First Trust has filed paperwork with the SEC for a “First Trust High Yield Long/Short Fund.” The investment objective of the First Trust High Yield Long/Short Fund will be to provide current income and that the secondary objective of the Initial Fund will be capital appreciation. They did not specify a trading symbol or expense ratio in the initial filing.

The First Trust High Yield Long/Short Fund is expected to seek to achieve its investment objectives by investing, under normal market conditions, at least 80% of its assets in a diversified portfolio of high yield corporate fixed income securities of varying maturities that are rated below investment grade at the time of purchase. As part of its investment strategy, the First Trust High Yield Long/Short Fund currently intends, under normal market conditions, to maintain both Long Positions and Short Positions in securities. The First Trust High Yield Long/Short Fund will take Long Positions in securities that the Advisor believes offer the potential for attractive returns and that it considers, in the aggregate, to have the potential to outperform the Initial Fund’s benchmark index. The First Trust High Yield Long/Short Fund will take Short Positions in securities that the Advisor believes in the aggregate will underperform the benchmark index. It is not intended that any specified portion of the First Trust High Yield Long/Short Fund’s assets will be allocated to Long Positions or Short Positions, respectively. The Advisor will utilize a proprietary investment methodology that relies upon both quantitative and fundamental research to determine the First Trust High Yield Long/Short Fund’s investment allocations, and such allocations are subject to change from time to time.

For the complete filing click: HERE

NEW FILING