LMBS
First Trust Exchange-Traded Fund IV First Trust Low Duration Opportunities ETF
📎 Investment Objective
The First Trust Low Duration Opportunities ETF (LMBS) seeks to provide current income consistent with the preservation of capital.
Overview
ETF tracking First Trust Exchange-Traded Fund IV First Trust Low Duration Opportunities ETF
Performance
Price Chart
Investment Summary
📎 Investment Objective
The First Trust Low Duration Opportunities ETF (LMBS) seeks to provide current income consistent with the preservation of capital.
🎯 Investment Strategy
The fund invests primarily in investment-grade debt securities, including U.S. government securities, corporate bonds, and mortgage-backed securities, with a focus on maintaining a low duration profile to reduce interest rate risk.
✨ Key Features
- Focuses on short-term, high-quality fixed income securities to generate current income
- Maintains a low duration profile to mitigate the impact of rising interest rates
- Diversified portfolio across government, corporate, and mortgage-backed debt
- Actively managed by an experienced fixed income investment team
⚠️ Primary Risks
- Interest rate risk: The fund's value may decline if interest rates rise
- Credit risk: The fund is exposed to the risk of default by the issuers of the debt securities it holds
- Liquidity risk: Some of the fund's holdings may be difficult to sell, which could affect performance
- Mortgage-backed securities risk: The fund's investments in mortgage-backed securities may be subject to prepayment and extension risk
👤 Best For
This ETF may be suitable for investors seeking current income and capital preservation, with a low tolerance for interest rate risk. It can be used as a low-volatility component within a diversified fixed income portfolio.