First Trust/Aberdeen Emerging Opportunity Fund (FEO)
  • 2021 Estimated Capital Gain Distributions
    Certain First Trust Closed-End Funds are expected to pay a long-term capital gain distribution in December. For a list of closed-end funds expected to pay a long-term capital gain distribution, please click here. Also, none of the First Trust Closed-End Funds are expected to pay any short-term capital gain distributions in December. Final determination of the source and tax status of all distributions paid in the current year are to be made after year-end and could differ from the expectations noted above.  
Investment Objective/Strategy - First Trust/Aberdeen Emerging Opportunity Fund (the "Fund") is a diversified, closed-end management investment company. The Fund's investment objective is to provide a high level of total return. The Fund pursues its investment objective by investing at least 80% of its Managed Assets in a diversified portfolio of equity and fixed-income securities of issuers in emerging market countries. "Managed Assets" means the total asset value of the Fund minus the sum of the Fund's liabilities other than the principal amount of borrowings, if any.
There can be no assurance that the Fund's investment objectives will be achieved. The Fund may not be appropriate for all investors.
Fund Overview
Fund TypeEmerging Markets Total Return
Investment AdvisorFirst Trust Advisors L.P.
Portfolio Manager/Sub-AdvisorAberdeen Standard Investments Inc.
Investor Servicing AgentBNY Mellon Investment Servicing (US) Inc.
Fiscal Year-End12/31
Inception Price$20.00
Inception NAV$19.10
Current Fund Data (as of 11/30/2021)
Closing NAV1$14.02
Closing Market Price2$14.02
Premium to Net Asset Value (NAV)0.00%
Total Managed Assets$75,762,607
Common Shares Outstanding4,991,802
Dividend FrequencyQuarterly
Dividend Per Share Amt3$0.3500
Distribution Rate49.99%
Daily Volume18,514
Average 30-Day Daily Volume15,778
Closing Market Price 52-Week High/Low$15.84 / $13.73
Closing NAV 52-Week High/Low$17.16 / $14.01
Expense Ratios (as of 6/30/2021)
Annual ExpensesPercent of
Net Assets
Percent of
Management Fees1.07%1.00%
Other Expenses
Total Operating Expenses1.49%1.39%
Leverage Costs0.08%0.07%
Total Annual Expenses1.57%1.46%
Leverage costs include interest, fees and any upfront/offering costs associated with borrowings by the Fund.
Leverage Information (as of 11/30/2021)5
Total Net Assets with Leverage$75,762,607
Amount Attributable to Common Shares$69,962,607
Amount Attributable to Preferred Shares$0
Amount Attributable to Other Borrowings$5,800,000
Leverage (% of Total Adjusted Net Assets)7.66%
Asset Type Breakdown (as of 10/31/2021)6
Asset Percent
Fixed Income 55.90%
Equity 44.10%
Currency Exposure (as of 10/31/2021)6
Exposure Percent
Total Investment Exposure to US Currency 34.39%
The above represents U.S. dollar denominated assets and foreign currency denominated assets hedged back into U.S. dollars.
Top 10 Countries (as of 10/31/2021)6
Country Percent
China 15.91%
Russia 9.93%
Brazil 7.27%
India 6.86%
Mexico 6.20%
Taiwan 5.47%
South Korea 5.18%
South Africa 4.68%
Indonesia 3.35%
Oman 2.25%
Market Price and NAV History (Since Inception)
Past performance is not indicative of future results.
% Premium/Discount (Since Inception)
Top 10 Holdings (as of 10/31/2021)6
Holding Percent
Taiwan Semiconductor Manufacturing Co., Ltd. 3.98%
Samsung Electronics Co., Ltd., Preference Shares 3.44%
Russian Federal Bond - Ofz (RUB), 7.65%, 4/10/30 3.36%
Brazil Notas Do Tesouro Nacional Series F (BRL), 10%, 1/1/27 3.34%
Republic of South Africa Government Bond (ZAR), 9%, 1/31/40 3.05%
Tencent Holdings Ltd. 2.30%
Russian Federal Bond - Ofz (RUB), 7.6%, 7/20/22 2.24%
Alibaba Group Holdings Ltd. 1.97%
Malaysia Government Bond (MYR), 3.892%, 3/15/27 1.95%
Mexican Bonos (MXN), 5.75%, 3/5/26 1.80%
Credit Quality Breakdown for Bonds (as of 10/31/2021)6
  Credit Quality Percent
A+ 1.83%
A 2.06%
A- 5.52%
BBB+ 5.18%
BBB 15.19%
BBB- 2.71%
BB+ 4.75%
BB 14.89%
BB- 12.58%
B+ 8.46%
B 10.42%
B- 6.48%
CCC+ 4.11%
NR 5.82%
The credit quality and ratings information presented above reflect the ratings assigned by one or more nationally recognized statistical rating organizations (NRSROs), including Standard & Poor's Rating Group, a division of the McGraw Hill Companies, Inc., Moody's Investors Service, Inc., Fitch Ratings, or a comparably rated NRSRO. For situations in which a security is rated by more than one NRSRO and the ratings are not equivalent, the highest ratings are used. Sub-investment grade ratings are those rated BB+/Ba1 or lower. Investment grade ratings are those rated BBB-/Baa3 or higher. The credit ratings shown relate to the creditworthiness of the issuers of the underlying securities in the Fund, and not to the Fund or its shares. Credit ratings are subject to change.
Performance (as of 10/31/2021)
  3 Month YTD 1 Year 3 Year 5 Year 10 Year Since
Fund Performance *
Net Asset Value (NAV) -1.96% -2.67% 12.76% 11.77% 6.94% 5.30% 7.31%
Market Price 1.81% 6.25% 28.48% 17.09% 9.10% 6.14% 6.75%

*Total return is the combination of reinvested dividend, capital gain, and return of capital distributions, if any, at prices obtained by the Dividend Reinvestment Plan, and changes in the NAV and Market Price. The NAV total return takes into account the fund's total annual expenses and does not reflect sales load. Returns are average annualized total returns, except those for periods of less than one year, which are cumulative. Past performance is not indicative of future results.

1 The fund's NAV is calculated by dividing the value of all the fund's assets, less all liabilities, by the total number of common shares outstanding.
2 Fund shares are purchased and sold on an exchange at their market price rather than net asset value (NAV), which may cause the shares to trade at a price greater than NAV (premium) or less than NAV (discount).
3 Most recent distribution paid or declared to today's date. Subject to change in the future. There is no guarantee that the fund will declare dividends.
4 Distribution rates are calculated by annualizing the most recent distribution paid or declared through today's date and then dividing by the most recent market price. The distribution consists of the sum of net investment income, net realized short-term capital gains, net realized long-term capital gains, and return of capital. Distribution rates may vary. Any distribution adjustment will not be reflected until after the declaration date for the next distribution. See the fund's 19a-1 Notices, if any, located under the "News & Literature" section of the website for estimates of distribution sources. Final determination of the source and tax status of all distributions paid in the current year will be made after year-end.
5 Leverage is a technique where a closed-end fund's manager borrows assets at one rate and invests the proceeds from the borrowed assets at another rate, seeking to increase yield and total return. Use of leverage can result in additional risk and cost, and can magnify the effect of any losses.
6 Market value information used in calculating the percentages is based upon trade date plus one recording of transactions, which can differ from regulatory financial reports (Forms N-CSR and N-PORT Part F) that are based on trade date recording of security transactions. Holdings are subject to change.
7 Inception Date is 8/28/2006

Risk Considerations

Investment return and market value of an investment in the fund will fluctuate. Shares, when sold, may be worth more or less than their original cost.

The outbreak of the respiratory disease designated as COVID-19 in December 2019 has caused significant volatility and declines in global financial markets, which have caused losses for investors. While the development of vaccines has slowed the spread of the virus and allowed for the resumption of "reasonably" normal business activity in the United States, many countries continue to impose lockdown measures in an attempt to slow the spread. Additionally, there is no guarantee that vaccines will be effective against emerging variants of the disease.

The debt securities in which the fund invests are subject to certain risks, including issuer risk, reinvestment risk, prepayment risk, credit risk, and interest rate risk. Issuer risk is the risk that the value of fixed-income securities may decline for a number of reasons which directly relate to the issuer. Reinvestment risk is the risk that income from the fund's portfolio will decline if the fund invests the proceeds from matured, traded or called bonds at market interest rates that are below the fund portfolio's current earnings rate. Prepayment risk is the risk that, upon a prepayment, the actual outstanding debt on which the fund derives interest income will be reduced. Credit risk is the risk that an issuer of a security will be unable or unwilling to make dividend, interest and/or principal payments when due and that the value of a security may decline as a result. Interest rate risk is the risk that fixed-income securities will decline in value because of changes in market interest rates.

The fund invests in non-investment grade debt instruments, commonly referred to as "high-yield securities". High yield securities are subject to greater market fluctuations and risk of loss than securities with higher ratings. Lower-quality debt tends to be less liquid than higher-quality debt.

The fund invests in equity and debt securities of non-U.S. issuers which are subject to higher volatility than securities of U.S. issuers. Risks may be heightened for securities of companies located in, or with significant operations in, emerging market countries. Because the fund invests in non-U.S. securities, you may lose money if the local currency of a non-U.S. market depreciates against the U.S. dollar.

Use of leverage can result in additional risk and cost, and can magnify the effect of any losses.

The risks of investing in the fund are spelled out in the prospectus, shareholder report and other regulatory filings.

Not FDIC Insured • Not Bank Guaranteed • May Lose Value