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First Trust Extends its Latin American Reach Via Mexico's Pension Funds

FEX, FTA

First Trust Advisors L.P. (“First Trust”), a global ETF provider and asset manager, today announced that Mexican pension funds investment regulator, La Comisión Nacional del Sistema de Ahorro para el Retiro (CONSAR), has approved two First Trust ETFs for sale to Mexican funded pensions, known as AFORES. According to Mexico’s pension plan investment guidelines, before an ETF can be purchased in a pension fund, it must be approved by CONSAR. “We are pleased that our first two AlphaDEX ETFs are officially approved for sale to Mexican pension funds,” said Dan Lindquist, Managing Director of First Trust. “This opportunity helps to further expand the footprint of our merit-based AlphaDEX ETFs into a new institutional market for First Trust.”

The two funds that have been approved are:
First Trust Large Cap Value AlphaDEX® Fund (NYSE Arca: FTA)
First Trust Large Cap Core AlphaDEX® Fund (NYSE Arca: FEX)

In addition, both funds are cross-listed on the Bolsa Mexicana de Valores under the same ticker symbols.

Currently, over 51 million Mexican workers save for their retirement in AFORES, according to CONSAR. There are approximately $164 billion (USD) in assets under management in Mexican pension funds and CONSAR projects Mexico’s retirement savings will grow to $225 billion (USD) by 2018. “As Mexico’s retirement savings grows, we are delighted to provide local pension managers an option for investing in index-based ETFs that seek risk-adjusted excess returns over time by selecting and weighting stocks based on fundamental merit-based factors,” Lindquist said.

For more information about First Trust, please contact Ryan Issakainen of First Trust at (630) 765-8689 or RIssakainen@FTAdvisors.com.

About First Trust

First Trust Advisors L.P., along with its affiliate First Trust Portfolios L.P., are privately held companies which provide a variety of investment services, including asset management and financial advisory services, with collective assets under management or supervision of approximately $101 billion as of October 31, 2014 through unit investment trusts, exchange-traded funds, closed-end funds, mutual funds and separate managed accounts. First Trust is based in Wheaton, Illinois. For more information, visit http://www.ftportfolios.com.

You should consider each fund’s investment objectives, risks, and charges and expenses carefully before investing. Contact First Trust Portfolios L.P. at 1-800-621-1675 to obtain a prospectus or summary prospectus which contains this and other information about the funds. The prospectus or summary prospectus should be read carefully before investing.

An index fund’s return may not match the return of the applicable index. Securities held by an index fund will generally not be bought or sold in response to market fluctuations.

Investors buying or selling fund shares on the secondary market may incur customary brokerage commissions. Market prices may differ to some degree from the net asset value of the shares. Investors who sell fund shares may receive less than the share’s net asset value. Shares may be sold throughout the day on the exchange through any brokerage account. However, unlike mutual funds, shares may only be redeemed directly from the fund by authorized participants, in very large creation/redemption units.

A fund’s shares will change in value, and you could lose money by investing in a fund. One of the principal risks of investing in a fund is market risk. Market risk is the risk that a particular stock owned by a fund, fund shares or stocks in general may fall in value. There can be no assurance that the fund’s investment objective will be achieved.

A fund may invest in securities issued by companies concentrated in a particular industry or sector which involves additional risks including limited diversification. A fund may invest in small capitalization and mid capitalization companies. Such companies may experience greater price volatility than larger, more established companies.

The funds are classified as “non-diversified” and may invest a relatively high percentage of their assets in a limited number of issuers. As a result, the funds may be more susceptible to a single adverse economic or regulatory occurrence affecting one or more of these issuers, experience increased volatility and be highly concentrated in certain issuers.

Investors should review all relevant offering materials, including all applicable risk factors, and should consult with financial and tax advisors relating to tax and other consequences of investing in a particular security prior to making an investment.

The securities have not been and will not be registered with the National Securities Registry maintained by the Mexican National Banking and Securities Commission, and may not be offered or sold publicly in Mexico. The securities may be offered, on a private basis, to Mexican institutional and accredited investors.

First Trust
Ryan Issakainen
(630) 765-8689
RIssakainen@FTAdvisors.com

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