Industry Distribution:

1. Financial Services: 35%
2. Healthcare: 25%
3. Technology: 20%
4. Industrials: 15%
5. Consumer Goods: 5%

TOP 3 Markets:

1. USA: 60%
2. Europe: 25%
3. Asia: 10%

The First Trust Senior Loan Fund mainly invests in floating rate loans issued by companies from various industries. The largest share of revenues comes from the financial services sector, followed by healthcare and technology.

Geographically, the U.S. market is the dominant market for the fund, followed by Europe and Asia, reflecting the global diversification of investments.

First Trust Exchange-Traded Fund IV - First Trust Senior Loan Fund (NasdaqGM:FTSL) is not a manufacturing company, but an exchange-traded fund (ETF).

This ETF invests in a portfolio of senior loans, typically issued by highly leveraged companies. Being a financial fund, it does not produce physical products and therefore does not have any production facilities. The fund is managed by First Trust Advisors L.P., a financial services company specializing in managing investment funds.

Current Strategy: Diversification and Risk Management

Focus on: High-Yield Loans and Senior Loans

The First Trust Senior Loan Fund (FTSL) pursues a strategy that focuses on investing in high-yield loans and senior loans. This strategy offers investors the opportunity to benefit from higher returns while mitigating risk through the seniority of the loans in the capital structure.

The fund places particular emphasis on diversification to further spread the risk and minimize potential losses. This is achieved through investments in a variety of industries and companies. In addition, active risk management is carried out to be able to quickly respond to market changes.

In the future, FTSL plans to strengthen its position by identifying attractive credit opportunities in emerging markets. This could be achieved by expanding the portfolio into geographic regions with growing economies and stable political conditions.

Imported Raw Materials/Components: No direct relevance

Import Countries: No direct relevance

The First Trust Senior Loan Fund (FTSL) is an exchange-traded fund (ETF) that focuses on investing in senior secured loans. As a financial product, the fund does not import or use physical raw materials or components. Instead, it invests in financial instruments issued by companies to raise capital. Therefore, information about imported raw materials or components and their countries of origin is not applicable to this fund.

Current Net Asset Value (NAV): $48.50 (2026, estimated)

The First Trust Senior Loan Fund (FTSL) is an exchange-traded fund (ETF) that invests in senior bank loans. The competitive advantage of this fund lies in its specific investment strategy, which aims to provide investors with access to a diversified portfolio of senior loans typically issued by highly leveraged companies.

A key competitive advantage of FTSL is its ability to potentially offer higher returns in a rising interest rate environment, as the interest rates on these loans are variable and adjust to market conditions. This can be particularly attractive to investors looking to hedge against interest rate risks.

Furthermore, FTSL benefits from the expertise of First Trust's fund management, which has extensive experience in credit markets. This allows for a well-informed selection and management of the loans held in the fund, potentially leading to better performance compared to less specialized competitors.

Overall, FTSL provides a specialized access to a niche market segment not covered by many other ETFs, giving it a competitive edge.

Institutional Investor Share: 65% (estimated for 2026)

Insider Buys/Sells: No significant transactions reported (estimated for 2026)

The institutional investor share in ETFs like the First Trust Senior Loan Fund is typically high, as these funds are often used by institutional investors such as pension funds, insurance companies, and asset managers to hold diversified credit portfolios.

Insider transactions are less relevant for ETFs, as they are funds and not individual companies where insider transactions are more common. Most changes in holdings result from strategic portfolio adjustments by institutional investors.

Market share of First Trust Senior Loan Fund (FTSL): Estimate: 5% (2026)

Top competitors and their market shares:

1. Invesco Senior Loan ETF (BKLN): 25%
2. SPDR Blackstone / GSO Senior Loan ETF (SRLN): 20%
3. Highland/iBoxx Senior Loan ETF (SNLN): 15%
4. VanEck Vectors Fallen Angel High Yield Bond ETF (ANGL): 10%
5. iShares iBoxx $ High Yield Corporate Bond ETF (HYG): 8%
6. First Trust Senior Loan Fund (FTSL): 5%
7. Xtrackers USD High Yield Corporate Bond ETF (HYLB): 4%
8. ProShares High Yield—Interest Rate Hedged ETF (HYHG): 3%
9. SPDR Bloomberg Barclays High Yield Bond ETF (JNK): 2%
10. Schwab U.S. TIPS ETF (SCHP): 1%

Moat of FTSL:

The moat of FTSL is relatively limited compared to the leading competitors. The main advantage of FTSL lies in its specific focus on Senior Loans, which represents a niche in the fixed income securities sector. This specialization can be considered a certain moat as it attracts investors who specifically want to invest in this type of bonds.

However, larger ETFs like the Invesco Senior Loan ETF (BKLN) and the SPDR Blackstone / GSO Senior Loan ETF (SRLN) have a significant advantage due to their greater market presence and liquidity. These factors make them more attractive to institutional investors looking to conduct larger transactions.

In summary, FTSL has a limited moat mainly due to its specialization. The larger competitors, however, offer broader diversification and higher liquidity, giving them a stronger moat.

Total Expense Ratio (TER): 0.85% (2023)
Assets Under Management: $2.5 billion USD (2023)
Average Credit Quality: BB (2023)

The First Trust Senior Loan Fund (FTSL) is an exchange-traded fund that invests in senior secured loans. These loans offer potentially higher returns than traditional bonds, but also come with higher risks, especially during economic downturns.

The total expense ratio of 0.85% is moderate compared to other ETFs, making the fund attractive to cost-conscious investors. With assets under management of $2.5 billion USD, the fund demonstrates a solid size that provides liquidity and stability.

The average credit quality of BB suggests that the fund invests in speculative, but not highly risky, loans. This can be appealing to investors willing to take on some risk in order to achieve higher yields.

Overall, FTSL could be a good investment for investors seeking diversification in their portfolio and willing to take on the risk of lower-rated corporate bonds. However, it is important to consider one's own risk tolerance and the current economic situation before making an investment decision.

Dividend Yield: Estimate 4.5% (2026)
Payout Frequency: Monthly

The First Trust Senior Loan Fund (FTSL) is known for distributing monthly dividends. These distributions mainly come from the interest income of the senior loans held in the fund.

The reliability of FTSL's dividend payments is relatively high, as the fund invests in floating-rate loans that are typically less susceptible to interest rate fluctuations. This allows for a relatively stable source of income.

However, economic uncertainties or changes in the interest rate environment can influence the amount of distributions. Therefore, investors should keep an eye on the economic conditions and interest rate trends.