Launched on 05/08/2007, the First Trust IndustrialsProducer Durables AlphaDEX ETF (FXR) is a smart beta exchange traded fund offering broad exposure to the Industrials ETFs category of the market.What Are Smart Beta ETFs?The ETF industry has long been dominated by products based on market cap weighted indexes, a strategy created to reflect the market or a particular market segment.Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way.On the other hand, some investors who believe that it is possible to beat the market by superior stock selection opt to invest in another class of funds that track non-cap weighted strategies--popularly known as smart beta.Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance.The smart beta space gives investors many different choices, from equal-weighting, one of the simplest strategies, to more complicated ones like fundamental and volatility/momentum based weighting. However, not all of these methodologies have been able to deliver remarkable returns.Fund Sponsor & IndexFXR is managed by First Trust Advisors, and this fund has amassed over $1.58 billion, which makes it one of the larger ETFs in the Industrials ETFs. This particular fund, before fees and expenses, seeks to match the performance of the StrataQuant Industrials Index.The StrataQuant Industrials Index is a modified equal-dollar weighted index designed by the AMEX to objectively identify and select stocks from the Russell 1000 Index that may generate positive alpha relative to traditional passive style indices through the use of the AlphaDEX screening methodology.Cost & Other ExpensesInvestors should also pay attention to an ETF's expense ratio. Lower cost products will produce better results than those with a higher cost, assuming all other metrics remain the same.Operating expenses on an annual basis are 0.61% for FXR, making it one of the more expensive products in the space.It's 12-month trailing dividend yield comes in at 0.82%.Sector Exposure and Top HoldingsETFs offer diversified exposure and thus minimize single stock risk, but it is still important to delve into a fund's holdings before investing. Most ETFs are very transparent products and many disclose their holdings on a daily basis.For FXR, it has heaviest allocation in the Industrials sector --about 72% of the portfolio --while Materials and Information Technology round out the top three.Looking at individual holdings, Wesco International, Inc. (WCC) accounts for about 1.48% of total assets, followed by Brunswick Corporation (BC) and Carlisle Companies Incorporated (CSL).Its top 10 holdings account for approximately 14.01% of FXR's total assets under management.Performance and RiskThe ETF has lost about -13.10% and is down about -13.59% so far this year and in the past one year (as of 11/25/2022), respectively. FXR has traded between $45.72 and $62.92 during this last 52-week period.FXR has a beta of 1.23 and standard deviation of 29.25% for the trailing three-year period, which makes the fund a medium risk choice in the space. With about 131 holdings, it effectively diversifies company-specific risk.AlternativesFirst Trust IndustrialsProducer Durables AlphaDEX ETF is a reasonable option for investors seeking to outperform the Industrials ETFs segment of the market. However, there are other ETFs in the space which investors could consider.Vanguard Industrials ETF (VIS) tracks MSCI US Investable Market Industrials 25/50 Index and the Industrial Select Sector SPDR ETF (XLI) tracks Industrial Select Sector Index. Vanguard Industrials ETF has $3.67 billion in assets, Industrial Select Sector SPDR ETF has $14.33 billion. VIS has an expense ratio of 0.10% and XLI charges 0.10%.Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Industrials ETFs.Bottom LineTo learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center. Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time. This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.Free: See Our Top Stock and 4 Runners Up >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report First Trust IndustrialsProducer Durables AlphaDEX ETF (FXR): ETF Research Reports WESCO International, Inc. (WCC): Free Stock Analysis Report Carlisle Companies Incorporated (CSL): Free Stock Analysis Report Brunswick Corporation (BC): Free Stock Analysis Report Vanguard Industrials ETF (VIS): ETF Research Reports Industrial Select Sector SPDR ETF (XLI): ETF Research ReportsTo read this article on Zacks.com click here.Zacks Investment Research