ThZeal - The Zeal

Semi-Annual Consolidated

Financial Statements

and Other Information

For the Six Months Ended

June 30, 2024

First Trust Exchange-Traded Fund V

First Trust Managed Futures Strategy Fund (FMF)

Table of Contents

First Trust Managed Futures Strategy Fund (FMF)
Semi-Annual Consolidated Financial Statements and Other Information
June 30, 2024

Consolidated Portfolio of Investments	1
Consolidated Statement of Assets and Liabilities	4
Consolidated Statement of Operations	5
Consolidated Statements of Changes in Net Assets	6
Consolidated Financial Highlights	7
Notes to Consolidated Financial Statements	8
Other Information	15

Performance and Risk Disclosure

There is no assurance that First Trust Managed Futures Strategy Fund (the “Fund”) will achieve its investment objective. The Fund is subject to market risk, which is the possibility that the market values of securities owned by the Fund will decline and that the value of the Fund’s shares may therefore be less than what you paid for them. Accordingly, you can lose money by investing in the Fund.

Performance data quoted represents past performance, which is no guarantee of future results, and current performance may be lower or higher than the figures shown. For the most recent month-end performance figures, please visit www.ftportfolios.com or speak with your financial advisor. Investment returns, net asset value and share price will fluctuate and Fund shares, when sold, may be worth more or less than their original cost.

First Trust Advisors L.P., the Fund’s advisor, may also periodically provide additional information on Fund performance on the Fund’s webpage at www.ftportfolios.com.

How to Read This Report

This report contains information that may help you evaluate your investment in the Fund. It includes details about the Fund and presents data that provides insight into the Fund’s performance and investment approach.

The material risks of investing in the Fund are spelled out in its prospectus, statement of additional information, and other Fund regulatory filings.

First Trust Managed Futures Strategy Fund (FMF)

Consolidated Portfolio of Investments

June 30, 2024 (Unaudited)

Principal Value	Description	Stated Coupon	Stated Maturity	Value
U.S. GOVERNMENT BONDS AND NOTES — 60.7%
$11,000,000	U.S. Treasury Note	0.38%	09/15/24	$10,888,393
11,000,000	U.S. Treasury Note	1.00%	12/15/24	10,788,512
11,000,000	U.S. Treasury Note	0.50%	03/31/25	10,623,229
11,000,000	U.S. Treasury Note	0.25%	06/30/25	10,484,562
12,000,000	U.S. Treasury Note	0.25%	09/30/25	11,316,328
21,000,000	U.S. Treasury Note	0.38%	11/30/25	19,703,497
11,000,000	U.S. Treasury Note	0.75%	03/31/26	10,259,863
	Total U.S. Government Bonds and Notes			84,064,384
	(Cost $84,252,211)

Shares	Description	Value
MONEY MARKET FUNDS — 32.0%
22,190,680	Dreyfus Government Cash Management Fund, Institutional Shares - 5.19% (a)	22,190,680
22,190,680	Morgan Stanley Institutional Liquidity Funds - Treasury Portfolio - Institutional Class - 5.14% (a)	22,190,680
	Total Money Market Funds	44,381,360
	(Cost $44,381,360)


	Total Investments — 92.7%	128,445,744
	(Cost $128,633,571)
	Net Other Assets and Liabilities — 7.3%	10,112,201
	Net Assets — 100.0%	$138,557,945

Futures Contracts at June 30, 2024 (See Note 2C - Futures Contracts in the Notes to Consolidated Financial Statements):

Futures Contracts Long	Number of Contracts	Expiration Date	Notional Value	Unrealized Appreciation (Depreciation)/ Value
3 Month SOFR Futures	64	Dec-2025	$15,340,800	$19,586
Australian Dollar Currency Futures	47	Sep-2024	3,141,010	11,993
Brent Crude Oil Futures	29	Jul-2024	2,465,000	34,622
Brent Crude Oil Futures	20	Aug-2024	1,683,800	17,048
CAC 40®10 Euro Index Futures	27	Jul-2024	2,166,506	(14,905 )
Canada 10-Year Bond Futures	11	Sep-2024	965,440	(2,339 )
CBOE Volatility Index Futures	1	Sep-2024	15,808	8
Cocoa Futures	21	Dec-2024	1,384,110	(90,118 )
Coffee “C” Futures	58	Sep-2024	4,932,900	27,508
Copper Futures	61	Sep-2024	6,697,037	(134,315 )
DJIA Mini E-CBOT Futures	13	Sep-2024	2,565,485	3,655
Euro STOXX 50®Futures	14	Sep-2024	738,570	3,864
FTSE 100 Index Futures	18	Sep-2024	1,868,534	(863 )
FTSE MIB Index Futures	30	Sep-2024	5,360,000	79,374
Gasoline RBOB Futures	30	Jul-2024	3,151,890	156,333
Gasoline RBOB Futures	9	Aug-2024	934,038	5,901
Gold 100 Oz. Futures	27	Aug-2024	6,316,920	(47,630 )
IBEX 35 Index Futures	48	Jul-2024	5,590,875	(32,412 )
Live Cattle Futures	45	Aug-2024	3,337,650	70,916
LME Zinc Futures	37	Sep-2024	2,715,310	10,379
Long Gilt Futures	13	Sep-2024	1,603,390	19,956
Low Sulphur Gasoil “G” Futures	54	Aug-2024	4,233,600	(23,255 )
Mexican Peso Currency Futures	167	Sep-2024	4,498,980	18,987

See Notes to Consolidated Financial Statements

Page 1

First Trust Managed Futures Strategy Fund (FMF)

Consolidated Portfolio of Investments (Continued)

June 30, 2024 (Unaudited)

Futures Contracts at June 30, 2024 (Continued):

Futures Contracts Long	Number of Contracts	Expiration Date	Notional Value	Unrealized Appreciation (Depreciation)/ Value
MSCI EAFE Index Futures	8	Sep-2024	$937,280	$5,800
MSCI EMGMKT Index Futures	56	Sep-2024	3,046,960	7,390
Nasdaq 100 E-mini Futures	2	Sep-2024	797,090	(1,159 )
New Zealand Dollar Currency Futures	58	Sep-2024	3,535,100	(2,204 )
NIKKEI 225 (OSE) Futures	10	Sep-2024	2,460,066	12,152
OMXS 30 Index Futures	86	Jul-2024	2,091,782	2,761
S&P 500 E-mini Futures	13	Sep-2024	3,588,975	(5,186 )
S&P MidCap 400 E-Mini Futures	8	Sep-2024	2,366,480	23,480
S&P TSX 60 IX Futures	3	Sep-2024	574,760	6,344
Soybean Meal Futures	62	Dec-2024	2,080,100	(71,027 )
SPI 200 Futures	20	Sep-2024	2,592,343	26,760
TOPIX Index Futures	15	Sep-2024	2,620,269	21,133
TTF Natural Gas Futures	25	Jul-2024	686,831	(11,581 )
U.S. 10-Year Treasury Note Futures	11	Sep-2024	1,209,828	(4,199 )
U.S. 2-Year Treasury Notes	34	Sep-2024	6,943,437	(4,027 )
U.S. Treasury Long Bond Futures	41	Sep-2024	4,850,813	(31,514 )
Ultra U.S. Treasury Bond Futures	29	Sep-2024	3,634,969	(55,907 )
WTI Crude Futures	79	Aug-2024	6,370,560	23,650
			$132,095,296	$76,959

Futures Contracts Short
Brazilian Real Currency Futures	399	Jul-2024	$(7,118,160 )	$111,703
Canadian Dollar Currency Futures	110	Sep-2024	(8,052,000 )	(37,525 )
Canola Futures	426	Nov-2024	(3,905,480 )	75,419
Corn Futures	320	Dec-2024	(6,732,000 )	633,135
Cotton No. 2 Futures	189	Dec-2024	(6,869,205 )	37,330
ECX Emission Futures	18	Dec-2024	(1,300,627 )	37,410
Euro FX Currency Futures	16	Sep-2024	(2,150,400 )	600
Euro-BOBL Futures	34	Sep-2024	(4,239,850 )	(41,483 )
Euro-Bund Futures	14	Sep-2024	(1,973,419 )	(27,325 )
Euro-Schatz Futures	74	Sep-2024	(8,376,760 )	(38,594 )
Japanese Yen Currency Futures	100	Sep-2024	(7,865,625 )	157,246
Kansas City Hard Red Winter Wheat Futures	69	Sep-2024	(2,022,563 )	14,100
Lean Hogs Futures	200	Aug-2024	(7,160,000 )	185,381
LME Aluminium Futures	67	Sep-2024	(4,226,963 )	37,895
LME Nickel Futures	64	Sep-2024	(6,632,740 )	187,853
Natural Gas Futures	76	Jul-2024	(1,976,760 )	54,462
Russell 2000 E-mini Futures	30	Sep-2024	(3,097,500 )	(21,940 )
Soybean Oil Futures	24	Dec-2024	(630,576 )	855
Swiss Franc Currency Futures	23	Sep-2024	(3,229,487 )	13,501
U.S. 5-Year Treasury Note Futures	12	Sep-2024	(1,278,938 )	1,570
Wheat Futures	223	Dec-2024	(6,656,550 )	374,717
			$(95,495,603 )	$1,756,310
		Total	$36,599,693	$1,833,269

Abbreviations throughout the Portfolio of Investments:
SOFR	– Secured Overnight Financing Rate

(a)	Rate shown reflects yield as of June 30, 2024.

See Notes to Consolidated Financial Statements

Page 2

First Trust Managed Futures Strategy Fund (FMF)

Consolidated Portfolio of Investments (Continued)

June 30, 2024 (Unaudited)

Valuation Inputs

A summary of the inputs used to value the Fund’s investments as of June 30, 2024 is as follows (see Note 2A - Portfolio Valuation in the Notes to Consolidated Financial Statements):

ASSETS TABLE
	Total Value at 6/30/2024	Level 1 Quoted Prices	Level 2 Significant Observable Inputs	Level 3 Significant Unobservable Inputs
U.S. Government Bonds and Notes	$84,064,384	$—	$84,064,384	$—
Money Market Funds	44,381,360	44,381,360	—	—
Total Investments	128,445,744	44,381,360	84,064,384	—
Futures Contracts*	2,532,777	2,532,777	—	—
Total	$130,978,521	$46,914,137	$84,064,384	$—

LIABILITIES TABLE
	Total Value at 6/30/2024	Level 1 Quoted Prices	Level 2 Significant Observable Inputs	Level 3 Significant Unobservable Inputs
Futures Contracts*	$(699,508 )	$(699,508 )	$—	$—

*	Includes cumulative appreciation/depreciation on futures contracts as reported in the Futures Contracts table. Only the current day’s variation margin is presented on the Consolidated Statement of Assets and Liabilities.

See Notes to Consolidated Financial Statements

Page 3

First Trust Managed Futures Strategy Fund (FMF)

Consolidated Statement of Assets and Liabilities

June 30, 2024 (Unaudited)

ASSETS:
Investments, at value	$128,445,744
Cash segregated as collateral for open futures contracts	13,362,141
Receivables:
Dividends	196,250
Interest	79,514
Total Assets	142,083,649

LIABILITIES:
Due to custodian	3,034,377
Payables:
Variation margin	383,163
Investment advisory fees	108,164
Total Liabilities	3,525,704
NET ASSETS	$138,557,945

NET ASSETS consist of:
Paid-in capital	$135,734,051
Par value	28,520
Accumulated distributable earnings (loss)	2,795,374
NET ASSETS	$138,557,945
NET ASSET VALUE, per share	$48.58
Number of shares outstanding (unlimited number of shares authorized, par value $0.01 per share)	2,852,000
Investments, at cost	$128,633,571
Foreign currency, at cost (proceeds)	$(2,939,737)

See Notes to Consolidated Financial Statements

Page 4

First Trust Managed Futures Strategy Fund (FMF)

Consolidated Statement of Operations

For the Six Months Ended June 30, 2024 (Unaudited)

INVESTMENT INCOME:
Interest	$1,999,494
Dividends	1,529,029
Total investment income	3,528,523

EXPENSES:
Investment advisory fees	663,822
Total expenses	663,822
NET INVESTMENT INCOME (LOSS)	2,864,701

NET REALIZED AND UNREALIZED GAIN (LOSS):
Net realized gain (loss) on:
Futures contracts	4,084,553
Foreign currency transactions	(30,250)
Net realized gain (loss)	4,054,303
Net change in unrealized appreciation (depreciation) on:
Investments	(523,314)
Futures contracts	2,540,518
Foreign currency translation	48,667
Net change in unrealized appreciation (depreciation)	2,065,871
NET REALIZED AND UNREALIZED GAIN (LOSS)	6,120,174
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS	$8,984,875

See Notes to Consolidated Financial Statements

Page 5

First Trust Managed Futures Strategy Fund (FMF)

Consolidated Statements of Changes in Net Assets

	Six Months Ended 6/30/2024 (Unaudited)	Year Ended 12/31/2023
OPERATIONS:
Net investment income (loss)	$2,864,701	$6,462,740
Net realized gain (loss)	4,054,303	(4,238,228)
Net change in unrealized appreciation (depreciation)	2,065,871	(1,452,732)
Net increase (decrease) in net assets resulting from operations	8,984,875	771,780

DISTRIBUTIONS TO SHAREHOLDERS FROM:
Investment operations	(2,104,776)	(4,898,999)

SHAREHOLDER TRANSACTIONS:
Proceeds from shares sold	12,330,706	19,197,802
Cost of shares redeemed	(21,529,821)	(78,519,220)
Net increase (decrease) in net assets resulting from shareholder transactions	(9,199,115)	(59,321,418)
Total increase (decrease) in net assets	(2,319,016)	(63,448,637)

NET ASSETS:
Beginning of period	140,876,961	204,325,598
End of period	$138,557,945	$140,876,961

CHANGES IN SHARES OUTSTANDING:
Shares outstanding, beginning of period	3,052,000	4,302,000
Shares sold	250,000	400,000
Shares redeemed	(450,000)	(1,650,000)
Shares outstanding, end of period	2,852,000	3,052,000

See Notes to Consolidated Financial Statements

Page 6

First Trust Managed Futures Strategy Fund (FMF)

Consolidated Financial Highlights

For a share outstanding throughout each period

	Six Months Ended 6/30/2024 (Unaudited)	Year Ended December 31,
	Six Months Ended 6/30/2024 (Unaudited)	2023	2022	2021	2020	2019
Net asset value, beginning of period	$46.16	$47.50	$45.20	$44.95	$42.87	$45.39
Income from investment operations:
Net investment income (loss)	1.00 (a)	1.81 (a)	0.44 (a)	(0.43 )	(0.37 ) (a)	0.51 (a)
Net realized and unrealized gain (loss)	2.16	(1.73 )	2.05 (b)	2.17	2.46	(2.58 )
Total from investment operations	3.16	0.08	2.49	1.74	2.09	(2.07 )
Distributions paid to shareholders from:
Net investment income	(0.74 )	(1.42 )	(0.19 )	(1.49 )	(0.01 )	(0.45 )
Net asset value, end of period	$48.58	$46.16	$47.50	$45.20	$44.95	$42.87
Total return (c)	6.82 %	0.13 %	5.52 %	3.88 %	4.87 %	(4.54 )%

Ratios to average net assets/supplemental data:
Net assets, end of period (in 000’s)	$138,558	$140,877	$204,326	$65,636	$42,793	$8,660
Ratio of total expenses to average net assets	0.95 % (d) (e)	0.95 %	0.95 %	0.96 % (f)	0.95 %	0.95 %
Ratio of net expenses to average net assets excluding interest expense	0.95 % (d) (e)	0.95 %	0.95 %	0.95 %	0.95 %	0.95 %
Ratio of net investment income (loss) to average net assets	4.10 % (d) (e)	3.77 %	0.89 %	(0.96 )%	(0.85 )%	1.14 %
Portfolio turnover rate (g)	0 %	0 %	0 %	0 %	0 %	0 %

(a)	Based on average shares outstanding.
(b)	The per share amount does not correlate with the aggregate realized and unrealized gain (loss) due to the timing of the Fund share sales and repurchases in relation to market value fluctuation of the underlying investments.
(c)	Total return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all distributions at net asset value during the period, and redemption at net asset value on the last day of the period. The returns presented do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption or sale of Fund shares. Total return is calculated for the time period presented and is not annualized for periods of less than a year.
(d)	Annualized.
(e)	Ratios of expenses to average net assets and ratio of net investment income (loss) to average net assets do not reflect the Fund’s proportionate share of expenses and income of underlying investment companies in which the Fund invests.
(f)	Ratio reflects interest expense of 0.01% for the period ended December 31, 2021, paid on futures margin accounts which is not covered under the annual unitary management fee.
(g)	Portfolio turnover is calculated for the time period presented and is not annualized for periods of less than a year and does not include securities received or delivered from processing creations or redemptions, derivatives and in-kind transactions.

See Notes to Consolidated Financial Statements

Page 7

Notes to Consolidated Financial Statements

First Trust Managed Futures Strategy Fund (FMF)

June 30, 2024 (Unaudited)

1. Organization

First Trust Exchange-Traded Fund V (the “Trust”) is an open-end management investment company organized as a Massachusetts business trust on April 10, 2012, and is registered with the Securities and Exchange Commission (“SEC”) under the Investment Company Act of 1940, as amended (the “1940 Act”).

This report covers the First Trust Managed Futures Strategy Fund (the “Fund”), a diversified series of the Trust, which trades under the ticker “FMF” on NYSE Arca, Inc. and commenced operations on August 1, 2013. Unlike conventional mutual funds, the Fund issues and redeems shares on a continuous basis, at net asset value (“NAV”), only in large blocks of shares known as “Creation Units.”

The Fund is an actively managed exchange-traded fund. The investment objective of the Fund seeks to provide investors with positive returns. Under normal market conditions, the Fund and a wholly-owned subsidiary of the Fund, FT Cayman Subsidiary (the “Subsidiary”), organized under the laws of the Cayman Islands, invest significantly in a portfolio of exchange-listed futures (collectively, “Futures Instruments”). The Fund expects to gain exposure to these investments directly and by investing in the Subsidiary. The Fund will invest up to 25% of its total assets in the Subsidiary. As of June 30, 2024, the Fund invested 20.77% of the Fund’s total assets in the Subsidiary.

2. Significant Accounting Policies

The Fund is considered an investment company and follows accounting and reporting guidance under Financial Accounting Standards Board Accounting Standards Codification Topic 946, “Financial Services-Investment Companies.” The consolidated financial statements include the accounts on a consolidated basis of the Subsidiary. All intercompany accounts and transactions have been eliminated in consolidation. The following is a summary of significant accounting policies consistently followed by the Fund in the preparation of the consolidated financial statements. The preparation of the consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amounts and disclosures in the consolidated financial statements. Actual results could differ from those estimates.

A. Portfolio Valuation

The Fund’s NAV is determined daily as of the close of regular trading on the New York Stock Exchange (“NYSE”), normally 4:00 p.m. Eastern time, on each day the NYSE is open for trading. If the NYSE closes early on a valuation day, the NAV is determined as of that time. The Fund’s NAV is calculated by dividing the value of all assets of the Fund (including accrued interest and dividends), less all liabilities (including accrued expenses and dividends declared but unpaid), by the total number of shares outstanding.

The Fund’s investments are valued daily at market value or, in the absence of market value with respect to any portfolio securities, at fair value. Market value prices represent readily available market quotations such as last sale or official closing prices from a national or foreign exchange (i.e., a regulated market) and are primarily obtained from third-party pricing services. Fair value prices represent any prices not considered market value prices and are either obtained from a third-party pricing service or are determined by the Pricing Committee of the Fund’s investment advisor, First Trust Advisors L.P. (“First Trust” or the “Advisor”), in accordance with valuation procedures approved by the Trust’s Board of Trustees, and in accordance with provisions of the 1940 Act and rules thereunder. Investments valued by the Advisor’s Pricing Committee, if any, are footnoted as such in the footnotes to the Consolidated Portfolio of Investments. The Fund’s investments are valued as follows:

Exchange-traded futures contracts are valued at the end of the day settlement price.

U.S. Treasuries are valued on the basis of valuations provided by a third-party pricing service approved by the Trust’s Board of Trustees.

Shares of open-end funds are valued based on NAV per share.

If the Fund’s investments are not able to be priced by pre-established pricing methods, such investments may be valued by the Trust’s Board of Trustees or its delegate, the Advisor’s Pricing Committee, at fair value. A variety of factors may be considered in determining the fair value of such investments.

Page 8

Notes to Consolidated Financial Statements (Continued)

First Trust Managed Futures Strategy Fund (FMF)

June 30, 2024 (Unaudited)

Valuing the Fund’s holdings using fair value pricing will result in using prices for those holdings that may differ from current market valuations. The Subsidiary’s holdings will be valued in the same manner as the Fund’s holdings.

The Fund is subject to fair value accounting standards that define fair value, establish the framework for measuring fair value and provide a three-level hierarchy for fair valuation based upon the inputs to the valuation as of the measurement date. The three levels of the fair value hierarchy are as follows:

• Level 1 – Level 1 inputs are quoted prices in active markets for identical investments. An active market is a market in which transactions for the investment occur with sufficient frequency and volume to provide pricing information on an ongoing basis.

• Level 2 – Level 2 inputs are observable inputs, either directly or indirectly, and include the following:

o Quoted prices for similar investments in active markets.

o Quoted prices for identical or similar investments in markets that are non-active. A non-active market is a market where there are few transactions for the investment, the prices are not current, or price quotations vary substantially either over time or among market makers, or in which little information is released publicly.

o Inputs other than quoted prices that are observable for the investment (for example, interest rates and yield curves observable at commonly quoted intervals, volatilities, prepayment speeds, loss severities, credit risks, and default rates).

o Inputs that are derived principally from or corroborated by observable market data by correlation or other means.

• Level 3 – Level 3 inputs are unobservable inputs. Unobservable inputs may reflect the reporting entity’s own assumptions about the assumptions that market participants would use in pricing the investment.

The inputs or methodologies used for valuing investments are not necessarily an indication of the risk associated with investing in those investments. A summary of the inputs used to value the Fund’s investments as of June 30, 2024, is included with the Fund’s Consolidated Portfolio of Investments.

B. Investment Transactions and Investment Income

Investment transactions are recorded as of the trade date. Realized gains and losses from investment transactions are recorded on the identified cost basis. Dividend income is recorded on the ex-dividend date. Interest income, if any, is recorded daily on the accrual basis. Amortization of premiums and accretion of discounts are recorded using the effective interest method.

C. Futures Contracts

The Fund, through the Subsidiary, may purchase and sell exchange-listed futures contracts across all market sectors, including commodities, currencies, equity indexes, and global debt, including U.S. Treasuries. When the Subsidiary purchases a listed futures contract, it agrees to purchase a specified reference asset (e.g., commodity, currency or equity index or global debt) at a specified future date. When the Subsidiary sells or shorts a listed futures contract, it agrees to sell a specified reference asset (e.g., commodity, currency or equity index, or global debt) at a specified future date. The price at which the purchase and sale will take place is fixed when the Subsidiary enters into the contract. The exchange clearing corporation is the ultimate counterparty for all exchange-listed contracts, so credit risk is limited to the creditworthiness of the exchange’s clearing corporation. Margin deposits are posted as collateral with the clearing broker and, in turn, with the exchange clearing corporation. Open futures contracts can be closed out prior to settlement by entering into an offsetting transaction in a matching futures contract. If the Subsidiary is not able to enter into an offsetting transaction, the Subsidiary will continue to be required to maintain margin deposits on the futures contract. When the contract is closed or expires, the Subsidiary records a realized gain or loss equal to the difference between the value of the contract at the time it was opened and the value at the time it was closed or expired. This gain or loss is included in “Net realized gain (loss) on futures contracts” on the Consolidated Statement of Operations.

Exchange-listed commodity futures contracts — Commodity futures contracts are generally based upon commodities within the six principal commodity groups: energy, industrial metals, agriculture, precious metals, foods and fibers, and livestock. The price of a commodity futures contract will reflect the storage costs of purchasing the physical commodity. These storage costs include the time value of money invested in the physical commodity plus the actual costs of storing the commodity less any benefits from ownership of the physical commodity that are not obtained by the holder of a futures contract (this is sometimes referred to as the “convenience yield”). To the extent that these storage costs change for an underlying commodity while the Fund is in a long position on that commodity, the value of the futures contract may change proportionately.

Index futures contracts — An index futures contract is a bilateral agreement pursuant to which two parties agree to take

Page 9

Notes to Consolidated Financial Statements (Continued)

First Trust Managed Futures Strategy Fund (FMF)

June 30, 2024 (Unaudited)

or make delivery of an amount of cash equal to a specified dollar amount times the difference between the index value at the close of trading of the contract and the price at which the futures contract was originally struck. No physical delivery of the securities comprising the index is made. Instead, settlement in cash must occur upon the termination of the contract, with the settlement being the difference between the contract price and the actual level of the index at the expiration of the contract.

Currency futures contracts — Currency futures contracts are transferable futures contracts that specify a price at which a currency can be bought or sold at a future date. Currency futures contracts allow investors to hedge against foreign currency exchange risk. Because currency futures contracts are marked-to-market daily, investors can exit their obligation to buy or sell the currency prior to the contract’s delivery date by closing out the position. With currency futures contracts, the price is determined when the contract is signed, just as it is in the foreign currency exchange market, and the currency pair is exchanged on the delivery date, which is usually sometime in the distant future.

Global debt futures contracts — A global debt futures contract is an agreement for the purchase or sale of government-issued bonds at a specified price and a predetermined date in the future. The market price of debt instruments is inversely proportional to interest rates, and debt futures can be used to hedge against interest rate fluctuations.

Upon entering into a futures contract, the Subsidiary must deposit funds, called margin, with its custodian in the name of the clearing broker equal to a specified percentage of the current value of the contract. Open futures contracts are marked-to-market daily with the change in value recognized as a component of “Net change in unrealized appreciation (depreciation) on futures contracts” on the Consolidated Statement of Operations. This daily fluctuation in value of the contract is also known as variation margin and is included as “Variation margin” payable and/or receivable on the Consolidated Statement of Assets and Liabilities.

When the Subsidiary purchases or sells a futures contract, the Subsidiary is required to collateralize its position in order to limit the risk associated with the use of leverage and other related risks. To collateralize its position, the Subsidiary segregates assets consisting of cash or liquid securities that, when added to any amounts deposited with a futures commission merchant as margin, are equal to the unrealized depreciation of the futures contract or otherwise collateralize its position in a manner consistent with the 1940 Act or the 1940 Act Rules and SEC interpretations thereunder. As the Subsidiary continues to engage in the described securities trading practices and properly segregates assets, the segregated assets will function as a practical limit on the amount of leverage which the Subsidiary may undertake and on the potential increase in the speculative character of the Subsidiary’s outstanding portfolio investments. Additionally, such segregated assets generally ensure the availability of adequate funds to meet the obligations of the Subsidiary arising from such investment activities.

D. Cash and Foreign Currency

The Fund holds assets equal to or greater than the full notional exposure of the future contracts. These assets may consist of cash and other short-term securities to comply with SEC guidance with respect to coverage of futures contracts by registered investment companies. The Fund also has restricted foreign currency held for margin requirements. At June 30, 2024, the Fund had restricted cash held of $13,362,141, which is included in “Cash segregated as collateral for open futures contracts” on the Consolidated Statement of Assets and Liabilities. The books and records of the Fund are maintained in U.S. dollars. Foreign currencies, futures contracts and other assets and liabilities are translated into U.S. dollars at the exchange rates prevailing at the end of the period.

Purchases and sales of futures contracts and items of income and expense are translated on the respective dates of such transactions. Unrealized gains and losses on assets and liabilities which result from changes in foreign currency exchange rates have been included in “Net change in unrealized appreciation (depreciation) on foreign currency translation” on the Consolidated Statement of Operations. Unrealized gains and losses on futures contracts which result from changes in foreign exchange rates are included with fluctuations arising from changes in market price and are shown in “Net change in unrealized appreciation (depreciation) on futures contracts” on the Consolidated Statement of Operations. Net realized foreign currency gains and losses include the effect of changes in exchange rates between trade date and settlement date on foreign currency transactions and interest and dividends received as shown in “Net realized gain (loss) on foreign currency transactions.” The portion of foreign currency gains and losses related to fluctuation in exchange rates between the initial purchase trade date and subsequent sale trade date is included in “Net realized gain (loss) on futures contracts” on the Consolidated Statement of Operations.

E. Dividends and Distributions to Shareholders

Dividends from net investment income of the Fund, if any, are declared and paid quarterly, or as the Board of Trustees may determine from time to time. Distributions of net realized capital gains earned by the Fund, if any, are distributed at least annually. The Fund may also designate a portion of the amount paid to redeeming shareholders as a distribution for tax purposes.

Page 10

Notes to Consolidated Financial Statements (Continued)

First Trust Managed Futures Strategy Fund (FMF)

June 30, 2024 (Unaudited)

Distributions in cash may be reinvested automatically in additional whole shares only if the broker through whom the shares were purchased makes such option available. Such shares will generally be reinvested by the broker based upon the market price of those shares and investors may be subject to customary brokerage commissions charged by the broker.

Distributions from net investment income and realized capital gains are determined in accordance with federal income tax regulations, which may differ from U.S. GAAP. Certain capital accounts in the consolidated financial statements are periodically adjusted for permanent differences in order to reflect their tax character. These permanent differences are primarily due to the varying treatment of income and gain/loss on portfolio securities held by the Fund and have no impact on net assets or NAV per share. Temporary differences, which arise from recognizing certain items of income, expense and gain/loss in different periods for consolidated financial statement and tax purposes, will reverse at some time in the future.

The tax character of distributions paid during the fiscal year ended December 31, 2023 was as follows:

Distributions paid from:
Ordinary income	$4,898,999
Capital gains	—
Return of capital	—

As of December 31, 2023, the components of distributable earnings on a tax basis for the Fund were as follows:

Undistributed ordinary income	$143,883
Accumulated capital and other gain (loss)	(261,963 )
Net unrealized appreciation (depreciation)	(210,471 )

F. Income Taxes

The Fund intends to continue to qualify as a regulated investment company by complying with the requirements under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”), which includes distributing substantially all of its net investment income and net realized gains to shareholders. Accordingly, no provision has been made for federal and state income taxes. However, due to the timing and amount of distributions, the Fund may be subject to an excise tax of 4% of the amount by which approximately 98% of the Fund’s taxable income exceeds the distributions from such taxable income for the calendar year.

The Subsidiary is classified as a controlled foreign corporation under Subchapter N of the Code. Therefore, the Fund is required to increase its taxable income by its share of the Subsidiary’s income, whether or not such earnings are distributed by the Subsidiary to the Fund. Net investment losses of the Subsidiary cannot be deducted by the Fund in the current period nor carried forward to offset taxable income in future periods.

The Fund is subject to accounting standards that establish a minimum threshold for recognizing, and a system for measuring, the benefits of a tax position taken or expected to be taken in a tax return. The taxable years ended 2020, 2021, 2022, and 2023 remain open to federal and state audit. As of June 30, 2024, management has evaluated the application of these standards to the Fund and has determined that no provision for income tax is required in the Fund’s consolidated financial statements for uncertain tax positions.

The Fund intends to utilize provisions of the federal income tax laws, which allow it to carry a realized capital loss forward indefinitely following the year of the loss and offset such loss against any future realized capital gains. The Fund is subject to certain limitations under U.S. tax rules on the use of capital loss carryforwards and net unrealized built-in losses. These limitations apply when there has been a 50% change in ownership. At December 31, 2023, for federal income tax purposes, the Fund had $3,934 of non-expiring capital loss carryforwards available, to the extent provided by regulations, to offset future capital gains. To the extent that these loss carryforwards are used to offset future capital gains, it is probable that the capital gains so offset will not be distributed to the Fund’s shareholders.

As of June 30, 2024, the aggregate cost, gross unrealized appreciation, gross unrealized depreciation, and net unrealized appreciation/(depreciation) (including short positions and derivatives, if any) for federal income tax purposes were as follows:

Tax Cost	Gross Unrealized Appreciation	Gross Unrealized (Depreciation)	Net Unrealized Appreciation (Depreciation)
$128,633,571	$2,532,778	$(887,336 )	$1,645,442

Page 11

Notes to Consolidated Financial Statements (Continued)

First Trust Managed Futures Strategy Fund (FMF)

June 30, 2024 (Unaudited)

G. Expenses

Expenses, other than the investment advisory fee and other excluded expenses, are paid by the Advisor (see Note 3).

3. Investment Advisory Fee, Affiliated Transactions and Other Fee Arrangements

First Trust, the investment advisor to the Fund, is a limited partnership with one limited partner, Grace Partners of DuPage L.P., and one general partner, The Charger Corporation. The Charger Corporation is an Illinois corporation controlled by James A. Bowen, Chief Executive Officer of First Trust. First Trust is responsible for the selection and ongoing monitoring of the Fund’s and the Subsidiary’s investment portfolios, managing the Fund’s business affairs and providing certain administrative services necessary for the management of the Fund.

Pursuant to the Investment Management Agreement between the Trust and the Advisor, First Trust manages the investment of the Fund’s assets and is responsible for the Fund’s and the Subsidiary’s expenses, including the cost of transfer agency, custody, fund administration, legal, audit, and other services, but excluding fee payments under the Investment Management Agreement, interest, taxes, brokerage commissions and other expenses connected with the execution of portfolio transactions, distribution and service fees payable pursuant to a Rule 12b-1 plan, if any, and extraordinary expenses. The annual unitary management fee payable by the Fund to First Trust for these services will be reduced at certain levels of the Fund’s net assets (“breakpoints”) and calculated pursuant to the following schedule:

Breakpoints
Fund net assets up to and including $2.5 billion	0.95000 %
Fund net assets greater than $2.5 billion up to and including $5 billion	0.92625 %
Fund net assets greater than $5 billion up to and including $7.5 billion	0.90250 %
Fund net assets greater than $7.5 billion up to and including $10 billion	0.87875 %
Fund net assets greater than $10 billion	0.85500 %

The Subsidiary does not pay First Trust a separate management fee.

Pursuant to a contractual agreement between First Trust and the Trust, on behalf of the Fund, the management fees paid to First Trust will be reduced by the proportional amount of the acquired fund fees and expenses of the shares of investment companies held by the Fund so that the Fund would not bear the indirect costs of holding them, provided that, the investment companies are advised by First Trust. This contractual agreement shall continue until the earlier of (i) its termination at the direction of the Trust’s Board of Trustees or (ii) upon the termination of the Investment Management Agreement; however, it is expected to remain in place at least until May 1, 2025.

The Trust has multiple service agreements with The Bank of New York Mellon (“BNY”). Under the service agreements, BNY performs custodial, fund accounting, certain administrative services, and transfer agency services for the Fund. As custodian, BNY is responsible for custody of the Fund’s assets. As fund accountant and administrator, BNY is responsible for maintaining the books and records of the Fund’s securities and cash. As transfer agent, BNY is responsible for maintaining shareholder records for the Fund. BNY is a subsidiary of The Bank of New York Mellon Corporation, a financial holding company.

Each Trustee who is not an officer or employee of First Trust, any sub-advisor or any of their affiliates (“Independent Trustees”) is paid a fixed annual retainer that is allocated equally among each fund in the First Trust Fund Complex. Each Independent Trustee is also paid an annual per fund fee that varies based on whether the fund is a closed-end or other actively managed fund, a target outcome fund or an index fund.

Additionally, the Chairs of the Audit Committee, Nominating and Governance Committee and Valuation Committee, the Vice Chair of the Audit Committee, the Lead Independent Trustee and the Vice Lead Independent Trustee are paid annual fees to serve in such capacities, with such compensation allocated pro rata among each fund in the First Trust Fund Complex based on net assets. Independent Trustees are reimbursed for travel and out-of-pocket expenses in connection with all meetings. The Committee Chairs, the Audit Committee Vice Chair, the Lead Independent Trustee and the Vice Lead Independent Trustee rotate periodically in serving in such capacities. The officers and “Interested” Trustee receive no compensation from the Trust for acting in such capacities.

Page 12

Notes to Consolidated Financial Statements (Continued)

First Trust Managed Futures Strategy Fund (FMF)

June 30, 2024 (Unaudited)

4. Purchases and Sales of Securities

The costs of purchases of U.S. Government securities and non-U.S. Government securities, excluding short-term investments, for the six months ended June 30, 2024, were $19,550,266 and $0, respectively. The proceeds from sales and paydowns of U.S. Government securities and non-U.S. Government securities, excluding short-term investments, for the six months ended June 30, 2024 were $0 and $0, respectively.

For the six months ended June 30, 2024, the Fund had no in-kind transactions.

5. Derivative Transactions

The following table presents the types of derivatives held by the Subsidiary at June 30, 2024, the primary underlying risk exposure and the location of these instruments as presented on the Consolidated Statement of Assets and Liabilities.

		Asset Derivatives		Liability Derivatives
Derivative Instrument	Risk Exposure	Consolidated Statement of Assets and Liabilities Location	Value	Consolidated Statement of Assets and Liabilities Location	Value
Futures contracts	Commodity Risk	Unrealized appreciation on futures contracts*	$1,984,914	Unrealized depreciation on futures contracts*	$377,926
Futures contracts	Currency Risk	Unrealized appreciation on futures contracts*	314,030	Unrealized depreciation on futures contracts*	39,729
Futures contracts	Equity Risk	Unrealized appreciation on futures contracts*	192,721	Unrealized depreciation on futures contracts*	76,465
Futures contracts	Interest Rate Risk	Unrealized appreciation on futures contracts*	41,112	Unrealized depreciation on futures contracts*	205,388

*	Includes cumulative appreciation/depreciation on futures contracts as reported in the Fund’s Consolidated Portfolio of Investments. Only the current day’s variation margin is presented on the Consolidated Statement of Assets and Liabilities.

The following table presents the amount of net realized gain (loss) and change in net unrealized appreciation (depreciation) recognized for the six months ended June 30, 2024, on derivative instruments, as well as the primary underlying risk exposure associated with the instruments.

Consolidated Statement of Operations Location
Commodity Risk Exposure
Net realized gain (loss) on futures contracts	$1,543,837
Net change in unrealized appreciation (depreciation) on futures contracts	1,757,085
Currency Risk Exposure
Net realized gain (loss) on futures contracts	399,985
Net change in unrealized appreciation (depreciation) on futures contracts	429,864
Equity Risk Exposure
Net realized gain (loss) on futures contracts	2,222,863
Net change in unrealized appreciation (depreciation) on futures contracts	211,031
Interest Rate Risk Exposure
Net realized gain (loss) on futures contracts	(82,132 )
Net change in unrealized appreciation (depreciation) on futures contracts	142,538

The average notional value of futures contracts outstanding during the six months ended June 30, 2024, which is indicative of the volume of this derivative type, was $16,461,634.

Page 13

Notes to Consolidated Financial Statements (Continued)

First Trust Managed Futures Strategy Fund (FMF)

June 30, 2024 (Unaudited)

The Fund does not have the right to offset financial assets and financial liabilities related to futures contracts on the Consolidated Statement of Assets and Liabilities.

6. Creations, Redemptions and Transaction Fees

The Fund generally issues and redeems its shares in primary market transactions through a creation and redemption mechanism and does not sell or redeem individual shares. Instead, financial entities known as “Authorized Participants” have contractual arrangements with the Fund or one of the Fund’s service providers to purchase and redeem Fund shares directly with the Fund in Creation Units. Prior to the start of trading on every business day, the Fund publishes through the National Securities Clearing Corporation the “basket” of securities, cash or other assets that it will accept in exchange for a Creation Unit of the Fund’s shares. An Authorized Participant that wishes to effectuate a creation of the Fund’s shares deposits with the Fund the “basket” of securities, cash or other assets identified by the Fund that day, and then receives the Creation Unit of the Fund’s shares in return for those assets. After purchasing a Creation Unit, the Authorized Participant may continue to hold the Fund’s shares or sell them in the secondary market. The redemption process is the reverse of the purchase process: the Authorized Participant redeems a Creation Unit of the Fund’s shares for a basket of securities, cash or other assets. The combination of the creation and redemption process with secondary market trading in the Fund’s shares and underlying securities provides arbitrage opportunities that are designed to help keep the market price of the Fund’s shares at or close to the NAV per share of the Fund.

The Fund imposes fees in connection with the purchase of Creation Units. These fees may vary based upon various fact-based circumstances, including, but not limited to, the composition of the securities included in the Creation Unit or the countries in which the transactions are settled. The price for each Creation Unit will equal the daily NAV per share of the Fund times the number of shares in a Creation Unit, plus the fees described above and, if applicable, any operational processing and brokerage costs, transfer fees, stamp taxes and part or all of the spread between the expected bid and offer side of the market related to the securities comprising the creation basket.

The Fund also imposes fees in connection with the redemption of Creation Units. These fees may vary based upon various fact-based circumstances, including, but not limited to, the composition of the securities included in the Creation Unit or the countries in which the transactions are settled. The price received for each Creation Unit will equal the daily NAV per share of the Fund times the number of shares in a Creation Unit, minus the fees described above and, if applicable, any operational processing and brokerage costs, transfer fees, stamp taxes and part or all of the spread between the expected bid and offer side of the market related to the securities comprising the redemption basket. Investors who use the services of a broker or other such intermediary in addition to an Authorized Participant to effect a redemption of a Creation Unit may also be assessed an amount to cover the cost of such services. The redemption fee charged by the Fund will comply with Rule 22c-2 of the 1940 Act which limits redemption fees to no more than 2% of the value of the shares redeemed.

7. Distribution Plan

The Board of Trustees adopted a Distribution and Service Plan pursuant to Rule 12b-1 under the 1940 Act. In accordance with the Rule 12b-1 plan, the Fund is authorized to pay an amount up to 0.25% of its average daily net assets each year to reimburse First Trust Portfolios L.P. (“FTP”), the distributor of the Fund, for amounts expended to finance activities primarily intended to result in the sale of Creation Units or the provision of investor services. FTP may also use this amount to compensate securities dealers or other persons that are Authorized Participants for providing distribution assistance, including broker-dealer and shareholder support and educational and promotional services.

No 12b-1 fees are currently paid by the Fund, and pursuant to a contractual arrangement, no 12b-1 fees will be paid any time before April 30, 2025.

8. Indemnification

The Trust, on behalf of the Fund, has a variety of indemnification obligations under contracts with its service providers. The Trust’s maximum exposure under these arrangements is unknown. However, the Trust has not had prior claims or losses pursuant to these contracts and expects the risk of loss to be remote.

9. Subsequent Events

Management has evaluated the impact of all subsequent events on the Fund through the date the consolidated financial statements were issued and has determined that there were no subsequent events requiring recognition or disclosure in the consolidated financial statements that have not already been disclosed.

Page 14

Other Information

First Trust Managed Futures Strategy Fund (FMF)

June 30, 2024 (Unaudited)

Changes in and Disagreements with Accountants (Item 8 of Form N-CSR)

There were no changes in or disagreements with the Fund’s accountants during the six months ended June 30, 2024.

Proxy Disclosures (Item 9 of Form N-CSR)

There were no matters submitted for vote by shareholders of the Fund during the six months ended June 30, 2024.

Remuneration Paid to Directors, Officers, and Others (Item 10 of Form N-CSR)

Independent Trustees and any member of any advisory board of the Fund are compensated through the unitary management fee paid by the Fund to the advisor and not directly by the Fund. The investment advisory fee paid is included in the Consolidated Statement of Operations.

Statement Regarding the Basis for the Board’s Approval of Investment Advisory Contract (Item 11 of Form N-CSR)

The Board of Trustees of First Trust Exchange-Traded Fund V (the “Trust”), including the Independent Trustees, unanimously approved the continuation of the Investment Management Agreement (the “Fund Agreement”) with First Trust Advisors L.P. (the “Advisor”) on behalf of the First Trust Managed Futures Strategy Fund (the “Fund”). The Board approved the continuation of the Fund Agreement for a one-year period ending June 30, 2025 at a meeting held on June 2–3, 2024. Because the Fund invests in commodity, equity, fixed income and currency futures contracts through a wholly-owned subsidiary of the Fund (the “Subsidiary”), the Board, including the Independent Trustees, also approved the continuation of an Investment Management Agreement (the “Subsidiary Agreement” and together with the Fund Agreement, the “Agreements”) with the Advisor for the Subsidiary, also for a one-year period. The Board determined that the continuation of the Agreements is in the best interests of the Fund in light of the nature, extent and quality of the services provided and such other matters as the Board considered to be relevant in the exercise of its business judgment.

To reach this determination, the Board considered its duties under the Investment Company Act of 1940, as amended (the “1940 Act”), as well as under the general principles of state law, in reviewing and approving advisory contracts; the requirements of the 1940 Act in such matters; the fiduciary duty of investment advisors with respect to advisory agreements and compensation; the standards used by courts in determining whether investment company boards have fulfilled their duties; and the factors to be considered by the Board in voting on such agreements. At meetings held on April 16, 2024, April 25, 2024 and June 2–3, 2024, the Board, including the Independent Trustees, reviewed materials provided by the Advisor responding to requests for information from counsel to the Independent Trustees, submitted on behalf of the Independent Trustees, that, among other things, outlined: the services provided by the Advisor to the Fund and the Subsidiary (including the relevant personnel responsible for these services and their experience); the unitary fee rate schedule payable by the Fund as compared to fees charged to a peer group of funds (the “Expense Group”) and a broad peer universe of funds (the “Expense Universe”), each assembled by Broadridge Financial Solutions, Inc. (“Broadridge”), an independent source, and as compared to fees charged to other clients of the Advisor, including other exchange-traded funds (“ETFs”) managed by the Advisor; the expense ratio of the Fund as compared to expense ratios of the funds in the Fund’s Expense Group and Expense Universe; performance information for the Fund, including comparisons of the Fund’s performance to that of one or more relevant benchmark indexes and to that of a performance group of funds and a broad performance universe of funds (the “Performance Universe”), each assembled by Broadridge; the nature of expenses incurred in providing services to the Fund and the potential for the Advisor to realize economies of scale, if any; profitability and other financial data for the Advisor; any indirect benefits to the Advisor and its affiliate, First Trust Portfolios L.P. (“FTP”); and information on the Advisor’s compliance program. The Board reviewed initial materials with the Advisor at the meeting held on April 25, 2024, prior to which the Independent Trustees and their counsel met separately to discuss the information provided by the Advisor. Following the April 25, 2024 meeting, counsel to the Independent Trustees, on behalf of the Independent Trustees, requested certain clarifications and supplements to the materials provided, and the information provided in response to those requests was considered at an executive session of the Independent Trustees and their counsel held prior to the June 2–3, 2024 meeting, as well as at the June meeting. The Board applied its business judgment to determine whether the arrangements between the Trust and the Advisor and between the Advisor and the Subsidiary continue to be reasonable business arrangements from the Fund’s perspective. The Board determined that, given the totality of the information provided with respect to the Agreements, the Board had received sufficient information to renew the Agreements. The Board considered that shareholders chose to invest or remain invested in the Fund knowing that the Advisor manages the Fund and knowing the Fund’s unitary fee.

In reviewing the Agreements, the Board considered the nature, extent and quality of the services provided by the Advisor under the Agreements. The Board considered that the Advisor is responsible for the overall management and administration of the Trust, the

Page 15

Other Information (Continued)

First Trust Managed Futures Strategy Fund (FMF)

June 30, 2024 (Unaudited)

Fund and the Subsidiary, and reviewed all of the services provided by the Advisor to the Fund and the Subsidiary, as well as the background and experience of the persons responsible for such services. The Board noted that the Fund is an actively-managed ETF and noted that the Advisor’s Alternatives Investment Team is responsible for the day-to-day management of the Fund’s and the Subsidiary’s investments. The Board considered the background and experience of the members of the Alternatives Investment Team and noted the Board’s prior meetings with members of the Team. The Board considered the Advisor’s statement that it applies the same oversight model internally with its Alternatives Investment Team as it uses for overseeing external sub-advisors, including portfolio risk monitoring and performance review. In reviewing the services provided, the Board noted the compliance program that had been developed by the Advisor and considered that it includes a robust program for monitoring the Advisor’s and the Fund’s compliance with the 1940 Act, as well as the Fund’s compliance with its investment objective, policies and restrictions. The Board also considered a report from the Advisor with respect to its risk management functions related to the operation of the Fund. Finally, as part of the Board’s consideration of the Advisor’s services, the Advisor, in its written materials and at the April 25, 2024 meeting, described to the Board the scope of its ongoing investment in additional personnel and infrastructure to maintain and improve the quality of services provided to the Fund and the other funds in the First Trust Fund Complex. In light of the information presented and the considerations made, the Board concluded that the nature, extent and quality of the services provided to the Trust, the Fund and the Subsidiary by the Advisor under the Agreements have been and are expected to remain satisfactory and that the Advisor has managed the Fund consistent with its investment objective, policies and restrictions.

The Board considered the unitary fee rate schedule payable by the Fund under the Fund Agreement for the services provided. The Board considered that as part of the unitary fee the Advisor is responsible for the Fund’s expenses, including the cost of transfer agency, custody, fund administration, legal, audit and other services and license fees, if any, but excluding the fee payment under the Fund Agreement and interest, taxes, brokerage commissions and other expenses connected with the execution of portfolio transactions, distribution and service fees pursuant to a Rule 12b-1 plan, if any, and extraordinary expenses, if any. The Board considered that, to the extent the Fund invests in underlying funds that are other funds in the First Trust Fund Complex, the Advisor has agreed to offset the unitary fee paid by the Fund related to the Fund’s assets invested in affiliated underlying funds. The Board noted that the Advisor receives no compensation under the Subsidiary Agreement and pays the expenses of the Subsidiary. The Board received and reviewed information showing the fee rates and expense ratios of the peer funds in the Expense Group, as well as advisory and unitary fee rates charged by the Advisor to other fund (including ETFs) and non-fund clients, as applicable. Because the Fund pays a unitary fee, the Board determined that expense ratios were the most relevant comparative data point. Based on the information provided, the Board noted that the total (net) expense ratio for the Fund was above the median total (net) expense ratio of the peer funds in the Expense Group. With respect to the Expense Group, the Board discussed with Broadridge its methodology for assembling peer groups and discussed with the Advisor limitations in creating peer groups for actively-managed ETFs, including the limited number of actively-managed ETFs following a managed futures strategy, and different business models that may affect the pricing of services among ETF sponsors. The Board took these limitations and differences into account in considering the peer data. With respect to fees charged to other non-ETF clients, the Board considered differences between the Fund and other non-ETF clients that limited their comparability. In considering the unitary fee rate schedule overall, the Board also considered the Advisor’s statement that it seeks to meet investor needs through innovative and value-added investment solutions and the Advisor’s demonstrated long-term commitment to the Fund and the other funds in the First Trust Fund Complex.

The Board considered performance information for the Fund. The Board noted the process it has established for monitoring the Fund’s performance and portfolio risk on an ongoing basis, which includes quarterly performance reporting from the Advisor for the Fund. The Board determined that this process continues to be effective for reviewing the Fund’s performance. The Board received and reviewed information comparing the Fund’s performance for periods ended December 31, 2023 to the performance of the funds in the Performance Universe and to that of a benchmark index. Based on the information provided, the Board noted that the Fund outperformed the Performance Universe median and the benchmark index for the one-year period ended December 31, 2023 and underperformed the Performance Universe median and the benchmark index for the three-, five- and ten-year periods ended December 31, 2023.

On the basis of all the information provided on the unitary fee and performance of the Fund and the ongoing oversight by the Board, the Board concluded that the unitary fee for the Fund continues to be reasonable and appropriate in light of the nature, extent and quality of the services provided by the Advisor to the Fund under the Agreements.

The Board considered information and discussed with the Advisor whether there were any economies of scale in connection with providing advisory services to the Fund at current asset levels and whether the Fund may benefit from any economies of scale. The Board noted that the unitary fee rate schedule for the Fund includes breakpoints pursuant to which the unitary fee rate will be reduced as assets of the Fund meet certain thresholds. The Board considered the Advisor’s statement that it believes that its expenses relating

Page 16

Other Information (Continued)

First Trust Managed Futures Strategy Fund (FMF)

June 30, 2024 (Unaudited)

to providing advisory services to the Fund will increase during the next twelve months as the Advisor continues to build infrastructure and add new staff. The Board also noted that under the unitary fee structure, any reduction in expenses associated with the management and operations of the Fund would benefit the Advisor, but that the unitary fee structure provides a level of certainty in expenses for shareholders of the Fund. The Board concluded that the unitary fee rate schedule for the Fund reflects an appropriate level of sharing of any economies of scale that may be realized in the management of the Fund at current asset levels. The Board considered the revenues and allocated costs (including the allocation methodology) of the Advisor in serving as investment advisor to the Fund for the twelve months ended December 31, 2023 and the estimated profitability level for the Fund calculated by the Advisor based on such data, as well as complex-wide and product-line profitability data, for the same period. The Board noted the inherent limitations in the profitability analysis and concluded that, based on the information provided, the Advisor’s profitability level for the Fund was not unreasonable. In addition, the Board considered indirect benefits described by the Advisor that may be realized from its relationship with the Fund. The Board considered that the Advisor had identified as an indirect benefit to the Advisor and FTP their exposure to investors and brokers who, absent their exposure to the Fund, may have had no dealings with the Advisor or FTP, and noted that the Advisor does not utilize soft dollars in connection with the Fund. The Board concluded that the character and amount of potential indirect benefits to the Advisor were not unreasonable.

Based on all of the information considered and the conclusions reached, the Board, including the Independent Trustees, unanimously determined that the terms of the Agreements continue to be fair and reasonable and that the continuation of the Agreements is in the best interests of the Fund. No single factor was determinative in the Board’s analysis.

Page 17

Fund	Costs of a $10,000 investment	Costs paid as a percentage of a $10,000 investment
First Trust Managed Futures Strategy Fund	$49	0.95%⁽¹⁾

Fund net assets	$138,557,945%
Total number of portfolio holdings	$71%
Portfolio turnover rate	$0%

U.S. Government Bonds and Notes	60.7%
Money Market Funds	32.0%
Net Other Assets and Liabilities⁽¹⁾	7.3%
Total	100.0%

By (Signature and Title)*		/s/ James M. Dykas
		James M. Dykas, President and Chief Executive Officer (principal executive officer)

By (Signature and Title)*		/s/ Derek D. Maltbie
		Derek D. Maltbie, Treasurer, Chief Financial Officer and Chief Accounting Officer (principal financial officer)