There are two First Trust Models with changes this week; the First Trust Focus Five Model (FTRUST5) and First Trust Fixed Income Model (Total Return) (FTFIXINC.TR).

There are two First Trust Models with changes this week; the First Trust Focus Five Model (FTRUST5) and First Trust Fixed Income Model (Total Return) (FTFIXINC.TR).

First Trust Focus Five Model

This week’s change to the Focus Five Model (FTRUST5) involves the removal of the First Trust Nasdaq Bank ETF (FTXO) due to each falling below the sell threshold within the Model’s relative strength matrix rankings. In its place, the First Trust Energy AlphaDEX Fund (FXN) is being added, as it is the highest ranked funds not already owned within the Model’s matrix.

FXN has maintained a positive trend on the trend chart since June 2025 and buy signal since May 2025. Action during January 2026 brought about a fifth buy signal at $17.50, while recent action has seen the fund rallied to its highest level in more than a decade at $22.50. The ETF returned to a long-term relative strength buy signal against the S&P 500 Equal Weight Index (SPXEWI) earlier in March after having been on an RS sell signal since February 2023, leading to a strong fund score of 5.79 (out of 6).

With the change, the model will rebalance the five holdings to equally weighted at 20% and will now maintain exposure to the Semiconductors (FTXL), Aerospace & Defense (MISL), Biotechnology (FBT), Transportation (FTXR), and Energy (FXN).

First Trust Fixed Income Model

There is a change to the First Trust Fixed Income Model (Total Return) (FTFIXINC.TR) this week as the model removes the First Trust Senior Loan Fund (FTRSL.TR) as it fell below the sell threshold within the model’s relative strength matrix. In its place, the model is adding the First Trust Low Duration Mortgage Opportunities (LMBS.TR), which is the highest-ranking ETF in the matrix not already owned. On its default price return chart, LMBS has maintained a positive trend since 2024 and a buy signal since April of last year. With the change, the model will rebalance the four holdings equally to 25% and will maintain exposure to Preferreds (FPE.TR), Emerging Markets (FEMB.TR), Convertibles (FCVT.TR), and Low Duration Mortgage (LMBS.TR). Additionally, the weighted average yield among the ETFs within the model will now be 4.27%. Year-to-date, the First Trust Fixed Income Model has gained 44 basis points, just behind its benchmark AGG.TR at 49 basis points (thru 3/24).