FAAR: You Will Not Get Far Using This ETF

First Trust Alternative Absolute Return Strategy ETF employs an active long-short commodities strategy aiming for absolute returns in any market environment. FAAR currently maintains a +54% net long exposure but can shift net exposures dynamically across commodity sectors using futures. Despite its flexible approach, FAAR has significantly underperformed peers over five years, with higher volatility (11.2% SD) and a steep 0.97% expense ratio.