First Trust Exchange-Traded Fun Price & Performance (EMDM)

First Trust Advisors has confirmed the liquidation of its TCW Emerging Markets Debt ETF, with trading ending on April 8, 2025. The decision follows the Board of Trustees' recommendation, citing shareholder interests. Fund assets may shift to cash holdings during this process, deviating from its usual investment strategy.1

Investors are increasingly turning to defensive ETFs as market sentiment indicators, such as the Fear & Greed Index, signal caution. Volatility has spiked, with the VIX reaching a three-month high. Defensive ETFs offer portfolio protection, especially as other metrics like the Buffett Indicator suggest overvaluation in equity markets.2

First Trust has launched the Small Cap BuyWrite Income ETF, blending small-cap equities with an options strategy to generate income. The actively managed fund seeks to appeal to income-focused investors, offering monthly distributions through option premiums while maintaining exposure to small-cap growth opportunities.3