First Trust Advisors LP Announces Sale of First Trust Enhanced Short Maturity ETF

Wheaton, IL–(business wire) — First Trust Advisors LP (“FTA”) has announced the declaration of monthly distributions of First Trust Enhanced Short Maturity ETFs, a series of First Trust Exchange-Traded Fund IV.

The dates below apply to today’s distribution declaration.

First Trust Advisors LP (“FTA”) is a federally registered investment advisor and acts as investment advisor to the Fund. FTA and its affiliate, First Trust Portfolios LP (“FTP”), are FINRA registered broker-dealers and privately held companies that offer a variety of investment services. As of December 31, 2022, the FTA manages or oversees approximately $190 billion in collective assets through unit funds, exchange-traded funds, closed-end funds, mutual funds and separately managed accounts. FTA is the supervisor of First Trust’s unit mutual funds and FTP is the sponsor. FTP is also a distributor of mutual fund equity and exchange-traded fund origination units. FTA and FTP are based in Wheaton, Illinois.

Before investing, you should consider the Fund’s investment objectives, risks, charges and expenses. The Fund’s prospectus contains this and other important information, please call toll free at 1-800-621-1675 or www.ftportfolios.comA prospectus should be read carefully before investing.

Main risk factors: Risk is inherent in all investments. Specific risks applicable to the Fund are set out below. The material risks of investing in the Fund are specified in its prospectus, additional information statements and other regulatory filings. The order of risk factors below does not indicate the importance of any particular risk factor.

Past performance is no guarantee of future results. The return on investment and market value of investments in the Fund will fluctuate. Stocks sold may be worth more or less than their original price.

Shares in the Fund may change in value and you may incur losses by investing in the Fund. Investments in the Fund are not bank deposits and are not guaranteed or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. There is no assurance that the Fund’s investment objective will be achieved. Investing in the Fund involves the same risks as investing in a portfolio of exchange-traded securities.

Securities held by the Fund and the shares of the Fund itself are subject to market fluctuations caused by factors such as general economic conditions, political events, regulatory or market developments, changes in interest rates and perceived trends in the prices of securities. Affected. Stocks in the Fund may decline in value or underperform other investments as a result of the risk of loss associated with these market movements. In addition, local, regional or global events such as wars, acts of terrorism, epidemics or other public health problems, recessions or other events could have a material adverse effect on the Fund and its investments. I have. Such events may impact certain geographic regions, countries, sectors and industries more than others. In February 2022, Russia will invade Ukraine, causing and likely to cause significant market disruption and volatility in Russian, European and US markets. Hostilities and sanctions resulting from those hostilities can have a material impact on investment in and performance of certain funds. The COVID-19 pandemic and subsequent government and central bank policies have brought, and may continue to bring, significant volatility and uncertainty to global financial markets. The US has “reasonably” resumed normal business activities, but many countries continue to impose lockdown measures. Furthermore, there is no guarantee that vaccines will be effective against new variants of the disease.

Investors buying and selling shares of the Fund on the secondary market may incur normal brokerage fees. Investors who sell shares in the Fund may receive less than the net asset value of the shares. Shares can be sold on exchanges throughout the day through brokerage accounts. However, unlike mutual funds, shares can only be redeemed directly from the fund by authorized participants in very large creation/redemption units. If an Authorized Participant of the Fund fails to proceed with a creation/redemption order and no other Authorized Participant is able to proceed with the creation or redemption, the Fund’s shares will be discounted against the Fund’s net asset value. It trades at a price and may face delisting.

Risks of investing in mortgage-related and other asset-based securities include interest rate risk, extension risk and prepayment risk. In general, when interest rates rise, fixed-rate mortgage-related securities tend to have longer durations, making them more sensitive to interest rate changes. Extension risk is prevalent when a fund holds mortgage-related securities during periods of rising interest rates and such securities exhibit additional volatility. Advance payments may reduce the Fund’s returns as the Fund may have to reinvest its funds at a lower prevailing interest rate. The Fund’s investments in asset-backed securities are subject to risks similar to those associated with mortgage-related securities, plus additional risks associated with the nature of the assets and the servicing of those assets. Investing in asset-backed or mortgage-backed securities offered by non-governmental issuers such as commercial banks, savings and loans, private mortgage insurers, mortgage bankers and other secondary market issuers involves additional risks. increase.

Actively managed ETFs, being actively managed portfolios, are subject to operational risk. In managing the investment portfolios of such funds, portfolio managers, management teams or advisors apply investment techniques and risk analyzes that may not produce desirable results.

Investments in funds containing securities of non-U.S. issuers are subject to additional risks, such as currency fluctuations, political risks, tax withholding, lack of proper financial information, and exchange control restrictions that affect non-U.S. issuers. exposed to risk.

The Fund is exposed to credit risk, call risk, earnings risk, interest rate risk and prepayment risk. Credit risk is the risk that an issuer of a security may be unable or unwilling to pay dividends, interest and/or principal when due, resulting in a decline in the value of the security. Floating-rate loans and high-yield securities increase credit risk. Call risk is the risk that performance could be adversely affected if an issuer called a high-yielding bond held by a fund. Income risk is the risk that the income from the Fund’s fixed income investments may decline during periods of declining interest rates. Interest rate risk is the risk that the value of the Fund’s fixed income securities will decline due to rising market interest rates. Prepayment risk is the risk that the issuer may exercise its right to pay the principal of the debt earlier than expected during periods of declining interest rates. This may reduce the fund’s income.

Senior variable rate loans are typically rated below investment grade, but may not be rated. As a result, the risks associated with these loans are similar to those of high-yield bonds. High yield securities, or “junk” bonds, can be highly speculative as they are exposed to greater market volatility and risk of loss than higher rated securities. These securities are owned by companies that may have limited operating histories, unfocused businesses, or may be prevented from making timely payments of regular interest or principal at maturity. will be issued. The market for high yield securities is smaller and less liquid than the market for investment grade securities.

To the extent the Fund invests in variable rate or variable rate debt that uses the London Interbank Offered Rate (“LIBOR”) as its reference rate, it is subject to LIBOR risk. The UK’s Financial Conduct Authority, which regulates LIBOR, has ceased making his LIBOR available as a reference rate during the phase-out period that began on December 31, 2021. The Secured Overnight Financing Rate (“SOFR”) is similar to LIBOR, produces the same value or economic equivalence, or financial instruments using alternative rates have the same volume or liquidity. The unavailability or exchange of LIBOR could impact the value, liquidity or earnings of certain Fund investments and could incur costs associated with closing positions and initiating new trades. There is a nature. The potential impact of the transition out of LIBOR on the Fund or the specific instruments in which the Fund invests may be difficult to ascertain, may vary depending on a variety of factors, and may result in loss to the Fund.

The Fund may perform some cash creations and redemptions rather than physical securities. As a result, investing in funds may be less tax efficient than investing in exchange-traded funds, which impact the creation and redemption of physical securities.

The Fund may invest in other investment companies with additional costs not present on direct investments in the underlying Fund. In addition, the Fund’s investment performance and risks may relate to the investment and performance of the underlying Funds.

The Fund is liable for various damages, including but not limited to human error, processing and communication errors, errors of the Fund’s service providers, counterparties or other third parties, failures or inadequate processes, and technical or system failures. exposure to risks arising from various operational factors. Funds and advisors seek to mitigate these operational risks through controls and procedures, but there is no way to completely prevent such risks.

Volatility is the characteristic of a security, index, or market that causes its price to fluctuate significantly over a short period of time. The Fund may invest in securities or financial instruments that are more volatile than the market as a whole. Such exposures can cause the Fund’s net asset value to increase or decrease significantly over a short period of time.

The information presented is not intended to constitute an investment recommendation or advice to any particular person. By providing this information, First Trust does not undertake to advise in a fiduciary capacity within the meaning of ERISA, the Internal Revenue Code, or any other regulatory framework. Financial professionals are responsible for making their own independent assessments of investment risks and using their own judgment in determining whether an investment is appropriate for a client.