EKG ISSUER
First Trust Advisors L.P. issues the EKG Fund, which aims to mirror the performance of the index developed and maintained by Nasdaq, Inc. This index focuses on digital health companies, defined as those primarily engaged in healthcare and technology. The index selection process, overseen by the Index Provider, involves criteria set by Lux Capital, encompassing a wide array of healthcare technology activities. Companies must meet specific revenue growth and size requirements to be included, with weightings determined by a modified market capitalization methodology. The Fund, categorized as non-diversified under the Investment Company Act of 1940, concentrates on industries as dictated by the index. As of December 31, 2023, the index comprised 40 securities with market capitalizations ranging from $532.92 million to $118.77 billion. The Fund's investments align with the index's changes, potentially exposing it to various jurisdictions and sectors over time.
EKG DIVIDEND
EKG Dividend, an investment vehicle managed by First Trust Advisors L.P., tracks the Nasdaq-developed index focusing on digital health companies, where healthcare intersects with technology. This index, curated by Nasdaq and guided by Lux Capital's criteria, encompasses a broad spectrum of healthcare technology endeavors. Inclusion in the index demands meeting stringent revenue growth and size benchmarks, with weightings determined by a modified market capitalization approach. Classified as non-diversified under the Investment Company Act of 1940, the Fund strategically concentrates on industries delineated by the index. As of December 31, 2023, the index comprised 40 securities of varied market capitalizations. EKG Dividend's investments echo the index's fluctuations, potentially exposing it to diverse jurisdictions and sectors as the landscape evolves.
EKG TRACKING
The EKG Tracking Fund, overseen by First Trust Advisors L.P., is designed to closely follow the performance of its designated index through a tracking investment strategy. With an aim to replicate the index's performance before fees and expenses, the fund allocates a substantial portion of its net assets, typically at least 80%, to the securities comprising its benchmark index. This index, developed and maintained by Nasdaq, Inc., is meticulously crafted to reflect the dynamics of companies primarily engaged in the intersection of healthcare and technology, known as digital health companies. The index's selection process, conducted with the assistance of Lux Capital's classifications, ensures a comprehensive representation of this niche sector. By employing a disciplined tracking approach, the EKG Tracking Fund provides investors with a reliable vehicle to access the potential growth and opportunities offered by digital health companies while mitigating tracking error risks.
EKG CORRELATION
The EKG Correlation Fund, managed by First Trust Advisors L.P., is structured to track the correlation between various market indices or assets, offering investors a tool for managing portfolio risk and diversification. Employing a sophisticated investment strategy, the fund aims to replicate, before fees and expenses, the correlation performance of its designated benchmark or set of assets. By allocating its net assets to a diversified portfolio that mirrors the correlation dynamics of the chosen indices or assets, the EKG Correlation Fund provides investors with exposure to a broad range of market movements while potentially reducing overall portfolio volatility. This approach enables investors to hedge against specific risks or capitalize on market trends, offering flexibility in constructing their investment portfolios. With its focus on correlation dynamics, the fund serves as a valuable tool for investors seeking to navigate complex market environments and optimize their risk-adjusted returns.
EKG SECTOR
The EKG Sector Fund, managed by First Trust Advisors L.P., specializes in targeting specific industries or groups of industries as dictated by its designated index. Utilizing an indexing investment approach, the fund typically invests at least 80% of its net assets in securities representing the chosen sector or sectors. These sectors are carefully selected to reflect the investment objectives and strategies of the fund, with allocations adjusted to mirror the composition and performance of the underlying index. By concentrating its investments in targeted sectors, the EKG Sector Fund provides investors with the opportunity to capitalize on the growth potential and dynamics of specific industries while potentially enhancing portfolio diversification. Whether focusing on healthcare, technology, or other sectors, the fund's disciplined sector-based strategy aims to deliver optimized risk-adjusted returns tailored to investors' sector-specific preferences and objectives.
EKG EXPOSURE
The EKG Exposure Fund, managed by First Trust Advisors L.P., is structured to provide investors with targeted exposure to specific market segments or investment themes. Through a systematic investment approach, the fund allocates its net assets to securities that align with the designated exposure objectives, aiming to replicate the performance of its chosen index before fees and expenses. Whether focusing on emerging markets, sustainable investing, or other thematic areas, the fund's strategy is designed to capture the growth potential and dynamics of the selected exposures. By providing investors with access to concentrated exposure opportunities, the EKG Exposure Fund allows for targeted portfolio positioning while potentially enhancing diversification benefits across broader investment portfolios. With a focus on capturing specific market trends or themes, the fund serves as a valuable tool for investors seeking to capitalize on distinct investment opportunities and optimize their portfolio allocations accordingly.
3 min read
