First Trust Announces Shareholder Approval of New Investment Strategy for First Trust Strategic Income ETF

WHEATON, Ill., February 23, 2022–(BUSINESS WIRE)–First Trust Advisors LP (“FTA”) today announced that shareholders of First Trust Strategic Income ETF (Nasdaq: FDIV) (the “Fund”), an actively managed exchange-traded fund and series of First Trust Exchange-Traded Fund IV, voted in favor of certain changes to the Fund’s primary investment strategies.

FTA previously announced that it was seeking shareholder approval for certain changes to the Fund’s key investment strategies. The changes will convert the Fund from its current investment strategy to a fund-of-funds strategy that follows First Trust’s high income model (“High Income Model”). Specifically, the Fund, through its investments in ETFs selected under FTA’s dynamic allocation process to constitute the high income model, will seek to provide investors with a diversified income stream by holding a combination of fixed income ETF asset which, through this allocation process, is actively managed to seek high levels of income and total return. The changes will become effective in the Fund’s portfolio on or about February 28, 2022. In addition, on or about February 28, 2022, the Fund will change its name to First Trust High Income Strategic Focus ETF and the ticker symbol of the Fund will change to “HER F.” In addition, the Fund’s management fee will be reduced from 0.85% of average daily net assets to 0.20% of average daily net assets; however, shareholders will be responsible for the fees and expenses of the fund acquired from the Fund, subject to an aggregate cap on fees and expenses of 0.87% of average daily net assets. It is not expected that the Fund’s trading exchange or CUSIP will change.

FTA is a federally registered investment adviser and acts as the investment adviser to the Fund. FTA and its affiliate First Trust Portfolios LP (“FTP”), a FINRA-registered broker, are private companies that provide a variety of investment services. FTA has collective assets under management or supervision of approximately $212 billion as of January 31, 2022 through unit investment trusts, exchange-traded funds, closed-end funds, mutual funds and accounts managed separately. FTA is the supervisor of the First Trust unit investment trusts, while FTP is the sponsor. FTP is also a distributor of UCITS units and UCITS creation units. FTA and FTP are based in Wheaton, Illinois.

You should carefully consider the Fund’s investment objective, risks, charges and expenses before investing. You can download a prospectus or contact FTA to request a prospectus containing further information about the Fund. Read it carefully before investing. The risks of investing in the Fund are set out in its prospectus, shareholder reports and other regulatory documents.

The information presented is not intended to constitute an investment recommendation or advice to any particular person. By providing this information, First Trust is not undertaking to give advice in a fiduciary capacity within the meaning of ERISA and the Internal Revenue Code. First Trust is not aware of any investors and has received no information regarding any investors. Financial advisors must determine whether particular investments are suitable for their clients. First Trust believes that the Financial Advisor is a fiduciary, capable of independently assessing investment risks and responsible for exercising independent judgment with respect to its pension plan clients.

This press release does not constitute an offer to sell or a solicitation to buy, and there will be no sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration. or qualification under the laws of such state or jurisdiction.

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