First Trust Dorsey Wright International Focus 5 ETF (IFV US) – Portfolio Construction Methodology

The underlying Dorsey Wright International Focus Five Index targets momentum-led rotation across roughly 22 First Trust non-US country/region ETFs. Using Dorsey Wright’s Point-&-Figure relative strength matrix, each ETF is compared pairwise; the five ETFs with the highest counts of buy signals are selected. The index is equal weighted (20% each) and replaces positions only when an existing member falls sufficiently in relative strength ranking; changes trigger an immediate rebalance back to equal weights. Eligibility excludes US-focused ETFs; inventory is set at the index provider’s discretion but limited to First Trust country/region exposures. The index conducts semi-monthly evaluations in the first and third weeks of each month (market-close Tuesday data, changes effective after the Friday of the evaluation week), providing a disciplined, rules-based momentum overlay on international equity beta.

To explore IFV in more depth, visit our ETF analytics platform for institutional-grade insights — including performance and risk metrics, correlations, sensitivities, and factor exposure: https://www.etfstrategy.com/etf/IFV_US