ETF Research Center

First Trust Asia Pacific ex-Japan AlphaDEX Fund seeks investment results that correspond to the Defined Asia Pacific ex-Japan Index.

FUND BASICS
Category	Emerging Market Equities
Fund Sponsor	First Trust Advisors LP
Website	www.ftportfolios.com
Inception date	Apr 19, 2011
Assets (mns)	$26
Currency	USD
Expense ratio	80 bp
Distributions	Quarterly

FUND STRUCTURE
Regulation	Open-Ended Fund
Custodian	Brown Brothers Harriman & Co
Weighting	Tiered
Index replication	Full
Uses derivatives	No
Options available	No

SECTOR BREAKDOWN

CONSTITUENT BREAKDOWN
No. of constituents	100
Wgt avg mkt cap (mns)	$16,017
Large cap (>$10bn)	40.4%
Mid cap ($2-10bn)	59.3%
Small cap (<$2bn)	0.3%
Developed mkts	65.6%
Emerging mkts	34.4%

TOP TEN HOLDINGS
Total	18.1 %
BLUESCOPE STEEL LTD	2.0 %
QANTAS AIRWAYS LTD	1.9 %
BOSIDENG INTL HLDGS LTD	1.9 %
NAGACORP LTD	1.9 %
SINO BIOPHARMACEUTICAL	1.8 %
FORTESCUE METALS GROUP LTD	1.8 %
KERRY PROPERTIES LTD	1.8 %
LG CORP	1.7 %
ORICA LTD	1.7 %
WOOLWORTHS LIMITED	1.7 %

TOP COUNTRY EXPOSURE
	AUSTRALIA	32.3 %
	SOUTH KOREA	30.2 %
	HONG KONG	25.9 %
	NEW ZEALAND	4.5 %
	SINGAPORE	2.8 %
	CAMBODIA	1.8 %
	BERMUDA	1.0 %

HISTORICAL PERFORMANCE info

	Custom date range	Compare to
	thru

Standardized Annual Returns (thru November 30)
Year-to-date	1 year	5 years	10 years	Since Incep.
4.8%	0.6%	2.2%	--	1.4%

Market Correlations
versus...	Beta	R-squared
S&P500	0.88	48%
MSCI EAFE	1.11	65%
MSCI Emg. Mkts.	0.98	80%

Technical Indicators
Recent close	$27.53
30d moving avg.	$28.11
Annualized volatility	15.2%
Short interest (ETF)	0.5%
Relative strength (RSI)	52

Liquidity measures
Avg. volume (thou.)	16
Turnover	1.7%
Bid/Ask (% of price)	0.98%
ADV underlying (mns)	$3,055

Distributions

FINDING ALTERNATIVE FUNDS

Below is a list of 20 potential alternatives to the First Trust Asia Pac Ex-Japan AlphaDEX ETF based on the alternatives' overlap in portfolio holdings with FPA. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker:

FPA

Expense:

80 bp

ALTAR Score™:

8.8%

ALTERNATIVE ETFs BASED ON OVERLAP WITH FPA
Ticker	Fund Name	Overlap¹ vs FPA (%)	Expense ratio (bp)	Savings vs FPA (bp)	ALTAR Score™ (%)	ALTAR vs FPA (%)
FKO	First Trust South Korea AlphaDEX	26.7	80	0	11.5	+2.7
FHK	First Trust Hong Kong	26.1	80	0	9.5	+0.7
SCIX	Global X Scientific Beta Asia ex-Japan	25.8	38	42	6.1	-2.7
FLKR	Franklin FTSE South Korea	22.0	9	71	10.7	+1.9
EWY	iShares MSCI Korea	21.8	59	21	10.2	+1.4
BBAX	JPMorgan BetaBuilders Developed Asia ex-Japan	20.8	19	61	6.5	-2.2
FAUS	First Trust Australia	20.6	80	0	5.2	-3.6
EPP	iShares MSCI Pacific ex-Japan	20.2	48	32	6.4	-2.4
FDT	First Trust Developed Markets ex-US AlphaDEX	19.0	80	0	8.0	-0.7
FLAU	Franklin FTSE Australia	18.1	9	71	6.0	-2.8
TAO	Invesco China Real Estate	15.9	70	10	13.2	+4.4
EWA	iShares MSCI Australia	15.8	47	33	5.7	-3.1
ZHOK	SPDR Solactive Hong Kong	14.3	14	66	7.2	-1.5
FLHK	Franklin FTSE Hong Kong	14.0	9	71	7.6	-1.1
AXJL	WisdomTree Asia Pacific Ex-Japan	13.4	48	32	9.2	+0.5
EWH	iShares MSCI Hong Kong	12.5	48	32	7.2	-1.5
BICK	First Trust BICK Index Fund	11.8	64	16	5.6	-3.2
JPIN	JPMorgan Diversified Rtn. Int'l Equity	11.5	38	42	7.4	-1.4
VPL	Vanguard Pacific ETF	11.2	9	71	7.7	-1.1
JPGE	JPM Diversified Return Global Equity	10.6	29	51	6.8	-2.0

¹Overlap is the percentage of holdings by weight that are identical. For example, if Fund A has a 2% position in Apple, Inc. (AAPL) and Fund B has a 5% position, their overlapping position in AAPL is 2%.

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RESULTS & ESTIMATES

	2014	2015	2016	2017	2018	2019E	2020E
Sales per share	**	**	**	**	**	**	**
Earnings per share	**	**	**	**	**	**	**
Dividends per share	**	**	**	**	**	**	**
Book value per share	**	**	**	**	**	**	**

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

OTHER FUNDAMENTAL METRICS

Long term EPS growth est.	**%		Debt-to-equity	**x
Asset turnover	**%		Assets-to-equity	**x

Return on equity

Revision activity*

*Six months ago = 100

Net margins

Compound annual growth rates

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VALUATION METRICS

	2018	2019E	2020E
Price-to-sales	**	**	**
Price-to-earnings	**	**	**
Price-to-cash flow	**	**	**
Price-to-growth	**	**	**
Price-to-book value	**	**	**
Yield	**	**	**

Historical valuation trends

Forward multiple:	First Trust Asia Pac Ex-Japan AlphaDEX
Relative to:	S&P500	MSCI EAFE	MSCI Emg. Mkts.	Other ETF:

NEUTRAL

Average appreciation potential. A rating of NEUTRAL is assigned to ETFs with ALTAR Scores in the middle quintile (ranking between 40%-60%) of their category. This indicates that valuations adequately reflect the fundamentals of stocks in these funds.

ALTAR Score™

Calculation of ALTAR Score™
Avg. Return on Equity	8.1	%
Divided by: Fwd. P/BV	0.8	x
Less: Expense ratio	80	bp
Equals: ALTAR Score	8.8	%

More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS

COMPOSITE RATING	1.58	CATEGORY AVERAGE	1.49

The composite rating is a weighted average of analysts' consensus recommendations for individual ETF constituents, based on the following scale: BUY = 1; OVERWEIGHT = 1.5, HOLD = 2; UNDERWEIGHT = 2.5; and SELL = 3. Readers are cautioned that because analyst ratings tend to be inflated, the composite score may be more useful as a relative measure of sentiment between funds rather than as a stand-alone recommendation.