FTCS | First Trust Capital Strength ETF

FTCS ISSUER

The First Trust Capital Strength ETF (FTCS), managed by First Trust Advisors L.P., primarily invests in securities that constitute the Capital Strength Index, aiming to mirror its performance before fees and expenses. Developed and maintained by Nasdaq, Inc., the Index targets well-capitalized companies with strong market positions to potentially offer stability and long-term performance. Initially comprising securities from the Nasdaq US Benchmark Index, the Index applies rigorous criteria, including liquidity standards, market capitalization, debt ratios, and return on equity, to select the top 500 securities. These are further evaluated based on volatility scores, with the 50 lowest scoring securities being included in the Index. Regular rebalancing and reconstitution ensure adherence to set criteria, potentially leading to a higher portfolio turnover rate for the Fund. As of March 31, 2023, the Index comprised 50 securities, with significant investments in healthcare and industrials, subject to change over time. Although the Fund may concentrate in specific industries or sectors, its investments evolve with Index changes, exposing it to varying jurisdictional and sectoral risks. The Fund utilizes the Nasdaq trademarks under license but is not endorsed, issued, or promoted by Nasdaq, with Nasdaq disclaiming any liability or endorsement regarding the Fund's suitability or legality.

FTCS DIVIDEND

The FTCS Dividend ETF, managed by First Trust Advisors L.P., focuses on delivering a stream of dividend income to investors while maintaining a diversified portfolio. With a strategy centered on dividend-paying securities, the fund typically invests in companies with strong financials and a history of consistent dividend payments. By employing an indexing approach, FTCS Dividend seeks to replicate the performance of its underlying index, which is designed to capture dividend-paying companies' potential for stability and growth over time. The fund's holdings are regularly evaluated and adjusted to ensure alignment with its investment objectives, potentially leading to a balanced exposure across various sectors and industries. As with other First Trust ETFs, FTCS Dividend may utilize the Nasdaq trademarks under license, although Nasdaq does not endorse or promote the fund and disclaims any liability regarding its suitability or legality.

FTCS TRACKING

ETF, managed by First Trust Advisors L.P., aims to closely follow the performance of its underlying index through a passive tracking strategy. With a commitment to replicating the index's returns before fees and expenses, the fund invests at least 90% of its net assets in the securities comprising the index. Developed and maintained by Nasdaq, Inc., the index is meticulously constructed to include well-capitalized companies with strong market positions, potentially offering stability and long-term performance. FTCS Tracking utilizes an indexing investment approach, seeking to mirror the index's composition and performance over time. Regular rebalancing and reconstitution ensure that the fund maintains alignment with the index, potentially leading to a higher portfolio turnover rate. As with other First Trust ETFs, FTCS Tracking may use the Nasdaq trademarks under license, although Nasdaq does not endorse or promote the fund and disclaims any liability regarding its suitability or legality.

FTCS CORRELATION

The FTCS Correlation ETF, managed by First Trust Advisors L.P., aims to closely track the correlation between its performance and its benchmark index. Employing sophisticated investment strategies, the fund seeks to replicate the movements of its underlying index by investing a significant portion of its assets in securities that mirror the index's composition. Developed and maintained by Nasdaq, Inc., the benchmark index focuses on selecting companies with strong market positions and financial stability, potentially offering investors exposure to consistent returns over time. FTCS Correlation employs diligent portfolio management techniques to minimize deviations from the index's performance, ensuring that investors experience a high level of correlation. Regular monitoring and adjustments are made to maintain alignment with the index, providing investors with the desired exposure to specific market segments. As with other First Trust ETFs, FTCS Correlation may utilize the Nasdaq trademarks under license, although Nasdaq neither endorses nor promotes the fund and disclaims any liability regarding its suitability or legality.

FTCS SECTOR

The FTCS Sector ETF, managed by First Trust Advisors L.P., is designed to provide investors with exposure to specific sectors of the economy through a diversified portfolio. With a focus on sector-based investing, the fund seeks to capture the performance of its chosen sectors by investing primarily in securities representative of those sectors. Employing a systematic approach, FTCS Sector aims to replicate the movements of its underlying sector-focused index, which is developed and maintained by Nasdaq, Inc. This index selects companies within targeted sectors based on various criteria such as market capitalization, liquidity, and financial stability. By investing in a basket of securities within chosen sectors, FTCS Sector offers investors the opportunity to gain targeted exposure to particular segments of the economy. Regular monitoring and adjustments ensure that the fund remains aligned with its sector-specific index, potentially providing investors with opportunities for sector-specific growth and diversification. As with other First Trust ETFs, FTCS Sector may use the Nasdaq trademarks under license, though Nasdaq neither endorses nor promotes the fund and disclaims any liability regarding its suitability or legality.

FTCS EXPOSURE

The FTCS Exposure ETF, managed by First Trust Advisors L.P., is crafted to offer investors exposure to a broad range of market segments through a diversified portfolio strategy. With a focus on providing comprehensive market exposure, the fund invests in a variety of securities representative of different asset classes, sectors, and regions. Utilizing a systematic investment approach, FTCS Exposure seeks to mirror the performance of its underlying index, which is developed and maintained by Nasdaq, Inc. This index employs rigorous selection criteria to include companies with strong market positions and financial stability across various market segments. By investing in a diverse array of securities, FTCS Exposure aims to offer investors the opportunity to participate in the potential growth of multiple market segments while mitigating specific risks associated with any single asset class or sector. Regular monitoring and adjustments ensure that the fund remains aligned with its index composition, potentially providing investors with broad-based exposure to different segments of the market. As with other First Trust ETFs, FTCS Exposure may use the Nasdaq trademarks under license, though Nasdaq neither endorses nor promotes the fund and disclaims any liability regarding its suitability or legality.