New ETF from First Trust on Xetra: access to the US equity market for companies with the highest momentum ranking

Since Monday, a new exchange-traded fund from First Trust has been tradable on Xetra and Börse Frankfurt.

The First Trust US Momentum UCITS ETF tracks the performance of the iNDEX US Momentum Index. The benchmark index is currently composed of 180 companies with the highest momentum ranking out of over 750 of the largest listed companies in the United States. 

The momentum ranking per company is determined by a) the difference between the current price and the average price over the last eight months and b) the difference between the average price over the last 50 days and the average price over the last 200 days. 

In addition, no more than 40 companies may belong to the same sector. 

The composition of the index is updated quarterly.

The product offering in Deutsche Börse’s XTF segment currently comprises a total of 2,208 ETFs. With this selection and an average monthly trading volume of around €15 billion, Xetra is the leading trading venue for ETFs in Europe.