First Trust AlphaDEX Family of ETFs Fundamentally Different Dan Waldron ETF Strategist, Sr. Vice President First Trust ETF Assets $32,000,000,000 $28,000,000,000 $24,000,000,000 $20,000,000,000 AlphaDEX $16,000,000,000 $12,000,000,000 $8,000,000,000 All other Jan-07 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Jan-14 $4,000,000,000 $0 As of 9/30/14
20.0% 13.3% 6.7% YTD ETF Industry Net Flows by Sponsor (in $ millions) 50,000 40,000 30,000 20,000 8,587 10,000 0 (10,000) Source: Morningstar Direct as of 9/30/14 AlphaDEX US ETF Methodology Index Stock Universe P/B, Value P/CF, Screens ROA Momentum, Growth Screens Sales, P/S Top 75% Bottom 25% Repeat 33.3% 26.7% 3 Month Hold
Don t Bet the Farm % Weight in Top 10 Holdings 45.4% 17.4% 5.3% S&P 500 Index Avg Large Cap Blend Mutual Fund First Trust Large Cap Core AlphaDEX Fund Source: Morningstar Direct as of 9/30/14 Don t Pay Too Much Price-to-Book Comparison S&P Performance Benchmark AlphaDEX ETF 4.1 4.1 4.0 4.1 3.9 3.9 3.6 3.6 3.4 3.3 3.2 3.2 3.2 2.82.9 2.8 2.7 2.7 2.5 2.4 2.4 2.3 2.1 2.1 2.1 2.0 1.9 1.9 2.0 1.8 1.8 1.7 1.7 1.6 1.5 1.5 1.3 1.3 FXL FXD FXZ FXR FXG FMK FEX FNK FNX FXH FYX FYT FTA FXN FTC FXU FXO FYC FNY Source: Morningstar Direct as of 9/30/14
AlphaDEX 5-year Average Annual Return Comparison FXH FXG FXO FTA FAB FXZ FEX FXU FXR FNX FXL FTC FXN FYX FAD FXD 19.2% 19.7% 23.6% 11.0% 14.2% 15.4% 14.7% 16.9% AlphaDEX Return Performance Benchmark 14.9% 16.6% 13.2% 14.5% 15.7% 16.5% 12.1% 12.6% 17.3% 17.7% 16.4% 16.3% 16.0% 15.2% 16.6% 15.8% 12.5% 11.4% 16.2% 15.1% 16.7% 15.4% 21.5% 18.5% S&P S&P 500 S&P Composite S&P 500 S&P 500 Consumer S&P 500 Composite S&P 500 S&P 500 S&P 500 S&P 400 S&P 500 S&P 500 S&P 500 S&P 600 1500 Consumer Health Care Staples Financials S&P 500 1500 Value Materials S&P 500 Utilities Industrials Midcap Info Tech Growth Energy Smallcap Growth Discretionar Index Index Index Value Index Index Index Index Index Index Index Index Index Index Index Index y Index Performance data quoted represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate and shares when sold or redeemed, may be worth more or less than their original cost. You can obtain performance information which is current through the most recent monthend by visiting ftportfolios.com. NAV average annual total returns are as of 9/30/14 Int l AlphaDEX 3-year Average Annual Return Comparison FPA FLN FBZ FEP FKO FEM FCA FDT FJP AlphaDEX Return Performance Benchmark 16.3% 15.5% 14.7% 13.2% 12.1% 12.4% 11.2% 11.5% 9.5% 8.8% 9.2% 7.0% 7.2% 7.4% 2.6% 1.2% MSCI Pacific ex-japan MSCI EM Latin America -1.6% -2.6% MSCI Brazil MSCI Europe MSCI South Korea MSCI EM MSCI China MSCI World ex US MSCI Japan Performance data quoted represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate and shares when sold or redeemed, may be worth more or less than their original cost. You can obtain performance information which is current through the most recent month-end by visiting ftportfolios.com. NAV average annual total returns are as of 9/30/14
Rolling 12-month Returns periods ending 5/08-9/14 20% 10% FEX 60% time outperformed by an average of +5.07% 0% -10% 30% 20% 10% 40% time underperformed by an average of -2.95% FTA 78% time outperformed by an average of +5.96% 0% -10% 22% time underperformed by an average of -2.01% Performance data quoted represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate and shares when sold or redeemed, may be worth more or less than their original cost. You can obtain performance information which is current through the most recent month-end by visiting ftportfolios.com. Star Performers: 4- and 5-Star ETFs Large Value Large Blend Large Growth Mid Blend Mid Value Small Value Consumer Defensive Energy Financial Health Natural Resources The Morningstar Rating TM is provided for those exchange-traded funds ( ETFs ) with at least a three-year history. Ratings are based on the ETF s Morningstar Risk-Adjusted Return measure which accounts for variation in monthly performance, placing more emphasis on downward variations and rewarding consistent performance. An ETF's risk-adjusted return includes a brokerage commission estimate. This estimate is intended to reflect what an average investor would pay when buying or selling an ETF. PLEASE NOTE, this estimate is subject to change and the actual brokerage commission an investor pays may be higher or lower than this estimate. Morningstar compares each ETF's risk-adjusted return to the open-end mutual fund rating breakpoints for that category. Consistent with the open-end mutual fund ratings, the top 10% of ETFs in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star. The overall rating for an ETF is based on a weighted average of the time-period ratings (e.g., the ETF s 3,5, and 10 year rating). The determination of an ETF's rating does not affect the retail open end mutual fund data published by Morningstar. Past performance is no guarantee of future results. 2014 Morningstar, Inc. All Rights Reserved. The Morningstar Rating TM information contained herein: (1) is proprietary to Morningstar; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. Source: Morningstar Direct as of 9/30/14
Risk and Reward Performance data quoted represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate and shares when sold or redeemed, may be worth more or less than their original cost. You can obtain performance information which is current through the most recent month-end by visiting ftportfolios.com. Standard Deviation is a measure of price variability (risk). The higher the Standard Deviation, the greater has been the price variability. Sharpe Ratio is a measure of excess reward per unit of volatility. Tracking Error vs Bench is a measure of the amount by which the performance of the fund differed from that of the benchmark. Information Ratio is a ratio of portfolio returns above the returns of the benchmark to the volatility of those returns. The Information Ratio measures the consistency with which a portfolio beats a benchmark. The higher the Information Ratio the more consistent a portfolio has been in outperforming its bench. Beta is a measure of price variability relative to the market. The higher the Beta, the greater has been the price variability relative to the market. Alpha is an indication of how much an investment outperforms or underperforms on a risk-adjusted basis relative to its benchmark. The higher the Alpha, the better has been the risk-adjusted performance. Correlation is a measure of the similarity of performance. The higher the Correlation, the greater has been the similarity of performance. Upside and Downside Capture measure performance relative to an index during periods of market strength and weakness. An upside capture ratio over 100 indicates a fund has generally outperformed the benchmark during periods of positive returns for the benchmark. Meanwhile, a downside capture ratio of less than 100 indicates that a fund has lost less than its benchmark in periods when the benchmark has been negative. Max Gain is the percentage between the trough and the peak during a specific record period of the fund. Max Drawdown is the percentage between the peak and the trough during a specific record period of the fund. Gap & Overlap Analysis
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AlphaDEX Size/Style Funds Standardized Performance Average Annual Returns as of 9/30/14 Fund Information NAV Total Returns (%) as of 9/30/14 NAV Total Returns (%) Market Price Total Returns (%) Ticker Net Exp. Gross Exp. Inception Ratio Ratio YTD 1 yr 3 yr 5 yr 1 yr 5 yr Inception 1 yr 5 yr Inception First Trust Large Cap Core AlphaDEX Fund FEX 5/8/07 0.64% 0.64% 6.63 17.32 22.71 16.51 17.32 16.51 6.37 17.33 16.54 6.38 Defined Large Cap Core Index 7.20 18.15 23.60 17.36 18.15 17.36 7.17 18.15 17.36 7.17 S&P 500 Index 8.34 19.73 22.99 15.70 19.73 15.70 5.98 19.73 15.70 5.98 First Trust Mid Cap Core AlphaDEX Fund FNX 5/8/07 0.64% 0.64% 0.13 10.37 21.74 16.30 10.37 16.30 7.95 10.35 16.31 7.96 Defined Mid Cap Core Index 0.63 11.11 22.60 17.16 11.11 17.16 8.75 11.11 17.16 8.75 S&P MidCap 400 Index 3.22 11.82 22.43 16.37 11.82 16.37 7.57 11.82 16.37 7.57 First Trust Small Cap Core AlphaDEX Fund FYX 5/8/07 0.66% 0.66% -7.60 2.66 21.34 15.14 2.66 15.14 6.06 2.55 15.18 6.06 Defined Small Cap Core Index -7.10 3.46 22.25 16.02 3.46 16.02 6.92 3.46 16.02 6.92 S&P SmallCap 600 Index -3.72 5.74 22.86 16.25 5.74 16.25 6.67 5.74 16.25 6.67 First Trust Large Cap Value AlphaDEX Fund FTA 5/8/07 0.64% 0.64% 7.03 17.54 23.73 16.88 17.54 16.88 6.59 17.44 16.91 6.59 Defined Large Cap Value Index 7.58 18.37 24.67 17.76 18.37 17.76 7.42 18.37 17.76 7.42 S&P 500 Value Index 7.23 17.77 23.46 14.73 17.77 14.73 3.95 17.77 14.73 3.95 S&P 500 Index 8.34 19.73 22.99 15.70 19.73 15.70 5.98 19.73 15.70 5.98 First Trust Large Cap Growth AlphaDEX Fund FTC 5/8/07 0.66% 0.66% 6.74 17.49 21.08 15.77 17.49 15.77 5.82 17.66 15.79 5.83 Defined Large Cap Growth Index 7.31 18.33 21.97 16.64 18.33 16.64 6.60 18.33 16.64 6.60 S&P 500 Growth Index 9.36 21.55 22.62 16.64 21.55 16.64 7.96 21.55 16.64 7.96 S&P 500 Index 8.34 19.73 22.99 15.70 19.73 15.70 5.98 19.73 15.70 5.98 First Trust Multi Cap Value AlphaDEX Fund FAB 5/8/07 0.70% 0.70% 2.46 12.97 23.67 16.63 12.97 16.63 7.12 12.94 16.65 7.12 Defined Multi Cap Value Index 3.05 13.88 24.67 17.55 13.88 17.55 7.98 13.88 17.55 7.98 S&P Composite 1500 Value Index 6.65 16.98 23.59 14.88 16.98 14.88 4.24 16.98 14.88 4.24 S&P Composite 1500 Index 7.49 18.57 22.96 15.78 18.57 15.78 6.14 18.57 15.78 6.14 First Trust Multi Cap Growth AlphaDEX Fund FAD 5/8/07 0.70% 0.74% 1.00 11.34 19.97 15.43 11.34 15.43 6.15 11.41 15.47 6.16 Defined Multi Cap Growth Index 1.60 12.22 20.91 16.33 12.22 16.33 6.97 12.22 16.33 6.97 S&P Composite 1500 Growth Index 8.26 20.05 22.43 16.68 20.05 16.68 8.01 20.05 16.68 8.01 S&P Composite 1500 Index 7.49 18.57 22.96 15.78 18.57 15.78 6.14 18.57 15.78 6.14 First Trust Mid Cap Value AlphaDEX Fund FNK 4/19/11 N/A 0.70% 0.85 11.17 24.01 N/A 11.17 N/A 13.02 11.16 N/A 13.04 Defined Mid Cap Value Index 1.39 11.96 24.96 N/A 11.96 N/A 13.87 11.96 N/A 13.87 S&P MidCap 400 Value Index 4.88 13.50 24.59 N/A 13.50 N/A 13.03 13.50 N/A 13.03 First Trust Mid Cap Growth AlphaDEX Fund FNY 4/19/11 N/A 0.70% -1.24 8.82 18.58 N/A 8.82 N/A 9.90 8.81 N/A 9.92 Defined MidCap Growth Index -0.70 9.62 19.48 N/A 9.62 N/A 10.73 9.62 N/A 10.73 S&P MidCap 400 Growth Index 1.64 10.22 20.39 N/A 10.22 N/A 11.33 10.22 N/A 11.33 First Trust Small Cap Value AlphaDEX Fund FYT 4/19/11 N/A 0.70% -6.09 4.68 22.87 N/A 4.68 N/A 13.11 4.57 N/A 13.12 Defined Small Cap Value Index -5.52 5.69 23.94 N/A 5.69 N/A 14.06 5.69 N/A 14.06 S&P SmallCap 600 Value Index -2.62 6.74 24.09 N/A 6.74 N/A 13.41 6.74 N/A 13.41 First Trust Small Cap Growth AlphaDEX Fund FYC 4/19/11 N/A 0.70% -9.34 0.46 19.18 N/A 0.46 N/A 9.89 0.42 N/A 9.89 Defined Small Cap Growth Index -8.73 1.32 20.13 N/A 1.32 N/A 10.75 1.32 N/A 10.75 S&P SmallCap 600 Growth Index -4.88 4.69 21.68 N/A 4.69 N/A 12.45 4.69 N/A 12.45 First Trust Mega Cap AlphaDEX Fund FMK 5/11/11 N/A 0.70% 6.46 15.75 19.32 N/A 15.75 N/A 10.22 15.80 N/A 10.22 Defined Mega Cap Index 7.09 16.68 20.30 N/A 16.68 N/A 11.13 16.68 N/A 11.13 S&P 100 Index 8.77 20.48 22.58 N/A 20.48 N/A 14.85 20.48 N/A 14.85 Performance data quoted represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate and shares when sold or redeemed, may be worth more or less than their original cost. You can obtain performance information which is current through the most recent month-end by visiting ftportfolios.com.
AlphaDEX Sector Funds Standardized Performance Average Annual Returns as of 9/30/14 Fund Information NAV Total Returns (%) as of 9/30/14 NAV Total Returns (%) Market Price Total Returns (%) Ticker Inception Net Exp. Gross Exp. Ratio Ratio YTD 1 yr 3 yr 5 yr 1 yr 5 yr Inception 1 yr 5 yr Inception First Trust Consumer Discretionary AlphaDEX Fund FXD 5/8/07 0.70% 0.70% 0.83 9.72 22.70 18.49 9.72 18.49 7.45 9.75 18.51 7.46 StrataQuant Consumer Discretionary Index 1.41 10.57 23.56 19.38 10.57 19.38 8.28 10.57 19.38 8.28 Russell 1000 Consumer Discretionary and Services Index 1.18 11.46 26.38 21.04 11.46 21.04 N/A 11.46 21.04 N/A S&P 500 Consumer Discretionary Index 0.86 11.77 26.27 21.45 11.77 21.45 9.22 11.77 21.45 9.22 First Trust Consumer Staples AlphaDEX Fund FXG 5/8/07 0.69% 0.69% 10.72 20.37 22.30 19.23 20.37 19.23 10.84 20.39 19.21 10.85 StrataQuant Consumer Staples Index 11.31 21.22 23.38 20.22 21.22 20.22 11.72 21.22 20.22 11.72 Russell 1000 Consumer Staples Index 8.38 18.19 18.52 15.98 18.19 15.98 N/A 18.19 15.98 N/A S&P 500 Consumer Staples Index 7.23 16.52 18.21 15.40 16.52 15.40 10.22 16.52 15.40 10.22 First Trust Energy AlphaDEX Fund FXN 5/8/07 0.70% 0.70% 3.35 14.20 17.25 11.41 14.20 11.41 4.23 14.10 11.41 4.23 StrataQuant Energy Index 3.83 14.92 18.07 12.21 14.92 12.21 4.96 14.92 12.21 4.96 Russell 1000 Energy Index 4.16 12.54 17.21 12.44 12.54 12.44 N/A 12.54 12.44 N/A S&P 500 Energy Index 3.24 11.86 16.88 12.46 11.86 12.46 6.05 11.86 12.46 6.05 First Trust Financials AlphaDEX Fund FXO 5/8/07 0.69% 0.69% 1.56 12.34 25.07 14.16 12.34 14.16 2.93 12.33 14.17 2.94 StrataQuant Financials Index 2.07 13.14 26.05 15.07 13.14 15.07 3.86 13.14 15.07 3.86 Russell 1000 Financial Services Index 6.04 16.89 26.58 11.72 16.89 11.72 N/A 16.89 11.72 N/A S&P 500 Financials Index 7.42 18.52 27.64 11.03 18.52 11.03-4.30 18.52 11.03-4.30 First Trust Health Care AlphaDEX Fund FXH 5/8/07 0.67% 0.67% 16.06 28.87 29.85 23.63 28.87 23.63 14.98 28.84 23.63 14.98 StrataQuant Health Care Index 16.56 29.67 30.73 24.52 29.67 24.52 15.86 29.67 24.52 15.86 Russell 1000 Health Care Index 16.78 28.44 29.63 20.35 28.44 20.35 N/A 28.44 20.35 N/A S&P 500 Health Care Index 16.62 28.42 28.84 19.74 28.42 19.74 10.04 28.42 19.74 10.04 First Trust Industrials/Producer Durables AlphaDEX Fund FXR 5/8/07 0.69% 0.69% 4.09 18.38 27.29 17.69 18.38 17.69 6.16 18.37 17.72 6.16 StrataQuant Industrials Index 4.65 19.24 28.27 18.60 19.24 18.60 6.97 19.24 18.60 6.97 Russell 1000 Producer Durables Index 2.64 16.02 25.22 17.40 16.02 17.40 N/A 16.02 17.40 N/A S&P 500 Industrials Index 2.87 16.78 24.83 17.25 16.78 17.25 6.45 16.78 17.25 6.45 First Trust Materials AlphaDEX Fund FXZ 5/8/07 0.70% 0.70% -0.08 11.89 22.58 14.45 11.89 14.45 8.06 11.85 14.47 8.07 StrataQuant Materials Index 0.38 12.61 23.53 15.34 12.61 15.34 8.90 12.61 15.34 8.90 Russell 1000 Materials And Processing Index 5.96 17.00 22.04 14.19 17.00 14.19 N/A 17.00 14.19 N/A S&P 500 Materials Index 8.87 20.48 21.96 13.23 20.48 13.23 5.60 20.48 13.23 5.60 First Trust Technology AlphaDEX Fund FXL 5/8/07 0.70% 0.70% 8.95 19.66 21.53 15.20 19.66 15.20 6.89 19.61 15.21 6.90 StrataQuant Technology Index 9.51 20.48 22.48 16.11 20.48 16.11 7.80 20.48 16.11 7.80 Russell 1000 Technology Index 15.75 30.05 21.60 15.66 30.05 15.66 N/A 30.05 15.66 N/A S&P 500 Information Technology Index 14.13 29.27 22.31 16.02 29.27 16.02 9.03 29.27 16.02 9.03 First Trust Utilities AlphaDEX Fund FXU 5/8/07 0.70% 0.70% 13.24 16.37 14.09 12.60 16.37 12.60 4.88 16.37 12.60 4.88 StrataQuant Utilities Index 13.88 17.34 15.19 13.61 17.34 13.61 5.83 17.34 13.61 5.83 Russell 1000 Utilities Index 10.43 15.37 13.87 12.93 15.37 12.93 N/A 15.37 12.93 N/A S&P 500 Utilities Index 13.95 17.13 12.26 12.13 17.13 12.13 4.16 17.13 12.13 4.16 Performance data quoted represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate and shares when sold or redeemed, may be worth more or less than their original cost. You can obtain performance information which is current through the most recent month-end by visiting ftportfolios.com.
AlphaDEX International Funds Standardized Performance Average Annual Returns as of 9/30/14 Fund Information NAV Total Returns as of 9/30/14 NAV Total Return Market Price Total Return Ticker Inception Exp. Ratio YTD 1 yr 3 yr 5 yr 1 yr 5 yr Inception 1 yr 5 yr Inception First Trust Developed Markets Ex-US AlphaDEX Fund FDT 4/18/11 0.80% -1.23 2.26 12.41 N/A 2.26 N/A 2.30 1.73 N/A 2.30 Defined Developed Markets ex-us Index -0.88 3.09 12.93 N/A 3.09 N/A 3.16 3.09 N/A 3.16 MSCI World ex US Index -0.66 4.86 13.15 N/A 4.86 N/A 5.32 4.86 N/A 5.32 S&P Developed Ex-U.S. BMI Index -0.55 4.79 13.19 N/A 4.79 N/A 5.18 4.79 N/A 5.18 First Trust Emerging Markets AlphaDEX Fund FEM 4/18/11 0.80% -0.90 0.30 6.99 N/A 0.30 N/A -3.32 0.04 N/A -3.38 Defined Emerging Markets Index -0.25 1.28 7.82 N/A 1.28 N/A -2.30 1.28 N/A -2.30 MSCI Emerging Markets Index 2.43 4.30 7.19 N/A 4.30 N/A -1.52 4.30 N/A -1.52 S&P Emerging BMI Index 4.55 6.64 7.94 N/A 6.64 N/A -1.09 6.64 N/A -1.09 First Trust Europe AlphaDEX Fund FEP 4/18/11 0.80% -5.20 2.69 16.26 N/A 2.69 N/A 4.03 1.46 N/A 3.89 Defined Europe Index -4.79 3.60 16.79 N/A 3.60 N/A 5.00 3.60 N/A 5.00 MSCI Europe Index -1.91 5.82 15.53 N/A 5.82 N/A 6.23 5.82 N/A 6.23 S&P Europe BMI Index -1.86 6.20 16.27 N/A 6.20 N/A 6.64 6.20 N/A 6.64 First Trust Asia Pacific Ex-Japan AlphaDEX Fund FPA 4/18/11 0.80% 10.35 11.61 14.65 N/A 11.61 N/A 2.75 11.22 N/A 2.65 Defined Asia Pacific ex-japan Index 9.52 10.99 14.68 N/A 10.99 N/A 3.33 10.99 N/A 3.33 MSCI Pacific ex-japan Index 1.07 1.35 12.08 N/A 1.35 N/A 2.91 1.35 N/A 2.91 S&P Asia Pacific Ex-Japan BMI Index 0.31 1.14 10.72 N/A 1.14 N/A 1.47 1.14 N/A 1.47 First Trust Latin America AlphaDEX Fund FLN 4/18/11 0.80% -3.34-7.00 2.60 N/A -7.00 N/A -5.49-6.33 N/A -5.43 Defined Latin America Index -2.50-5.55 3.42 N/A -5.55 N/A -4.08-5.55 N/A -4.08 MSCI EM Latin America Index 1.32-1.04 1.22 N/A -1.04 N/A -6.75-1.04 N/A -6.75 S&P Latin America BMI Index 0.58-1.76 1.79 N/A -1.76 N/A -6.32-1.76 N/A -6.32 First Trust Brazil AlphaDEX Fund FBZ 4/18/11 0.80% -4.02-8.67-1.58 N/A -8.67 N/A -10.55-9.06 N/A -10.63 Defined Brazil Index -3.23-7.38-0.98 N/A -7.38 N/A -9.48-7.38 N/A -9.48 MSCI Brazil Index 0.97-4.65-2.64 N/A -4.65 N/A -11.00-4.65 N/A -11.00 S&P Brazil BMI Index -0.42-6.09-2.39 N/A -6.09 N/A -10.60-6.09 N/A -10.60 First Trust China AlphaDEX Fund FCA 4/18/11 0.80% -4.68 0.91 11.21 N/A 0.91 N/A -6.14 2.11 N/A -5.95 Defined China Index -3.58 2.26 11.92 N/A 2.26 N/A -5.30 2.26 N/A -5.30 MSCI China Index 0.74 4.57 11.48 N/A 4.57 N/A -0.21 4.57 N/A -0.21 S&P China BMI Index 1.22 6.34 13.29 N/A 6.34 N/A 0.30 6.34 N/A 0.30 First Trust Japan AlphaDEX Fund FJP 4/18/11 0.80% 2.15 3.55 7.37 N/A 3.55 N/A 5.77 2.69 N/A 5.80 Defined Japan Index 2.25 3.81 7.59 N/A 3.81 N/A 6.04 3.81 N/A 6.04 MSCI Japan Index -1.64 0.62 9.16 N/A 0.62 N/A 6.81 0.62 N/A 6.81 S&P Japan BMI Index -0.84 0.98 8.98 N/A 0.98 N/A 7.11 0.98 N/A 7.11 First Trust South Korea AlphaDEX Fund FKO 4/18/11 0.80% 1.26 5.22 9.50 N/A 5.22 N/A -0.63 4.91 N/A -0.92 Defined South Korea Index 2.23 6.39 9.95 N/A 6.39 N/A 0.41 6.39 N/A 0.41 MSCI South Korea Index -3.51 0.38 8.78 N/A 0.38 N/A -0.58 0.38 N/A -0.58 S&P Korea BMI Index -0.88 2.14 9.73 N/A 2.14 N/A 0.63 2.14 N/A 0.63 Performance data quoted represents past performance. Past performance is not a guarantee of future results and current performance may be higher or lower than performance quoted. Investment returns and principal value will fluctuate and shares when sold or redeemed, may be worth more or less than their original cost. You can obtain performance information which is current through the most recent month-end by visiting ftportfolios.com. Market Price Returns are based on the midpoint of the bid/ask spread. Returns are average annualized total returns, except those for periods of less than one year, which are cumulative. A fund s performance may reflect fee waivers and expense reimbursements, absent which performance would have been lower. Pursuant to contract, First Trust has agreed to waive fees and/or pay fund expenses to prevent the net expense ratio of the funds from exceeding 0.70% per year, at least until December 31, 2015 for FEX, FNX, FYX, FTC, FTA, FXD, FXG, FXN, FXO, FXH, FXR, FXZ, FXL, FXU, FAD and FAB. Performance information for the indexes are for illustrative purposes only and does not represent the performance of any actual investment or fund. Actual performance of a fund may be lower or higher than the index. The index does not charge management fees or brokerage expenses, and no such fees or expenses were deducted from the performance shown. Indexes are unmanaged and an investor cannot invest directly in an index.
Risk Considerations You should consider a fund s investment objectives, risks, and charges and expenses carefully before investing. Contact First Trust Portfolios L.P. at 1-800-621-1675 or visit www.ftportfolios.com to obtain a prospectus or summary prospectus which contains this and other information about the funds. The prospectus or summary prospectus should be read carefully before investing. An index fund s return may not match the return of the applicable index. Securities held by an index fund will generally not be bought or sold in response to market fluctuations. Investors buying or selling fund shares on the secondary market may incur customary brokerage commissions. Market prices may differ to some degree from the net asset value of the shares. Investors who sell fund shares may receive less than the share s net asset value. Shares may be sold throughout the day on the exchange through any brokerage account. However, unlike mutual funds, shares may only be redeemed directly from the fund by authorized participants, in very large creation/redemption units. A fund s shares will change in value, and you could lose money by investing in a fund. One of the principal risks of investing in a fund is market risk. Market risk is the risk that a particular stock owned by a fund, fund shares or stocks in general may fall in value. There can be no assurance that a fund s investment objective will be achieved. A fund may invest in securities issued by companies concentrated in a particular industry, sector or country which involves additional risks including limited diversification. A fund may invest in small capitalization and mid capitalization companies. Such companies may experience greater price volatility than larger, more established companies. An investment in a fund containing securities of non-u.s. issuers is subject to additional risks, including currency fluctuations, political risks, withholding, the lack of adequate financial information, and exchange control restrictions impacting non-u.s. issuers. These risks may be heightened for securities of companies located in, or with significant operations in, emerging market countries. The funds are classified as non-diversified and may invest a relatively high percentage of their assets in a limited number of issuers. As a result, the funds may be more susceptible to a single adverse economic or regulatory occurrence affecting one or more of these issuers, experience increased volatility and be highly concentrated in certain issuers. First Trust Advisors L.P. is the adviser to the funds. First Trust Advisors L.P. is an affiliate of First Trust Portfolios L.P., the funds distributor. The StrataQuant indexes are a trademark of the NYSE Group, Inc. or its affiliates ("NYSE") and have been licensed for use by First Trust Portfolios L.P. The funds are not sponsored, endorsed, sold or promoted by NYSE and NYSE makes no representation or warranty regarding the advisability of investing in the funds or as to the result to be obtained by any person from use of the index in connection with the trading of the funds. The Defined indexes are the exclusive property of Standard and Poor s, a division of the McGraw-Hill Companies, Inc. First Trust Portfolios L.P. has contracted with S&P to create, calculate and maintain the indexes. Standard and Poor s and S&P are trademarks of the McGraw-Hill Companies, Inc. and have been licensed for use by First Trust Portfolios L.P. The funds are not sponsored, endorsed, sold or promoted by Standard and Poor s and Standard and Poor s makes no representation regarding the advisability of investing in the funds. AlphaDEX is a registered trademark of First Trust Portfolios L.P. First Trust Portfolios L.P. has obtained a patent for the AlphaDEX stock selection methodology from the United States Patent and Trademark Office. First Trust Advisors L.P. is the adviser to the funds. First Trust Advisors L.P. is an affiliate of First Trust Portfolios L.P., the funds distributor.