At a glance
ILDR charges 0.75% a year, above the 0.38% average of the 8 funds most like it (the 8th cheapest of 9). It has $324.2M in assets, the 6th largest of that group. Over the past year it returned +11.0% with distributions reinvested (S&P 500: +11.5%), 2nd of those 9 funds; over three years it returned +33.7% a year. At its worst it fell 39.9% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 20 months after the low. Its ten largest positions make up 41.8% of the fund, out of 81 in all.
The short version
First Trust Innovation Leaders ETF (ILDR) is an actively managed fund. Its managers pick roughly 80 US and foreign stocks they think will benefit from innovation in areas like advanced computing, networks, automation and advanced medicine. It is concentrated in technology, with NVIDIA, Amazon and Alphabet as its largest holdings. Its 0.75% expense ratio is about twice the 0.38% average of similar growth funds, and it has swung more sharply than the market.
Price history
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ILDR +11.0% 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 | |
|---|---|---|---|---|---|---|
| ILDR official prospectus, to Dec 31, 2024 | — | +29.37% | — | — | — | +6.87% |
| ILDR price data to Oct 27, 2026 | +16.1% | +11.0% | +33.7% | +11.3% | — | +12.4% |
- Over the year to Oct 27, 2026, ILDR returned +11.0%, 2nd of 9 among similar funds.
- Its 5-year annualized return was +11.3%.
- Its worst full calendar year was 2022 (-34.9%); its best was 2023 (+39.3%).
- The deepest fall in its price history was 44.6% (Nov 17, 2021 to Jun 16, 2022), recovered by Jul 3, 2024.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +16.1% | — |
| 2025 | +29.2% | — |
| 2024 | +29.3% | +29.37% |
| 2023 | +39.3% | +39.18% |
| 2022 | -34.9% | -34.93% |
| 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 36.5% over that stretch · deepest drop along the way 39.9%, back to its old high 20.4 months after the low |
Dividends and income
No distribution history is available for this fund.
Distributions through Oct 27, 2026.What's inside
As of Aug 31, 2026, the fund held 81 securities; the ten largest made up 41.84% of assets.
| Holding | Weight | |
|---|---|---|
| NVIDIA CORP | 9.85% | |
| AMAZON.COM INC | 5.51% | |
| ALPHABET INC | 4.74% | |
| ADVANCED MICRO DEVICES INC | 4.33% | |
| BROADCOM INC | 3.75% | |
| ELI LILLY & COMPANY | 3.07% | |
| MARVELL TECHNOLOGY INC | 2.75% | |
| ORACLE CORP | 2.73% | |
| MICRON TECHNOLOGY INC | 2.67% | |
| ARISTA NETWORKS INC | 2.45% | |
| SCHNEIDER ELECTRIC SE | 2.36% | |
| SHOPIFY INC | 2.11% | |
| EATON CORP PLC | 1.98% | |
| MICROSOFT CORP | 1.93% | |
| META PLATFORMS INC | 1.87% |
By country
United States 84.78%Netherlands 2.6%Ireland 2.58%Canada 2.44%France 2.36%By asset type
Stocks 99.84%By sector
Sectors of the companies held, for the 64% 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 added a net $44.3M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: -0.94%, -7.35%, +6.28%.
How it works
ILDR does not track an index. First Trust's portfolio managers choose the holdings, and the goal is capital appreciation, meaning growth in share value rather than income. Under normal conditions, at least 80% of the fund's net assets go into stocks and depositary receipts of US and non-US companies that may benefit from scientific and technological innovation. A depositary receipt is a certificate that trades on a local exchange and represents shares of a foreign company. The prospectus lists seven themes: automation, advanced medicine, networks, advanced computing, enhanced mobility, energy revolution and e-commerce.
Selection happens in two steps. First, the managers identify themes from the top down. Then they pick individual stocks from the bottom up, judging each company's investment merit and how exposed it is to those themes. The prospectus does not set a weighting formula or a rebalancing schedule. Those decisions are left to the managers. Portfolio turnover was 57%, so a good share of the portfolio changes each year.
The fund is concentrated in information technology and is classified as "non-diversified." That means it can put more money into fewer companies than a diversified fund can. As of August 31, 2026, it held 81 stocks, and the top 10 made up about 42% of assets. NVIDIA alone was about 9.8%. About 85% of assets were in US companies, and the fund held no derivatives.
What it really costs
- ILDR charges 0.75% a year, versus an average of 0.38% for the similar funds below (8th of 9, cheapest first).
In a retirement portfolio
ILDR is a concentrated, actively managed technology and innovation fund with a 1.74 beta, no income and a 44.6% peak-to-trough loss, so it fits better as a small add-on than as a foundation.
ILDR could add focused exposure to innovation-driven companies, mostly chipmakers and large internet firms, on top of a broader stock fund. It launched in May 2021, so it has no record in the 2008 or 2020 crashes. In the 2022 bear market it fell 39.9% from January 3 to June 16, 2022, more than the overall drop. Its 2022 calendar-year loss of 34.9% is its worst year so far. Its deepest drop was 44.6%, from November 2021 to June 2022, and it took about 24.6 months to recover, in July 2024. Someone who has to sell shares during a slump like that would lock in large losses. The fund paid no distributions in the year to October 27, 2026, so it provides no income. Its 0.75% expense ratio is high for the category. Past results don't predict the future, and a retirement 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 small, actively managed slice of chip, cloud and internet leaders like NVIDIA, AMD and Broadcom on top of a broad core fund.
- Long-horizon investors who can sit through drops like ILDR's 44.6% fall in 2021–22, which took about two years to recover.
- Growth-focused investors who value its 33.7% annualized three-year return to October 27, 2026, which ranked first among eight similar funds.
Look elsewhere if
- Cost-conscious investors: ILDR charges 0.75% a year, against 0.04% for Schwab U.S. Large-Cap Growth ETF (SCHG) and a 0.38% peer average.
- Retirees who need income: ILDR paid no distributions in the year to October 27, 2026.
- Investors who want broad diversification: ILDR is non-diversified, tilted toward technology, and its top 10 holdings make up about 42% of assets.
Close alternatives
Matched by holdings overlap from the latest N-PORT reports.
| Fund | Overlap | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| ILDR this fund | — | 0.75% | $324.2M | +11.0% | +33.7% |
| QGRW WisdomTree U.S. Quality Growth Fund | 47% | 0.28% | $2.65B | +12.3% | +30.1% |
| HFGO Hartford Large Cap Growth ETF | 44% | 0.59% | $200.9M | +2.5% | +27.0% |
| PJFG PGIM Jennison Focused Growth ETF | 43% | 0.75% | $140.3M | +3.6% | +25.2% |
| TCHP T. Rowe Price Blue Chip Growth ETF | 42% | 0.57% | $2.16B | -1.2% | +23.5% |
| SCHG Schwab U.S. Large-Cap Growth ETF | 42% | 0.04% | $63.03B | +2.2% | +23.0% |
| PGRO Putnam Focused Large Cap Growth ETF | 42% | 0.56% | $212.1M | +3.1% | +24.6% |
| IWY iShares Russell Top 200 Growth ETF | 41% | 0.2% | $16.96B | -3.4% | +20.7% |
Questions investors ask
Does ILDR pay dividends?
No, not in a meaningful way. ILDR paid no distributions in the 12 months to October 27, 2026, so its trailing yield was 0%. The fund's stated objective is capital appreciation, meaning growth in share value rather than income. Many of its largest holdings, such as NVIDIA, Amazon and AMD, are growth companies that reinvest most of their profits. Investors who need regular cash from their portfolio would have to sell shares to get it.
What are ILDR's top holdings?
As of August 31, 2026, ILDR's largest holdings were NVIDIA (about 9.8%), Amazon (5.5%), Alphabet (4.7%), Advanced Micro Devices (4.3%), Broadcom (3.7%) and Eli Lilly (3.1%). Marvell, Oracle, Micron and Arista Networks rounded out the top 10, which together made up about 42% of the fund. It held 81 stocks in total. About 85% was in US companies, and the rest included firms such as Schneider Electric in France and Shopify in Canada.
ILDR vs QGRW: what's the difference?
Both own many of the same large growth stocks, and about 47% of their holdings overlap. WisdomTree U.S. Quality Growth Fund (QGRW) charges 0.28% a year, while ILDR charges 0.75%. ILDR is actively managed around innovation themes and can own foreign stocks. As of October 27, 2026, ILDR returned 33.7% a year over three years versus 30.1% for QGRW. Over one year, QGRW was slightly ahead, at 12.3% versus 11%. QGRW is also much larger by net assets.
Is ILDR an index fund?
No. ILDR is actively managed and does not track an index. First Trust's managers first pick themes, including automation, advanced medicine, networks, advanced computing, enhanced mobility, energy revolution and e-commerce. Then they choose individual stocks based on each company's investment merit and exposure to those themes. That approach carries management risk, meaning the managers' choices may not work out. It also helps explain the 0.75% expense ratio and the 57% portfolio turnover.
How did ILDR do in 2022?
Badly. ILDR lost about 34.9% in 2022, its worst calendar year since launching in May 2021. Its worst quarter was the one ending June 30, 2022, with a loss of 27.44%. From its November 2021 peak to its June 2022 low, it fell 44.6%, and it did not get back to its old high until July 2024. It then rebounded strongly, gaining about 39% in 2023 and 29% in 2024, according to its prospectus.