FIXD Crowded With Sellers

Drake's Share Sale: Drake & Associates, LLC sold 533,049 shares of the First Trust Smith Opportunistic Fixed Income ETF (FIXD), resulting in a $23.45 million reduction in their position, which now represents only 0.39% of the fund's assets under management (AUM).

Performance Comparison: The FIXD ETF has underperformed the S&P 500, returning 6% over the past year compared to the S&P's 18%, with a current annualized dividend yield of 4.28%.

Investment Strategy Shift: Drake initiated a significant stake in the Putnam Focused Large Cap Value ETF, indicating a potential shift in investment strategy towards undervalued U.S. large-cap stocks.

Market Context: The FIXD ETF primarily invests in fixed-income securities, which are generally lower risk but have lagged behind the explosive growth of technology stocks, contributing to its underperformance relative to the broader market.

Distribution Announcement: Evolve Funds Group Inc. has announced distribution amounts for its UltraYield ETFs and other funds, with ex-dividend and record dates set for late November and mid-December 2025.

Distribution Details: Unitholders of the Evolve US Equity UltraYield ETF (BIGY) and Evolve Canadian Equity UltraYield ETF (CANY) will receive cash distributions of $0.31250 and $0.21000 per unit, respectively, payable in December 2025.

Evolve Funds Distribution: Other Evolve Funds, including the High Interest Savings Account Fund and various Enhanced Yield Funds, will also have distributions announced, with amounts varying by fund and payable in December 2025.

Investment Risks: The announcement includes a disclaimer about the risks associated with investing in ETFs and mutual funds, emphasizing the importance of reading the prospectus before investing.

New Sub-Advisory Agreement: First Trust Advisors L.P. announced that shareholders approved a new investment sub-advisory agreement with Smith Capital Investors, LLC for the First Trust Smith Opportunistic Fixed Income ETF and First Trust Smith Unconstrained Bond ETF, following the termination of TCW Investment Management Company as the previous sub-advisor.

Manager of Managers Structure: The Board of Trustees also approved a "manager of managers" structure allowing FTA to enter into and amend investment sub-advisory agreements without needing shareholder approval, enhancing flexibility in managing the Funds' investment portfolios.

Introduction of First Trust Balanced Income ETF: First Trust has launched the Balanced Income ETF (FTBI), which utilizes an active management and fund-of-funds strategy to generate diversified income, aiming to replicate the income pattern of the Bloomberg Moderate Allocation Income Focus Index with a 0.97% expense ratio.

Investment Strategy Overview: FTBI allocates 60% to equity-linked ETFs using various income-oriented strategies, 35% to fixed-income investments including government and corporate bonds, and 5% to commodity-linked ETFs, primarily focusing on gold, thereby providing a balanced approach to income generation across multiple asset classes.

FIXD Stock Performance: FIXD's stock has a 52-week low of $39.42 and a high of $46, with the latest trade at $42.60, which can be analyzed against its 200-day moving average for technical insights.

ETFs Trading Dynamics: Exchange-traded funds (ETFs) function like stocks but involve trading units that can be created or destroyed based on investor demand, affecting the underlying holdings significantly during notable inflows or outflows.

Current RSI Analysis: The First Trust TCW Opportunistic Fixed Income (FIXD) has an RSI reading of 29.8, indicating potential exhaustion from heavy selling, while the S&P 500's RSI is at 54.6.

Stock Performance Overview: FIXD shares are trading at $43.29, down about 0.2% for the day, with a 52-week range between $41.9003 and $46.