At a glance
AFGR charges 0.65% a year, above the 0.28% average of the 8 funds most like it (the most expensive of 9). It has $93.0M in assets, the 9th largest of that group; it paid 0.03% of its price in distributions over the past 12 months, annual. Over the past year it returned +0.1% with distributions reinvested (S&P 500: +11.5%), 7th of those 9 funds; over three years it returned +23.9% a year. At its worst it fell 40.5% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 17 months after the low. Its ten largest positions make up 47.2% of the fund, out of 73 in all.
The short version
First Trust Active Factor Large Cap Growth ETF (AFGR) is an actively managed fund that picks large US growth stocks from the Russell 1000 Growth Index. It uses a computer model that scores stocks on momentum, quality and growth. Its 0.65% expense ratio is the highest in a group of nine similar growth funds, where the other eight average 0.28%. It is also small, with about $93 million in assets as of August 31, 2026.
Price history
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AFGR +0.1% over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| AFGR official prospectus, to Dec 31, 2025 | — | +17.13% | — | +8.10% | — | +11.28% |
| AFGR price data to Oct 27, 2026 | +4.8% | +0.1% | +23.9% | +5.6% | — | +7.3% |
- Over the year to Oct 27, 2026, AFGR returned +0.1%, 7th of 9 among similar funds.
- Its 5-year annualized return was +5.6%.
- Its worst full calendar year was 2022 (-39.2%); its best was 2023 (+45.2%).
- The deepest fall in its price history was 46% (Nov 16, 2021 to Oct 14, 2022), recovered by Oct 14, 2024.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +4.8% | — |
| 2025 | +17.3% | +17.13% |
| 2024 | +26.0% | +26.05% |
| 2023 | +45.2% | +45.13% |
| 2022 | -39.2% | -39.18% |
| 2021 | — | +13.30% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Before this security existed |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 40.4% over that stretch · deepest drop along the way 40.5%, back to its old high 16.7 months after the low |
Dividends and income
Show as a table
| Year | Per share | Change |
|---|---|---|
| 2026 (to date) | $0.0100 |
What's inside
As of Aug 31, 2026, the fund held 73 securities; the ten largest made up 47.24% of assets.
| Holding | Weight | |
|---|---|---|
| ALPHABET INC | 10.83% | |
| NVIDIA CORP | 10.82% | |
| MICROSOFT CORP | 4.34% | |
| APPLE INC | 4.22% | |
| BROADCOM INC | 3.73% | |
| AMAZON.COM INC | 3.56% | |
| META PLATFORMS INC | 3.37% | |
| JOHNSON & JOHNSON | 2.18% | |
| VISA INC | 2.12% | |
| MASTERCARD INC | 2.06% | |
| SPOTIFY TECHNOLOGY SA | 1.94% | |
| PALO ALTO NETWORKS INC | 1.93% | |
| APPLIED MATERIALS INC | 1.86% | |
| ELI LILLY & COMPANY | 1.64% | |
| LAM RESEARCH CORP | 1.56% |
By country
United States 95.82%Luxembourg 1.94%Ireland 0.9%Cayman Islands 0.24%By asset type
Stocks 98.9%By sector
Sectors of the companies held, for the 88.8% of the fund in companies that have a stock page here; other holdings and cash aren't classified. Source: N-PORT holdings report as of Aug 31, 2026. Cash, money-market funds and derivatives are shown separately from the securities list.What changed recently
- Over the three months to Aug 31, 2026, investors withdrew a net $26.1M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: -2.27%, -0.36%, +2.09%.
How it works
The fund must keep at least 80% of its net assets in large US growth companies. It defines these as members of the Russell 1000 Growth Index, which tracks larger US companies with higher price-to-book ratios and higher expected growth. As of April 30, 2026, companies in that index ranged from $1.15 billion to $4.85 trillion in market value. The fund doesn't have to sell a stock that later shrinks below that range.
First Trust doesn't simply copy the index. It uses a quantitative model built on investing "factors." A factor is a measurable trait linked to returns. The model uses three: momentum (how a stock's price has done compared with the market), quality (how strong the company's finances are) and growth (past and expected sales growth, plus profitability). The managers adjust the weight of each factor over time, and they can change the factors entirely. When the portfolio is rebalanced, an optimization process weighs these factor scores against limits on sector, industry and single-stock risk. The managers watch the portfolio continuously against its benchmark.
As of August 31, 2026, the fund held 73 stocks, and the top ten made up 47.2% of assets. Alphabet and Nvidia were each about 10.8%, followed by Microsoft at 4.3% and Apple at 4.2%. Technology made up about 44% of the fund. Portfolio turnover was 68%, which means it trades often. That trading creates costs that the expense ratio doesn't show.
What it really costs
- AFGR charges 0.65% a year, versus an average of 0.28% for the similar funds below (9th of 9, cheapest first).
In a retirement portfolio
It is a concentrated, tech-heavy growth fund that has swung more than the market, so it fits better as a smaller add-on than as a foundation.
AFGR could add a factor-based tilt within large US growth stocks. It has moved more than the market, though: its one-year beta was 1.36 as of October 27, 2026. Beta measures how much a fund tends to move compared with the overall market. The fund launched in July 2020, so it has no record from the 2008 crisis or the 2020 crash. It lost 39.18% in calendar 2022. Its deepest drop was 46%, from November 2021 to October 2022, and it took 24 months to recover. Anyone who had to sell shares during that stretch would have locked in large losses.
It pays almost no income. The trailing yield was 0.03% as of October 27, 2026, paid once a year, so cash for spending would have to come from selling shares. Its 0.65% fee is well above the 0.28% average of similar funds. Past results don't predict future returns, and a plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Investors who want a rules-based active approach to large US growth stocks, using momentum, quality and growth signals instead of plain index weights.
- Those comfortable with a heavy tech tilt: Alphabet and Nvidia were each nearly 11% of assets as of August 31, 2026.
- Long-term holders who can sit through deep drops, like the 46% fall from 2021 to 2022 that took 24 months to recover.
Look elsewhere if
- Cost-focused investors: AFGR charges 0.65% a year, against 0.04% for Vanguard Growth ETF (VUG) and 0.07% for Vanguard Russell 1000 Growth ETF (VONG).
- Anyone who needs income from their holdings: the trailing yield was 0.03% as of October 27, 2026, paid once a year.
- Those who prefer larger funds: AFGR had about $93 million in assets and about $26 million in net outflows over three months, per its August 31, 2026 report.
Close alternatives
Matched by holdings overlap from the latest N-PORT reports.
| Fund | Overlap | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| AFGR this fund | — | 0.65% | $93.0M | +0.1% | +23.9% |
| QGRW WisdomTree U.S. Quality Growth Fund | 60% | 0.28% | $2.65B | +12.3% | +30.1% |
| WINN Harbor Long-Term Growers ETF | 57% | 0.57% | $1.13B | +5.5% | +25.4% |
| IVW iShares S&P 500 Growth ETF | 56% | 0.18% | $74.97B | +7.0% | +25.2% |
| VUG Vanguard Growth ETF | 56% | 0.04% | $379.29B | +3.8% | +25.1% |
| TGRT T. Rowe Price Growth ETF | 55% | 0.38% | $1.48B | +1.0% | +23.5% |
| PGRO Putnam Focused Large Cap Growth ETF | 54% | 0.56% | $212.1M | +3.1% | +24.6% |
| IWF iShares Russell 1000 Growth ETF | 53% | 0.19% | $128.90B | -3.7% | +20.3% |
Questions investors ask
Is AFGR an index fund or actively managed?
AFGR is actively managed. First Trust picks stocks from the Russell 1000 Growth Index, a benchmark of US large-cap growth companies, using a rules-based quantitative model. The model scores stocks on three factors: momentum (price strength compared with the market), quality (strong fundamentals) and growth (sales growth and profitability). The weight on each factor changes as markets change. At least 80% of net assets go into these companies. The prospectus filed June 4, 2026 lists portfolio turnover of 68%, which means the fund trades often.
What is AFGR's expense ratio?
AFGR's expense ratio is 0.65% a year, according to the prospectus filed June 4, 2026. All of it is the management fee. That is higher than all eight similar growth ETFs we compared, whose average was 0.28%. Index funds holding similar stocks cost far less. The iShares Russell 1000 Growth ETF (IWF) charges 0.19%, and the Vanguard Growth ETF (VUG) charges 0.04%. To come out ahead, AFGR's active management has to beat those funds by more than the difference in fees.
What are AFGR's top holdings?
As of August 31, 2026, AFGR's largest holdings were Alphabet (10.8% of the fund) and Nvidia (10.8%). Next came Microsoft (4.3%), Apple (4.2%), Broadcom (3.7%), Amazon (3.6%) and Meta Platforms (3.4%). The ten largest positions made up about 47% of a 73-stock portfolio. Technology accounted for 44.2% of assets and communication services for 15.4%. As a result, the fund's results depend heavily on a handful of big tech companies.
Is AFGR good for retirement income?
AFGR is built for growth, not income. Its trailing 12-month yield was 0.03% as of October 27, 2026, and it pays distributions once a year. It is also volatile. The fund lost 39.18% in 2022. From November 2021 to October 2022 it fell 46% from peak to low, and it took 24 months to recover. It may suit retirees who want a small growth holding alongside their income sources and can leave that money alone through long slumps.
AFGR vs QGRW: what's the difference?
The WisdomTree U.S. Quality Growth Fund (QGRW) is the closest match by holdings: about 60% of the two portfolios overlap, based on their latest N-PORT reports. QGRW costs 0.28% a year, compared with 0.65% for AFGR. As of October 27, 2026, QGRW returned 12.3% over one year and 30.1% a year over three years. AFGR returned 0.1% and 23.9% over the same periods. QGRW is also much larger, with $2.65 billion in net assets as of June 30, 2026. AFGR had $93.0 million as of August 31, 2026.