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First Trust India NIFTY 50 Equal Weight ETF (NFTY)
  • 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 India NIFTY 50 Equal Weight ETF (the "Fund"), formerly First Trust Taiwan AlphaDEX® Fund, seeks investment results that correspond generally to the price and yield (before the Fund's fees and expenses) of an equity index called the NIFTY 50 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.
There can be no assurance that the Fund's investment objectives will be achieved.
  • The NIFTY 50 Equal Weight Index is an equally weighted index that consists of the same companies as the NIFTY 50 Index, an index that tracks the performance of the 50 largest and most liquid Indian securities listed on the National Stock Exchange of India.
  • The NIFTY 50 Equal Weight Index gives equal exposure to all 50 constituents. The same weight, or importance, is given to each stock in the index, allowing for the performance of smaller companies to contribute as much as the larger companies within the index.
  • To maintain the equal weight focus, the index is rebalanced quarterly and reconstituted semi-annually.
Fund Overview
TickerNFTY
Fund TypeIndia Equity
Investment AdvisorFirst Trust Advisors L.P.
Investor Servicing AgentBrown Brothers Harriman
CUSIP33737J802
ISINUS33737J8027
Intraday NAVNFTYIV
Fiscal Year-End12/31
ExchangeNasdaq
Inception2/14/2012
Inception Price$30.00
Inception NAV$30.00
Rebalance FrequencyQuarterly
Expense Ratio0.80%
Current Fund Data (as of 11/23/2020)
Closing NAV1$35.40
Closing Market Price2$35.62
Bid/Ask Midpoint$35.23
Bid/Ask Discount0.49%
30-Day Median Bid/Ask Spread32.23%
Total Net Assets$3,540,079
Outstanding Shares100,002
Daily Volume404
Average 30-Day Daily Volume469
Closing Market Price 52-Week High/Low$35.81 / $20.59
Closing NAV 52-Week High/Low$36.01 / $20.14
Number of Holdings (excluding cash)51
Top Holdings (as of 11/23/2020)*
Holding Percent
Bajaj Finserv Limited 2.62%
Kotak Mahindra Bank Limited 2.61%
Bajaj Finance Limited 2.44%
IndusInd Bank Limited 2.44%
Tata Steel Limited 2.42%
Axis Bank Limited 2.36%
HDFC Bank Limited 2.32%
Housing Development Finance Corporation Ltd. (HDFC) 2.30%
ICICI Bank Limited 2.23%
Larsen & Toubro Ltd. 2.20%

* 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 11/24/2020)4$0.1265
30-Day SEC Yield (as of 10/30/2020)51.14%
12-Month Distribution Rate (as of 10/30/2020)60.70%
Index Yield (as of 10/30/2020)71.75%
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)8
Maximum Market Cap.$174,945
Median Market Cap.$11,625
Minimum Market Cap.$4,167
Price/Earnings17.83
Price/Book1.97
Price/Cash Flow11.30
Price/Sales1.08
Bid/Ask Premium/Discount (as of 11/23/2020)
  2019 Q1 2020 Q2 2020 Q3 2020
Days Traded at Premium 152 9 41 45
Days Traded at Discount 100 53 22 19
Top Sector Exposure (as of 11/23/2020)
Financials 25.86%
Materials 16.44%
Consumer Discretionary 13.48%
Information Technology 9.74%
Energy 8.69%
Consumer Staples 7.31%
Health Care 6.88%
Utilities 5.80%
Industrials 4.08%
Communication Services 1.72%
Month End Performance (as of 10/30/2020)
  3 Month YTD 1 Year 3 Year 5 Year 10 Year Since
Fund
Inception9
Fund Performance *
Net Asset Value (NAV) 5.36% -10.22% -10.75% -4.11% 2.03% N/A 2.60%
After Tax Held 5.36% -10.53% -11.06% -4.55% 1.25% N/A 1.74%
After Tax Sold 3.17% -6.08% -6.40% -3.28% 1.22% N/A 1.62%
Market Price 4.40% -10.91% -11.06% -4.48% 1.93% N/A 2.48%
Index Performance **
NIFTY 50 Equal Weight 6.21% -7.13% -7.32% -5.58% N/A N/A N/A
NIFTY 50 Index 6.63% -7.55% -5.21% 0.89% 6.28% N/A 5.55%
Quarter End Performance (as of 9/30/2020)
  3 Month YTD 1 Year 3 Year 5 Year 10 Year Since
Fund
Inception9
Fund Performance *
Net Asset Value (NAV) 10.00% -11.79% -7.96% -3.67% 2.24% N/A 2.42%
After Tax Held 10.00% -12.09% -8.28% -4.12% 1.47% N/A 1.55%
After Tax Sold 5.92% -7.01% -4.74% -2.95% 1.39% N/A 1.48%
Market Price 10.26% -11.34% -7.91% -3.45% 2.54% N/A 2.45%
Index Performance **
NIFTY 50 Equal Weight 11.44% -9.17% -4.68% -4.12% N/A N/A N/A
NIFTY 50 Index 12.13% -10.62% -5.15% 1.82% 6.06% N/A 5.19%

*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 NIFTY 50 Equal Weight 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.

On April 17, 2018, the fund's underlying index changed from the NASDAQ AlphaDEX® Taiwan Index to the NIFTY 50 Equal Weight Index. On July 14, 2015, the fund's underlying index changed from the Defined Taiwan Index to the NASDAQ AlphaDEX® Taiwan Index. Therefore, the fund's performance and historical returns shown for the periods prior to these dates are not necessarily indicative of the performance that the fund, based on its current index, would have generated.

NIFTY 50 Index - The Index tracks the performance of the 50 largest and most liquid Indian securities listed on the National Stock Exchange of India.

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 Index yield represents the weighted average trailing 12-month dividend of the constituents of the NIFTY 50 Equal Weight.
8 All market capitalization numbers are in USD$ Millions.
9 Inception Date is 2/14/2012

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 Nasdaq Stock Market LLC.

The fund's return may not match the return of the NIFTY 50 Equal Weight.  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 COVID-19 pandemic may last for an extended period of time, and will continue to impact the economy for the foreseeable future.

Equity securities prices fluctuate for several reasons, including changes in investors' perceptions of the financial condition of an issuer or the general condition of the relevant stock market, such as market volatility, or when political or economic events affecting the issuers occur.

The fund may invest in securities issued by companies concentrated in a particular industry or sector, which involves additional risks including limited diversification. The fund may invest in small or mid capitalization companies. Such companies may experience greater price volatility than larger, more established companies.

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.

Indian companies are subject to certain risks, including greater price volatility, substantially less liquidity and significantly smaller market capitalization of securities markets, more substantial governmental involvement in the economy, higher rates of inflation, and greater political, economic and social uncertainty. Government controls have been reduced on imports and foreign investment, and privatization of domestic output has proceeded slowly. Rapid economic growth has put heavy stress on India’s infrastructural facilities. Furthermore, businesses still have to deal with an inefficient and sometimes slow-moving bureaucracy.

Changes in currency exchange rates and the relative value of non-U.S. currencies will affect the value of the fund's investment and the value of fund shares.

The fund will be subject to tax in India on the purchase and sale of Indian securities held by the fund, which will reduce the fund's returns.

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.

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

The fund is registered in India as a Foreign Portfolio Investor ("FPI") with the Securities and Exchange Board of India ("SEBI"). Investment by FPIs in Indian securities are subject to certain limits and restrictions under the applicable law which could adversely impact the ability of the fund to make investments in India.

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.

The First Trust India NIFTY 50 Equal Weight ETF (the "Product") offered by First Trust is not sponsored, endorsed, sold or promoted by NSE INDICES LIMITED (formerly known as India Index Services & Products Limited (IISL)). NSE INDICES LIMITED does not make any representation or warranty, express or implied (including warranties of merchantability or fitness for particular purpose or use) and disclaims all liability to the owners of the Product or any member of the public regarding the advisability of investing in securities generally or in the Product linked to the NIFTY 50 Equal Weight Index or particularly in the ability of the NIFTY 50 Equal Weight Index to track general stock market performance in India. Please read the full Disclaimers in relation to the NIFTY 50 Equal Weight Index in the Prospectus and Statement of Additional Information.

"AlphaDEX®" is a registered trademark of First Trust Portfolios L.P. First Trust Portfolios L.P. has obtained a patent for the AlphaDEX® stock selection methodology from the United States Patent and Trademark Office.

Not FDIC Insured • Not Bank Guaranteed • May Lose Value
 
The information presented is not intended to constitute an investment recommendation for, or advice to, any specific person. By providing this information, First Trust is not undertaking to give advice in any fiduciary capacity within the meaning of ERISA, the Internal Revenue Code or any other regulatory framework. Financial professionals are responsible for evaluating investment risks independently and for exercising independent judgment in determining whether investments are appropriate for their clients.
First Trust Portfolios L.P.  Member SIPC and FINRA. (Form CRS)   •  First Trust Advisors L.P. (Form CRS)
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