Global Dividend Portfolio, Series 64
Why Invest Globally?
Historically, American investors have found substantial investment
opportunities right here in the U. S. However, by investing a portion of your portfolio outside
the U. S., you may significantly expand your investment choices and participate in the long-term
growth potential of foreign companies. The Global Dividend Portfolio provides a convenient and
efficient way to add an international dimension to your investment portfolio.
The Importance of Dividends
Corporations are not obligated to share their earnings with stockholders, so dividends may be
viewed as a sign of a company's profitability as well as management's assessment of the future.
Dividends have also had a significant impact on stock performance. You should be aware that there
is no guarantee that the issuers of the securities included in the portfolio will declare dividends in
the future or that, if declared, they will either remain at current levels or increase over time.
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
The first step in our selection process is to identify
the universe of stocks from which we will select the
portfolio. From that universe, we select only those
companies that have market capitalizations greater
than $5 billion.
Screen the Universe
The next step is to look for those companies with
a history of increasing dividend payments and
above-average dividend yields. These screens are
designed to identify companies with stable cash
flows and dividend income potential.
Select the Portfolio
The final step in our process is to select companies based on the fundamental analysis of our
team of research analysts. The stocks selected for the portfolio are those that meet our
investment objectives, trade at attractive valuations and, in our opinion, are likely to exceed
market expectations of future cash flows.
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 objectives, 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.
Because the portfolio is concentrated in companies headquartered or incorporated in Europe, the portfolio may present more risks than a portfolio which is broadly diversified over several regions.
An investment in foreign securities should be made with an understanding of the additional risks involved, such as currency fluctuations, political risk, the lack of adequate financial information, withholding taxes and
exchange control restrictions impacting foreign issuers.
On January 31, 2020, the United Kingdom officially departed the European Union (commonly referred to as “Brexit”). Brexit has led to volatility in global financial markets, in particular those of the United Kingdom and across
Europe, and may also lead to weakening in political, regulatory, consumer, corporate and financial confidence in the United Kingdom and Europe.
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 recent outbreak of a respiratory disease designated as COVID-19 was first detected in China in December
2019. The global economic impact of the COVID-19 outbreak is impossible to predict but is expected to
disrupt manufacturing, supply chains and sales in affected areas and negatively impact global economic
growth prospects. The COVID-19 outbreak has also caused significant volatility and declines in global
financial markets, which have caused losses for investors. The impact of the COVID-19 outbreak may be short
term or may last for an extended period of time, and in either case could result in a substantial economic
downturn or recession.
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.
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.