The Canadians living in Europe will compete in the prestigious competition for young dressage horses in Verden, Germany.
There were tears and cheers as the German ruled the ring with high scores, an Olympic GPS record and an unbeatable Freestyle.
After drawing into the Individual Final in Tokyo after a US rider withdrew their horse, Fraser-Beaulieu breaks Ashley Holzer's 2008 record.
Germany won gold with a masterclass from Schneider, Werth and von Bredow-Werndl; the USA takes silver and Great Britain claims bronze.
Canada misses the cut for the Team and Individual Finals; Brittany Fraser-Beaulieu and All In log best score for the team.
Two great rides on Sunday from Dorothee Schneider with Showtime and Isabell Werth with Bella Rose secured the pole position.
Two athletes scored personal-best efforts, including leader of the day Jessica von Bredow-Werndl (GER) riding TSF Dalera.
Top score goes to Germany's Jessica von Bredow-Werndl and TSF Dalera with 84.379%; Canada's Chris von Martels and Eclips earn 68.059%.
A total of 70 horses were presented, with two held over for re-inspection tomorrow morning, when competition starts with the Grand Prix.
The team of Brittany Fraser-Beaulieu, Lindsay Kellock and Chris von Martels, with alternate Naima Moreira Laliberté, are ready to roll.