FXN
First Trust Energy AlphaDEX Fund
📎 Investment Objective
The First Trust Energy AlphaDEX Fund (FXN) seeks investment results that correspond generally to the price and yield (before the fund's fees and expenses) of an equity index called the StrataQuant Energy Index.
Overview
ETF tracking First Trust Energy AlphaDEX Fund
Performance
Price Chart
Investment Summary
📎 Investment Objective
The First Trust Energy AlphaDEX Fund (FXN) seeks investment results that correspond generally to the price and yield (before the fund's fees and expenses) of an equity index called the StrataQuant Energy Index.
🎯 Investment Strategy
The fund will normally invest at least 90% of its net assets (including investment borrowings) in the common stocks that comprise the StrataQuant Energy Index. The index is an enhanced index that employs the AlphaDEX stock selection methodology to select stocks from the Russell 1000 Index that are part of the energy sector.
✨ Key Features
- Focuses on energy sector stocks using an enhanced indexing approach
- Seeks to outperform the broader energy sector through stock selection
- Diversified portfolio of large and mid-cap U.S. energy companies
- Relatively low expense ratio compared to actively managed energy funds
⚠️ Primary Risks
- Concentration risk as the fund is focused solely on the energy sector
- Potential for higher volatility compared to the broader market
- Dependent on the success of the AlphaDEX stock selection methodology
- Susceptible to changes in energy prices and industry regulations
👤 Best For
This ETF may be suitable for investors seeking exposure to the U.S. energy sector with the potential for outperformance, as part of a diversified portfolio. It may be most appropriate for investors with a higher risk tolerance and a longer-term investment horizon.