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Corporate Investment Grade Portfolio, Long-Term, Series 5
Ticker Symbol: FJXVRX
25 Holdings (As of Day of Deposit) |
Aggregate
Principal |
Name of Bond Issue (1) |
S&P
Rating (2) |
|
Communication Services (8.03%) |
|
$400,000 |
Comcast Corporation, Notes, 3.90%, Due 03/01/2038 (3) (4) |
A- |
400,000 |
The Walt Disney Company, Notes, 6.65%, Due 11/15/2037 (3) |
A- |
|
Consumer Discretionary (6.25%) |
|
200,000 |
D.R. Horton, Inc., Senior Notes, 5.00%, Due 10/15/2034 (3) (4) |
BBB+ |
400,000 |
The Home Depot, Inc., Senior Notes, 5.875%, Due 12/16/2036 (3) |
A |
|
Consumer Staples (7.42%) |
|
400,000 |
Brown-Forman Corporation, Notes, 4.00%, Due 04/15/2038 (3) (4) |
A- |
400,000 |
Conagra Brands, Inc., Senior Notes, 5.30%, Due 11/01/2038(3) (4) |
BBB- |
|
Energy (21.20%) |
|
400,000 |
ConocoPhillips Company, Notes, 6.50%, Due 02/01/2039 (3) |
A- |
400,000 |
Energy Transfer LP, Senior Notes, 5.60%, Due 09/01/2034 (3) (4) |
BBB |
400,000 |
Kinder Morgan Energy Partners, L.P., Senior Notes, 6.95%, Due 01/15/2038 (3) |
BBB |
400,000 |
Plains All American Pipeline, L.P. PAA Finance Corp., Senior Notes, 5.70%, Due 09/15/2034 (3) (4) |
BBB |
400,000 |
Valero Energy Corporation, Notes, 6.625%, Due 06/15/2037(3) |
BBB |
|
Financials (13.11%) |
|
400,000 |
MetLife, Inc., Senior Notes, 5.70%, Due 06/15/2035 (3) |
A- |
400,000 |
Prudential Financial, Inc., Medium-Term Notes, 6.625%, Due 12/01/2037 |
A |
400,000 |
The Travelers Companies, Inc., Senior Notes, 6.25%, Due 06/15/2037 (3) |
A |
|
Health Care (21.22%) |
|
400,000 |
Bristol Myers Squibb Company, Senior Notes, 4.125%, Due 06/15/2039 (3) (4) |
A |
400,000 |
Cigna Corporation, Senior Notes, 4.80%, Due 08/15/2038 (3) (4) |
A- |
400,000 |
GlaxoSmithKline Capital Inc., Notes, 6.375%, Due 05/15/2038 (3) |
A |
400,000 |
Pfizer Inc., Notes, 7.20%, Due 03/15/2039 (3) |
A |
400,000 |
UnitedHealth Group Incorporated, Notes, 6.875%, Due 02/15/2038 (3) |
A+ |
|
Industrials (12.11%) |
|
400,000 |
Rockwell Automation, Inc., Debentures, 6.25%, Due 12/01/2037 (3) |
A- |
400,000 |
Union Pacific Corporation, Notes, 3.55%, Due 08/15/2039 (3) (4) |
A- |
400,000 |
United Parcel Service, Inc., Senior Notes, 6.20%, Due 01/15/2038 (3) |
A |
|
Information Technology (10.66%) |
|
400,000 |
Cisco Systems, Inc., Senior Notes, 5.90%, Due 02/15/2039 (3) |
AA- |
200,000 |
Dell Inc., Notes, 6.50%, Due 04/15/2038 (3) |
BBB |
400,000 |
Oracle Corporation, Notes, 6.125%, Due 07/08/2039 (3) |
BBB |
(1) Certain bonds may be redeemed in whole or in part before their stated maturity under certain circumstances detailed in the instruments creating them. Such redemption provisions may result in a redemption price less
than the value of the bonds on the initial date of deposit. Estimated current return and estimated long-term return may also be affected by such redemptions.
(2) As of the Initial Date of Deposit. The ratings are by Standard & Poor’s and are unaudited. A credit rating is an assessment provided by a nationally recognized statistical rating organization (NRSRO), including Standard &
Poor’s Rating Group, of the creditworthiness of an issuer with respect to debt obligations. Standard & Poor’s ratings are measured on a scale ranging from AAA (highest) to D (lowest). Sub-investment grade ratings are those
rated BB+ or lower. Investment grade ratings are those rated BBB- or higher.
(3) These securities have a “make whole” call option and are redeemable in whole or in part at any time at the option of the issuer, at a redemption price equal to the greater of: 1) 100% of the principal amount or 2) the sum
of the remaining scheduled payments of principal and interest, plus, in either case, any accrued and unpaid interest on the principal amount being redeemed to the date of redemption.
(4) The securities issued by Bristol Myers Squibb Company, Brown-Forman Corporation, Cigna Corporation, Comcast Corporation, Conagra Brands, Inc., D.R. Horton, Inc., Energy Transfer LP, Plains All American Pipeline, L.P., PAA
Finance Corp., and Union Pacific Corporation are redeemable any time after 12/15/2038, 10/15/2037, 02/15/2038, 09/01/2037, 05/01/2038, 07/15/2034, 06/01/2034, 06/15/2034, and 02/15/2039 at a price of $100.00, respectively.
Not FDIC Insured Not Bank Guaranteed May Lose Value |
Deposit Information |
Date of Deposit |
8/20/2024 |
CUSIP |
30337H400 |
Wrap CUSIP |
30337H418 |
Trust Specifics (as of close of business on
8/20/24) |
Weighted Average Maturity* |
13.20 years |
Weighted Average Modified Duration** |
9.27 years |
Initial Principal Amount (Par Value) of Securities |
$1,000.00 per Unit |
|
|
Standard Accounts |
|
Initial Public Offering Price |
$1,120.47 per Unit |
Estimated Current Return*** |
4.89% |
Estimated Long-Term Return*** |
4.34% |
|
|
Fee/Wrap Accounts |
|
Initial Public Offering Price |
$1,087.96 per Unit |
Estimated Current Return*** |
5.03% |
Estimated Long-Term Return*** |
4.63% |
*Weighted average maturity represents the average amount of time remaining until the bonds held in the
trust mature, taking into account each bond’s weight within the portfolio based on its market value.
**Weighted average modified duration is a calculation that expresses the measurable change in the value of a
security in response to a change in interest rates.
***Estimated current return is calculated by dividing estimated net annual interest income per unit by the
public offering price. Estimated long-term return is calculated using a formula which (1) factors in the
relative weightings of the market values, yields and estimated retirements of the securities; and (2) takes
into account a compounding factor, the sales charge and expenses. There is no assurance that the returns
will be realized in the future because the various components used to calculate these figures will change. In
addition, neither rate reflects the true return you will receive, which will be lower, because neither includes
the effect of certain delays in distributions with respect to when the securities pay interest and when
distributions are paid by the trust.
Distributions |
This unit investment trust seeks to distribute monthly income. |
|
Initial Distribution per Unit: |
$2.89 |
Estimated Regular Distribution per Unit: |
$4.56 |
Distributions, if any, are paid on the twenty-fifth day of each month to unit holders of record on the tenth day
of each month with the initial distribution per unit scheduled to occur on September 25, 2024 and estimated
regular distributions per unit scheduled to begin on October 25, 2024. The actual distribution you receive will
vary from that set forth above with changes in the portfolio’s fees and expenses and with the sale, maturity
or redemption of securities.
Fee Table (based on the public offering
price per unit) |
|
Standard |
Fee/Wrap |
Initial Sales Charge |
3.50% |
0.60% |
Maximum Sales Charge |
3.50% |
0.60% |
|
|
|
Estimated Organization Costs |
0.536% |
0.536% |
Estimated Annual Trust Operating Expenses |
0.277% |
0.277% |
The maximum sales charge consists entirely of an initial sales charge, deducted at the time of purchase.
Estimated organization costs will be deducted from the assets of the trust at the end of the initial offering
period. Estimated organization costs and trust operating expenses are assessed on a fixed dollar amount per
unit basis which, as a percentage of average net assets, will vary over time. Actual expenses may be more or
less than the estimates. Please see “Fee Table” in the trust prospectus for additional information.
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 associated with investment grade corporate bonds, including higher interest rates,
economic recession, deterioration of the bond market or investors’ perception thereof, possible downgrades and defaults of interest and/or principal.
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.
Ongoing armed conflicts between Russia and Ukraine in Europe and among Israel, Hamas and other militant groups in the Middle East have caused and could continue to cause significant market disruptions and volatility within
the markets in Russia, Europe, the Middle East and the United States. The hostilities and sanctions resulting from those hostilities could have a significant impact on certain investments as well as performance.
The ongoing effects of the COVID-19 global pandemic, or the potential impacts of any future public health crisis, may cause significant volatility and uncertainty in global financial markets. While vaccines have been developed,
there is no guarantee that vaccines will be effective against future variants of the disease.
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.
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CUSIP identifiers have been provided by CUSIP Global Services, managed on behalf of the American Bankers Association by FactSet Research Systems Inc. and are not for use or dissemination in a manner that would serve as a substitute for any CUSIP service. The CUSIP Database, ©2024 CUSIP Global Services. "CUSIP" is a registered trademark of the American Bankers Association.
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