First Trust Smith Unconstrained Bond ETF

First Trust Exchange-Traded Fund VIII · 1 share class

Actively managed U.S. bond ETF
One fund, 1 share class:UCON
$3.28B NAV
505 positions · as of 2026-05-31 · filed 2026-07-22

Fund classification

Classified from what the fund holds · as of 2026 Q2

First Trust Smith Unconstrained Bond ETF is an actively managed U.S. bond ETF.

Asset class
Bonds
Region
United States
Management
Actively managed
Fund type
ETF
Credit quality
Mixed credit
Rate sensitivity
Intermediate duration

Fund profile

As filed in the prospectus · 2025 Q4

The investment objective of the First Trust Smith Unconstrained Bond ETF (the Fund ) is to seek to maximize long-term total return.

Strategy · summarised

The fund is managed by sub-advisor Smith Capital Investors on an unconstrained basis, with no requirement to track an index; Smith Capital applies bottom-up credit analysis informed by top-down macroeconomic views to select from a broad universe of fixed income securities including government bonds, corporates, mortgage and asset-backed securities, bank loans, and high-yield bonds, with discretion to hold up to 70% in high-yield securities, up to 25% in emerging market issuers, and to vary average portfolio duration between 0 and 10 years. Because the fund's returns depend on Smith Capital's security selection and macroeconomic positioning decisions rather than a defined benchmark, performance will diverge from any particular index or peer group. The fund may invest up to 50% of assets in non-agency mortgage and asset-backed securities and CLOs.

Expenses
0.86%one share class
Share classExpense ratio
UCON0.86%

Portfolio turnover 305.00% · as of 2025 Q4

Allocation

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

99.28%
of net assets
Bonds82.20%
Securitized13.70%
Loans2.17%
Cash & short-term0.65%
Stocks0.57%

Sector allocation

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

100%
of net assets
Other25.5%
Financials16.4%
Securitized13.8%
Government11.3%
12 smaller33.0%

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: 120 new69 exited

Largest new: UNITED STATES OF AMERICA - BUREAU OF THE PUBLIC DEBT ×4, Federal National Mortgage Association, AUGUSTA SPINCO CORP, KENNEDY-WILSON INC, NEXSTAR MEDIA GROUP INC

Largest exited: United States Treasury Notes ×7, FEDERAL NATIONAL MORTGAGE ASSOCIATION

Return profile

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

1-year
+4.98%
3-year
+17.39%
5-year
+14.70%
Volatility
2.54%
Worst 3-yr fall
-1.95%
Cumulative return· Jun 2023 – Apr 2026

May 2026 has been filed since the trailing figures were struck, so it is not in the table above or the curve — every figure here shares one cut-off, which is what makes them comparable with other funds.

Debt profile

What this fund holds — value-weighted across its bond and securitized long positions · as of 2026-05-31

Avg coupon
5.35%
Avg maturity
10.56 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.

5%
floating
Fixed rate94.1%
Floating rate4.6%
Zero-coupon or unclassified1.2%
Maturity ladder

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

<1yUnknown
<1y0.7%
1-3y16.4%
3-5y22.4%
5-10y28.9%
10y+27.3%
Unknown4.3%
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

Most of this fund’s sensitivity is to interest rates, with credit spreads carrying nearly as much.

Interest-rate duration
4.43 yr
approx. move per 100bp
Credit-spread duration
3.59 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.

≈ -8.0%
of value
Interest rates55%
Credit spreads45%

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.

+3.59
yrs total
Investment grade+2.72 yr
High yield+0.88 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 rate4.43 yr total
3 mo30 yr
3 mo0.03 yr1%
1 yr0.62 yr14%
5 yr1.66 yr37%
10 yr1.51 yr34%
30 yr0.61 yr14%
Credit spread3.59 yr total
3 mo30 yr
3 mo0.02 yr0%
1 yr0.64 yr18%
5 yr2.14 yr60%
10 yr0.76 yr21%
30 yr0.04 yr1%

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+0.03+0.01+0.01$1.9k$3.1k
1 yr+0.62+0.35+0.29$114.4k$96.1k
5 yr+1.66+1.60+0.54$524.8k$176.8k
10 yr+1.51+0.72+0.03$237.4k$10.6k
30 yr+0.61+0.04+0.00$12.4k$389

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
UNITED STATES OF AMERICA - BUREAU OF THE PUBLIC DEBT3.38% · due 2028-02-292.33%$76.26M
UNITED STATES OF AMERICA - BUREAU OF THE PUBLIC DEBT4.63% · due 2045-11-152.13%$69.77M
UNITED STATES OF AMERICA - BUREAU OF THE PUBLIC DEBT4.75% · due 2056-02-152.12%$69.33M
UNITED STATES OF AMERICA - BUREAU OF THE PUBLIC DEBT4.38% · due 2036-05-151.69%$55.40M
UNITED STATES OF AMERICA - BUREAU OF THE PUBLIC DEBT3.88% · due 2031-04-301.18%$38.74M
UNITED STATES OF AMERICA - BUREAU OF THE PUBLIC DEBT4.63% · due 2055-11-151.04%$33.99M
Federal National Mortgage Association4.00% · due 2064-06-010.96%$31.38M
BOEING COMPANY (THE)7.01% · due 2064-05-010.81%$26.44M
FEDERAL NATIONAL MORTGAGE ASSOCIATION4.96% floating · due 2054-11-250.73%$24.03M
ALBERTSONS COMPANIES INC / SAFEWAY INC / NEW ALBERTSONS LP / ALBERTSONS LLC6.50% · due 2028-02-150.71%$23.28M
Showing 10 of 505Sign in to see more

Top 10 positions are 13.69% of net assets, top 25 22.18%, across 280 issuers.

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