| Defined, Focused & Disciplined |
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| First Trust® portfolios offer many features found in other packaged products but with two major differences – a
defined portfolio and a defined horizon. |
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| Defined Portfolio |
| Unlike actively managed funds that continually buy and sell securities, thereby changing their investment mix, the
stocks held in First Trust® portfolios remain fixed. Except in certain limited circumstances, securities will not be sold
and new securities will not be added to the portfolios. |
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| Defined Horizon |
| First Trust® portfolios have a stated termination date.When the portfolio terminates you can: |
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- Receive the cash value of the units.
- Invest the proceeds into another First Trust® portfolio at a reduced sales charge.
- Certain portfolios offer an in-kind distribution option. If you own the required minimum number of units, this
option allows you to receive shares of the underlying securities held in the portfolio.
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Individual
Securities
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Mutual Funds |
First Trust® Portfolios |
| Fully invested |
Yes |
Possible |
Yes |
| Known portfolio |
Yes |
Possible |
Yes |
| Daily liquidity |
Yes |
Yes |
Yes1 |
| Convenience |
Yes |
Yes |
Yes |
| Professional selection |
Possible |
Yes |
Yes |
| Reinvestment options |
Possible2 |
Yes |
Yes |
| Managed portfolio |
N/A |
Yes |
N/A |
| Supervised portfolio |
N/A |
Yes |
Yes |
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1 Units may be redeemed on any business day at the current market value (less any remaining deferred sales charge) which may be more or less than
the original purchase price.
2 Only available for companies with dividend reinvestment plans. |
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