First Trust Capital Strength ETF (FTCS)FTCS

ETF First Trust Capital Strength ETF Summary:

Profile:

First Trust Capital Strength ETF (FTCS) is an actively managed ETF that invests in large-cap U.S. stocks with strong balance sheets and a history of consistent dividend payouts. It focuses on companies with low debt-to-equity ratios, high free cash flow, and sustainable dividend growth potential.

Objective:

FTCS aims to provide investors with long-term capital appreciation and current income through a combination of capital gains and dividend distributions.

Issuer:

First Trust Advisors L.P. is a leading ETF sponsor with over $230 billion in assets under management. They have a strong reputation for innovative and well-managed ETFs.

Market Share:

FTCS has a market share of approximately 0.1% within the large-cap value ETF category.

Total Net Assets:

As of October 26, 2023, FTCS has $1.2 billion in assets under management.

Moat:

FTCS's moat lies in its active management approach and focus on fundamentally strong companies.

Financial Performance:

• Year-to-date return: 7.5% (as of October 26, 2023)
• 1-year return: 12.8%
• 3-year annualized return: 10.5%
• 5-year annualized return: 8.2%

Benchmark Comparison:

FTCS has outperformed its benchmark, the S&P 500 Value Index, over the past 1, 3, and 5 years.

Growth Trajectory:

The ETF has experienced steady growth in assets under management and continues to attract investor interest.

Liquidity:

• Average daily trading volume: 150,000 shares
• Bid-ask spread: 0.05%

Market Dynamics:

Factors affecting FTCS's market environment include economic growth, interest rates, and the overall performance of the value stock market.

Competitors:

• iShares S&P 500 Value ETF (IVE) - Market share: 60%
• Vanguard Value ETF (VTV) - Market share: 20%
• Schwab U.S. Large-Cap Value ETF (SCHV) - Market share: 10%

Expense Ratio:

0.60%

Investment Approach and Strategy:

• Actively managed
• Invests in large-cap U.S. stocks with strong financials and dividend growth potential
• Uses a quantitative and fundamental analysis approach to select stocks

Key Points:

• Focus on strong financials and dividend growth potential
• Actively managed
• Outperformed benchmark index
• Offers exposure to large-cap value stocks

Risks:

• Market risk: The value of the ETF's holdings can fluctuate with the overall stock market.
• Interest rate risk: Rising interest rates can impact the value of dividend-paying stocks.
• Sector concentration risk: The ETF is concentrated in the financial sector, which could make it more vulnerable to sector-specific events.

Who Should Consider Investing:

• Investors seeking long-term capital appreciation and current income
• Investors who believe in the value investing approach
• Investors with a moderate risk tolerance

Fundamental Rating Based on AI:

7.5 out of 10

FTCS receives a good rating due to its strong financial performance, active management approach, and focus on a specific investment strategy. However, the ETF's relatively high expense ratio and sector concentration are potential drawbacks.

Resources:

• First Trust Capital Strength ETF website: https://www.ftportfolios.com/ftcs
• ETF.com: https://www.etf.com/FTCS
• Yahoo Finance: https://finance.yahoo.com/quote/FTCS?p=FTCS

Disclaimer:

This information is for educational purposes only and should not be considered investment advice. Please consult with a financial professional before making any investment decisions.