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Diversified Income & Growth Portfolio, Summer 2017 Series

Regardless of the market environment, we believe dividends should be considered an important ingredient in an investor's overall investment plan. One way to seek to accomplish this goal is to buy a portfolio of companies with the potential to pass on a portion of their earnings to investors in the form of regular dividend increases.

The Importance Of Dividends

A company's ability to consistently pay - and increase - dividends is an important sign of that company's financial strength. Therefore, we believe investors who are seeking dividends through their investments should look for well-managed and financially sound companies with the potential to deliver solid returns. Companies that choose to reward stockholders with greater dividends (and many companies don't) can give investors the potential to increase capital and produce attractive total returns over time. Of course, past performance is no guarantee of future results.

In the opinion of Wells Fargo Advisors ("WFA"), this strategy of investing may allow for the accumulation of wealth over several years, while also seeking to provide capital preservation.

Dividends have had a significant impact on stock performance, and have provided approximately 42% of the 10.04% average annual total return on the S&P 500 Index, from January 1926 through December 2016.*

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Diversified Stock Income Plan

Since the inception of the DSIP List in 1993, 95% of the companies on the list have raised their annual dividends (as of December 31, 2011).

The Diversified Stock Income Plan (DSIP) was created to capitalize on a rising dividend strategy. The DSIP List is compiled based on analysis conducted by WFA to select stocks with attractive current yields, and WFA's view of the likelihood of the companies to consistently raise their annual dividends. To create the Diversified Income & Growth Portfolio, the WFA analysts choose stocks from the DSIP List following the process below.

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Portfolio Objectives

PROVIDE AN ATTRACTIVE STREAM OF INCOME | A portfolio of stocks believed to have the potential to regularly raise dividends offers investors the potential for a growing income stream. Because companies are selected for this portfolio based on their potential to not only pay dividends, but also their ability to increase them, this strategy can provide a natural inflation hedge. Rising dividends have also demonstrated an ability to cushion the fall of stock prices, especially in a rising interest rate environment.

REDUCE VOLATILIT Y AND MODIFY RISK | The Diversified Income & Growth Portfolio helps counteract volatility through diversification. The portfolio includes companies across all market capitalizations and from various sectors of the economy. Any stock inevitably is subject to general price fluctuation, but diversification can help smooth out overall portfolio returns. In addition, dividend payments may enhance the investment's total return. However, diversification does not guarantee a profit or protect against a loss.

Not FDIC Insured • Not Bank Guaranteed • May Lose Value

You should carefully consider the portfolio's investment objectives, risks, charges and expenses before investing. Contact your Financial Consultant or call First Trust Portfolios at 1.800.621.1675 to request a prospectus, which contains this and other information about this portfolio. Read it carefully before you invest. There is no assurance the objectives of this portfolio will be achieved.

Risk Considerations:

An investment in this unmanaged unit investment trust should be made with an understanding of the risks involved with owning common stocks. The value of the securities held by the portfolio may be subject to declines or increased volatility due to changes in performance or perception of the issuers.

There may be tax consequences unless units are purchased in an IRA or other qualified plan. There are fees and sales charges associated with this investment. There is no assurance the objectives of this portfolio will be achieved.

The portfolio may contain securities of foreign issuers, which are subject to additional risks, including currency fluctuations, political risks, withholding, the lack of adequate financial information, and exchange control restrictions impacting foreign issuers.

While the life of this portfolio is 5 years, this strategy offers the best potential when participants invest over many years, so investors should consider their ability to pursue investing in successive portfolios, if available.

While Wells Fargo Advisors has carefully evaluated and approved the securities in this portfolio, it may choose for any reason not to recommend any or all of the securities for another purpose or at a later date. This may affect the value of your units.

Wells Fargo Advisors is the trade name used by Wells Fargo Clearing Services, LLC and Wells Fargo Advisors Financial Network, LLC, members SIPC, separate registered broker-dealers and non-bank affiliates of Wells Fargo & Company.

 
The information in the prospectus is not complete and may be changed. We may not sell these securities until the registration statement filed with the Securities and Exchange Commission is effective. The prospectus is not an offer to sell these securities and is not soliciting an offer to buy these securities in any state where the offer or sale is not permitted
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