FTA
First Trust Large Cap Value AlphaDEX Fund (based on the Defined Large Cap Value Index--symbol DEFILVOI)
📎 Investment Objective
The First Trust Large Cap Value AlphaDEX Fund seeks to provide investment results that correspond generally to the price and yield performance, before fees and expenses, of the Defined Large Cap Value Index.
Overview
ETF tracking First Trust Large Cap Value AlphaDEX Fund (based on the Defined Large Cap Value Index--symbol DEFILVOI)
Performance
Price Chart
Investment Summary
📎 Investment Objective
The First Trust Large Cap Value AlphaDEX Fund seeks to provide investment results that correspond generally to the price and yield performance, before fees and expenses, of the Defined Large Cap Value Index.
🎯 Investment Strategy
The fund employs an 'AlphaDEX' stock selection methodology to identify large-cap value stocks that the fund's index provider believes have the greatest potential for capital appreciation. The index is rebalanced and reconstituted quarterly.
✨ Key Features
- Focuses on large-cap U.S. value stocks selected using a proprietary quantitative methodology
- Aims to outperform traditional large-cap value indexes through active stock selection
- Relatively low expense ratio compared to many actively managed large-cap value funds
- Provides exposure to a diversified portfolio of large-cap value stocks
⚠️ Primary Risks
- Market risk - The value of the fund's holdings may decline due to general market conditions
- Sector concentration risk - The fund may be more heavily weighted in certain sectors, which could negatively impact performance
- Style risk - The fund's value-oriented investment approach may underperform growth or blend strategies at times
- Liquidity risk - Shares may trade at a premium or discount to net asset value
👤 Best For
This ETF may be suitable for long-term investors seeking exposure to a diversified portfolio of large-cap U.S. value stocks with the potential for outperformance relative to traditional large-cap value indexes. It may be appropriate as a core holding or satellite position in a well-diversified portfolio.