There are two First Trust Models with changes this week; the First Trust International (FTRUSTINTL) and Income (FTINCOME) Models.
There are two First Trust Models with changes this week.
First Trust International Model (FTRUSTINTL)
This week, the First Trust International Model is selling the First Trust China AlphaDEX Fund (FCA), which fell below the sell threshold within the Model’s relative strength matrix, and is being replaced by the First Trust International Equity Opportunities Fund (FPXI), which is the highest ranking ETF within the model universe not already owned. While a holding within the International Model, the Chinese fund FCA gained 52%, outperforming the model’s benchmark (ACWX) by more than 12% (12/3/2024 – 6/16/2026).
The new model holding, FPXI, has maintained a positive trend on the default point and figure chart for more than 12 months and returned to a buy signal during the early part of April. This week’s action brought about a fourth buy signal with the double top break at $81, marking a new all-time chart high in the process. The superior trending picture and positive near-term relative strength helps FPXI boast a fund score of 4.91, which is higher than the average score for a fund within the Non-US Equity (4.46) and All Global Equity & Diversified (4.07) groups on the Asset Class Group Scores page.
With the change to the First Trust International Model, the five holdings will rebalance to equally weighted at 20%, and the model will now maintain exposure to Asia-Pacific Ex-Japan (FPA), Europe (FEP), Eurozone (FEUZ), Germany (FGM), and the International Opportunities fund (FPXI).
First Trust Income Model (FTINCOME)
This week, the First Trust Income Model is selling the First Trust Utilities AlphaDEX Fund (FXU), which fell below the sell threshold within the Model’s relative strength matrix, and is being replaced by the First Trust Nasdaq Technology Dividend Index Fund (TDIV), which is the highest ranking ETF within the model universe not already owned. TDIV has maintained a positive trend on the default point and figure chart since November 2022 and returned to a buy signal during the middle of April. This month’s action brought about a new all-time chart high at $128 before reversing into Os and falling to $114 on the chart. The superior trending picture and positive near-term relative strength helps TDIV boast a stellar fund score of 5.58, which is higher than the average score for a fund within the Technology (4.03) and U.S. Large Cap Growth (4.39) groups on the Asset Class Group Scores page.
With the change to the First Trust Income Model, the five holdings will rebalance to equally weighted at 20%, and the model will now maintain exposure to the Dow Jones Global Select (FGD), Morningstar Dividend Leaders (FDL), North American Energy Infrastructure (EMLP), STOXX European Dividend (FDD), and Technology Dividend (TDIV) funds.
