First Trust Institutional Preferred Securities and Income ETF (FPEI)

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	Fact Sheet
	Summary Prospectus
	Monthly Performance Report
	Investor Guide

Fund Summary

2020 Estimated Capital Gain Distributions

Certain First Trust Exchange-Traded Funds are expected to pay a short term and/or long-term capital gain distribution in December. For a list of exchange-traded funds expected to pay a capital gain distribution, please click here. 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 - The First Trust Institutional Preferred Securities and Income ETF is an actively managed exchange-traded fund. The fund's investment objective is to seek total return and to provide current income. Under normal market conditions, the Fund invests at least 80% of its net assets (including investment borrowings) in institutional preferred securities and income-producing debt securities.

There can be no assurance that the Fund's investment objectives will be achieved.

Fund Overview

Ticker	FPEI
Fund Type	Preferred Income
Investment Advisor	First Trust Advisors L.P.
Investor Servicing Agent	Brown Brothers Harriman
Portfolio Manager/Sub-Advisor	Stonebridge Advisors LLC
CUSIP	33739P855
ISIN	US33739P8555
Intraday NAV	FPEIIV
Fiscal Year-End	10/31
Exchange	NYSE Arca
Inception	8/22/2017
Inception Price	$20.00
Inception NAV	$20.00
Expense Ratio	0.85%

Current Fund Data (as of 11/23/2020)

Closing NAV¹	$20.05
Closing Market Price²	$20.06
Bid/Ask Midpoint	$20.04
Bid/Ask Discount	0.05%
30-Day Median Bid/Ask Spread³	0.25%
Total Net Assets	$294,774,653
Outstanding Shares	14,700,002
Daily Volume	48,207
Average 30-Day Daily Volume	106,584
Closing Market Price 52-Week High/Low	$20.49 / $14.80
Closing NAV 52-Week High/Low	$20.46 / $15.24
Number of Holdings (excluding cash)	139

Top Holdings (as of 11/23/2020)*

Holding	Percent
EMERA INC Variable rate, due 06/15/2076	3.66%
BARCLAYS PLC Variable rate	2.78%
ENBRIDGE INC Variable rate, due 01/15/2077	2.62%
LLOYDS BANKING GROUP PLC Variable rate	2.14%
AERCAP HOLDINGS NV Variable rate, due 10/10/2079	2.06%
LAND O'LAKES INC 7%	1.97%
AUST & NZ BANKING GROUP Variable rate	1.96%
MARKEL CORP Variable rate	1.69%
BNP PARIBAS Variable rate	1.60%
APOLLO MANAGEMENT HOLDINGS Variable rate, due 01/14/2050	1.58%

* 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 11/25/2020)⁴	$0.0844
30-Day SEC Yield (as of 10/30/2020)⁵	4.79%
12-Month Distribution Rate (as of 10/30/2020)⁶	5.15%

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.

Fund Characteristics (as of 10/30/2020)

Weighted Average Effective Duration⁷	4.15 Years
% Institutional Securities (e.g. $1000 par)⁸	100.00%
% Retail Securities (e.g. $25 par)⁹	0.00%
Weighted Average % of Par¹¹	104.75%

Top Country Exposure (as of 11/23/2020)

Country	Percent
United States	37.88%
United Kingdom	11.99%
France	10.34%
Canada	10.18%
Switzerland	6.32%
Australia	4.39%
Italy	3.71%
Ireland	3.37%
The Netherlands	3.33%
Japan	2.10%

Security Type Breakdown (as of 10/30/2020)

Security	Percent
Fixed-to-Floating Rate and Fixed-to-Variable Rate Securities	89.41%
Fixed Rate Securities	6.22%
Floating Rate Securities	4.37%

Bid/Ask Premium/Discount (as of 11/23/2020)

	2019	Q1 2020	Q2 2020	Q3 2020
Days Traded at Premium	236	50	41	53
Days Traded at Discount	16	12	22	11

Credit Quality (as of 10/30/2020)

A-	0.49%
BBB+	9.23%
BBB	30.19%
BBB-	30.24%
BB+	19.38%
BB	7.65%
BB-	1.24%
B+	1.58%

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.

Top Industry Exposure (as of 11/23/2020)

Banks	44.59%
Insurance	15.85%
Capital Markets	12.89%
Oil, Gas & Consumable Fuels	7.72%
Electric Utilities	6.26%
Trading Companies & Distributors	3.37%
Food Products	3.06%
Diversified Telecommunication Services	1.76%
Multi-Utilities	1.70%
Diversified Financial Services	1.18%

Month End Performance (as of 10/30/2020)

	3 Month	YTD	1 Year	3 Year	5 Year	10 Year	Since Fund Inception¹⁰
Fund Performance *
Net Asset Value (NAV)	2.32%	0.90%	2.76%	3.87%	N/A	N/A	4.28%
After Tax Held	1.80%	-0.89%	0.60%	1.64%	N/A	N/A	2.08%
After Tax Sold	1.38%	0.48%	1.58%	1.97%	N/A	N/A	2.30%
Market Price	2.48%	0.84%	2.64%	3.87%	N/A	N/A	4.30%

Index Performance **
ICE BofA US Investment Grade Institutional Capital Securities Index	1.45%	4.11%	5.48%	5.59%	N/A	N/A	5.65%

Quarter End Performance (as of 9/30/2020)

	3 Month	YTD	1 Year	3 Year	5 Year	10 Year	Since Fund Inception¹⁰
Fund Performance *
Net Asset Value (NAV)	4.55%	0.25%	3.67%	4.12%	N/A	N/A	4.18%
After Tax Held	3.98%	-1.36%	1.50%	1.90%	N/A	N/A	1.98%
After Tax Sold	2.69%	0.11%	2.13%	2.17%	N/A	N/A	2.22%
Market Price	4.48%	0.40%	4.08%	4.17%	N/A	N/A	4.27%

Index Performance **
ICE BofA US Investment Grade Institutional Capital Securities Index	4.38%	3.56%	6.45%	5.66%	N/A	N/A	5.63%

3-Year Statistics (as of 10/30/2020)

	Standard Deviation	Alpha	Beta	Sharpe Ratio	Correlation
FPEI	10.94%	-2.50	1.28	0.24	0.98
ICE BofA US Investment Grade Institutional Capital Securities Index	8.40%	---	1.00	0.47	1.00

Standard Deviation is a measure of price variability (risk). Alpha is an indication of how much an investment outperforms or underperforms on a risk-adjusted basis relative to its benchmark.Beta is a measure of price variability relative to the market. Sharpe Ratio is a measure of excess reward per unit of volatility. Correlation is a measure of the similarity of performance.

*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.

**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.

ICE BofA US Investment Grade Institutional Capital Securities Index - The Index tracks the performance of US dollar denominated investment grade hybrid capital corporate and preferred securities publicly issued in the US domestic market.

Footnotes

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	The median bid-ask spread is calculated by identifying the national best bid and national best offer ("NBBO") for the fund as of the end of each 10 second interval during each trading day of the last 30 calendar days and dividing the difference between each such bid and offer by the midpoint of the NBBO. The median of those values is identified and that value is expressed as a percentage rounded to the nearest hundredth.
⁴	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.
⁵	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.
⁶	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.
⁷	A measure of a bond's sensitivity to interest rate changes that reflects the change in a bond's price given a change in yield. It accounts for the likelihood of changes in the timing of cash flows in response to interest rate movements.
⁸	Institutional Securities are predominantly $1000 par securities and only trade over-the-counter.
⁹	Retail Securities are predominantly $25 par securities but also include exchange-traded $20, $50, and $100 par securities.
¹⁰	Inception Date is 8/22/2017
¹¹	The weighted average % of par reflects the average price of the fixed income securities within the portfolio as a % of the underlying face value. This is calculated as a weighted average using the market values of each security within the portfolio. A value above 100 indicates that the underlying securities are trading at a premium, on average, and a value below 100 indicates that the underlying securities are trading at a discount, on average. The face value of a bond is typically $100 or $1000 and the face value of an exchange-traded retail security is typically $25.

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.

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. The fund is subject to market risk. Market risk is the risk that a particular security owned by the fund or shares of the fund in general may fall in value. 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 COVID-19 pandemic may last for an extended period of time, and will continue to impact the economy for the foreseeable future.

The fund is subject to management risk because the sub-advisor will apply investment techniques and risk analyses that may not have the desired result. There can be no guarantee that the fund will meet its investment objective.

The fund may be concentrated in a single industry or sector which involves additional risk including limited diversification.

Financial companies are especially subject to the adverse effects of economic recession, currency exchange rates, government regulation, decreases in the availability of capital, volatile interest rates, portfolio concentrations in geographic markets and in commercial and residential real estate loans, and competition from new entrants in their fields of business.

The fund may invest in preferred securities issued by real estate investment trusts (REITs). Companies involved in the real estate industry are subject to changes in the real estate market, vacancy rates and competition, volatile interest rates and economic recession.

Preferred securities combine some of the characteristics of both common stocks and bonds. Preferred securities are typically subordinated to bonds and other debt instruments in a company's capital structure, in terms of priority to corporate income, and therefore will be subject to greater credit risk than those debt instruments.

Preferred securities are also subject to credit risk, interest rate risk, income risk, call risk and extension risk. 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 the related risk that the value of a security may decline because of concerns about the issuer's ability to make such payments. Credit risk may be heightened if the fund invests in "high-yield" or "junk" debt. Interest rate risk is the risk that if interest rates rise, the prices of the fixed-rate instruments held by the fund may fall. Income risk is the risk that income from the fund's portfolio could decline if interest rates fall. Call risk is the risk that performance could be adversely impacted if an issuer calls higher-yielding debt instruments held by the fund. Extension risk is the risk that, when interest rates rise, certain obligations will be paid off by the issuer more slowly than anticipated, causing the value of these securities to fall.

The market value of floating rate securities may fall in a declining interest rate environment and may also fall in a rising interest rate environment if there is a lag between the rise in interest rates and the reset. Income earned by the Fund on floating rate and fixed-to-floating rate securities may decline due to lower coupon payments on floating-rate securities.

Convertible securities have characteristics of both equity and debt securities and, as a result, are exposed to certain additional risks. The market values of convertible securities tend to decline as interest rates increase and, conversely, to increase as interest rates decline.

Mandatory convertible securities are a subset of convertible securities, the conversion of which into common stock is not optional, and the conversion price at maturity is based solely upon the market price of the underlying common stock, which may be significantly less than par or the price paid. Mandatory convertible securities generally are subject to a greater risk of loss of value than securities convertible at the option of the holder.

Credit spread risk is the risk that credit spreads (i.e., the difference in yield between securities that have differences in credit quality or other factors) may increase, which may reduce the market values of the fund's securities.

Contingent convertible securities ("CoCos") may provide for mandatory conversion into common stock of the issuer under certain circumstances. Since the common stock of the issuer may not pay a dividend, investors in these instruments could experience a reduced income rate, potentially to zero; and conversion would deepen the subordination of the investor, hence worsening standing in a bankruptcy.

High yield securities, or "junk" bonds, are subject to greater market fluctuations and risk of loss than securities with higher ratings, and therefore, are considered to be highly speculative. The fund may invest in lower-quality debt issued by companies that are highly leveraged. Lower-quality debt tends to be less liquid than higher-quality debt. Investments in restricted securities could have the effect of increasing the amount of the fund's assets invested in illiquid securities if qualified institutional buyers are unwilling to purchase these securities.

An investment in a fund containing securities of non-U.S. issuers is subject to additional risks, including currency fluctuations, political risks, withholding, the lack of adequate financial information, and exchange control restrictions impacting non-U.S. issuers. These risks may be heightened for securities of companies located in, or with significant operations in, emerging market countries. The fund may invest in depositary receipts which may be less liquid than the underlying shares in their primary trading market. Changes in currency exchange rates and the relative value of non-U.S. currencies will affect the value of the fund's investments and the value of the fund's shares.

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.

The fund will, under most circumstances, effect a significant portion of creations and redemptions for cash, rather than in-kind securities. As a result, an investment in the fund may be less tax-efficient.

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.

Not FDIC Insured • Not Bank Guaranteed • May Lose Value