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NYSE Arca · ETF

Invest in FPE ETF from India

Indian and foreign residents can buy First Trust Preferred Securities and ETF (FPE) units directly through Paasa.

By Paasa · Updated

FPE at a glance

Price
$17.09-$0.05 (0.29%)
Expense ratio
0.83%
Day range
$17.07 – $17.16
Assets
$6.1B
Domicile
the US
Holdings
264
Launched
2013
Dividends
Distributing
1 month
-3.39%
6 months
-2.62%
YTD
-6.30%
1 year
-6.46%
5 years
-16.80%

Price change, excluding dividends.

Live chart and fund data

Top 10 holdings

  1. 1BANK OF AMERICA CORP Variable rate2.6%
  2. 2Wells Fargo & Company, Series L, 7.500%1.8%
  3. 3BARCLAYS PLC Variable rate1.7%
  4. 4CITIGROUP INC Series HH, Variable rate1.3%
  5. 5NextEra Energy Capital Holdings, Inc., Series U, 6.500%, Due 06/01/20851.3%
  6. 6BNP PARIBAS Variable rate1.3%
  7. 7JPMORGAN CHASE & CO Variable rate1.2%
  8. 8CREDIT AGRICOLE SA Variable rate1.2%
  9. 9Xcel Energy Inc., 6.250%, Due 10/15/20851.2%
  10. 10VERIZON COMMUNICATIONS Variable rate, due 02/15/20571.2%

FPE holds 264 securities in total. These 10 are 14.9% of the fund.

Where the money is invested

Sectors

  • Financial Services15.5%
  • Utilities4.1%
  • Communication Services2.4%
  • Real Estate1.2%
  • Consumer Cyclical0.5%
  • Energy0.2%

Countries

  • United States56.9%
  • Canada10.6%
  • France7.7%
  • United Kingdom6.7%
  • Bermuda3.3%
  • Spain3.3%

How to invest in FPE from India

  1. Step 1

    Open your Paasa account

    KYC takes a few minutes: PAN, Aadhaar and address proof. Your brokerage account is opened in your own name with Interactive Brokers.

  2. Step 2

    Add funds from your Indian bank account

    Remit up to $250,000 a year under the RBI's Liberalised Remittance Scheme. Your bank converts the rupees to US dollars at its rate on the day you remit.

  3. Step 3

    Search FPE and buy

    Find the fund by its ticker, FPE, on NYSE Arca, and place your order. Fractional units are available and there is no minimum trade size, so you can buy by amount.

Why invest in FPE from India

What FPE holds

First Trust Exchange-Traded Fund III - First Trust Preferred Securities and Income ETF is an exchange traded fund launched and managed by First Trust Advisors LP. The fund is co-managed by Stonebridge Advisors, LLC.

Hold a dollar asset

FPE is priced in US dollars, so a weaker rupee adds to what it's worth in rupees. The rupee depreciated over 85% against the dollar between 2010 and 2025.

Buy a fraction of a unit

Buy by amount, not by unit, and get the matching fraction of one FPE unit. There is no minimum trade size.

Paasa handles the paperwork

Investing abroad brings paperwork with it: remittance filings, capital gains reporting, foreign asset disclosure. Paasa prepares all of it for you. Your India-ready tax reports arrive at year end, ready to file.

Planning to hold more than $60,000 in US ETFs? Here's what US estate tax means for you.

US-domiciled ETFs held in your own name fall under US estate tax rules. If your US holdings cross $60,000, the amount above that can be taxed at up to 40% when the account passes to your family.

A UCITS ETF tracking a similar market sits outside US estate tax.

How US estate tax works See UCITS options

Frequently asked questions

Can I buy FPE from India?

Yes. Indian residents can buy First Trust Preferred Securities and ETF (FPE) through Paasa. It is listed on NYSE Arca and trades in US dollars. Your money leaves India under the RBI's Liberalised Remittance Scheme, and the units are held in your own name at Interactive Brokers.

What does FPE invest in?

First Trust Preferred Securities and ETF holds 264 securities. Its largest holdings are BANK OF AMERICA CORP Variable rate (2.6%), Wells Fargo & Company, Series L, 7.500% (1.8%) and BARCLAYS PLC Variable rate (1.7%). Financial Services is its largest sector at 15.5%. It is a distributing fund domiciled in the US.

What is the expense ratio of FPE?

First Trust Preferred Securities and ETF has an expense ratio of 0.83% a year, taken from the fund's assets rather than billed to you. The fund manages about $6.1B.

How are FPE dividends taxed in India?

First Trust Preferred Securities and ETF is a distributing fund. It pays the dividends from its holdings out to you in cash. Dividends are taxed at your slab rate in India. Paasa's dividend report lists the gross dividend and any tax withheld for each payment.

What tax do I pay in India when I sell FPE?

The US does not levy capital gains tax on shares for Indian residents. Gains are taxable in India. Debt-oriented funds can be taxed differently from equity funds, so confirm your rate before selling. The gain is worked out in rupees at the USD/INR rate on the day you bought and the day you sold, so the currency move is part of the gain. Paasa's capital-gains statement gives you the figures for your return.

Can I buy a fraction of one FPE unit?

Yes. You can buy by amount rather than by unit and add to your position over time. One unit is $17.09, and there is no minimum trade size.

What happens to my FPE units if I pass away?

US-domiciled ETFs held in your own name fall under US estate tax rules. If your US holdings cross $60,000, the amount above that can be taxed at up to 40% when the account passes to your family. A UCITS ETF tracking a similar market sits outside US estate tax. Paasa's US estate tax calculator shows the exposure for a given portfolio value.

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