First Trust Balanced Income ETF

The First Trust Balanced Income ETF is a multi-asset exchange-traded fund designed to provide investors with diversified income exposure across equities, fixed income, and commodities. Its core objective is to generate income by closely tracking the Bloomberg Moderate Allocation Income Focus Index, which is reconstituted and rebalanced semi-annually to maintain an optimal balance of assets. The ETF follows a fund-of-funds structure, allocating approximately 60% of its portfolio to equity-linked income ETFs—including buywrite and target income strategies—35% to investment-grade fixed income ETFs, and 5% to commodity-linked income ETFs. This comprehensive allocation allows for a broad approach to income generation while aiming to manage risk through diversification. The fund leverages option-selling techniques as part of its equity strategies, reflecting the growing adoption of options-based income approaches within the market. Managed by First Trust Advisors, a firm recognized for its extensive range of investment products, the ETF serves as a single-access solution for those seeking multi-asset income in a cost-efficient and transparent manner.