FT Vest S&P 500 Dividend Aristocrats Target Income ETF

KNG

Market cap $3.83B

WHEATON, Ill.--(BUSINESS WIRE)--First Trust Advisors L.P. ("FTA") announces the declaration of the monthly distributions for certain exchange-traded funds advised by FTA. The following dates apply to today's distribution declarations: Expected Ex-Dividend Date: August 21, 2025 Record Date: August 21, 2025 Payable Date: August 29, 2025 Ticker Exchange Fund Name Frequency Ordinary Income Per Share Amount   ACTIVELY MANAGED EXCHANGE-TRADED FUNDS   First Trust Exchange-Traded Fund III FCAL Nasdaq F.

WHEATON, Ill.--(BUSINESS WIRE)--First Trust Advisors L.P. ("FTA") announces the declaration of the monthly distributions for certain exchange-traded funds advised by FTA. The following dates apply to today's distribution declarations: Expected Ex-Dividend Date: July 22, 2025 Record Date: July 22, 2025 Payable Date: July 31, 2025 Ticker   Exchange   Fund Name   Frequency   Ordinary Income Per Share Amount     ACTIVELY MANAGED EXCHANGE-TRADED FUNDS     First Trust Exchange-Traded Fund III   FCAL.

Dividend Aristocrats are attractive for defensive investing, especially in a potential recession scenario. This ETF combines Dividend Aristocrats with a covered call strategy. This sounds appealing but has not produced alpha to-date.

KNG offers exposure to S&P 500 Dividend Aristocrats, providing a portfolio of steady, reliable, and defensive companies for income-focused investors. The ETF enhances yield through a covered call options strategy, boosting the dividend yield to 9.2% while capping some capital gains. Compared to NOBL, KNG sacrifices a small portion of total return for much higher income, making it ideal for those prioritizing yield.

WHEATON, Ill.--(BUSINESS WIRE)--First Trust Advisors L.P. ("FTA") announces the declaration of the monthly distributions for certain exchange-traded funds advised by FTA.

I have been a strong advocate for the JPMorgan Equity Premium Income ETF, emphasizing its potential benefits for retail investors. Another ETF that promises a similar strategy and has delivered great results is now vying for JEPI's spot in my portfolio. The FT Vest S&P 500 Dividend Aristocrats Target Income ETF appears as a potentially safer alternative, with tax efficiencies, conservative holdings, and a different options strategy.

Investors seeking income with diversification to offset risk can find some attractive prospects within the ETF arena.

Market volatility necessitates exposure to defensive ETFs like FT Cboe Vest S&P 500 Dividend Aristocrats Target Income ETF for resilience and reliable dividend income. KNG has a generous 9% starting dividend yield, with distributions paid monthly. The dividend is supported by an ATM option strategy. Despite a modest 4.5% price decline, KNG's price stability and income generation make it a buy in the current market environment of uncertainty.

FT Cboe Vest S&P 500® Dividend Aristocrats Target Income ETF magnifies income via covered call options on Dividend Aristocrats stocks. KNG has a much higher yield than the same portfolio without options, but a lower total return. KNG has outperformed other S&P 500 buy-write ETFs since 2018, but it has been lagging for 4 years, especially in the fourth quarter of 2024.

WHEATON, Ill.--(BUSINESS WIRE)--First Trust Advisors L.P. ("FTA") announces the declaration of the monthly distributions for certain exchange-traded funds advised by FTA.