First Trust Multi-Asset Diversified Income Index Fund: The Largest Multi-Asset ETF
A Seeking Alpha Contribution
Summary
- MDIV is the largest of the multi-asset ETFs.
- MDIV diversifies its holdings across 5 asset classes.
- MDIV selects holdings based on income and volatility.
Multi-asset ETFs offer investors diversification within a single ETF. Stocks, bonds, preferred stock, REITs, MLPs and commodities are some of the assets that can be found in a multi-asset fund. These funds are attractive to investors due to the promise of diversification and sometimes high yields, but investors need to dig into the details to figure out how the fund is constructed.
First Trust Multi-Asset Diversified Income Index Fund (NASDAQ:MDIV)is the largest of the multi-asset ETFs, on its way to $800 million in assets.
Index & Strategy
MDIV tracks the NASDAQ Multi-Asset Diversified Income Index; the goal of the index is to generate high-yield with low volatility, while maintaining diversification. To continue reading, please Click Here.
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