At a glance
FTGS charges 0.6% a year, above the 0.33% average of the 8 funds most like it (the 8th cheapest of 9). It has $1.25B in assets, the 8th largest of that group; it paid 0.04% of its price in distributions over the past 12 months, semiannual. Over the past year it returned +4.5% with distributions reinvested (S&P 500: +11.5%), 6th of those 9 funds; over three years it returned +19.0% a year. Its ten largest positions make up 26.8% of the fund, out of 50 in all.
The short version
First Trust Growth Strength ETF (FTGS) is an index fund that holds 50 equally weighted stocks picked by Nasdaq's Growth Strength Index. The index looks for companies with large cash reserves, low debt, high profitability and fast three-year revenue and cash flow growth. Two things set it apart from similar funds. Its 0.60% expense ratio is well above their 0.33% average, and its 105% portfolio turnover means the lineup changes often.
Price history
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FTGS +4.5% 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 | |
|---|---|---|---|---|---|---|
| FTGS official prospectus, to Dec 31, 2025 | — | +12.83% | — | — | — | +19.58% |
| FTGS price data to Oct 27, 2026 | +8.1% | +4.5% | +19.0% | — | — | +17.5% |
- Over the year to Oct 27, 2026, FTGS returned +4.5%, 6th of 9 among similar funds.
- Its worst full calendar year was 2025 (+12.8%); its best was 2023 (+33.7%).
- The deepest fall in its price history was 20% (Jan 23, 2025 to Apr 8, 2025), recovered by May 16, 2025.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +8.1% | — |
| 2025 | +12.8% | +12.83% |
| 2024 | +15.8% | +15.87% |
| 2023 | +33.7% | +33.54% |
| 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 | Before this security existed |
Dividends and income
Show as a table
| Year | Per share | Change |
|---|---|---|
| 2026 (to date) | $0.0090 | |
| 2025 | $0.0590 | -51.6% |
| 2024 | $0.1220 | -27.8% |
| 2023 | $0.1690 |
What's inside
As of Jun 30, 2026, the fund held 50 securities; the ten largest made up 26.79% of assets.
| Holding | Weight | |
|---|---|---|
| PALO ALTO NETWORKS INC | 4.03% | |
| FORTINET INC | 3.72% | |
| ELI LILLY & COMPANY | 2.57% | |
| NEUROCRINE BIOSCIENCES INC | 2.51% | |
| MONSTER BEVERAGE CORP | 2.49% | |
| CADENCE DESIGN SYSTEMS INC | 2.39% | |
| AMPHENOL CORP | 2.32% | |
| INCYTE CORP | 2.30% | |
| CUMMINS INC | 2.26% | |
| CINCINNATI FINANCIAL CORP | 2.20% | |
| APPLOVIN CORP | 2.14% | |
| INTERACTIVE BROKERS GROUP INC | 2.11% | |
| DEXCOM INC | 2.09% | |
| RALPH LAUREN CORP | 2.06% | |
| ARISTA NETWORKS INC | 2.05% |
By country
United States 96.12%Ireland 2.05%Switzerland 1.76%By asset type
Stocks 99.92%By sector
Sectors of the companies held, for the 76.7% 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 Jun 30, 2026. Cash, money-market funds and derivatives are shown separately from the securities list.What changed recently
- Over the three months to Jun 30, 2026, investors withdrew a net $13.9M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +5.84%, +3.86%, -1.12%.
How it works
FTGS is an index fund. Before fees, it tries to match the Growth Strength Index, which Nasdaq, Inc. builds and maintains. The fund keeps at least 80% of its net assets in the index's stocks. The index starts with every company in the Nasdaq US Benchmark Index and drops those that are too small or trade too thinly. To stay in, a company needs at least $1 billion in cash or short-term equivalents and long-term debt below 30% of its stock market value. It also needs positive shareholder equity and a return on equity above 15%. Return on equity is profit as a share of shareholders' money. It must also have had positive cash flow and revenue three years earlier.
The companies that pass are ranked on three-year revenue growth and three-year cash flow growth, with both counting equally. No more than 15 can come from any one industry. The 50 top-ranked names get in, and each gets the same weight. The index is rebalanced and reconstituted every quarter, and the fund follows shortly after. That schedule helps explain the 105% portfolio turnover shown in the prospectus filed April 30, 2026.
Between rebalances, rising stocks grow as a share of the fund and falling ones shrink. As of June 30, 2026, Palo Alto Networks was about 4.0% of assets, while many holdings sat near 2%. The fund held only ordinary stocks and no derivatives.
What it really costs
- FTGS charges 0.6% a year, versus an average of 0.33% for the similar funds below (8th of 9, cheapest first).
In a retirement portfolio
It is a 50-stock, equal-weighted growth fund with a higher-than-average cost, almost no income and a short record that has not been through a bear market.
FTGS could add a growth-and-quality tilt next to a broad core fund, but its record is short. It launched on October 25, 2022, so it missed the 2008, 2020 and 2022 sell-offs entirely. Its weakest calendar year so far was 2025, which was still a gain of 12.8%. Its deepest drop was 20%, from January 23 to April 8, 2025. It was back at its old high by May 16, 2025, a little over a month later. A real bear market could hurt more. Anyone forced to sell shares during a slump would lock in losses.
Income is negligible. The yield was 0.04% as of October 27, 2026, paid twice a year, so withdrawals would mostly come from selling shares. The 0.60% expense ratio is well above the 0.33% peer average. Past results don't predict the future, 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 screen for cash-rich, low-debt, highly profitable companies with fast three-year revenue and cash flow growth.
- Those who prefer equal weighting, where Eli Lilly counts about as much as Neurocrine Biosciences or Monster Beverage, each near 2.5% as of June 30, 2026.
- Long-term holders adding a small satellite position beside a broad index fund who can accept drops like the 20% fall in early 2025.
Look elsewhere if
- Cost-focused investors: the 0.60% expense ratio ranks 8th of 9 similar funds, versus 0.15% for QUAL and 0.04% for SCHG.
- People seeking portfolio income, since the yield was 0.04% as of October 27, 2026, with payments only twice a year.
- Investors who want a fund tested in bear markets. Launched in October 2022, FTGS has no record through 2008, 2020 or the 2022 decline.
Close alternatives
Matched by holdings overlap from the latest N-PORT reports.
| Fund | Overlap | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| FTGS this fund | — | 0.6% | $1.25B | +4.5% | +19.0% |
| FTCS First Trust Capital Strength ETF | 30% | 0.54% | $7.65B | +8.6% | +13.5% |
| RPG Invesco S&P 500® Pure Growth ETF | 28% | 0.35% | $2.00B | +12.5% | +23.8% |
| QUAL iShares MSCI USA Quality Factor ETF | 24% | 0.15% | $46.53B | +14.1% | +19.6% |
| QGRW WisdomTree U.S. Quality Growth Fund | 22% | 0.28% | $2.65B | +12.3% | +30.1% |
| CAML Congress Large Cap Growth ETF | 22% | 0.65% | $369.5M | +0.7% | +19.2% |
| SCHG Schwab U.S. Large-Cap Growth ETF | 22% | 0.04% | $63.03B | +2.2% | +23.0% |
| MGK Vanguard Mega Cap Growth ETF | 22% | 0.07% | $33.30B | +2.5% | +23.2% |
Questions investors ask
Is FTGS good for retirement?
It depends on the role it plays. FTGS is a 50-stock growth fund with a 0.60% expense ratio and almost no income: its yield was 0.04% as of October 27, 2026. That makes it more natural as a smaller satellite than a core holding. Its record starts in October 2022, so it has not been tested in a full bear market. Its deepest drop so far was 20%, between January and April 2025.
What's the difference between FTGS and FTCS?
Both are First Trust ETFs, and about 30% of their holdings overlapped in the latest N-PORT reports, the most of any similar fund. FTGS adds a ranking on three-year revenue and cash flow growth. FTCS costs less, at 0.54% versus 0.60%. It is also much larger, with $7.6 billion in net assets versus $1.25 billion as of June 30, 2026. As of October 27, 2026, FTGS returned 4.5% over one year versus 8.6% for FTCS. Over three years, FTGS returned 19% a year versus 13.5%.
Does FTGS pay dividends?
Yes, but very little. FTGS pays twice a year. Over the 12 months to October 27, 2026, it paid about $0.015 per share, a yield of 0.04%. The prospectus notes that growth stocks may pay little or no dividends, which can leave less to cushion price swings. Investors who need regular cash from their portfolio would have to sell shares or rely on other holdings.
How has FTGS performed since launch?
From its launch on October 25, 2022 through December 31, 2025, FTGS returned an average of 19.58% a year, according to its prospectus. Calendar-year returns were 33.54% in 2023, 15.87% in 2024 and 12.83% in 2025. Its price return for the year ended October 27, 2026 was 4.5%. Among nine similar funds, it ranked 8th on both one-year and three-year returns as of that date.
What are FTGS's top holdings?
As of June 30, 2026, the largest positions were Palo Alto Networks (4.0%), Fortinet (3.7%), Eli Lilly (2.6%), Neurocrine Biosciences (2.5%) and Monster Beverage (2.5%). The fund held 50 companies, and its top 10 made up 26.8% of assets. The index resets each stock to an equal weight every quarter, so no single company dominates. The list can also change at each quarterly reconstitution.