Is First Trust Value Line Dividend ETF (FVD) a Strong ETF Right Now?

Core Viewpoint - The First Trust Value Line Dividend ETF (FVD) is a smart beta ETF designed to provide broad exposure to the Large Cap Value category, with a focus on companies that pay above-average dividends and have potential for capital appreciation [1][5]. Fund Overview - FVD was launched on August 19, 2003, and is managed by First Trust Advisors, accumulating over $9.04 billion in assets, making it one of the larger ETFs in its category [1][5]. - The ETF seeks to match the performance of the Value Line Dividend Index, which is a modified equal dollar weighted index [5]. Cost Structure - FVD has an annual operating expense ratio of 0.61%, which is considered high compared to other products in the space [6]. - The ETF offers a 12-month trailing dividend yield of 2.25% [6]. Sector Exposure and Holdings - The ETF has a significant allocation in the Industrials sector, accounting for approximately 20.8% of the portfolio, followed by Utilities and Financials [7]. - The top 10 holdings represent about 4.81% of FVD's total assets, with Us Dollar ($USD) making up about 0.72% of the fund's total assets [8]. Performance Metrics - FVD has returned approximately 4.97% year-to-date and 10.03% over the last year as of August 6, 2025 [9]. - The ETF has traded between $40.62 and $46.70 in the past 52 weeks [9]. - It has a beta of 0.72 and a standard deviation of 13.02% over the trailing three-year period, indicating medium risk [10]. Alternatives - Other ETFs in the same space include Schwab U.S. Dividend Equity ETF (SCHD) and Vanguard Value ETF (VTV), which have significantly larger asset bases and lower expense ratios [12].