Inflation Hedge Portfolio, Series 58
Ticker Symbol: FLUBEX
38 Holdings (As of Day of Deposit) |
Ticker |
Name |
Initial
Weight |
Price* |
ETFs (24.95%) |
BKLN |
Invesco Senior Loan ETF |
6.99% |
$20.99 |
SCHH |
Schwab U.S. REIT ETF |
3.00% |
21.32 |
SCHP |
Schwab U.S. TIPS ETF |
3.98% |
52.36 |
RWR |
SPDR Dow Jones REIT ETF |
3.01% |
98.65 |
WIP |
SPDR FTSE International Government Inflation-Protected Bond ETF |
3.99% |
38.65 |
VNQI |
Vanguard Global ex-U.S. Real Estate ETF |
3.98% |
42.20 |
ETPs (14.97%) |
SIVR |
abrdn Silver ETF Trust |
5.99% |
26.64 |
IAU |
iShares Gold Trust |
8.98% |
45.02 |
Agricultural Products & Services (4.04%) |
BG |
Bunge Global S.A. |
2.02% |
113.57 |
INGR |
Ingredion Incorporated |
2.02% |
121.35 |
Copper (2.00%) |
FCX |
Freeport-McMoRan Inc. |
2.00% |
44.38 |
Diversified Metals & Mining (8.00%) |
NGLOY |
Anglo American Plc |
2.00% |
15.05 |
BHP |
BHP Group Ltd |
1.99% |
55.01 |
GLNCY |
Glencore Plc |
2.00% |
10.88 |
RIO |
Rio Tinto Plc |
2.01% |
64.70 |
Fertilizers & Agricultural Chemicals (1.99%) |
NTR |
Nutrien Ltd. |
1.99% |
50.36 |
Gold (5.99%) |
AEM |
Agnico Eagle Mines Limited |
1.99% |
74.52 |
KGC |
Kinross Gold Corporation |
2.00% |
8.76 |
NEM |
Newmont Corporation |
2.00% |
47.28 |
Integrated Oil & Gas (11.97%) |
BP |
BP Plc |
2.00% |
34.96 |
CVX |
Chevron Corporation |
2.00% |
156.60 |
XOM |
Exxon Mobil Corporation |
2.00% |
116.10 |
PBR |
Petroleo Brasileiro S.A. - Petrobras |
2.00% |
14.18 |
SHEL |
Shell Plc |
1.99% |
71.84 |
TTE |
TotalEnergies SE |
1.98% |
67.32 |
Oil & Gas Exploration & Production (14.01%) |
CNQ |
Canadian Natural Resources Limited |
2.01% |
34.09 |
COP |
ConocoPhillips |
2.00% |
109.12 |
CTRA |
Coterra Energy Inc. |
2.00% |
25.71 |
FANG |
Diamondback Energy, Inc. |
1.98% |
198.27 |
EOG |
EOG Resources, Inc. |
2.02% |
125.18 |
MTDR |
Matador Resources Company |
2.00% |
60.14 |
PR |
Permian Resources Corp. |
2.00% |
15.33 |
Oil & Gas Refining & Marketing (4.02%) |
MPC |
Marathon Petroleum Corporation |
2.01% |
171.96 |
VLO |
Valero Energy Corporation |
2.01% |
157.45 |
Steel (8.06%) |
MT |
ArcelorMittal |
2.00% |
22.60 |
NUE |
Nucor Corporation |
2.04% |
159.41 |
RS |
Reliance Inc. |
2.02% |
303.00 |
VALE |
Vale S.A. |
2.00% |
10.88 |
* As of the close of business on 7/29/24.
Market values are for reference only and are not indicative of your individual
cost basis.
Not FDIC Insured Not Bank Guaranteed May Lose Value |
Portfolio Summary |
Initial Date of Deposit |
7/30/2024 |
Initial Public Offering Price |
$10.00 per Unit |
Portfolio Ending Date |
7/30/2026 |
Historical 12-Month Distribution Rate of Trust Holdings:* |
3.20% |
Historical 12-Month Distribution Per Unit:* |
$0.3198 |
Cash
CUSIP |
30335M187 |
Reinvestment
CUSIP |
30335M195 |
Fee Accounts Cash CUSIP |
30335M203 |
Fee Accounts Reinvestment CUSIP |
30335M211 |
*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 12-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. Distributions may include realized short
term capital gains, realized long-term capital gains and/or return of capital. Certain of the issuers may have
reduced their dividends or distributions over the prior 12 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.
Fee Table (based on a $10 public offering
price per unit) |
|
Standard |
Fee/Wrap |
Deferred Sales Charge |
2.25% |
— |
Creation & Development Fee (C&D Fee) |
0.50% |
0.50% |
Maximum Sales Charge |
2.75% |
0.50% |
|
|
|
Estimated Organization Costs |
0.250% |
0.250% |
|
|
|
Operating Expenses |
0.205% |
0.205% |
Acquired Fund Fees and Expenses^ |
0.120% |
0.120% |
Total Estimated Annual Trust Operating Expenses |
0.325% |
0.325% |
^Although not actual trust operating expenses, the trust, and therefore unit holders, will indirectly bear
similar operating expenses of the funds in which the trust invests. These expenses are estimated and are
subject to change in the future.
The deferred sales charge will be deducted in three monthly installments commencing 11/20/24. When
the public offering price is less than or equal to $10.00 per unit, there will be no initial sales charge. If the
price exceeds $10.00 per unit, you will pay an initial sales charge. The C&D fee is a charge of $0.050 per unit
collected at the end of the initial offering period. If the price you pay exceeds $10.00 per unit, the C&D fee
will be less than 0.50%; if the price you pay is less than $10.00 per unit, the C&D fee will exceed 0.50%.
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 objective, 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 an investment in a portfolio of common stocks, ETFs and ETPs.
ETFs and ETPs 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, the ETPs 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 and ETPs may trade at a discount from their net asset value in the secondary market.
Common stocks are 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.
The portfolio is concentrated in stocks in both the energy and materials sectors making it subject to additional
risks, including limited diversification. The companies engaged in the energy sector are subject to certain risks,
including price and supply fluctuations caused by international politics, energy conservation, taxes, price
controls, and other regulatory policies of various governments. Falling oil and gas prices may negatively impact
the profitability and business prospects of certain energy companies. The companies engaged in the materials
sector, including companies within the precious metals industry, are subject to price and supply fluctuations,
excess capacity, economic recession, domestic and international politics, government regulations, volatile
interest rates, consumer spending trends and overall capital spending levels.
The portfolio also invests in precious metals companies. Companies in the precious metals
industry are subject to risks associated with the exploration, development, and production of
precious metals including competition for land, difficulties in obtaining required governmental
approval to mine land, inability to raise capital, increases in production costs and political
unrest. In addition, the price of gold and other precious metals is subject to wide fluctuations.
The portfolio also invests in agribusiness companies. Agribusiness companies are subject to
cyclicality of revenues and earnings, economic recession, currency fluctuations, changing
consumer tastes, extensive competition, excess capacity, product liability litigation and
governmental regulation and subsidies.
The ETPs invest in commodities. Commodity prices are subject to several factors including, price and
supply fluctuations, excess capacity, economic recession, domestic and international politics, government
regulations, volatile interest rates, consumer spending trends and overall capital spending levels.
The ETPs held by the trust rely on custodians for the
safekeeping of commodities. Failure by a custodian to safekeep the commodities could result in a loss to
a fund. In addition, a custodian may not carry adequate insurance to cover claims against it which could
adversely affect the value of a fund’s assets, and in turn the value of the trust.
Certain of the Funds invest in real estate investment trusts (REITs). 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.
Certain of the Funds invest in senior loans. The yield on ETFs which invest in 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.
Certain of the Funds invest in covenant-lite loans
which contain fewer or no maintenance
covenants and may hinder the ETF’s ability to
reprice credit risk and mitigate potential loss
especially during a downturn in the credit cycle.
Certain of the Funds invest in U.S. Treasury
obligations which are subject to numerous
risks including higher interest rates, economic
recession and deterioration of the bond market
or investors’ perceptions thereof.
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.
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.
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. This unit investment trust is not an absolute return investment vehicle.
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.
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.
For a discussion of additional risks of investing in the trust see the "Risk Factors" section of
the prospectus.