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

First Trust Advisors L.P. (“First Trust”), a global ETF provider and asset manager, today announced that Chilean pension funds investment Risk Rating Commission, La Comisión Clasificadora de Riesgo (CCR), has approved two First Trust ETFs for sale to Chilean pension funds, known as la Asociación de Administradoras de Fondos de Pensiones (AFPs). According to Chile’s pension plan investment guidelines, before an ETF can be purchased in a pension fund, it must be approved by the CCR. “We are pleased that two AlphaDEX ETFs are officially approved for sale to Chilean 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.”

FTA and FEX were the only ETFs to receive approval for AFPs in February, expanding the select list of foreign ETFs to be added by the CCR in early 2015.

According to BNamericas, Chile’s pension pool has grown to $167 billion as of August 2014. Their sophisticated pension system is supported by the AFPs’ strict methods for assessing risk and selecting skilled investment professionals. “We are delighted to provide local Chilean pension managers an option for investing more broadly and diversifying risk,” Lindquist said. “We think the AlphaDEX ETFs are a good fit because they are based on fundamental evaluation measures, which are commonly used by professional money managers, to seek better risk-adjusted excess returns relative to cap-weighted benchmarks.”

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 $113 billion as of February 27, 2015 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 which involves additional risks including limited diversification.

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.

“AlphaDEX®” is a registered trademark of First Trust Portfolios L.P. First Trust Portfolios L.P. has obtained a patent for the AlphaDEX® stock selection methodology from the United States Patent and Trademark Office.

For Investors in Chile

The offer in Chile begins on February 27, 2015. This offer of securities complies with General Rule N°336 of the Chilean Superintendency of Securities and Insurances. The securities to which this offer refers have not been registered in the Foreign Securities Registry of the Chilean Superintendency of Securities and Insurances, and therefore, they are not subject to the supervision of such entity. As this offer of securities refers to unregistered securities, there is no obligation of the issuer of the securities to deliver in Chile public information regarding the securities. These securities may not be publicly offered in Chile as long as they are not registered on the corresponding Securities Registry.

Esta oferta en Chile comienza el 27 de febrero de 2015. Esta oferta de valores cumple con la Norma de Carácter General 336 de la Superintendencia de Valores y Seguros. Esta oferta versa sobre valores no inscritos en el Registro de Valores Extranjeros que lleva esta Superintendencia, por lo que tales valores no están sujetos a la fiscalización de ésta. Como esta oferta de valores se refiere a valores no inscritos, no existe la obligación por parte de su emisor de entregar en Chile información pública respecto de dichos valores. Estos valores no podrán ser objeto de oferta pública mientras no sean inscritos en el Registro de Valores correspondiente.