Fidelity International has launched two sterling fixed income index funds, as it expands its passive offering for investors.
The Fidelity Index UK Gilt and Fidelity Index Sterling Corporate Bond funds will aim to provide investors with a low-cost passive fixed income solution, with ongoing charge figures of 10 and 12 basis points respectively.
The Gilt fund will track the FTSE Actuaries UK Gilts index and the corporate bond offering will follow the iBoxx GBP Liquid Corporates Large Cap index.
Head of wholesale John Clougherty said the extension of Fidelity's UK-domiciled index funds range to nine "reaffirms our commitment to deliver greater choice for clients".
"While active management remains at the heart of our business, we know that investors want choice and value when it comes to investing, whether that's through an active fund, a tracker or both," Clougherty said.
"We have a well-established index equity franchise with over £8 billion of assets under management, and we have consistently led the market in recent years in driving down the cost for index funds.
"There is currently a total £66.5bn invested in passive fixed income retail funds in the UK market and this is only set to increase as investors look for efficient, low cost access to the asset class."