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       


Pacific Northwest Portfolio, Series 3

The Pacific Northwest Portfolio is a professionally selected unit investment trust that is comprised of the equity securities of companies with headquarters, or a significant presence, in the northwest region of the U.S. The portfolio is diversified among several market sectors in an effort to potentially reduce risk. The Pacific Northwest is home to several world class companies, many of which are located in the states of Idaho, Oregon and Washington. A study conducted in July 2019 shows these states ranked highly in the economy category which is shown in the adjacent chart. The study considered economic growth, job creation, and the health of the residential real estate market. It also measured the state’s fiscal health by looking at its credit ratings and outlook, overall budget picture, and pension and retiree health care obligations.1 Diversification does not guarantee a profit or protect against loss.


Idaho’s economy is one of the strongest in the nation, due to a combination of low taxes, a balanced budget with no state debt, and a commonsense regulatory environment. The state’s tax policies are intended to attract, grow, and retain businesses. Idaho’s economy is driven by a blend of industries that bring about stability, collaboration and innovation.2

  • In 2013, Idaho exempted more than 90% of businesses from paying personal property tax. In 2018, Idaho lowered both the corporate and personal income taxes to 6.925% (top bracket). In addition, Idaho has a 1.5% property tax and 6% general sales tax and has the lowest per capita tax burden of any state.3
  • Technology and innovation are strong drivers of Idaho’s economy. The number of high-tech companies in Idaho grew 61% over the past decade. Idaho’s technology sector grew more than twice the rate of the U.S. national average between 2017 and 2018.4


Oregon is home to a wide variety of diverse industries, but recognizes six key industry groups which have distinct competitive advantages that provide the state with unique opportunities for growth, high wage jobs, innovation and statewide prosperity. The six industries are: advanced manufacturing, business services, food & beverages, forestry & wood products, high technology and outdoor gear & apparel. Oregon offers globally competitive tax incentives to encourage business expansion.5

  • In 2018, Oregon’s real GDP increased by 3.4%; the 2017-2018 national change was 2.9%. The 2008-2018 compound annual growth rate for Oregon was 2.1% versus 1.8% for the nation.6
  • As of July 2019, Oregon’s unemployment rate was 4%, the state’s lowest unemployment rate in the current series dating back to 1976. In addition, in July 2019, Oregon’s total non-farm payroll employment added 2,400 jobs.7


Washington is well known as a home for global leaders in aerospace, but the state also has other highgrowth industry sectors: agriculture/food manufacturing, clean technology, forest products, life science/global health, maritime and information and communication technology.8

  • Washington’s labor force has increased 3.9% per year over the last two years, compared to 2% nationally. In addition, the state’s population grew by an estimated 126,600 people, a 1.76% increase over the past year and the largest percentage increase since 2006.9
  • In 2018, Washington state was the fastest growing economy in the nation and expanded output by 5.7% from a year earlier adjusted for inflation. This rate is nearly double the national rate and has boosted the state into the nation’s 10 largest economies for the first time on record.10

1 CNBC. All 50 states were reviewed through a rigorous test and graded based on more than 60 measures of competitiveness in 10 broad categories. Each category is weighted according to how frequently states use them as a selling point in economic development marketing materials. CNBC's criteria was developed with guidance from a diverse array of business and policy experts and official government sources, along with input from the states themselves. Their metrics are based on publicly available data from a variety of sources.
2,3,4 Idaho Commerce
5 Business Oregon
6 U.S. Department of Commerce Bureau of Economic Analysis
7 East Oregonian
8,9 Washington State Department of Commerce
7 The Washington Post

Portfolio Objectives

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 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 portfolio. Read it carefully before you invest.

Risk Considerations:
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.

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.

The information is intended to be illustrative of certain economic factors affecting the Pacific Northwest region of the U.S. There is no assurance that the region as a whole will continue to experience economic growth or that the companies selected for the trust will benefit.

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 cyber security.

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.

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.

The information in the prospectus is not complete and may be changed. We may not sell these securities until the registration statement filed with the Securities and Exchange Commission is effective. The prospectus is not an offer to sell these securities and is not soliciting an offer to buy these securities in any state where the offer or sale is not permitted.
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 © 2019 All rights reserved.