Mar. 15, 2026 9:06 PM ETFirst Trust Materials AlphaDEX Fund ETF (FXZ)IYM, VAW, XLB, FMATKomal Sarwar1.96K FollowersCommentsThe First Trust Materials AlphaDEX Fund ETF earns a buy rating for its quant-driven, diversified stock selection and consistent outperformance versus traditional materials ETFs.FXZ boasts a 17% YTD and 37% 12-month return, superior dividend growth, and lower valuations than peers, despite a higher expense ratio.The ETF's portfolio is weighted toward fast-growing industrial chemicals, metals, and mining stocks, leveraging cyclical commodity and chemical price trends.FXZ's higher volatility and sector concentration present risks, but its robust quant methodology and strong dividends position it to capitalize on the bullish materials cycle.Getty ImagesFirst Trust Materials AlphaDEX Fund ETF's (FXZ) outperformance compared to peers demonstrates a high-quality stock-picking potential of its quant-based screening methodology. Unlike traditional index-focused funds concentration toward their top holdings, FXZ maintains a well-balanced portfolio, helping it to capitalize onThis article was written byKomal Sarwar1.96K FollowersKomal is passionate about finance and the stock market. She enjoys forecasting future market trends using a fundamental and technical approach with a focus on both short- and long-term horizons. She intends to provide unbiased analysis to assist investors in selecting the best investment strategies to stay ahead of the market.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.Comments