ETF Evaluator: First Trust NASDAQ® Cln Edge®StGidIfsETF () Follow This ETF

First Trust NASDAQ® Cln Edge®StGidIfsETF Overview

First Trust NASDAQ® Cln Edge®StGidIfsETF (GRID) is a passively managed Sector Equity Infrastructure exchange-traded fund (ETF). First Trust launched the ETF in 2009.

The investment seeks investment results that correspond generally to the price and yield (before the fund's fees and expenses) of an equity index called the Nasdaq Clean Edge Smart Grid Infrastructure Index TM. The fund will normally invest at least 90% of its net assets (including investment borrowings) in the common stocks and depositary receipts that comprise the index. The index includes companies that are primarily engaged and involved in electric grid, electric meters and devices, networks, energy storage and management, and enabling software used by the smart grid infrastructure sector. The fund is non-diversified.

About First Trust NASDAQ® Cln Edge®StGidIfsETF (GRID)

There are 7 members of the management team with an average tenure of 14.21 years: Daniel Lindquist (2009), Jon Erickson (2009), David McGarel (2009), Stan Ueland (2009), Chris Peterson (2016), Erik Russo (2021) and Roger Testin (2009). Management tenure is more important for actively managed ETFs than passive index ETFs.

The ETF has 2 primary benchmarks: Russell 3000 TR USD index with a weighting of 100% and NASDAQ OMX ClnEdge SmartGridInfra TR USD index with a weighting of 100%. First Trust NASDAQ® Cln Edge®StGidIfsETF has 132 securities in its portfolio. The top 10 holdings constitute 59.6% of the ETF’s assets. The ETF meets the SEC requirement of being classified as a nondiversified fund. The ETF is considered to have an ESG focus with its investment selection and management.

First Trust NASDAQ® Cln Edge®StGidIfsETF is part of the Equity global asset class and is within the Sector Equity ETF group. First Trust NASDAQ® Cln Edge®StGidIfsETF has 56.4% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 43.1% There is 56.4% allocated to foreign stock, and 0.2% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). First Trust NASDAQ® Cln Edge®StGidIfsETF has 0.3% of the portfolio in cash.

Assets Under Management

The fund has $11 billion in total assets, which is above the $1 billion average for the Infrastructure category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.

GRID Performance and Fees

The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The First Trust NASDAQ® Cln Edge®StGidIfsETF expense ratio is average compared to funds in the Infrastructure category. First Trust NASDAQ® Cln Edge®StGidIfsETF has an expense ratio of 0.56%, which is 5% higher than its category average, making the fund expense ratio grade a D. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.

High portfolio turnover can translate to higher expenses and lower aftertax returns. First Trust NASDAQ® Cln Edge®StGidIfsETF has a portfolio turnover rate of 26%, which indicates that it holds its assets around / 0.0 years. By way of comparison, the average portfolio turnover is 40% for the Infrastructure category.

Recently, in the month of July 2026, First Trust NASDAQ® Cln Edge®StGidIfsETF returned -6.1%, which earned it a grade of F, as the Infrastructure category had an average return of -2.8%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all ETFs in that category.

First Trust NASDAQ® Cln Edge®StGidIfsETF has a trailing yield of 0.80%, which is below the 2.04% category average. The fund normally distributes its income quarterly.

It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.

First Trust NASDAQ® Cln Edge®StGidIfsETF Grades

Year to date, the ETF has returned 17.8%, 3.9 percentage points better than the category, which translates into a grade of A. The fund has returned 27.5% over the past year (grade of A), 20.6% over the past three years (grade of A) and 14.5% per year over the past five years (grade of B) and 18.3% per year over the past 10 years (grade of A).

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