFs, because the hedging structure changes how the underlying U.S. exposure is held. Verify with Fidelity's tax-treatment notes for FCVH specifically before assuming the treaty benefit.
In a non-registered account: Foreign income plus capital gains from the hedge create more taxable events than an unhedged equivalent. Plan for that in a non-registered account.
Adjusted cost base: The combination of quarterly equity rebalance and currency-hedge mark-to-market means more ACB events than a simpler U.S. equity ETF.

General guidance, not tax advice. Distribution composition shifts year to year, and edge cases (currency-hedged wrappers, fund-of-funds structures, the U.S.-Canada treaty's reach inside an RRSP) can change the picture. Confirm with the issuer's current T3 disclosures and a tax professional before acting.

How FCVH compares to alternatives

FCVH vs FCCV. Same Fidelity value strategy, different universe. FCVH is U.S., FCCV is Canada.
FCVH vs XUH (unhedged) or XUS (hedged). Broad U.S. equity index, hedged or unhedged, for around 0.07-0.10%. FCVH costs more because of the value tilt; the hedging cost is comparable.
FCVH vs VLUE (U.S.-listed). iShares MSCI USA Value Factor ETF, USD-denominated, 0.15% MER. Cheaper but no hedge and a USD account is needed.

Frequently asked questions

What is FCVH.TO?

FCVH is the ticker for Fidelity U.S. Value Currency Neutral ETF. It is a rules-based strategic-beta ETF that owns U.S. value stocks with the USD currency exposure hedged back to CAD.

What is FCVH’s MER?

0.41%. The fee covers both the value screen and the currency hedge.

What does “Currency Neutral” mean?

It means Fidelity uses forward contracts to neutralize USD/CAD currency moves on a daily basis. The fund delivers the underlying U.S. value strategy’s return in CAD terms without the loonie’s swings.

When does currency hedging help me?

When CAD strengthens against USD. If the loonie goes from 0.74 USD to 0.80 USD, an unhedged U.S. ETF loses ground; FCVH protects you.

When does currency hedging hurt me?

When CAD weakens. The loonie’s recent drift down has been a tailwind for unhedged U.S. ETFs and a headwind for FCVH.

Is FCVH actively managed?

Strategic beta, rules-based. Not discretionary.

Should I pick the hedged version over the unhedged?

Pick the hedge if you have a strong view that CAD will strengthen, if you’re matching CAD liabilities, or if you don’t want to think about currency. Pick unhedged if you want the natural USD exposure over a long horizon. Over decades, currency tends to wash out; over any 5-year window, it can dominate.

The honest verdict

Good fit for

DIY investors who want a deliberate U.S. value tilt, prefer not to take currency risk, and are willing to pay 30 to 40 bps for both the factor screen and the hedge.

Skip if

You're indifferent to currency exposure (FCMO or unhedged value alternatives are cheaper), or you're building a tax-efficient registered portfolio where the hedge mechanics complicate withholding-tax treatment.

Cheaper alternative XUS · iShares Core S&P 500 Index ETF (CAD-Hedged) · MER 0.10%

Bottom line

FCVH bundles two decisions into one ticker: a value tilt and a currency hedge. Both come at a cost. The three-year return supports the bundle, but neither piece is free. If you want the strategy without the hedge, look at a U.S.-listed value ETF. If you want the hedge without the strategy, a plain hedged S&P 500 ETF does the job for less.

FCVH ETF: what Fidelity U.S. Value Currency Neutral ETF is, what it holds, and how it works