At a glance
TDVI charges 0.75% a year, above the 0.32% average of the 8 funds most like it (the 8th cheapest of 9). It has $524.0M in assets, the 7th largest of that group; it paid 8.09% of its price in distributions over the past 12 months, monthly. Over the past year it returned +16.1% with distributions reinvested (S&P 500: +11.5%), 7th of those 9 funds; over three years it returned +30.0% a year. Its ten largest positions make up 50.1% of the fund, out of 94 in all.
The short version
FT Vest Technology Dividend Target Income ETF (TDVI) is an actively managed First Trust fund. It holds dividend-paying tech and telecom stocks from the Nasdaq Technology Dividend Index and sells call options on the S&P 500 or Nasdaq-100 to earn extra income. It aims to pay out about 8 percentage points more than the Nasdaq-100's dividend yield, in monthly payments. The trade-offs are limited upside and a 0.75% expense ratio.
Price history
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TDVI +16.1% 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 | |
|---|---|---|---|---|---|---|
| TDVI official prospectus, to Dec 31, 2025 | — | +24.41% | — | — | — | +24.79% |
| TDVI price data to Oct 27, 2026 | +21.0% | +16.1% | +30.0% | — | — | +25.3% |
- Over the year to Oct 27, 2026, TDVI returned +16.1%, 7th of 9 among similar funds.
- Its worst full calendar year was 2024 (+22.8%); its best was 2025 (+25.5%).
- The deepest fall in its price history was 22.1% (Feb 20, 2025 to Apr 8, 2025), recovered by Jun 4, 2025.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +21.0% | — |
| 2025 | +25.5% | +24.41% |
| 2024 | +22.8% | +22.78% |
| 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) | $1.9800 | |
| 2025 | $2.2600 | +18.9% |
| 2024 | $1.9000 |
What's inside
As of Jul 31, 2026, the fund held 94 securities; the ten largest made up 50.15% of assets.
| Holding | Weight | |
|---|---|---|
| MICROSOFT CORP | 9.21% | |
| BROADCOM INC | 7.78% | |
| TEXAS INSTRUMENTS INC | 6.81% | |
| INTERNATIONAL BUSINESS MACHINES CORP | 6.70% | |
| ORACLE CORP | 4.93% | |
| TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LTD | 4.31% | |
| ANALOG DEVICES INC | 2.77% | |
| QUALCOMM INC | 2.62% | |
| APPLIED MATERIALS INC | 2.59% | |
| MOTOROLA SOLUTIONS INC | 2.41% | |
| VERIZON COMMUNICATIONS INC | 2.19% | |
| COMCAST CORP | 2.15% | |
| CISCO SYSTEMS INC | 2.15% | |
| SALESFORCE INC | 2.09% | |
| AT&T INC | 2.09% |
By country
United States 78.91%Canada 5.86%Taiwan 4.58%Netherlands 2.48%Ireland 2.26%By asset type
Stocks 99.8%By sector
Sectors of the companies held, for the 70.6% 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 Jul 31, 2026. Cash, money-market funds and derivatives are shown separately from the securities list.What changed recently
- Over the three months to Jul 31, 2026, investors added a net $106.1M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +13.67%, -6.30%, -3.92%.
How it works
First Trust's TDVI does not simply copy an index. Portfolio managers at the sub-advisor, Vest Financial, pick stocks from the Nasdaq Technology Dividend Index. That index holds 100 technology companies with a history of paying dividends. The managers also decide how much of each stock to hold. At least 80% of net assets goes into dividend-paying tech or telecom companies. As of July 31, 2026, the fund held 94 stocks, led by Microsoft (9.2%), Broadcom (7.8%), Texas Instruments (6.8%) and IBM (6.7%).
The fund also sells call options on the Nasdaq-100 or S&P 500 index, or on ETFs that track them. A call option pays the buyer any rise above a set price, called the strike. In return, the fund collects an upfront payment called a premium. Each week, the managers compare the stocks' dividends with the fund's payout target and aim to fill the gap with premiums. The target is about 8.0% a year, before fees, on top of the Nasdaq-100's dividend yield, which was 0.64% for 2025. Payouts are monthly and not guaranteed.
The catch: if the index ends above the strike, the fund owes the difference and may sell stocks to cover it. That means it can trail in strong rallies. Index options settle in cash and can be exercised only at expiry. Options on ETFs can be exercised at any time and require the fund to deliver shares.
What it really costs
- TDVI charges 0.75% a year, versus an average of 0.32% for the similar funds below (8th of 9, cheapest first).
Structure and tax notes
- Generates much of its income from selling options (directly or through notes). That income is usually taxed as ordinary income rather than as qualified dividends, and the strategy gives up some upside in strong markets.
In a retirement portfolio
It pays high monthly income, but that income comes from a concentrated, tech-heavy stock portfolio whose 1-year beta was 1.26, meaning it moved more than the broad market.
TDVI launched in August 2023, so it has no record from the 2008, 2020 or 2022 downturns. Its weakest calendar year so far, 2024, still gained 22.8%. Its deepest drop was 22.1%, from February 20 to April 8, 2025. It recovered by June 4, 2025, about two months later. A longer slump in tech stocks could hurt more, and someone selling shares in such a year would lock in the losses. The trailing yield was 8.09% as of October 27, 2026, paid monthly. Option income is usually taxed as ordinary income, and the fund may cut payouts if income falls short. The 0.75% expense ratio is well above the 0.32% average of similar funds. 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 monthly income from tech stocks and accept a trailing yield of 8.09% (as of October 27, 2026) with limited upside.
- Holders who already own large tech companies like Microsoft and Broadcom and want an option-income version of that exposure.
- Investors who hold it in a tax-advantaged account, where option income taxed as ordinary income matters less.
Look elsewhere if
- Cost-focused investors: its 0.75% expense ratio compares with 0.50% for TDIV and under 0.10% for XLK, FTEC or VGT.
- Anyone who wants a long track record: it launched in August 2023 and hasn't been through a full bear market.
- Investors who want broad diversification; it is concentrated in tech, and its top ten holdings were about 50% of assets.
Close alternatives
Matched by holdings overlap from the latest N-PORT reports.
| Fund | Overlap | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| TDVI this fund | — | 0.75% | $524.0M | +16.1% | +30.0% |
| TDIV First Trust NASDAQ Technology Dividend Inde… · different strategy | 92% | 0.5% | $4.42B | +15.2% | +31.2% |
| TDV ProShares S&P Technology Dividend Aristocra… · different strategy | 37% | 0.45% | $277.4M | +16.6% | +22.3% |
| XLK Technology Select Sector SPDR Fund · different strategy | 35% | 0.08% | $123.91B | +20.1% | +4.0% |
| IGM iShares Expanded Tech Sector ETF · different strategy | 33% | 0.41% | $10.71B | +21.3% | +38.6% |
| FTEC Fidelity MSCI Information Technology Index … · different strategy | 30% | 0.084% | $19.85B | +15.4% | +30.0% |
| SEMI Columbia Select Technology ETF · different strategy | 30% | 0.75% | $37.6M | +20.1% | +31.7% |
| SOXQ Invesco PHLX Semiconductor ETF · different strategy | 30% | 0.19% | $3.00B | +60.9% | +53.6% |
Questions investors ask
Does TDVI pay monthly dividends?
Yes. TDVI expects to make distributions every month, funded by stock dividends and option premiums. Over the 12 months to October 27, 2026, it paid $2.54 per share, a trailing yield of 8.09%. The payout is a target, not a promise. The prospectus says the fund may have to cut distributions if income falls short, and payouts may exceed its income and gains. Option income is usually taxed as ordinary income rather than as qualified dividends.
What's the difference between TDVI and TDIV?
Both are First Trust funds, and their holdings overlapped by 92% in the latest reports. The main difference is strategy. TDIV tracks the Nasdaq Technology Dividend Index and sells no options. TDVI chooses its stocks actively and sells call options for extra income. TDIV costs 0.50% a year versus 0.75% for TDVI. As of October 27, 2026, TDVI returned 16.1% over one year versus 15.2% for TDIV. Over three years, TDVI returned about 30% a year versus 31.2% for TDIV.
Is TDVI's 8% yield sustainable?
It isn't guaranteed. TDVI aims to pay about 8% plus the Nasdaq-100's dividend yield (0.64% for 2025) before fees. Each week it fills the gap between its stocks' dividends and that target with option premiums. Premiums shrink when markets are calm. Selling calls also limits gains in strong rallies, which can hold back growth in the share price over time. The advisor says it reviews whether the target is still reasonable and may change it.
What are TDVI's top holdings?
As of July 31, 2026, the largest positions were Microsoft (9.2%), Broadcom (7.8%), Texas Instruments (6.8%), IBM (6.7%), Oracle (4.9%) and Taiwan Semiconductor (4.3%). The fund held 94 stocks, and the top ten made up about 50% of assets. About 79% of assets were in US companies. It also held telecom names such as Verizon and AT&T, plus a small short position in S&P 500 call options.
Is TDVI good for retirement income?
It may suit retirees who want high monthly income and can accept tech-sector risk, but it has drawbacks. It yielded 8.09% as of October 27, 2026. It is concentrated in tech, its one-year volatility was about 20%, and it fell 22.1% in early 2025 before recovering in about two months. It launched in 2023 and has never been through a long bear market. Its 0.75% expense ratio is also above the 0.32% average of similar funds.