First Trust Short Fund Quote
| FDHCX Fund | USD 17.93 0.02 0.11% |
Performance2 of 100
| Odds Of DistressLess than 22
|
First Trust is trading at 17.93 as of the 29th of April 2024; that is 0.11 percent up since the beginning of the trading day. The fund's open price was 17.91. First Trust has about a 22 % chance of experiencing some form of financial distress in the next two years of operation and did not have a very good performance during the last 90 trading days. Equity ratings for First Trust Short are calculated daily based on our scoring framework. The performance scores are derived for the period starting the 30th of March 2024 and ending today, the 29th of April 2024. Click here to learn more.
Under normal market conditions, the fund invests at least 80 percent of its net assets in high yield debt securities and bank loans that are rated below-investment grade or unrated. It has a short duration investment strategy, which seeks to maintain, under normal market conditions, a blended portfolio duration of three years or less. More on First Trust Short
Moving together with First Mutual Fund
| 1.0 | FDHIX | First Trust Short | PairCorr |
| 1.0 | FDHAX | First Trust Short | PairCorr |
| 0.74 | FOVIX | First Trustconfluence | PairCorr |
| 0.74 | FOVCX | First Trustconfluence | PairCorr |
First Mutual Fund Highlights
Most reasonable investors view market volatility as an opportunity to invest at a favorable price or to sell short against a bearish trend. First Trust's investment highlights are automatically generated signals that are significant enough to either complement your investing judgment regarding First Trust or challenge it. These highlights can help you better understand the position you are entering and avoid costly mistakes.
| Fund Concentration | First Trust Funds, Large Funds, Bank Loan Funds, Bank Loan, First Trust (View all Sectors) |
| Update Date | 31st of March 2024 |
First Trust Short [FDHCX] is traded in USA and was established 29th of April 2024. First Trust is listed under First Trust category by Fama And French industry classification. The fund is listed under Bank Loan category and is part of First Trust family. This fund currently has accumulated 230.93 M in assets under management (AUM) with minimum initial investment of 2.5 K. First Trust Short is currently producing year-to-date (YTD) return of 0.78% with the current yeild of 0.0%, while the total return for the last 3 years was 1.62%.
Check First Trust Probability Of Bankruptcy
Instrument Allocation
Sector Allocation
Investors will always prefer to have their portfolios divercified against different sectors. The broad sector allocation increases the possibility of making a profit or at least avoiding a loss. However, this may also reduce the expected return on First Mutual Fund. Generally, it depends on diversification level and type but usually, the broader the sector allocation, the less risk can be expected from holding First Mutual Fund, and the less return is expected.
Institutional investors that are interested in enforcing a sector tilt in their portfolio can use exchange-traded funds, such as First Trust Short Mutual Fund, as a low-cost alternative to building a custom portfolio. So, using sector ETFs to diversify your portfolio can be a profitable strategy. However, no matter what sectors are desirable at a given time, no single industry should ever make up more than 20 percent of your stock portfolio.
First Trust Target Price Odds Analysis
Based on a normal probability distribution, the odds of First Trust jumping above the current price in 90 days from now is about 78.88%. The First Trust Short probability density function shows the probability of First Trust mutual fund to fall within a particular range of prices over 90 days. Assuming the 90 days horizon First Trust has a beta of 0.1342. This usually indicates as returns on the market go up, First Trust average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding First Trust Short will be expected to be much smaller as well. Additionally, first Trust Short has a negative alpha, implying that the risk taken by holding this instrument is not justified. The company is significantly underperforming the NYSE Composite.
Based on a normal probability distribution, the odds of First Trust to move above the current price in 90 days from now is about 78.88 (This First Trust Short probability density function shows the probability of First Mutual Fund to fall within a particular range of prices over 90 days) .
First Trust Short Risk Profiles
Investors will always prefer to have the highest possible return on investment while minimizing volatility. First Trust market risk premium is the additional return an investor will receive from holding First Trust long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in First Trust. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Although First Trust's alpha and beta are two of the key measurements used to evaluate First Trust's performance over the market, the standard measures of volatility play an important role as well.
| Mean Deviation | 0.1261 | |||
| Semi Deviation | 0.1394 | |||
| Standard Deviation | 0.1993 | |||
| Variance | 0.0397 |
First Trust Against Markets
Picking the right benchmark for First Trust mutual fund is fundamental to making educated investment choices. Many naive investors compare their positions with the S&P 500 or with the Nasdaq. But these benchmarks are not all-inclusive and generally should be used only for large-capitalization equities or stock offerings from large companies. When the price of a selected benchmark declines in a down market, there may be an uptick in First Trust mutual fund price where buyers come in believing the asset is cheap. The opposite is true when the market is bullish; so, accurately picking the benchmark for First Trust is critical whether you are bullish or bearish towards First Trust Short at a given time. Please also check how First Trust's historical prices are related to one of the top price index indicators.
Be your own money manager
Our tools can tell you how much better you can do entering a position in First Trust without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.Did you try this?
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How to buy First Mutual Fund?
Before investing in First Trust, you must ensure you fully understand your financial goals and how diversified (or not) your overall investments are now. Then, after you clearly understand your investment objectives, consider investing in First Trust. To buy First Trust fund, you can follow these steps:- Choose a brokerage firm: You need to select a brokerage firm to buy shares of First Trust. Some popular options include Charles Schwab, Fidelity, TD Ameritrade, and Robinhood.
- Open an account: Once you have chosen a brokerage firm, you will need to open an account. You will be required to provide personal information, such as your name, address, and Social Security number.
- Fund your account: You will need to deposit funds into your brokerage account to purchase First Trust fund. You can do this by transferring funds from your bank account or other investment accounts.
- Place your order: Once you have located First Trust Short fund in your brokerage account, you can place your order to buy it. You will need to specify the number of shares you want to buy and the price you are willing to pay.
- Monitor your investment: After you have purchased First Trust Short fund, you should monitor your investment to track its performance and make informed decisions about buying, selling, or holding the fund
It's important to note that investing in stocks, such as First Trust Short, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember various factors, including economic indicators, change in net worth, political events, company-specific news, and investor sentiment, can influence the stock market. These factors can cause fluctuations in fund prices and lead to market volatility affecting your buy or sell decision. However, volatility can also present opportunities for investors to make gains by buying stocks when prices are low and selling when they are high. It's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments.
Already Invested in First Trust Short?
The danger of trading First Trust Short is mainly related to its market volatility and Mutual Fund specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of First Trust is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than First Trust. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile First Trust Short is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in First Trust Short. Also, note that the market value of any mutual fund could be tightly coupled with the direction of predictive economic indicators such as signals in main economic indicators. Note that the First Trust Short information on this page should be used as a complementary analysis to other First Trust's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.