First Trust plans to launch seven country-specific AlphaDEX funds

By Toni Weeks

San Diego, Jan. 11 - First Trust Exchange-Traded Alphadex Fund II said it plans to launch seven exchange-traded funds that seek investment results corresponding to a respective and country-specific index, according to an N-1A filing with the Securities and Exchange Commission.

The funds will trade on the NYSE Arca. Each fund will issue and redeem shares on a continuous basis at its net asset value in blocks of 50,000 shares.

Each fund will seek investment results that correspond generally to the price and yield, before fees and expenses, of its respective country-specific index. The fund will normally invest at least 90% of its net assets, plus the amount of any investment borrowings, in stocks and/or depositary receipts that comprise its respective index. First Trust will seek a correlation of 0.95 or better between the fund's performance and the performance of the index, with 1.00 being a perfect correlation. The index is a modified equal-dollar-weighted index designed by Standard & Poor's to identify and select securities from a base index, a comprehensive, rules-based index designed to measure stock market performance in a particular country.

The First Trust Germany AlphaDEX Fund will seek investment results of the Defined Germany Index, a modified equal-dollar-weighted index designed by Standard & Poor's to identify and select securities from the S&P Germany BMI Index.

The First Trust Canada AlphaDEX Fund will seek investment results of the Defined Canada Index, a modified equal-dollar-weighted index designed by Standard & Poor's to identify and select securities from the S&P Canada BMI Index.

The First Trust Australia AlphaDEX Fund will seek investment results of the Defined Australia Index, a modified equal-dollar-weighted index designed by Standard & Poor's to identify and select securities from the S&P Australia BMI Index.

The First Trust United Kingdom AlphaDEX Fund will seek investment results of the Defined United Kingdom Index, a modified equal-dollar-weighted index designed by Standard & Poor's to identify and select securities from the S&P United Kingdom BMI Index.

The First Trust Taiwan AlphaDEX Fund will seek investment results of the Defined Taiwan Index, a modified equal-dollar-weighted index designed by Standard & Poor's to identify and select securities from the S&P Taiwan BMI Index.

The First Trust Hong Kong AlphaDEX Fund will seek investment results of the Defined Hong Kong Index, a modified equal-dollar-weighted index designed by Standard & Poor's to identify and select securities from the S&P Hong Kong BMI Index.

The First Trust Switzerland AlphaDEX Fund will seek investment results of the Defined Switzerland Index, a modified equal-dollar-weighted index designed by Standard & Poor's to identify and select securities from the S&P Switzerland Index.

The funds' portfolios will be managed by a team consisting of Daniel J. Lindquist, Robert F. Carey, Jon C. Erickson, David G. McGarel, Roger F. Testin and Stan Ueland.

Shareholders will not be assessed a sales charge for purchases made into any of the funds, and the total annual fund operating expenses will be 0.8%, consisting entirely of a management fee.

Wheaton, Ill-based First Trust Advisors LP will serve as the funds' investment adviser.

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