First Trust Low Duration Global Government Bond Fund

The First Trust Low Duration Global Government Bond Fund is an exchange-traded fund focused on providing investors with broad exposure to global sovereign debt, emphasizing government bonds with relatively short maturities. Its primary objective is to deliver total returns over the medium to long term by investing in investment-grade government bonds worldwide, with a typical maturity range of three to five years. This low duration focus helps reduce interest rate risk compared to funds holding longer-dated bonds, making it appealing for investors seeking stability and lower sensitivity to rate movements. The fund employs full physical replication of its benchmark, tracking the ICE BofAML 3-5 Year Global Government index, and distributes interest income to investors on a quarterly basis. With currency exposures hedged to major currencies such as the euro or British pound, the fund aims to minimize currency risk for its target investor base. The First Trust Low Duration Global Government Bond Fund offers a transparent, cost-effective vehicle for accessing the global government bond market, playing a significant role in diversified portfolios that prioritize capital preservation, liquidity, and moderate income generation.