Home   Logon   Mobile Site   Research and Commentary   About Us   Call 1.800.621.1675 or Email Us       Follow Us: 

Search by Ticker, Keyword or CUSIP       

S&P Dividend Aristocrats Buy-Write, 8  Ticker: FEMFSX
A unit investment trust that seeks income, with capital appreciation as a secondary objective. The trust invests in a fixed portfolio of U.S. Treasury securities and common stocks which are selected from the S&P 500 Dividend Aristocrats Index. The common stocks will be subject to a Long-Term Equity AnticiPation Securities (LEAPS®) call option against each position.
Please note that there is no assurance the objective will be met.
Product Code: ARBW8
Portfolio Status: Secondary
Initial Offer Date: 10/16/2019
Secondary Date: 01/21/2020
Portfolio Ending Date: 01/20/2021
Tax Structure: Regulated Investment Company
Distributions: Monthly
Initial Offer Price: $10.0000
NAV(*): $9.9884
POP(*): $10.1251
Remaining Deferred Sales Charge: $0.0450
* As of Trade Date: 02/24/2020 4:00pm ET
The Public Offering Price (POP) represents the net asset value per unit plus any applicable organization costs and sales charges. The Net Asset Value (NAV) represents the value per unit of a trust’s portfolio securities and other assets reduced by applicable deferred sales charges and other liabilities.

 Historical 12-Month Distribution of Trust Holdings:^
Rate (as of 2/24/2020) Per Unit (as of 2/21/2020)
2.18% $0.22080
^There is no guarantee the issuers of the securities included in the trust will declare dividends or distributions in the future. The historical 12-month distribution per unit and historical 12-month distribution rate of the securities included in the trust are for illustrative purposes only and are not indicative of the trust's distribution or distribution rate. The historical 12-month distribution per unit is based on the weighted average of the trailing twelve month distributions paid by the securities included in the portfolio. The historical 12-month distribution rate is calculated by dividing the historical 12-month distributions by the trust's offering price. The historical 12-month distribution and rate are reduced to account for the effects of fees and expenses, which will be incurred when investing in a trust. For trusts that include funds, distributions may include realized short term capital gains, realized long-term capital gains and/or return of capital. PLEASE NOTE: For trusts that hold preferred securities, the historical distribution rate is calculated using only the holdings that have 12 months of distribution history. Any holdings without a 12 month history of dividends were excluded from the calculation. Certain of the issuers may have reduced their dividends or distributions over the prior twelve months. The distribution per unit and rate paid by the trust may be higher or lower than the amount shown above due to certain factors that may include, but are not limited to, a change in the dividends or distributions paid by issuers, actual expenses incurred, or the sale of securities in the portfolio.

 Holdings Analysis Click here to Perform a Benchmark Comparison  
 Sector Weighting
Communication Services  Communication Services 0.00%
Consumer Discretionary  Consumer Discretionary 16.01%
Consumer Staples  Consumer Staples 23.96%
Energy  Energy 3.69%
Financials  Financials 0.00%
Health Care  Health Care 17.97%
Industrials  Industrials 25.07%
Information Technology  Information Technology 3.64%
Materials  Materials 11.58%
Real Estate  Real Estate 0.00%
Utilities  Utilities 0.00%
Other  Other 0.00%
  Large Mid Small  
Growth  62.19% 8.94% 0.00%  
Value  27.18% 3.61% 0.00%  

 Style Weighting
Large-Cap Growth 62.19%
Large-Cap Value 27.18%
Mid-Cap Growth 8.94%
Mid-Cap Value 3.61%
Small-Cap Growth 0.00%
Small-Cap Value 0.00%
Undetermined 0.00%
U.S. Stocks 98.09%   Bonds/Cash or Cash Equivalents 2.47%
Non-U.S. Stocks 3.83%   Other -4.39%
The style and sector characteristics of the portfolio are determined as of 02/21/2020 and will likely vary thereafter due to market fluctuations in the underlying securities.  

 Holdings  Export Current Holdings | View Initial Holdings  
 AbbVie Inc. ABBV Health Care  Health Care Large-Cap Growth 5.15%
 Illinois Tool Works Inc. ITW Industrials  Industrials Large-Cap Growth 5.11%
 Cardinal Health, Inc. CAH Health Care  Health Care Mid-Cap Growth 4.85%
 The Clorox Company CLX Consumer Staples  Consumer Staples Large-Cap Growth 4.44%
 McDonald's Corporation MCD Consumer Discretionary  Consumer Discretionary Large-Cap Growth 4.40%
 The Procter & Gamble Company PG Consumer Staples  Consumer Staples Large-Cap Growth 4.29%
 Stanley Black & Decker, Inc. SWK Industrials  Industrials Large-Cap Value 4.26%
 Lowe's Companies, Inc. LOW Consumer Discretionary  Consumer Discretionary Large-Cap Growth 4.24%
 Abbott Laboratories ABT Health Care  Health Care Large-Cap Growth 4.14%
 United Technologies Corporation UTX Industrials  Industrials Large-Cap Value 4.09%
 W.W. Grainger, Inc. GWW Industrials  Industrials Mid-Cap Growth 4.09%
 PPG Industries, Inc. PPG Materials  Materials Large-Cap Growth 4.03%
 Walmart, Inc. WMT Consumer Staples  Consumer Staples Large-Cap Value 4.01%
 Target Corporation TGT Consumer Discretionary  Consumer Discretionary Large-Cap Growth 3.96%
 The Sherwin-Williams Company SHW Materials  Materials Large-Cap Growth 3.94%
 PepsiCo, Inc. PEP Consumer Staples  Consumer Staples Large-Cap Growth 3.93%
 Medtronic Plc MDT Health Care  Health Care Large-Cap Value 3.83%
 General Dynamics Corporation GD Industrials  Industrials Large-Cap Value 3.82%
 Kimberly-Clark Corporation KMB Consumer Staples  Consumer Staples Large-Cap Growth 3.81%
 Caterpillar Inc. CAT Industrials  Industrials Large-Cap Growth 3.70%
 Chevron Corporation CVX Energy  Energy Large-Cap Value 3.69%
 Automatic Data Processing, Inc. ADP Information Technology  Information Technology Large-Cap Growth 3.64%
 Nucor Corporation NUE Materials  Materials Mid-Cap Value 3.61%
 Walgreens Boots Alliance, Inc. WBA Consumer Staples  Consumer Staples Large-Cap Value 3.48%
 V.F. Corporation VFC Consumer Discretionary  Consumer Discretionary Large-Cap Growth 3.41%
 2021-01-15 Chevron Corporation C 140        -0.01%
 2021-01-15 Walmart, Inc. C 145        -0.03%
 2021-01-15 McDonald's Corporation C 250        -0.05%
 2021-01-15 V.F. Corporation C 110        -0.05%
 2021-01-15 Nucor Corporation C 62.50        -0.05%
 2021-01-15 Walgreens Boots Alliance, Inc. C 65        -0.06%
 2021-01-15 PPG Industries, Inc. C 140        -0.08%
 2021-01-15 PepsiCo, Inc. C 160        -0.08%
 2021-01-15 Medtronic Plc C 130        -0.08%
 2021-01-15 General Dynamics Corporation C 210        -0.09%
 2021-01-15 Kimberly-Clark Corporation C 160        -0.10%
 2021-01-15 The Procter & Gamble Company C 140        -0.11%
 2021-01-15 The Sherwin-Williams Company C 660        -0.13%
 2021-01-15 Automatic Data Processing, Inc. C 195        -0.13%
 2021-01-15 Abbott Laboratories C 97.50        -0.13%
 2021-01-15 The Clorox Company C 180        -0.15%
 2021-01-15 Caterpillar Inc. C 155        -0.16%
 2021-01-15 W.W. Grainger, Inc. C 350        -0.19%
 2021-01-15 Target Corporation C 135        -0.19%
 2021-01-15 United Technologies Corporation C 160        -0.20%
 2021-01-15 Stanley Black & Decker, Inc. C 175        -0.27%
 2021-01-15 Lowe's Companies, Inc. C 130        -0.33%
 2021-01-15 Illinois Tool Works Inc. C 180        -0.56%
 2021-01-15 AbbVie Inc. C 90        -0.57%
 2021-01-15 Cardinal Health, Inc. C 57.50        -0.59%
 Name of Issuer and Title of Treasury Obligation
 U.S. Treasury Note, 2.875%, due 10/31/2020
 Name of Issuer and Title of Treasury Obligation
 U.S. Treasury Note, 2.375%, due 04/30/2020
 Name of Issuer and Title of Treasury Obligation
 U.S. Treasury Note, 2.625%, due 07/31/2020
Total Number of Holdings:    53
Underlying Securities information represented above is as of 02/21/2020 but will vary with future fluctuations in the market.

 Deferred Sales Charge Schedule
Amount Date
$0.04500 January 17, 2020
$0.04500 February 20, 2020
$0.04500 March 20, 2020

Risk Considerations

Equity Risk. An investment in a portfolio containing common stocks is subject to certain risks, 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.

Sector Concentration Risk. A portfolio which is concentrated in an individual sector is subject to additional risks, including limited diversification.

Consumer Products Risk. The companies engaged in the consumer products sector 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.

Foreign Securities Risk. An investment in securities of foreign issuers should be made with an understanding of the additional risks involved, such as currency fluctuations, political risk, withholding, the lack of adequate financial information, and exchange control restrictions impacting foreign issuers.

LEAPS Risk. The value of the LEAPS is deducted from the value of the portfolio assets when determining the value of a unit. As the value of the LEAPS increases, it has a more negative impact on the value of the units. The value of the LEAPS will also be affected by changes in the value and dividend rates of the underlying stocks, an increase in interest rates, a change in the actual and perceived volatility of the stock market and the stocks and the remaining time to expiration. Additionally, the value of the LEAPS does not increase or decrease at the same rate as the underlying stock. However, as the LEAPS approach their expiration date, their value increasingly moves with the price of the stock.

Options Risk. Options are subject to various risks including that their value may be adversely affected if the market for the option becomes less liquid or smaller. In addition, options will be affected by changes in the value and dividend rates of the stock subject to the option, an increase in interest rates, a change in the actual and perceived volatility of the stock market and the common stock and the remaining time to expiration.

Small-Cap and Mid-Cap Risk. 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.

Term Risk - 19 months. Although this portfolio terminates in approximately 19 months, the strategy is long-term. Investors should consider their ability to pursue investing in successive portfolios, if available. There may be tax consequences unless units are purchased in an IRA or other qualified plan.

US Treasury Note Risk. The value of U.S. Treasury notes will be adversely affected by decreases in bond prices and increases in interest rates.

Volatility Risk. 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.

Operational Risk. As the use of Internet technology has become more prevalent in the course of business, the trust has become more susceptible to potential operational risks through breaches in cybersecurity.

The style and capitalization characteristics used to describe the stocks are designed to help you understand how they fit into your overall investment plan. Due to changes in the value of the stocks the characteristics may vary over time. In general, growth stocks have high relative price-to-book ratios while value stocks have low relative price-to-book ratios. In determining market capitalization characteristics, we analyze the market capitalizations of the 3,000 largest stocks in the U.S. (excluding foreign securities, ADRs, limited partnerships and regulated investment companies) on a monthly basis. Companies with market capitalizations among the largest 10% are considered Large-Cap securities, the next 20% are considered Mid-Cap securities and the remaining securities are considered Small-Cap securities.

You should carefully consider the trust's investment objectives, risks, and charges and expenses 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 trust. Read it carefully before you invest.

This product information does not constitute an offer to sell, or a solicitation of an offer to buy securities in any state to any person to whom it is not lawful to make such an offer. Sales of any of these securities must include prospectus delivery and the services of a retail broker/dealer duly licensed in the appropriate states.

Not FDIC Insured, Not Bank Guaranteed and May Lose Value.

Fund Cusip Information
30311V367 (Cash)
30311V375 (Cash-Fee)
Printer Friendly Page Printer Friendly Page

The information presented is not intended to constitute an investment recommendation for, or advice to, any specific person. By providing this information, First Trust is not undertaking to give advice in any fiduciary capacity within the meaning of ERISA, the Internal Revenue Code or any other regulatory framework. Financial advisors are responsible for evaluating investment risks independently and for exercising independent judgment in determining whether investments are appropriate for their clients.
First Trust Portfolios L.P.  Member SIPC and FINRA.
First Trust Advisors L.P.
Home |  Important Legal Information |  Privacy Policy |  Business Continuity Plan |  FINRA BrokerCheck
Copyright © 2020 All rights reserved.