Launched on 04/19/2011, the First Trust Small Cap Growth AlphaDEX ETF (FYC) is a passively managed exchange traded fund designed to provide a broad exposure to the Small Cap Growth segment of the US equity market.The fund is sponsored by First Trust Advisors. It has amassed assets over $206.82 million, making it one of the average sized ETFs attempting to match the Small Cap Growth segment of the US equity market.Why Small Cap GrowthWith more potential comes more risk, and small cap companies, with market capitalization below $2 billion, epitomizes this way of thinking.Growth stocks have higher than average sales and earnings growth rates. While these are expected to grow faster than the broader market, they also have higher valuations. Further, growth stocks have a higher level of volatility associated with them. When you consider growth versus value, growth stocks are usually the clear winner in strong bull markets but tend to fall flat in nearly all other environments.CostsCost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive counterparts if all other fundamentals are the same.Annual operating expenses for this ETF are 0.70%, making it one of the most expensive products in the space.It has a 12-month trailing dividend yield of 0.27%.Sector Exposure and Top HoldingsETFs offer a 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.This ETF has heaviest allocation to the Information Technology sector--about 22.50% of the portfolio. Healthcare and Consumer Discretionary round out the top three.Looking at individual holdings, Endurance International Group Holdings, Inc. (EIGI) accounts for about 0.95% of total assets, followed by Calix, Inc. (CALX) and Sleep Number Corporation (SNBR).The top 10 holdings account for about 8.19% of total assets under management.Performance and RiskFYC seeks to match the performance of the Nasdaq AlphaDEX Small Cap Growth Index before fees and expenses. The NASDAQ AlphaDEX Small Cap Growth Index is an enhanced which employs the AlphaDEX stock selection methodology to select stocks from the NASDAQ US 700 Small Cap Growth Index.The ETF return is roughly 23.12% so far this year and it's up approximately 26.17% in the last one year (as of 12/07/2020). In the past 52-week period, it has traded between $27.59 and $57.45.The ETF has a beta of 1.32 and standard deviation of 28.92% for the trailing three-year period, making it a high risk choice in the space. With about 263 holdings, it effectively diversifies company-specific risk.AlternativesFirst Trust Small Cap Growth AlphaDEX ETF carries a Zacks ETF Rank of 3 (Hold), which is based on expected asset class return, expense ratio, and momentum, among other factors. Thus, FYC is a good option for those seeking exposure to the Style Box - Small Cap Growth area of the market. Investors might also want to consider some other ETF options in the space.The iShares Russell 2000 Growth ETF (IWO) and the Vanguard SmallCap Growth ETF (VBK) track a similar index. While iShares Russell 2000 Growth ETF has $11.14 billion in assets, Vanguard SmallCap Growth ETF has $13.29 billion. IWO has an expense ratio of 0.24% and VBK charges 0.07%.Bottom-LineAn increasingly popular option among retail and institutional investors, passively managed ETFs offer low costs, transparency, flexibility, and tax efficiency; they are also excellent vehicles for long term investors.To 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.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 Small Cap Growth AlphaDEX ETF (FYC): ETF Research Reports Calix, Inc (CALX): Free Stock Analysis Report Endurance International Group Holdings, Inc. (EIGI): Free Stock Analysis Report iShares Russell 2000 Growth ETF (IWO): ETF Research Reports Vanguard SmallCap Growth ETF (VBK): ETF Research Reports Sleep Number Corporation (SNBR): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research