First Trust Large Cap Growth AlphaDEX Fund (FTC) Covered Calls

The First Trust Large Cap Core AlphaDEX Fund (FTC) is an exchange-traded fund that tracks the NASDAQ AlphaDEX Large Cap Core Index. It employs a quantitative, factor-based strategy to select large-cap U.S. stocks. The AlphaDEX methodology evaluates companies based on growth factors—such as price appreciation and sales growth—as well as value factors—such as book value and cash flow—to identify firms with strong fundamental profiles.

You can sell covered calls on First Trust Large Cap Growth AlphaDEX Fund to lower risk and earn monthly income. Born To Sell's covered call screener gives you customized search capabilities across all possible covered calls but here are a couple of examples for FTC (prices last updated Fri 4:16 PM ET):

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Core Business and Products

The First Trust Large Cap Core AlphaDEX Fund (FTC) offers a "smart-beta" approach to broad-market investing. By using a tiered, factor-based ranking system, the fund aims to outperform traditional market-cap-weighted indices by systematically over-weighting companies that exhibit superior fundamental signals. This methodology helps to reduce the concentration risk often found in S&P 500-tracking funds, where a handful of mega-cap stocks can dominate performance.

The fund is structured as a passive, quantitative ETF. Its quarterly rebalancing process ensures the portfolio maintains exposure to firms demonstrating current momentum and valuation strength. This systematic rotation allows investors to capture style-agnostic growth, as the fund seeks a balance between companies that are historically undervalued and those that are currently showing high-growth trajectories.

Competitive Landscape

FTC operates in the highly competitive core-equity space, competing with passive giants like the iShares Core S&P 500 ETF and other active-beta funds. Its differentiator is the AlphaDEX engine, which appeals to investors who want to move beyond simple market-cap weighting while still maintaining broad exposure to the largest and most liquid U.S. companies.

Because FTC is a liquid, U.S.-listed ETF, it serves as a robust vehicle for institutional and retail portfolios. Its status as an optionable security enables active participants to manage their U.S. core exposure precisely, whether through hedging with puts or enhancing yield through covered call writing against the fund’s diverse, factor-selected holdings.

Strategic Outlook and Innovation

The strategic outlook for FTC is centered on the ongoing performance of the U.S. large-cap market. By relying on quantitative signals, the fund is designed to navigate shifting economic cycles, effectively adjusting its sector and company weightings as market leadership rotates. This makes it an evergreen instrument for those seeking a more "intelligent" alternative to traditional index tracking.

Innovation in this segment revolves around the optimization of factor weighting to minimize volatility while maximizing risk-adjusted returns. FTC continues to be a staple for investors who want to combine the benefits of index-based investing with the potential for structural outperformance through fundamental factor analysis.

Want more examples? FTAI Covered Calls | FTCS Covered Calls