RDVY ETF Factor Report
ETF Overview: The First Trust NASDAQ Rising Div Achiev ETF (RDVY) is a Large-Cap Quality ETF with significant exposure to the Financial sector and primarily invests in Software & Programming industries.
Investment Factors Analysis: The report provides a detailed analysis of RDVY's exposure to key investing factors such as value, quality, momentum, and low volatility, with scores ranging from 1 to 99 indicating the level of exposure.
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Market Rally: The market rally is expanding beyond just tech stocks, indicating a broader recovery.
Dividend-Paying Stocks: Companies like Exxon Mobil, Walmart, Ford, and Coca-Cola are outperforming traditional tech favorites.

Investment Increase: Chris Bulman Inc. increased its stake in the First Trust Rising Dividend Achievers ETF by 55,611 shares, valued at approximately $3.61 million, making it the firm's 4th-largest holding at 4.75% of total assets under management (AUM).
ETF Performance: As of October 20, 2025, the First Trust Rising Dividend Achievers ETF (RDVY) had a share price of $67.00, reflecting an 11.9% increase over the past year, although it underperformed the S&P 500 by 3.28 percentage points.
Investment Strategy: The ETF focuses on companies with a strong record of increasing dividends, solid financial health, and positive earnings trends, providing a diversified portfolio aimed at dividend growth.
Dividend Payout: The latest quarterly payout from the ETF was $0.149 per share, the lowest since 2021, indicating a potential shift in dividend distribution trends for the fund.
Market Valuation Concerns: There are warnings about the stock market being overvalued, highlighting the need for strategies to mitigate concentration risk.
Broad Index Funds: These funds track major indexes like the S&P 500 and offer low costs and diversification but can lead to high concentration in a few stocks.
Investment Behavior Risks: Investors may be tempted to sell during market declines, which can hinder long-term portfolio performance if they miss recovery periods.
Long-Term Strategy Importance: Staying invested rather than moving to cash during downturns is crucial for maintaining portfolio growth over time.
Economic Concerns and Interest Rate Cuts: The U.S. economy is showing signs of weakness, prompting Federal Reserve Governor Michelle Bowman to consider three interest rate cuts this year to address the economic slowdown and support the job market.
Dividend Investing Strategy: Amid market volatility, investors are turning to dividend stocks and ETFs as a reliable income source, with options like Vanguard Dividend Appreciation ETF and SPDR S&P Dividend ETF being highlighted for their strong performance and history of increasing dividends.
ETF Overview: The First Trust NASDAQ Rising Div Achiev ETF (RDVY) is a Large-Cap Quality ETF with significant exposure to the Financial sector and primarily invests in Software & Programming industries.
Investment Factors Analysis: The report provides a detailed analysis of RDVY's exposure to key investing factors such as value, quality, momentum, and low volatility, with scores ranging from 1 to 99 indicating the level of exposure.
ETF Performance and Analyst Targets: The First Trust Rising Dividend Achievers ETF (RDVY) has an implied analyst target price of $66.44, indicating a potential upside of 9.55% from its current trading price of $60.65. Notable underlying holdings with significant upside include Steel Dynamics Inc., Cognizant Technology Solutions Corp., and Apple Inc.
Investor Considerations: Analysts' target prices may reflect optimism about future stock performance, but there are concerns regarding whether these targets are justified or overly optimistic based on recent developments in the companies and industries involved. Further research is recommended for investors.







