W. Scott Jardine, Esq.
First Trust Portfolios L.P.
120 East Liberty Drive, Suite 400
Wheaton, IL 60187
(Name and address of agent for service)
Form N-CSR is to be used by management investment
companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required
to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use
the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information
specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection
of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”)
control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing
the burden to Secretary, Securities and Exchange Commission, 100 F Street, NE, Washington, DC 20549. The OMB has reviewed this collection
of information under the clearance requirements of 44 U.S.C. § 3507.
Item 1. Reports to Stockholders.
Not applicable.
Not applicable.
Not applicable.
Not applicable.
Not applicable.
Not applicable.
There have been no material changes to the procedures
by which the shareholders may recommend nominees to the registrant’s board of directors, where those changes were implemented after
the registrant last provided disclosure in response to the requirements of Item 407(c)(2)(iv) of Regulation S-K (17 CFR 229.407) (as required
by Item 22(b)(15) of Schedule 14A (17 CFR 240.14a-101)), or this Item.
Pursuant to the requirements of the Securities Exchange
Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.
Pursuant
to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed
below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
I, James M. Dykas, certify that:
I, Derek D. Maltbie, certify that:
I, James M. Dykas, Chairman of the Board, President
and Chief Executive Officer of First Trust Enhanced Equity Income Fund (the “Registrant”), certify that:
I, Derek D. Maltbie, Treasurer, Chief Financial Officer
and Chief Accounting Officer of First Trust Enhanced Equity Income Fund (the “Registrant”), certify that:
The closed-end fund listed above (the "Fund") has declared a distribution
payable on March 28, 2024, to shareholders of record as of March 25, 2024, with an ex-dividend date of March 22, 2024. This Notice is
meant to provide you information about the sources of your Fund's distributions. You should not draw any conclusions about the Fund's
investment performance from the amount of its distribution or from the terms of its Managed Distribution Plan.
The following tables set forth the estimated amounts of the current distribution
and the cumulative distributions paid this fiscal year to date for the Fund from the following sources: net investment income ("NII");
net realized short-term capital gains ("STCG"); net realized long-term capital gains ("LTCG"); and return of capital
("ROC"). These estimates are based upon information projected through March 31, 2024, are calculated based on a generally accepted
accounting principles ("GAAP") basis and include the prior fiscal year-end undistributed net investment income. The amounts
and sources of distributions are expressed per common share.
The amounts and sources of distributions reported in this Notice are only
estimates and are not being provided for tax reporting purposes. The actual amounts and sources of the amounts for tax reporting purposes
will depend upon the Fund's investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations.
The Fund will send you a Form 1099-DIV for the calendar year that will tell you how to report these distributions for federal income tax
purposes. You should not use this Notice as a substitute for your Form 1099-DIV.
First Trust Advisors L.P. Contact:
The closed-end fund listed above (the "Fund") has declared a distribution
payable on June 28, 2024, to shareholders of record as of June 21, 2024, with an ex-dividend date of June 21, 2024. This Notice is meant
to provide you information about the sources of your Fund's distributions. You should not draw any conclusions about the Fund's investment
performance from the amount of its distribution or from the terms of its Managed Distribution Plan.
The following tables set forth the estimated amounts of the current distribution
and the cumulative distributions paid this fiscal year to date for the Fund from the following sources: net investment income ("NII");
net realized short-term capital gains ("STCG"); net realized long-term capital gains ("LTCG"); and return of capital
("ROC"). These estimates are based upon information projected through June 30, 2024, are calculated based on a generally accepted
accounting principles ("GAAP") basis and include the prior fiscal year-end undistributed net investment income. The amounts
and sources of distributions are expressed per common share.
The amounts and sources of distributions reported in this Notice are only
estimates and are not being provided for tax reporting purposes. The actual amounts and sources of the amounts for tax reporting purposes
will depend upon the Fund's investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations.
The Fund will send you a Form 1099-DIV for the calendar year that will tell you how to report these distributions for federal income tax
purposes. You should not use this Notice as a substitute for your Form 1099-DIV.
First Trust Advisors L.P. Contact:
N-2
|
6 Months Ended |
|
Jun. 30, 2024
$ / shares
shares
|
|---|
| Prospectus [Line Items] |
|
| Document Period End Date |
Jun. 30, 2024
|
| Cover [Abstract] |
|
| Entity Central Index Key |
0001291334
|
| Amendment Flag |
false
|
| Entity Inv Company Type |
N-2
|
| Document Type |
N-CSRS
|
| Entity Registrant Name |
First Trust Enhanced Equity Income Fund
|
| General Description of Registrant [Abstract] |
|
| Investment Objectives and Practices [Text Block] |
The Fund’s investment objective is to provide a high level of current income and gains and, to a lesser extent, capital appreciation. The Fund pursues its investment objective by investing in a diversified portfolio of equity
securities. Under normal market conditions, the Fund pursues an integrated investment strategy in which the Fund invests substantially
all of its Managed Assets in a diversified portfolio of common stocks of U.S. corporations and U.S. dollar-denominated equity
securities of non-U.S. issuers, in each case that are traded on U.S. securities exchanges. In addition, on an ongoing and consistent
basis, the Fund writes (sells) covered call options on a portion of the Fund’s Managed Assets. “Managed Assets” means the total asset value of the Fund minus the sum of the Fund’s liabilities, including the value of call options written (sold). There can be no assurance
that the Fund will achieve its investment objective. The Fund may not be appropriate for all investors.
|
| Risk Factors [Table Text Block] |
Principal Risks
The following discussion summarizes certain (but not all) of the principal risks associated
with investing in the Fund. The Fund is subject to the informational requirements of the Securities Exchange Act of 1934 and
the 1940 Act and, in accordance therewith, files reports, proxy statements and other information that is available for review. The
order of the below risk factors does not indicate the significance of any particular risk factor.
Current Market Conditions Risk. Current market conditions risk is the risk that a particular investment, or shares
of the Fund in general, may fall in value due to current market conditions. As a means to fight inflation,
which remains at elevated levels, the Federal Reserve and certain foreign central banks have raised interest rates and expect to
continue to do so, and the Federal Reserve has announced that it intends to reverse previously implemented quantitative easing. U.S.
regulators have proposed several changes to market and issuer regulations which would directly impact the Fund, and any regulatory changes could adversely impact the Fund’s ability to achieve its investment strategies or make certain investments. Recent and
potential future bank failures could result in disruption to the broader banking industry or markets generally and reduce confidence
in financial institutions and the economy as a whole, which may also heighten market volatility and reduce liquidity. The ongoing
adversarial political climate in the United States, as well as political and diplomatic events both domestic and abroad, have and may
continue to have an adverse impact the U.S. regulatory landscape, markets and investor behavior, which could have a negative impact on the Fund’s investments and operations. Other unexpected political, regulatory and diplomatic events within the U.S. and abroad
may affect investor and consumer confidence and may adversely impact financial markets and the broader economy. For example, ongoing
armed conflicts between Russia and Ukraine in Europe and among Israel, Hamas and other militant groups in the Middle
East, have caused and could continue to cause significant market disruptions and volatility within the markets in Russia, Europe,
the Middle East and the United States. The hostilities and sanctions resulting from those hostilities have and could continue
to have a significant impact on certain Fund investments as well as Fund performance and liquidity. The economies of the United
States and its trading partners, as well as the financial markets generally, may be adversely impacted by trade disputes and other
matters. For example, the United States has imposed trade barriers and restrictions on China. In addition, the Chinese government
is engaged in a longstanding dispute with Taiwan, continually threatening an invasion. If the political climate between the
United States and China does not improve or continues to deteriorate, if China were to attempt invading Taiwan, or if other geopolitical
conflicts develop or worsen, economies, markets and individual securities may be adversely affected, and the value of the Fund’s assets may go down. The COVID-19 global pandemic, or any future public health crisis, and the ensuing policies enacted by
governments and central banks have caused and may continue to cause significant volatility and uncertainty in global financial markets,
negatively impacting global growth prospects. While vaccines have been developed, there is no guarantee that vaccines will be effective
against emerging future variants of the disease. As this global pandemic illustrated, such events may affect certain geographic
regions, countries, sectors and industries more significantly than others. Advancements in technology may also adversely impact markets
and the overall performance of the Fund. For instance, the economy may be significantly impacted by the advanced development
and increased regulation of artificial intelligence. These events, and any other future events, may adversely affect the prices and liquidity of the Fund’s portfolio investments and could result in disruptions in the trading markets.
Cyber Security Risk. The Fund is susceptible to potential operational risks through breaches in cyber
security. A breach in cyber security refers to both intentional and unintentional events that may cause the Fund
to lose proprietary information, suffer data corruption or lose operational capacity. Such events could cause the Fund to incur
regulatory penalties, reputational damage, additional compliance costs associated with corrective measures and/or financial loss.
Cyber security breaches may involve unauthorized access to the Fund’s digital information systems through “hacking” or malicious software coding, but may also result from outside attacks such as denial-of-service attacks through efforts to make network
services unavailable to intended users. In addition, cyber security breaches of the Fund’s third-party service providers, such as its administrator, transfer agent, custodian, or
sub-advisor, as applicable, or issuers in which the Fund invests, can also subject
the Fund to many of the same risks associated with direct cyber security breaches. The Fund has established risk management systems designed
to reduce the risks associated with cyber security. However, there is no guarantee that such efforts will succeed, especially
because the Fund does not directly control the cyber security systems of issuers or third party service providers. Substantial costs may
be incurred by the Fund in order to resolve or prevent cyber incidents in the future.
Depositary Receipts Risk. Depositary receipts represent equity interests in a foreign company that trade on
a local stock exchange. Depositary receipts may be less liquid than the underlying shares in their primary
trading market. Any distributions paid to the holders of depositary receipts are usually subject to a fee charged by the depositary. Holders
of depositary receipts may have limited voting rights, and investment restrictions in certain countries may adversely impact the
value of depositary receipts because such restrictions may limit the ability to convert the equity shares into depositary receipts and vice
versa. Such restrictions may cause the equity shares of the underlying issuer to trade at a discount or premium to the market price of
the depositary receipts.
Equity Securities Risk. The value of the Fund’s shares will fluctuate with changes in the value of the equity securities in which the Fund invests. Equity securities prices fluctuate for several reasons, including changes in investors’ perceptions of the financial condition of an issuer or the general condition of the relevant stock market or when
political or economic events affecting the issuers or their industries occur. An adverse event affecting an issuer, such as an unfavorable
earnings report, may depress the value of a particular equity security held by the Fund. Also, the prices of equity securities
are sensitive to general movements in the stock market and a drop in the stock market may depress the prices of equity securities to which
the Fund has exposure. Common stock prices may be particularly sensitive to rising interest rates, as the cost of capital rises and
borrowing costs increase. Equity securities may decline significantly in price over short or extended periods of time, and such declines may
occur in the equity market as a whole, or they may occur in only a particular country, company, industry or sector of the market.
Europe Risk. The Fund is subject to certain risks associated specifically with investments in
securities of European issuers, in addition to the risks associated with investments in non-U.S. securities generally.
Political or economic disruptions in European countries, even in countries in which the Fund is not invested, may adversely affect security values and thus the Fund’s holdings. A significant number of countries in Europe are member states in the European Union (“EU”), and the member states no longer control their own monetary policies by directing independent interest rates for their currencies.
In these member states, the authority to direct monetary policies, including money supply and official interest rates for the Euro,
is exercised by the European Central Bank. In a 2016 referendum, the United Kingdom elected to withdraw from the EU (“Brexit”). After years of negotiations between the United Kingdom and the EU, a withdrawal agreement was reached whereby the United Kingdom
formally left the EU. As the second largest economy among EU members, the implications of the United Kingdom’s withdrawal are difficult to gauge and cannot be fully known. Trade between the United Kingdom and the EU is highly integrated through supply chains
and trade in services, as well as through multinational companies. The United Kingdom’s departure may negatively impact the EU and Europe as a whole by causing volatility within the EU, triggering prolonged economic downturns in certain European countries
or sparking additional member states to contemplate departing the EU (thereby perpetuating political instability in the region).
Income Risk. Net investment income paid by the Fund to its common shareholders is derived from
the premiums it receives from writing (selling) call options and from the dividends and interest it receives from
the equity securities and other investments held in the Fund’s portfolio and short-term gains thereon. Premiums from writing (selling) call options and dividends and interest payments made by the securities in the Fund’s portfolio can vary widely over time. Dividends on equity securities are not fixed but are declared at the discretion of an issuer’s board of directors. There is no guarantee that the issuers of the equity securities in which the Fund invests will declare dividends in the future or that if declared they will remain at current levels.
The Fund cannot assure as to what percentage of the distributions paid on the common shares, if any, will consist of qualified dividend
income or long-term capital gains, both of which are taxed at lower rates for individuals than are ordinary income and short-term capital
gains.
Industry and Sector Risk. The Fund may not invest 25% or more of its total assets in securities of issuers
in any single industry. If the Fund is focused in an industry, it may present more risks than if it were broadly
diversified over numerous industries of the economy. Individual industries may be subject to unique risks which may include,
among others, governmental regulation, inflation, technological innovations that may render existing products and equipment obsolete,
competition from new entrants, high research and development costs, and rising interest rates.
The Fund may invest 25% or more of its total assets in securities of issuers in a
single sector. Currently, the Fund makes significant investments in equity securities of companies in the information technology sector.
Information technology companies produce and provide hardware, software and information technology systems and services. Information
technology companies are generally subject to the following risks: rapidly changing technologies and existing product
obsolescence; short product life cycles; fierce competition; aggressive pricing and reduced profit margins; the loss of patent, copyright
and trademark protections; cyclical market patterns; evolving industry standards; and frequent new product introductions and
new market entrants. Information technology companies may be smaller and less experienced companies, with limited product lines,
markets or financial resources and fewer
experienced management or marketing personnel. Information technology company stocks,
particularly those involved with the internet, have experienced extreme price and volume fluctuations that are often unrelated
to their operating performance. In addition, information technology companies are particularly vulnerable to federal, state and
local government regulation, and competition and consolidation, both domestically and internationally, including competition from foreign
competitors with lower production costs. Information technology companies also face competition for services of qualified personnel
and heavily rely on patents and intellectual property rights and the ability to enforce such rights to maintain a
competitive advantage.
Inflation Risk. Inflation risk is the risk that the value of assets or income from investments will
be worth less in the future as inflation decreases the value of money. As inflation increases, the present value of the Fund’s assets and distributions may decline. Inflation rates may change frequently and drastically as a result of various factors, including
unexpected shifts in the domestic or global economy, and the Fund’s investments may not keep pace with inflation, which may result in losses to Fund investors.
Investment Risk. An investment in the Fund’s Common Shares is subject to investment risk, including the possible loss of the entire principal invested. An investment in Common Shares represents an indirect investment
in the securities owned by the Fund. The value of these securities, like other market investments, may move up or down, sometimes
rapidly and unpredictably. Common Shares at any point in time may be worth less than the original investment, even after taking into
account the reinvestment of Fund dividends and distributions. When the Advisor or Sub-Advisor determines that it is temporarily unable to follow the Fund’s investment strategy or that it is impractical to do so (such as when a market disruption event has occurred
and trading in the securities is extremely limited or absent), the Fund may take temporary defensive positions.
Management Risk and Reliance on Key Personnel. In managing the Fund’s investment portfolio, the Fund’s portfolio managers will apply investment techniques and risk analyses that may not produce the desired result. Additionally, the implementation of the Fund’s investment strategy depends upon the continued contributions of certain key employees
of the Advisor and Sub-Advisor, some of whom have unique talents and experience and would be difficult to replace. The loss
or interruption of the services of a key member of the portfolio management team could have a negative impact on the Fund.
Market Discount from Net Asset Value. Shares of closed-end investment companies such as the Fund frequently trade at a discount
from their net asset value. The Fund cannot predict whether its common shares will
trade at, below or above net asset value.
Market Risk. Investments held by the Fund, as well as shares of the Fund itself, are subject to
market fluctuations caused by real or perceived adverse economic conditions, political events, regulatory factors or market
developments, changes in interest rates and perceived trends in securities prices. Shares of the Fund could decline in value or
underperform other investments as a result of the risk of loss associated with these market fluctuations. In addition, local, regional or
global events such as war, acts of terrorism, market manipulation, government defaults, government shutdowns, regulatory actions, political
changes, diplomatic developments, the imposition of sanctions and other similar measures, spread of infectious diseases
or other public health issues, recessions, or other events could have a significant negative impact on the Fund and its investments. Any
of such circumstances could have a materially negative impact on the value of the Fund’s shares, the liquidity of an investment, and may result in increased market volatility. During any such events, the Fund’s shares may trade at increased premiums or discounts to their net asset value, the bid/ask spread on the Fund’s shares may widen and the returns on investment may fluctuate.
Non-U.S. Securities Risk. Investing in securities of non-U.S. issuers may involve certain risks not typically
associated with investing in securities of U.S. issuers. These risks include: (i) there may be less publicly
available information about non-U.S. issuers or markets due to less rigorous disclosure or accounting standards or regulatory practices; (ii)
non-U.S. markets may be smaller, less liquid and more volatile than the U.S. market; (iii) the economies of non-U.S. countries may
grow at slower rates than expected or may experience a downturn or recession; (iv) the impact of economic, political, social
or diplomatic events as well as of foreign governmental laws or restrictions and differing legal standards; (v) certain non-U.S.
countries may impose restrictions on the ability of non-U.S. issuers to make payments of principal and interest to investors located in
the United States due to blockage of non-U.S. currency exchanges or otherwise; and (vi) withholding and other non-U.S. taxes may decrease the Fund’s return. Foreign companies are generally not subject to the same accounting, auditing and financial reporting
standards as are U.S. companies. In addition, there may be difficulty in obtaining or enforcing a court judgment abroad, including in
the event the issuer of a non-U.S. security defaults or enters bankruptcy, administration or other proceedings. These risks may be more pronounced
to the extent that the Fund invests a significant amount of its assets in companies located in one region.
Operational Risk. The Fund is subject to risks arising from various operational factors, including,
but not limited to, human error, processing and communication errors, errors of the Fund’s service providers, counterparties or other third-parties, failed or inadequate processes and technology or systems failures. The Fund relies on third parties for
a range of services, including custody. Any delay or failure relating to engaging or maintaining such service providers may affect the Fund’s ability to meet its investment objective. Although the Fund and the Advisor seek to reduce these operational risks through controls
and procedures, there is no way to completely protect against such risks.
Options Risk. The use of options involves investment strategies and risks different from those
associated with ordinary portfolio securities transactions. The Fund may write (sell) covered call options on all or a portion of the equity securities held in the Fund’s portfolio as determined to be appropriate by the Fund’s Sub-Advisor, consistent with the Fund’s investment objective. The prices of options are volatile and are influenced by, among other things, actual and anticipated
changes in the value of the underlying instrument, or in interest or currency exchange rates, including anticipated volatility,
which in turn are affected by fiscal and monetary policies and by national and international political and economic events. In addition,
there may at times be an imperfect correlation between the movement in values of options and their underlying securities and there
may at times not be a liquid secondary market for certain options. The ability to successfully implement the Fund’s investment strategy depends on the Sub-Advisor’s ability to predict pertinent market movements, which cannot be assured. Thus, the use of options may
require the Fund to sell portfolio securities at inopportune times or for prices other than current market values, may limit the amount
of appreciation the Fund can realize on an investment, or may cause the Fund to hold an equity security that it might otherwise
sell. There can be no assurance that a liquid market for the options will exist when the Fund seeks to close out an option position.
Additionally, to the extent that the Fund purchases options pursuant to a hedging strategy, the Fund will be subject to additional
risks.
Potential Conflicts of Interest Risk. First Trust, Chartwell and the portfolio managers have interests which may conflict
with the interests of the Fund. In particular, First Trust and Chartwell currently manage
and may in the future manage and/or advise other investment funds or accounts with the same or substantially similar investment objectives
and strategies as the Fund.
REIT Risk. Real estate investment trusts (“REITs”) typically own and operate income-producing real estate, such as residential or commercial buildings, or real-estate related assets, including mortgages. As a result,
investments in REITs are subject to the risks associated with investing in real estate, which may include, but are not limited to:
fluctuations in the value of underlying properties; defaults by borrowers or tenants; market saturation; changes in general and local
operating expenses; and other economic, political or regulatory occurrences affecting companies in the real estate sector. Additionally,
REITs may have limited diversification due to investment in a limited number of properties or a particular market segment and are
subject to the risks associated with obtaining financing for real property. REITs are also subject to the risk that the real estate
market may experience an economic downturn generally, which may have a material effect on the real estate in which the REITs
invest and their underlying portfolio securities. REITs may also have a relatively small market capitalization which may result in their
shares experiencing less market liquidity and greater price volatility than larger companies. Increases in interest rates typically lower the present value of a REIT’s future earnings stream, and may make financing property purchases and improvements more costly. Because
the market price of REIT stocks may change based upon investors’ collective perceptions of future earnings, the value of the Fund will generally decline when investors anticipate or experience rising interest rates. Additionally, certain REITs charge
management fees, which may result in layering of management fees paid by the Fund.
Small- and/or Mid-Capitalization Companies Risk. Small and/or mid-capitalization companies may be more vulnerable to adverse general market or economic developments, and their securities may be less liquid and
may experience greater price volatility than larger, more established companies as a result of several factors, including limited
trading volumes, fewer products or financial resources, management inexperience and less publicly available information. Accordingly,
such companies are generally subject to greater market risk than larger, more established companies.
|
| Share Price |
$ 19.92
|
| NAV Per Share |
$ 20.41
|
| Latest Premium (Discount) to NAV [Percent] |
(2.40%)
|
| Capital Stock, Long-Term Debt, and Other Securities [Abstract] |
|
| Outstanding Security, Title [Text Block] |
Common Shares outstanding (unlimited number of Common Shares has been authorized)
|
| Outstanding Security, Held [Shares] | shares |
19,988,085
|
| Current Market Conditions Risk [Member] |
|
| General Description of Registrant [Abstract] |
|
| Risk [Text Block] |
Current Market Conditions Risk. Current market conditions risk is the risk that a particular investment, or shares
of the Fund in general, may fall in value due to current market conditions. As a means to fight inflation,
which remains at elevated levels, the Federal Reserve and certain foreign central banks have raised interest rates and expect to
continue to do so, and the Federal Reserve has announced that it intends to reverse previously implemented quantitative easing. U.S.
regulators have proposed several changes to market and issuer regulations which would directly impact the Fund, and any regulatory changes could adversely impact the Fund’s ability to achieve its investment strategies or make certain investments. Recent and
potential future bank failures could result in disruption to the broader banking industry or markets generally and reduce confidence
in financial institutions and the economy as a whole, which may also heighten market volatility and reduce liquidity. The ongoing
adversarial political climate in the United States, as well as political and diplomatic events both domestic and abroad, have and may
continue to have an adverse impact the U.S. regulatory landscape, markets and investor behavior, which could have a negative impact on the Fund’s investments and operations. Other unexpected political, regulatory and diplomatic events within the U.S. and abroad
may affect investor and consumer confidence and may adversely impact financial markets and the broader economy. For example, ongoing
armed conflicts between Russia and Ukraine in Europe and among Israel, Hamas and other militant groups in the Middle
East, have caused and could continue to cause significant market disruptions and volatility within the markets in Russia, Europe,
the Middle East and the United States. The hostilities and sanctions resulting from those hostilities have and could continue
to have a significant impact on certain Fund investments as well as Fund performance and liquidity. The economies of the United
States and its trading partners, as well as the financial markets generally, may be adversely impacted by trade disputes and other
matters. For example, the United States has imposed trade barriers and restrictions on China. In addition, the Chinese government
is engaged in a longstanding dispute with Taiwan, continually threatening an invasion. If the political climate between the
United States and China does not improve or continues to deteriorate, if China were to attempt invading Taiwan, or if other geopolitical
conflicts develop or worsen, economies, markets and individual securities may be adversely affected, and the value of the Fund’s assets may go down. The COVID-19 global pandemic, or any future public health crisis, and the ensuing policies enacted by
governments and central banks have caused and may continue to cause significant volatility and uncertainty in global financial markets,
negatively impacting global growth prospects. While vaccines have been developed, there is no guarantee that vaccines will be effective
against emerging future variants of the disease. As this global pandemic illustrated, such events may affect certain geographic
regions, countries, sectors and industries more significantly than others. Advancements in technology may also adversely impact markets
and the overall performance of the Fund. For instance, the economy may be significantly impacted by the advanced development
and increased regulation of artificial intelligence. These events, and any other future events, may adversely affect the prices and liquidity of the Fund’s portfolio investments and could result in disruptions in the trading markets.
|
| Cyber Security Risk [Member] |
|
| General Description of Registrant [Abstract] |
|
| Risk [Text Block] |
Cyber Security Risk. The Fund is susceptible to potential operational risks through breaches in cyber
security. A breach in cyber security refers to both intentional and unintentional events that may cause the Fund
to lose proprietary information, suffer data corruption or lose operational capacity. Such events could cause the Fund to incur
regulatory penalties, reputational damage, additional compliance costs associated with corrective measures and/or financial loss.
Cyber security breaches may involve unauthorized access to the Fund’s digital information systems through “hacking” or malicious software coding, but may also result from outside attacks such as denial-of-service attacks through efforts to make network
services unavailable to intended users. In addition, cyber security breaches of the Fund’s third-party service providers, such as its administrator, transfer agent, custodian, or
sub-advisor, as applicable, or issuers in which the Fund invests, can also subject
the Fund to many of the same risks associated with direct cyber security breaches. The Fund has established risk management systems designed
to reduce the risks associated with cyber security. However, there is no guarantee that such efforts will succeed, especially
because the Fund does not directly control the cyber security systems of issuers or third party service providers. Substantial costs may
be incurred by the Fund in order to resolve or prevent cyber incidents in the future.
|
| Depositary Receipts Risk [Member] |
|
| General Description of Registrant [Abstract] |
|
| Risk [Text Block] |
Depositary Receipts Risk. Depositary receipts represent equity interests in a foreign company that trade on
a local stock exchange. Depositary receipts may be less liquid than the underlying shares in their primary
trading market. Any distributions paid to the holders of depositary receipts are usually subject to a fee charged by the depositary. Holders
of depositary receipts may have limited voting rights, and investment restrictions in certain countries may adversely impact the
value of depositary receipts because such restrictions may limit the ability to convert the equity shares into depositary receipts and vice
versa. Such restrictions may cause the equity shares of the underlying issuer to trade at a discount or premium to the market price of
the depositary receipts.
|
| Equity Securities Risk [Member] |
|
| General Description of Registrant [Abstract] |
|
| Risk [Text Block] |
Equity Securities Risk. The value of the Fund’s shares will fluctuate with changes in the value of the equity securities in which the Fund invests. Equity securities prices fluctuate for several reasons, including changes in investors’ perceptions of the financial condition of an issuer or the general condition of the relevant stock market or when
political or economic events affecting the issuers or their industries occur. An adverse event affecting an issuer, such as an unfavorable
earnings report, may depress the value of a particular equity security held by the Fund. Also, the prices of equity securities
are sensitive to general movements in the stock market and a drop in the stock market may depress the prices of equity securities to which
the Fund has exposure. Common stock prices may be particularly sensitive to rising interest rates, as the cost of capital rises and
borrowing costs increase. Equity securities may decline significantly in price over short or extended periods of time, and such declines may
occur in the equity market as a whole, or they may occur in only a particular country, company, industry or sector of the market.
|
| Europe Risk [Member] |
|
| General Description of Registrant [Abstract] |
|
| Risk [Text Block] |
Europe Risk. The Fund is subject to certain risks associated specifically with investments in
securities of European issuers, in addition to the risks associated with investments in non-U.S. securities generally.
Political or economic disruptions in European countries, even in countries in which the Fund is not invested, may adversely affect security values and thus the Fund’s holdings. A significant number of countries in Europe are member states in the European Union (“EU”), and the member states no longer control their own monetary policies by directing independent interest rates for their currencies.
In these member states, the authority to direct monetary policies, including money supply and official interest rates for the Euro,
is exercised by the European Central Bank. In a 2016 referendum, the United Kingdom elected to withdraw from the EU (“Brexit”). After years of negotiations between the United Kingdom and the EU, a withdrawal agreement was reached whereby the United Kingdom
formally left the EU. As the second largest economy among EU members, the implications of the United Kingdom’s withdrawal are difficult to gauge and cannot be fully known. Trade between the United Kingdom and the EU is highly integrated through supply chains
and trade in services, as well as through multinational companies. The United Kingdom’s departure may negatively impact the EU and Europe as a whole by causing volatility within the EU, triggering prolonged economic downturns in certain European countries
or sparking additional member states to contemplate departing the EU (thereby perpetuating political instability in the region).
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| Income Risk [Member] |
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| General Description of Registrant [Abstract] |
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| Risk [Text Block] |
Income Risk. Net investment income paid by the Fund to its common shareholders is derived from
the premiums it receives from writing (selling) call options and from the dividends and interest it receives from
the equity securities and other investments held in the Fund’s portfolio and short-term gains thereon. Premiums from writing (selling) call options and dividends and interest payments made by the securities in the Fund’s portfolio can vary widely over time. Dividends on equity securities are not fixed but are declared at the discretion of an issuer’s board of directors. There is no guarantee that the issuers of the equity securities in which the Fund invests will declare dividends in the future or that if declared they will remain at current levels.
The Fund cannot assure as to what percentage of the distributions paid on the common shares, if any, will consist of qualified dividend
income or long-term capital gains, both of which are taxed at lower rates for individuals than are ordinary income and short-term capital
gains.
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| Industry And Sector Risk [Member] |
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| General Description of Registrant [Abstract] |
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| Risk [Text Block] |
Industry and Sector Risk. The Fund may not invest 25% or more of its total assets in securities of issuers
in any single industry. If the Fund is focused in an industry, it may present more risks than if it were broadly
diversified over numerous industries of the economy. Individual industries may be subject to unique risks which may include,
among others, governmental regulation, inflation, technological innovations that may render existing products and equipment obsolete,
competition from new entrants, high research and development costs, and rising interest rates.
The Fund may invest 25% or more of its total assets in securities of issuers in a
single sector. Currently, the Fund makes significant investments in equity securities of companies in the information technology sector.
Information technology companies produce and provide hardware, software and information technology systems and services. Information
technology companies are generally subject to the following risks: rapidly changing technologies and existing product
obsolescence; short product life cycles; fierce competition; aggressive pricing and reduced profit margins; the loss of patent, copyright
and trademark protections; cyclical market patterns; evolving industry standards; and frequent new product introductions and
new market entrants. Information technology companies may be smaller and less experienced companies, with limited product lines,
markets or financial resources and fewer
experienced management or marketing personnel. Information technology company stocks,
particularly those involved with the internet, have experienced extreme price and volume fluctuations that are often unrelated
to their operating performance. In addition, information technology companies are particularly vulnerable to federal, state and
local government regulation, and competition and consolidation, both domestically and internationally, including competition from foreign
competitors with lower production costs. Information technology companies also face competition for services of qualified personnel
and heavily rely on patents and intellectual property rights and the ability to enforce such rights to maintain a
competitive advantage.
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| Inflation Risk [Member] |
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| General Description of Registrant [Abstract] |
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| Risk [Text Block] |
Inflation Risk. Inflation risk is the risk that the value of assets or income from investments will
be worth less in the future as inflation decreases the value of money. As inflation increases, the present value of the Fund’s assets and distributions may decline. Inflation rates may change frequently and drastically as a result of various factors, including
unexpected shifts in the domestic or global economy, and the Fund’s investments may not keep pace with inflation, which may result in losses to Fund investors.
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| Investment Risk [Member] |
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| General Description of Registrant [Abstract] |
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| Risk [Text Block] |
Investment Risk. An investment in the Fund’s Common Shares is subject to investment risk, including the possible loss of the entire principal invested. An investment in Common Shares represents an indirect investment
in the securities owned by the Fund. The value of these securities, like other market investments, may move up or down, sometimes
rapidly and unpredictably. Common Shares at any point in time may be worth less than the original investment, even after taking into
account the reinvestment of Fund dividends and distributions. When the Advisor or Sub-Advisor determines that it is temporarily unable to follow the Fund’s investment strategy or that it is impractical to do so (such as when a market disruption event has occurred
and trading in the securities is extremely limited or absent), the Fund may take temporary defensive positions.
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| Management Risk And Reliance On Key Personnel [Member] |
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| General Description of Registrant [Abstract] |
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| Risk [Text Block] |
Management Risk and Reliance on Key Personnel. In managing the Fund’s investment portfolio, the Fund’s portfolio managers will apply investment techniques and risk analyses that may not produce the desired result. Additionally, the implementation of the Fund’s investment strategy depends upon the continued contributions of certain key employees
of the Advisor and Sub-Advisor, some of whom have unique talents and experience and would be difficult to replace. The loss
or interruption of the services of a key member of the portfolio management team could have a negative impact on the Fund.
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| Market Discount From Net Asset Value [Member] |
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| General Description of Registrant [Abstract] |
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| Risk [Text Block] |
Market Discount from Net Asset Value. Shares of closed-end investment companies such as the Fund frequently trade at a discount
from their net asset value. The Fund cannot predict whether its common shares will
trade at, below or above net asset value.
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| Market Risk [Member] |
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| General Description of Registrant [Abstract] |
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| Risk [Text Block] |
Market Risk. Investments held by the Fund, as well as shares of the Fund itself, are subject to
market fluctuations caused by real or perceived adverse economic conditions, political events, regulatory factors or market
developments, changes in interest rates and perceived trends in securities prices. Shares of the Fund could decline in value or
underperform other investments as a result of the risk of loss associated with these market fluctuations. In addition, local, regional or
global events such as war, acts of terrorism, market manipulation, government defaults, government shutdowns, regulatory actions, political
changes, diplomatic developments, the imposition of sanctions and other similar measures, spread of infectious diseases
or other public health issues, recessions, or other events could have a significant negative impact on the Fund and its investments. Any
of such circumstances could have a materially negative impact on the value of the Fund’s shares, the liquidity of an investment, and may result in increased market volatility. During any such events, the Fund’s shares may trade at increased premiums or discounts to their net asset value, the bid/ask spread on the Fund’s shares may widen and the returns on investment may fluctuate.
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| Non U S Securities Risk [Member] |
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| General Description of Registrant [Abstract] |
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| Risk [Text Block] |
Non-U.S. Securities Risk. Investing in securities of non-U.S. issuers may involve certain risks not typically
associated with investing in securities of U.S. issuers. These risks include: (i) there may be less publicly
available information about non-U.S. issuers or markets due to less rigorous disclosure or accounting standards or regulatory practices; (ii)
non-U.S. markets may be smaller, less liquid and more volatile than the U.S. market; (iii) the economies of non-U.S. countries may
grow at slower rates than expected or may experience a downturn or recession; (iv) the impact of economic, political, social
or diplomatic events as well as of foreign governmental laws or restrictions and differing legal standards; (v) certain non-U.S.
countries may impose restrictions on the ability of non-U.S. issuers to make payments of principal and interest to investors located in
the United States due to blockage of non-U.S. currency exchanges or otherwise; and (vi) withholding and other non-U.S. taxes may decrease the Fund’s return. Foreign companies are generally not subject to the same accounting, auditing and financial reporting
standards as are U.S. companies. In addition, there may be difficulty in obtaining or enforcing a court judgment abroad, including in
the event the issuer of a non-U.S. security defaults or enters bankruptcy, administration or other proceedings. These risks may be more pronounced
to the extent that the Fund invests a significant amount of its assets in companies located in one region.
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| Operational Risk [Member] |
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| General Description of Registrant [Abstract] |
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| Risk [Text Block] |
Operational Risk. The Fund is subject to risks arising from various operational factors, including,
but not limited to, human error, processing and communication errors, errors of the Fund’s service providers, counterparties or other third-parties, failed or inadequate processes and technology or systems failures. The Fund relies on third parties for
a range of services, including custody. Any delay or failure relating to engaging or maintaining such service providers may affect the Fund’s ability to meet its investment objective. Although the Fund and the Advisor seek to reduce these operational risks through controls
and procedures, there is no way to completely protect against such risks.
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| Options Risk [Member] |
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| General Description of Registrant [Abstract] |
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| Risk [Text Block] |
Options Risk. The use of options involves investment strategies and risks different from those
associated with ordinary portfolio securities transactions. The Fund may write (sell) covered call options on all or a portion of the equity securities held in the Fund’s portfolio as determined to be appropriate by the Fund’s Sub-Advisor, consistent with the Fund’s investment objective. The prices of options are volatile and are influenced by, among other things, actual and anticipated
changes in the value of the underlying instrument, or in interest or currency exchange rates, including anticipated volatility,
which in turn are affected by fiscal and monetary policies and by national and international political and economic events. In addition,
there may at times be an imperfect correlation between the movement in values of options and their underlying securities and there
may at times not be a liquid secondary market for certain options. The ability to successfully implement the Fund’s investment strategy depends on the Sub-Advisor’s ability to predict pertinent market movements, which cannot be assured. Thus, the use of options may
require the Fund to sell portfolio securities at inopportune times or for prices other than current market values, may limit the amount
of appreciation the Fund can realize on an investment, or may cause the Fund to hold an equity security that it might otherwise
sell. There can be no assurance that a liquid market for the options will exist when the Fund seeks to close out an option position.
Additionally, to the extent that the Fund purchases options pursuant to a hedging strategy, the Fund will be subject to additional
risks.
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| Potential Conflicts Of Interest Risk [Member] |
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| General Description of Registrant [Abstract] |
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| Risk [Text Block] |
Potential Conflicts of Interest Risk. First Trust, Chartwell and the portfolio managers have interests which may conflict
with the interests of the Fund. In particular, First Trust and Chartwell currently manage
and may in the future manage and/or advise other investment funds or accounts with the same or substantially similar investment objectives
and strategies as the Fund.
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| R E I T Risk [Member] |
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| General Description of Registrant [Abstract] |
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| Risk [Text Block] |
REIT Risk. Real estate investment trusts (“REITs”) typically own and operate income-producing real estate, such as residential or commercial buildings, or real-estate related assets, including mortgages. As a result,
investments in REITs are subject to the risks associated with investing in real estate, which may include, but are not limited to:
fluctuations in the value of underlying properties; defaults by borrowers or tenants; market saturation; changes in general and local
operating expenses; and other economic, political or regulatory occurrences affecting companies in the real estate sector. Additionally,
REITs may have limited diversification due to investment in a limited number of properties or a particular market segment and are
subject to the risks associated with obtaining financing for real property. REITs are also subject to the risk that the real estate
market may experience an economic downturn generally, which may have a material effect on the real estate in which the REITs
invest and their underlying portfolio securities. REITs may also have a relatively small market capitalization which may result in their
shares experiencing less market liquidity and greater price volatility than larger companies. Increases in interest rates typically lower the present value of a REIT’s future earnings stream, and may make financing property purchases and improvements more costly. Because
the market price of REIT stocks may change based upon investors’ collective perceptions of future earnings, the value of the Fund will generally decline when investors anticipate or experience rising interest rates. Additionally, certain REITs charge
management fees, which may result in layering of management fees paid by the Fund.
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| Small And Or Mid Capitalization Companies Risk [Member] |
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| General Description of Registrant [Abstract] |
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| Risk [Text Block] |
Small- and/or Mid-Capitalization Companies Risk. Small and/or mid-capitalization companies may be more vulnerable to adverse general market or economic developments, and their securities may be less liquid and
may experience greater price volatility than larger, more established companies as a result of several factors, including limited
trading volumes, fewer products or financial resources, management inexperience and less publicly available information. Accordingly,
such companies are generally subject to greater market risk than larger, more established companies.
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