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Deep Value Dividend Portfolio, Series 15

The Deep Value Dividend Portfolio invests in 25 companies that have low estimated current year price-to-earnings (P/E) ratios in addition to above-average dividend yields. We believe these companies may offer long-term investors an opportunity for capital appreciation and dividend income.

The Importance of P/E Ratios

The P/E ratio is considered the most common measure of a stock's value. Stocks that have high P/E ratios tend to be considered a higher risk investment than those with low P/E ratios, since a high P/E ratio often signifies high earnings growth expectations. The current environment has led to certain companies being undervalued, in our opinion. We believe there is opportunity in the U.S. stock market with the combination of attractive valuations, rising earnings and ultra-low interest rates, which may benefit equities.

The Importance of Dividends

Dividends have historically been one of the few constants in the world of investing, and they have had a significant impact on stock performance, contributing nearly half of the stock market's total return. According to Ibbotson Associates, dividends have provided approximately 42% of the 10.04% average annual total return on the S&P 500 Index from 1926 through 2016. Of course, past performance is no guarantee of future results.

The S&P 500 Index is an unmanaged index of 500 stocks used to measure large-cap U.S. stock market performance. The index cannot be purchased directly by investors.

Portfolio Selection Process

Through our selection process we seek to find the stocks that we believe have the best prospects for above-average total return.

Identify the Universe
We begin with the companies listed in the S&P 1500 Index.

Screen the Universe
We then evaluate the companies in the universe based on marketcapitalization, the ratio of each stock's current price to its estimated current year earnings and also its dividend payout ratio. These screens are designed to identify stocks with a low P/E ratio and the ability to sustain its dividend yield.

Select the Portfolio
The final step is to select the 25 highest dividend-yielding stocks for the portfolio subject to a maximum of approximately 30% in a single sector. The stocks are approximately equally weighted within the portfolio.

Portfolio Objective

This unit investment trust seeks above-average total return through a combination of capital appreciation and dividend income; however, there is no assurance the objective will be met.

Not FDIC Insured • Not Bank Guaranteed • May Lose Value

You should consider the portfolio's investment objective, risks, and charges and expenses carefully before investing.Contact your financial advisor or call First Trust Portfolios, L.P. at 1.800.621.1675 to request a prospectus, which contains this and other information about the portfolio. Read it carefully before you invest.

Risk Considerations:

An investment in this unmanaged unit investment trust should be made with an understanding of the risks involved with owning common stocks, such as an economic recession and the possible deterioration of either the financial condition of the issuers of the equity securities or the general condition of the stock market.

An investment in a portfolio containing small-cap and mid-cap companies is subject to additional risks, as the share prices of small-cap companies and certain mid-cap companies are often more volatile than those of larger companies due to several factors, including limited trading volumes, products, financial resources, management inexperience and less publicly available information.

You should be aware that the portfolio is concentrated in stocks in the consumer products sector which involves additional risks, including limited diversification. The companies engaged in the consumer products industry are subject to global competition, changing government regulations and trade policies, currency fluctuations, and the financial and political risks inherent in producing products for foreign markets.

An investment in a portfolio containing equity securities of foreign issuers is subject to additional risks, including currency fluctuations, political risks, withholding, the lack of adequate financial information, and exchange control restrictions impacting foreign issuers.

This UIT is a buy and hold strategy and investors should consider their ability to hold the trust until maturity. There may be tax consequences unless units are purchased in an IRA or other qualified plan.

The value of the securities held by the trust may be subject to steep declines or increased volatility due to changes in performance or perception of the issuers.

 
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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