First Trust Lists June Series of Target Outcome Buffer ETFs Based on QQQ and EFA

WHEATON, IL – (BUSINESS WIRE) – June 21, 2021 – First Trust Advisors L.P. (“First Trust”) a leading exchange-traded fund (“ETF”) provider and asset manager announced today that it has expanded its suite of Target Outcome ETFs® with Buffer Strategies based on Invesco QQQ TrustSM Series 1 ("QQQ") and iShares MSCI EAFE ETF (“EFA”). These actively managed ETFs use FLexible EXchange® Options (“FLEX Options”) to seek to provide targeted market exposure to underlying ETFs (“reference assets”) that are based on market indexes, while providing a defined downside buffer level, over a specific Target Outcome Period, which First Trust believes removes some of the uncertainty associated with investing.

Outcome period values for the June Buffer Series of Target Outcome ETFs® are shown below:

*The upside caps shown are for the Target Outcome Period from 6/21/2021 – 6/17/2022. The gross cap is before fees, expenses and taxes. The net cap is after fees and expenses, excluding brokerage commissions, trading fees, taxes and extraordinary expenses not included in the funds’ management fee. The upside cap is set by a fund on inception date of the Target Outcome Period and is dependent upon market conditions at the time. The cap investors will experience may be different than what is illustrated herein.

If an investor purchases shares after the first day of the Target Outcome Period, they will likely have a different return potential and buffer than an investor who purchased shares at the start of the Target Outcome Period and the buffer the funds seek may not be available. At the end of the Target Outcome Period, the upside cap for the new Target Outcome Period is reset to prevailing market conditions. The funds have a perpetual structure and may be held indefinitely, providing investors a buy and hold investment opportunity.

First Trust believes a buffer against a level of losses can help investors stay invested during volatile times. The funds offer a way to gain access to outcome-based investing—specifically to buffer against a level of downside risk while allowing growth to a maximum cap—eliminating bank credit risk in a convenient, flexible investment vehicle.

First Trust’s suite of Buffer ETFs, have over $2.4 billion in total net assets as of 5/31/21 and are among the fastest growing in the outcome oriented ETFs space. The funds are managed and sub-advised by Cboe Vest Financial LLC (“Cboe Vest”) using a “target outcome strategy” or pre-determined target investment outcome. Cboe Vest is the creator of Target Outcome Investments® (also known as “defined outcome” investments) and manager of the longest running Buffer Strategy fund.

Karan Sood and Howard Rubin, of Cboe Vest, will serve as a portfolio managers for the funds. The portfolio managers are jointly and primarily responsible for the day-to-day management of the funds.

For more information about First Trust, please contact Ryan Issakainen at (630) 765-8689 or RIssakainen@FTAdvisors.com.