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FBDC - AI Analysis
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FT Confluence BDC & Specialty Finance Income ETF (FBDC)
Rating:68Neutral
Price Target:
$21.00
Positive Factors
Focused Sector Exposure
The ETF specializes in the financial sector, providing targeted access to business development companies and specialty finance firms.
High USA Exposure
With nearly all holdings based in the U.S., the fund benefits from stability in the world's largest economy.
Income Potential
The ETF's focus on specialty finance companies may offer attractive dividend yields for income-seeking investors.
Negative Factors
High Expense Ratio
The ETF charges a significantly higher expense ratio compared to most funds, reducing overall returns for investors.
Weak Performance
The fund has experienced negative returns across multiple timeframes, indicating recent struggles in its holdings.
Concentration Risk
The portfolio is heavily concentrated in a single sector and geographic region, increasing vulnerability to sector-specific or U.S.-focused downturns.
FBDC vs. SPDR S&P 500 ETF (SPY)
AUM40.90M
RegionNorth America
Expense Ratio13.69%
Beta1.22
IssuerFirst Trust
Inception DateJun 30, 2025
Dividend Yield3.57%
Asset ClassEquity
Index TrackedNo Underlying Index
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume6,384
30 Day Avg. Volume7,948
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)N/A
P/FCF RatioN/A
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
21.46Price Target Upside― Downside
Rating ConsensusModerate Buy
Number of Analyst Covering22
FBDC Summary
The FT Confluence BDC & Specialty Finance Income ETF (Ticker: FBDC) is an actively managed fund that focuses on U.S. business development companies (BDCs) and specialty finance firms. These companies help finance and support small- to mid-sized businesses, making this ETF a unique way to invest in the financial sector. Some of its top holdings include well-known names like Main Street Capital and Hercules Capital. Investors might consider FBDC for its potential to generate income and long-term growth while diversifying their portfolio. However, since it is heavily concentrated in the financial sector, its performance can be impacted by changes in the economy or interest rates.
How much will it cost me?The expense ratio for the FT Confluence BDC & Specialty Finance Income ETF (Ticker: FBDC) is 13.69%, which means you’ll pay $136.90 per year for every $1,000 invested. This is significantly higher than average because the fund is actively managed, requiring more resources to select and monitor investments in its niche sector.
What would affect this ETF?FBDC could benefit from economic growth in the U.S., as its focus on business development companies and specialty finance firms supports small- to mid-sized businesses, which thrive in expanding economies. However, rising interest rates or tighter credit conditions could negatively impact the profitability of its holdings, as these factors may increase borrowing costs and reduce demand for financing. Additionally, regulatory changes in the financial sector could create uncertainty for the ETF's niche focus.
FBDC Top 10 Holdings
The FBDC ETF is heavily concentrated in U.S.-based business development companies (BDCs) and specialty finance firms, making it a niche play within the financial sector. While Sixth Street Specialty Lending is a bright spot with steady gains this year, other top holdings like Hercules Capital and Ares Capital have struggled recently, weighed down by cash flow challenges and mixed technical signals. Blackstone Secured Lending Fund has been particularly lagging, dragging on the fund’s overall performance. With nearly all holdings tied to financials, the ETF’s fortunes are closely linked to the sector’s resilience and income-generating potential.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Main Street Capital | 11.32% | $4.73M | $5.14B | 11.92% | 74 Outperform | |
| Hercules Capital | 10.38% | $4.34M | $3.20B | -10.77% | 57 Neutral | |
| Ares Capital | 9.78% | $4.09M | $14.16B | -6.23% | 75 Outperform | |
| Sixth Street Specialty Lending | 9.09% | $3.80M | $2.12B | 11.28% | 75 Outperform | |
| Golub Capital Bdc | 9.02% | $3.77M | $3.78B | -7.74% | 71 Outperform | |
| Blackstone Secured Lending Fund | 7.94% | $3.32M | $6.17B | -14.23% | 74 Outperform | |
| Blue Owl Capital | 5.78% | $2.42M | $6.66B | -13.78% | 69 Neutral | |
| New Mountain Finance | 4.81% | $2.01M | $1.02B | -15.21% | 65 Neutral | |
| Barings BDC | 4.59% | $1.92M | $939.07M | -8.69% | 70 Outperform | |
| FS KKR Capital | 4.48% | $1.87M | $4.26B | -25.18% | 58 Neutral |
FBDC Technical Analysis
Positive
―
Price Trends
19.92
Negative
Market Momentum
-0.17
Negative
54.59
Neutral
87.61
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FBDC, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 19.10, equal to the 50-day MA of 19.92, and equal to the 200-day MA of ―, indicating a neutral trend. The MACD of -0.17 indicates Negative momentum. The RSI at 54.59 is Neutral, neither overbought nor oversold. The STOCH value of 87.61 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FBDC.
FBDC Peer Comparison
Comparison Results
Performance Comparison
FBDC
FT Confluence BDC & Specialty Finance Income ETF
19.61
-0.85
-4.15%
CHPY
YieldMax Semiconductor Portfolio Option Income ETF
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GABF
Gabelli Financial Services Opportunities ETF
―
―
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TFNS
T. Rowe Price Financials ETF
―
―
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LBO
WHITEWOLF Publicly Listed Private Equity ETF
―
―
―
AAUM
Tema Alternative Asset Managers ETF
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Glossary
BuyAn ETF rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF is likely to deliver higher returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldAn ETF rated as a "Hold" s expected to perform in line with the overall market or a specific benchmark. This rating indicates that the ETF is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellAn ETF rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF may deliver lower returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: ―
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