1 It is assumed that the investment is liquidated at the end of the time series shown here, resulting in application of relevant fees and charges. Annual total returns are calculated using closing prices beginning 12.31 the previous year and ending 12.31 the stated year, for the noted one year period except that for 2015. Total return measures change in the value of an investment assuming reinvestment of all dividends and capital gains. These hypothetical results represent past performance of the strategy and not the actual Trust. There can be no assurance that the Trust will achieve better performance than the Russell 1000® Index or over any investment period in the Trust or over rollover periods, if available.
All strategy performance is hypothetical (not any actual Trust) and reflects Trust sales charges (full sales charge in first year of 2.95% and reduced rollover charge thereafter of 1.95%) and estimated expenses but not brokerage commissions on stocks or taxes. Hypothetical performance is based on the assumption that the portfolio reconstitution would have occurred annually. Past performance is no guarantee of future results. Actual returns will vary from hypothetical strategy returns due to timing differences and because the Trust may not be invested equally in all stocks or be fully invested at all times. In any given year the strategy may lose money or underperform the Index. High returns are highly unusual and cannot be sustained. Investors should also be aware that these returns were primarily achieved during favorable market conditions.
The Russell 1000® Index (the “Index”) measures the performance of the 1,000 largest capitalization companies in the Russell 3000 Index and consists of companies with an United States home country designation by the Russell Global Index Methodology. Indices are statistical composites and their returns do not include payment of any sales charges or fees an investor would pay to purchase the securities they represent. Such costs would lower performance. The Index is unmanaged and it is not possible to invest directly in the Index. The historical performance of the Index is shown for illustrative purposes only; it is not meant to forecast, imply or guarantee the future performance of any particular investment or the trust, which will vary. Securities in which the trust invests may differ from those in the Index. The trust will not try to replicate the performance of these indices and will not necessarily invest any substantial portion of its assets in securities in the Index. There is no guarantee that the perceived intrinsic value of a security will be realized.
Source for all data is Guggenheim Funds Distributors, LLC, unless otherwise stated.
STRATEGY DEFINITIONS: Russell 1000 Index: This index measures the performance of the 1,000 largest capitalization companies in the Russell 3000 Index. The index includes large- and mid-capitalization companies and as of its reconstitution on May 29, 2015, included securities with market capitalization ranges from approximately $2.4 billion to $750.5 billion. The index consists of companies with an United States home country designation by the Russell Global Index Methodology, which includes U.S.-listed foreign securities. Book to Market Ratio: A measure of valuation calculated as latest quarter end book value of a firm divided by its market value as of the Security Selection Date, as provided by S&P Compustat. Free Cash Flow Yield: A measure of financial performance calculated as latest four quarters of cash flow from operations minus capital expenditures as provided by S&P Compustat, divided by market value as of the Security Selection Date. Total Return: The actual rate of return of a security, including share price appreciation and dividends paid, over a given period of time as provided by S&P Computstat. Piotroski F-Score: A measure of quality calculated by assigning 1 point for each of 9 accounting based criteria met and 0 points when not met, and by utilizing data from S&P Compustat. Criteria include: 1. Positive Return on Assets calculated as latest four quarters of net income before extraordinary items, divided by beginning period total assets. 2. Increased Return on Assets, as calculated by latest four quarters of net income before extraordinary items, divided by beginning period total assets, versus the same metric in the prior four quarter period. 3. Positive Cash from Operations on Assets calculated as Net Cash from Operations of latest four quarters divided by beginning period total assets. 4. Net Cash from Operations of latest four quarters is greater than latest four quarters of net income before extraordinary items. 5. Decreased Leverage as of latest quarter end versus year ago calculated as total long term debt divided by total assets. 6. Increased Current Ratio as of latest quarter end versus year ago calculated as current assets divided by current liabilities. 7. No additional equity issued in the last twelve months. 8. Increased Gross Income Margin calculated as last four quarters of net sales minus the sum of cost of goods sold and depreciation & amortization expense, divided by net sales versus prior four quarter period. 9. Increased Asset Turnover calculated as the sum of the latest four quarters of sales divided by beginning period total assets versus prior four quarter period. The Piotroski F-Score of a company is equal to the number of above criteria met as of the Security Selection Date.
Risk Considerations: As with all investments, you may lose some or all of your investment in the Trust. No assurance can be given that the Trust’s investment objective will be achieved. The Trust also might not perform as well as you expect. This can happen for reasons such as these: • Securities prices can be volatile. • Share prices or dividend rates on the securities in the Trust may decline during the life of the Trust. There is no guarantee that share prices of the securities in the Trust will not decline and that the issuers of the securities will declare dividends in the future and, if declared, whether they will remain at current levels or increase over time. • Securities selected according to this strategy may not perform as intended. The Trust is exposed to additional risk due to its policy of investing in accordance with an investment strategy. • The Trust is concentrated in the industrials sector. As a result, the factors that impact the industrials sector will likely have a greater effect on this Trust than on a more broadly diversified Trust. Adverse developments in this sector may significantly affect the value of your units. Companies involved in the industrials sector must contend with the state of the economy, intense competitors, domestic and international politics, excess capacity and spending trends. • The Trust invests in securities issued by mid-capitalization companies. These securities customarily involve more investment risk than securities of large-capitalization companies. Mid-capitalization companies may have limited product lines, markets or financial resources and may be more vulnerable to adverse general market or economic developments.• Inflation may lead to a decrease in the value of assets or income from investments. Please see the Trust prospectus for more complete risk information.
Unit Investment Trusts are fixed, not actively managed and should be considered as part of a long-term strategy. Investors should consider their ability to invest in successive portfolios, if available, at the applicable sales charge. UITs are subject to annual fund operating expenses in addition to the sales charge. Investors should consult an attorney or tax advisor regarding tax consequences associated with an investment from one series to the next, if available, and with the purchase or sale of units. Guggenheim Funds Distributors, LLC does not offer tax advice.
This material is prepared for financial professional use only. It may not be reproduced or shown to members of the general public or used in written form as sales literature; any such use would be contrary to the FINRA Conduct Rules.
Read the Trust’s prospectus carefully before investing. It contains the Trust’s investment objectives, risks, charges, expenses and other information, which should be considered carefully before investing. Obtain a prospectus at guggenheiminvestments.com.
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