First Trust Value Line Dividend Index ETF (CAD-Hedged)

The fund seeks to deliver better-than-average dividend yields via an equal-weighted portfolio of dividend-paying stocks. It builds this portfolio in two steps: first, it uses Value Line's proprietary 'safety rating' system to select low-beta stocks from companies with strong balance sheets, and then it chooses the stocks with above-average yields and weights them equally. Excluded companies are those with more risky ranking, less than $1 billion in market cap, and lower average dividend yield compared to that of the S&P 500. FUD’s equal-weighted approach results in a pronounced midcap tilt compared to its high-yield benchmark. The Index is rebalanced and reconstituted monthly.