First Trust Preferred Securities and Income ETF

First Trust Exchange-Traded Fund III · 1 share class

Actively managed global bond ETF
One fund, 1 share class:FPE
$6.37B NAV
259 positions · as of 2026-04-30 · filed 2026-06-22

Fund classification

Classified from what the fund holds · as of 2026 Q2

First Trust Preferred Securities and Income ETF is an actively managed global bond ETF.

Asset class
Bonds
Region
Global
Management
Actively managed
Fund type
ETF
Credit quality
Investment grade
Rate sensitivity
Intermediate duration

Fund profile

As filed in the prospectus · 2026 Q1

The First Trust Preferred Securities and Income ETF s (the Fund ) investment objective is to seek total return and to provide current income.

Strategy · summarised

The fund is managed by a sub-advisor that employs bottom-up and top-down analysis to select preferred securities and income-producing debt securities offering the best relative value, focusing on credit fundamentals, relative value, and technical factors including interest rate sensitivity, call features, and liquidity. The portfolio maintains at least 60% in investment-grade securities and up to 40% in high-yield securities, with at least 25% concentrated in the financial sector and an expected average duration of three to 12 years. Because security selection depends on the sub-advisor's relative-value judgments and credit analysis, portfolio performance will diverge from any benchmark based on those discretionary picks.

Expenses
0.83%one share class
Share classExpense ratio
FPE0.83%

Portfolio turnover 42.00% · as of 2026 Q1

Allocation

Asset groups · long / short shown separately, never netted · 2026 Q2

98.74%
of net assets
Bonds72.02%
Stocks26.71%
Cash & short-term0.01%

Look-through blends 1 underlying fund; 0.0% of NAV was not looked through and stays direct-classified. The blend is as of 2025Q3, one or more quarters before the direct holdings (2026Q2).

Sector allocation

The same holdings as Allocation above, grouped by market sector instead of asset type · as of 2026 Q2

100%
of net assets
Financials39.8%
International27.3%
Other12.9%
Utilities12.8%
8 smaller7.2%

Government, Securitized and Cash are non-corporate buckets; International is foreign holdings we don’t sector-classify, and Other is the residual (held funds, unresolved names).

Latest quarter

What changed since the fund's previous filing

2026Q2 vs 2026Q1: 18 new12 exited

Largest new: BNP PARIBAS SA, WELLS FARGO & COMPANY, EVERSOURCE ENERGY, CHARLES SCHWAB CORP (THE), JPMorgan Chase & Co., TELUS CORP, EMERA US FINANCE LLC, HSBC HOLDINGS PLC

Largest exited: BNP PARIBAS, COBANK ACB, AXIS SPECIALTY FINANCE, GOLDMAN SACHS GROUP INC, TELUS CORP, ROYAL BANK OF CANADA, TRANSCANADA TRUST, BANK OF AMERICA CORP

Return profile

Total return as filed — price change plus distributions reinvested · trailing figures to Apr 2026

1-year
+10.84%
3-year
+34.74%
5-year
+17.79%
Volatility
4.38%
Worst 3-yr fall
-3.05%
Cumulative return· May 2023 – Apr 2026

Debt profile

What this fund holds — value-weighted across its bond and securitized long positions · as of 2026-04-30

Avg coupon
7.07%
Avg maturity
36.24 yr
Coupon type

Share of the fund's debt by how its coupon behaves — the fact that decides whether a rate move reaches this portfolio at all.

3%
floating
Fixed rate96.7%
Floating rate3.3%
Maturity ladder

Share of the fund's debt value in each maturity band, shortest first.

1-3yUnknown
1-3y0.5%
5-10y0.5%
10y+37.5%
Unknown61.5%
Flagged holdings
Defaulted: none reported
In arrears: none reported
Paid in kind: none reported

Based on what filers reported; a filer that never reported a flag also reads as none.

Risk profile

Interest-rate and credit-spread sensitivity, both in years · as of 2026Q2

More of this fund’s sensitivity sits in credit spreads than in interest rates — a rate rally that comes with a credit selloff works against it.

Interest-rate duration
5.26 yr
approx. move per 100bp
Credit-spread duration
6.05 yr
approx. move per 100bp
If rates and spreads both rise 100bp

Where the loss would come from. The two shocks are the same size, so this is the balance of the fund's two sensitivities rather than a bet on one moving more.

≈ -11.5%
of value
Credit spreads54%
Interest rates46%

Filers report the impact of a 0.01% move only, so the total is our own scaling of that one number and overstates the loss on most bonds — read it as approximate, never as precise. The two sensitivities overlap rather than add up: they measure the same positions against different shocks, which is why the durations above are shown side by side and never summed.

Credit risk by quality

Share of the fund's spread duration carried by each credit tier.

+6.05
yrs total
Investment grade+5.21 yr
High yield+0.85 yr
Where the risk sits on the curve

Share of duration at each point, shortest first. A positive figure loses value when spreads widen; a negative one offsets — a credit hedge.

Interest rate5.26 yr total
3 mo30 yr
3 mo0.02 yr0%
1 yr0.59 yr11%
5 yr1.78 yr34%
10 yr1.82 yr35%
30 yr1.04 yr20%
Credit spread6.05 yr total
3 mo30 yr
3 mo0.00 yr0%
1 yr0.44 yr7%
5 yr2.56 yr42%
10 yr2.79 yr46%
30 yr0.27 yr4%

The two bands measure the same positions against different shocks and do not add — a Treasury carries rate duration and no spread duration, a floating-rate credit the reverse. Rate tenors are also summed across every currency the fund discloses.

Show the numbers
TenorRate yrsIG yrsHY yrsIG $/bpHY $/bp
3 mo+0.02+0.00+0.00$4$247
1 yr+0.59+0.32+0.12$206.4k$73.9k
5 yr+1.78+2.13+0.43$1.35m$275.1k
10 yr+1.82+2.49+0.29$1.59m$187.1k
30 yr+1.04+0.26+0.01$166.8k$4.1k

Dollar change per 1bp of spread movement, as filed and sign-anchored. A blank cell was not filed; a zero was.

Holdings

By % of NAV · equity positions carry filed share counts · every resolvable issuer links to its company page

Issuer%NAVValue
BANK OF AMERICA CORP6.63%2.52%$160.64M
WELLS FARGO & COMPANY2.07%$131.68M
BARCLAYS PLC8.00%1.65%$105.25M
NEXTERA ENERGY CAPITAL HOLDINGS INC1.40%$88.92M
JP MORGAN CHASE & COMPANY6.88%1.35%$85.84M
XCEL ENERGY INC1.25%$79.69M
CREDIT AGRICOLE SA7.13%1.23%$78.17M
CITIGROUP INC6.63%1.20%$76.45M
BNP PARIBAS SA7.20%1.13%$72.16M
T-MOBILE USA INC1.09%$69.29M
Showing 10 of 259Sign in to see more

Reported price is the fund's own reported value divided by its own reported shares at 2026-04-30 — not a live quote, and not what the fund paid.

Top 10 positions are 14.90% of net assets, top 25 29.72%, across 134 issuers.

See more of this fund's book

More positions with filed share counts, and the quarter-over-quarter change list rather than the largest few — free with an account, no card required.

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