E-Commerce Opportunity, Series 23
The E-Commerce Opportunity Portfolio seeks to capitalize
on the continued growth in e-commerce. The portfolio
invests in companies that market their goods and services
online and in the technology companies that create the
tools to make it possible. By conducting business online,
companies are not only removing domestic geographical
boundaries, but global boundaries as well.
- Worldwide retail e-commerce sales reached approximately $5.21 trillion in 2021 and are estimated to have reached $5.72 trillion in 2022. By 2026, sales are anticipated to reach $8.15 trillion.1
- U.S. online sales rose 18.3% year-over-year to $960.1 billion in 2021. Preliminary third quarter 2022 sales are estimated to have reached approximately $266 billion.2 Sales for 2022 are expected to
have surpassed the $1 trillion mark for the first time ever. Insider Intelligence estimated that online sales would reach $1.05 trillion for 2022.
2 Retail Indicators Branch, U.S. Census Bureau
This unit investment trust seeks above-average capital appreciation; 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 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.
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.
You should be aware that the portfolio is concentrated in stocks in both the consumer discretionary and
information technology sectors which involves additional risks, including limited diversification. The companies engaged in the consumer discretionary 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. The companies engaged in the information technology sector are subject to fierce
competition, high research and development costs, and their products and services may be subject to rapid obsolescence. Technology company stocks, especially those which are Internet-related, may experience extreme price
and volume fluctuations that are often unrelated to their operating performance.
Securities of non-U.S. issuers are subject to additional risks, including currency fluctuations, political risks, withholding, the lack of adequate financial information, and exchange control restrictions impacting non-U.S. 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.
In February 2022, Russia invaded Ukraine which has caused and could continue to cause significant market disruptions and volatility within the markets in Russia, Europe, and the United States. The hostilities and sanctions resulting from those hostilities could have a significant impact on certain investments as well as performance.
The COVID-19 global pandemic and the ensuing policies enacted by governments and central banks have caused and may continue to cause significant volatility and uncertainty in global financial markets. While the U.S. has
resumed “reasonably” normal business activity, many countries continue to impose lockdown measures. Additionally, there is no guarantee that vaccines will be effective against emerging variants of the disease.
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.