U.S. Infrastructure Portfolio, Series 23
A sound infrastructure is fundamental to the quality of life and the economic growth and development of
a community. Infrastructure assets help provide products and services that have become essential to
everyday life such as water and wastewater systems, roads, railways, airports, utilities, hospitals, schools
and communications systems. Developing countries realize that infrastructure will play a key role in
economic development and in their ability to attain projected growth rates. However, the need to improve
infrastructure extends beyond rapidly developing countries. The U.S., while considered to be a world
leader in many aspects, lags other developed regions, especially Europe, when it comes to the condition of
its aging infrastructure. The U.S. Infrastructure Portfolio invests in companies that provide products or
services that aid the development and maintenance of our country’s infrastructure system as well as
companies that tend to benefit from an increasing economic growth rate.
The Aging of America
Infrastructure funding gaps in the U.S. are immense in
comparison to the rest of the world. To close the nearly
$2.6 trillion 10-year investment gap, meet future need, and
restore our global competitive advantage, the U.S. must
increase investment from all levels of government and the
private sector from approximately 2.5% to 3.5% of U.S. Gross
Domestic Product by 2025.
- The U.S. has more than 617,000 bridges of which almost
42% are at least 50 years old. Approximately 7.5% of
these bridges are considered structurally deficient,
meaning they are in “poor” condition. The most recent
estimate puts the nation’s backlog of bridge restoration
needs at $125 billion.
- The growing wear and tear to our nation’s roads has left
approximately 43% of our public roadways in poor or
mediocre condition.
- Our nation continues to under invest in school facilities,
leaving an estimated $40 billion per year gap in funding.
As a result, 24% of public school buildings were rated as
being in fair or poor condition.
- Estimates indicate that utilities spent over $3 billion
in 2019, or more than $18 per wastewater customer
to replace approximately 4,700 miles of pipeline
nationwide. In 2019, the capital investment gap was
$81 billion.
- Despite increasing demand, the nation’s transit systems have been continually underfunded.
Currently, there is a $176 billion transit backlog, a deficit that is anticipated to increase to
more than $250 billion through 2029.
Source: American Society of Civil Engineers

Portfolio Objective
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.
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.
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 spending trends.
Certain of the securities held by the trust are issued by foreign entities. An investment in a portfolio
containing equity securities of foreign issuers is subject to additional risks, including currency fluctuations,
political risks, withholding, the lack of adequate financial information, and exchange control restrictions
impacting foreign 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.
The COVID-19 global pandemic has resulted in major disruptions to economies and markets around the world. Financial markets have experienced extreme volatility and severe losses, negatively impacting global economic
growth prospects. The duration of the COVID-19 outbreak and its effects cannot be determined with certainty and may exacerbate other political, social and economic risks.
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.