FTBI vs INCM

FTBICFirst Trust Balanced Income ETF

INCMAFranklin Income Focus ETF

In short

FTBI A one-ticker income recipe from a single kitchen: 60% option-income equity ETFs, 35% investment-grade bonds, 5% gold-linked income, all First Trust funds, reset semi-annually. Pays monthly, costs 0.98%.

INCM A go-anywhere income hunt in ETF form: Franklin's managers roam across asset classes chasing current income, hold roughly 400 positions, charge 0.38%, and pay out monthly.

Stated mandate

FTBI The Fund seeks to match the price and yield, before fees and expenses, of the Bloomberg Moderate Allocation Income Focus Index. It normally invests at least 80% of net assets in the ETFs comprising that Index.

INCM The fund seeks a high level of current income, with long-term capital appreciation as a secondary objective.

Why people hold it

• FTBI Three asset classes in one fixed recipe: 60% equity-linked income ETFs, 35% investment-grade bond ETFs, 5% commodity-linked income, reconstituted and rebalanced semi-annually.sec.govftportfolios.com
• Income leans on sold options, not only dividends and coupons: the equity sleeve holds buywrite and target income ETFs that collect option premiums. Distributions are monthly.ftportfolios.com
• The gold sleeve is an unusual touch for multi-asset income: FLEX options referencing a gold-holding ETP, with income targeted off one-month Treasury yields.ftportfolios.com
• The equity allocation splits evenly across core, growth and value styles, then equally weights the funds inside each style, so no single sleeve runs the portfolio.ftportfolios.com

• INCM Charges 0.38%, well under the typical fund in its multi-asset allocation group. More of the income stays with shareholders.
• Distributes monthly, matching the rhythm of actual bills. Current income is the stated primary objective, with capital appreciation secondary.
• Spreads the income job across roughly 400 positions instead of leaning on a short list of high yielders.
• Trades smoothly for a multi-billion-dollar fund, and rates as one of the stronger implementations in its allocation peer group.

Worth knowing

• FTBI At 0.98% the fee sits above the category median. Most of it is the underlying First Trust funds' own fees, stacked beneath a 0.25% management fee.sec.gov
• Higher-ranked peers charge less: INCM at 0.38%, IYLD and INKM at 0.50%, MDIV at 0.71% net of a waiver through January 31, 2027.
• Every holding comes from one house, since the index universe is limited to First Trust's own income ETFs. The fund also launched in 2025 and trades thinly.sec.gov

• INCM Actively managed with no declared index, so the asset mix and the payout reflect manager judgment rather than a published rulebook you can check against.
• The mandate targets a high level of current income, not a fixed dollar amount, so the monthly distribution moves with markets.
• Index-based allocation peers such as AOA and IRTR carry lower expense ratios. Here the fee buys active security selection instead of a set glide path.

Full FTBI profile⁠

Full INCM profile⁠