First Trust Multi Cap Value AlphaDEX Fund

FAB is a US Equities ETF. The Fund will seek investment results that correspond generally to the price and yield (before the Fund s fees and expenses) of an equity index called the NASDAQ AlphaDEX Multi Cap Value Index (the Index ). The Index is a modified equal dollar-weighted index developed and maintained by The NASDAQ OMX Group, Inc. that is designed to generate positive alpha relative to traditional passive-style indices through the use of the AlphaDEX selection methodology. The NASDAQ AlphaDEX Multi Cap Value Index is an enhanced index created and administered by Nasdaq, Inc. ( Nasdaq ) which employs the AlphaDEX stock selection methodology to select stocks that meet certain criteria from the three indices NASDAQ US 500 Large Cap Index, NASDAQ US 600 Mid Cap Index and NASDAQ US 700 Small Cap Index. Nasdaq constructs the NASDAQ AlphaDEX Multi Cap Value Index by ranking the eligible stocks within each index on growth factors including 3, 6 and 12 month price appreciation, sales to price and one year sales growth, and separately on value factors including book value to price, cash flow to price and return on assets. All stocks are ranked on the sum of ranks for the growth factors and, separately, all stocks are ranked on the sum of ranks for the value factors. A stock must have data for all growth and/or value factors to receive a rank for that style. Each stock receives either its growth or value score as it s selection score based on it s style designation as determined by Nasdaq. The top 187 stocks from the NASDAQ US 500 Large Cap Value Index, 225 stocks from the NASDAQ US 600 Mid Cap Value Index and 262 stocks from the NASDAQ US 700 Small Cap Value Index based on the selection score determined in the previous step comprise the selected stocks . The selected stocks are divided into quintiles based on their rankings within their size class and the top ranked quintiles receive a higher weight within the index. The NASDAQ AlphaDEX Multi Cap Value Index is comprised of the selected stocks in the following weights: the stocks selected from the NASDAQ US 500 Large Cap Value Index comprise 50%, the stocks selected from the NASDAQ US 600 Mid Cap Value Index comprise 30%, and the stocks selected from the NASDAQ US 700 Small Cap Value Index comprise 20%. The index is reconstituted and rebalanced quarterly.

FAB tracks the NASDAQ AlphaDEX Multi Cap Value Index.

No, FAB is not actively managed. It is passively managed. In an actively managed fund, the fund manager makes decisions about how funds are invested. A passively managed fund typically tries to track or follow a market index.

Yes, FAB is passively managed. A passively managed fund typically tries to track or follow a market index. In an actively managed fund, the fund manager makes decisions about how funds are invested.

The 1-month return on FAB is -0.0166%. This is the percent change in the value of FAB over the most recent 1-month period. The 3-month return on FAB is 0.0216%. This is the percent change in the value of FAB over the most recent 3-month period.

The standard deviation of FAB for the past year is 0.2108%. Standard deviation is the typical amount that the daily returns vary from the mean of the returns over the time period, standardized to a period of a year.

ETFs similar to FAB include IWO, VTV, and VUG.

ETFs correlated to FAB include VBR, FTA, and DON.

ETFs that are inversely correlated to FAB include TZA, TWM, and RWM.