FTCE: FIRST TRUST NEW CONSTRUCTS CORE EARNINGS LEADERS ETF
What this ETF is trying to do
The FIRST TRUST NEW CONSTRUCTS CORE EARNINGS LEADERS ETF (FTCE) is an exchange-traded fund listed on the NYSE. This ETF focuses on a specific strategy involving core earnings leaders. It holds a variety of different companies, with the data showing 101 total holdings.
What the numbers show
The current price of FTCE is $27.38. When looking at how the fund has performed, it is important to look at two different types of returns: price return and total return.
• Price Return: This measures only the change in the share price. The year-to-date (YTD) price return is approximately 9.93%. Over the last year, the one-year price return was approximately 12.20%.
• Total Return: This includes the share price change plus any distributions paid out. The YTD total return is approximately 10.63%, and the one-year total return was approximately 13.06%.
To give you an idea of the price movement, the estimated price from roughly one year ago was approximately $24.40.
Top Holdings
The following are some of the largest companies held by this ETF (note that this is a partial list):
• SERVICENOW INC (4.47%)
• QUALCOMM INC (4.44%)
• ELI LILLY AND CO (4.02%)
• SEAGATE TECHNOLOGY HOLDINGS PLC (3.88%)
• ACCENTURE PLC CLASS A (3.81%)
• VISA INC CLASS A (3.77%)
• INTEL CORP (3.75%)
• INTERNATIONAL BUSINESS MACHINES CORP (3.63%)
• BOOKING HOLDINGS INC (3.48%)
• STARBUCKS CORP (3.44%)
Income and distribution explanation
FTCE provides cash distributions to investors. The distribution yield is approximately 0.72%. This number describes the cash paid out relative to the ETF's price. The fund usually pays these distributions on a quarterly basis, with 4 payouts recorded over the last 12 months.
NAV erosion explanation
"NAV erosion" refers to a decline in the Net Asset Value (the actual value of the assets held by the fund). While a falling share price can sometimes look like erosion, they are not always the same thing.
For FTCE, the erosion-risk score is 100, which is labeled as "No price erosion detected." The erosion severity is rated as "good," and there is no severe erosion-risk flag. The supplied data is sufficient to evaluate price erosion, but it does not include enough historical NAV-per-share data to confirm or rule out NAV erosion.
Pros
• The fund has shown positive price returns and total returns over the last year.
• It has a high income rating grade of "A."
• The data shows no detected price erosion.
Cons
• The distribution yield is relatively low at approximately 0.72%.
• As with all ETFs, the list of top holdings is only a partial view of the full portfolio.
Beginner takeaway
FTCE is an ETF that has recently seen growth in both its share price and its total return. While it pays a quarterly distribution, the yield is modest. The fund currently shows no signs of price erosion according to the supplied risk scores. Always remember that holdings can change over time.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | SERVICENOW INC | NOW | 4.47% |
| 2 | QUALCOMM INC | QCOM | 4.44% |
| 3 | ELI LILLY AND CO | LLY | 4.02% |
| 4 | SEAGATE TECHNOLOGY HOLDINGS PLC | STX | 3.88% |
| 5 | ACCENTURE PLC CLASS A | ACN | 3.81% |
| 6 | VISA INC CLASS A | V | 3.77% |
| 7 | INTEL CORP | INTC | 3.75% |
| 8 | INTERNATIONAL BUSINESS MACHINES CORP | IBM | 3.63% |
| 9 | BOOKING HOLDINGS INC | BKNG | 3.48% |
| 10 | STARBUCKS CORP | SBUX | 3.44% |