First Trust Dow 30 Equal Weight ETF (EDOW)
  • On September 14, 2020, a Special Meeting of shareholders of First Trust Mega Cap AlphaDEX® Fund (Nasdaq: FMK), an index based exchange-traded fund (“ETF”), and First Trust Dow 30 Equal Weight ETF (NYSE Arca: EDOW), both managed by First Trust Advisors L.P. (“FTA”) will be held. Holders of record of shares of EDOW and FMK at the close of business on July 9, 2020 are entitled to notice of and to vote at the Meeting to approve the reorganization of FMK into EDOW. EDOW will be the surviving fund. More information on the proposed transaction can be found here.
Investment Objective/Strategy - The First Trust Dow 30 Equal Weight ETF seeks investment results that correspond generally to the price and yield (before fees and expenses) of an equity index called the Dow Jones Industrial Average Equal Weight Index (the "Index"). The Fund will normally invest at least 90% of its net assets (including investment borrowings) in common stocks that comprise the Index. The Fund, using an "indexing" investment approach, attempts to replicate, before fees and expenses, the performance of the Index. The Fund's investment advisor seeks a correlation of 0.95 or better (before fees and expenses) between the Fund's performance and the performance of the Index; a figure of 1.00 would represent perfect correlation.
There can be no assurance that the Fund's investment objectives will be achieved.
  • The Dow Jones Industrial Average Equal Weight Index (the "DJIA Equal Weight Index") is an equally weighted index designed to be a price neutral version of the price-weighted Dow Jones Industrial AverageTM ("DJIA").
  • The 30 securities comprising the DJIA are U.S. blue-chip companies covering a wide range of industries and have the following attributes
    • Companies with an excellent reputation.
    • Companies which demonstrate sustained growth.
    • Companies which are of interest to a large number of market participants.
    • Companies which derive a majority of revenues from the U.S.
  • The DJIA Equal Weight Index gives equal exposure to all 30 constituents. The same weight, or importance, is given to each stock in the index, allowing for the performance of lower priced companies to contribute as much as the higher priced companies within the index.
  • To maintain the equal weight focus, the index is rebalanced quarterly (except when there is a component change, in which case the index is rebalanced at the end of the month during which the change takes place).
Fund Overview
Fund TypeLarge Cap Equity
Investment AdvisorFirst Trust Advisors L.P.
Investor Servicing AgentBank of New York Mellon
Fiscal Year-End12/31
ExchangeNYSE Arca
Inception Price$19.97
Inception NAV$19.97
Rebalance FrequencyQuarterly
Expense Ratio0.50%
Current Fund Data (as of 8/13/2020)
Closing NAV1$24.73
Closing Market Price2$24.72
Bid/Ask Midpoint$24.72
Bid/Ask Discount0.03%
Total Net Assets$39,562,252
Outstanding Shares1,600,002
Daily Volume2,345
Average 30-Day Daily Volume7,574
Closing Market Price 52-Week High/Low$26.64 / $17.66
Closing NAV 52-Week High/Low$26.64 / $17.53
Number of Holdings (excluding cash)30
Fund Characteristics (as of 7/31/2020)7
Maximum Market Cap.$1,817,315
Median Market Cap.$200,702
Minimum Market Cap.$28,970
Price/Cash Flow13.01
Top Holdings (as of 8/13/2020)*
Holding Percent
Apple Inc. 4.26%
The Procter & Gamble Company 3.69%
The Home Depot, Inc. 3.65%
Caterpillar Inc. 3.59%
The Walt Disney Company 3.56%
Pfizer Inc. 3.55%
UnitedHealth Group Incorporated 3.54%
Walmart, Inc. 3.52%
Microsoft Corporation 3.49%
NIKE, Inc. (Class B) 3.47%

* Excluding cash.  Holdings are subject to change.

NAV History (Since Inception)
Past performance is not indicative of future results.
Distribution Information
Dividend per Share Amt (as of 8/14/2020)3$0.1261
30-Day SEC Yield (as of 7/31/2020)42.47%
12-Month Distribution Rate (as of 7/31/2020)52.57%
Index Yield (as of 7/31/2020)63.08%
For funds with certain equity strategies, due to the negative economic impact across many industries caused by the recent COVID-19 outbreak, certain of the issuers of the securities included in the fund may elect to reduce the amount of dividends and/or distributions paid in the future. As a result, the "12-Month Distribution Rate," which is based on the fund's trailing 12-month ordinary distributions, will likely be higher, and in some cases significantly higher, than the actual 12-month distribution rate achieved by the fund.
Bid/Ask Midpoint vs. NAV (as of 6/30/2020)
Number of Days Bid/Ask Midpoint Above NAV
Quarter Ended 0-49
Basis Points
Basis Points
Basis Points
Basis Points
6/30/2020 38 0 0 0
3/31/2020 31 2 1 0
12/31/2019 28 0 0 0
9/30/2019 58 0 0 0
Number of Days Bid/Ask Midpoint Below NAV
Quarter Ended 0-49
Basis Points
Basis Points
Basis Points
Basis Points
6/30/2020 25 0 0 0
3/31/2020 28 0 0 0
12/31/2019 36 0 0 0
9/30/2019 6 0 0 0

The price used to calculate market return is determined by using the midpoint between the highest bid and the lowest offer on the stock exchange, on which shares of the Fund are listed for trading, as of the time that the Fund's NAV is calculated.

Top Sector Exposure (as of 8/13/2020)
Information Technology 19.83%
Health Care 13.86%
Consumer Staples 13.70%
Industrials 12.94%
Financials 12.92%
Consumer Discretionary 10.59%
Communication Services 6.84%
Energy 5.93%
Materials 3.39%
Month End Performance (as of 7/31/2020)
  3 Month YTD 1 Year 3 Year 5 Year 10 Year Since
Fund Performance *
Net Asset Value (NAV) 5.65% -8.48% -1.72% N/A N/A N/A 7.83%
After Tax Held 5.41% -8.94% -2.74% N/A N/A N/A 6.98%
After Tax Sold 3.34% -5.04% -1.03% N/A N/A N/A 5.68%
Market Price 5.70% -8.52% -1.84% N/A N/A N/A 7.80%
Index Performance **
Dow Jones Industrial Average Equal Weight Index 5.82% -7.87% -0.83% N/A N/A N/A 8.52%
Dow Jones Industrial Average™ 9.23% -6.14% 0.83% N/A N/A N/A 8.74%
Quarter End Performance (as of 6/30/2020)
  3 Month YTD 1 Year 3 Year 5 Year 10 Year Since
Fund Performance *
Net Asset Value (NAV) 15.71% -9.76% -2.18% N/A N/A N/A 7.54%
After Tax Held 15.45% -10.22% -3.20% N/A N/A N/A 6.67%
After Tax Sold 9.30% -5.80% -1.29% N/A N/A N/A 5.45%
Market Price 15.60% -9.76% -2.26% N/A N/A N/A 7.53%
Index Performance **
Dow Jones Industrial Average Equal Weight Index 16.36% -9.19% -1.28% N/A N/A N/A 8.24%
Dow Jones Industrial Average™ 18.51% -8.43% -0.54% N/A N/A N/A 8.08%

*Performance data quoted represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate and shares when sold or redeemed, may be worth more or less than their original cost.

After Tax Held returns represent return after taxes on distributions. Assumes shares have not been sold. After Tax Sold returns represent the return after taxes on distributions and the sale of fund shares. Returns do not represent the returns you would receive if you traded shares at other times. Market Price returns are based on the midpoint of the bid/ask spread on the stock exchange on which shares of the fund are listed for trading as of the time that the fund’s NAV is calculated. Returns are average annualized total returns, except those for periods of less than one year, which are cumulative.

After-tax returns are calculated using the historical highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on the investor’s tax situation and may differ from those shown. The after-tax returns shown are not relevant to investors who hold their fund shares through tax-deferred arrangements such as 401(k) plans or individual retirement accounts.

**Performance information for the Dow Jones Industrial Average Equal Weight Index is for illustrative purposes only and does not represent actual fund performance.
Indexes do not charge management fees or brokerage expenses, and no such fees or expenses were deducted from the performance shown. Indexes are unmanaged and an investor cannot invest directly in an index.

Dow Jones Industrial Average™ - The Index is a price-weighted average of 30 U.S. blue-chip companies.

1 The NAV represents the fund's net assets (assets less liabilities) divided by the fund's outstanding shares .
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 The 30-day SEC yield is calculated by dividing the net investment income per share earned during the most recent 30-day period by the maximum offering price per share on the last day of the period and includes the effects of fee waivers and expense reimbursements, if applicable.
5 12-Month Distribution Rate is calculated by dividing the sum of the fund's trailing 12-month ordinary distributions paid or declared by the NAV price. Distribution rates may vary.
6 Index yield represents the weighted average trailing 12-month dividend of the constituents of the Dow Jones Industrial Average Equal Weight Index.
7 All market capitalization numbers are in USD$ Millions.
8 Inception Date is 8/8/2017

You should consider the fund's investment objectives, risks, and charges and expenses carefully before investing. You can download a prospectus or summary prospectus, or contact First Trust Portfolios L.P. at 1-800-621-1675 to request a prospectus or summary prospectus which contains this and other information about the fund. The prospectus or summary prospectus should be read carefully before investing.

ETF Characteristics

The fund lists and principally trades its shares on the NYSE Arca, Inc.

The fund's return may not match the return of the Dow Jones Industrial Average Equal Weight Index.  Securities held by the fund will generally not be bought or sold in response to market fluctuations.

Investors buying or selling fund shares on the secondary market may incur customary brokerage commissions. Market prices may differ to some degree from the net asset value of the shares. Investors who sell fund shares may receive less than the share's net asset value. Shares may be sold throughout the day on the exchange through any brokerage account. However, unlike mutual funds, shares may only be redeemed directly from the fund by authorized participants, in very large creation/redemption units. If the fund's authorized participants are unable to proceed with creation/redemption orders and no other authorized participant is able to step forward to create or redeem, fund shares may trade at a discount to the fund's net asset value and possibly face delisting.

Risk Considerations

The fund's shares will change in value and you could lose money by investing in the fund. One of the principal risks of investing in the fund is market risk. Market risk is the risk that a particular security owned by the fund, fund shares or securities in general may fall in value. There can be no assurance that the fund's investment objective will be achieved. 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. The impact of this COVID-19 pandemic may be short term or may last for an extended period of time, and in either case could result in a substantial economic downturn or recession.

The fund may invest in securities issued by companies concentrated in a particular industry which involves additional risks including limited diversification.

The fund currently has fewer assets than larger funds, and like other relatively new funds, large inflows and outflows may impact the fund's market exposure for limited periods of time.

As the use of Internet technology has become more prevalent in the course of business, the fund has become more susceptible to potential operational risks through breaches in cyber security. Such events could cause the fund to incur regulatory penalties, reputational damage, additional compliance costs associated with corrective measures and/or financial loss.

The fund is classified as "non-diversified" and may invest a relatively high percentage of its assets in a limited number of issuers. As a result, the fund may be more susceptible to a single adverse economic or regulatory occurrence affecting one or more of these issuers, experience increased volatility and be highly concentrated in certain issuers.

First Trust Advisors L.P. is the adviser to the fund. First Trust Advisors L.P. is an affiliate of First Trust Portfolios L.P., the fund's distributor.

Dow Jones Industrial Average® Equal Weight Index (“Index”) is a product of S&P Dow Jones Indices LLC or its affiliates (“SPDJI”) and has been licensed for use by First Trust. Standard & Poor’s® and S&P® are registered trademarks of Standard & Poor’s Financial Services LLC (“S&P”); Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”); and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by First Trust. The Fund is not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, or their respective affiliates and none of such parties make any representation regarding the advisability of investing in such product nor do they have any liability for any errors, omissions, or interruptions of the Index.

Not FDIC Insured • Not Bank Guaranteed • May Lose Value