FIRST TRUST RBA DEGLOBALIZATION ETF (USD) DGLO.US

The First Trust RBA Deglobalization ETF is an index-tracking equity fund whose objective is to replicate, before fees and expenses, the performance of the Richard Bernstein Advisors U.S. Deglobalization Index.

The Index is designed to measure the performance of U.S. companies deemed likely to benefit from accelerating deglobalization - defined as reduced global interdependence in trade, supply chains, and investment.

To be eligible for inclusion, companies must come from the Russell 3000 universe and satisfy certain minimums for market capitalization, share price, and liquidity. Included firms must also be in sectors such as Energy, Materials, Industrials, or in cybersecurity.

Additional selection criteria include having at least 75% of revenue from the U.S., positive 12-month forward earnings estimates, below-average net debt to EBITDA relative to their sub-industry, or exposure to aerospace & defense.

Eligible securities are then scored with a proprietary "Deglobalization Score." Weights are optimized to minimize stock-specific risk, subject to constraints such as a 4% maximum per-security weight, and the Index is reconstituted and rebalanced quarterly.

The asset class is U.S. equities across all market capitalizations, with a thematic focus on sectors expected to benefit from inflationary pressures, supply chain reconfiguration, and rising domestic procurement.

The ETF uses a full (or close) physical replication of the Index under normal market conditions, investing at least 80% of its net assets in securities included in the Index. The vehicle is an exchange-traded fund issued by First Trust Advisors within the First Trust Exchange-Traded Fund VI series.

It is a U.S. domiciled open-end registered investment company under the Investment Company Act of 1940.