FTCE ETF Explained: Returns, Expense Ratio, Holdings, and Alternative ETFs — Full Guide
The First Trust Core Earnings Leaders ETF (FTCE) is a fund that selects U.S. large-cap stocks with high-quality earnings after accounting adjustments, and investors should review its strategy, expense ratio, dividends, and comparable products as key checkpoints before investing.
SubscribeWhat Is the First Trust Core Earnings Leaders ETF?
What Is the First Trust Core Earnings Leaders ETF (TICKER)?
3.FAQ: What Is the First Trust Core Earnings Leaders ETF?
The most natural version depends on the context and what you want to emphasize. If you want to keep it simple and direct, option 1 is likely the best choice. If you want to provide additional information, option 2 could be useful by adding a placeholder for the ETF's ticker symbol. If the sentence is part of a FAQ section, option 3 might be more appropriate.It is a rules-based ETF that selects and holds U.S. large-cap stocks with high-quality earnings based on a Core Earnings metric adjusted for accounting distortions. It tracks an index built on New Constructs' earnings analysis methodology.
It is suited for investors who want to access U.S. large-caps through an earnings-quality factor rather than simple market-cap weighting.
The ETF is managed by First Trust using a passive (index-tracking) approach.
How Does the First Trust Core Earnings Leaders ETF Work?
| Item | Details | |
|---|---|---|
| Tracked Index | Core Earnings Leaders Index | |
| Management Style | Passive (rules-based index tracking) | |
| Rebalancing Cycle | Periodic rebalancing | |
| Dividend Schedule | Periodic dividends | |
| Issuer | First Trust | |
| Total Expense Ratio | 0.60% |
It filters companies with high-quality earnings through the Core Earnings metric, which adjusts reported accounting profits, and holds them in an indexed portfolio. Unlike market-cap-weighted approaches, it centers on the factor of earnings power, narrowing the universe to fundamentally solid large-cap companies.
- Stock selection based on accounting-adjusted earnings
- Rules-based construction centered on earnings quality
First Trust Core Earnings Leaders ETF Size and Cost (AUM and Expense Ratio)
Assets under management (AUM) stand at $85.7M, and the total expense ratio is 0.60% annually.
Its differentiation versus alternative factor-based products lies in the earnings-quality screening criterion, and both fees and liquidity should be reviewed in advance.
First Trust Core Earnings Leaders ETF Performance and Flows
1-Year Price Performance
Dividend & Yield
52-Week Price RangeGiven its earnings-quality factor focus, the fund may diverge from the broader market depending on the earnings cycle and rate environment. Performance is subject to volatility across market regimes.
Investor interest in factor-based ETFs drives fund flows, and during volatile periods, a preference for fundamentally sound companies can shape capital movements.
First Trust Core Earnings Leaders ETF: Strengths and Weaknesses
A clear earnings-quality screen is the main strength, while factor concentration and a relatively short track record are points to note.
💪 Key Strengths
⚠️ Points to Watch
First Trust Core Earnings Leaders ETF: Alternatives and Related Products
The SCHD, VIG, and VYM shown in the table are dividend-focused large-cap ETFs with a different approach than FTCE, which directly targets earnings quality. If you prefer factors such as earnings quality and financial strength, quality-factor ETFs like QUAL and SPHQ are worth comparing, while those prioritizing dividend growth can also evaluate products such as DGRO.
Peer Comparison ETFs| Ticker | Name | Price | Change | AUM | Total Expense Ratio | Dividend Yield | 1Y |
|---|---|---|---|---|---|---|---|
 SCHD | Schwab US Dividend Equity ETF | $35.78 | +0.5% | $120.5B | 0.06% | 2.94% | +34.1% |
 VIG | Vanguard Dividend Appreciation FTF | $247.76 | -0.6% | $116.5B | 0.04% | 1.47% | +13.8% |
 VYM | Vanguard High Dividend Yield Indx ETF | $163.74 | -0.7% | $83.8B | 0.04% | 2.25% | +16.3% |
 DFAC | U.S. Core Equity 2 Portfolio-ETF Class Shares | $44.89 | -1.3% | $49.9B | 0.18% | 0.88% | +15.4% |
 RDVY | First Trust Rising Dividend Achievers ETF | $79.17 | -1.0% | $25.7B | 0.47% | 0.86% | +17.2% |
Top Holdings| Ticker | Name | Weight | Price | Change | Market Cap | P/E | Dividend Yield |
|---|---|---|---|---|---|---|---|
| STX | Seagate Technology Holdings Plc | 0.05% | $644.58 | -8.0% | $146.6B | 33.9 | 0.48% |
| IBM | International Business Machines Corp | 0.08% | $257.81 | -0.2% | $243.7B | 22.0 | 2.62% |
| SBUX | Starbucks Corp | 0.05% | $103.67 | -1.7% | $118.2B | 46.9 | 2.5% |
| NVDA | NVIDIA Corp | 0.04% | $204.64 | -4.2% | $4.93T | 25.9 | 0.38% |
| QCOM | Qualcomm Inc | 0.04% | $164.79 | -11.1% | $176.0B | 19.1 | 2.2% |
| LLY | Lilly(Eli) & Co | 0.08% | $1417.54 | +3.2% | $1.33T | 46.6 | 0.48% |
| CRWD | Crowdstrike Holdings Inc | 0.04% | $250.43 | -4.1% | $256.4B | 7014.9 | - |
| META | Meta Platforms Inc | 0.04% | $614.99 | -1.5% | $1.57T | 21.0 | 0.3% |
Investor Checklist for the First Trust Core Earnings Leaders ETF
These are the checkpoints to review before investing in FTCE. As a factor ETF that selects holdings based on earnings quality, it is advisable to carefully examine the screening methodology, costs, top-holding concentration, and currency exposure in advance.
| Checkpoint | What to Verify | Current Status | |
|---|---|---|---|
| 💵 Expense Ratio | Impact of cumulative costs over long-term holding | Needs Review | |
| 📊 Factor Characteristics | Performance differences across earnings-quality factor regimes | Regime-Dependent | |
| 🏢 Holding Concentration | Trends in top holdings and sector weights | Possible Concentration | |
| 💱 Currency | Impact on won-converted returns | Unhedged |
Weakness in the earnings-quality factor and top-holding concentration are the main drivers of short-term volatility. Even factor ETFs can decline alongside the broader market during sharp sell-offs, so caution is warranted.
It is a viable option for investors seeking exposure to U.S. large caps through the earnings-quality factor. Dividend-focused investors should compare it with SCHD and VYM, while those wanting broader quality-factor exposure may weigh it against QUAL and similar products before deciding.
SubscribeDisclaimer: This content is for informational purposes only and does not constitute investment advice. All investment responsibility lies with the investor.
This article reflects information as of July 2, 2026.
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