First Trust Information Ratio
| QJUN ETF | | | USD 33.55 0.06 0.18% |
The Information Ratio measures excess return (alpha) per unit of tracking error relative to a benchmark. Unlike the Sharpe Ratio, which uses total volatility, the Information Ratio isolates only the variability of the alpha component — the return attributable to active decisions rather than passive market exposure. Below is First Trust's current Information Ratio with peer comparisons and related risk metrics.
Current Information Ratio Value
The current Information Ratio of 0.1441 places First Trust at positive but modest excess return per unit of tracking risk. First Trust has outperformed its benchmark, though the margin is limited relative to the tracking error incurred.
INFOR | = | ER[a] - ER[b]STD[a] |
| = | 0.1441 | |
Information Ratio Peers Comparison
Among sector peers, First Trust's Information Ratio of 0.1441 is above the 0.14 group average. The range runs from -0.1094 (iShares India 50) to 0.3201 (FT Cboe Vest). First Trust's risk-adjusted return exceeds the peer average, indicating more efficient compensation for risk taken.
Information Ratio Relative To Other Indicators
The chart below plots Information Ratio against Maximum Drawdown for First Trust and its peers. Each point represents one equity — position along the horizontal axis shows Information Ratio while the vertical axis shows Maximum Drawdown. Equities that cluster in different quadrants carry distinct risk-return profiles. Use the dropdowns to swap in other indicators for either axis.
First Trust shows nearly
17.36 of Maximum Drawdown per unit of Information Ratio (
0.14 versus
2.50 ). This indicates Maximum Drawdown substantially exceeds Information Ratio for First Trust.
Methodology, Assumptions & Data Sources
First Trust's Information Ratio currently stands at 0.1441. The Information Ratio for First Trust is produced by transforming raw price history into a standardized measure according to the indicator's defined methodology. Inputs are drawn from end-of-day closing prices reported by supported exchanges, adjusted for splits and dividends where applicable. The calculation assumes continuous price data across the selected period. All readings are presented as reference data.
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