First Trust Nasdaq BuyWrite Income ETF
ALTAR
Score™		 3.4% info Recommen-
dation		 AVOID
2024E    2025E
P/E
ratio		 30.8x P/Sales
ratio		 3.8x
P/BV
ratio		 6.2x Div.
yield		 0.8%


  • Description
  • Performance
  • Comps
  • premium Fundamentals
  • premium Valuation
  • premium Rating
The First Trust Low Beta Income ETF is an actively managed portfolio of US large-cap stocks, with an options overlay of short calls and long puts on the S&P 500.

FUND BASICS
Category US Equities
Fund Sponsor First Trust
Website www.ftportfolios.com
Inception date Jan 06, 2014
Assets (mns) $528
Currency USD
Expense ratio 75 bp
Distributions Monthly

FUND STRUCTURE
Regulation Open-End Investment Company
Custodian
Weighting Proprietary
Index replication
Uses derivatives Yes
Options available Yes

SECTOR BREAKDOWN

 


CONSTITUENT BREAKDOWN
No. of constituents 203
Wgt avg mkt cap (mns) $1,003,810
Large cap (>$10bn) 87.9%
Mid cap ($2-10bn) 11.0%
Small cap (<$2bn) 1.1%
Developed mkts 99.9%
Emerging mkts 0.1%

TOP TEN HOLDINGS
APPLE INC 7.9 %
NVIDIA CORP 7.1 %
MICROSOFT CORP 7.0 %
BROADCOM INC. 4.6 %
TESLA MOTORS INC 4.6 %
AMAZON.COM INC 4.4 %
META PLATFORMS INC 4.3 %
COSTCO WHOLESALE CORP 2.6 %
NETFLIX INC 2.6 %
ALPHABET INC. CLASS A 2.1 %
Total 47.2 %

TOP COUNTRY EXPOSURE
UNITED STATES 92.4 %
BRITAIN 1.7 %
ISRAEL 1.1 %
IRELAND 0.8 %
BERMUDA 0.3 %
CANADA 0.3 %
GERMANY 0.2 %
NETHERLANDS 0.2 %
DENMARK 0.2 %
ITALY 0.2 %

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.
18.0% 20.7% 7.1% 6.0% 6.4%

Market Correlations
versus... Beta R-squared
S&P500 0.64 85%
MSCI EAFE 0.54 60%
MSCI Emg. Mkts. 0.40 32%

Technical Indicators
Recent close $20.95
30d moving avg. $20.95
Annualized volatility 12.1%
Short interest (ETF) 3.4%
Short interest (Underlying) 3.2%
Relative strength (RSI) 53

Liquidity measures
Avg. volume (thou.) 198
Turnover 0.8%
Bid/Ask (% of price) 0.21%
ADV underlying (mns) $139,106

Distributions


FINDING ALTERNATIVE FUNDS

Below is a list of 35 potential alternatives to the First Trust Nasdaq BuyWrite Income ETF ETF based on the alternatives' overlap in portfolio holdings with FTQI. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker: FTQI Expense: 75 bp ALTAR Score™: 3.4%


ALTERNATIVE ETFs BASED ON OVERLAP WITH FTQI
Ticker Fund
Name		 Overlap1
vs FTQI
(%)		 Expense
ratio
(bp)		 Savings
vs FTQI
(bp)		 ALTAR
Score™
(%)		 ALTAR
vs FTQI
(%)
QYLD Global X NASDAQ 100 Covered Call ETF 57.5 60 15 4.1 +0.7
QRMI Global X NASDAQ 100 Risk Managed Income ETF 57.5 60 15 4.0 +0.6
NUSI Nationwide Nasdaq-100 Risk-Managed Income ETF 57.3 68 7 4.0 +0.6
QYLG Global X Nasdaq 100 Covered Call & Growth ETF 57.3 60 15 4.1 +0.7
QCLR Global X NASDAQ 100 Collar 95-110 ETF 57.2 25 50 4.4 +1.0
QTR Global X NASDAQ 100 Tail Risk ETF 57.1 26 49 4.4 +1.0
QYLE Global X Nasdaq 100 ESG Covered Call ETF 51.8 60 15 4.2 +0.8
XYLD Global X S&P 500 Covered Call ETF 51.5 60 15 4.3 +0.9
XRMI Global X S&P 500 Risk Managed Income ETF 51.4 60 15 4.4 +1.0
PBP Invesco S&P 500 BuyWrite ETF 51.3 49 26 4.5 +1.0
XYLG Global X S&P 500 Covered Call & Growth ETF 50.8 60 15 4.4 +1.0
XTR Global X S&P 500 Tail Risk ETF 50.2 26 49 5.0 +1.6
XCLR Global X S&P 500 Collar 95-110 ETF 50.2 25 50 5.0 +1.6
SFLR Innovator Equity Managed Floor ETF 49.3 89 -14 4.1 +0.7
JEPQ J.P. Morgan Nasdaq Equity Premium Income ETF 48.4 35 40 4.4 +1.0
FTHI First Trust BuyWrite Income ETF 47.2 75 0 4.8 +1.4
ACIO Aptus Collared Investment Opportunity ETF 45.0 79 -4 4.1 +0.7
MMLG First Trust Multi-Manager Large Growth ETF 43.7 85 -10 1.9 -1.5
XYLE Global X S&P 500 ESG Covered Call ETF 42.8 60 15 4.7 +1.3
EFIV SPDR S&P 500 ESG ETF 42.6 10 65 5.1 +1.7
GARP iShares MSCI USA Quality GARP ETF 42.0 15 60 4.8 +1.4
TYLG Global X Information Technology Covered Call & Growth ETF 30.0 60 15 4.6 +1.2
QQQA ProShares Nasdaq-100 Dorsey Wright Momentum ETF 28.2 58 17 3.8 +0.4
SIXH ETC 6 Meridian Hedged Equity Index Option ETF 20.8 82 -7 5.8 +2.4
DJIA Global X Dow 30 Covered Call ETF 18.3 60 15 4.7 +1.3
DYLG Global X Dow 30 Covered Call & Growth ETF 18.1 60 15 4.8 +1.4
THNQ ROBO Global Artificial Intelligence ETF 14.7 68 7 1.4 -2.0
CCOR Core Alternative ETF 13.1 107 -32 4.8 +1.4
DIVO Amplify CWP Enhanced Dividend Income ETF 11.7 55 20 5.5 +2.1
LCG Sterling Capital Focus Equity ETF 11.2 59 16 3.6 +0.2
XVOL Acruence Active Hedge U.S. Equity ETF 5.7 83 -8 5.1 +1.7
KNG FT Vest S&P 500 Dividend Aristocrats Target Income ETF 4.8 75 0 5.7 +2.3
HYLG Global X Health Care Covered Call & Growth ETF 3.5 60 15 7.2 +3.8
FYLG Global X Financials Covered Call & Growth ETF 3.0 60 15 4.9 +1.5
IDVO Amplify International Enhanced Dividend Income ETF 0.7 65 10 7.3 +3.9

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

  2019 2020 2021 2022 2023 2024E 2025E
Sales per share ** ** ** ** ** ** **
Earnings per share ** ** ** ** ** ** **
Dividends per share info ** ** ** ** ** ** **
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
  2023 2024E 2025E
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 Nasdaq BuyWrite Income ETF
Relative
to:		 S&P500 MSCI EAFE MSCI Emg. Mkts. Other ETF:

AVOID
Not worthwhile for most investors. A rating of AVOID is assigned to ETFs with ALTAR Scores in the lowest quintile (the bottom 20%) of their category. Often, funds in this category consist of stocks with little if any history or expectation of profitability, and as a result our fundamentally-driven analysis may not be relevant.

ALTAR Score™


Calculation of ALTAR Score™
Avg. Return on Equity 21.8 %
Divided by: Fwd. P/BV 5.2 x
Less: Expense ratio 75 bp
Equals: ALTAR Score 3.4 %
info More information on ALTAR Score™
MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS
COMPOSITE
RATING		 1.52 CATEGORY
AVERAGE		 1.58
 
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.
 

 

See RATING tab for calculation of ALTAR Score™
Risk & reward. Uses std. dev. as proxy for risk, ALTAR Score™ for return forecast.
Dividends paid by constituents to the fund. May differ from actual distributions to shareholders due to constituent changes, timing issues or other factors.
Monthly returns based on changes in price plus dividends. May differ from daily returns reported by funds. See below for standardized returns.