40/60 Strategic Allocation, 1st Qtr 2018  Ticker: FBMDUX
 
Description
A unit investment trust which seeks the potential for above-average total return by investing approximately 40% of its assets in common stocks which are selected by applying a disciplined investment strategy and 60% of its assets in exchange-traded funds which invest in fixed-income securities.
 
Summary
Product Code: 4S1Q18
Portfolio Status: Secondary
Initial Offer Date: 01/16/2018
Secondary Date: 04/12/2018
Portfolio Ending Date: 04/17/2019
Tax Structure: Regulated Investment Company
Distributions: Monthly
 
Initial Offer Price: $10.0000
NAV(*): $9.4994
POP(*): $9.6294
Remaining Deferred Sales Charge: $0.0000
* As of Trade Date: 06/20/2018 4:00pm ET
The Public Offering Price (POP) represents the net asset value per unit plus any applicable organization costs and sales charges. The Net Asset Value (NAV) represents the value per unit of a trust’s portfolio securities and other assets reduced by applicable deferred sales charges and other liabilities.

 Estimated Net Annual Distribution Per Unit
Estimated Net Annual Distribution Per Unit * $0.2793
As of 06/18/2018
* The estimates are based on annualizing the most recent dividends declared by the issuers of the securities included in the portfolio. There is no guarantee that the issuers of the securities included in the portfolio will declare distributions in the future or that, if declared, they will either remain at current levels or increase over time.

 Holdings  Export Current Holdings | View Initial Holdings  
NameSymbolWeighting
 First Trust Senior Loan Fund FTSL 2.77%
 SPDR Blackstone/GSO Senior Loan ETF SRLN 2.77%
 SPDR Bloomberg Barclays Short Term High Yield Bond ETF SJNK 2.75%
 Vanguard Intermediate-Term Corporate Bond ETF VCIT 2.66%
 SPDR Bloomberg Barclays Convertible Securities ETF CWB 2.60%
 iShares 10+ Year Credit Bond ETF CLY 2.55%
 Vanguard Long-Term Corporate Bond ETF VCLT 2.54%
 SPDR Portfolio Long Term Corporate Bond ETF SPLB 2.54%
 iShares Emerging Markets High Yield Bond ETF EMHY 2.53%
 Invesco Senior Loan ETF BKLN 2.45%
 iShares TIPS Bond ETF TIP 2.44%
 SPDR Bloomberg Barclays TIPS ETF IPE 2.44%
 iShares U.S. Preferred Stock ETF PFF 2.43%
 Invesco Preferred ETF PGX 2.42%
 Vanguard Mortgage-Backed Securities ETF VMBS 2.42%
 First Trust Tactical High Yield ETF HYLS 2.41%
 VanEck Vectors J.P. Morgan EM Local Currency Bond ETF EMLC 2.17%
 Highland/iBoxx Senior Loan ETF SNLN 2.15%
 First Trust Low Duration Opportunities ETF LMBS 2.14%
 iShares 7-10 Year Treasury Bond ETF IEF 2.10%
 iShares 10-20 Year Treasury Bond ETF TLH 2.10%
 SPDR Portfolio Intermediate Term Corporate Bond ETF SPIB 2.10%
 First Trust Preferred Securities and Income ETF FPE 2.07%
 iShares iBoxx $ Investment Grade Corporate Bond ETF LQD 2.04%
 iShares Core 10+ Year USD Bond ETF ILTB 2.01%
 Micron Technology, Inc. MU 0.47%
 Intel Corporation INTC 0.42%
 The TJX Companies, Inc. TJX 0.42%
 HCA Healthcare, Inc. HCA 0.42%
 Valero Energy Corporation VLO 0.41%
 Illumina, Inc. ILMN 0.40%
 Centene Corporation CNC 0.40%
 Intuitive Surgical, Inc. ISRG 0.39%
 Facebook, Inc. (Class A) FB 0.39%
 UnitedHealth Group Incorporated UNH 0.38%
 Sysco Corporation SYY 0.38%
 Public Storage PSA 0.38%
 O'Reilly Automotive, Inc. ORLY 0.38%
 NextEra Energy, Inc. NEE 0.37%
 Costco Wholesale Corporation COST 0.37%
 T. Rowe Price Group, Inc. TROW 0.37%
 CME Group Inc. CME 0.37%
 Ross Stores, Inc. ROST 0.36%
 Hormel Foods Corporation HRL 0.35%
 Northern Trust Corporation NTRS 0.35%
 Texas Instruments Incorporated TXN 0.35%
 Best Buy Co., Inc. BBY 0.35%
 Prologis, Inc. PLD 0.35%
 Anthem, Inc. ANTM 0.35%
 Ventas, Inc. VTR 0.34%
 Target Corporation TGT 0.34%
 Express Scripts Holding Company ESRX 0.34%
 Raytheon Company RTN 0.34%
 Welltower Inc. WELL 0.34%
 Northrop Grumman Corporation NOC 0.34%
 Amphenol Corporation APH 0.34%
 Skyworks Solutions, Inc. SWKS 0.34%
 Dollar General Corporation DG 0.34%
 WEC Energy Group, Inc. WEC 0.33%
 Nucor Corporation NUE 0.33%
 Newmont Mining Corporation NEM 0.33%
 Verizon Communications Inc. VZ 0.32%
 FedEx Corporation FDX 0.32%
 Waste Management, Inc. WM 0.32%
 Lam Research Corporation LRCX 0.32%
 T-Mobile US, Inc. TMUS 0.32%
 Exxon Mobil Corporation XOM 0.31%
 PG&E Corporation PCG 0.31%
 Eversource Energy ES 0.31%
 Applied Materials, Inc. AMAT 0.31%
 The Allstate Corporation ALL 0.31%
 CVS Health Corporation CVS 0.31%
 General Dynamics Corporation GD 0.31%
 Tyson Foods, Inc. (Class A) TSN 0.30%
 Biogen Inc. BIIB 0.30%
 L'Oreal S.A. (ADR) LRLCY 0.30%
 Monster Beverage Corporation MNST 0.30%
 Cerner Corporation CERN 0.29%
 NTT DOCOMO, Inc. (ADR) DCMYY 0.29%
 Suncor Energy Inc. SU 0.29%
 Medtronic Plc MDT 0.28%
 Altria Group, Inc. MO 0.28%
 Corning Incorporated GLW 0.28%
 Cigna Corporation CI 0.28%
 D.R. Horton, Inc. DHI 0.28%
 Accenture Plc ACN 0.28%
 Molson Coors Brewing Company TAP 0.28%
 ABIOMED, Inc. ABMD 0.28%
 NIDEC Corporation (ADR) NJDCY 0.28%
 Tokio Marine Holdings, Inc. (ADR) TKOMY 0.28%
 Toyota Motor Corporation (ADR) TM 0.27%
 Total S.A. (ADR) TOT 0.27%
 Eni SpA (ADR) E 0.27%
 Stanley Black & Decker, Inc. SWK 0.27%
 The Toronto-Dominion Bank TD 0.27%
 Mohawk Industries, Inc. MHK 0.27%
 Nippon Telegraph and Telephone Corporation (ADR) NTTYY 0.27%
 Dollar Tree, Inc. DLTR 0.26%
 Bank of Montreal BMO 0.26%
 Orange (ADR) ORAN 0.26%
 Nissan Motor Co., Ltd. (ADR) NSANY 0.26%
 Rio Tinto Plc (ADR) RIO 0.26%
 TE Connectivity Ltd. TEL 0.26%
 LyondellBasell Industries N.V. LYB 0.26%
 Eaton Corporation Plc ETN 0.25%
 Royal Bank of Canada RY 0.25%
 Hitachi, Ltd. (ADR) HTHIY 0.24%
 Honda Motor Co., Ltd. (ADR) HMC 0.24%
 Novo Nordisk A/S (ADR) NVO 0.23%
 Canon Inc. (ADR) CAJ 0.23%
 Lloyds Banking Group Plc (ADR) LYG 0.23%
 Nintendo Co., Ltd. (ADR) NTDOY 0.23%
 Vodafone Group Plc (ADR) VOD 0.21%
 AXA S.A. (ADR) AXAHY 0.21%
 Komatsu Ltd. (ADR) KMTUY 0.19%
 Telstra Corporation Limited (ADR) TLSYY 0.19%
 F5 Networks, Inc. FFIV 0.18%
 Columbia Sportswear Company COLM 0.18%
 Akamai Technologies, Inc. AKAM 0.17%
 Williams-Sonoma, Inc. WSM 0.16%
 Foot Locker, Inc. FL 0.16%
 Old Dominion Freight Line, Inc. ODFL 0.16%
 WellCare Health Plans, Inc. WCG 0.16%
 Masimo Corporation MASI 0.16%
 IDACORP, Inc. IDA 0.15%
 Atmos Energy Corporation ATO 0.15%
 Gentex Corporation GNTX 0.15%
 Expeditors International of Washington, Inc. EXPD 0.15%
 MKS Instruments, Inc. MKSI 0.15%
 PVH Corp. PVH 0.15%
 Rollins, Inc. ROL 0.15%
 FLIR Systems, Inc. FLIR 0.15%
 ON Semiconductor Corporation ON 0.15%
 CBRE Group, Inc. CBRE 0.15%
 National Beverage Corp. FIZZ 0.15%
 PRA Health Sciences, Inc. PRAH 0.15%
 Conagra Brands, Inc. CAG 0.14%
 Universal Health Services, Inc. (Class B) UHS 0.14%
 Landstar System, Inc. LSTR 0.14%
 Reliance Steel & Aluminum Co. RS 0.14%
 Torchmark Corporation TMK 0.13%
 The Gap, Inc. GPS 0.13%
 Pinnacle West Capital Corporation PNW 0.13%
 Arrow Electronics, Inc. ARW 0.13%
 The Toro Company TTC 0.13%
 Henry Schein, Inc. HSIC 0.13%
 EMCOR Group, Inc. EME 0.13%
 Annaly Capital Management, Inc. NLY 0.13%
 Carlisle Companies Incorporated CSL 0.13%
 Seaboard Corporation SEB 0.13%
 Carter's, Inc. CRI 0.13%
 FNF Group FNF 0.13%
 Snap-on Incorporated SNA 0.12%
 Hologic, Inc. HOLX 0.12%
 Teradyne, Inc. TER 0.12%
 MEDNAX, Inc. MD 0.12%
 MAXIMUS, Inc. MMS 0.12%
 Reinsurance Group of America, Incorporated RGA 0.12%
 Ingredion Incorporated INGR 0.12%
 Quanta Services, Inc. PWR 0.12%
 United Therapeutics Corporation UTHR 0.12%
 First American Financial Corporation FAF 0.12%
 Huntington Ingalls Industries, Inc. HII 0.12%
 Aramark ARMK 0.12%
 Tech Data Corporation TECD 0.11%
 Insperity, Inc. NSP 0.11%
 JetBlue Airways Corporation JBLU 0.11%
 SYNNEX Corporation SNX 0.11%
 GCI Liberty, Inc. (Class A) GLIBA 0.11%
 MGIC Investment Corporation MTG 0.10%
 NVR, Inc. NVR 0.10%
 Skechers U.S.A., Inc. SKX 0.10%
 FTI Consulting, Inc. FCN 0.10%
 Stamps.com Inc. STMP 0.10%
 The Boston Beer Company, Inc. SAM 0.10%
 Owens Corning OC 0.10%
 Qualys, Inc. QLYS 0.10%
 RingCentral, Inc. (Class A) RNG 0.10%
 Urban Outfitters, Inc. URBN 0.09%
 American Eagle Outfitters, Inc. AEO 0.09%
 Thor Industries, Inc. THO 0.09%
 Pilgrim's Pride Corporation PPC 0.09%
 BofI Holding, Inc. BOFI 0.09%
 Green Dot Corporation (Class A) GDOT 0.09%
 Ciena Corporation CIEN 0.08%
 The Cheesecake Factory Incorporated CAKE 0.08%
 International Speedway Corporation ISCA 0.08%
 LifePoint Health, Inc. LPNT 0.08%
 Dick's Sporting Goods, Inc. DKS 0.08%
 AMN Healthcare Services, Inc. AMN 0.08%
 RPC, Inc. RES 0.08%
 Innospec Inc. IOSP 0.08%
 LaSalle Hotel Properties LHO 0.08%
 Evercore Inc. EVR 0.08%
 Aaron's, Inc. AAN 0.08%
 Werner Enterprises, Inc. WERN 0.07%
 American States Water Company AWR 0.07%
 Benchmark Electronics, Inc. BHE 0.07%
 Universal Forest Products, Inc. UFPI 0.07%
 Applied Industrial Technologies, Inc. AIT 0.07%
 Spire Inc. SR 0.07%
 Convergys Corporation CVG 0.07%
 Adtalem Global Education Inc. ATGE 0.07%
 J & J Snack Foods Corp. JJSF 0.07%
 Magellan Health, Inc. MGLN 0.07%
 Apollo Commercial Real Estate Finance, Inc. ARI 0.07%
 Piedmont Office Realty Trust, Inc. PDM 0.07%
 Cooper-Standard Holdings Inc. CPS 0.07%
 Retail Properties of America, Inc. RPAI 0.07%
 Columbia Property Trust, Inc. CXP 0.07%
 GameStop Corp. (Class A) GME 0.06%
 Hecla Mining Company HL 0.06%
 Diamond Offshore Drilling, Inc. DO 0.06%
 United Natural Foods, Inc. UNFI 0.06%
 Plexus Corp. PLXS 0.06%
 Advanced Energy Industries, Inc. AEIS 0.06%
 AVX Corporation AVX 0.06%
 II-VI Incorporated IIVI 0.06%
 The Children's Place, Inc. PLCE 0.06%
 Sanderson Farms, Inc. SAFM 0.06%
 California Water Service Group CWT 0.06%
 Callon Petroleum Company CPE 0.06%
 Kronos Worldwide, Inc. KRO 0.06%
 Matador Resources Company MTDR 0.06%
 Sprouts Farmers Market, Inc. SFM 0.06%
 Cooper Tire & Rubber Company CTB 0.05%
 American Woodmark Corporation AMWD 0.05%
 Mercury Systems, Inc. MRCY 0.05%
 Finisar Corporation FNSR 0.05%
 Cirrus Logic, Inc. CRUS 0.05%
 Big Lots, Inc. BIG 0.05%
 Federated Investors, Inc. (Class B) FII 0.05%
 EnPro Industries, Inc. NPO 0.05%
 Corcept Therapeutics Incorporated CORT 0.05%
 Spirit Airlines, Inc. SAVE 0.05%
 
Total Number of Holdings:    235
Underlying Securities information represented above is as of 06/20/2018 but will vary with future fluctuations in the market.

Risk Considerations

Equity Risk. An investment in a portfolio containing common stocks is subject to certain risks, 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.

Emerging Markets Risk. Risks associated with investing in foreign securities may be more pronounced in emerging markets where the securities markets are substantially smaller, less liquid, less regulated and more volatile than the U.S. and developed foreign markets.

ETF Risk. ETFs are subject to various risks, including management's ability to meet the fund's investment objective, and to manage the fund's portfolio when the underlying securities are redeemed or sold, during periods of market turmoil and as investors' perceptions regarding ETFs or their underlying investments change. Unlike open-end funds, which trade at prices based on a current determination of the fund's net asset value, ETFs frequently trade at a discount from their net asset value in the secondary market. Certain ETFs may employ the use of leverage, which increases the volatility of such funds.

Floating Rate Risk. Certain of the funds invest in floating-rate securities. A floating-rate security is an instrument in which the interest rate payable on the obligation fluctuates on a periodic basis based upon changes in an interest rate benchmark. As a result, the yield on such a security will generally decline in a falling interest rate environment, causing the trust to experience a reduction in the income it receives from such securities.

Foreign Securities Risk. An investment in securities of foreign issuers should be made with an understanding of the additional risks involved, such as currency fluctuations, political risk, withholding, the lack of adequate financial information, and exchange control restrictions impacting foreign issuers.

High-Yield or Junk Bonds Risk. Investing in high-yield securities or "junk" bonds should be viewed as speculative and you should review your ability to assume the risks associated with investments which utilize such securities. High-yield securities are subject to numerous risks, including higher interest rates, economic recession, deterioration of the junk bond market, possible downgrades and defaults of interest and/or principal. High-yield security prices tend to fluctuate more than higher rated securities and are affected by short-term credit developments to a greater degree.

Investment Grade Bonds Risk. Investment grade securities are subject to numerous risks including higher interest rates, economic recession, deterioration of the investment grade security market or investors' perception thereof, possible downgrades and defaults of interest and/or principal.

IRA Risk. There may be tax consequences unless units are purchased in an IRA or other qualified plan.

Preferred Securities Risk. Preferred securities are equity securities of the issuing company which pay income in the form of dividends. Preferred securities are typically subordinated to bonds and other debt instruments in a company's capital structure, and therefore will be subject to greater credit risk than those debt instruments.

REITs Risk. An investment in a portfolio containing REIT securities is subject to additional risks including limited diversification. Companies involved in the real estate industry are subject to changes in the real estate market, vacancy rates and competition, volatile interest rates and economic recession.

Senior Loans Risk. The yield on senior loans will generally decline in a falling interest rate environment and increase in a rising interest rate environment. Senior loans are generally below investment grade quality ("junk" bonds). An investment in senior loans involves the risk that the borrowers may default on their obligations to pay principal or interest when due.

Small-Cap and Mid-Cap Risk. 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.

US Treasury Debt Instruments Risk. Debt instruments, such as U.S. Treasury obligations, are subject to numerous risks including higher interest rates, economic recession and deterioration of the bond market or investors' perceptions thereof.

Volatility Risk. 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.

Additional Risk. For a discussion of additional risks of investing in the trust see the "Risk Factors" section of the prospectus.

Important Note. It is important to note that an investment can be made in the underlying funds directly rather than through the trust. These direct investments can be made without paying the trust's sales charge, operating expenses and organizational costs.

Operational Risk. 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 the portfolio terminates in approximately one year, 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.

You should carefully consider the trust's investment objectives, risks, and charges and expenses 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 trust. Read it carefully before you invest.

This product information does not constitute an offer to sell, or a solicitation of an offer to buy securities in any state to any person to whom it is not lawful to make such an offer. Sales of any of these securities must include prospectus delivery and the services of a retail broker/dealer duly licensed in the appropriate states.

Not FDIC Insured, Not Bank Guaranteed and May Lose Value.