Exchange-traded Funds (ETFs)
Sabrient's current involvement in ETFs is two-pronged:
(1) We license our EQR rank for use in ETF strategies, and
(2) We license our indices for tracking ETFs.
Licensing the Sabrient EQR Rank
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First Trust Long/Short Equity ETF (FTLS)
This ETF's selection strategy for long and short positions incorporates the Sabrient Earnings Quality Rank (EQR Rank), a proprietary forensic accounting factor licensed to First Trust. The EQR Rank is based on research by Sabrient and its subsidiary Gradient Analytics that has shown that aggressive accounting practices (low quality earnings) are associated with lower future stock returns compared to those companies with more conservative accounting practices (higher quality earnings). FTLS is rated 4 Stars by Morningstar, as of 9/30/2021. Learn more about the First Trust Long/Short Equity ETF (FTLS)