MMSC

📎 Investment Objective

The First Trust Multi-Manager Small Cap Opportunities ETF (MMSC) seeks to provide long-term capital appreciation by investing in a diversified portfolio of small-capitalization U.S. companies.

✨ Key Features

• Actively managed small-cap equity fund with a multi-manager approach
• Diversified portfolio of small-cap U.S. stocks selected by multiple sub-advisors
• Seeks to provide long-term capital appreciation through investment in small-cap companies
• Relatively low expense ratio compared to many actively managed small-cap funds

⚠️ Primary Risks

• Increased volatility and risk compared to broader market due to small-cap focus
• Potential for higher trading costs and less liquidity in small-cap stocks
• Reliance on sub-advisor selection and performance to achieve investment objective
• Concentration risk as the fund is focused on a single market capitalization segment

👤 Best For

MMSC may be suitable for investors seeking long-term capital appreciation through exposure to a diversified portfolio of small-cap U.S. stocks. The fund's active management and multi-manager approach may appeal to investors willing to accept higher volatility in exchange for the potential for outperformance. However, the small-cap focus means this ETF carries higher risk than broad market funds and may not be appropriate for conservative or risk-averse investors.