FDN 📈 First Trust Dow Jones - Overview

The First Trust Dow Jones Internet Index Fund, listed on the NYSE ARCA under the ticker FDN, is designed to track the performance of the Dow Jones Internet Index. This index is specifically crafted to capture the performance of the largest and most liquid U.S. companies operating in the Internet sector. By focusing on these prominent players, the fund aims to provide investors with a targeted exposure to the Internet industry, which encompasses a broad range of businesses, from e-commerce and online services to digital entertainment and software as a service (SaaS) providers. The fund's investment strategy involves allocating at least 90% of its net assets to the securities that make up the index, ensuring a high level of correlation with the index's performance.

The Dow Jones Internet Index is a composite index, consisting of two sub-indices: the Dow Jones Internet Commerce Index and the Dow Jones Internet Services Index. The Dow Jones Internet Commerce Index focuses on companies that generate revenue primarily from online commerce, including retail, travel, and financial services. On the other hand, the Dow Jones Internet Services Index tracks companies that derive their revenue mainly from online services, such as search engines, online advertising, and cloud computing. By combining these two sub-indices, the Dow Jones Internet Index provides a comprehensive representation of the U.S. Internet sector. As a non-diversified fund, the First Trust Dow Jones Internet Index Fund may have a more concentrated portfolio, which can result in higher volatility but also offers the potential for higher returns if the Internet sector performs well.

From a structural perspective, the First Trust Dow Jones Internet Index Fund is an exchange-traded fund (ETF) listed in the United States, with its domicile also in the U.S. It is classified under the technology category of ETFs, given its focus on the Internet industry. The fund's ISIN is US33733E3027, and for more detailed information, investors can visit the company's website at http://www.ftportfolios.com/. As an ETF, it offers investors the flexibility to buy and sell shares throughout the trading day, providing a convenient way to gain exposure to the U.S. Internet sector.