First Trust NYSE Arca Biotechnology Index Fund (FBT)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
First Trust NYSE Arca Biotechnology Index Fund (FBT) trades at $255.75 with AI Score 47/100 (Grade C). First Trust NYSE Arca Biotechnology Index Fund (FBT) is an exchange-traded fund seeking to replicate the performance of the NYSE Arca Biotechnology Index. Market cap: $1.59B, Sector: Financial services.
Price live · AI analysis from Mar 18, 2026Analyst Coverage for FBT: FBT does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates FBT against Financial Services peers across nine fundamental dimensions and assigns an underweight signal based on the underlying data.
FBT: the 1 perspectives are evenly split.
How is this calculated? →First Trust NYSE Arca Biotechnology Index Fund (FBT) Financial Services Profile
First Trust NYSE Arca Biotechnology Index Fund (FBT) offers investors exposure to the biotechnology sector by tracking the NYSE Arca Biotechnology Index. With a market capitalization of $1.59B, FBT provides a diversified portfolio of biotech companies, appealing to investors seeking targeted sector exposure within the financial services industry.
What Is the Investment Thesis for FBT?
FBT presents a targeted investment vehicle for those seeking exposure to the biotechnology sector. With a beta of 0.92, the fund exhibits market correlation. The primary value driver is the performance of the underlying NYSE Arca Biotechnology Index, which is influenced by factors such as drug approvals, clinical trial results, and regulatory changes. Upcoming catalysts include potential advancements in gene editing technologies and increased healthcare spending. However, potential risks include regulatory hurdles, clinical trial failures, and market volatility affecting the biotechnology sector. Investors may want to evaluate the fund's concentration in the biotechnology industry and its sensitivity to sector-specific events.
Based on FMP financials and quantitative analysis
FBT Key Highlights
- Market capitalization of $1.59B indicates substantial investor interest in the biotechnology sector.
- Beta of 0.92 suggests moderate volatility relative to the broader market.
- The fund's investment objective is to replicate the price and yield of the NYSE Arca Biotechnology Index, providing targeted exposure to the biotechnology sector.
- FBT's expense ratio reflects the cost of managing the fund, including administrative fees and operating expenses.
- The fund's holdings span various therapeutic areas, including oncology, immunology, genetic engineering, and drug delivery technologies.
Who Are FBT's Competitors?
FBT is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| CGIE Capital Group International Equity ETF | $37.31 | +1.29% | $2.36B | 47 |
| FNX First Trust Mid Cap Core AlphaDEX Fund | $144.42 | +0.26% | $1.35B | 47 |
| FTA First Trust Large Cap Value AlphaDEX Fund | $98.13 | -0.36% | $1.30B | 47 |
| FVAL FIDELITY VALUE FACTOR ETF | $78.71 | +0.30% | $1.28B | 46 |
| GPIX Goldman Sachs S&P 500 Premium Income ETF | $55.52 | +0.88% | $1.16B | 44 |
| NXDT NexPoint Diversified Real Estate Trust | $5.53 | +3.08% | $285.77M | 73 |
| GENB Generate Biomedicines, Inc. | $17.03 | -2.18% | $2.18B | 72 |
| SII Sprott Inc. | $118.11 | +2.72% | $3.05B | 71 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are FBT's Key Strengths?
- Targeted exposure to the high-growth biotechnology sector.
- Diversified portfolio reduces company-specific risk.
- Liquidity and transparency of an ETF.
- Passive management approach provides cost-effectiveness.
What Are FBT's Weaknesses?
- Concentration in the biotechnology sector makes it vulnerable to sector-specific risks.
- Performance is dependent on the performance of the underlying index.
- Subject to regulatory and clinical trial risks associated with the biotechnology industry.
- No dividend yield.
What Could Drive FBT Stock Higher?
- Potential advancements in gene editing technologies.
- Increased healthcare spending globally.
- Drug approvals and clinical trial successes.
- Mergers and acquisitions within the biotechnology sector.
- Expansion into emerging markets.
What Are the Key Risks for FBT?
- Regulatory hurdles and delays in drug approvals.
- Clinical trial failures.
- Competition from other biotechnology ETFs and actively managed funds.
- Market volatility and economic downturns.
- Intellectual property disputes and patent challenges.
What Are the Growth Opportunities for FBT?
- Increased Healthcare Spending: The global healthcare expenditure is projected to rise significantly, driven by aging populations and increased access to healthcare services. This trend creates opportunities for biotechnology companies to develop and market innovative therapies, driving demand for FBT as a vehicle for investing in the sector. This growth is expected to continue through 2030, providing a long-term tailwind for FBT's performance.
- Advancements in Gene Editing Technologies: Gene editing technologies such as CRISPR-Cas9 hold immense potential for treating genetic diseases and developing personalized medicine. As these technologies mature and gain regulatory approval, biotechnology companies involved in gene editing are expected to experience significant growth, boosting the value of FBT's portfolio. The timeline for widespread adoption of gene editing therapies is estimated to be within the next 5-10 years.
- Drug Approvals and Clinical Trial Successes: Positive clinical trial results and new drug approvals are major catalysts for biotechnology companies. Successful drug development can lead to significant revenue growth and market capitalization increases, benefiting FBT's investors. The FDA approval process remains a key factor, with ongoing monitoring of clinical trial data and regulatory decisions.
- Expansion into Emerging Markets: Emerging markets represent a significant growth opportunity for biotechnology companies. As healthcare infrastructure improves and access to medicines expands in these regions, demand for innovative therapies is expected to increase, driving revenue growth for companies held in FBT's portfolio. This expansion is projected to occur over the next decade, with varying timelines depending on the specific market.
- Strategic Acquisitions and Partnerships: Mergers and acquisitions (M&A) activity within the biotechnology sector can create value for shareholders. Strategic acquisitions can lead to synergies, expanded product portfolios, and increased market share, benefiting FBT's investors. Ongoing: The biotechnology industry is characterized by frequent M&A activity, with larger companies acquiring smaller, innovative firms to bolster their pipelines and capabilities.
What Opportunities Does FBT Have?
- Growth in the biotechnology sector driven by advancements in medical technology.
- Increasing healthcare spending globally.
- Potential for new drug approvals and clinical trial successes.
- Expansion into emerging markets.
What Threats Does FBT Face?
- Regulatory hurdles and delays in drug approvals.
- Clinical trial failures.
- Competition from other biotechnology ETFs and actively managed funds.
- Market volatility and economic downturns.
What Are FBT's Competitive Advantages?
- Index-tracking methodology provides a cost-effective way to gain exposure to the biotechnology sector.
- Diversified portfolio reduces risk compared to investing in individual biotech stocks.
- Liquidity and transparency of an exchange-traded fund.
- Established brand and reputation of First Trust as an asset manager.
What Does FBT Do?
The First Trust NYSE Arca Biotechnology Index Fund (FBT) is an exchange-traded fund (ETF) designed to mirror the performance of the NYSE Arca Biotechnology Index. Launched with the objective of providing investors with targeted exposure to the biotechnology sector, FBT offers a diversified portfolio of companies involved in various aspects of biotechnology, including research, development, manufacturing, and marketing of biopharmaceutical products. The fund operates under the umbrella of First Trust, a well-established asset management firm known for its diverse range of ETF offerings. FBT's investment strategy focuses on replicating the index's composition, holding stocks in proportion to their weightings in the underlying index. This passive management approach aims to deliver returns that closely align with the performance of the biotechnology sector as a whole. By investing in FBT, investors gain access to a broad spectrum of biotech companies, ranging from established industry leaders to emerging growth firms. The fund's holdings span various therapeutic areas, including oncology, immunology, genetic engineering, and drug delivery technologies. FBT's geographic focus is primarily on companies listed on U.S. stock exchanges, reflecting the composition of the NYSE Arca Biotechnology Index. As an ETF, FBT offers investors several advantages, including intraday liquidity, transparency, and cost-effectiveness. The fund's shares are traded on major stock exchanges, allowing investors to buy or sell shares throughout the trading day. FBT's expense ratio reflects the cost of managing the fund, including administrative fees and operating expenses.
What Products and Services Does FBT Offer?
- Replicates the performance of the NYSE Arca Biotechnology Index.
- Provides investors with targeted exposure to the biotechnology sector.
- Offers a diversified portfolio of biotechnology companies.
- Invests in companies involved in research, development, manufacturing, and marketing of biopharmaceutical products.
- Trades on major stock exchanges, providing intraday liquidity.
- Operates as an exchange-traded fund (ETF).
How Does FBT Make Money?
- Replicates the NYSE Arca Biotechnology Index by holding stocks in proportion to their weightings in the index.
- Generates revenue through management fees charged to investors.
- Offers a passive investment approach, aiming to deliver returns that closely align with the performance of the biotechnology sector.
What Industry Does FBT Operate In?
FBT operates within the asset management industry, specifically focusing on exchange-traded funds (ETFs) that track specific indices. The biotechnology sector is characterized by high growth potential driven by advancements in medical technology and an aging global population. However, it also faces significant regulatory hurdles and high research and development costs. FBT competes with other biotechnology ETFs and actively managed funds, offering investors a passive investment approach to gain exposure to this dynamic sector. The market size of the biotechnology industry is substantial, with significant growth projected in the coming years.
Who Are FBT's Key Customers?
- Retail investors seeking exposure to the biotechnology sector.
- Institutional investors looking for a diversified investment in biotech companies.
- Financial advisors seeking to provide clients with targeted sector exposure.
- Hedge funds and other sophisticated investors.
First Trust NYSE Arca Biotechnology Index Fund (FBT) Valuation Context
Relative to its peer group, FBT's quantitative score of 47/100 is roughly in line with the peer average of 46/100.
FBT Financials
Bull Case vs Bear Case
Bull Case
- Targeted exposure to the high-growth biotechnology sector.
- Diversified portfolio reduces company-specific risk.
- Liquidity and transparency of an ETF.
- Passive management approach provides cost-effectiveness.
Bear Case
- Concentration in the biotechnology sector makes it vulnerable to sector-specific risks.
- Performance is dependent on the performance of the underlying index.
- Subject to regulatory and clinical trial risks associated with the biotechnology industry.
- No dividend yield.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · July 2026
FBT Latest News
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benzinga · Jun 23, 2026
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State Street SPDR S&P Pharmaceuticals vs First Trust NYSE Arca Biotech: Which Is the Better ETF For Your Portfolio?
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FBT Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for FBT.
Price Targets
Wall Street price target analysis for FBT.
FBT MoonshotScore
What does this score mean?
The MoonshotScore rates FBT's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Common Questions About FBT (Financial Services)
What does First Trust NYSE Arca Biotechnology Index Fund do?
First Trust NYSE Arca Biotechnology Index Fund (FBT) is an exchange-traded fund (ETF) that seeks to replicate the performance of the NYSE Arca Biotechnology Index. It provides investors with a convenient way to gain exposure to a diversified portfolio of biotechnology companies. The fund invests in companies involved in various aspects of the biotechnology industry, including research, development, manufacturing, and marketing of biopharmaceutical products. FBT aims to track the index's performance, offering investors returns that closely align with the overall biotechnology sector.
What are the main risks for FBT?
The main risks for FBT are inherent to the biotechnology sector. Regulatory hurdles and delays in drug approvals can significantly impact the performance of biotechnology companies. Clinical trial failures are another major risk, as they can lead to substantial losses for companies developing new therapies. Market volatility and economic downturns can also negatively affect the biotechnology sector, as investors may become risk-averse and reduce their exposure to growth-oriented industries. Competition from other biotechnology ETFs and actively managed funds is also a factor.
How does First Trust NYSE Arca Biotechnology Index Fund make money in financial services?
First Trust NYSE Arca Biotechnology Index Fund generates revenue primarily through management fees. These fees are charged to investors as a percentage of the fund's assets under management (AUM). The fund's expense ratio reflects the total cost of managing the fund, including management fees, administrative expenses, and other operating costs. The higher the AUM, the more revenue the fund generates for First Trust. As an index fund, FBT does not actively trade securities to generate profits; instead, it focuses on replicating the performance of the NYSE Arca Biotechnology Index.
How is First Trust NYSE Arca Biotechnology Index Fund adapting to fintech disruption?
As an ETF provider, First Trust is adapting to fintech disruption by leveraging technology to enhance its investment products and services. This includes developing sophisticated algorithms for portfolio construction and risk management, as well as utilizing data analytics to gain insights into market trends and investor behavior. First Trust is also embracing digital distribution channels to reach a wider audience of investors and provide them with convenient access to its ETF offerings. The company's focus on innovation and technology is helping it remain competitive in the rapidly evolving financial services industry.
What are the key factors to evaluate for FBT?
First Trust NYSE Arca Biotechnology Index Fund (FBT) holds an AI score of 47/100 (low). Not financial advice.
How frequently does FBT data refresh on this page?
FBT prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven FBT's recent stock price performance?
First Trust NYSE Arca Biotechnology Index Fund (FBT) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Targeted exposure to the high-growth biotechnology sector. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider FBT overvalued or undervalued right now?
Valuing First Trust NYSE Arca Biotechnology Index Fund (FBT) requires multiple metrics. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- AI analysis pending for FBT.
- Data is based on publicly available information.