FTSL
First Trust Senior Loan Fund ETF
📎 Investment Objective
The First Trust Senior Loan Fund ETF (FTSL) seeks to provide current income by investing primarily in senior secured floating-rate loans.
Overview
ETF tracking First Trust Senior Loan Fund ETF
Performance
Price Chart
Investment Summary
📎 Investment Objective
The First Trust Senior Loan Fund ETF (FTSL) seeks to provide current income by investing primarily in senior secured floating-rate loans.
🎯 Investment Strategy
The fund invests at least 80% of its net assets in senior secured floating-rate loans. It aims to maintain a portfolio of senior loans that have a weighted average maturity of less than 10 years and a weighted average life of less than 7 years.
✨ Key Features
- Invests primarily in senior secured floating-rate loans
- Aims to provide current income through exposure to senior loans
- Utilizes an active management approach to portfolio construction
- Trades on the NASDAQ exchange
⚠️ Primary Risks
- Credit risk: The fund is exposed to the risk of default or downgrade of the senior loans it holds
- Interest rate risk: The value of senior loans may decline when interest rates rise
- Liquidity risk: The senior loan market can experience periods of reduced liquidity, which may impact the fund's ability to sell positions
- Active management risk: The fund's performance depends on the skill of the portfolio managers in selecting and managing the loan portfolio
👤 Best For
This ETF may be suitable for investors seeking current income and exposure to the senior loan market. It may be appropriate as a component of a diversified fixed-income portfolio, particularly for investors with a higher risk tolerance and a medium-term investment horizon.