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FGD - ETF AI Analysis

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FGD

First Trust Dow Jones Global Select Dividend Index Fund (FGD)

Rating:59Neutral
Price Target:
FGD’s rating suggests it is a solid but not outstanding global dividend ETF, with its quality driven by strong holdings like Cal-Maine Foods, which shows excellent financial health, profitability, and an attractive valuation, and Parex Resources, which adds robust growth and operational strength despite some short-term technical weakness. The fund also benefits from fundamentally sound names like Teleperformance and Banco BPM, though their bearish technical trends and financially challenged holdings such as Telefonica and Robert Half weigh on the overall assessment. A key risk is that several holdings show bearish momentum or financial pressures, which can increase volatility even though many positions offer appealing dividend income.
Positive Factors
Global Diversification
The fund spreads its investments across many countries, which can help reduce the impact of weakness in any single market.
Broad Sector Mix
Holdings are spread across financials, consumer sectors, communication services, energy, and more, helping avoid reliance on just one industry.
Dividend-Focused Strategy
By tracking a global select dividend index, the ETF targets companies that pay dividends, which can provide a steadier income stream over time.
Negative Factors
Higher Expense Ratio
The fund’s expense ratio is on the higher side for an ETF, which means more of the returns are used to cover fees.
Financial Sector Concentration
A large portion of the portfolio is in financial companies, so the fund may be more sensitive to problems in the banking and financial industry.
Mixed Performance in Top Holdings
Several of the largest positions have shown weak or lagging performance this year, which can drag on the fund’s overall returns.

FGD vs. SPDR S&P 500 ETF (SPY)

FGD Summary

FGD is an exchange-traded fund that follows the Dow Jones Global Select Dividend Index, focusing on companies around the world that pay relatively high dividends. It holds many international stocks, with a big share in financials and communication services, and includes well-known names like Western Union and Telefonica. Someone might invest in FGD to seek regular income from dividends while also getting broad global diversification instead of picking individual foreign stocks. A key risk is that dividend-paying stocks and global markets can go up and down in value, so your investment is not guaranteed.
How much will it cost me?This ETF has an expense ratio of 0.55%, which means you’ll pay about $5.50 per year for every $1,000 invested. That’s higher than the average low-cost index ETF because it follows a more specialized, high-dividend global strategy rather than a very broad, plain-vanilla index.
What would affect this ETF?This global high-dividend ETF could benefit if developed-market economies stay stable or improve, supporting steady profits and dividend payments from its financial, consumer, and telecom holdings like Western Union, Telus, and Telefonica. On the other hand, rising interest rates, pressure on bank profits, cuts to company dividends, or economic slowdowns in major developed markets could hurt both the fund’s income and share prices, especially given its large exposure to financials and other economically sensitive sectors.

FGD Top 10 Holdings

FGD leans heavily on financials and other classic dividend payers across developed markets, and that income-first tilt is shaping performance. On the positive side, energy name Parex Resources has been a bright spot, rising steadily and helping offset weakness elsewhere. But several holdings are losing steam: staffing firm Robert Half, Italian lender Banco BPM, and outsourcing group Teleperformance have all been lagging, acting like a headwind for the fund. Telecom giants like Telus and Telefonica are more mixed, keeping the ETF’s overall ride steady but hardly exciting.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Western Union1.68%$20.65M$2.83B-15.22%
69
Neutral
Robert Half1.55%$18.97M$2.36B-56.17%
60
Neutral
Telus1.50%$18.42MC$28.16B-5.81%
62
Neutral
Parex Resources1.49%$18.29MC$2.60B104.76%
76
Outperform
Cal-Maine Foods1.48%$18.16M$3.73B-12.16%
84
Outperform
1.46%$17.96M
Telefonica1.46%$17.86M€20.20B-17.36%
49
Neutral
Teleperformance1.28%$15.75M€3.06B-44.19%
72
Outperform
1.28%$15.67M
Banco BPM S.p.A.1.27%$15.62M€17.00B10.84%
72
Outperform

FGD Technical Analysis

Technical Analysis Sentiment
Negative
Last Price
Price Trends
50DMA
32.28
Negative
100DMA
30.90
Positive
200DMA
29.16
Positive
Market Momentum
MACD
-0.36
Positive
RSI
35.75
Neutral
STOCH
31.06
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FGD, the sentiment is Negative. The current price of undefined is equal to the 20-day moving average (MA) of 32.46, equal to the 50-day MA of 32.28, and equal to the 200-day MA of 29.16, indicating a neutral trend. The MACD of -0.36 indicates Positive momentum. The RSI at 35.75 is Neutral, neither overbought nor oversold. The STOCH value of 31.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FGD.

FGD Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$1.24B0.55%
59
Neutral
$7.85B0.50%
58
Neutral
$2.30B0.09%
65
Neutral
$2.25B0.09%
64
Neutral
$620.89M0.58%
62
Neutral
$294.44M0.18%
66
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FGD
First Trust Dow Jones Global Select Dividend Index Fund
30.96
7.93
34.43%
IDV
iShares International Select Dividend ETF
DIVI
Franklin LibertyQ International Equity Hedged ETF
HDEF
Xtrackers MSCI EAFE High Dividend Yield Equity ETF
DTH
WisdomTree International High Dividend Fund
FIDI
Fidelity International High Dividend ETF
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.
DisclaimerThis 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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