Market Strength Allocation Opportunity Portfolio, Series 29
Determining which areas of the market provide the best investment opportunities
can be a daunting task and sometimes economic climates break with tradition,
making investment decisions even more arduous. These situations have historically
offered opportunities for patient shareholders to increase their exposure in
Our goal with the Market Strength Allocation Opportunity
Portfolio is to invest in undervalued companies with strong market positions
that have the following qualities:
- Strong balance sheets;
- Skilled management;
- Highly liquid;
- Ability to generate earnings growth; and
- Record of financial strength and profit growth.
Portfolio Selection Process
This unit investment trust will invest in a diversified portfolio of common
stocks of companies that exhibit financial strength from five distinct segments
of the market. The five market segments will be weighted based on the above
Through our selection process we seek to find the companies that we believe have the best
prospects for above-average capital appreciation.
Identify the Universe | The first step in our selection process is to identify each universe
from which we will select the stocks for the five market segments. Each universe contains stocks
selected specifically for each component of the allocation.
Screen for Financial Strength | The next step in our process is to evaluate companies based
on multiple factors. These factors are designed to identify those stocks which exhibit strong
fundamental characteristics and to eliminate those that do not meet our investment criteria.
Examine Historical Financial Results | The next step in our process is to look for those
companies that have earned a net cash flow return on investment that is above the average of
their peers. Historically, companies that have increased their cash flows at a higher rate have
rewarded shareholders with superior total returns.
Select Companies with Attractive Valuations | 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 objective, 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 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 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.
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. Risks associated with investing in non-U.S. securities may be more pronounced in emerging and
developing markets where the securities markets are substantially smaller, less developed, less liquid, less
regulated, and more volatile than the U.S. and developed non-U.S. markets.
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
Ongoing armed conflicts between Russia and Ukraine in Europe and among Israel, Hamas and other militant
groups in the Middle East, have caused and could continue to cause significant market disruptions and volatility
within the markets in Russia, Europe, the Middle East 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 ongoing effects of the COVID-19 global pandemic, or
the potential impacts of any future public health crisis, may cause significant volatility and uncertainty in
global financial markets. While vaccines have been developed, there is no guarantee that vaccines will be
effective against future 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.
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.