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FRI - ETF AI Analysis
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First Trust S&P REIT Index Fund (FRI)
Rating:70Outperform
Price Target:
$30.00
Positive Factors
Strong Top Holdings
Several major holdings, like Welltower and Prologis, have delivered strong year-to-date performance, supporting the ETF's overall gains.
Focused Sector Exposure
The ETF is heavily concentrated in the real estate sector, which can benefit from stable demand and long-term growth trends.
Reasonable Expense Ratio
The fund's expense ratio is relatively low compared to many actively managed ETFs, helping investors retain more of their returns.
Negative Factors
Over-Concentration in Real Estate
With nearly all assets in the real estate sector, the ETF is highly exposed to risks specific to this industry, such as interest rate sensitivity.
Weak Performance from Key Holdings
Some top holdings, like Equinix and Digital Realty, have underperformed year-to-date, which could drag on overall returns.
Limited Geographic Diversification
The ETF is almost entirely focused on U.S. companies, leaving investors vulnerable to domestic economic risks.
FRI vs. SPDR S&P 500 ETF (SPY)
AUM146.53M
RegionNorth America
Expense Ratio0.49%
Beta0.64
IssuerFirst Trust
Inception DateMay 08, 2007
Dividend Yield3.31%
Asset ClassEquity
Index TrackedS&P United States REIT
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume49,741
30 Day Avg. Volume28,541
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)N/A
P/FCF RatioN/A
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
30.98Price Target Upside― Downside
Rating ConsensusModerate Buy
Number of Analyst Covering138
FRI Summary
The First Trust S&P REIT Index Fund (FRI) is an ETF that focuses on Real Estate Investment Trusts (REITs), which are companies owning and managing properties like offices, warehouses, and apartments. It follows the S&P United States REIT Index, giving investors exposure to top real estate companies such as Prologis and Welltower. This ETF is appealing for those seeking income through regular dividends and diversification into the real estate sector. However, new investors should be aware that the fund’s performance is closely tied to the real estate market, which can be affected by economic conditions and interest rate changes.
How much will it cost me?The First Trust S&P REIT Index Fund (FRI) has an expense ratio of 0.49%, meaning you’ll pay $4.90 per year for every $1,000 invested. This is slightly higher than average for ETFs because it is a sector-focused fund that tracks a specialized index, requiring more management compared to broad-market passive funds.
What would affect this ETF?The First Trust S&P REIT Index Fund (FRI) could benefit from stable or declining interest rates, as lower borrowing costs often support real estate investments and REIT profitability. Additionally, strong demand for commercial and industrial properties in the U.S. may drive growth for top holdings like Prologis and Equinix. However, rising interest rates or economic downturns could negatively impact property values and rental income, while regulatory changes in the real estate sector might pose challenges for REITs.
FRI Top 10 Holdings
The First Trust S&P REIT Index Fund (FRI) is heavily concentrated in U.S. real estate, with top holdings like Prologis and Welltower driving steady performance thanks to strong cash flow and strategic growth. Public Storage is rising, buoyed by robust revenue growth, while Realty Income remains steady with its reliable dividend appeal. However, Digital Realty and VICI Properties are lagging, weighed down by valuation concerns and market-specific challenges. With a clear focus on REITs, this fund offers a mix of stability and growth, though some names are struggling to keep pace.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Welltower | 9.30% | $13.64M | $125.13B | 35.74% | 77 Outperform | |
| Prologis | 8.95% | $13.12M | $118.12B | 8.56% | 79 Outperform | |
| Equinix | 6.25% | $9.16M | $81.77B | -8.38% | 79 Outperform | |
| Digital Realty | 4.63% | $6.79M | $59.07B | -3.02% | 70 Outperform | |
| Realty Income | 4.50% | $6.59M | $53.21B | -1.84% | 72 Outperform | |
| Simon Property | 4.49% | $6.58M | $57.68B | 1.31% | 74 Outperform | |
| Public Storage | 3.73% | $5.47M | $48.71B | -16.52% | 68 Neutral | |
| ― | 3.19% | $4.68M | ― | ― | ― | |
| Ventas | 2.85% | $4.17M | $35.67B | 15.20% | 68 Neutral | |
| VICI Properties | 2.71% | $3.98M | $32.16B | -5.05% | 73 Outperform |
FRI Technical Analysis
Neutral
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Price Trends
27.86
Negative
27.42
Positive
27.14
Positive
Market Momentum
-0.03
Positive
45.81
Neutral
29.26
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FRI, the sentiment is Neutral. The current price of undefined is equal to the 20-day moving average (MA) of 27.90, equal to the 50-day MA of 27.86, and equal to the 200-day MA of 27.14, indicating a neutral trend. The MACD of -0.03 indicates Positive momentum. The RSI at 45.81 is Neutral, neither overbought nor oversold. The STOCH value of 29.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FRI.
FRI Peer Comparison
Comparison Results
Performance Comparison
FRI
First Trust S&P REIT Index Fund
27.67
-0.57
-2.02%
BBRE
JPMorgan BetaBuilders MSCI U.S. REIT ETF
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REZ
iShares Residential and Multisector Real Estate ETF
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JPRE
JPMorgan Realty Income ETF
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KBWY
Invesco KBW Premium Yield Equity REIT ETF
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IYRI
NEOS Real Estate High Income ETF
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Glossary
BuyAn ETF rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF is likely to deliver higher returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldAn ETF rated as a "Hold" s expected to perform in line with the overall market or a specific benchmark. This rating indicates that the ETF is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellAn ETF rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF may deliver lower returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: ―
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