First Trust Short Duration High Income Fund
Portfolio of Investments
July 31, 2024 (Unaudited)
Principal Value | Description | Stated Coupon | Stated Maturity | Value |
CORPORATE BONDS AND NOTES – 46.1% | ||||
Aerospace & Defense – 0.8% | ||||
$111,000 | TransDigm, Inc. (a) | 6.75 % | 08/15/28 | $113,272 |
196,000 | TransDigm, Inc. (a) | 6.38 % | 03/01/29 | 199,891 |
288,000 | TransDigm, Inc. (a) | 6.63 % | 03/01/32 | 294,934 |
608,097 | ||||
Agricultural Products & Services – 0.4% | ||||
316,000 | Lamb Weston Holdings, Inc. (a) | 4.38 % | 01/31/32 | 285,022 |
Alternative Carriers – 0.8% | ||||
547,000 | Level 3 Financing, Inc. (a) | 11.00 % | 11/15/29 | 579,760 |
Application Software – 2.3% | ||||
530,000 | Alteryx, Inc. (a) | 8.75 % | 03/15/28 | 546,978 |
193,800 | LogMeIn, Inc. (GoTo Group, Inc.) (a) | 5.50 % | 05/01/28 | 152,639 |
193,800 | LogMeIn, Inc. (GoTo Group, Inc.) (a) | 5.50 % | 05/01/28 | 72,515 |
228,000 | RingCentral, Inc. (a) | 8.50 % | 08/15/30 | 239,748 |
665,000 | Ultimate Kronos Group (UKG, Inc.) (a) | 6.88 % | 02/01/31 | 683,926 |
1,695,806 | ||||
Automotive Parts & Equipment – 1.0% | ||||
676,000 | Caliber Collision (Wand NewCo 3, Inc.) (a) | 7.63 % | 01/30/32 | 706,016 |
Automotive Retail – 0.3% | ||||
250,000 | Mavis Tire Express Services Topco Corp. (a) | 6.50 % | 05/15/29 | 238,475 |
Broadcasting – 3.9% | ||||
785,000 | iHeartCommunications, Inc. | 8.38 % | 05/01/27 | 321,702 |
625,000 | iHeartCommunications, Inc. (a) | 4.75 % | 01/15/28 | 386,361 |
616,000 | Nexstar Media, Inc. (a) | 5.63 % | 07/15/27 | 597,982 |
57,000 | Sinclair Television Group, Inc. (a) | 5.13 % | 02/15/27 | 48,532 |
1,157,000 | Sirius XM Radio, Inc. (a) | 3.13 % | 09/01/26 | 1,100,008 |
500,000 | Tegna, Inc. | 4.63 % | 03/15/28 | 460,594 |
2,915,179 | ||||
Building Products – 0.6% | ||||
91,000 | American Builders & Contractors Supply Co., Inc. (a) | 4.00 % | 01/15/28 | 86,037 |
320,000 | Builders FirstSource, Inc. (a) | 6.38 % | 03/01/34 | 323,148 |
67,000 | Standard Building Solutions, Inc. | 6.50 % | 07/30/32 | 67,206 |
476,391 | ||||
Cable & Satellite – 1.6% | ||||
200,000 | Cablevision (aka CSC Holdings, LLC) (a) | 11.25 % | 05/15/28 | 181,015 |
1,451,000 | Cablevision (aka CSC Holdings, LLC) (a) | 5.75 % | 01/15/30 | 586,539 |
433,000 | Charter Communications Operating, LLC (a) | 6.38 % | 09/01/29 | 421,867 |
1,189,421 | ||||
Casinos & Gaming – 2.5% | ||||
50,000 | Fertitta Entertainment, LLC/Fertitta Entertainment Finance Co., Inc. (a) | 4.63 % | 01/15/29 | 46,733 |
369,000 | Fertitta Entertainment, LLC/Fertitta Entertainment Finance Co., Inc. (a) | 6.75 % | 01/15/30 | 327,636 |
1,000,000 | VICI Properties 1, LLC (a) | 5.75 % | 02/01/27 | 1,008,000 |
445,000 | VICI Properties, LP | 5.75 % | 04/01/34 | 452,061 |
1,834,430 | ||||
Commercial Printing – 0.3% | ||||
250,000 | Multi-Color Corp. (LABL, Inc.) (a) | 10.50 % | 07/15/27 | 243,773 |
First Trust Short Duration High Income Fund
Portfolio of Investments (Continued)
July 31, 2024 (Unaudited)
Principal Value | Description | Stated Coupon | Stated Maturity | Value |
CORPORATE BONDS AND NOTES (Continued) | ||||
Construction & Engineering – 0.5% | ||||
$356,000 | Advanced Drainage Systems, Inc. (a) | 6.38 % | 06/15/30 | $358,696 |
Consumer Finance – 1.2% | ||||
839,000 | FirstCash, Inc. (a) | 6.88 % | 03/01/32 | 849,584 |
Environmental & Facilities Services – 0.9% | ||||
108,000 | Allied Universal Holdco LLC (a) | 7.88 % | 02/15/31 | 109,953 |
500,000 | Waste Pro USA, Inc. (a) | 5.50 % | 02/15/26 | 496,210 |
70,000 | Wrangler Holdco Corp. (a) | 6.63 % | 04/01/32 | 70,312 |
676,475 | ||||
Food Distributors – 0.4% | ||||
316,000 | US Foods, Inc. (a) | 7.25 % | 01/15/32 | 330,869 |
Health Care Facilities – 0.1% | ||||
34,000 | Concentra Health Services, Inc. (a) | 6.88 % | 07/15/32 | 35,073 |
Health Care Supplies – 0.5% | ||||
250,000 | Medline Borrower, LP (a) | 5.25 % | 10/01/29 | 241,824 |
97,000 | Medline Borrower, LP / Medline Co-Issuer, Inc. (a) | 6.25 % | 04/01/29 | 99,094 |
340,918 | ||||
Health Care Technology – 0.0% | ||||
13,000 | HealthEquity, Inc. (a) | 4.50 % | 10/01/29 | 12,262 |
Hotels, Resorts & Cruise Lines – 0.1% | ||||
106,000 | Vail Resorts, Inc. (a) | 6.50 % | 05/15/32 | 108,437 |
Household Products – 1.0% | ||||
739,000 | Energizer Holdings, Inc. (a) | 6.50 % | 12/31/27 | 746,341 |
Human Resource & Employment Services – 0.6% | ||||
222,000 | TriNet Group, Inc. (a) | 7.13 % | 08/15/31 | 228,749 |
275,000 | ZipRecruiter, Inc. (a) | 5.00 % | 01/15/30 | 240,878 |
469,627 | ||||
Industrial Conglomerates – 0.4% | ||||
315,000 | Hillenbrand, Inc. | 6.25 % | 02/15/29 | 319,303 |
Industrial Machinery & Supplies & Components – 0.2% | ||||
137,000 | Copeland (Emerald Debt Merger Sub, LLC) (a) | 6.63 % | 12/15/30 | 139,743 |
17,000 | Gates Corp. (The) (a) | 6.88 % | 07/01/29 | 17,332 |
157,075 | ||||
Insurance Brokers – 5.6% | ||||
856,000 | Alliant Holdings Intermediate LLC / Alliant Holdings Co-Issuer (a) | 6.75 % | 10/15/27 | 850,403 |
968,000 | AmWINS Group, Inc. (a) | 6.38 % | 02/15/29 | 982,628 |
215,000 | AmWINS Group, Inc. (a) | 4.88 % | 06/30/29 | 202,922 |
179,000 | Arthur J. Gallagher & Co. | 5.45 % | 07/15/34 | 182,372 |
280,000 | AssuredPartners, Inc. (a) | 7.50 % | 02/15/32 | 286,369 |
140,000 | Baldwin Insurance Group Holdings LLC / Baldwin Insurance Group Holdings Finance (a) | 7.13 % | 05/15/31 | 144,446 |
135,000 | GTCR AP Finance, Inc. (a) | 8.00 % | 05/15/27 | 135,553 |
125,000 | HUB International Limited (a) | 7.25 % | 06/15/30 | 129,001 |
625,000 | HUB International Limited (a) | 7.38 % | 01/31/32 | 642,826 |
556,000 | Panther Escrow Issuer LLC (a) | 7.13 % | 06/01/31 | 570,865 |
4,127,385 |
First Trust Short Duration High Income Fund
Portfolio of Investments (Continued)
July 31, 2024 (Unaudited)
Principal Value | Description | Stated Coupon | Stated Maturity | Value |
CORPORATE BONDS AND NOTES (Continued) | ||||
Integrated Telecommunication Services – 0.5% | ||||
$526,000 | Zayo Group Holdings, Inc. (a) | 6.13 % | 03/01/28 | $359,670 |
Internet Services & Infrastructure – 2.7% | ||||
1,850,000 | Go Daddy Operating Co. LLC (a) | 5.25 % | 12/01/27 | 1,822,942 |
168,000 | Go Daddy Operating Co. LLC (a) | 3.50 % | 03/01/29 | 152,898 |
1,975,840 | ||||
Leisure Facilities – 0.1% | ||||
43,000 | Six Flags Entertainment Corp./Six Flags Theme Parks, Inc. (a) | 6.63 % | 05/01/32 | 44,181 |
Leisure Products – 0.1% | ||||
90,000 | Amer Sports Co. (a) | 6.75 % | 02/16/31 | 89,580 |
Life Sciences Tools & Services – 0.1% | ||||
64,000 | Star Parent, Inc. (a) | 9.00 % | 10/01/30 | 68,378 |
Managed Health Care – 0.5% | ||||
385,000 | Molina Healthcare, Inc. (a) | 3.88 % | 05/15/32 | 340,003 |
Metal, Glass & Plastic Containers – 3.4% | ||||
1,500,000 | Berry Global, Inc. (a) | 5.63 % | 07/15/27 | 1,486,291 |
1,000,000 | Owens-Brockway Glass Container, Inc. (a) | 6.63 % | 05/13/27 | 1,001,840 |
2,488,131 | ||||
Packaged Foods & Meats – 2.2% | ||||
1,402,000 | Post Holdings, Inc. (a) | 6.25 % | 02/15/32 | 1,421,539 |
179,000 | Shearer’s Foods, LLC (Fiesta Purchaser, Inc.) (a) | 7.88 % | 03/01/31 | 186,846 |
1,608,385 | ||||
Paper & Plastic Packaging Products & Materials – 2.3% | ||||
1,086,000 | Graham Packaging Co., Inc. (a) | 7.13 % | 08/15/28 | 1,059,529 |
161,000 | Graphic Packaging International LLC (a) | 3.75 % | 02/01/30 | 146,292 |
109,000 | Graphic Packaging International LLC (a) | 6.38 % | 07/15/32 | 110,380 |
282,000 | Pactiv Evergreen Group Issuer, Inc. / Pactiv Evergreen Group Issuer LLC (a) | 4.00 % | 10/15/27 | 266,669 |
108,000 | Verde Purchaser LLC (a) | 10.50 % | 11/30/30 | 114,937 |
1,697,807 | ||||
Pharmaceuticals – 0.5% | ||||
226,000 | Charles River Laboratories International, Inc. (a) | 4.00 % | 03/15/31 | 205,559 |
186,000 | IQVIA, Inc. (a) | 6.50 % | 05/15/30 | 191,536 |
397,095 | ||||
Rail Transportation – 0.4% | ||||
300,000 | Genesee & Wyoming, Inc. (a) | 6.25 % | 04/15/32 | 303,952 |
Research & Consulting Services – 0.7% | ||||
500,000 | Clarivate Science Holdings Corp. (a) | 4.88 % | 07/01/29 | 472,902 |
42,000 | Dun & Bradstreet Corp. (The) (a) | 5.00 % | 12/15/29 | 39,889 |
512,791 | ||||
Security & Alarm Services – 0.2% | ||||
71,000 | Brink’s Co. (a) | 6.75 % | 06/15/32 | 72,431 |
71,000 | Brink’s Co. (a) | 6.50 % | 06/15/29 | 72,419 |
144,850 | ||||
Specialized Finance – 0.3% | ||||
231,000 | Radiate Holdco LLC / Radiate Finance, Inc. (a) | 4.50 % | 09/15/26 | 185,097 |
First Trust Short Duration High Income Fund
Portfolio of Investments (Continued)
July 31, 2024 (Unaudited)
Principal Value | Description | Stated Coupon | Stated Maturity | Value |
CORPORATE BONDS AND NOTES (Continued) | ||||
Systems Software – 3.6% | ||||
$96,000 | Crowdstrike Holdings, Inc. | 3.00 % | 02/15/29 | $86,226 |
250,000 | Oracle Corp. | 6.15 % | 11/09/29 | 266,310 |
2,367,000 | SS&C Technologies, Inc. (a) | 5.50 % | 09/30/27 | 2,347,140 |
2,699,676 | ||||
Trading Companies & Distributors – 2.5% | ||||
354,000 | Herc Holdings, Inc. (a) | 6.63 % | 06/15/29 | 361,708 |
1,500,000 | United Rentals North America, Inc. (a) | 6.00 % | 12/15/29 | 1,523,158 |
1,884,866 | ||||
Total Corporate Bonds and Notes | 34,104,717 | |||
(Cost $35,311,926) | ||||
Principal Value | Description | Rate (b) | Stated Maturity (c) | Value |
SENIOR FLOATING-RATE LOAN INTERESTS – 37.1% | ||||
Application Software – 11.8% | ||||
120,319 | ConnectWise, LLC, Term Loan B, 3 Mo. CME Term SOFR + CSA + 3.50%, 0.50% Floor | 9.10 % | 09/30/28 | 120,108 |
834,960 | Epicor Software Corp., Term Loan E, 1 Mo. CME Term SOFR + CSA + 3.25%, 0.75% Floor | 8.59 % | 05/30/31 | 841,586 |
1,603,214 | Gainwell Acquisition Corp. (fka Milano), Term Loan B, 3 Mo. CME Term SOFR + CSA + 4.00%, 0.75% Floor | 9.43 % | 10/01/27 | 1,430,869 |
752,432 | Genesys Cloud Services Holding II LLC (f/k/a Greeneden), Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.50%, 0.75% Floor | 8.84 % | 12/01/27 | 757,647 |
453,388 | Internet Brands, Inc. (Web MD/MH Sub I. LLC), 2023 New Term Loan B, 1 Mo. CME Term SOFR + CSA + 4.25%, 0.50% Floor | 9.59 % | 05/03/28 | 452,841 |
953,790 | Internet Brands, Inc. (Web MD/MH Sub I. LLC), Second Lien Term Loan, 3 Mo. CME Term SOFR + CSA + 6.25%, 0.00% Floor | 11.50 % | 02/23/29 | 950,213 |
685,411 | Leia Finco US LLC, Second Lien Term Loan , 1 Mo. CME Term SOFR + CSA + 5.25%, 0.00% Floor | 10.59 % | 09/30/32 | 680,270 |
677,156 | LogMeIn, Inc. (GoTo Group, Inc.), First Lien First Out TL, 1 Mo. CME Term SOFR + CSA + 4.75%, 0.00% Floor | 10.18 % | 04/30/28 | 600,339 |
591,512 | LogMeIn, Inc. (GoTo Group, Inc.), First Lien Second Out TL, 1 Mo. CME Term SOFR + CSA + 4.75%, 0.00% Floor | 10.18 % | 04/30/28 | 246,217 |
690,723 | McAfee Corp., Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.25%, 0.50% Floor | 8.59 % | 03/01/29 | 690,775 |
131,430 | N-Able, Inc., Term Loan B, 3 Mo. CME Term SOFR + CSA + 2.75%, 0.50% Floor | 8.36 % | 07/19/28 | 132,087 |
102,337 | Qlik Technologies (Project Alpha Intermediate Holding, Inc.), 2024 Refi Term Loan B, 3 Mo. CME Term SOFR + CSA + 3.75%, 0.50% Floor | 9.00 % | 10/28/30 | 102,891 |
1,165,811 | SolarWinds Holdings, Inc., Term Loan B, 1 Mo. CME Term SOFR + CSA + 2.75%, 0.00% Floor | 8.10 % | 02/05/30 | 1,171,640 |
551,117 | Ultimate Kronos Group (UKG, Inc.), 2024 Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.25%, 0.00% Floor | 8.55 % | 02/10/31 | 553,404 |
8,730,887 | ||||
Asset Management & Custody Banks – 1.7% | ||||
494,581 | Edelman Financial Engines Center, LLC, Second Lien Term Loan, 1 Mo. CME Term SOFR + CSA + 5.25%, 0.00% Floor | 10.59 % | 10/06/28 | 496,374 |
765,179 | Edelman Financial Engines Center, LLC, Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.25%, 0.00% Floor | 8.59 % | 04/07/28 | 766,813 |
1,263,187 |
First Trust Short Duration High Income Fund
Portfolio of Investments (Continued)
July 31, 2024 (Unaudited)
Principal Value | Description | Rate (b) | Stated Maturity (c) | Value |
SENIOR FLOATING-RATE LOAN INTERESTS (Continued) | ||||
Automotive Retail – 0.6% | ||||
$425,865 | Mavis Tire Express Services Topco Corp., Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.50%, 0.75% Floor | 8.85 % | 05/04/28 | $427,404 |
Building Products – 0.1% | ||||
99,710 | Hunter Douglas, Inc., Term Loan B, 3 Mo. CME Term SOFR + CSA + 3.50%, 0.50% Floor | 8.84 % | 02/25/29 | 98,900 |
Casinos & Gaming – 0.6% | ||||
464,208 | Golden Nugget, Inc. (Fertitta Entertainment, LLC), 2024 Refi Term Loan, 1 Mo. CME Term SOFR + CSA + 3.75%, 0.50% Floor | 9.08 % | 01/29/29 | 465,876 |
Commercial Printing – 0.9% | ||||
660,773 | Multi-Color Corp. (LABL, Inc.), Initial Dollar Term Loan, 1 Mo. CME Term SOFR + CSA + 5.00%, 0.50% Floor | 10.45 % | 10/29/28 | 642,463 |
Education Services – 0.2% | ||||
158,362 | Ascensus Holdings, Inc. (Mercury), First Lien Term Loan, 1 Mo. CME Term SOFR + CSA + 3.50%, 0.50% Floor | 8.96 % | 08/02/28 | 158,907 |
Electronic Equipment & Instruments – 1.0% | ||||
272,971 | Chamberlain Group, Inc. (Chariot), Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.25%, 0.50% Floor | 8.69 % | 11/03/28 | 272,858 |
488,410 | Verifone Systems, Inc., Term Loan B, 3 Mo. CME Term SOFR + CSA + 4.00%, 0.00% Floor | 9.60 % | 08/20/25 | 424,348 |
697,206 | ||||
Health Care Facilities – 0.5% | ||||
165,210 | Ardent Health Services, Inc. (AHP Health Partners, Inc.), Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.25%, 0.50% Floor | 8.59 % | 08/24/28 | 166,077 |
207,170 | IVC Evidensia (a.k.a. Vetstrategy Canada Holdings, Inc.), Facility B10, 3 Mo. CME Term SOFR + CSA + 4.75%, 0.50% Floor | 10.08 % | 12/06/28 | 208,421 |
374,498 | ||||
Health Care Services – 0.3% | ||||
216,041 | ExamWorks Group, Inc. (Electron Bidco), Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.00%, 0.50% Floor | 8.46 % | 11/01/28 | 216,940 |
Health Care Technology – 5.6% | ||||
976,196 | athenahealth, Inc., Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.25%, 0.50% Floor | 8.59 % | 02/15/29 | 975,893 |
873,333 | Cotiviti, Inc. (Verscend), Fixed Rate Term Loan, 1 Mo. CME Term SOFR + CSA + 0.00%, 0.00% Floor | 7.63 % | 05/01/31 | 868,967 |
250,948 | Datavant Group (f/k/a Ciox) (CT Technologies Intermediate Holdings, Inc.), New Term Loan B, 1 Mo. CME Term SOFR + CSA + 4.25%, 0.75% Floor | 9.71 % | 12/16/25 | 251,732 |
307,134 | Ensemble RCM, LLC, 2024 Refi Loan, 3 Mo. CME Term SOFR + CSA + 3.00%, 0.00% Floor | 8.25 % | 08/01/29 | 308,689 |
192,419 | Mediware (Wellsky/Project Ruby Ultimate Parent Corp.), 2024 Incremental Term Loan, 1 Mo. CME Term SOFR + CSA + 3.50%, 0.00% Floor | 8.96 % | 03/10/28 | 193,333 |
987,816 | Mediware (Wellsky/Project Ruby Ultimate Parent Corp.), Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.25%, 0.75% Floor | 8.71 % | 03/10/28 | 991,753 |
525,689 | Waystar Technologies, Inc., Term Loan B, 3 Mo. CME Term SOFR + CSA + 2.75%, 0.00% Floor | 8.09 % | 10/22/29 | 530,618 |
4,120,985 |
First Trust Short Duration High Income Fund
Portfolio of Investments (Continued)
July 31, 2024 (Unaudited)
Principal Value | Description | Rate (b) | Stated Maturity (c) | Value |
SENIOR FLOATING-RATE LOAN INTERESTS (Continued) | ||||
Industrial Machinery & Supplies & Components – 1.1% | ||||
$405,092 | Filtration Group Corp., 2021 Incremental Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.50%, 0.50% Floor | 8.96 % | 10/21/28 | $407,877 |
430,467 | TK Elevator Newco, Inc., 2024 USD Refi Loan, 3 Mo. CME Term SOFR + CSA + 3.50%, 0.50% Floor | 8.59 % | 04/30/30 | 433,224 |
841,101 | ||||
Insurance Brokers – 4.3% | ||||
836,521 | Alliant Holdings I LLC, Term Loan B-6, 1 Mo. CME Term SOFR + CSA + 3.50%, 0.50% Floor | 8.85 % | 11/06/30 | 841,017 |
33,255 | Howden Group Holdings , Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.50%, 0.50% Floor | 8.75 % | 04/18/30 | 33,354 |
796,241 | OneDigital Borrower, LLC, First Lien Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.25%, 0.50% Floor | 8.59 % | 07/02/31 | 794,855 |
603,750 | OneDigital Borrower, LLC, Second Lien Term Loan, 1 Mo. CME Term SOFR + CSA + 5.25%, 0.50% Floor | 10.59 % | 07/02/32 | 602,240 |
271,513 | Truist Insurance Holdings LLC (McGriff/Panther Escrow), Second Lien Term Loan, 3 Mo. CME Term SOFR + CSA + 4.75%, 0.00% Floor | 10.08 % | 05/06/32 | 279,514 |
652,448 | USI, Inc., 2029 Term Loan B, 3 Mo. CME Term SOFR + CSA + 2.75%, 0.00% Floor | 8.08 % | 11/22/29 | 654,419 |
3,205,399 | ||||
Integrated Telecommunication Services – 1.8% | ||||
1,075,440 | Numericable (Altice France S.A. or SFR), Term Loan B-12, 3 Mo. Synthetic USD LIBOR + 3.69%, 0.00% Floor | 9.25 % | 01/31/26 | 898,089 |
259,607 | Numericable (Altice France SA or SFR), Term Loan B-13, 3 Mo. Synthetic USD LIBOR + 4.00%, 0.00% Floor | 9.58 % | 08/14/26 | 210,491 |
242,737 | Zayo Group Holdings, Inc., Incremental Term Loan B-2, 1 Mo. Synthetic USD LIBOR + 4.25%, 0.50% Floor | 9.59 % | 03/09/27 | 219,070 |
1,327,650 | ||||
IT Consulting & Other Services – 0.3% | ||||
248,744 | CDK Global, Inc. (Central Parent, Inc.), Term Loan B, 3 Mo. CME Term SOFR + CSA + 3.25%, 0.00% Floor | 8.58 % | 07/06/29 | 246,625 |
Metal, Glass & Plastic Containers – 0.2% | ||||
144,909 | ProAmpac PG Borrower LLC, 2024 Refi Term Loan B, 3 Mo. CME Term SOFR + CSA + 4.00%, 0.75% Floor | 9.30%-9.32% | 09/15/28 | 145,589 |
Other Specialty Retail – 0.6% | ||||
491,817 | Petco Animal Supplies, Inc., Initial Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.25%, 0.75% Floor | 8.85 % | 03/04/28 | 455,750 |
Paper & Plastic Packaging Products & Materials – 0.7% | ||||
71,133 | Graham Packaging Company, L.P., 2024 Refi Term Loan B, 1 Mo. CME Term SOFR + CSA + 2.50%, 0.00% Floor | 7.84 % | 08/04/27 | 71,288 |
311,944 | Pactiv LLC/Evergreen Packaging, LLC (fka Reynolds Group Holdings), 2024 Refi Term Loan B-4, 1 Mo. CME Term SOFR + CSA + 2.50%, 0.00% Floor | 7.84 % | 09/24/28 | 312,951 |
140,315 | Veritiv Corp. (Verde Purchaser, LLC), 2024 Refi Term Loan B, 3 Mo. CME Term SOFR + CSA + 4.50%, 0.00% Floor | 9.83 % | 12/02/30 | 140,696 |
524,935 | ||||
Pharmaceuticals – 0.6% | ||||
451,165 | Parexel International Corp. (Phoenix Newco), 2024 Refi Term Loan, 1 Mo. CME Term SOFR + CSA + 3.00%, 0.50% Floor | 8.34 % | 11/15/28 | 453,480 |
First Trust Short Duration High Income Fund
Portfolio of Investments (Continued)
July 31, 2024 (Unaudited)
Principal Value | Description | Rate (b) | Stated Maturity (c) | Value |
SENIOR FLOATING-RATE LOAN INTERESTS (Continued) | ||||
Property & Casualty Insurance – 1.1% | ||||
$774,566 | Sedgwick Claims Management Services, Inc., 2024 Term Loan B, 1 Mo. CME Term SOFR + CSA + 3.00%, 0.00% Floor | 8.25 % | 07/31/31 | $776,878 |
Research & Consulting Services – 0.2% | ||||
143,411 | J.D. Power (Project Boost Purchaser, LLC), Term Loan B, 3 Mo. CME Term SOFR + CSA + 3.50%, 0.00% Floor | 8.79 % | 07/15/31 | 143,889 |
Restaurants – 1.4% | ||||
1,016,912 | IRB Holding Corp. (Arby’s/Inspire Brands), 2024 Replacement Term Loan B, 1 Mo. CME Term SOFR + CSA + 2.75%, 0.75% Floor | 8.19 % | 12/15/27 | 1,018,676 |
Security & Alarm Services – 0.7% | ||||
497,462 | Garda World Security Corp., Term Loan B, 3 Mo. CME Term SOFR + CSA + 3.50%, 0.00% Floor | 8.84 % | 02/01/29 | 499,949 |
Specialized Finance – 0.4% | ||||
365,945 | Radiate Holdco LLC (Astound), Amendment No. 6 Term Loan, 1 Mo. CME Term SOFR + CSA + 3.25%, 0.75% Floor | 8.71 % | 09/25/26 | 305,644 |
Systems Software – 0.2% | ||||
75,574 | Idera, Inc., Second Lien Term Loan, 3 Mo. CME Term SOFR + CSA + 6.75%, 0.75% Floor | 12.23 % | 03/02/29 | 74,629 |
102,612 | SUSE (Marcel Bidco, LLC), 2024 Refi Term Loan B, Daily SOFR + CSA + 4.00%, 0.50% Floor | 9.31%-9.41% | 11/09/30 | 103,447 |
178,076 | ||||
Transaction & Payment Processing Services – 0.2% | ||||
157,000 | Worldpay (GTCR W Merger Sub LLC/Boost Newco LLC), Term Loan B, 6 Mo. CME Term SOFR + CSA + 2.50%, 0.00% Floor | 7.83 % | 01/31/31 | 157,577 |
Total Senior Floating-Rate Loan Interests | 27,478,471 | |||
(Cost $28,144,959) | ||||
Principal Value | Description | Stated Coupon | Stated Maturity | Value |
FOREIGN CORPORATE BONDS AND NOTES – 9.8% | ||||
Application Software – 2.7% | ||||
1,000,000 | Open Text Corp. (a) | 6.90 % | 12/01/27 | 1,038,455 |
1,019,000 | Open Text Corp. (a) | 3.88 % | 02/15/28 | 952,211 |
1,990,666 | ||||
Automotive Parts & Equipment – 1.6% | ||||
1,206,000 | Clarios Global LP / Clarios US Finance Co. (a) | 8.50 % | 05/15/27 | 1,217,265 |
Casinos & Gaming – 0.0% | ||||
16,000 | Flutter Treasury Designated Activity Co (a) | 6.38 % | 04/29/29 | 16,300 |
Environmental & Facilities Services – 0.5% | ||||
338,000 | GFL Environmental, Inc. (a) | 6.75 % | 01/15/31 | 347,993 |
IT Consulting & Other Services – 0.7% | ||||
540,000 | Elastic NV (a) | 4.13 % | 07/15/29 | 498,540 |
Metal, Glass & Plastic Containers – 0.7% | ||||
510,000 | Trivium Packaging Finance BV (a) | 5.50 % | 08/15/26 | 500,123 |
Restaurants – 2.7% | ||||
35,000 | 1011778 BC ULC / New Red Finance, Inc. (a) | 6.13 % | 06/15/29 | 35,386 |
First Trust Short Duration High Income Fund
Portfolio of Investments (Continued)
July 31, 2024 (Unaudited)
Principal Value | Description | Stated Coupon | Stated Maturity | Value |
FOREIGN CORPORATE BONDS AND NOTES (Continued) | ||||
Restaurants (Continued) | ||||
$2,200,000 | 1011778 BC ULC / New Red Finance, Inc. (a) | 4.00 % | 10/15/30 | $1,963,961 |
1,999,347 | ||||
Security & Alarm Services – 0.7% | ||||
500,000 | Garda World Security Corp. (a) | 7.75 % | 02/15/28 | 516,429 |
Transaction & Payment Processing Services – 0.2% | ||||
216,000 | Paysafe Finance PLC / Paysafe Holdings US Corp. (a) | 4.00 % | 06/15/29 | 199,903 |
Total Foreign Corporate Bonds and Notes | 7,286,566 | |||
(Cost $7,121,964) |
Shares | Description | Value |
COMMON STOCKS – 0.0% | ||
Pharmaceuticals – 0.0% | ||
26,696 | Akorn, Inc. (d) (e) (f) | 2,002 |
(Cost $306,038) | ||
RIGHTS – 0.0% | ||
Life Sciences Tools & Services – 0.0% | ||
1 | New Millennium Holdco, Inc., Corporate Claim Trust, no expiration date (f) (g) (h) (i) | 0 |
1 | New Millennium Holdco, Inc., Lender Claim Trust, no expiration date (f) (g) (h) (i) | 0 |
Total Rights | 0 | |
(Cost $0) | ||
MONEY MARKET FUNDS – 6.3% | ||
4,670,198 | Morgan Stanley Institutional Liquidity Funds - Treasury Portfolio - Institutional Class - 5.14% (j) | 4,670,198 |
(Cost $4,670,198) | ||
Total Investments – 99.3% | 73,541,954 | |
(Cost $75,555,085) | ||
Net Other Assets and Liabilities – 0.7% | 502,967 | |
Net Assets – 100.0% | $74,044,921 |
(a) | This security, sold within the terms of a private placement memorandum, is exempt from registration upon resale under Rule 144A of the Securities Act of 1933, as amended (the “1933 Act”), and may be resold in transactions exempt from registration, normally to qualified institutional buyers. Pursuant to procedures adopted by the Trust’s Board of Trustees, this security has been determined to be liquid by First Trust Advisors L.P. (the “Advisor”). Although market instability can result in periods of increased overall market illiquidity, liquidity for each security is determined based on security specific factors and assumptions, which require subjective judgment. At July 31, 2024, securities noted as such amounted to $39,235,509 or 53.0% of net assets. |
(b) | Senior Floating-Rate Loan Interests (“Senior Loans”) in which the Fund invests pay interest at rates which are periodically predetermined by reference to a base lending rate plus a premium. These base lending rates are generally (i) the SOFR obtained from the U.S. Department of the Treasury’s Office of Financial Research or another major financial institution, (ii) the lending rate offered by one or more major European banks, such as the synthetic LIBOR, (iii) the prime rate offered by one or more United States banks or (iv) the certificate of deposit rate. Certain Senior Loans are subject to a SOFR or synthetic LIBOR floor that establishes a minimum SOFR or synthetic LIBOR rate. When a range of rates is disclosed, the Fund holds more than one contract within the same tranche with identical SOFR or synthetic LIBOR period, spread and floor, but different SOFR or synthetic LIBOR reset dates. |
(c) | Senior Loans generally are subject to mandatory and/or optional prepayment. As a result, the actual remaining maturity of Senior Loans may be substantially less than the stated maturities shown. |
(d) | This issuer has filed for protection in bankruptcy court. |
(e) | Security received in a transaction exempt from registration under the 1933 Act. The security may be resold pursuant to an exemption from registration under the 1933 Act, typically to qualified institutional buyers (see Restricted Securities table). |
(f) | Non-income producing security. |
First Trust Short Duration High Income Fund
Portfolio of Investments (Continued)
July 31, 2024 (Unaudited)
(g) | This security is fair valued by the Advisor’s Pricing Committee in accordance with procedures approved by the Trust’s Board of Trustees, and in accordance with the provisions of the Investment Company Act of 1940 and rules thereunder, as amended. At July 31, 2024, securities noted as such are valued at $0 or 0.0% of net assets. |
(h) | Pursuant to procedures adopted by the Trust’s Board of Trustees, this security has been determined to be illiquid by the Advisor. |
(i) | This security’s value was determined using significant unobservable inputs. (see Valuation Inputs section). |
(j) | Rate shown reflects yield as of July 31, 2024. |
Abbreviations throughout the Portfolio of Investments: | |
CME | – Chicago Mercantile Exchange |
CSA | – Credit Spread Adjustment |
LIBOR | – London Interbank Offered Rate |
SOFR | – Secured Overnight Financing Rate |
USD | – United States Dollar |
Valuation Inputs
The Fund is subject to fair value accounting standards that define fair value, establish the framework for measuring fair value and provide a three-level hierarchy for fair valuation based upon the inputs to the valuation as of the measurement date. The three levels of the fair value hierarchy are as follows:
•
Level 1 – Level 1 inputs are quoted prices in active markets for identical investments.
•
Level 2 – Level 2 inputs are observable inputs, either directly or indirectly. (Quoted prices for similar investments, valuations based on interest rates and yield curves, or valuations derived from observable market data.)
•
Level 3 – Level 3 inputs are unobservable inputs that may reflect the reporting entity’s own assumptions about the assumptions that market participants would use in pricing the investment.
The inputs or methodologies used for valuing investments are not necessarily an indication of the risk associated with investing in those investments.
A summary of the inputs used to value the Fund’s investments as of July 31, 2024 is as follows:
Total Value at 7/31/2024 | Level 1 Quoted Prices | Level 2 Significant Observable Inputs | Level 3 Significant Unobservable Inputs | |
Corporate Bonds and Notes* | $34,104,717 | $— | $34,104,717 | $— |
Senior Floating-Rate Loan Interests* | 27,478,471 | — | 27,478,471 | — |
Foreign Corporate Bonds and Notes* | 7,286,566 | — | 7,286,566 | — |
Common Stocks* | 2,002 | — | 2,002 | — |
Rights* | — ** | — | — | — ** |
Money Market Funds | 4,670,198 | 4,670,198 | — | — |
Total Investments | $73,541,954 | $4,670,198 | $68,871,756 | $— ** |
* | See Portfolio of Investments for industry breakout. |
** | Investments are valued at $0. |
Level 3 investments are fair valued by the Advisor’s Pricing Committee and are footnoted in the Portfolio of Investments. All Level 3 values are based on unobservable inputs.
Unfunded Loan Commitments
As of July 31, 2024, the Fund had the following unfunded loan commitment, which is categorized as Level 2 within the fair value hierarchy:
Borrower | Principal Value | Commitment Amount | Value | Unrealized Appreciation (Depreciation) |
Epicor Software Corp., Term Loan | $ 97,965 | $ 97,720 | $ 98,742 | $ 1,022 |
First Trust Short Duration High Income Fund
Portfolio of Investments (Continued)
July 31, 2024 (Unaudited)
Restricted Securities
As of July 31, 2024, the Fund held a restricted security as shown in the following table that the Advisor deemed illiquid pursuant to procedures adopted by the Trust’s Board of Trustees
Security | Acquisition Date | Shares | Current Price | Carrying Cost | Value | % of Net Assets |
Akorn, Inc. | 10/15/20 | $26,696 | $0.08 | $306,038 | $2,002 | 0.00 %* |
* Amount is less than 0.01%. |