Preferred Income, 111  Ticker: FZPGAX
 
Description
A unit investment trust that seeks a high rate of current income by investing in a diversified portfolio of preferred securities.
Please note that there is no assurance the objective will be met.
 
Summary
Product Code: PRIN111
Portfolio Status: Secondary
Initial Offer Date: 03/31/2022
Secondary Date: 06/30/2022
Portfolio Ending Date: 04/01/2024
Tax Structure: Regulated Investment Company
Distributions: Monthly
 
Initial Offer Price: $10.0000
NAV(*): $9.3861
POP(*): $9.6022
Remaining Deferred Sales Charge: $0.1500
* As of Trade Date: 08/15/2022 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.

 Historical 12-Month Distribution of Trust Holdings:^
Rate (as of 8/15/2022) Per Unit (as of 8/15/2022)
4.18% $0.40170
^ There is no guarantee the issuers of the securities included in the trust will declare dividends or distributions in the future. The historical 12-month distribution per unit and historical 12-month distribution rate of the securities included in the trust are for illustrative purposes only and are not indicative of the trust's distribution or distribution rate. The historical 12-month distribution per unit is based on the weighted average of the trailing twelve month distributions paid by the securities included in the portfolio. The historical 12-month distribution rate is calculated by dividing the historical 12-month distributions by the trust's offering price. The historical 12-month distribution and rate are reduced to account for the effects of fees and expenses, which will be incurred when investing in a trust. PLEASE NOTE: The historical distribution rate is calculated using only the holdings that have 12 months of distribution history. As of 8/15/2022, there were 5 holdings without the required 12-month distribution history which were excluded from the calculation, representing 13.32% of the aggregate market value of the portfolio. Certain of the issuers may have reduced their dividends or distributions over the prior twelve months. The distribution per unit and rate paid by the trust may be higher or lower than the amount shown above due to certain factors that may include, but are not limited to, a change in the dividends or distributions paid by issuers, actual expenses incurred, or the sale of securities in the portfolio. For trusts that include funds, distributions may include realized short term capital gains, realized long-term capital gains and/or return of capital.

 Holdings  Export Current Holdings  
NameSymbolWeighting
 MetLife, Inc., Series F, 4.750% MET.F 4.63%
 The Allstate Corporation, Series H, 5.100% ALL.H 4.56%
 Sempra Energy, 5.750%, Due 07/01/2079 SREA 4.50%
 The Southern Company, Series 2020, 4.950%, Due 01/30/2080 SOJD 4.44%
 Duke Energy Corporation, 5.625%, Due 09/15/2078 DUKB 4.10%
 The Charles Schwab Corporation, Series J, 4.450% SCHW.J 4.09%
 State Street Corporation, Series G, 5.350%, Variable Rate STT.G 4.05%
 Aegon Funding Company LLC, 5.100%, Due 12/15/2049 AEFC 4.04%
 Truist Financial Corporation, Series O, 5.250% TFC.O 4.03%
 U.S. Bancorp, Series O, 4.500% USB.S 3.93%
 Bank of America Corporation, Series SS, 4.750% BAC.S 3.93%
 PS Business Parks, Inc., Series Z, 4.875% PSB.Z 3.29%
 Public Storage, Series I, 4.875% PSA.I 2.67%
 W.R. Berkley Corporation, 5.100%, Due 12/30/2059 WRB.F 2.57%
 The Hartford Financial Services Group, Inc., Series G, 6.000% HIG.G 2.55%
 NextEra Energy Capital Holdings, Inc., Series N, 5.650%, Due 03/01/2079 NEE.N 2.54%
 AT&T Inc., 5.625%, Due 08/01/2067 TBC 2.53%
 Brookfield Finance I (UK) Plc, 4.500% BAMI 2.44%
 Public Storage, Series H, 5.600% PSA.H 2.10%
 First Republic Bank, Series J, 4.700% FRC.J 2.08%
 Affiliated Managers Group, Inc., 5.875%, Due 03/30/2059 MGR 2.05%
 JPMorgan Chase & Co., Series GG, 4.750% JPM.J 2.04%
 Athene Holding Ltd., Series A, 6.350%, Variable Rate ATH.A 2.03%
 Affiliated Managers Group, Inc., 4.750%, Due 09/30/2060 MGRB 2.03%
 Athene Holding Ltd., Series C, 6.375% Variable Rate ATH.C 2.02%
 JPMorgan Chase & Co., Series DD, 5.750% JPM.D 2.01%
 Prudential Financial, Inc., 4.125%, Due 09/01/2060 PFH 2.00%
 First Republic Bank, Series N, 4.500% FRC.N 2.00%
 Brunswick Corporation, 6.375%, Due 04/15/2049 BC.C 1.99%
 Prudential Financial, Inc., 5.625%, Due 08/15/2058 PRS 1.97%
 Brookfield BRP Holdings, 4.875% BEPI 1.96%
 RenaissanceRe Holdings Ltd., Series G, 4.200% RNR.G 1.91%
 Bank of Hawaii Corporation, Series A, 4.375% BOH.A 1.78%
 Old National Bancorp, Series C, 7.000% ONBPO 1.54%
 Cullen/Frost Bankers Inc., Series B, 4.450% CFR.B 1.49%
 Brunswick Corporation, 6.625%, Due 01/15/2049 BC.B 1.08%
 American Financial Group, Inc., 5.875%, Due 03/30/2059 AFGB 1.03%
 
Total Number of Holdings:    37
Underlying Securities information represented above is as of 08/15/2022 but will vary with future fluctuations in the market.

 Deferred Sales Charge Schedule
Amount Date
$0.07500 July 20, 2022
$0.07500 August 19, 2022
$0.07500 September 20, 2022

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.

Sector Concentration Risk. A portfolio which is concentrated in an individual sector is subject to additional risks, including limited diversification.

Buy & Hold Risk – Taxable Trusts. 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.

COVID-19 Economic Impact Risk. The COVID-19 global pandemic has caused and may continue to cause significant volatility and declines in global financial markets. While the U.S. has resumed "reasonably" normal business activity, many countries continue to impose lockdown measures. Additionally, there is no guarantee that vaccines will be effective against emerging variants of the disease.

Financials Risk. The companies engaged in the financials sector are subject to the adverse effects of volatile interest rates, economic recession, decreases in the availability of capital, increased competition from new entrants in the field, and potential increased regulation.

Foreign Securities Risk. 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.

Market Disruption Risk. In February 2022, Russia invaded Ukraine which has caused and could continue to cause significant market disruptions and volatility within the markets in Russia, Europe, and the United States. The hostilities and sanctions resulting from those hostilities could have a significant impact on certain investments as well as performance.

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.

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.

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 cybersecurity.

You should carefully consider the trust's investment objectives, risks, and charges and expenses 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 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.

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