Brookmont Equity Dividend Portfolio, Series 27
Brookmont Capital Management (“Brookmont”) is an employee-owned registered investment advisor whose investment strategy is based on a portfolio of individual equities that provide attractive
current yields, potential dividend growth, and the opportunity for capital appreciation. They execute a top-down approach, beginning with a solid understanding of current economic and market
cycles, and use their macroeconomic outlook in determining their asset allocation models, sector weightings, and seek to identify attractive areas of the market.
The Brookmont Equity Dividend Portfolio is a unit investment trust which invests in common stocks with above-average dividend yields and the potential for long-term capital gains. Not limited to a
certain “style”, Brookmont selects stocks they believe offer attractive valuations with below-market risk profiles.
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 40% of the
10.30% average annual total return on the S&P 500 Index from 1926 through 2020. Of course,
past performance is no guarantee of future results.
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 carefully consider the portfolio investment objective, risks,
and charges and expenses before investing. Contact your financial professional 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.
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
One of the securities held by the trust is issued by a real estate investment trust (REIT). Companies involved
in the real estate industry are subject to changes in the real estate market, vacancy rates and competition,
volatile interest rates and economic recession.
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.
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.
Large capitalization companies may grow at a slower rate than the overall market.
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 COVID-19 global pandemic has resulted in major disruptions to economies and markets around the world. Financial markets have experienced extreme volatility and severe losses, negatively impacting global economic
growth prospects. The duration of the COVID-19 outbreak and its effects cannot be determined with certainty and may exacerbate other political, social and economic risks.
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.
Although this portfolio terminates in
approximately 15 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.