Election Portfolio, 2016 Series 6
The United States has elected our 45th President, leaving investors to wonder what this outcome will mean for their portfolios. While most voters focus on the current state of affairs when casting their
ballots in presidential elections, equity investors tend to concentrate on the impact the election will have on fiscal and monetary policy that can influence future economic growth. Historically, in the
first year of a new president's term, the S&P 500 Index is up 8.2% on average.1
The outcome of the presidential election can have an impact on different sectors and industries. Our analysts at First Trust have identified certain areas of the market that we believe may offer strong
relative value and growth potential after a Republican victory.
1 CNBC.com. Past performance is no guarantee of future results.
We anticipate the following sectors have the potential to perform well given the
Republican party has won the White House:
- Information Technology
- U.S. Infrastructure
This unit investment trust seeks above-average capital appreciation; however, there is
no assurance the objective will be met.
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.
|Not FDIC Insured Not Bank Guaranteed May Lose Value
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 the industrials sector which
involves additional risks, including limited diversification. The companies engaged in the
industrials sector are subject to certain risks, including a deterioration in the general state of the
economy, intense competition, domestic and international politics, excess capacity and changing
An investment which includes securities issued by foreign issuers should be made with an
understanding of the additional risks involved such as currency and interest rate fluctuations,
nationalization or other adverse political or economic developments, lack of liquidity of certain
foreign markets, withholding, the lack of adequate financial information, and exchange control
restrictions impacting foreign 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
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
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.