(EIPI) First Trust - Ratings and Ratios

The First Trust Exchange-Traded Fund VIII, listed on NYSE ARCA under the ticker EIPI, is designed to provide investors with exposure to the energy sector. Under normal market conditions, the fund allocates a minimum of 80% of its net assets, including any borrowings for investment purposes, to securities of energy companies or investments that offer exposure to this sector. This targeted approach allows investors to gain access to a specific industry, which can be beneficial for those looking to capitalize on the growth potential of energy-related businesses.

As a non-diversified fund, the First Trust Exchange-Traded Fund VIII concentrates its investments in a specific industry or group of industries within the energy sector, with more than 25% of its assets invested in this area. This level of concentration can provide investors with a higher degree of exposure to the energy sector, allowing them to potentially benefit from trends and developments in this field. The fund's investment strategy is focused on providing derivative income, which can be an attractive feature for investors seeking regular income streams from their investments.

Given its classification as a derivative income ETF, the First Trust Exchange-Traded Fund VIII is likely to utilize various financial instruments, such as options, futures, and swaps, to generate income for its investors. This approach can provide a regular stream of income, which can be appealing to investors looking for predictable returns. Additionally, as an ETF, the fund offers the benefits of transparency, liquidity, and flexibility, allowing investors to easily buy and sell shares throughout the trading day, making it an attractive option for those seeking to invest in the energy sector.