The First Trust Rising Dividend Achievers ETF is comprised of 50-200 U.S. securities selected for their high dividend growth rates, low dividend payout ratios, and high cash-to-total debt ratios. Its expense ratio is 0.47%. The approach favors investments in Financials and Technology, to which RDVY currently allocates more than 60% of its assets. With low debt and often low dividends, RDVY's companies can reinvest in growth opportunities or buy back shares, both of which they're currently doing at an above-average rate.
Launched on January 7, 2014, the First Trust Rising Dividend Achievers ETF (RDVY) is a passively managed exchange traded fund designed to provide a broad exposure to the Large Cap Value segment of the US equity market.
The First Trust Rising Dividend Achievers ETF (RDVY) made its debut on 01/07/2014, and is a smart beta exchange traded fund that provides broad exposure to the Style Box - Large Cap Value category of the market.
| Name | Quantity | Cost | Value | Profit ($) | Gain (%) |
|---|---|---|---|---|---|
| TJD Thomas John Drogan PR Inc.IPAL SECURITIES Inc. | 142,235 | $8.07M | $11.38M | $3.31M | 40.96% |
| TMB Timothy M. Bidwell Hazlett, BURT & WATSON Inc. | 6,641 | $434,303.69 | $531,379.61 | $97,075.92 | 22.35% |
| CE Curtis Ellergodt Rothschild Investment LLC | 1,237 | $75,040.55 | $98,978.55 | $23,938 | 31.9% |
| TC Tyler Chaisson COMPASS CAPITAL Corp. /MA/ /ADV | 2,939 | $173,812.45 | $235,178.78 | $61,366.33 | 35.31% |
| JD Jim Dushek HARBOUR INVESTMENTS Inc. | 887,227 | $50.95M | $70.76M | $19.81M | 38.87% |
| NASDAQ (NMS) Exchange | US Country |
This describes a financially oriented firm focused on investment strategies that prioritize dividend growth through securities. The firm's strategy is set on channeling at least 90% of its net assets, including leverage from investment borrowings, towards the acquisition of common stock and depositary receipts. These financial instruments are selected based on their inclusion in a particular index, which is meticulously designed to represent a broad spectrum of businesses. Specifically, the fund targets entities across various sizes—from small to large capitalizations—ensuring a diversified portfolio. A key criterion for inclusion in the index is a history of consistent dividend growth paired with the financial health to sustain such growth going forward. This includes a careful evaluation of companies based on their cash reserves, debt levels, and potential for earnings growth, ensuring that only those with the most robust financial indicators are selected for investment.
Investments primarily focus on common stocks and depositary receipts that are part of a specific index. These instruments are chosen for their potential to provide stable and growing dividends, making them suitable for investors looking for consistent income alongside capital growth opportunities. The selection heavily relies on the financial stability and performance of the companies, ensuring a careful screening process that favors entities with solid balance sheets and promising futures.
Offering access to a mixed bag of small, medium, and large capitalization companies, the fund ensures a well-diversified investment portfolio. This strategy is aimed at mitigating risk by spreading investments across various sectors and company sizes, thus offering investors a hedge against market volatility. The diverse nature of the portfolio also opens up multiple avenues for growth, driven by the varying economic cycles and growth stages of the companies included.
Centered around companies with a proven track record of increasing dividends, the investment strategy focuses on firms that not only have demonstrated the ability to raise dividends but also show the characteristics of being able to continue doing so. By investing in companies with healthy cash flows, low leverage, and increasing profitability, the fund aims to deliver not just immediate income through dividends, but also long-term capital appreciation.