7 First Trust 'Smart Sector' ETFs to Diversify, Manage Risk

FTXN tracks 49.0% exploration & production, 24.4% integrated oil & gas, 17.1% oil equipment, services & distributors and 9.6% pipelines. Top holdings include Spectra Energy Corp. 9.4%, Chevron Corp. 7.8% and Exxon Mobil 7.6%.

FTXH focuses on the pharmaceuticals industry, including Eli Lilly and Company 8.1%, Merck & Co 7.9% and Zoetis 7.8% among its top components.

FTXD includes 29.7% specialty retailers, 25.1% apparel retailers, 17.1% broadline retailers, 10.1% food retailers & wholesalers, 7.9% drug retailers, 6.2% home improvement retailers and 3.8% specialized consumer services. Top underlying components include Sysco Cor. 7.8%, Best Buy 7.1% and Dick’s Sporting Goods 6.9%.

FTXL holds semiconductor names, including InterDigital 8.4%, Intel Corp 8.3% and Photronics 8.2% among its top holdings.

Lastly, FTXR follows 20.4% delivery services, 16.3% railroads, 15.6% airlines, 14.9% automobiles, 14.1% auto parts, 10.3% trucking, 6.7% transportation services and 1.7% tires, including a 8.1% tilt toward Expeditors International of Washington, 8.1% United Parcel Service and 7.9% General Motors Co.

“These ETFs provide investment advisors with a new set of tools for investing in important industries, while biasing portfolio exposure toward lower valuations, stronger momentum, and less volatility,” Ryan Issakainen, Senior Vice President, Exchange-Traded Fund Strategist at First Trust, said.

For more information on new fund products, visit our new ETFs category.