Formule 487 conseillers sont disciplinés ◄ mutuelle entreprise

Quels éléments jouent sur le tarif d’une caractère prostituée ?
Plusieurs critères vont avoir un impact sur le coût d’une foi professionnelle, parmi quoi le risque possible que vous représentez pour l’assureur. Ainsi vont être pris en compte a l’intérieur du tarif :

la taille de l’entreprise et sa forme juridique. Ainsi, une entreprise unipersonnelle et pourquoi pas un auto-entrepreneur bénéficieront d’un tarif réduit, les risques à couvrir sont moindres.
le chiffre d’affaires de l’entreprise. En effet, un chiffre d’affaires important représente un risque supplémentaire que la compagnie d’assurance va renvoyer sur ses prix
le secteur d’activité de l’entreprise. Une entreprise travaillant a l’intérieur du secteur des travaux est au contraire exposée à des risques moins capitaux qu’une société du domaine du bâtiment et pourquoi pas de la chimie
le nombre de garanties et étendue. Plus elles seront grandes et couvrantes et plus le tarif sera important.
Combien paiera un auto-entrepreneur pour son sûreté prostituée ?
Le coût de l’assurance professionnelle pour un auto-entrepreneur varie en fonction du chiffre d’affaires, du secteur d’activité. Mais attention ! Selon métiers, certaines garanties sont obligatoires tel que le cas de la garantie décennale bâtiment pour entreprises du BTP.

Ainsi un auto-entrepreneur pourra souscrire garanties suivantes (montant minimal) :

responsabilité civile : 100 euros en an
protection juridique : 100 euros par an
complémentaire santé : 200 euros en an
maîtrise perte d’exploitation : 300 euros chez an
multirisque professionnel : 400 euros par an
garantie décennale bâtiment : 600 euros dans an

Quid du cotation de l’assurance pour quelques pratique ?
Voici plusieurs fourchettes de tarifs pour des sang-froid professionnelles particuliers :

Pour une entreprise individuelle, le chiffre d’affaires moyen, le secteur d’activité et le taux le montant le pourcentage de garanties souscrites vont avoir un impact sur le tarif de l’assurance professionnelle. Ainsi les prix aller de 100 à 1000 euros dans an
Pour une confiance profession libérale, en plus de l’activité exercée et les garanties choisies, le nombre de collaborateurs et l’occupation d’un local professionnel pourront aussi jouer cotisations. Les tarifs moyens vont de 90 à 500 euros annuels
Pour une caractère agricole, la taille de l’exploitation existera également prise en compte. Le coût moyen d’une aisance couvrant tant l’exploitation que le matériel s’élève à approximativement 2000 euros dans an


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1933 Loi n ° 333-233474

1940 Numéro de loi: 811-21056

CIC n °: 1771690

Titres
et commission d'échange

Washington,
D. C. 20549

Amendement
N ° 1

à

INSCRIPTION
DÉCLARATION

ON

Forme
S-6

Pour
Enregistrement en vertu de la Loi sur les valeurs mobilières

à propos de
Unités d'investissement 1933

La confiance
Formulaire enregistré N-8B-2

A. Nom exact
confiance:
Les conseillers sont disciplinés
La confiance 1972

B. Nom du déposant: Richesse des conseillers
Management, Inc.

C. Adresse principale du responsable des dépôts
Bureaux:

18925 chemin du camp de base

Monument, Colorado 80132

D. Nom et adresse complète de l'agent
service:

Avec
copie à:
Scott Colyer Scott R. Anderson
Conseillers
Asset Management, Inc
Chapman
et Cutler LLP
18925 chemin du camp de base West West Monroe Street
Monument, Colorado 80132 Chicago, Illinois 60603-4080

E. Nom des titres à inscrire: Unités
de droit de propriété non divisé

F. Date approximative de l'offre publique proposée:

Comment
Dès que possible après la date d'effet de la demande d'enregistrement

Check box
si cette application est proposée pour entrer en vigueur en 2019. 24 septembre 10h en vertu de la règle 487.



Portefeuille d'opportunités Transformers,
Série
2019-3Q

(Confiance disciplinaire des conseillers
1972)

Portefeuille d'actions à la recherche
des rendements supérieurs à la moyenne, principalement en mobilisant des capitaux

Le prospectus

24 septembre
L'année 2019

La Securities and Exchange Commission, comme tous les investissements
n'a pas endossé ou endossé ces titres ou a transféré la pertinence ou l'exactitude du présent prospectus. Toute représentation contraire est criminelle
crime.



MoiCONFORMITÉ SUMMARY

MoiCONFORMITÉ
OBUT

La confiance vise à donner au-dessus de la moyenne
tout revient en premier en levant des capitaux. Rien ne garantit que la confiance atteindra son objectif.

PRINCIPAL MoiCONFORMITÉ
SLa stratégie

La confiance poursuit son but
investir dans des sociétés qui génèrent une part importante de leurs revenus mondiaux et qui seraient impliquées
aspects de la transformation du comportement des consommateurs et de l’innovation technologique. Aujourd’hui, le monde est très différent d’il ya dix ans à peine.
c'est une tendance que nous * espérons continuer à développer. Améliorations de la puissance de traitement pour activer l'intelligence artificielle
distribution de semi-conducteurs dans les éléments IoT courants connectant les utilisateurs et leurs appareils
comme jamais auparavant et l'autonomisation des robots. Entreprises considérées comme:

ou avoir un leadership en innovation innovante, ou
la possibilité de développer de nouvelles et excellentes technologies dans le futur;

rendre notre demain plus lumineux qu'aujourd'hui;
et

être prêt à capturer les principaux moteurs du changement dans le monde
entrer dans une ère plus technologique et transformationnelle.

Parmi ces sociétés, les titres étaient
sélectionné pour le portefeuille de parts de fiducie en analysant la taille relative des facteurs, y compris la prédominance attendue du marché au cours des trois à cinq prochaines années
dans les secteurs industriels, en termes de capitalisation boursière, de dépenses de RD fixes en pourcentage des ventes, de stabilité des salaires antérieurs et de
croissance des revenus, solidité des bénéfices et bénéfices projetés, solidité du bilan, détermination de la valeur de rachat et niveau.

*

"AAM", "nous" et termes associés
désigne un sponsor de confiance de Advisors Asset Management, Inc., sauf indication contraire du contexte.

PRINCIPAL
RISKS

Comme tout investissement, vous pouvez perdre
l'argent en investissant dans cette confiance. La confiance peut également ne pas fonctionner aussi bien que prévu. Cela peut arriver pour les raisons suivantes:

Les cours des actions vont fluctuer. Votre valeur
les investissements peuvent diminuer avec le temps.

L'émetteur peut ou non déclarer un dividende
ou peut réduire le montant du dividende déclaré.
Cela pourrait entraîner une diminution de la valeur de vos parts.

La situation financière de l'émetteur peut se détériorer ou son crédit peut se détériorer
La notation peut baisser, ce qui peut entraîner une baisse de la valeur de vos parts.
Cela peut arriver à tout moment, y compris pendant l'offre initiale
période

La fiducie se concentre sur les titres émis par les sociétés en 2006
secteur des technologies de l'information.
Les changements négatifs dans le secteur des technologies de l’information affecteront davantage la valeur de votre investissement.
Ce serait le cas si l'investissement était plus diversifié.

La fiducie peut investir dans des titres de petite et moyenne taille
entreprises.
Ces titres sont souvent plus volatils et ont un volume de transactions inférieur à celui des grandes entreprises. Petite à moyenne taille
les entreprises peuvent avoir des produits ou des ressources financières limités, un manque d'expérience en gestion et des informations moins accessibles au public.

Nous ne gérons pas activement le portefeuille. Sauf limité
Dans de telles circonstances, la fiducie continuera d’acheter des actions des mêmes titres même si leur valeur marchande diminue.

2 Investissements
Résumé


WHO STEMPS
MoiNVEST

Vous devriez envisager cet investissement si
tu veux:

avoir un enjeu défini.

le potentiel de plus-value du capital.

Vous ne devriez pas penser à cet investissement
si vous:

sont mal à l'aise avec l'investissement non géré dans
actions ordinaires.

n'aime pas la stratégie de confiance.

rechercher le revenu actuel ou préserver le capital.
ESSENTIAL
MoiNFORMATION

Prix ​​unitaire au départ

10 000 $

Date de début

2019 24 septembre

Date de résiliation

2020 17 décembre

Dates de distribution

25 juin Oui
Décembre

Notez les dates

10 juin et
Décembre

Numéros CUSIP

Comptes standard
Distribution d'argent

00780A541

Répartition des bénéfices réinvestis

00780A558

Factures d'impôts
Distribution d'argent

00780A566

Répartition des bénéfices réinvestis

00780A574

Le symbole de la tikette

TOPADX

Investissement minimum

1000/100 $ pièces

Structure tarifaire

Société d'investissement réglementée

FEES UnND
ECrimes

Les montants ci-dessous sont
les coûts directs et indirects que vous pourriez encourir basés sur un coût unitaire de 10 $. Les coûts réels peuvent varier.

Taxe de vente
Comme%
de 1 000 $
Investi



Montant
plus de 100
Unités


Taxe de vente initiale

0.00 % 0,00 $

Taxe de vente différée

1,35 13h50

Frais de création et de création

0.50 5.00

Taxe de vente maximale

1,85 % Dollars 18h50

Frais d'organisation

0,49 % Dollars 4,90

Dépenses d'exploitation annuelles
Comme%
du net
La propriété



Montant
plus de 100
Unités


Frais fiduciaires et dépenses

0,19 % 1,83 $

Frais de supervision, d'évaluation et d'administration

0,10 1,00

Total

0,29 % Dollars 2,83

La taxe de vente initiale est la différence
entre la taxe de vente totale (jusqu'à 1,85% du prix unitaire d'offre) et le montant de la taxe de vente différée restante et le montant total de la création, et
taxe de développement. Établi à 0,155 $ par unité de taxe de vente différée et payable en trois versements mensuels à compter du 20 décembre
2019. Les frais de création et de mise en valeur s’élèvent à 0,05 USD par part et sont payables à la fin de la période initiale de l’offre (estimation).
environ trois mois). Vous ne paierez pas la taxe de vente initiale lorsque le prix unitaire est inférieur ou égal à 10 $. Quand
si le prix de l’unité est supérieur à 10 $, vous devrez payer une taxe de vente initiale.

EXAMPLE

Cet exemple aide à comparer les prix
cette confiance dans d'autres fiducies et fonds communs de placement. Dans l'exemple, nous supposons que les coûts sont inchangés et que la confiance revient chaque année
est de 5%. Votre retour et vos coûts réels varieront. Sur la base de ces hypothèses, vous paierez ces coûts pour chaque tranche de 10 000 USD d’investissement dans
confiance:

1 année

Dollars 265

3 ans

Dollars 813

5 ans

Dollars 1,387

10 ans

Dollars 2 948

Cet exemple suppose que vous continuez
suivre une stratégie fiduciaire et investir vos investissements, y compris les distributions, chaque année dans un nouveau fonds fiduciaire
de 1,85%.

Investissements
Résumé 3


Portefeuille d'opportunités Transformers, série
2019-3Q

(Fonds disciplinaire des conseillers, 1972)
Portefeuille
Le début de la confiance est 2019. 24 septembre

Nombre
des actions





Probablement
Le symbole



Prestataire de services (1)



Proc
Agrégé
L'offrande
Prix



Le marché
La valeur d'une valeur unique
Partager (1)



Prix
Titres
à
Confiance (2)


COMMON SOBJECTIFS – 100,00%

Services de communication – 12.90%

52

OUVERT

Activision Blizzard, Inc.

1.04 % Dollars 54.18 Dollars 2 817

3

GOOGL

Alphabet, Inc. (4)

1,36 1 234,69 3 704

18ème

BIDU

Baidu, Inc. (3) (4)

0,68 102,37 1.843

124

BILLI

Bilibili, Inc. (3) (4)

0,69 15h10 1.872

29ème

EA

Electronic Arts, Inc. (4)

1,05 98.18 2847

19ème

FB

Facebook, Inc. (4)

1,31 186.82 3550

104

QI

IQIYI, Inc. (3) (4)

0,69 18.08 1.880

7ème

NTES

NetEase, Inc. (3)

0,69 266,70 1.867

13ème

NFLX

Netflix, Inc. (4)

1,27 265.92 3,457

16ème

Emplacement

Spotify Technology S.A. (3) (4)

0,72 121,61 1,946

44

TCEHY

Tencent Holdings Limited (3)

0,69 42.87 1,886

140

TME

Tencent Music Entertainment Group (3) (4)

0,69 13.40 1.876

27ème

DIS

Walt Disney Company

1,32 132,46 3576

52

YNDX

Yandex N.V. (3) (4)

0,70 36,59 1 902

Choix du consommateur – 8,21%

11ème

Baba

Alibaba Group Holding Limited (3) (4)

0,72 176,98 1 947

2

AMZN

Amazon.com, Inc. (4)

1,31 1.785.30 3571

21ème

APTV

PLC d'Aptiv (3)

0,68 87.99 1.848

41

BZUN

Baozun, Inc. (3) (4)

0,68 45,25 1.855

70

EBay

EBay, Inc.

1.04 40.24 2 817

33

ETSY

Etsy, Inc. (4)

0,73 60.54 1 998

62

JD

JD.com, Inc. (3) (4)

0,69 30.33 1.880

3

MELI

MercadoLibre, Inc. (4)

0,60 540.09 1 620

32

SNE

Sony Corporation (3)

0,70 59.12 1 882

12ème

TSLA

Tesla, Inc. (4)

1,06 241.23 2895

Santé – 7,87 pour cent.

27ème

ALXN

Alexion Pharmaceuticals, Inc. (4)

1.04 104.62 2 825

25ème

DHR

Danaher Corporation

1,33 144.60 3615

13ème

DXCM

DexCom, Inc. (4)

0,74 155.33 2 019

19ème

PHOTOS

Science Sciences Corporation (4)

0,73 103,77 1 972

26ème

INCY

Incyte Corporation (4)

0,74 77,64 2 019

5

ISRG

Intuitive Surgical, Inc. (4)

0,97 527.96 2640

12ème

TMO

Thermo Fisher Scientific, Inc.

1,28 290.45 3 485

16ème

VRTX

Vertex Pharmaceuticals, Inc. (4)

1.04 175.88 2 814

(suite)

4 Investissements
Résumé


Transformers Opportunity Portfolio, série
2019-3Q

(Fonds disciplinaire des conseillers, 1972)
Portefeuille
(Suite)
Le début de la confiance est 2019. 24 septembre

Nombre
des actions





Probablement
Le symbole



Prestataire de services (1)



Proc
Agrégé
L'offrande
Prix



Le marché
La valeur d'une valeur unique
Partager (1)



Prix
Titres
à
Confiance (2)


COMMON SOBJECTIFS – (suite)

Industrie – 15,25%

65

BAESY

BAE Systems PLC (3)

0,69 % Dollars 28.73 Dollars 1.867

9ème

BA

Boeing Company

1,25 377.03 3 393

102

FANUY

FANUC Corporation (3)

0,69 18h40 1.877

15ème

GD

General Dynamics Corporation

1,03 186.79 2 802

21ème

HON

Honeywell International, Inc.

1,29 167.14 3 510

20ème

JBT

John Bean Technologies Corporation

0,75 101.86 2 037

9ème

LMT

Lockheed Martin Corporation

1,28 387.67 3 489

44

LYFT

Lyft, Inc. (4)

0,73 45,31 1 994

53

NJDCY

Nidec Corporation (3)

0,68 35.11 1 861

8ème

CNP

Northrop Grumman Corporation

1,09 369.13 2 953

12ème

ROK

Rockwell Automation, Inc.

0,72 164.17 1 970

8ème

POR

Roper Technologies, Inc.

1,06 360.53 2884

35

Ouais

Siemens AG (3)

0,68 53.10 1,858

5

TMD

TransDigm Group, Inc. (4)

0,97 529.44 2647

86

UBER

Uber Technologies, Inc. (4)

1.04 33.00 2838

26ème

UTX

United Technologies Corporation

1,30 135.67 3 527

Technologie de l'information – 55,77%

13ème

ADBE

Adobe Inc. (4)

1,33 277.44 3 607

92

DMLA

Advanced Micro Devices, Inc. (4)

1.04 30,64 2 819

30ème

APH

Amphenol Corporation

1,03 93,64 2 809

25ème

ADI

Analog Devices, Inc.

1,05 114.29 2 857

16ème

AAPL

Apple, Inc.

1,29 218.72 3500

54

AMAT

Matériaux appliqués, Inc.

1,03 51,76 2795

8ème

ASML

ASML Holding N.V. (3)

0,73 248.48 1 988

18ème

ADSK

Autodesk, Inc. (4)

1,01 152,37 2743

12ème

AVGO

Broadcom, Inc.

1,26 285.46 3 426

52

BRKS

Brooks Automation, Inc.

0,74 38,48 2 001

31ème

CDNS

Cadence Design Systems, Inc. (4)

0,75 65,97 2 045

72

CSCO

Cisco Systems, Inc.

1,31 49.42 3 558

42

CGNX

Cognex Corporation

0,74 48.09 2 020

46ème

CTSH

Cognizant Technology Solutions Corporation

1,03 60.83 2798

102

GLW

Corning, Inc.

1.04 27.67 2822

100

DBX

Dropbox, Inc. (4)

0,75 20.28 2 027

36

FN

Fabrinet (3) (4)

0,70 52,52 1 891

39

FARO

FARO Technologies, Inc. (4)

0,74 51,58 2 012

(suite)

Investissements
Résumé 5


Portefeuille d'opportunités Transformers, série
2019-3Q

(Fonds disciplinaire des conseillers, 1972)
Portefeuille
(Suite)
Le début de la confiance est 2019. 24 septembre

Nombre
des actions





Probablement
Le symbole



Prestataire de services (1)



Proc
Agrégé
L'offrande
Prix



Le marché
La valeur d'une valeur unique
Partager (1)



Prix
Titres
à
Confiance (2)


COMMON SOBJECTIFS – (suite)

Technologie de l'information – (suite)

10ème

FLT

FleetCor Technologies, Inc. (4)

1,06 % Dollars 287,72 Dollars 2 877

38

FLIR

FLIR Systems, Inc.

0,75 53,46 2031

25ème

FTNT

Fortinet, Inc. (4)

0,73 79,26 1.981

18ème

GPN

Global Payments, Inc.

1,06 159,66 2 874

118

HOLI

Hollysys Automation Technologies Limited (3)

0,69 15,91 1.877

54

IIVI

II-VI, Inc. (4)

0,73 36,98 1,997

69

INTC

Intel Corporation

1,29 50.90 3 512

23ème

INXN

InterXion Holding N.V. (3) (4)

0,68 80.50 1.852

15ème

IPGP

IPG Photonics Corporation (4)

0,74 133,83 2 007

12ème

LRCX

Lam Research Corporation

1,05 238.24 2 859

13ème

MA

Mastercard, Inc.

1,31 273.15 3 551

30ème

MCHP

Microchip Technology, Inc.

1,02 91.92 2 758

26ème

MSFT

Microsoft Corporation

1,33 139.14 3 618

54

MIME

Mimecast Limited (3) (4)

0,75 37,51 2 026

13ème

NICE

Nice Limitée (3) (4)

0,71 148.90 1 936

20ème

NVDA

NVIDIA Corporation

1,29 174.84 3 497

13ème

PANW

Palo Alto Networks, Inc. (4)

1,00 209.71 2 726

34

PYPL

PayPal Holdings, Inc. (4)

1,32 105.11 3 574

16ème

PFPT

Proofpoint, Inc. (4)

0,75 127,60 2 042

30ème

PTC

PTC, Inc. (4)

0,75 67,51 2 025

26ème

QRVO

Qorvo, Inc. (4)

0,74 77,36 2 011

36

QCOM

QUALCOMM, Inc.

1,02 77.24 2 781

26ème

QLYS

Qualys, Inc. (4)

0,73 76.64 1,993

23ème

CRM

salesforce.com, Inc. (4)

1,31 154,65 3 557

16ème

SAP

SAP SE (3)

0,70 118.90 1 902

11ème

Maintenant

ServiceNow, Inc. (4)

1,08 267.00 2 937

6ème

BOUTIQUE

Shopify, Inc. (3) (4)

0,69 313.26 1.880

18ème

DALLE

Silicon Laboratories, Inc. (4)

0,75 113.41 2 041

25ème

SWKS

Skyworks Solutions, Inc.

0,73 79,84 1,996

16ème

SPLK

Splunk, Inc. (4)

0,72 122,74 1,964

50

SQ

Square, Inc. (4)

1.04 56,76 2 838

97

STM

STMicroelectronics N.V. (3)

0,69 19,37 1 879

(suite)

6ème Investissement
Résumé


Portefeuille d'opportunités Transformers, série
2019-3Q

(Advisors Disciplined Trust 1972)
Portefeuille
(Suite)
À compter de la date d'établissement de la confiance, le 24 septembre 2019

Nombre
des actions





Ticker
Symbole



Emetteur (1)



Pourcentage de
Agrégé
Offrant
Prix



Marché
Valeur par
Partager (1)



Coût de
Titres
à
Confiance (2)


COMMON STOCKS – (suite)

Technologie de l'information – (suite)

21ème

SNPS

Synopsys, Inc. (4)

1,06 % $ 137.11 $ 2 879

43

TSM

Taiwan Semiconductor Manufacturing Company Limited (3)

0,70 07.07 1 895

20ème

TEL

TE Connectivity Limited (3)

0,67 91.57 1.831

28ème

TXN

Texas Instruments, Inc.

1,32 127,77 3 578

53

TRMB

Trimble, Inc. (4)

0,74 38.16 2 022

8ème

TYL

Tyler Technologies, Inc. (4)

0,77 259,96 2 080

20ème

V

Visa, Inc.

1,29 174.91 3 498

28ème

XLNX

Xilinx, Inc.

1,01 5/9/98 2 745

26ème

YASKY

Yaskawa Electric Corporation (3)

0,69 71,60 1 862

26ème

ZEN

Zendesk, Inc. (4)

0,74 77,23 2 008

100.00 % $ 271 757

(suite)

Investissement
Résumé 7ème


Notes au portefeuille

(1)

Les titres sont représentés par des contrats d'achat
ces titres. La valeur de chaque titre est basée sur l’évaluation de chaque titre en tant que fin du négoce régulier sur le New York Stock.
Échange le jour ouvrable précédant la date d'établissement de la confiance. Norme comptable, Codification 820, Évaluation de la juste valeur
établit un cadre pour l'évaluation de la juste valeur et élargit les informations à fournir sur les évaluations à la juste valeur dans les états financiers de la fiducie.
Le cadre de la norme comprend une hiérarchie des justes valeurs qui oblige une entité à utiliser au mieux les données d'entrée observables et à minimiser
utilisation d’intrants non observables pour évaluer la juste valeur. La norme décrit trois niveaux d’intrants pouvant être utilisés pour mesurer la juste valeur:
Niveau 1: Prix cotés (non ajustés) pour
actifs ou passifs identiques sur des marchés actifs auxquels la confiance a la capacité d'accéder à compter de la date d'évaluation.
Niveau 2: entrées observables significatives
autres que les prix de niveau 1, tels que les prix cotés d’actifs ou de passifs similaires, les prix cotés sur des marchés inactifs et d’autres données qui
sont observables ou peuvent être corroborées par des données de marché observables. Certains titres négociés sur des marchés autres que les États-Unis. les échanges peuvent être évalués en utilisant des indications de
juste valeur fournie par un service d'établissement de prix indépendant afin de refléter tous les mouvements importants du marché entre les valeurs temps de confiance de ces titres et
la fermeture anticipée de ces sociétés non américaines. marchés. Ces évaluations à la juste valeur sont classées au niveau 2 dans la hiérarchie des justes valeurs.
Niveau 3: entrées non observables importantes
qui reflètent les propres hypothèses de la fiducie concernant les hypothèses que les intervenants du marché utiliseraient pour évaluer un actif ou un passif.
Les intrants ou méthodologies utilisés pour évaluer
les titres ne constituent pas nécessairement une indication du risque associé à un investissement dans ces titres.
Les modifications des techniques d’évaluation peuvent entraîner
transferts entrant ou sortant du niveau attribué à un investissement, comme décrit ci-dessus.
Le tableau suivant résume les relations de confiance
investissements dès la création de la confiance, en fonction des intrants utilisés pour les évaluer:





Niveau 1



Niveau 2



Niveau 3


Commune
Stocks

$ 271 757 $ $

(2)

Le coût des garanties pour le sponsor et le
Bénéfice ou (perte) du promoteur (qui représente la différence entre le coût des titres pour le promoteur et le coût des titres pour la fiducie)
sont 271 757 $ et 0 $, respectivement.

(3)

Ceci est une sécurité émise par un étranger
société.
Les actions ordinaires représentent 100,00% des investissements dans
fiducie, ventilée par pays d’organisation de l’émetteur, comme indiqué ci-après:

Iles Vierges Britanniques

0,69 %

Canada

0,69 %

Iles Caïman

6,92 %

Allemagne

1,38 %

Israël

0,71 %

Le japon

2,76 %

Jersey

1,43 %

Luxembourg

0,72 %

Pays Bas

2,80 %

Suisse

0,67 %

Taiwan

0,70 %

Royaume-Uni

0,69 %

États-Unis

79,84 %

(4)

Ceci est une sécurité non génératrice de revenu.

8ème Investissement
Résumé


UÉtonnant YNotre JeNVESTMENT

HOW TO BUY
UNITS

Vous pouvez acheter des parts de confiance sur tout
jour ouvrable, la Bourse de New York est ouverte en contactant votre professionnel de la finance. Les prix unitaires sont disponibles quotidiennement sur Internet à
www.AAMlive.com. Le prix d'offre au public des unités comprend:

la valeur liquidative par part plus

frais d'organisation plus

La «valeur nette d'inventaire par part»
représente la valeur des titres, espèces et autres actifs de la fiducie diminuée des passifs de la fiducie, divisée par le nombre total de parts en circulation. Nous
font souvent référence aux unités de prix d'offre publique en tant que "prix d'offre" ou "prix d'achat".
toutes les commandes reçues avant la clôture des négociations ordinaires à la Bourse de New York (normalement à 16 h 00, heure de l'Est). Si nous recevons votre commande
avant la clôture des négociations régulières à la Bourse de New York ou auprès de professionnels de la finance autorisés à recevoir votre ordre avant cette heure et
correctement nous transmettre la commande au moment que nous désignons, vous recevrez alors le prix calculé à la date de réception. Si nous recevons votre
ordre après la clôture des négociations ordinaires à la Bourse de New York, si les professionnels de la finance agréés reçoivent votre ordre après ce moment ou si
les commandes sont reçues par ces personnes et ne nous sont pas transmises au moment que nous désignons, vous recevrez alors le prix calculé à la date
du prochain prix d'offre fixé, à condition que votre commande soit reçue en temps voulu à cette date. C’est la responsabilité du mandataire
professionnel de la finance à envoyer les commandes qu’ils nous ont envoyées dans les meilleurs délais. Certains courtiers peuvent exiger des frais de transaction ou autres
pour le traitement des commandes d'achat d'unités.

Valeur des titres.

Nous déterminons la valeur des titres à la clôture de la négociation régulière à la Bourse de New York quotidiennement lorsque la bourse est ouverte. Nous
détermine généralement la valeur des titres en utilisant le dernier prix de vente négocié sur une bourse de valeurs nationale. À cette fin, le
Le syndic nous fournit les prix de clôture à partir d'un service de reporting approuvé par nous. Dans certains cas, nous fixerons le prix de la sécurité en fonction de la dernière demande ou
prix de l'offre sur le marché hors cote ou en utilisant d'autres méthodes de prix reconnues. Nous ne le ferons que si la sécurité n'est pas principalement négociée
sur une bourse nationale, ou si les cours du marché ne sont pas disponibles ou sont inappropriés.

Nous avons déterminé les prix initiaux du
titres décrits à la rubrique «Portefeuille» dans le présent prospectus, comme il est décrit ci-dessus, à la clôture des négociations à la Bourse de New York.
le jour ouvrable précédant la date du présent prospectus. Le premier jour où nous vendons des parts, nous calculons le prix des parts comme une clôture de la négociation normale.
à la Bourse de New York ou au moment où la déclaration de dépôt déposée auprès de la Securities and Exchange Commission prend effet si
plus tard.

Frais d'organisation. Au cours de
la période d'offre initiale, une partie de la valeur des unités représente le montant qui paiera le coût de la création de votre confiance. Ces coûts incluent
les coûts de préparation de la déclaration d'enregistrement et des documents juridiques, les frais d'enregistrement fédéraux et des états, les frais initiaux et les dépenses du
fiduciaire et audit initial. Votre fiducie vendra les titres pour nous rembourser ces frais à la fin de la période initiale de placement ou après six mois.
mois, si plus tôt. La valeur de vos parts diminuera lorsque la fiducie paiera ces coûts.

Frais de vente. Le maximum
Les frais de vente sont indiqués à la rubrique «Frais» pour votre confiance et représentent 1,85% du prix d'offre par unité de temps.
achat.

Vous payez des frais en relation avec
achat d'unités. Nous appelons ces frais les «frais de vente transactionnels». Les frais de vente transactionnels ont une valeur initiale et une valeur différée.
composant. Les frais de vente transactionnels correspondent à 1,35% du prix d'offre au public par part calculés au taux public de 10 $.

Comprendre votre
Investissement 9ème



offrant
prix unitaire. Le montant en pourcentage de la commission de vente transactionnelle est basé sur le
prix unitaire à la date de création de votre confiance. La commission de vente transactionnelle est égale à la
la différence entre le total des frais de vente et les frais de création et de développement. En conséquence,
le pourcentage et le montant en dollars de la commission de vente transactionnelle varieront, le public
prix d'offre par unité varie. Les frais de vente transactionnels n'incluent pas la création
et les frais de développement décrits à la rubrique «Frais» pour votre confiance.

Vous
payer les frais de vente initiaux, le cas échéant, au moment de l’achat de parts. Les frais de vente initiaux sont de
la différence entre le pourcentage total des frais de vente (maximum de 1,85% du public
prix d'offre unitaire) et la somme des frais d'acquisition différés en dollars fixes restants
et le total des frais de création et de développement en dollars fixes. Les frais de vente initiaux seront
0,00% du prix d'offre par unité au prix d'offre de 10 $.
Si le prix d'offre au public par unité dépasse 10 $, des frais de vente initiaux vous seront facturés.
frais égal à la différence entre le pourcentage total des frais de vente (maximum de 1,85%
du prix d'offre par unité) et la somme du dollar fixe restant à différer
commission de vente et total des frais de création et de développement en dollars fixes. Les frais de vente différés
est fixé à 0,135 $ par unité. Votre confiance paye les frais de vente différés en un mois égal
les versements décrits à la rubrique «Frais» pour votre confiance. Si vous
racheter ou vendre vos parts avant le recouvrement du total des frais de vente reportés, vous
acquittez les frais d'acquisition différés restants au rachat ou à la vente de vos parts.

Depuis
les frais de vente reportés et les frais de création et de développement sont des montants fixes en dollars par
unité, votre confiance doit imputer ces montants par part quelle que soit la diminution du bénéfice net.
valeur de l'actif. Par conséquent, si le prix d'offre au public par part tombe à moins de 10 $
(le pourcentage maximum des frais d’achat est donc inférieur à
les montants en dollars fixes combinés des frais de vente reportés et des frais de création et de développement
frais), vos frais de vente initiaux seront égaux au montant par lequel ces frais fixes
les frais en dollars dépassent les frais d'acquisition au moment où vous achetez des parts. Dans une telle situation, le
la valeur des titres par part excéderait le prix d'offre au public par part du montant
du crédit de commission de vente initial et de la valeur de ces titres fluctuera
pourrait entraîner un avantage ou un préjudice pour les porteurs de parts qui achètent des parts à ce prix.
Le crédit pour frais d'acquisition initiaux est payé par le sponsor et n'est pas payé par la fiducie.

Si
vous achetez des parts après l’évaluation du dernier paiement sur les frais d’acquisition reportés, le
commission de vente sur le marché correspond à 1,85% du prix d'offre et n'inclut pas
paiements différés {à savoir les porteurs de parts qui achètent sur le marché secondaire après encaissement
frais de vente reportés).

Minimum
Achat
Le montant minimum que vous pouvez acheter auprès d’une fiducie apparaît à la page 3
sous «Informations essentielles», mais ces montants peuvent varier en fonction de votre
entreprise de vente.

Réduire
Vos frais de vente
. Nous proposons différents moyens de réduire les frais que vous payez.
Il incombe à votre professionnel de la finance de nous alerter de tout rabais lorsque
vous commandez des unités. Sauf disposition expresse contraire, vous ne pouvez pas combiner des réductions.
Étant donné que les frais de vente reportés et les frais de création et de développement sont des montants en dollars fixes
par unité, votre confiance doit facturer ces frais par unité indépendamment des rabais. Cependant
si vous êtes admissible à un rabais de sorte que vos frais de vente totaux soient inférieurs à
les montants en dollars fixes de la commission de vente différée et de la commission de création et de développement,
nous vous créditerons la différence entre vos frais de vente totaux et ces dollars fixes
frais au moment où vous achetez des parts.

Frais
Les comptes
. Les investisseurs peuvent acheter des parts par l’intermédiaire de conseillers en placement inscrits, certifiés
planificateurs financiers ou courtiers inscrits qui, dans chaque cas, facturent à l'investisseur
comptes («comptes d’honoraires»), frais périodiques pour services de courtage, planification financière,
des services de conseil en investissement ou de gestion d’actifs, ou la fourniture de tels services
avec un compte d'investissement pour des frais d'emballage complets

10ème Comprendre votre
Investissement


(«Wrap Fee») est imposée. Vous
devrait consulter votre conseiller financier pour déterminer si vous pouvez bénéficier de ces comptes. Pour acheter des unités dans ces frais
Compte, votre conseiller financier doit acheter des parts désignées par l’un des numéros CUSIP du compte avec frais, s’il est disponible. S'il vous plait
contactez votre conseiller financier pour plus d'informations. Si des parts de confiance sont achetées pour un compte avec frais et que les parts sont assujetties
frais intégrés dans un tel compte (c.-à-d. que la fiducie est «admissible aux frais intégrés»), les investisseurs peuvent alors être autorisés à acheter
des unités de confiance dans ces comptes avec frais qui ne sont pas assujettis aux frais de vente à la transaction, mais sont assujettis à la création
et frais de développement qui sont conservés par le sponsor. Par exemple, ce tableau illustre les frais de vente que vous devrez payer en pourcentage.
du prix d'offre initial de 10 $ par unité (le pourcentage variera en fonction du prix unitaire).

Commission de vente initiale

0.00 %

Frais de vente différés

0.00 %

Frais de vente transactionnels

0.00 %

Frais de création et de développement

0.50 %

Total des frais de vente

0.50 %

Cette
le rabais s'applique uniquement pendant la période d'offre initiale. Certains investisseurs ayant des comptes avec frais
peuvent être soumis à des frais de transaction ou autres, lors de l’achat et / ou du rachat de parts
par leur courtier ou d'autres organismes de traitement pour fournir certaines transactions
ou activités de compte. Nous nous réservons le droit de limiter ou de refuser l’achat de parts dans Fee.
Les comptes des investisseurs ou des sociétés vendant des activités commerciales fréquentes sont déterminés
être préjudiciable à la confiance.

Les employés.
Nous renonçons aux frais de vente transactionnels pour les achats effectués par les dirigeants, les administrateurs et les
les employés (et les membres de la famille immédiate) du sponsor et de ses filiales. Ces achats
ne sont pas soumis à la commission de vente transactionnelle, mais seront soumis à la création et
frais de développement. Nous renonçons également à une partie des frais de vente pour les achats effectués par les agents,
directeurs et employés (et membres de la famille immédiate) des sociétés de vente. Ces achats
sont effectués au prix d'offre par unité moins la concession du concessionnaire régulier applicable.
Les membres de la famille immédiate aux fins de la présente section incluent votre conjoint, vos enfants
(y compris les beaux-enfants) de moins de 21 ans vivant dans le même ménage et les parents
(y compris les beaux-parents). Ces réductions s’appliquent à la période d’offre initiale et aux
achats sur le marché. Tous les rabais des employés sont soumis aux politiques relatives à la vente
entreprise, y compris, mais sans s'y limiter, les politiques ou les limitations concernant les ménages. Seuls les officiers,
                                         directors and employees (and their immediate family members) of selling firms that allow
                                         such persons to participate in this employee discount program are eligible for the discount.

Dividend
                                         Reinvestment Plan
. We do not charge any sales fee when you reinvest distributions
                                         from your trust into additional units of the trust. This sales fee discount applies to
                                         initial offering period and secondary market purchases. Since the deferred sales fee
                                         and the creation and development fee are fixed dollar amounts per unit, your trust must
                                         charge these fees per unit regardless of this discount. If you elect the distribution
                                         reinvestment plan, we will credit you with additional units with a dollar value sufficient
                                         to cover the amount of any remaining deferred sales fee or creation and development fee
                                         that will be collected on such units at the time of reinvestment. The dollar value of
                                         these units will fluctuate over time.

Retirement
                                         Accounts.
The portfolio may be suitable for purchase in tax-advantaged retirement
                                         accounts. You should contact your financial professional about the accounts offered and
                                         any additional fees imposed.

HOW
TO SELL YOUR
UNITS

You can sell or redeem your units on any
business day the New York Stock Exchange is open by contacting your financial professional. Unit prices are available daily on the Internet at
www.AAMlive.com or through your financial professional. The sale and redemption price of units is equal to the net asset value per unit,
provided that you will not pay any remaining creation and

Understanding Your
Investment 11


development fee or organization
costs if you sell or redeem units during the initial offering period. The sale and redemption price is sometimes referred to as the “liquidation
price.” You pay any remaining deferred sales fee when you sell or redeem your units. Certain broker-dealers may charge a transaction or other fee
for processing unit redemption or sale requests.

Selling Units. We may
maintain a secondary market for units. This means that if you want to sell your units, we may buy them at the current net asset value, provided that
you will not pay any remaining creation and development fee or organization costs if you sell units during the initial offering period. We may then
resell the units to other investors at the public offering price or redeem them for the redemption price. Our secondary market repurchase price is the
same as the redemption price. Certain broker-dealers might also maintain a secondary market in units. You should contact your financial professional
for current repurchase prices to determine the best price available. We may discontinue our secondary market at any time without notice. Even if we do
not make a market, you will be able to redeem your units with the trustee on any business day for the current redemption price.

Redeeming Units. You may
also redeem your units directly with the trustee, The Bank of New York Mellon, on any day the New York Stock Exchange is open. The redemption price
that you will receive for units is equal to the net asset value per unit, provided that you will not pay any remaining creation and development fee or
organization costs if you redeem units during the initial offering period. You will pay any remaining deferred sales fee at the time you redeem units.
You will receive the net asset value for a particular day if the trustee receives your completed redemption request prior to the close of regular
trading on the New York Stock Exchange. Redemption requests received by authorized financial professionals prior to the close of regular trading on the
New York Stock Exchange that are properly transmitted to the trustee by the time designated by the trustee, are priced based on the date of receipt.
Redemption requests received by the trustee after the close of regular trading on the New York Stock Exchange, redemption requests received by
authorized financial professionals after that time or redemption requests received by such persons that are not transmitted to the trustee until after
the time designated by the trustee, are priced based on the date of the next determined redemption price provided they are received in a timely manner
by the trustee on such date. It is the responsibility of authorized financial professionals to transmit redemption requests received by them to the
trustee so they will be received in a timely manner. If your request is not received in a timely manner or is incomplete in any way, you will receive
the next net asset value computed after the trustee receives your completed request.

If you redeem your units, the trustee
will generally send you a payment for your units no later than seven days after it receives all necessary documentation (this will usually only take
two business days). The only time the trustee can delay your payment is if the New York Stock Exchange is closed (other than weekends or holidays), the
Securities and Exchange Commission determines that trading on that exchange is restricted or an emergency exists making sale or evaluation of the
securities not reasonably practicable, and for any other period that the Securities and Exchange Commission permits.

You can request an in-kind distribution
of the securities underlying your units if you tender at least 2,500 units for redemption (or such other amount as required by your financial
professional’s firm). This option is generally available only for securities traded and held in the United States. The trustee will make any
in-kind distribution of securities by distributing applicable securities in book entry form to the account of your financial professional at Depository
Trust Company. You will receive whole shares of the applicable securities and cash equal to any fractional shares. You may not request this option
à

12 Understanding Your
Investment


the last 30 days of your
trust’s life. We may discontinue this option upon sixty days notice.

Rollover Option. Your
trust’s strategy may be a long-term investment strategy designed to be followed on an annual basis. You may achieve more
consistent long-term investment results by following the strategy. As part of the strategy, we currently intend to offer a subsequent
series of your trust for a rollover when the current trust terminates. When your trust terminates you will have the option to (1)
participate in a rollover and have your units reinvested into a subsequent trust series through a cash rollover as described in
this section, (2) receive an in-kind distribution of securities or (3) receive a cash distribution.

If you elect to participate in a
rollover, your units will be redeemed on your trust’s termination date. As the redemption proceeds become available, the proceeds
(including dividends) will be invested in a new trust series, if available, at the public offering price for the new trust.
trustee will attempt to sell securities to satisfy the redemption as quickly as practicable on the termination date. We do not anticipate
that the sale period will be longer than one day, however, certain factors could affect the ability to sell the securities and could
impact the length of the sale period. The liquidity of any security depends on the daily trading volume of the security and the
amount available for redemption and reinvestment on any day.

We intend to make subsequent trust
series available for sale at various times during the year. Of course, we cannot guarantee that a subsequent trust or sufficient units
will be available or that any subsequent trusts will offer the same investment strategies or objectives as current trusts. We
cannot guarantee that a rollover will avoid any negative market price consequences resulting from trading large volumes of
titres. Market price trends may make it advantageous to sell or buy securities more quickly or more slowly than permitted by
the trust procedures. We may, in our sole discretion, modify a rollover or stop creating units of any future trust at any time
regardless of whether all proceeds of unitholders have been reinvested in a rollover. We may decide not to offer a rollover option
upon sixty days notice. Cash which has not been reinvested in a rollover will be distributed to unitholders shortly after the
termination date. Rollover participants may receive taxable dividends or realize taxable capital gains which are reinvested in connection
with a rollover but may not be entitled to a deduction for capital losses due to the “wash sale” tax rules. Due to the
reinvestment in a subsequent trust, no cash will be distributed to pay any taxes. See “Understanding Your
Investment—Taxes”.

DISTRIBUTIONS

Distributions. Your trust
generally pays distributions of its net investment income along with any excess capital on each distribution date to unitholders of record on the
preceding record date. The record and distribution dates are shown under “Essential Information” in the “Investment Summary”
section of this prospectus. In some cases, your trust might pay a special distribution if it holds an excessive amount of cash pending distribution.
For example, this could happen as a result of a merger or similar transaction involving a company whose stock is in your portfolio. The trust will also
generally make required distributions or distributions to avoid imposition of tax at the end of each year because it is structured as a “regulated
investment company” for federal tax purposes. The amount of your distributions will vary from time to time as companies change their dividends or
trust expenses change.

Reports. The trustee or
your financial professional will make available to you a statement showing income and other receipts of your trust for each distribution. Each year the
trustee will also provide an annual report on your trust’s activity and certain tax information. You can request copies of security evaluations to
enable you to complete your tax forms and audited financial statements for your trust, if available.

Understanding Your
Investment 13


INVESTMENT
RISKS

All investments involve risk. This
section describes the main risks that can impact the value of the securities in your portfolio. You should understand these risks before you invest. Si
the value of the securities falls, the value of your units will also fall. We cannot guarantee that your trust will achieve its objective or that your
investment return will be positive over any period.

Market Risk. Market risk
is the risk that the value of the securities in your trust will fluctuate. This could cause the value of your units to fall below your original
purchase price. Market value fluctuates in response to various factors. These can include changes in interest rates, inflation, the financial condition
of a security’s issuer, perceptions of the issuer, or ratings on a security. Even though we supervise your portfolio, you should remember that we
do not manage your portfolio. Your trust will not sell a security solely because the market value falls as is possible in a managed
fund.

Dividend Payment Risk.

Dividend payment risk is the risk that an issuer of a security is unwilling or unable to pay income on a security. Stocks represent ownership interests
in the issuers and are not obligations of the issuers. Common stockholders have a right to receive dividends only after the company has provided for
payment of its creditors, bondholders and preferred stockholders. Common stocks do not assure dividend payments. Dividends are paid only when declared
by an issuer’s board of directors and the amount of any dividend may vary over time.

Sector Concentration Risk.

Sector concentration risk is the risk that the value of your trust is more susceptible to fluctuations based on factors that impact a particular sector
because the portfolio concentrates in companies within that sector. A portfolio “concentrates” in a sector when securities in a particular
sector make up 25% or more of the portfolio. Refer to the “Principal Risks” in the “Investment Summary” section of this prospectus
for sector concentrations.

The trust concentrates in securities of
companies in the Informacinės technologijos sector. Technology companies are generally subject to the risks of rapidly changing technologies; trumpas
product life cycles; fierce competition; aggressive pricing; frequent introduction of new or enhanced products; the loss of patent, copyright and
trademark protections; cyclical market patterns; evolving industry standards; and frequent new product introductions. Technology companies may be
smaller and less experienced companies, with limited product lines, markets or financial resources. Technology company stocks may experience extreme
price and volume fluctuations that are often unrelated to their operating performance, and may experience significant market declines in their share
values.

Foreign Issuer Risk. An
investment in securities of foreign issuers involves certain risks that are different in some respects from an investment in securities of domestic
issuers. These include risks associated with future political and economic developments, international trade conditions, foreign withholding taxes,
liquidity concerns, currency fluctuations, volatility, restrictions on foreign investments and exchange of securities, potential for expropriation of
assets, confiscatory taxation, difficulty in obtaining or enforcing a court judgment, potential inability to collect when a company goes bankrupt and
economic, political or social instability. Moreover, individual foreign economies may differ favorably or unfavorably from the U.S. economy for reasons
including differences in growth of gross domestic product, rates of inflation, capital reinvestment, resources, self-sufficiency and balance of
payments positions. There may be less publicly available information about a foreign issuer than is available from a domestic issuer as a result of
different accounting, auditing and financial reporting standards. Some foreign markets are less liquid than U.S. markets which could cause securities
to be bought at a higher

14 Understanding Your
Investment


price or sold at a lower price than
would be the case in a highly liquid market.

Securities of certain foreign issuers
may be denominated or quoted in currencies other than the U.S. dollar. Foreign issuers also make payments and conduct business in foreign currencies.
Many foreign currencies have fluctuated widely in value against the U.S. dollar for various economic and political reasons. Changes in foreign currency
exchange rates may affect the value of foreign securities and income payments. Generally, when the U.S. dollar rises in value against a foreign
currency, a security denominated in that currency loses value because the currency is worth fewer U.S. dollars. Conversely, when the U.S. dollar
decreases in value against a foreign currency, a security denominated in that currency gains value because the currency is worth more U.S. dollars.
U.S. dollar value of income payments on foreign securities will fluctuate similarly with changes in foreign currency values.

Brokerage and other transaction costs on
foreign exchanges are often higher than in the U.S. and there is generally less governmental supervision of exchanges, brokers and issuers in foreign
countries. The increased expense of investing in foreign markets may reduce the amount an investor can earn on its investments and typically results in
a higher operating expense ratio than investments in only domestic securities. Custody of certain securities may be maintained by a global custody and
clearing institution. Settlement and clearance procedures in certain foreign markets differ significantly from those in the U.S. Foreign settlement and
clearance procedures and trade regulations also may involve certain risks (such as delays in payment for or delivery of securities) not typically
associated with the settlement of domestic securities. Round lot trading requirements exist in certain foreign securities markets which could cause the
proportional composition and diversification of the portfolio to vary when the trust buys or sells securities.

Certain foreign securities may be held
in the form of American Depositary Receipts (“ADRs”), Global Depositary Receipts (“GDRs”), or other similar receipts. Depositary
receipts represent receipts for foreign securities deposited with a custodian (which may include the trustee of the trust). Depository receipts may not
be denominated in the same currency as the securities into which they may be converted. ADRs typically trade in the U.S. in U.S. dollars and are
registered with the Securities and Exchange Commission. GDRs are similar to ADRs, but GDRs typically trade outside of the U.S. and outside of the
country of the issuer in the currency of the country where the GDR trades. Depositary receipts generally involve most of the same types of risks as
foreign securities held directly but typically also involve additional expenses associated with the cost of the custodian’s services. Some
depositary receipts may experience less liquidity than the underlying securities traded in their home market. Certain depositary receipts are
unsponsored (i.e. issued without the participation or involvement of the issuer of the underlying security). The issuers of unsponsored depositary
receipts are not obligated to disclose information that may be considered material in the U.S. Therefore, there may be less information available
regarding these issuers which can impact the relationship between certain information impacting a security and the market value of the depositary
receipts.

Small and Mid-Size Companies.
The trust may invest in securities issued by small and mid-size companies. The share prices of these companies are often more volatile than
those of larger companies as a result of several factors common to many such issuers, including limited trading volumes, products or financial
resources, management inexperience and less publicly available information.

Liquidity Risk. Liquidity
risk is the risk that the value of a security will fall if trading in the security is limited or absent. No one can guarantee that a liquid trading
market will exist for any security.

Understanding Your
Investment 15


Legislation/Litigation.

From time to time, various legislative initiatives are proposed in the United States and abroad which may have a negative impact on certain of the
companies represented in the trust. In addition, litigation regarding any of the issuers of the securities or of the industries represented by these
issuers may negatively impact the share prices of these securities. No one can predict what impact any pending or threatened litigation will have on
the share prices of the securities.

No FDIC Guarantee. An
investment in the trust is not a deposit of any bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other
government agency.

HOW THE TRUST
WORKS

Your Trust. Your trust is
a unit investment trust registered under the Investment Company Act of 1940. We created the trust under a trust agreement between Advisors Asset
Management, Inc. (as depositor/sponsor, evaluator and supervisor) and The Bank of New York Mellon (as trustee). To create your trust, we deposited
securities with the trustee (or contracts to purchase securities along with an irrevocable letter of credit or other consideration to pay for the
securities). In exchange, the trustee delivered units of your trust to us. Each unit represents an undivided interest in the assets of your trust.
These units remain outstanding until redeemed or until your trust terminates. At the close of the New York Stock Exchange on the trust’s inception
date, the number of units may be adjusted so that the public offering price per unit equals $10. The number of units and fractional interest of each
unit in the trust will increase or decrease to the extent of any adjustment.

Changing Your Portfolio.
Your trust is not a managed fund. Unlike a managed fund, we designed your portfolio to remain relatively fixed. Your trust will generally buy and sell
securities:

to issue additional units or redeem units,

to take actions in response to certain corporate actions and
other events impacting portfolio securities,

in limited circumstances to protect the trust,

to make required distributions or avoid imposition of taxes on the
trust, or

as permitted by the trust agreement.

When your trust sells securities, the
composition and diversification of the securities in the portfolio may be altered. If a public tender offer has been made for a security or a merger,
acquisition or similar transaction has been announced affecting a security, the trustee may either sell the security or accept a tender offer if the
supervisor determines that the action is in the best interest of unitholders. The trustee will distribute any cash proceeds to unitholders. If an offer
by the issuer of any of the portfolio securities or any other party is made to issue new securities, or to exchange securities, for trust portfolio
securities, the trustee will at the direction of the sponsor, vote for or against, or accept or reject, any offer for new or exchanged securities or
property in exchange for a trust portfolio security. If any such issuance, exchange or substitution occurs (regardless of any action or rejection by a
trust), any securities and/or property received will be deposited into the trust and will be promptly sold by the trustee pursuant to the
sponsor’s direction, unless the sponsor advises the trustee to keep such securities or property. If any contract for the purchase of securities
fails, the sponsor will refund the cash and sales fee attributable to the failed contract to unitholders on or before the next distribution date unless
substantially all of the moneys held to cover the purchase are reinvested in substitute securities in accordance with the trust agreement. The sponsor
may direct the reinvestment of security sale proceeds if the sale is the direct result of serious adverse credit factors which, in the opinion of the
sponsor, would make retention of the securities detrimental to the trust. In such a case, the sponsor may, but is not obligated to, direct

16 Understanding Your
Investment


reinvestment of sale proceeds in any
other securities that meet the criteria for inclusion in the trust on the trust’s inception date. The sponsor may also instruct the trustee to
take action necessary to ensure that the portfolio continues to satisfy the qualifications of a regulated investment company.

We will increase the size of your trust
as we sell units. When we create additional units, we will seek to replicate the existing portfolio. When your trust buys securities, it may pay
brokerage or other acquisition fees. You could experience a dilution of your investment because of these fees and fluctuations in security prices
between the time we create units and the time your trust buys the securities. When your trust buys or sells securities, we may direct that it place
orders with and pay brokerage commissions to brokers that sell units or are affiliated with us, your trust or the trustee.

Pursuant to an exemptive order, your
trust may be able to purchase securities from other trusts that we sponsor when we create additional units. Your trust may also be able to sell
securities to other trusts that we sponsor to satisfy unit redemption, pay deferred sales charges or expenses, in connection with periodic tax
compliance or in connection with the termination of your trust. The exemption may enable each trust to eliminate commission costs on these
transactions. The price for those securities will be the closing price on the sale date on the exchange where the securities are principally traded as
certified by us to the trustee.

Amending the Trust
Agreement.
The sponsor and the trustee can change the trust agreement without your consent to correct any provision that may be defective or to
make other provisions that will not materially adversely affect your interest (as determined by the sponsor and the trustee). We cannot change this
agreement to reduce your interest in your trust without your consent. Investors owning two-thirds of the units in your trust may vote to change this
agreement.

Termination of Your Trust.

Your trust will terminate on the termination date set forth under “Essential Information” in the “Investment Summary” section of
this prospectus. The trustee may terminate your trust early if the value of the trust is less than 40% of the original value of the securities in the
trust at the time of deposit. At this size, the expenses of your trust may create an undue burden on your investment. Investors owning two-thirds of
the units in your trust may also vote to terminate the trust early. The trustee will liquidate the trust in the event that a sufficient number of units
not yet sold to the public are tendered for redemption so that the net worth of the trust would be reduced to less than 40% of the value of the
securities at the time they were deposited in the trust. If this happens, we will refund any sales charge that you paid.

You will receive your final distribution
within a reasonable time following liquidation of all the securities after deducting final expenses. Your termination distribution may be less than the
price you originally paid for your units.

The Sponsor. The sponsor
of the trust is Advisors Asset Management, Inc. We are a broker-dealer specializing in providing trading and support services to broker-dealers,
registered representatives, investment advisers and other financial professionals. Our headquarters are located at 18925 Base Camp Road, Monument,
Colorado 80132. You can contact our unit investment trust division at 8100 East 22nd Street North, Building 800, Suite 102, Wichita, Kansas
67226 or by using the contacts listed on the back cover of this prospectus. AAM is a registered broker-dealer and investment adviser, a member of FINRA
and Securities Investor Protection Corporation (SIPC) and a registrant of the Municipal Securities Rulemaking Board (MSRB). If we fail to or cannot
perform our duties as sponsor or become bankrupt, the trustee may replace us, continue to operate your trust without a sponsor, or terminate your
trust.

Understanding Your
Investment 17


We and your trust have adopted a code of
ethics requiring our employees who have access to information on trust transactions to report personal securities transactions. The purpose of the code
is to avoid potential conflicts of interest and to prevent fraud, deception or misconduct with respect to your trust.

The sponsor or an affiliate may use the
list of securities in the trust in its independent capacity (which may include acting as an investment adviser or broker-dealer) and distribute this
information to various individuals and entities. The sponsor or an affiliate may recommend or effect transactions in the securities. This may also have
an impact on the price your trust pays for the securities and the price received upon unit redemption or trust termination. The sponsor may act as
agent or principal in connection with the purchase and sale of securities, including those held by the trust, and may act as a specialist market maker
in the securities. The sponsor may also issue reports and make recommendations on the securities in the trust. The sponsor or an affiliate may have
participated in a public offering of one or more of the securities in the trust. The sponsor, an affiliate or their employees may have a long or short
position in these securities or related securities. An officer, director or employee of the sponsor or an affiliate may be an officer or director for
the issuers of the securities.

The Trustee. The Bank of
New York Mellon is the trustee of your trust with its principal unit investment trust division offices located at 2 Hanson Place, 12th Floor, Brooklyn,
New York 11217. You can contact the trustee by calling the telephone number on the back cover of this prospectus or by writing to its unit investment
trust office. We may remove and replace the trustee in some cases without your consent. The trustee may also resign by notifying us and
investors.

How We Distribute Units.

We sell units to the public through broker-dealers and other firms. These distribution firms each receive part of the sales fee when they sell units.
During the initial offering period, the broker-dealer concession or agency commission for broker-dealers and other firms is 1.25% of the public
offering price per unit at the time of the transaction. The broker-dealer concession or agency commission is 65% of the sales fee for secondary market
sales. No broker-dealer concession or agency commission is paid to broker-dealers, investment advisers or other selling firms in connection with unit
sales in Fee Accounts subject to a Wrap Fee.

Broker-dealers and other firms that sell
units of certain unit investment trusts for which AAM acts as sponsor are eligible to receive additional compensation for volume sales. The sponsor
offers two separate volume concession structures for certain trusts that are referred to as “Volume Concession A” and “Volume Concession
B.” The trust offered in this prospectus is a Volume Concession A trust. Broker-dealers and other firms that sell units of any Volume Concession A
trust are eligible to receive the additional compensation described below. Such payments will be in addition to the regular concessions paid to firms
as set forth in the applicable trust’s prospectus.

The additional concession for sales in a
calendar month is based on total initial offering period sales of all Volume Concession A trusts during the 12-month period through the end of the
preceding calendar month as set forth in the following table:

Initial Offering Period Sales
In
Preceding 12 Months





Volume
Concession


$25,000,000 but less than $100,000,000

0.035 %

$100,000,000 but less than $150,000,000

0.050

$150,000,000 but less than $250,000,000

0.075

$250,000,000 but less than $1,000,000,000

0.100

$1,000,000,000 but less than $5,000,000,000

0.125

$5,000,000,000 but less than $7,500,000,000

0.150

$7,500,000,000 or more

0.175

We will pay these amounts out of our own
assets within a reasonable time following each calendar month.

The volume concessions will be paid on
units of all Volume Concession A trusts sold in the initial offering period, except as described below. For a trust to be eligible for this additional
Volume Concession A compensation, the

18 Understanding Your
Investment


trust’s prospectus must include
disclosure related to the additional Volume Concession A compensation; a trust is not eligible for additional Volume Concession A compensation if the
prospectus for such trust does not include disclosure related to the additional Volume Concession A compensation. In addition, dealer firms will not
receive volume concessions on the sale of units which are not subject to a transactional sales charge. However, such sales will be included in
determining whether a firm has met the sales level breakpoints for volume concessions subject to the policies of the related selling firm. Secondary
market sales of all unit trusts are excluded for purposes of these volume concessions.

Any sales fee discount is borne by the
broker-dealer or selling firm out of the broker-dealer concession or agency commission. We reserve the right to change the amount of compensation paid
to selling firms from time to time. Some broker-dealers and other selling firms may limit the compensation they or their representatives receive in
connection with unit sales. As a result, certain broker-dealers and other selling firms may waive or refuse payment of all or a portion of the regular
concession or agency commission and/or volume concession described above and instruct the sponsor to retain such amounts rather than pay or allow the
amounts to such firm.

We currently may provide, at our
own expense and out of our own profits, additional compensation and benefits to broker-dealers and other firms who sell units of this trust and
our other products. This compensation is intended to result in additional sales of our products and/or compensate broker-dealers and financial advisors
for past sales. A number of factors are considered in determining whether to pay these additional amounts. Such factors may include, but are not
limited to, the level or type of services provided by the intermediary, the level or expected level of sales of our products by the intermediary or its
agents, the placing of our products on a preferred or recommended product list and access to an intermediary’s personnel. We may make these
payments for marketing, promotional or related expenses, including, but not limited to, expenses of entertaining retail customers and financial
advisors, advertising, sponsorship of events or seminars, obtaining information about the breakdown of unit sales among an intermediary’s
representatives or offices, obtaining shelf space in broker-dealer firms and similar activities designed to promote the sale of our products. We make
such payments to a substantial majority of intermediaries that sell our products. We may also make certain payments to, or on behalf of, intermediaries
to defray a portion of their costs incurred for the purpose of facilitating unit sales, such as the costs of developing or purchasing trading systems
to process unit trades. Payments of such additional compensation described in this paragraph and the volume concessions described above, some of which
may be characterized as “revenue sharing,” may create an incentive for financial intermediaries and their agents to sell or recommend our
products, including this trust, over other products. These arrangements will not change the price you pay for your units.

We generally register units for sale in
various states in the U.S. We do not register units for sale in any foreign country. This prospectus does not constitute an offer of units in any state
or country where units cannot be offered or sold lawfully. We may reject any order for units in whole or in part.

We may gain or lose money when we hold
units in the primary or secondary market due to fluctuations in unit prices. The gain or loss is equal to the difference between the price we pay for
units and the price at which we sell or redeem them. We may also gain or lose money when we deposit securities to create units. The amount of our
profit or loss on the initial deposit of securities into the trust is shown in the “Notes to Portfolio.”

Understanding Your
Investment 19


TAXES

This section summarizes some of the main
U.S. federal income tax consequences of owning units of the trust. This section is current as of the date of this prospectus. Tax laws and
interpretations change frequently, and these summaries do not describe all of the tax consequences to all taxpayers. For example, these summaries
generally do not describe your situation if you are a corporation, a non-U.S. person, a broker/dealer, or other investor with special circumstances. In
addition, this section does not describe your state, local or foreign tax consequences.

This federal income tax summary is based
in part on the advice of counsel to the sponsor. The Internal Revenue Service could disagree with any conclusions set forth in this section. In
addition, our counsel was not asked to review, and has not reached a conclusion with respect to the federal income tax treatment of the assets to be
deposited in your trust. This may not be sufficient for you to use for the purpose of avoiding penalties under federal tax law.

As with any investment, you should seek
advice based on your individual circumstances from your own tax advisor.

Trust Status. Your trust
intends to qualify as a “regulated investment company” under the federal tax laws. If your trust qualifies as a regulated investment company
and distributes its income as required by the tax law, your trust generally will not pay federal income taxes. If your trust invests in a partnership,
an adverse federal income tax audit of that partnership could result in the trust being required to pay federal income tax or pay a deficiency dividend
(without having received additional cash).

Distributions. Trust
distributions are generally taxable. After the end of each year, you will receive a tax statement that separates your trust’s distributions into
three categories: ordinary income distributions, capital gain dividends and return of capital. Ordinary income distributions are generally taxed at
your ordinary tax rate, however, as further discussed below, certain ordinary income distributions received from your trust may be taxed at the capital
gains tax rates. Generally, you will treat all capital gain dividends as long-term capital gains regardless of how long you have owned your units. À qui
determine your actual tax liability for your capital gain dividends, you must calculate your total net capital gain or loss for the tax year after
considering all of your other taxable transactions, as described below. In addition, your trust may make distributions that represent a return of
capital for tax purposes and thus will generally not be taxable to you. A return of capital, although not initially taxable to you, will result in a
reduction in the basis in your units and subsequently result in higher levels of taxable capital gains in the future. In addition, if the non-dividend
distribution exceeds your basis in your units, you will have long-term or short-term gain depending upon your holding period. The tax status of your
distributions from your trust is not affected by whether you reinvest your distributions in additional units or receive them in cash. The income from
your trust that you must take into account for federal income tax purposes is not reduced by amounts used to pay a deferred sales fee, if any. The tax
laws may require you to treat distributions made to you in January as if you had received them on December 31 of the previous year. Income from your
trust may also be subject to a 3.8 percent “medicare tax.” This tax generally applies to your net investment income if your adjusted gross
income exceeds certain threshold amounts, which are $250,000 in the case of married couples filing joint returns and $200,000 in the case of single
individuals.

Dividends Received
Deduction.
A corporation that owns units generally will not be entitled to the dividends received deduction with respect to many dividends
received from your trust because the dividends received deduction is generally not available for distributions from regulated investment companies.
However, certain ordinary income dividends on units that are

20 Understanding Your
Investment


attributable to qualifying dividends
received by your trust from certain corporations may be reported by the trust as being eligible for the dividends received deduction.

Sale or Redemption of
Units.
If you sell or redeem your units, you will generally recognize a taxable gain or loss. To determine the amount of this gain or loss, you
must subtract your tax basis in your units from the amount you receive in the transaction. Your tax basis in your units is generally equal to the cost
of your units, generally including sales charges. In some cases, however, you may have to adjust your tax basis after you purchase your
units.

Capital Gains and Losses and
Certain Ordinary Income Dividends.
If you are an individual, the maximum marginal stated federal tax rate for net capital gain is generally 20%
(15% or 0% for taxpayers with taxable incomes below certain thresholds). Some portion of your capital gain dividends may be subject to higher maximum
marginal stated federal income tax rates. Some portion of your capital gain dividends may be attributable to the trust’s interest in a master
limited partnership which may be subject to a maximum marginal stated federal income tax rate of 28%, rather than the rates set forth above. In
addition, capital gain received from assets held for more than one year that is considered “unrecaptured section 1250 gain” (which may be the
case, for example, with some capital gains attributable to equity interests in real estate investment trusts that constitute interests in entities
treated as real estate investment trusts for federal income tax purposes) is taxed at a maximum stated tax rate of 25%. In the case of capital gain
dividends, the determination of which portion of the capital gain dividend, if any, is subject to the 28% tax rate or the 25% tax rate, will be made
based on rules prescribed by the United States Treasury. Capital gains may also be subject to the “medicare tax” described
above.

Net capital gain equals net long-term
capital gain minus net short-term capital loss for the taxable year. Capital gain or loss is long-term if the holding period for the asset is more than
one year and is short-term if the holding period for the asset is one year or less. You must exclude the date you purchase your units to determine your
holding period. However, if you receive a capital gain dividend from your trust and sell your unit at a loss after holding it for six months or less,
the loss will be recharacterized as long-term capital loss to the extent of the capital gain dividend received. The tax rates for capital gains
realized from assets held for one year or less are generally the same as for ordinary income. The Internal Revenue Code treats certain capital gains as
ordinary income in special situations.

Ordinary income dividends received by an
individual unitholder from a regulated investment company such as your trust are generally taxed at the same rates that apply to net capital gain (as
discussed above), provided certain holding period requirements are satisfied and provided the dividends are attributable to qualifying dividends
received by your trust itself. Distributions with respect to shares in real estate investment trusts are qualifying dividends only in limited
circumstances. Your trust will provide notice to its unitholders of the amount of any distribution which may be taken into account as a dividend which
is eligible for the capital gains tax rates.

In addition, some portion of the
dividends on your units that are attributable to dividends received by your trust from shares in real estate investment trusts may be designated by
your trust as eligible for a deduction for qualified business income, provided certain holding period requirements are satisfied.

In-Kind Distributions.

Under certain circumstances, as described in this prospectus, you may receive an in-kind distribution of trust securities when you redeem units or when
your trust terminates. This distribution will be treated as a sale for federal income tax purposes and you will generally recognize gain or loss,
generally based on the value at that time of the securities and the amount of cash received. The Internal

Understanding Your
Investment 21


Revenue Service could however assert
that a loss could not be currently deducted.

Rollovers and Exchanges.

If you elect to have your proceeds from your trust rolled over into a future trust, the exchange would generally be considered a sale for federal
income tax purposes.

Treatment of Trust
Expenses.
Expenses incurred and deducted by your trust will generally not be treated as income taxable to you. In some cases, however, you may
be required to treat your portion of these trust expenses as income. You may not be able to deduct some or all of these expenses.

Foreign Tax Credit. Si
your trust invests in any foreign securities, the tax statement that you receive may include an item showing foreign taxes your trust paid to other
countries. In this case, dividends taxed to you will include your share of the taxes your trust paid to other countries. You may be able to deduct or
receive a tax credit for your share of these taxes.

Investments in Certain Foreign
Corporations.
If your trust holds an equity interest in any “passive foreign investment companies” (“PFICs”), which
are generally certain foreign corporations that receive at least 75% of their annual gross income from passive sources (such as interest, dividends,
certain rents and royalties or capital gains) or that hold at least 50% of their assets in investments producing such passive income, the trust could
be subject to U.S. federal income tax and additional interest charges on gains and certain distributions with respect to those equity interests, even
if all the income or gain is timely distributed to its unitholders. Your trust will not be able to pass through to its unitholders any credit or
deduction for such taxes. Your trust may be able to make an election that could ameliorate these adverse tax consequences. In this case, your trust
would recognize as ordinary income any increase in the value of such PFIC shares, and as ordinary loss any decrease in such value to the extent it did
not exceed prior increases included in income. Under this election, your trust might be required to recognize in a year income in excess of its
distributions from PFICs and its proceeds from dispositions of PFIC stock during that year, and such income would nevertheless be subject to the
distribution requirement and would be taken into account for purposes of the 4% excise tax. Dividends paid by PFICs are not treated as qualified
dividend income.

Foreign Investors. If you
are a foreign investor (i.e., an investor other than a U.S. citizen or resident or a U.S. corporation, partnership, estate or trust), you should be
aware that, generally, subject to applicable tax treaties, distributions from your trust will be characterized as dividends for federal income tax
purposes (other than dividends which your trust properly reports as capital gain dividends) and will be subject to U.S. income taxes, including
withholding taxes, subject to certain exceptions described below. However, distributions received by a foreign investor from your trust that are
properly reported by your trust as capital gain dividends may not be subject to U.S. federal income taxes, including withholding taxes, provided that
your trust makes certain elections and certain other conditions are met. Distributions from your trust that are properly reported by the trust as an
interest-related dividend attributable to certain interest income received by the trust or as a short-term capital gain dividend attributable to
certain net short-term capital gain income received by the trust may not be subject to U.S. federal income taxes, including withholding taxes when
received by certain foreign investors, provided that the trust makes certain elections and certain other conditions are met. In addition, distributions
to, and the gross proceeds from dispositions of units by, (i) certain non U.S. financial institutions that have not entered into an agreement with the
U.S. Treasury to collect and disclose certain information and are not resident in a jurisdiction that has entered into such an agreement with the U.S.
Treasury and (ii) certain other non-U.S. entities that do not provide certain certifications and information about the entity’s U.S. owners, may
be subject to

22 Understanding Your
Investment


a U.S. withholding tax of 30%.
However, proposed regulations may eliminate the requirement to withhold on payments of gross proceeds from dispositions. You should also consult your
tax advisor with respect to other U.S. tax withholding and reporting requirements.

EXPENSES

Your trust will pay various expenses to
conduct its operations. The “Fees and Expenses” section of the “Investment Summary” in this prospectus shows the estimated amount
of these expenses.

The sponsor will receive a fee from your
trust for creating and developing the trust, including determining the trust’s objectives, policies, composition and size, selecting service
providers and information services and for providing other similar administrative and ministerial functions. This “creation and development
fee” is a charge of $0.05 per unit. The trustee will deduct this amount from your trust’s assets as of the close of the initial offering
period. No portion of this fee is applied to the payment of distribution expenses or as compensation for sales efforts. This fee will not be deducted
from proceeds received upon a repurchase, redemption or exchange of units before the close of the initial public offering period.

Your trust will pay a fee to the trustee
for its services. The trustee also benefits when it holds cash for your trust in non-interest bearing accounts. Your trust will reimburse us as
supervisor, evaluator and sponsor for providing portfolio supervisory services, for evaluating your portfolio and for providing bookkeeping and
administrative services. Our reimbursements may exceed the costs of the services we provide to your trust but will not exceed the costs of services
provided to all of our unit investment trusts in any calendar year. All of these fees may adjust for inflation without your approval.

Your trust will also pay its general
operating expenses. Your trust may pay expenses such as trustee expenses (including legal and auditing expenses), various governmental charges, fees
for extraordinary trustee services, costs of taking action to protect your trust, costs of indemnifying the trustee and the sponsor, legal fees and
expenses and expenses incurred in contacting you. Your trust may pay the costs of updating its registration statement each year. The trustee will
generally pay trust expenses from distributions received on the securities but in some cases may sell securities to pay trust
expenses.

EXPERTS

Legal Matters. Chapman and
Cutler LLP acts as counsel for the trust and has given an opinion that the units are validly issued. Dorsey & Whitney LLP acts as counsel for the
trustee.

Independent Registered Public
Accounting Firm.
Grant Thornton LLP, independent registered public accounting firm, audited the statement of financial condition and the
portfolio included in this prospectus.

UnDDITIONAL
INFORMATION

This prospectus does not contain all the
information in the registration statement that your trust filed with the Securities and Exchange Commission. The Information Supplement, which was
filed with the Securities and Exchange Commission, includes more detailed information about the securities in your portfolio, investment risks and
general information about your trust. You can obtain the Information Supplement by contacting us or the Securities and Exchange Commission as indicated
on the back cover of this prospectus. This prospectus incorporates the Information Supplement by reference (it is legally considered part of this
prospectus).

Understanding Your
Investment 23


REPORT
                                         OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

Sponsor
                                         and Unitholders
Advisors Disciplined Trust 1972

Opinion
                                         on the financial statements

We
                                         have audited the accompanying statement of financial condition, including the trust portfolio
                                         on pages 4 through 8 of Advisors Disciplined Trust 1972 (the “Trust”) as of
                                         September 24, 2019, the initial date of deposit, and the related notes (collectively
                                         referred to as the “financial statements”). In our opinion, the financial statements
                                         present fairly, in all material respects, the financial position of the Trust as of September
                                         24, 2019, in conformity with accounting principles generally accepted in the United States
                                         of America.

Basis
                                         for opinion

These
                                         financial statements are the responsibility of Advisors Asset Management, Inc., the Sponsor.
                                         Our responsibility is to express an opinion on the Trust’s financial statements
                                         based on our audit. We are a public accounting firm registered with the Public Company
                                         Accounting Oversight Board (United States) (“PCAOB”) and are required to be
                                         independent with respect to the Trust in accordance with the U.S. federal securities
                                         laws and the applicable rules and regulations of the Securities and Exchange Commission
                                         and the PCAOB.

We
                                         conducted our audit in accordance with the standards of the PCAOB. Those standards require
                                         that we plan and perform the audit to obtain reasonable assurance about whether the financial
                                         statements are free of material misstatement, whether due to error or fraud. The Trust
                                         is not required to have, nor were we engaged to perform, an audit of its internal control
                                         over financial reporting. As part of our audit we are required to obtain an understanding
                                         of internal control over financial reporting but not for the purpose of expressing an
                                         opinion on the effectiveness of the Trust’s internal control over financial reporting.
                                         Accordingly, we express no such opinion.

Our
                                         audit included performing procedures to assess the risks of material misstatement of
                                         the financial statements, whether due to error or fraud, and performing procedures that
                                         respond to those risks. Such procedures included examining, on a test basis, evidence
                                         supporting the amounts and disclosures in the financial statements. Our audit also included
                                         evaluating the accounting principles used and significant estimates made by management,
                                         as well as evaluating the overall presentation of the financial statements. Our procedures
                                         included confirmation of cash or irrevocable letter of credit deposited for the purchase
                                         of securities as shown in the statement of financial condition as of September 24, 2019
                                         by correspondence with The Bank of New York Mellon, Trustee. We believe that our audit
                                         provides a reasonable basis for our opinion.

/s/ Grant
                   Thornton LLP

We
                                         have served as the auditor of one or more of the unit investment trusts, sponsored by
                                         Advisors Asset Management, Inc. and its predecessor since 2003.

Chicago,
                                         Illinois
September 24, 2019

24 Understanding Your
Investment


Advisors
     Disciplined Trust 1972
Statement of Financial Condition as of September 24, 2019










Investment in securities

Contracts to purchase underlying
                                         securities (1)(2)

$ 271,757

Total

$ 271,757

Liabilities and interest of
                                         investors

Liabilities:

Organization costs (3)

$ 1,332

Deferred sales fee (4)

3,669

Creation and development fee (4)

1,359

6,360

Interest of Interest of investors:

Cost to investors (5)

271,757

Less: initial sales fee (4)(5)

Less: deferred sales fee, creation
                                         and development fee and organization costs (3)(4)(5)

6,360

Net interest of investors

265,397

Total

$ 271,757

Number of units

27,176

Net asset value per unit

$ 9.766

(1)

Aggregate cost of
     the securities is based on the closing sale price evaluations as determined by the evaluator.

(2)

Cash or an irrevocable
     letter of credit has been deposited with the trustee covering the funds necessary for the purchase of securities in the trust
     represented by purchase contracts.

(3)

A portion of the public
     offering price represents an amount sufficient to pay for all or a portion of the costs incurred in establishing and offering
     the trust. These costs have been estimated at $0.049 per unit for the trust. A distribution will be made as of the earlier
     of the close of the initial offering period or six months following the trust’s inception date to an account maintained
     by the trustee from which this obligation of the investors will be satisfied. To the extent the actual organization costs
     are greater than the estimated amount, only the estimated organization costs added to the public offering price will be reimbursed
     to the sponsor and deducted from the assets of the trust.

(4)

The total sales fee
     consists of an initial sales fee, a deferred sales fee and a creation and development fee. The initial sales fee is equal
     to the difference between the maximum sales fee and the sum of the remaining deferred sales fee and the total creation and
     development fee. The maximum total sales fee is 1.85% of the public offering price per unit. The deferred sales fee is equal
     to $0.135 per unit and the creation and development fee is equal to $0.05 per unit.

(5)

The aggregate cost
     to investors includes the applicable sales fee assuming no reduction of sales fees.

Understanding Your
Investment 25


Contents

Investment
Summary


Un
glaustas aprašymas
of essential information
about the portfolio

2      Investment Objective

2      Principal Investment Strategy

2      Principal Risks

3      Who Should Invest

3      Essential
Information

3      Fees and Expenses

4      Portfolio

Understanding Your
Investment


Detailed information to
help you understand
your investment

9      How to Buy Units

11    How to Sell Your Units

13    Distributions

14    Investment Risks

16    How the Trust
Works

20    Taxes

23    Expenses

23    Experts

23    Additional Information

24    Report of Independent Registered Public
Accounting Firm

25    Statement of Financial Condition

Where to Learn
More


You can contact us for free information about this and other investments, including the Information Supplement

Visit us on the Internet
http://www.AAMlive.com

Call Advisors Asset Management, Inc.
(877) 858-1773

Call The Bank
of New York Mellon
(800) 848-6468

Additional
Information


This prospectus does not contain all information filed with the Securities and Exchange Commission. To obtain or copy this
information including the Information Supplement (a duplication fee may be required):

E-mail:

publicinfo@sec.gov

Write:

Public Reference Section
Washington, D.C. 20549

Visit:

http://www.sec.gov
(EDGAR Database)

Call:

1-202-551-8090
(only for information on the operation
of the Public Reference Section)

Refer to:

Advisors Disciplined Trust 1972

Securities Act file number:   333-233474

Investment Company Act file number:   811-21056

TRANSFORMERS
OPPORTUNITIES
PORTFOLIO,
SERIES 2019-3Q

PROSPECTUS

September 24, 2019



Advisors
Disciplined Trust

Information
Supplement For Trusts
Investing In Equity And/Or Preferred Securities
October 1, 2018

This Information
Supplement provides additional information concerning Advisors Disciplined Trust unit investment trusts that have prospectuses
dated on and after the date set forth above investing in equity and/or preferred securities. This Information Supplement should
be read in conjunction with the prospectus for a trust. It is not a prospectus. It does not include all of the information that
an investor should consider before investing in a trust. It may not be used to offer or sell units of a trust without the prospectus.
This Information Supplement is incorporated into the prospectus by reference and has been filed as part of the registration statement
with the Securities and Exchange Commission for each applicable trust. Investors should obtain and read the prospectus prior
to purchasing units of a trust. You can obtain the prospectus without charge at www.aamlive.com or by contacting your financial
professional or Advisors Asset Management, Inc. at 18925 Base Camp Road, Suite 203, Monument, Colorado 80132, or at 8100 East 22nd
Street North, Building 800, Suite 102, Wichita, Kansas 67226 or by calling (877) 858-1773. This Information Supplement is dated
as of the date set forth above.

Contents

General Information 2
Investment Policies 2
Risk Factors 5
Administration of the Trust 53

General Information

Each trust is one
of a series of separate unit investment trusts (“UITs”) created under the name Advisors Disciplined Trust and registered
under the Investment Company Act of 1940, as amended (the “Investment Company Act”). Each trust was created as a common
law trust on the initial date of deposit set forth in the prospectus for such trust under the laws of the state of New York. Each
trust was created under a trust agreement among Advisors Asset Management, Inc. (as sponsor/depositor, evaluator and supervisor)
and The Bank of New York Mellon (as trustee).

When a trust was created, the sponsor
delivered to the trustee securities or contracts for the purchase thereof for deposit in the trust and the trustee delivered to
the sponsor documentation evidencing the ownership of units of the trust. At the close of the New York Stock Exchange on a trust’s
initial date of deposit or the first day units are offered to the public, the number of units may be adjusted so that the public
offering price per unit equals $10. The number of units, fractional interest of each unit in a trust and any estimated income distributions
per unit will increase or decrease to the extent of any adjustment. Additional units of a trust may be issued from time to time
by depositing in the trust additional securities (or contracts for the purchase thereof together with cash or irrevocable letters
of credit) or cash (including a letter of credit or the equivalent) with instructions to purchase additional securities. As additional
units are issued by a trust, the aggregate value of the securities in the trust will be increased and the fractional undivided
interest in the trust represented by each unit will be decreased. The sponsor may continue to make additional deposits of securities
into a trust, provided that such additional deposits will be in amounts which will generally maintain the existing relationship
among the shares of the securities in such trust. Thus, although additional units will be issued, each unit will generally continue
to represent the approximately same number of shares of each security. If the sponsor deposits cash to purchase additional securities,
existing and new investors may experience a dilution of their investments and a reduction in their anticipated income because of
fluctuations in the prices of the securities between the time of the deposit and the purchase of the securities and because a trust
will pay any associated brokerage fees.

Neither the sponsor
nor the trustee shall be liable in any way for any failure in any of the securities. However, should any contract for the purchase
of any of the securities initially deposited in a trust fail, the sponsor will, unless substantially all of the moneys held in
the trust to cover such purchase are reinvested in substitute securities in accordance with the trust agreement, refund the cash
and sales charge attributable to such failed contract to all unitholders on the next distribution date.

Investment Policies

Each trust is a
UIT and is not an “actively managed” fund. Traditional methods of investment management for a managed fund typically
involve frequent changes in a portfolio of securities on the basis of economic, financial and market analysis. The portfolio of
a trust, however, will not be actively managed and therefore the adverse financial condition of an issuer will not necessarily
require the sale of its securities from a portfolio.

The sponsor may
not alter the portfolio of a trust by the purchase, sale or substitution of securities, except in special circumstances as provided
in the applicable trust agreement. Thus, the assets of a trust will generally remain unchanged under normal circumstances. Each
trust agreement provides that the sponsor may direct the trustee to sell, liquidate or otherwise dispose of securities in the trust
at such price and time and in such manner as shall be determined by the sponsor, provided that the supervisor has determined, if
appropriate, that any one or more of the following conditions exist with respect to such securities: (i) that there has been a
default in the payment of dividends, interest, principal or other payments, after declared and when due and payable; (ii) that
any action or proceeding has been instituted at law or equity seeking to restrain or enjoin the payment of dividends, interest,
principal or other payments on securities after declared and when due and payable, or that there exists any legal question or impediment
affecting such securities or the payment of dividends, interest, principal or other payments from the same; (iii) that there has
occurred any breach of covenant or warranty in any document relating to the issuer of the securities which would adversely affect
either immediately or contingently the payment of dividends, interest, principal or other payments on the securities, or the general
credit standing of the issuer or otherwise impair the sound investment character of such securities; (iv) that there has been a
default in the payment of dividends, interest, principal, income, premium or other similar payments, if any, on any other outstanding
obligations of the issuer of such securities; (v) that the price of the security has declined to such an extent or other such credit
factors exist so that in the opinion of the supervisor, as evidenced in writing to the trustee, the retention of such securities
would be detrimental to the trust and to the interest of the unitholders; (vi) that all of the securities in the trust will be
sold pursuant to termination of the trust; (vii) that such sale is required due to units tendered for redemption; (viii) that there
has been a public tender offer made for a security or a merger or acquisition is announced affecting a security, and that in the
opinion of the supervisor the sale or tender of the security is in the best interest of the unitholders; (ix) if the trust is designed
to be a grantor trust for tax purposes, that the sale of such securities is required in order to prevent the trust from being deemed
an association taxable as a corporation for federal income tax purposes; (x) if the trust has elected to be a regulated investment
company (a “RIC”) for tax purposes, that such sale is necessary or advisable (a) to maintain the qualification of the
trust as a RIC or (b) to provide funds to make any distribution for a taxable year in order to avoid imposition of any income or
excise taxes on the trust or on undistributed income in the trust; (xi) that as result of the ownership of the security, the trust
or its unitholders would be a direct or indirect shareholder of a passive foreign investment company as defined in section 1297(a)
of the Internal Revenue Code; or (xii) that such sale is necessary for the trust to comply with such federal and/or state securities
laws, regulations and/or regulatory actions and interpretations which may be in effect from time to time. The trustee may also
sell securities, designated by the supervisor, from a trust for the purpose of the payment of expenses. In the event a security
is sold as a direct result of serious adverse credit factors affecting the issuer of such security and a trust is a RIC for tax
purposes, then the sponsor may, if permitted by applicable law, but is not obligated, to direct the reinvestment of the proceeds
of the sale of such security in any other securities which meet the criteria necessary for inclusion in such trust on the initial
date of deposit.

If the trustee is
notified at any time of any action to be taken or proposed to be taken by holders of the portfolio securities, the trustee will
notify the sponsor and will take such action or refrain from taking any action as the sponsor directs and, if the sponsor does
not within five

business days of the giving of such
notice direct the trustee to take or refrain from taking any action, the trustee will take such reasonable action or refrain from
taking any action so that the securities are voted as closely as possible in the same manner and the same general proportion, with
respect to all issues, as are shares of such securities that are held by owners other than the trust. Notwithstanding the foregoing,
in the event that the trustee shall have been notified at any time of any action to be taken or proposed to be taken by holders
of shares of any registered investment company, the trustee will thereupon take such reasonable action or refrain from taking any
action with respect to the fund shares so that the fund shares are voted as closely as possible in the same manner and the same
general proportion, with respect to all issues, as are shares of such fund shares that are held by owners other than the related
trust.

In the event that
an offer by the issuer of any of the securities or any other party is made to issue new securities, or to exchange securities,
for trust portfolio securities, the trustee will reject such offer, provided that in the case of a trust that is a RIC for tax
purposes, if an offer by the issuer of any of the securities or any other party is made to issue new securities, or to exchange
securities, for trust portfolio securities, the trustee will at the direction of the sponsor, vote for or against, or accept or
reject, any offer for new or exchanged securities or property in exchange for a trust portfolio security. If any such issuance,
exchange or substitution occurs (regardless of any action or rejection by a trust), any securities, cash and/or property received
will be deposited into the trust and will be promptly sold, if securities or property, by the trustee pursuant to the sponsor’s
direction, unless the sponsor advises the trustee to keep such securities, cash or property. The sponsor may rely on the supervisor
in so advising the trustee.

Proceeds from the
sale of securities (or any securities or other property received by a trust in exchange for securities) are credited to the Capital
Account of the trust for distribution to unitholders or to meet redemptions. Except for failed securities and as provided herein,
in a prospectus or in a trust agreement, the acquisition by a trust of any securities other than the portfolio securities is prohibited.

Because certain
of the securities in certain of the trusts may from time to time under certain circumstances be sold or otherwise liquidated and
because the proceeds from such events will be distributed to unitholders and will not be reinvested, no assurance can be given
that a trust will retain for any length of time its present size and composition. Neither the sponsor nor the trustee shall be
liable in any way for any default, failure or defect in any security. In the event of a failure to deliver any security that has
been purchased for a trust under a contract (“Failed Securities”), the sponsor is authorized under the trust agreement
to direct the trustee to acquire other securities (“Replacement Securities”) to make up the original corpus of such trust.

The Replacement
Securities must be securities as originally selected for deposit in a trust or, in the case of a trust that is a RIC for tax purposes,
securities which the sponsor determines to be similar in character as the securities originally selected for deposit in the trust
and the purchase of the Replacement Securities may not adversely affect the federal income tax status of the trust. The Replacement
Securities must be purchased within thirty days after the deposit of the Failed Security. Whenever a Replacement Security is acquired
for a trust, the trustee shall notify all unitholders of the trust of the acquisition of the Replacement Security and shall, on
the next monthly distribution date which is more than thirty days thereafter, make a pro rata

distribution of the amount, if any,
by which the cost to the trust of the Failed Security exceeded the cost of the Replacement Security. The trustee will not be liable
or responsible in any way for depreciation or loss incurred by reason of any purchase made pursuant to, or any failure to make
any purchase of Replacement Securities. The sponsor will not be liable for any failure to instruct the trustee to purchase any
Replacement Securities, nor shall the trustee or sponsor be liable for errors of judgment in connection with Failed Securities
or Replacement Securities.

If the right of
limited substitution described in the preceding paragraphs is not utilized to acquire Replacement Securities in the event of a
failed contract, the sponsor will refund the sales charge attributable to such Failed Securities to all unitholders of the related
trust and the trustee will distribute the cash attributable to such Failed Securities not more than thirty days after the date
on which the trustee would have been required to purchase a Replacement Security. In addition, unitholders should be aware that,
at the time of receipt of such cash, they may not be able to reinvest such proceeds in other securities at a return equal to or
in excess of the return which such proceeds would have earned for unitholders of a trust. In the event that a Replacement Security
is not acquired by a trust, the income for such trust may be reduced.

Risk Factors

An investment in
units of a trust, and/or shares of other registered investment companies (“funds”) held by a trust, if any, may be subject
to some or all of the risks described below. In addition, you should carefully review the objective, strategy and risk of the trust
as described in the prospectus and consider your ability to assume the risks involved before making an investment in a trust.

Market Risk.
You should understand the risks of investing in securities before purchasing units. These risks include the risk that the financial
condition of the company or the general condition of the stock market may worsen and the value of the securities (and therefore
units) will fall. Securities are especially susceptible to general stock market movements. The value of securities often rises
or falls rapidly and unpredictably as market confidence and perceptions of companies change. These perceptions are based on factors
including expectations regarding government economic policies, inflation, interest rates, economic expansion or contraction, political
climates and economic or banking crises. The value of units of a trust will fluctuate with the value of the securities in the trust
and may be more or less than the price you originally paid for your units. As with any investment, no one can guarantee that the
performance of a trust will be positive over any period of time. Because each trust is unmanaged, the trustee will not sell securities
in response to market fluctuations as is common in managed investments. In addition, because some trusts hold a relatively small
number of securities, you may encounter greater market risk than in a more diversified investment.

Equity Securities.
Investments in securities representing equity ownership of a company are exposed to risks associated with the companies issuing
the securities, the sectors and geographic locations they are involved in and the markets that such securities are traded on among
other risks as described in greater detail below.

Fixed Income
Securities
. Investments in fixed income and similar securities involve certain unique risks such as credit risk and interest
rate risk among other things as described in greater detail below.

Dividends.
Stocks represent ownership interests in a company and are not obligations of the company. Common stockholders have a right to receive
payments from the company that is subordinate to the rights of creditors, bondholders or preferred stockholders of the company.
This means that common stockholders have a right to receive dividends only if a company’s board of directors declares a dividend
and the company has provided for payment of all of its creditors, bondholders and preferred stockholders. If a company issues additional
debt securities or preferred stock, the owners of these securities will have a claim against the company’s assets before common
stockholders if the company declares bankruptcy or liquidates its assets even though the common stock was issued first. As a result,
the company may be less willing or able to declare or pay dividends on its common stock.

Credit Risk.
Credit risk is the risk that a borrower is unable to meet its obligation to pay principal or interest on a security. This could
cause the value of an investment to fall and may reduce the level of dividends an investment pays which would reduce income.

Interest Rate
Risk
. Interest rate risk is the risk that the value of fixed income securities and similar securities will fall if interest
rates increase. Bonds and other fixed income securities typically fall in value when interest rates rise and rise in value when
interest rates fall. Securities with longer periods before maturity are often more sensitive to interest rate changes.

Liquidity
Risk
. Liquidity risk is the risk that the value of a security will fall if trading in the security is limited or absent.
No one can guarantee that a liquid trading market will exist for any security.

Investment
In Other Investment Companies
. As with other investments, investments in other investment companies are subject to market
and selection risk. In addition, when a trust acquires shares of investment companies, unitholders bear both their proportionate
share of fees and expenses in the trust and, indirectly, the expenses of the underlying investment companies. Investment companies’
expenses are subject to the risk of fluctuation including in response to fluctuation in a fund’s assets. Accordingly, a fund’s
actual expenses may vary from what is indicated at the time of investment by a trust. There are certain regulatory limitations
on the ability of a trust to hold other investment companies which may impact the trust’s ability to invest in certain funds, the
weighting of the fund in a trust’s portfolio and the trust’s ability to issue additional units in the future.

Closed-End
Funds
. Closed-end investment companies (“closed-end funds”) are actively managed investment companies registered
under the Investment Company Act that invest in various types of securities. Closed-end funds issue shares of common stock that
are generally traded on a securities exchange (although some closed-end fund shares are not listed on a securities exchange). Closed-end
funds are subject to various risks, including management’s ability to meet the closed-end fund’s investment objective, and to manage
the closed-end fund portfolio when the underlying securities are redeemed or sold during periods of market turmoil

and as investors’ perceptions regarding
closed-end funds or their underlying investments change. If a trust invests in closed-end funds, you will bear not only your share
of the trust’s expenses, but also the expenses of the underlying funds. By investing in the other funds, a trust may incur greater
expenses than you would incur if you invested directly in the closed-end funds.

The net asset value
of closed-end fund shares will fluctuate with changes in the value of the underlying securities that the closed-end fund owns.
In addition, for various reasons closed-end fund shares frequently trade at a discount from their net asset value in the secondary
marché. This risk is separate and distinct from the risk that the net asset value of closed-end fund shares may decrease. The amount
of such discount from net asset value is subject to change from time to time in response to various factors.

Certain closed-end
funds employ the use of leverage in their portfolios through the issuance of preferred stock, debt or other borrowings. While leverage
often serves to increase the yield of a closed-end fund, this leverage also subjects the closed-end fund to increased risks. These
risks may include the likelihood of increased volatility and the possibility that the closed-end fund’s common share income will
fall if the dividend rate on the preferred shares or the interest rate on any borrowings rises.

Closed-end funds’
governing documents may contain certain anti-takeover provisions that may have the effect of inhibiting a fund’s possible conversion
to open-end status and limiting the ability of other persons to acquire control of a fund. In certain circumstances, these provisions
might also inhibit the ability of stockholders (including a trust) to sell their shares at a premium over prevailing market prices.
This characteristic is a risk separate and distinct from the risk that a fund’s net asset value will decrease. In particular, this
characteristic would increase the loss or reduce the return on the sale of those closed-end fund shares that were purchased by
a trust at a premium. In the unlikely event that a closed-end fund converts to open-end status at a time when its shares are trading
at a premium there would be an immediate loss in value to a trust since shares of open-end funds trade at net asset value. Certain
closed-end funds may have in place or may put in place in the future plans pursuant to which the fund may repurchase its own shares
in the marketplace. Typically, these plans are put in place in an attempt by a fund’s board of directors to reduce a discount on
its share price. To the extent that such a plan is implemented and shares owned by a trust are repurchased by a fund, the trust’s
position in that fund will be reduced and the cash will be distributed.

A trust may be prohibited
from subscribing to a rights offering for shares of any of the closed-end funds in which it invests. In the event of a rights offering
for additional shares of a fund, unitholders should expect that a trust holding shares of the fund will, at the completion of the
offer, own a smaller proportional interest in such fund that would otherwise be the case. It is not possible to determine the extent
of this dilution in share ownership without knowing what proportion of the shares in a rights offering will be subscribed. This
may be particularly serious when the subscription price per share for the offer is less than the fund’s net asset value per share.
Assuming that all rights are exercised and there is no change in the net asset value per share, the aggregate net asset value of
each shareholder’s shares of common stock should decrease as a result of the offer. If a fund’s subscription price per share is
below that fund’s net asset value per share at the expiration of the offer, shareholders would experience an immediate

skiedimas
of the aggregate net asset value of their shares
of common stock as a result of the offer, which could be substantial.

Business Development
Companies
. Business development companies (“BDCs”) are closed-end investment companies that have elected to be
treated as business development companies under the Investment Company Act. BDCs are required to hold at least 70% of their investments
in eligible assets which include, among other things, (i) securities of eligible portfolio companies (generally, domestic companies
that are not investment companies and that cannot have a class of securities listed on a national securities exchange or have securities
that are marginable that are purchased from that company in a private transaction), (ii) securities received by the BDC in connection
with its ownership of securities of eligible portfolio companies, or (iii) cash, cash items, government securities, or high quality
debt securities maturing one year or less from the time of investment.

BDCs’ ability to
grow and their overall financial condition is impacted significantly by their ability to raise capital. In addition to raising
capital through the issuance of common stock, BDCs may engage in borrowing. This may involve using revolving credit facilities,
the securitization of loans through separate wholly-owned subsidiaries and issuing of debt and preferred securities. BDCs are less
restricted than other closed-end funds as to the amount of debt they can have outstanding. Generally, a BDC may not issue any class
of senior security representing an indebtedness unless, immediately after such issuance or sale, it will have asset coverage of
at least 200%. (Thus, for example, if a BDC has $5 million in assets, it can borrow up to $5 million, which would result in assets
of $10 million and debt of $5 million.) These borrowings, also known as leverage, magnify the potential for gain or loss on amounts
invested and, accordingly, the risks associated with investing in BDC securities. While the value of a BDC’s assets increases,
leveraging would cause the net value per share of BDC common stock to increase more sharply than it would have had such BDC not
leveraged. However, if the value of a BDC’s assets decreases, leveraging would cause net asset value to decline more sharply than
it otherwise would have had such BDC not leveraged. In addition to decreasing the value of a BDC’s common stock, it could also
adversely impact a BDC’s ability to make dividend payments. A BDC’s credit rating may change over time which could adversely affect
its ability to obtain additional credit and/or increase the cost of such borrowing. Agreements governing a BDC’s credit facilities
and related funding and service agreements may contain various covenants that limit the BDC’s discretion in operating its business
along with other limitations. Any defaults may restrict the BDC’s ability to manage assets securing related assets, which may adversely
impact the BDC’s liquidity and operations.

BDCs compete with
other BDCs along with a large number of investment funds, investment banks and other sources of financing to make their investments.
Competitors may have lower costs or access to funding sources that cause BDCs to lose prospective investments if they do not match
competitors’ pricing, terms and structure. As a result of this competition, there is no assurance that a BDC will be able to identify
and take advantage of attractive investment opportunities or that they will fully be able to invest available capital.

BDC investments
are frequently not publicly traded and, as a result, there is uncertainty as to the value and liquidity of those investments. BDCs
may use independent valuation firms to

value their investments and such valuations
may be uncertain, be based on estimates and/or differ materially from that which would have been used if a ready market for those
investments existed. The value of a BDC could be adversely affected if its determinations regarding the fair value of investments
was materially higher than the value realized upon sale of such investments. Due to the relative illiquidity of certain BDC investments,
if a BDC is required to liquidate all or a portion of its portfolio quickly, it may realize significantly less than the value at
which such investments are recorded. Further restrictions may exist on the ability to liquidate certain assets to the extent that
subsidiaries or related parties have material non-public information regarding such assets.

BDCs may enter into
hedging transactions and utilize derivative instruments such as forward contracts, options and swaps. Unanticipated movements and
improper correlation of hedging instruments may prevent a BDC from hedging against exposure to risk of loss. BDCs are required
to make available significant managerial assistance to their portfolio companies. Significant managerial assistance refers to any
arrangement whereby a BDC provides significant guidance and counsel concerning the management, operations, or business objectives
and policies of a portfolio company. Examples of such activities include arranging financing, managing relationships with financing
sources, recruiting management personnel and evaluating acquisition and divestiture opportunities. BDCs are frequently externally
managed by an investment adviser which may also provide this external managerial assistance to portfolio companies. Such investment
adviser’s liability may be limited under its investment advisory agreement, which may lead such investment adviser to act in a
riskier manner than it would were it investing for its own account. Such investment advisers may be entitled to incentive compensation
which may cause such adviser to make more speculative and riskier investments than it would if investing for its own account. Such
compensation may be due even in the case of declines to the value of a BDC’s investments.

BDCs may issue options,
warrants and rights to convert to voting securities to its officers, employees and board members. Any issuance of derivative securities
requires the approval of the company’s board of directors and authorization by the company’s shareholders. A BDC may operate a
profit-sharing plan for its employees, subject to certain restrictions. BDCs frequently have high expenses which may include, but
are not limited to, the payment of management fees, administration expenses, taxes, interest payable on debt, governmental charges,
independent director fees and expenses, valuation expenses and fees payable to third parties relating to or associated with making
investments. These expenses may fluctuate significantly over time.

If a BDC fails to
maintain its status as a BDC it may be regulated as a closed-end fund which would subject such BDC to additional regulatory restrictions
and significantly decrease its operating flexibility. In addition, such failure could trigger an event of default under certain
outstanding indebtedness which could have a material adverse impact on its business.

Exchange-Traded
Funds
. Exchange-traded funds (“ETFs”) are typically investment companies registered under the Investment Company
Act that have obtained exemptive relief from the Securities and Exchange Commission (the “SEC”) allowing fund shares
to trade on a securities exchange. Shares of ETFs may trade at a discount from their net asset value in the secondary market. This
risk is separate and distinct from the risk that the net asset value of ETFs

may decrease. The amount of such discount
from net asset value is subject to change from time to time in response to various factors. ETFs are subject to various risks,
including management’s ability to meet the ETF’s investment objective, and to manage the ETF 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. A trust and any underlying ETFs have operating expenses. If a trust invests in ETFs, you will bear not only your share
of the trust’s expenses, but also the expenses of the underlying funds. By investing in the other funds, a trust may incur greater
expenses than you would incur if you invested directly in the funds.

Most ETFs replicate
the composition or returns of a securities index. These ETFs face index correlation risk which is the risk that the performance
of an ETF will vary from the actual performance of the fund’s target index, known as “tracking error.” This can happen
due to transaction costs, market impact, corporate actions (such as mergers and spin-offs) and timing variances. Some funds use
a technique called “representative sampling,” which means that the fund invests in a representative sample of securities
in its target index rather than all of the index securities. This could increase the risk of tracking error.

Some ETFs are open-end
funds. Open-end funds of this type can be actively- managed or passively-managed investment companies that are registered under
the Investment Company Act. These open-end funds have received orders from the SEC exempting them from various provisions of the
Investment Company Act. Regular open-end funds generally issue redeemable securities that are issued and redeemed at a price based
on the fund’s current net asset value and are not traded on a securities exchange. Exchange-traded open-end funds, however, issue
shares of common stock that are traded on a securities exchange based on negotiated prices rather than the fund’s current net asset
value. These funds only issue new shares and redeem outstanding shares in very large blocks, often called “creation units,”
in exchange for an in-kind distribution of the fund’s portfolio securities. Due to a variety of cost and administrative factors,
a trust that invests in ETFs will generally buy and sell shares of its underlying open-end fund ETFs on securities exchanges rather
than engaging in transactions in creation units. Shares of exchange-traded open-end funds frequently trade at a discount from their
net asset value in the secondary market. This risk is separate and distinct from the risk that the net asset value of open-end
fund shares may decrease. The amount of such discount from net asset value is subject to change from time to time in response to
various factors.

Some ETFs are UITs.
UITs of this type are passively-managed investment companies that are registered under the Investment Company Act. ETFs that are
UITs differ significantly from your trust in certain respects, even though the UITs that may be held in the trust’s portfolio and
the trust itself are registered UITs. UITs that are ETFs have received orders from the SEC exempting them from various provisions
of the Investment Company Act. Regular UITs, such as your trust, generally issue redeemable securities that are issued and redeemed
at a price based on the UIT’s current net asset value and are not traded on a securities exchange. ETFs that are UITs, however,
issue units that are traded on a securities exchange based on negotiated prices rather than the UIT’s current net asset value.
These UITs only issue new shares and redeem outstanding shares in very large blocks, often called “creation units,” in
exchange for an in-kind distribution of the UIT’s portfolio securities. Due to a variety of cost and administrative factors, a
trust that invests in ETFs will generally buy and sell shares of its underlying ETFs on securities exchanges

rather than engaging in transactions
in creation units. Units of exchange-traded UITs frequently trade at a discount from their net asset value in the secondary market.
This risk is separate and distinct from the risk that the net asset value of UIT units may decrease. The amount of such discount
from net asset value is subject to change from time to time in response to various factors.

Inverse ETFs.
Certain ETFs may be “inverse” ETFs. An inverse ETF, sometimes referred to as a “bear ETF” or “short ETF,”
is a special type of index ETF that is designed to provide investment results that move in the opposite direction of the daily
price movement of the index to which it is benchmarked. Put another way, an inverse ETF is designed to go up in value when its
benchmark index goes down in value, and go down in value when its benchmark index goes up in value. Inverse ETFs can be used to
establish a hedge position within an investment portfolio to attempt to protect its value during market declines. Though inverse
ETFs may reduce downside risk and volatility in a down market, they are not suitable for all investors. The value of an inverse
investment may tend to increase on a daily basis by the amount of any decrease in the index, but the converse is also true that
the value of the investment will also tend to decrease on a daily basis by the amount of any increase in the index.

Investing in inverse
ETFs involves certain risks, which may include increased volatility due to the ETFs’ possible use of short sales of securities
and derivatives such as options and futures. Inverse ETFs are subject to active trading risks that may increase volatility and
impact the ETFs’ ability to achieve their investment objectives. The use of leverage by an ETF increases the risk to the ETF.
more an ETF invests in leveraged instruments, the more the leverage will magnify any gains or losses on those investments. Most
inverse ETFs “reset” daily, meaning that they are designed to achieve their stated objectives on a daily basis only and
not over any longer time period. Due to the effect of compounding, the performance of these ETFs over longer periods of time can
differ significantly from the inverse of the performance of the ETF’s underlying index or benchmark during the same period of time.
This effect can be magnified in volatile markets. Inverse ETFs typically are not suitable for retail investors who plan to hold
them for more than one trading session, particularly in volatile markets.

Leveraged
ETFs
. Certain ETFs may be “leveraged” ETFs. These ETFs seek to match a multiple or multiples of the performance,
or the inverse of the performance, of a benchmark index on a given day and not for greater periods of time. This means that the
return of a leveraged ETF for a period longer than a single day will be the result of each day’s returns compounded over the period
and not the point-to-point return of the index over the entire time period. As a result, the use of leverage will very likely cause
the performance of such an ETF to be either greater than, or less than, the index performance times the stated multiple in an ETF’s
investment objective. Investors should recognize that the degree of volatility of the underlying index can have a dramatic effect
on an ETF’s longer-term performance. The greater the volatility, given a particular index return, the greater the downside deviation
will be of the ETF’s longer-term performance from a simple multiple of its index’s longer-term return. Leveraged ETFs use investment
techniques that may be considered aggressive, including the use of futures contracts, options on futures contracts, securities
and indexes, forward contracts, swap agreements and similar instruments. Leveraged ETFs are typically unsuitable for investors
who plan to hold them for longer than one trading session, particularly in volatile markets.

Non-Diversification
Risk
. Certain funds held by a trust may be classified as “non-diversified.” Such funds may be more exposed to
the risks associated with and developments affecting an individual issuer, industry and/or asset class than a fund that invests
more widely.

Foreign Issuers.
An investment in securities of non-U.S. issuers involves certain investment risks that are different in some respects from an investment
in the securities of domestic issuers. These investment risks include future political or governmental restrictions which might
adversely affect the payment or receipt of payment of dividends on the relevant securities, the possibility that the financial
condition of the issuers of the securities may become impaired or that the general condition of the relevant stock market may worsen
(both of which would contribute directly to a decrease in the value of foreign securities), the limited liquidity and relatively
small market capitalization of the relevant securities market, expropriation or confiscatory taxation, economic uncertainties and
foreign currency devaluations and fluctuations. In addition, for foreign issuers that are not subject to the reporting requirements
of the Securities Exchange Act of 1934, as amended (the “Securities Exchange Act”), there may be less publicly available
information than is available from a domestic issuer. In addition, foreign issuers are not necessarily subject to uniform accounting,
auditing and financial reporting standards, practices and requirements comparable to those applicable to domestic issuers.
securities of many foreign issuers are less liquid and their prices more volatile than securities of comparable domestic issuers.
In addition, fixed brokerage commissions and other transaction costs in foreign securities markets are generally higher than in
the United States and there is generally less government supervision and regulation of exchanges, brokers and issuers in foreign
countries than there is in the United States.

Securities issued
by non-U.S. issuers generally pay income in foreign currencies and principally trade in foreign currencies. Therefore, there is
a risk that the U.S. dollar value of these securities will vary with fluctuations in the U.S. dollar foreign exchange rates for
the various securities.

There can be no
assurance that exchange control regulations might not be adopted in the future which might adversely affect payment to a trust
or a fund held by a trust. The adoption of exchange control regulations and other legal restrictions could have an adverse impact
on the marketability of foreign securities and on the ability to liquidate securities. In addition, restrictions on the settlement
of transactions on either the purchase or sale side, or both, could cause delays or increase the costs associated with the purchase
and sale of the foreign securities and correspondingly could affect the price of trust units.

Investors should
be aware that it may not be possible to buy all securities at the same time because of the unavailability of any security, and
restrictions applicable to a trust relating to the purchase of a security by reason of the federal securities laws or otherwise.

Foreign securities
generally have not been registered under the Securities Act of 1933, as amended (the “Securities Act”) and may not be
exempt from the registration requirements of such Act. Sales of non-exempt securities in the United States securities markets are
subject to severe restrictions and may not be practicable. Accordingly, sales of these securities will

generally be effected only
in foreign securities markets. Investors should realize that the securities might be traded in foreign
countries where the securities markets are not as developed or efficient and may not be as liquid as those in the United States.
The value of securities will be adversely affected if trading markets for the securities are limited or absent.

Emerging Markets.
Compared to more mature markets, some emerging markets may have a low level of regulation, enforcement of regulations and monitoring
of investors’ activities. Those activities may include practices such as trading on material non-public information. The securities
markets of developing countries are not as large as the more established securities markets and have substantially less trading
volume, resulting in a lack of liquidity and high price volatility. There may be a high concentration of market capitalization
and trading volume in a small number of issuers representing a limited number of industries as well as a high concentration of
investors and financial intermediaries. These factors may adversely affect the timing and pricing of the acquisition or disposal
of securities. In certain emerging markets, registrars are not subject to effective government supervision nor are they always
independent from issuers. The possibility of fraud, negligence, undue influence being exerted by the issuer or refusal to recognize
ownership exists, which, along with other factors, could result in the registration of a shareholding being completely lost. Investisseurs
could suffer loss arising from these registration problems. In addition, the legal remedies in emerging markets are often more
limited than the remedies available in the United States.

Practices pertaining
to the settlement of securities transactions in emerging markets involve higher risks than those in developed markets, in large
part because of the need to use brokers and counterparties who are less well capitalized, and custody and registration of assets
in some countries may be unreliable. As a result, brokerage commissions and other fees are generally higher in emerging markets
and the procedures and rules governing foreign transactions and custody may involve delays in payment, delivery or recovery of
money or investments. Delays in settlement could result in investment opportunities being missed if a trust or a fund held by a
trust is unable to acquire or dispose of a security. Certain foreign investments may also be less liquid and more volatile than
U.S. investments, which may mean at times that such investments are unable to be sold at desirable prices.

Political and economic
structures in emerging markets often change rapidly, which may cause instability. In adverse social and political circumstances,
governments have been involved in policies of expropriation, confiscatory taxation, nationalization, intervention in the securities
market and trade settlement, and imposition of foreign investment restrictions and exchange controls, and these could be repeated
in the future. In addition to withholding taxes on investment income, some governments in emerging markets may impose different
capital gains taxes on foreign investors. Foreign investments may also be subject to the risks of seizure by a foreign government
and the imposition of restrictions on the exchange or export of foreign currency. Additionally, some governments exercise substantial
influence over the private economic sector and the political and social uncertainties that exist for many developing countries
are considerable.

Another risk common
to most developing countries is that the economy is heavily export oriented and, accordingly, is dependent upon international trade.
The existence of overburdened

infrastructures and obsolete
financial systems also presents risks in certain countries, as do environmental problems. Certain economies also depend to a
large degree upon exports of primary commodities and, therefore, are vulnerable to changes in commodity prices which, in
turn, may be affected by a variety of factors.

Depositary
Receipts
. Certain of the securities in a trust may be in depositary receipt form, including American Depositary Receipts
(“ADRs”) or Global Depositary Receipts (“GDRs”). Depositary receipts represent stock deposited with a custodian
in a depositary. Depositary receipts are issued by a bank or trust company to evidence ownership of underlying securities issued
by a foreign corporation. These instruments may not necessarily be denominated in the same currency as the securities into which
they may be converted.

Depositary receipts
may be sponsored or unsponsored. In an unsponsored facility, the depositary initiates and arranges the facility at the request
of market makers and acts as agent for the depositary receipts holder, while the company itself is not involved in the transaction.
In a sponsored facility, the issuing company initiates the facility and agrees to pay certain administrative and shareholder-related
expenses. Sponsored facilities use a single depositary and entail a contractual relationship between the issuer, the shareholder
and the depositary; unsponsored facilities involve several depositaries with no contractual relationship to the company. The depositary
bank that issues depositary receipts generally charges a fee, based on the price of the depositary receipts, upon issuance and
cancellation of the depositary receipts. This fee would be in addition to the brokerage commissions paid upon the acquisition or
surrender of the security. In addition, the depositary bank incurs expenses in connection with the conversion of dividends or other
cash distributions paid in local currency into U.S. dollars and such expenses are deducted from the amount of the dividend or distribution
paid to holders, resulting in a lower payout per underlying shares represented by the depositary receipts than would be the case
if the underlying share were held directly. Certain tax considerations, including tax rate differentials and withholding requirements,
arising from the application of the tax laws of one nation to nationals of another and from certain practices in the depositary
receipts market may also exist with respect to certain depositary receipts. In varying degrees, any or all of these factors may
affect the value of the depositary receipts compared with the value of the underlying shares in the local market. In addition,
the rights of holders of depositary receipts may be different than those of holders of the underlying shares, and the market for
depositary receipts may be less liquid than that for the underlying shares. Depositary receipts are registered securities pursuant
to the Securities Act and may be subject to the reporting requirements of the Securities Exchange Act.

For the securities
that are depositary receipts, currency fluctuations will affect the United States dollar equivalent of the local currency price
of the underlying domestic share and, as a result, are likely to affect the value of the depositary receipts and consequently the
value of the securities. The foreign issuers of securities that are depositary receipts may pay dividends in foreign currencies
which must be converted into dollars. Most foreign currencies have fluctuated widely in value against the United States dollar
for many reasons, including supply and demand of the respective currency, the soundness of the world economy and the strength of
the respective economy as compared to the economies of the United States and other countries. Therefore, for any securities of
issuers (whether or not they are in depositary receipt form) whose earnings are

stated in foreign currencies, or which pay dividends
in foreign currencies or which are traded in foreign currencies, there is a risk
that their United States dollar value will vary with fluctuations in the United States dollar foreign exchange rates for the relevant
currencies.

Currency Risk.
A trust that invests in securities of non-U.S. issuers will be subject to currency risk, which is the risk that an increase in
the U.S. dollar relative to the non-U.S. currency will reduce returns or portfolio value. Generally, when the U.S. dollar rises
in value relative to a non-U.S. currency, a trust’s investment in securities denominated in that currency will lose value because
its currency is worth fewer U.S. dollars. On the other hand, when the value of the U.S. dollar falls relative to a non-U.S. currency,
a trust’s investments denominated in that currency will tend to increase in value because that currency is worth more U.S. dollars.
The exchange rates between the U.S. dollar and non-U.S. currencies depend upon such factors as supply and demand in the currency
exchange markets, international balance of payments, governmental intervention, speculation and other economic and political conditions.
A trust may incur conversion costs when it converts its holdings to another currency. Non-U.S. exchange dealers may realize a profit
on the difference between the price at which a trust buys and sells currencies. A trust may engage in non-U.S. currency exchange
transactions in connection with its portfolio investments. A trust may also be subject to currency risk through investments in
ADRs, GDRs and other non-U.S. securities denominated in U.S. dollars.

Foreign Government
Securities Risk
. The ability of a government issuer, especially in an emerging market country, to make timely and complete
payments on its debt obligations will be strongly influenced by the government issuer’s balance of payments, including export performance,
its access to international credits and investments, fluctuations of interest rates and the extent of its foreign reserves. A country
whose exports are concentrated in a few commodities or whose economy depends on certain strategic imports could be vulnerable to
fluctuations in international prices of these commodities or imports. If a government issuer cannot generate sufficient earnings
from foreign trade to service its external debt, it may need to depend on continuing loans and aid from foreign governments, commercial
banks and multinational organizations. There are no bankruptcy proceedings similar to those in the United States by which defaulted
government debt may be collected. Additional factors that may influence a government issuer’s ability or willingness to service
debt include, but are not limited to, a country’s cash flow situation, the ability of sufficient foreign exchange on the date a
payment is due (where applicable), the relative size of its debt burden to the economy as a whole, and the issuer’s policy towards
the International Monetary Fund, the International Bank for Reconstruction and Development and other international agencies to
which a government debtor may be subject.

Supranational
Entities’ Securities
. Certain securities are obligations issued by supranational entities such as the International Bank
for Reconstruction and Development (the “World Bank”). The government members, or “stockholders,” usually make
initial capital contributions to supranational entities and in many cases are committed to make additional capital contributions
if a supranational entity is unable to repay its borrowings. There is no guarantee that one or more stockholders of a supranational
entity will continue to make any necessary additional capital contributions. If such contributions are not made, the entity may
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unable to pay interest or repay principal on its debt securities, and an investor in such securities may lose money on such
investments.

Small-Cap
And Mid-Cap Companies
. Smaller company stocks customarily involve more investment risk than larger company stocks. Small-capitalization
and mid- capitalization companies may have limited product lines, markets or financial resources; may lack management depth or
experience; and may be more vulnerable to adverse general market or economic developments than large companies. Some of these companies
may distribute, sell or produce products which have recently been brought to market and may be dependent on key personnel.

The prices of small
or mid-size company securities are often more volatile than prices associated with large company issues, and can display abrupt
or erratic movements at times, due to limited trading volumes and less publicly available information. Also, because small-cap
and mid-cap companies normally have fewer shares outstanding and these shares trade less frequently than large companies, it may
be more difficult for a trust which contains these securities to buy and sell significant amounts of such shares without an unfavorable
impact on prevailing market prices.

Immobilier
Investment Trusts
. Real estate investment trusts (“REITs”) may be exposed to the risks associated with the ownership
of real estate which include, among other factors, changes in general U.S., global and local economic conditions, declines in real
estate values, changes in the financial health of tenants, overbuilding and increased competition for tenants, oversupply of properties
for sale, changing demographics, changes in interest rates, tax rates and other operating expenses, changes in government regulations,
faulty construction and the ongoing need for capital improvements, regulatory and judicial requirements including relating to liability
for environmental hazards, changes in neighborhood values and buyer demand and the unavailability of construction financing or
mortgage loans at rates acceptable to developers.

Many factors can
have an adverse impact on the performance of a REIT, including its cash available for distribution, the credit quality of the REIT
or the real estate industry generally. The success of a REIT depends on various factors, including the occupancy and rent levels,
appreciation of the underlying property and the ability to raise rents on those properties. Economic recession, overbuilding, tax
law changes, higher interest rates or excessive speculation can all negatively impact REITs, their future earnings and share prices.
Variations in rental income and space availability and vacancy rates in terms of supply and demand are additional factors affecting
real estate generally and REITs in particular. Properties owned by a REIT may not be adequately insured against certain losses
and may be subject to significant environmental liabilities, including remediation costs. You should also be aware that REITs may
not be diversified and are subject to the risks of financing projects. The real estate industry may be cyclical, and, if REIT securities
are acquired at or near the top of the cycle, there is increased risk of a decline in value of the REIT securities. At various
points in time, demand for certain types of real estate may inflate the value of real estate. This may increase the risk of a substantial
decline in the value of such real estate and increase the risk of a decline in the value of the securities. REITs are also subject
to defaults by borrowers and the market’s perception of the REIT industry generally. Because of their structure, and a current
legal requirement that they distribute at least 90% of their taxable income to shareholders annually, REITs require frequent amounts
of new

funding, through both borrowing
money and issuing stock. Thus, REITs historically have frequently issued substantial amounts of new equity shares (or
equivalents) to purchase or build new properties. This may adversely affect REIT equity share market prices. Both existing
and new share issuances may have an adverse effect on these prices in the future, especially if REITs issue stock when real
estate prices are relatively high and stock prices are relatively low.

Mortgage REITs engage
in financing real estate, purchasing or originating mortgages and mortgage-backed securities and earning income from the interest
on these investments. Such REITs face risks similar to those of other financial firms, such as changes in interest rates, general
market conditions and credit risk, in addition to risks associated with an investment in real estate.

Master Limited
Partnerships
. Master limited partnerships (“MLPs”) are limited partnerships or limited liability companies that
are generally taxed as partnerships whose interests are traded on securities exchanges. MLP ownership generally consists of a general
partner and limited partners. The general partner manages the partnership, has an ownership stake in the partnership and is eligible
to receive an incentive distribution. The limited partners provide capital to the partnership, have a limited (if any) role in
the operation and management of the partnership and receive cash distributions. Most MLPs generally operate in the energy, natural
resources or real estate sectors and are subject to the risks generally applicable to companies in those sectors. MLPs are also
subject to the risk that authorities could challenge the tax treatment of MLPs for federal income tax purposes which could have
a negative impact on the after-tax income available for distribution by the MLPs.

Bond Quality
Risk
. Bond quality risk is the risk that a bond will fall in value if a rating agency decreases or withdraws the bond’s
rating.

Prepayment
Risk
. When interest rates fall, among other factors, the issuer of a fixed income security may prepay its obligations earlier
than expected. Such amounts will result in early distributions to an investor who may be unable to reinvest such amounts at the
yields originally invested which could adversely impact the value of your investment. Certain bonds include call provisions which
expose such an investor to call risk. Call risk is the risk that the issuer prepays or “calls” a bond before its stated
maturity. An issuer might call a bond if interest rates, in general, fall and the bond pays a higher interest rate or if it no
longer needs the money for the original purpose. If an issuer calls a bond, the holder of such bond will receive principal but
will not receive any future interest distributions on the bond. Such investor might not be able to reinvest this principal at as
high a yield. A bond’s call price could be less than the price paid for the bond and could be below the bond’s par value. Certain
bonds may also be subject to extraordinary optional or mandatory redemptions if certain events occur, such as certain changes in
tax laws, the substantial damage or destruction by fire or other casualty of the project for which the proceeds of the bonds were
used and various other events.

Extension
Risk
. When interest rates rise, among other factors, issuers of a security may pay off obligations more slowly than expected
causing the value of such obligations to fall.

“When
Issued” and “Delayed Delivery” Bonds.
Certain debt obligations may have been purchased on a “when,
as and if issued” or “delayed delivery” basis. The delivery of any such bonds may be delayed or may not occur.
Interest on these bonds begins accruing to the benefit of investors on their respective dates of delivery. Investors will be “at
risk” with respect to all “when, as and if issued” and “delayed delivery” bonds (i.e., may derive
either gain or loss from fluctuations in the values of such bonds) from the date they purchase their investment.

Premium Securities.
Certain securities may have been acquired at a market premium from par value at maturity. The coupon interest rates on the premium
securities at the time they were purchased by the fund were higher than the current market interest rates for newly issued securities
of comparable rating and type. If such interest rates for newly issued and otherwise comparable securities decrease, the market
premium of previously issued securities will be increased, and if such interest rates for newly issued comparable securities increase,
the market premium of previously issued securities will be reduced, other things being equal. The current returns of securities
trading at a market premium are initially higher than the current returns of comparable securities of a similar type issued at
currently prevailing interest rates because premium securities tend to decrease in market value as they approach maturity when
the face amount becomes payable. Because part of the purchase price is thus returned not at maturity but through current income
payments, early redemption of a premium security at par or early prepayments of principal will result in a reduction in yield.
Redemption pursuant to call provisions generally will, and redemption pursuant to sinking fund provisions may, occur at times when
the redeemed securities have an offering side valuation which represents a premium over par or for original issue discount securities
a premium over the accreted value.

Market Discount.
Certain fixed income securities may have been acquired at a market discount from par value at maturity. The coupon interest rates
on discount securities at the time of purchase are lower than the current market interest rates for newly issued securities of
comparable rating and type. If such interest rates for newly issued comparable securities increase, the market discount of previously
issued securities will become greater, and if such interest rates for newly issued comparable securities decline, the market discount
of previously issued securities will be reduced, other things being equal. Investors should also note that the value of securities
purchased at a market discount will increase in value faster than securities purchased at a market premium if interest rates decrease.
Conversely, if interest rates increase, the value of securities purchased at a market discount will decrease faster than securities
purchased at a market premium. In addition, if interest rates rise, the prepayment risk of higher yielding, premium securities
and the prepayment benefit for lower yielding, discount securities will be reduced.

Original Issue
Discount Bonds
. Original issue discount bonds were initially issued at a price below their face (or par) value. These bonds
typically pay a lower interest rate than comparable bonds that were issued at or above their par value. In a stable interest rate
environment, the market value of these bonds tends to increase more slowly in early years and in greater increments as the bonds
approach maturity. The issuers of these bonds may be able to call or redeem a bond before its stated maturity date and at a price
less than the bond’s par value. Under current law, the original issue discount, which is the difference between the stated redemption
price at maturity and the issue price of the bonds, is deemed to accrue on a daily

basis and the accrued portion is treated as
taxable interest income for U.S. federal income tax purposes.

Zero Coupon
Bonds
. Certain bonds may be “zero coupon” bonds. Zero coupon bonds are purchased at a deep discount because the
buyer receives only the right to receive a final payment at the maturity of the bond and does not receive any periodic interest
payments. The effect of owning deep discount bonds which do not make current interest payments (such as the zero coupon bonds)
is that a fixed yield is earned not only on the original investment but also, in effect, on all discount earned during the life
of such obligation. This implicit reinvestment of earnings at the same rate eliminates the risk of being unable to reinvest the
income on such obligation at a rate as high as the implicit yield on the discount obligation, but at the same time eliminates the
holder’s ability to reinvest at higher rates in the future. For this reason, zero coupon bonds are subject to substantially greater
price fluctuations during periods of changing market interest rates than are securities of comparable quality which pay interest.

Restricted
Securities
. Certain securities may only be resold pursuant to Rule 144A under the Securities Act. Such securities may not
be readily marketable. Restricted securities may be sold only to purchasers meeting certain eligibility requirements in privately
negotiated transactions or in a public offering with respect to which a registration statement is in effect under the Securities
Act. Where registration of such securities under the Securities Act is required, an owner may be obligated to pay all or part of
the registration expenses and a considerable period may elapse between the time of the decision to sell and the time an owner may
be permitted to sell a security under an effective registration statement. If, during such a period, adverse market conditions
were to develop, an owner might obtain a less favorable price than that which prevailed when it decided to sell.

Preferred
Security Risks
. Preferred securities include preferred stocks, trust preferred securities, subordinated or junior notes
and debentures and other similarly structured securities. Preferred securities combine some of the characteristics of common stocks
and bonds. Preferred securities generally pay fixed or adjustable rate income in the form of dividends or interest to investors.
Preferred securities generally have preference over common stock in the payment of income and the liquidation of a company’s assets.
However, 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. Because of their subordinated position in the capital
structure of an issuer, the ability to defer dividend or interest payments for extended periods of time without triggering an event
of default for the issuer, and certain other features, preferred securities are often treated as equity-like instruments by both
issuers and investors, as their quality and value are heavily dependent on the profitability and cash flows of the issuer rather
than on any legal claims to specific assets. Preferred securities are often callable at their par value at some point in time after
their original issuance date. Income payments on preferred securities are generally stated as a percentage of these par values
although certain preferred securities provide for variable or additional participation payments.

While some preferred
securities are issued with a final maturity date, others are perpetual in nature. In certain instances, a final maturity date may
be extended and/or the final payment of principal may be deferred at the issuer’s option for a specified time without triggering
an event of

default for the issuer. Preferred
securities generally may be subject to provisions that allow an issuer, under certain conditions, to skip (“non-
cumulative” preferred securities) or defer (“cumulative” preferred securities) distributions. The issuer of
a non-cumulative preferred security does not have an obligation to make up any arrearages to holders of such securities and
non- cumulative preferred securities can defer distributions indefinitely. Cumulative preferred securities typically contain
provisions that allow an issuer, at its discretion, to defer distributions payments for up to 10 years. If a preferred
security is deferring its distribution, investors may be required to recognize income for tax purposes while they are not
receiving any income. In certain circumstances, an issuer of preferred securities may redeem the securities during their
life. For certain types of preferred securities, a redemption may be triggered by a change in federal income tax or
securities laws. As with call provisions, a redemption by the issuer may negatively impact the return of the security.
Preferred security holders generally have no voting rights with respect to the issuing company except in very limited
situations, such as if the issuer fails to make income payments for a specified period of time or if a declaration of default
occurs and is continuing. Preferred securities may be substantially less liquid than many other securities, such as U.S.
government securities or common stock. The federal income tax treatment of preferred securities may not be clear or may
be subject to recharacterization by the Internal Revenue Service. Issuers of preferred securities may be in industries that
are heavily regulated and that may receive government funding. The value of preferred securities issued by these companies
may be affected by changes in government policy, such as increased regulation, ownership restrictions, deregulation or
reduced government funding.

Preferred stocks
are a category of preferred securities that are typically considered equity securities and make income payments from an issuer’s
after-tax profits that are treated as dividends for tax purposes. While they generally provide for specified income payments as
a percentage of their par value, these payments generally do not carry the same set of guarantees afforded to bondholders and have
higher risks of non-payment or deferral.

Certain preferred
securities may be issued by trusts or other special purpose entities established by operating companies, and are therefore not
direct obligations of operating companies. At the time a trust or special purpose entity sells its preferred securities to investors,
the trust or special purpose entity generally purchases debt of the operating company with terms comparable to those of the trust
or special purpose entity securities. The trust or special purpose entity, as the holder of the operating company’s debt, has priority
with respect to the operating company’s earnings and profits over the operating company’s common shareholders, but is typically
subordinated to other classes of the operating company’s debt. Distribution payments of trust preferred securities generally coincide
with interest payments on the underlying obligations. Distributions from trust preferred securities are typically treated as interest
rather than dividends for federal income tax purposes and therefore, are not eligible for the dividends-received deduction or the
lower federal tax rates applicable to qualified dividends. Trust preferred securities generally involve the same risks as traditional
preferred stocks but are also subject to unique risks, including risks associated with income payments only being made if payments
on the underlying obligations are made. Typically, a trust preferred security will have a rating that is below that of its corresponding
operating company’s senior debt securities due to its subordinated nature.

Subordinated or junior notes or
debentures are securities that generally have priority to common stock and other preferred securities in a
company’s capital structure but are subordinated to other bonds and debt instruments in a company’s capital
structure. As a result, these securities will be subject to greater credit risk than those senior debt instruments and will
not receive income payments or return of principal in the event of insolvency until all obligations on senior debt
instruments have been made. Distributions from these securities are typically treated as interest rather than dividends for
federal income tax purposes and therefore, are not eligible for the dividends-received deduction or the lower federal tax
rates applicable to qualified dividends. Investments in subordinated or junior notes or debentures also generally involve
risks similar to risks of other preferred securities described above.

High Yield
Securities
. “High yield” or “junk” securities, the generic names for securities rated below BBB by
Standard & Poor’s or below Baa by Moody’s (or similar ratings of other rating agencies), are frequently issued by corporations
in the growth stage of their development, by established companies whose operations or industries are depressed or by highly leveraged
companies purchased in leveraged buyout transactions. These obligations that are considered below “investment grade”
and should be considered speculative as such ratings indicate a quality of less than investment grade. High yield securities are
generally not listed on a national securities exchange. Trading of high yield securities, therefore, takes place primarily in over-the-counter
markets that consist of groups of dealer firms that are typically major securities firms. Because the high yield security market
is a dealer market, rather than an auction market, no single obtainable price for a given security prevails at any given time.
Prices are determined by negotiation between traders. The existence of a liquid trading market for the securities may depend on
whether dealers will make a market in the securities. There can be no assurance that a market will be made for any of the securities,
that any market for the securities will be maintained or of the liquidity of the securities in any markets made. Not all dealers
maintain markets in all high yield securities. Therefore, since there are fewer traders in these securities than there are in “investment
grade” securities, the bid-offer spread is usually greater for high yield securities than it is for investment grade securities.
The price at which the securities may be sold to meet redemptions and the value of a trust may be adversely affected if trading
markets for the securities are limited or absent.

An investment in
“high yield, high-risk” debt obligations or “junk” obligations may include increased credit risks and the risk
that the value of the units will decline, and may decline precipitously, with increases in interest rates. During certain periods
there have been wide fluctuations in interest rates and thus in the value of debt obligations generally. Certain high yield securities
may be subject to greater market fluctuations and risk of loss of income and principal than are investments in lower-yielding,
higher-rated securities, and their value may decline precipitously because of increases in interest rates, not only because the
increases in rates generally decrease values, but also because increased rates may indicate a slowdown in the economy and a decrease
in the value of assets generally that may adversely affect the credit of issuers of high yield, high-risk securities resulting
in a higher incidence of defaults among high yield, high-risk securities. A slowdown in the economy, or a development adversely
affecting an issuer’s creditworthiness, may result in the issuer being unable to maintain earnings or sell assets at the rate and
at the prices, respectively, that are required to produce sufficient cash flow to meet its interest and principal requirements.
For an issuer that has outstanding both senior commercial

bank debt and subordinated high yield, high-risk securities, an increase
in interest rates will increase that issuer’s interest expense insofar as the interest rate on the bank debt is fluctuating. Tačiau
many leveraged issuers enter into interest rate protection agreements to fix or cap the interest rate on a large portion of
their bank debt. This reduces exposure to increasing rates, but reduces the benefit to the issuer of declining rates. The sponsor
cannot predict future economic policies or their consequences or, therefore, the course or extent of any similar market fluctuations
in the future.

Lower-rated securities
tend to offer higher yields than higher-rated securities with the same maturities because the creditworthiness of the issuers of
lower-rated securities may not be as strong as that of other issuers. Moreover, if a security is recharacterized as equity by the
Internal Revenue Service for federal income tax purposes, the issuer’s interest deduction with respect to the security will be
disallowed and this disallowance may adversely affect the issuer’s credit rating. Because investors generally perceive that there
are greater risks associated with the lower-rated securities, the yields and prices of these securities tend to fluctuate more
than higher- rated securities with changes in the perceived quality of the credit of their issuers. In addition, the market value
of high yield, high-risk securities may fluctuate more than the market value of higher-rated securities since these securities
tend to reflect short-term credit development to a greater extent than higher- rated securities. Lower-rated securities generally
involve greater risks of loss of income and principal than higher-rated securities. Issuers of lower-rated securities may possess
fewer creditworthiness characteristics than issuers of higher-rated securities and, especially in the case of issuers whose obligations
or credit standing have recently been downgraded, may be subject to claims by debt-holders, owners of property leased to the issuer
or others which, if sustained, would make it more difficult for the issuers to meet their payment obligations. High yield, high-risk
securities are also affected by variables such as interest rates, inflation rates and real growth in the economy.

Should the issuer
of any security default in the payment of principal or interest, the holders of such security may incur additional expenses seeking
payment on the defaulted security. Because the amounts (if any) recovered in payment under the defaulted security may not be reflected
in the value of a fund held by a trust or units of a trust until actually received, and depending upon when a unitholder purchases
or sells his or her units, it is possible that a unitholder would bear a portion of the cost of recovery without receiving any
portion of the payment recovered.

High yield, high-risk
securities are generally subordinated obligations. The payment of principal (and premium, if any), interest and sinking fund requirements
with respect to subordinated obligations of an issuer is subordinated in right of payment to the payment of senior obligations
of the issuer. Senior obligations generally include most, if not all, significant debt obligations of an issuer, whether existing
at the time of issuance of subordinated debt or created thereafter. Upon any distribution of the assets of an issuer with subordinated
obligations upon dissolution, total or partial liquidation or reorganization of or similar proceeding relating to the issuer, the
holders of senior indebtedness will be entitled to receive payment in full before holders of subordinated indebtedness will be
entitled to receive any payment. Moreover, generally no payment with respect to subordinated indebtedness may be made while there
exists a default with respect to any senior indebtedness. Thus, in the event of insolvency, holders of

senior indebtedness of an
issuer generally will recover more, ratably, than holders of subordinated indebtedness of that issuer.

Municipal
Bonds
. Certain municipal bonds are “general obligation bonds” and are general obligations of a governmental entity
that are backed by the taxing power of such entity. Other municipal bonds are “revenue bonds” payable from the income
of a specific project or authority and are not supported by the issuer’s power to levy taxes. General obligation bonds are secured
by the issuer’s pledge of its faith, credit and taxing power for the payment of principal and interest. Revenue bonds, on the other
hand, are payable only from the revenues derived from a particular facility or class of facilities or, in some cases, from the
proceeds of a special excise tax or other specific revenue source. There are, of course, variations in the security of the different
bonds, both within a particular classification and between classifications, depending on numerous factors.

Certain municipal
bonds may be obligations which derive their payments from mortgage loans. Certain of such housing bonds may be insured by the Federal
Housing Administration or may be single family mortgage revenue bonds issued for the purpose of acquiring from originating financial
institutions notes secured by mortgages on residences located within the issuer’s boundaries and owned by persons of low or moderate
income. Mortgage loans are generally partially or completely prepaid prior to their final maturities as a result of events such
as sale of the mortgaged premises, default, condemnation or casualty loss. Because these bonds are subject to extraordinary mandatory
redemption in whole or in part from such prepayments of mortgage loans, a substantial portion of such bonds will probably be redeemed
prior to their scheduled maturities or even prior to their ordinary call dates. Extraordinary mandatory redemption without premium
could also result from the failure of the originating financial institutions to make mortgage loans in sufficient amounts within
a specified time period. Additionally, unusually high rates of default on the underlying mortgage loans may reduce revenues available
for the payment of principal of or interest on such mortgage revenue bonds. These bonds were issued under provisions of the Internal
Revenue Code, which include certain requirements relating to the use of the proceeds of such bonds in order for the interest on
such bonds to retain its tax-exempt status. In each case the issuer of the bonds has covenanted to comply with applicable requirements
and bond counsel to such issuer has issued an opinion that the interest on the bonds is exempt from federal income tax under existing
laws and regulations.

Certain municipal
bonds may be health care revenue bonds. Ratings of bonds issued for health care facilities are often based on feasibility studies
that contain projections of occupancy levels, revenues and expenses. A facility’s gross receipts and net income available for debt
service may be affected by future events and conditions including, among other things, demand for services and the ability of the
facility to provide the services required, physicians’ confidence in the facility, management capabilities, competition with other
health care facilities, efforts by insurers and governmental agencies to limit rates, legislation establishing state rate-setting
agencies, expenses, the cost and possible unavailability of malpractice insurance, the funding of Medicare, Medicaid and other
similar third-party pay or programs, government regulation and the termination or restriction of governmental financial assistance,
including that associated with Medicare, Medicaid and other similar third-party pay or programs.

Certain municipal bonds may be
obligations of public utility issuers, including those selling wholesale and retail electric power and gas. General problems
of such issuers would include the difficulty in financing large construction programs, the limitations on operations and
increased costs and delays attributable to environmental considerations, the difficulty of the capital market in absorbing
utility debt, the difficulty in obtaining fuel at reasonable prices and the effect of energy conservation. In addition,
federal, state and municipal governmental authorities may from time to time review existing, and impose additional,
regulations governing the licensing, construction and operation of nuclear power plants, which may adversely affect the
ability of the issuers of certain bonds to make payments of principal and/or interest on such bonds.

Certain municipal
bonds may be obligations of issuers whose revenues are derived from the sale of water and/or sewerage services. Such bonds are
generally payable from user fees. The problems of such issuers include the ability to obtain timely and adequate rate increases,
population decline resulting in decreased user fees, the difficulty of financing large construction programs, the limitations on
operations and increased costs and delays attributable to environmental considerations, the increasing difficulty of obtaining
or discovering new supplies of fresh water, the effect of conservation programs and the impact of “no-growth” zoning
ordinances.

Certain municipal
bonds may be industrial revenue bonds (“IRBs”). IRBs have generally been issued under bond resolutions pursuant to which
the revenues and receipts payable under the arrangements with the operator of a particular project have been assigned and pledged
to purchasers. In some cases, a mortgage on the underlying project may have been granted as security for the IRBs. Regardless of
the structure, payment of IRBs is solely dependent upon the creditworthiness of the corporate operator of the project or corporate
guarantor. Corporate operators or guarantors may be affected by many factors which may have an adverse impact on the credit quality
of the particular company or industry. These include cyclicality of revenues and earnings, regulatory and environmental restrictions,
litigation resulting from accidents or environmentally-caused illnesses, extensive competition and financial deterioration resulting
from a corporate restructuring pursuant to a leveraged buy-out, takeover or otherwise. Such a restructuring may result in the operator
of a project becoming highly leveraged which may impact on such operator’s creditworthiness which in turn would have an adverse
impact on the rating and/or market value of such bonds. Further, the possibility of such a restructuring may have an adverse impact
on the market for and consequently the value of such bonds, even though no actual takeover or other action is ever contemplated
or effected.

Certain municipal
bonds may be obligations that are secured by lease payments of a governmental entity (“lease obligations”). Lease obligations
are often in the form of certificates of participation. Although the lease obligations do not constitute general obligations of
the municipality for which the municipality’s taxing power is pledged, a lease obligation is ordinarily backed by the municipality’s
covenant to appropriate for and make the payments due under the lease obligation. However, certain lease obligations contain “non-appropriation” clauses which provide that the municipality has no obligation to make lease payments in future years unless
money is appropriated for such purpose on a yearly basis. A governmental entity that enters into such a lease agreement cannot
obligate future governments to appropriate for and make lease

payments but covenants to take such action as is necessary to include
any lease payments due in its budgets and to make the appropriations therefor. A governmental entity’s failure to appropriate for
and to make payments under its lease obligation could result in insufficient funds available for payment of the obligations
secured thereby. Although “non-appropriation” lease obligations are secured by the leased property, disposition of the
property in the event of foreclosure might prove difficult.

Certain municipal
bonds may be obligations of issuers which are, or which govern the operation of, schools, colleges and universities and whose revenues
are derived mainly from ad valorem taxes or for higher education systems, from tuition, dormitory revenues, grants and endowments.
General problems relating to school bonds include litigation contesting the state constitutionality of financing public education
in part from ad valorem taxes, thereby creating a disparity in educational funds available to schools in wealthy areas and schools
in poor areas. Litigation or legislation on this issue may affect the sources of funds available for the payment of school bonds.
General problems relating to college and university obligations include the prospect of declining student enrollment, possible
inability to raise tuitions and fees sufficiently to cover operating costs, the uncertainty of continued receipt of federal grants
and state funding and government legislation or regulations which may adversely affect the revenues or costs of such issuers.

Certain municipal
bonds may be obligations which are payable from and secured by revenues derived from the ownership and operation of facilities
such as airports, bridges, turnpikes, port authorities, convention centers and arenas. The major portion of an airport’s gross
operating income is generally derived from fees received from signatory airlines pursuant to use agreements which consist of annual
payments for leases, occupancy of certain terminal space and service fees. Airport operating income may therefore be affected by
the ability of the airlines to meet their obligations under the use agreements. From time to time the air transport industry has
experienced significant variations in earnings and traffic, due to increased competition, excess capacity, increased costs, deregulation,
traffic constraints and other factors, and several airlines have experienced severe financial difficulties. Similarly, payment
on bonds related to other facilities is dependent on revenues from the projects, such as user fees from ports, tolls on turnpikes
and bridges and rents from buildings. Therefore, payment may be adversely affected by reduction in revenues due to such factors
as increased cost of maintenance, decreased use of a facility, lower cost of alternative modes of transportation, scarcity of fuel
and reduction or loss of rents.

Certain municipal
bonds may be obligations which are payable from and secured by revenues derived from the operation of resource recovery facilities.
Resource recovery facilities are designed to process solid waste, generate steam and convert steam to electricity. Resource recovery
bonds may be subject to extraordinary optional redemption at par upon the occurrence of certain circumstances, including but not
limited to: destruction or condemnation of a project; contracts relating to a project becoming void, unenforceable or impossible
to perform; changes in the economic availability of raw materials, operating supplies or facilities necessary for the operation
of a project; technological or other unavoidable changes adversely affecting the operation of a project; and administrative or
judicial actions which render contracts relating to the projects void, unenforceable or impossible to perform or impose unreasonable
burdens or

excessive liabilities. No one can predict the causes or likelihood of the redemption of resource recovery bonds prior
to the stated maturity of the bonds.

Certain municipal
bonds may have been acquired at a market discount from par value at maturity. A “tax-exempt” municipal bond purchased
at a market discount and held to maturity will have a larger portion of its total return in the form of taxable income and capital
gain and less in the form of tax-exempt interest income than a comparable bond newly issued at current market rates.

Certain municipal
bonds may be subject to redemption prior to their stated maturity date pursuant to sinking fund provisions, call provisions or
extraordinary optional or mandatory redemption provisions or otherwise. A sinking fund is a reserve fund accumulated over a period
of time for retirement of debt. A callable debt obligation is one which is subject to redemption or refunding prior to maturity
at the option of the issuer. A refunding is a method by which a debt obligation is redeemed, at or before maturity, by the proceeds
of a new debt obligation. In general, call provisions are more likely to be exercised when the offering side valuation is at a
premium over par than when it is at a discount from par. The exercise of redemption or call provisions will (except to the extent
the proceeds of the called bonds are used to pay for unit redemptions) result in the distribution of principal and may result in
a reduction in the amount of subsequent interest distributions. Extraordinary optional redemptions and mandatory redemptions result
from the happening of certain events. Generally, events that may permit the extraordinary optional redemption of bonds or may require
the mandatory redemption of bonds include, among others: a final determination that the interest on the bonds is taxable; the substantial
damage or destruction by fire or other casualty of the project for which the proceeds of the bonds were used; an exercise by a
local, state or federal governmental unit of its power of eminent domain to take all or substantially all of the project for which
the proceeds of the bonds were used; changes in the economic availability of raw materials, operating supplies or facilities; technologinis
or other changes which render the operation of the project for which the proceeds of the bonds were used uneconomic; changes in
law or an administrative or judicial decree which renders the performance of the agreement under which the proceeds of the bonds
were made available to finance the project impossible or which creates unreasonable burdens or which imposes excessive liabilities,
such as taxes, not imposed on the date the bonds are issued on the issuer of the bonds or the user of the proceeds of the bonds;
an administrative or judicial decree which requires the cessation of a substantial part of the operations of the project financed
with the proceeds of the bonds; an overestimate of the costs of the project to be financed with the proceeds of the bonds resulting
in excess proceeds of the bonds which may be applied to redeem bonds; or an underestimate of a source of funds securing the bonds
resulting in excess funds which may be applied to redeem bonds. The issuer of certain bonds may have sold or reserved the right
to sell, upon the satisfaction of certain conditions, to third parties all or any portion of its rights to call bonds in accordance
with the stated redemption provisions of such bonds. In such a case the issuer no longer has the right to call the bonds for redemption
unless it reacquires the rights from such third party. A third party pursuant to these rights may exercise the redemption provisions
with respect to a bond at a time when the issuer of the bond might not have called a bond for redemption had it not sold such rights.
No one can predict all of the circumstances which may result in such redemption of an issue of bonds. See also the discussion of
vienišas

family mortgage and multi-family revenue bonds above for more information on the call provisions of such bonds.

Convertible
Securities
. Convertible securities are generally debt obligations or preferred stock of a company that are convertible
into another security of the company, typically common stock. Convertible securities generally offer lower interest or dividend
yields than non-convertible fixed- income securities of similar credit quality because of the potential for capital appreciation.
The market values of convertible securities tend to decline as interest rates increase and, conversely, to increase as interest
rates decline. However, a convertible security’s market value also tends to reflect the market price of the common stock of the
issuing company, particularly when the stock price is greater than the convertible security’s conversion price. The conversion
price is defined as the predetermined price or exchange ratio at which the convertible security can be converted or exchanged for
the underlying common stock. As the market price of the underlying common stock declines below the conversion price, the price
of the convertible security tends to be increasingly influenced more by the yield of the convertible security than by the market
price of the underlying common stock. Thus, it may not decline in price to the same extent as the underlying common stock, and
convertible securities generally have less potential for gain or loss than common stocks. However, mandatory convertible securities
(as discussed below) generally do not limit the potential for loss to the same extent as securities convertible at the option of
the holder. In the event of a liquidation of the issuing company, holders of convertible securities would be paid before that company’s
common stockholders. Consequently, an issuer’s convertible securities generally entail less risk than its common stock. Tačiau
convertible securities generally fall below other debt obligations of the same issuer in order of preference or priority in the
event of a liquidation and are typically unrated or rated lower than such debt obligations. In addition, contingent payment, convertible
securities allow the issuer to claim deductions based on its nonconvertible cost of debt, which generally will result in deduction
in excess of the actual cash payments made on the securities (and accordingly, holders will recognize income in amounts in excess
of the cash payments received).

Mandatory convertible
securities are distinguished as a subset of convertible securities because the conversion is not optional and the conversion price
at maturity is based solely upon the market price of the underlying common stock, which may be significantly less than par or the
price (above or below par) paid. For these reasons, the risks associated with investing in mandatory convertible securities most
closely resemble the risks inherent in common stocks. Mandatory convertible securities customarily pay a higher coupon yield to
compensate for the potential risk of additional price volatility and loss upon conversion. Because the market price of a mandatory
convertible security increasingly corresponds to the market price of its underlying common stock as the convertible security approaches
its conversion date, there can be no assurance that the higher coupon will compensate for the potential loss.

Senior Loans.
Senior loans may be issued by banks, other financial institutions, and other investors to corporations, partnerships, limited liability
companies and other entities to finance leveraged buyouts, recapitalizations, mergers, acquisitions, stock repurchases, debt refinancings
and, to a lesser extent, for general operating and other purposes. Senior loans generally are of below investment grade credit
quality and may be unrated at the time of investment. They

generally are not registered with the SEC or any state securities commission
and generally are not listed on any securities exchange.

An investment in
senior loans involves risk that the borrowers under senior loans may default on their obligations to pay principal or interest
when due. Although senior loans may be secured by specific collateral, there can be no assurance that liquidation of collateral
would satisfy the borrower’s obligation in the event of non-payment or that such collateral could be readily liquidated. Senior
loans are typically structured as floating rate instruments in which the interest rate payable on the obligation fluctuates with
interest rate changes. As a result, the yield on an investment in senior loans will generally decline in a falling interest rate
environment and increase in a rising interest rate environment.

The amount of public
information available on senior loans generally will be less extensive than that available for other types of assets. No reliable,
active trading market currently exists for many senior loans, although a secondary market for certain senior loans does exist.
Senior loans are thus relatively illiquid. If a fund held by a trust invests in senior loans, liquidity of a senior loan refers
to the ability of the fund to sell the investment in a timely manner at a price approximately equal to its value on the fund’s
books. The illiquidity of senior loans may impair a fund’s ability to realize the full value of its assets in the event of a voluntary
or involuntary liquidation of such assets. Because of the lack of an active trading market, illiquid securities are also difficult
to value and prices provided by external pricing services may not reflect the true value of the securities. However, many senior
loans are of a large principal amount and are held by financial institutions. To the extent that a secondary market does exist
for certain senior loans, the market may be subject to irregular trading activity, wide bid/ask spreads and extended trade settlement
periods. The market for senior loans could be disrupted in the event of an economic downturn or a substantial increase or decrease
in interest rates. This could result in increased volatility in the market and in a trust’s net asset value.

If legislation or
state or federal regulators impose additional requirements or restrictions on the ability of financial institutions to make loans
that are considered highly leveraged transactions, the availability of senior loans for investment may be adversely affected. In
addition, such requirements or restrictions could reduce or eliminate sources of financing for certain borrowers. This would increase
the risk of default. If legislation or federal or state regulators require financial institutions to dispose of senior loans that
are considered highly leveraged transactions or subject such senior loans to increased regulatory scrutiny, financial institutions
may determine to sell such senior loans. Such sales could result in depressed prices. The price for the senior loan may be adversely
affected if sold at a time when a financial institution is engaging in such a sale.

Some senior loans
are subject to the risk that a court, pursuant to fraudulent conveyance or other similar laws, could subordinate the senior loans
to presently existing or future indebtedness of the borrower or take other action detrimental to lenders. Such court action could
under certain circumstances include invalidation of senior loans. Any lender, which could include a fund held by a trust, is subject
to the risk that a court could find the lender liable for damages in a claim by a borrower arising under the common laws of tort
or contracts or anti-fraud provisions of certain securities laws for actions taken or omitted to be taken by the lenders

pagal
the relevant terms of a loan agreement or in connection with actions with respect to the collateral underlying the senior loan.

Floating Rate
Instruments
. 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 a benchmark, often related to interest rates. As a result, the yield on such a security
will generally decline with negative changes to the benchmark, causing an investor to experience a reduction in the income it receives
from such securities. A sudden and significant increase in the applicable benchmark may increase the risk of payment defaults and
cause a decline in the value of the security.

Asset-Backed
Securities
. Asset-backed securities (“ABS”) are securities backed by pools of loans or other receivables. ABS
are created from many types of assets, including auto loans, credit card receivables, home equity loans and student loans. ABS
are issued through special purpose vehicles that are bankruptcy remote from the issuer of the collateral. The credit quality of
an ABS transaction depends on the performance of the underlying assets. To protect ABS investors from the possibility that some
borrowers could miss payments or even default on their loans, ABS include various forms of credit enhancement. Some ABS, particularly
home equity loan transactions, are subject to interest rate risk and prepayment risk. A change in interest rates can affect the
pace of payments on the underlying loans, which in turn, affects total return on the securities. ABS also carry credit or default
risk. If many borrowers on the underlying loans default, losses could exceed the credit enhancement level and result in losses
to investors in an ABS transaction. Finally, ABS have structure risk due to a unique characteristic known as early amortization,
or early payout, risk. Built into the structure of most ABS are triggers for early payout, designed to protect investors from losses.
These triggers are unique to each transaction and can include: a big rise in defaults on the underlying loans, a sharp drop in
the credit enhancement level, or even the bankruptcy of the originator. Once early amortization begins, all incoming loan payments
(after expenses are paid) are used to pay investors as quickly as possible based upon a predetermined priority of payment.

Mortgage-Backed
Securities
. Mortgage-backed securities are a type of ABS representing direct or indirect participations in, or are secured
by and payable from, mortgage loans secured by real property and can include single- and multi-class pass-through securities and
collateralized mortgage obligations. Mortgage-backed securities are based on different types of mortgages, including those on commercial
real estate or residential properties. These securities often have stated maturities of up to thirty years when they are issued,
depending upon the length of the mortgages underlying the securities. In practice, however, unscheduled or early payments of principal
and interest on the underlying mortgages may make the securities’ effective maturity shorter than this. Rising interest rates tend
to extend the duration of mortgage-backed securities, making them more sensitive to changes in interest rates, and may reduce the
market value of the securities. In addition, mortgage-backed securities are subject to prepayment risk, the risk that borrowers
may pay off their mortgages sooner than expected, particularly when interest rates decline.

Sovereign
Debt
. Sovereign debt instruments are subject to the risk that a governmental entity may delay or refuse to pay interest
or repay principal on its sovereign debt, due, for example, to cash flow problems, insufficient foreign currency reserves, political
considerations,

the relative size of the governmental entity’s debt position in relation to the economy or the failure to put in
place required economic reforms. If a governmental entity defaults, it may ask for more time in which to pay or for further loans.
There is no legal process for collecting sovereign debt that a government does
not pay nor are there bankruptcy proceedings through which all or part of the sovereign debt that a governmental entity has not
repaid may be collected.

U.S. Government
Obligations Risk
. Obligations of U.S. government agencies, authorities, instrumentalities and sponsored enterprises have
historically involved little risk of loss of principal if held to maturity. However, not all U.S. government securities are backed
by the full faith and credit of the United States. Obligations of certain agencies, authorities, instrumentalities and sponsored
enterprises of the U.S. government are backed by the full faith and credit of the United States (e.g., the Government National
Mortgage Association); other obligations are backed by the right of the issuer to borrow from the U.S. Treasury (e.g., the Federal
Home Loan Banks) and others are supported by the discretionary authority of the U.S. government to purchase an agency’s obligations.
Still others are backed only by the credit of the agency, authority, instrumentality or sponsored enterprise issuing the obligation.
No assurance can be given that the U.S. government would provide financial support to any of these entities if it is not obligated
to do so by law.

Money Market
Securities
. Certain funds held by a trust may invest in money market securities. If market conditions improve while a fund
has temporarily invested some or all of its assets in high quality money market securities, this strategy could result in reducing
the potential gain from the market upswing, thus reducing a fund’s opportunity to achieve its investment objective.

Derivatives
Risk
. Certain funds held by a trust may engage in transactions in derivatives. Derivatives are subject to counterparty
risk which is the risk that the other party in a transaction may be unable or unwilling to meet obligations when due. Use of derivatives
may increase volatility of a fund and reduce returns. Fluctuations in the value of derivatives may not correspond with fluctuations
of underlying exposures. Unanticipated market movements could result in significant losses on derivative positions including greater
losses than amounts originally invested and potentially unlimited losses in the case of certain derivatives. There are no assurances
that there will be a secondary market available in any derivative position which could result in illiquidity and the inability
of a fund to liquidate or terminate positions as valued. Valuation of derivative positions may be difficult and increase during
times of market turmoil. Certain derivatives may be used as a hedge against other securities positions, however, hedging can be
subject to the risk of imperfect alignment and there are no assurances that a hedge will be achieved as intended which can pose
significant loss to a fund. The derivatives market is subject to the risk of changing or increased regulation which may make derivatives
more costly, limit the availability of derivatives or otherwise adversely affect the value or performance of derivatives. Examples
of increased regulation include, but are not limited to, the imposition of clearing and reporting requirements on transactions
that fall within the definition of “swap” and “security-based swap,” increased recordkeeping and reporting
requirements, changing definitional and registration requirements, and changes to the way that funds’ use of derivatives is regulated.
No one can predict the effects of any new governmental regulation that may be implemented on the ability of a fund to use any financial
derivative product, and there can be no

assurance that any new governmental
regulation will not adversely affect a fund’s ability to achieve its investment objective. The federal income tax
treatment of a derivative may not be as favorable as a direct investment in the asset that a derivative provides exposure to,
which may adversely impact the timing, character and amount of income a fund realizes from its investment. The tax treatment
of certain derivatives is unsettled and may be subject to future legislation, regulation or administrative
pronouncements.

Options.
A trust may hold a fund or funds that write (sell) or purchase options as part of its investment strategy. In addition to general
risks associated with derivatives described above, options are considered speculative. When a fund purchases an option, it may
lose the premium paid for it if the price of the underlying security or other assets decreases or remains the same (in the case
of a call option) or increases or remains the same (in the case of a put option). If a put or call option purchased by a fund were
permitted to expire without being sold or exercised, its premium would represent a loss to a fund. To the extent that a fund writes
or sells an option, if the decline or increase in the underlying asset is significantly below or above the exercise price of the
written option, a fund could experience substantial and potentially unlimited losses.

There can be no
assurance that a liquid market for the options will exist when a fund seeks to close out an option position. Reasons for the absence
of a liquid secondary market on an exchange may include the following: (i) there may be insufficient trading interest in certain
options; (ii) restrictions may be imposed by an exchange on opening transactions or closing transactions or both; (iii) trading
halts, suspensions or other restrictions may be imposed with respect to particular classes or series of options; (iv) unusual or
unforeseen of an exchange or The Options Clearing Corporation (“OCC”) may not at all times be adequate to handle current
trading volume; or (vi) one or more exchanges could, for economic or other reasons, decide or be compelled at some future date
to discontinue the trading of options (or a particular class or series of options). If trading were discontinued, the secondary
market on that exchange (or in that class or series of options) would cease to exist. However, outstanding options on that exchange
that had been issued by the OCC as a result of trades on that exchange would continue to be exercisable in accordance with their
terms. A fund’s ability to terminate over-the-counter options is more limited than with exchange-traded options and may involve
the risk that broker- dealers participating in such transactions will not fulfill their obligations. If a fund were unable to close
out a covered call option that it had written (sold) on a security, it would not be able to sell the underlying security unless
the option expired without exercise.

The hours of trading
for options may not conform to the hours during which the underlying securities are traded. To the extent that the options markets
close before the markets for the underlying securities, significant price and rate movements can take place in the underlying markets
that cannot be reflected in the options markets. Additionally, the exercise price of an option may be adjusted downward before
the option’s expiration as a result of the occurrence of certain corporate events affecting the underlying equity security, such
as extraordinary dividends, stock splits, merger or other extraordinary distributions or events. In certain circumstances, a reduction
in the exercise price of an option could reduce a fund’s capital appreciation potential on the underlying security.

To the extent that
a fund purchases options pursuant to a hedging strategy, the fund will be subject to the following additional risks. If a put or
call option purchased by a fund is not sold when it has remaining value, and if the market price of the underlying security remains
equal to or greater than the exercise price (in
the case of a put), or remains less than or equal to the exercise price (in the case of a call), the fund will lose its entire
investment in the option. Also, where a put or call option on a particular security is purchased to hedge against price movements
in a related security, the price of the put or call option may move more or less than the price of the related security. If restrictions
on exercise were imposed, a fund might be unable to exercise an option it had purchased. If a fund were unable to close out an
option that it had purchased on a security, it would have to exercise the option in order to realize any profit or the option may
expire worthless.

The writing (selling)
and purchase of options is a highly specialized activity which involves investment techniques and risks different from those associated
with ordinary portfolio securities transactions. The successful use of options depends in part on the ability of a fund’s adviser
to predict future price fluctuations and, for hedging transactions, the degree of correlation between the options and securities
or currency markets.

If a fund employs
a covered call strategy, a fund will generally write (sell) call options on a significant portion of the fund’s managed assets.
These call options will give the option holder the right, but not the obligation, to purchase a security from the fund at the strike
price on or prior to the option’s expiration date. The ability to successfully implement the fund’s investment strategy depends
on the fund adviser’s ability to predict pertinent market movements, which cannot be assured. Thus, the use of options may require
a fund to sell portfolio securities at inopportune times or for prices other than current market values, may limit the amount of
appreciation the fund can realize on an investment or may cause the fund to hold a security that it might otherwise sell. The writer
(seller) of an option has no control over the time when it may be required to fulfill its obligation as a writer (seller) of the
option. Once an option writer (seller) has received an exercise notice, it cannot effect a closing purchase transaction in order
to terminate its obligation under the option and must deliver the underlying security at the exercise price. As the writer (seller)
of a covered call option, a fund forgoes, during the option’s life, the opportunity to profit from increases in the market value
of the security underlying the call option above the sum of the premium and the strike price of the call option, but has retained
the risk of loss should the price of the underlying security decline. The value of the options written (sold) by a fund will be
affected by changes in the value and dividend rates of the underlying equity securities, an increase in interest rates, changes
in the actual or perceived volatility of securities markets and the underlying securities and the remaining time to the options’
expirations. The value of the options may also be adversely affected if the market for the options becomes less liquid or smaller.

An option is generally
considered “covered” if a fund owns the security underlying the call option or has an absolute and immediate right to
acquire that security without additional cash consideration (or, if required, liquid cash or other assets are segregated by the
fund) upon conversion or exchange of other securities held by the fund. In certain cases, a call option may also be considered
covered if a fund holds a call option on the same security as the call option written (sold) provided that certain conditions are
met. By writing (selling) covered call options,

a fund generally seeks to generate income, in the form of the premiums received
for writing (selling) the call options. Investment income paid by a fund to its shareholders (such as a trust) may be derived primarily
from the premiums it receives from writing (selling) call options and, to a lesser extent, from the dividends
and interest it receives from the equity securities or other investments held in the fund’s portfolio and short-term gains thereon.
Premiums from writing (selling) call options and dividends and interest payments made by the securities in a fund’s portfolio can
vary widely over time.

Swaps.
Certain funds held by a trust may invest in swaps. In addition to general risks associated with derivatives described above, swap
agreements involve the risk that the party with whom a fund has entered into the swap will default on its obligation to pay a fund
and the risk that a fund will not be able to meet its obligations to pay the other party to the agreement. Swaps entered into by
a fund may include, but are not limited to, interest rate swaps, total return swaps and/or credit default swaps. In an interest
rate swap transaction, two parties exchange rights to receive interest payments, such as exchanging the right to receive floating
rate payments based on a reference interest rate for the right to receive fixed rate payments. In addition to the general risks
associated with derivatives and swaps described above, interest rate swaps are subject to interest rate risk and credit risk. In
a total return swap transaction, one party agrees to pay another party an amount equal to the total return on a reference asset
during a specified period of time in return for periodic payments based on a fixed or variable interest rate or on the total return
from a different reference asset. In addition to the general risks associated with derivatives and swaps described above, total
return swaps could result in losses if the reference asset does not perform as anticipated and these swaps can have the potential
for unlimited losses. In a credit default swap transaction, one party makes one or more payments over the term of the contract
to the counterparty, provided that no event of default with respect to a specific obligation or issuer has occurred. In return,
upon any event of default, such party would receive from the counterparty a payment equal to the par (or other agreed-upon) value
of such specified obligation. In addition to general risks associated with derivatives and swaps described above, credit default
swaps involve special risks because they are difficult to value, are highly susceptible to liquidity and credit risk and generally
pay a return to the party that has paid the premium only in the event of an actual default by the issuer of the underlying obligation
(as opposed to a credit downgrade or other indication of financial difficulty).

Forward Foreign
Currency Exchange Contracts
. Certain funds held by a trust may engage in forward foreign currency exchange transactions.
Forward foreign exchange transactions are contracts to purchase or sell a specified amount of a specified currency or multinational
currency unit at a price and future date set at the time of the contract. Forward foreign currency exchange contracts do not eliminate
fluctuations in the value of non-U.S. securities but rather allow a fund to establish a fixed rate of exchange for a future point
in time. This strategy can have the effect of reducing returns and minimizing opportunities for gain.

Indexed And
Inverse Securities
. Certain funds held by a trust may invest in indexed and inverse securities. In addition to general
risks associated with derivatives described above, indexed and inverse securities are subject to risk with respect to the value
of the particular index. These securities are subject to leverage risk and correlation risk. Certain indexed and inverse securities
have greater sensitivity to changes in interest rates or index levels than other securities,

and a fund’s investment in such instruments
may decline significantly in value if interest rates or index levels move in a way a fund’s management does not anticipate.

Futures.
Certain funds held by a trust may engage in futures transactions. In addition to general risks associated with derivatives described
above, the primary risks associated with the use of futures contracts and options are (a) the imperfect correlation between the
change in market value of the instruments held by a fund and the price of the futures contract or option; (b) possible lack of
a liquid secondary market for a futures contract and the resulting inability to close a futures contract when desired; (c) losses
caused by unanticipated market movements, which are potentially unlimited; (d) the investment adviser’s inability to predict correctly
the direction of securities prices, interest rates, currency exchange rates and other economic factors; and (e) the possibility
that the counterparty will default in the performance of its obligations. While futures contracts are generally liquid instruments,
under certain market conditions they may become illiquid. Futures exchanges may impose daily or intra-day price change limits and/or
limit the volume of trading. Additionally, government regulation may further reduce liquidity through similar trading restrictions.

Repurchase
Agreement Risk
. A repurchase agreement is a form of short-term borrowing where a dealer sells securities to investors (usually
on an overnight basis) and buys them back the following day. If the other party to a repurchase agreement defaults on its obligation
under such agreement, a fund held by a trust may suffer delays and incur costs or lose money in exercising its rights under the
agreement. If the seller fails to repurchase the security under a repurchase agreement and the market value of such security declines,
such fund may lose money.

Short Sales
Risk
. Certain funds held by a trust may engage in short sales. Because making short sales in securities that it does not
own exposes a fund to the risks associated with those securities, such short sales involve speculative exposure risk. A fund will
incur a loss as a result of a short sale if the price of the security increases between the date of the short sale and the date
on which such fund replaces the security sold short. A fund will realize a gain if the security declines in price between those
dates. As a result, if a fund makes short sales in securities that increase in value, it will likely underperform similar funds
that do not make short sales in securities they do not own. There can be no assurance that a fund will be able to close out a short
sale position at any particular time or at an acceptable price. Although a fund’s gain is limited to the amount at which it sold
a security short, its potential loss is limited only by the maximum attainable price of the security, less the price at which the
security was sold. Short sale transactions involve leverage because they can provide investment exposure in an amount exceeding
the initial investment. A fund may also pay transaction costs and borrowing fees in connection with short sales.

Commodities.
Certain funds held by a trust may have exposure to the commodities market. This exposure could expose such funds and to greater
volatility than investment in other securities. The value of investments providing commodity exposure may be affected by changes
in overall market movements, commodity index volatility, changes in interest rates, or factors affecting a particular industry
or commodity, such as drought, floods, weather, embargoes, tariffs and international economic, political and regulatory developments.

Concentration Risk.
Concentration risk is the risk that the value of a trust may be more susceptible to fluctuations based on factors that impact
a particular sector because the trust provides exposure to investments concentrated within a particular sector or sectors.

Communication
Services Sector
. General risks of communication services companies include rapidly changing technology, rapid product obsolescence,
loss of patent protection, cyclical market patterns, evolving industry standards and frequent new product introductions. Certain
communication companies are subject to substantial governmental regulation, which among other things, regulates permitted rates
of return and the kinds of services that a company may offer. Media and entertainment companies are subject to changing demographics,
consumer preferences and changes in the way people communicate and access information and entertainment content. Certain of these
companies may be particularly susceptible to cybersecurity threats, which could have an adverse effect on their business. Companies
in this sector are subject to fierce competition for market share from existing competitors and new market entrants. Such competitive
pressures are intense and communication stocks can experience extreme volatility.

Companies in the
communication sector may encounter distressed cash flows and heavy debt burdens due to the need to commit substantial capital to
meet increasing competition and research and development costs. Technological innovations may also make the existing products and
services of communication companies obsolete. In addition, companies in this sector can be impacted by a lack of investor or consumer
acceptance of new products, changing consumer preferences and lack of standardization or compatibility with existing technologies
making implementation of new products more difficult.

Consommation discrétionnaire
And Consumer Staples Sectors
. The profitability of companies that manufacture or sell consumer products or provide consumer
services will be affected by various factors including the general state of the economy and consumer spending trends. In the past,
there have been major changes in the retail environment due to the declaration of bankruptcy by some of the major corporations
involved in the retail industry, particularly the department store segment. The continued viability of the retail industry will
depend on the industry’s ability to adapt and to compete in changing economic and social conditions, to attract and retain capable
management and to finance expansion. Weakness in the banking or real estate industry, a recessionary economic climate with the
consequent slowdown in employment growth, less favorable trends in unemployment or a marked deceleration in real disposable personal
income growth could result in significant pressure on both consumer wealth and consumer confidence, adversely affecting consumer
spending habits. In addition, competitiveness of the retail industry will require large capital outlays for technological investments.
Increasing employee and retiree benefit costs may also have an adverse effect on the industry. In many sectors of the retail industry,
competition may be fierce due to market saturation, converging consumer tastes and other factors. Many retailers are involved in
entering global markets which entail added risks such as sudden weakening of foreign economies, difficulty in adapting to local
conditions and constraints and added research costs.

Energy Sector.
Energy companies may include but are not limited to companies involved in: production, generation, transmission, marketing, control,
or measurement of energy;

provision of component parts or services to companies engaged in the above activities; energy research
or experimentation; and environmental activities related to the solution of energy problems, such as energy conservation and pollution
control.

The securities of
companies in the energy field are subject to changes in value and dividend yield which depend, to a large extent, on the price
and supply of energy fuels. Swift price and supply fluctuations may be caused by events relating to international politics, energy
conservation, the success of exploration projects, and tax and other regulatory policies of various governments. As a result of
the foregoing, the securities issued by energy companies may be subject to rapid price volatility.

Any future scientific
advances concerning new sources of energy and fuels or legislative changes relating to the energy sector or the environment could
have a negative impact on the energy sector. Each of the problems referred to could adversely affect the financial stability of
the issuers of any energy sector securities.

Financiers
Sector
. Companies in the financials sector may include banks and their holding companies, finance companies, investment
managers, broker-dealers, insurance and reinsurance companies and mortgage REITs. Banks and their holding companies are especially
subject to the adverse effects of economic recession, volatile interest rates, portfolio concentrations in geographic markets and
in commercial and residential real estate loans and competition from new entrants in their fields of business. In addition, banks
and their holding companies are extensively regulated at both the federal and state level and may be adversely affected by increased
regulations. Banks face increased competition from nontraditional lending sources as regulatory changes permit new entrants to
offer various financial products. Technological advances allow these nontraditional lending sources to cut overhead and permit
the more efficient use of customer data. Banks are already facing tremendous pressure from mutual funds, brokerage firms and other
providers in the competition to furnish services that were traditionally offered by banks.

Companies engaged
in investment management and broker-dealer activities are subject to volatility in their earnings and share prices that often exceeds
the volatility of the equity market in general. Adverse changes in the direction of the stock market, investor confidence, equity
transaction volume, the level and direction of interest rates and the outlook of emerging markets could adversely affect the financial
stability, as well as the stock prices, of these companies. Additionally, competitive pressures, including increased competition
with new and existing competitors, the ongoing commoditization of traditional businesses and the need for increased capital expenditures
on new technology could adversely impact the profit margins of companies in the investment management and brokerage industries.
Companies involved in investment management and broker-dealer activities are also subject to extensive regulation by government
agencies and self-regulatory organizations, and changes in laws, regulations or rules, or in the interpretation of such laws, regulations
and rules could adversely affect the stock prices of such companies.

Companies involved
in the insurance, reinsurance and risk management industry underwrite, sell or distribute property, casualty and business insurance.
Many factors affect

insurance, reinsurance and risk
management company profits, including but not limited to interest rate movements, the imposition of premium rate caps, a
misapprehension of the risks involved in given underwritings, competition and pressure to compete globally, weather
catastrophes or other natural or man-made disasters and the effects of client mergers. Individual companies may be exposed to
material risks including reserve inadequacy and the inability to collect from reinsurance carriers. Insurance companies are
subject to extensive governmental regulation, including the imposition of maximum rate levels, which may not be adequate for
some lines of business. Proposed or potential tax law changes may also adversely affect insurance companies’ policy
sales, tax obligations and profitability. In addition to the foregoing, profit margins of these companies continue to shrink
due to the commoditization of traditional businesses, new competitors, capital expenditures on new technology and the
pressure to compete globally.

In addition to the
normal risks of business, companies involved in the insurance and risk management industry are subject to significant risk factors,
including those applicable to regulated insurance companies, such as: the inherent uncertainty in the process of establishing property-liability
loss reserves, and the fact that ultimate losses could materially exceed established loss reserves, which could have a material
adverse effect on results of operations and financial condition; the fact that insurance companies have experienced, and can be
expected in the future to experience, catastrophic losses, which could have a material adverse impact on their financial conditions,
results of operations and cash flow; the inherent uncertainty in the process of establishing property-liability loss reserves due
to changes in loss payment patterns caused by new claim settlement practices; the need for insurance companies and their subsidiaries
to maintain appropriate levels of statutory capital and surplus, particularly in light of continuing scrutiny by rating organizations
and state insurance regulatory authorities, and in order to maintain acceptable financial strength or claims-paying ability ratings;
the extensive regulation and supervision to which insurance companies are subject, and various regulatory and other legal actions;
the adverse impact that increases in interest rates could have on the value of an insurance company’s investment portfolio and
on the attractiveness of certain of its products; and the uncertainty involved in estimating the availability of reinsurance and
the collectability of reinsurance recoverables.

The state insurance
regulatory framework is also subject to the risk of federal and state legislatures potentially enacting laws that alter or increase
regulation of insurance companies and insurance holding company systems. Previously, Congress and certain federal agencies have
investigated the condition of the insurance industry in the United States to determine whether to promulgate additional federal
regulation. The Sponsor is unable to predict whether any state or federal legislation will be enacted to change the nature or scope
of regulation of the insurance industry, or what effect, if any, such legislation would have on the industry.

All insurance companies
are subject to state laws and regulations that require diversification of their investment portfolios and limit the amount of investments
in certain investment categories. Failure to comply with these laws and regulations would cause non- conforming investments to
be treated as non-admitted assets for purposes of measuring statutory surplus and, in some instances, would require divestiture.

Mortgage REITs engage in financing real estate, purchasing or originating mortgages and mortgage-backed securities and earning
income from the interest on these investments. Such REITs face risks similar to those of other financial firms, such as changes
in interest rates, general market conditions and credit risk, in addition to risks associated with an investment in real estate
(as discussed herein).

Sveikatos apsauga
Sector
. Healthcare companies involved in advanced medical devices and instruments, drugs and biotech, managed care, hospital
management/health services and medical supplies have potential risks unique to their sector of the healthcare field. These companies
are subject to governmental regulation of their products and services, a factor which could have a significant and possibly unfavorable
effect on the price and availability of such products or services. Furthermore, such companies face the risk of increasing competition
from new products or services, generic drug sales, termination of patent protection for drug or medical supply products and the
risk that technological advances will render their products obsolete. The research and development costs of bringing a drug to
market are substantial, and include lengthy governmental review processes with no guarantee that the product will ever come to
marché. Many of these companies may have losses and not offer certain products for several years. Such companies may also have
persistent losses during a new product’s transition from development to production, and revenue patterns may be erratic. In addition,
healthcare facility operators may be affected by events and conditions including, among other things, demand for services, the
ability of the facility to provide the services required, physicians’ confidence in the facility, management capabilities, competition
with other hospitals, efforts by insurers and governmental agencies to limit rates, legislation establishing state rate-setting
agencies, expenses, government regulation, the cost and possible unavailability of malpractice insurance and the termination or
restriction of governmental financial assistance, including that associated with Medicare, Medicaid and other similar third-party
payor programs.

Legislative proposals
concerning healthcare are proposed in Congress from time to time. These proposals span a wide range of topics, including cost and
price controls (which might include a freeze on the prices of prescription drugs), national health insurance incentives for competition
in the provision of healthcare services, tax incentives and penalties related to healthcare insurance premiums and promotion of
prepaid healthcare plans.

Les industriels
Sector
. General risks of industrials companies include the general state of the economy, intense competition, consolidation,
domestic and international politics, excess capacity and consumer spending trends. In addition, capital goods companies may also
be significantly affected by overall capital spending levels, economic cycles, technical obsolescence, delays in modernization,
limitations on supply of key materials, labor relations, government regulations, government contracts and ecommerce initiatives.
Furthermore, certain companies involved in the industry have also faced scrutiny for alleged accounting irregularities that may
have led to the overstatement of their financial results, and other companies in the industry may face similar scrutiny.

Industrials companies
may also be affected by factors more specific to their individual industries. Industrial machinery manufacturers may be subject
to declines in commercial and consumer demand and the need for modernization. Aerospace and defense companies may be

paveikta
by decreased demand for new equipment, aircraft order cancellations, disputes over or ability to obtain or retain government contracts,
or changes in government budget priorities, changes in aircraft-leasing contracts and cutbacks in profitable business travel.

Information
Technology Sector
. Information technology companies generally include companies involved in the development, design,
manufacture and sale of computers and peripherals, software and services, data networking and communications equipment,
internet access and information providers, semiconductors and semiconductor equipment and other related products, systems and
services. The market for these products, especially those specifically related to the internet, may be characterized by
rapidly changing technology, product obsolescence, cyclical markets, evolving industry standards and frequent new product
introductions. The success of companies in this sector depends, in substantial part, on the timely and successful
introduction of new products. An unexpected change in one or more of the technologies affecting a company’s products or
in the market for products based on a particular technology could have a material adverse effect on an issuer’s
operating results. Furthermore, there can be no assurance that any particular company will be able to respond in a timely
manner to compete in the rapidly developing marketplace.

Factors such as
announcements of new products or development of new technologies and general conditions of the industry have caused and are likely
to cause the market price of high-technology common stocks to fluctuate substantially. In addition, technology company stocks have
experienced extreme price and volume fluctuations that often have been unrelated to the operating performance of such companies.
Such market volatility may adversely affect the market price of shares of these companies.

Some key components
of certain products of technology issuers are currently available only from single sources. There can be no assurance that in the
future suppliers will be able to meet the demand for components in a timely and cost- effective manner. Accordingly, an issuer’s
operating results and customer relationships could be adversely affected by either an increase in price for, or an interruption
or reduction in supply of, any key components. Additionally, many technology issuers are characterized by a highly concentrated
customer base consisting of a limited number of large customers who may require product vendors to comply with rigorous industry
standards. Any failure to comply with such standards may result in a significant loss or reduction of sales. Because many products
and technologies of technology companies are incorporated into other related products, such companies are often highly dependent
on the performance of the personal computer, electronics and telecommunications industries. There can be no assurance that these
customers will place additional orders, or that an issuer will obtain orders of similar magnitude as past orders from other customers.
Similarly, the success of certain technology companies is tied to a relatively small concentration of products or technologies.
Accordingly, a decline in demand of such products, technologies or from such customers could have a material adverse impact on
companies in this sector.

Many technology
companies rely on a combination of patents, copyrights, trademarks and trade secret laws to establish and protect their proprietary
rights in their products and technologies. There can be no assurance that the steps taken to protect proprietary rights will be
adequate to prevent misappropriation of technology or that competitors will not independently

develop technologies that are substantially
equivalent or superior to an issuer’s technology. In addition, due to the increasing public use of the internet, it is possible
that other laws and regulations may be adopted to address issues such as privacy, pricing, characteristics, and quality of internet
products and services. The adoption of any such laws could have a material adverse impact on the issuers of securities in the information
technology sector.

Matériaux
Sector
. Companies in the basic materials sector are engaged in the manufacture, mining, processing, or distribution of
raw materials and intermediate goods used in the industrial sector. These may include materials and products such as chemicals,
commodities, forestry products, paper products, copper, iron ore, nickel, steel, aluminum, precious metals, textiles, cement, and
gypsum. Basic materials companies may be affected by the volatility of commodity prices, exchange rates, import controls, worldwide
competition, depletion of resources and mandated expenditures for safety and pollution control devices. In addition, they may be
adversely affected by technical progress, labor relations and governmental regulation. These companies are also at risk for environmental
damage and product liability claims. Production of industrial materials often exceeds demand as a result of over-building or economic
downturns, which may lead to poor investment returns.

Immobilier
Sector
. Real estate companies include REITs and real estate management and development companies. Companies in the real
estate sector may be exposed to the risks associated with the ownership of real estate which include, among other factors, changes
in general U.S., global and local economic conditions, declines in real estate values, changes in the financial health of tenants,
overbuilding and increased competition for tenants, oversupply of properties for sale, changing demographics, changes in interest
rates, tax rates and other operating expenses, changes in government regulations, faulty construction and the ongoing need for
capital improvements, regulatory and judicial requirements including relating to liability for environmental hazards, changes in
neighborhood values and buyer demand and the unavailability of construction financing or mortgage loans at rates acceptable to
developers. The performance of a REIT may also be adversely impacted by other factors (discussed above).

Real estate management
and development companies often are dependent upon specialized management skills, have limited diversification and are subject
to risks inherent in operating and financing a limited number of projects. To the extent such companies focus their business on
a particular geographic region of a country, they may be subject to greater risks of adverse developments in that area. These companies
may also be subject to heavy cash flow dependency and defaults by borrowers. Certain real estate management and development companies
have a relatively small market capitalization, which may tend to increase the volatility of the market price of these securities.

Utilitaires
Sector
. General problems of utility companies include risks of increases in fuel and other operating costs; apribojimai
on operations and increased costs and delays as a result of environmental, nuclear safety and other regulations; regulatory restrictions
on the ability to pass increasing wholesale costs along to the retail and business customer; energy conservation; technologinis
innovations which may render existing plants, equipment or products obsolete; the effects of local weather, maturing markets and
difficulty in expanding to new markets due to regulatory and other factors; natural or manmade disasters; difficulty obtaining
adequate returns

on invested capital; the high cost of obtaining financing during periods of inflation; difficulties of the capital
markets in absorbing utility debt and equity securities; and increased competition. In addition, taxes, government regulation,
international politics, price and supply fluctuations, volatile interest rates and energy conservation may cause difficulties for
utilities. All of such issuers experience certain of these problems to varying degrees.

California.
The information provided below is only a brief summary of the complex factors affecting the financial situation in California and
is derived from sources that are generally available to investors and are believed to be accurate. Except where otherwise indicated,
the information is based on California’s 2016-17 fiscal year running from July 1, 2016 to June 30, 2017. No independent verification
has been made of the accuracy or completeness of any of the following information. It is based in part on information obtained
from various state and local agencies in California or contained in official statements for various California municipal obligations.

Economic Outlook.
California’s economy continued to improve during the first half of the 2016-17 fiscal year. California’s unemployment rate hit
a new record low falling to 4.3% in December 2017 and 278,900 jobs were added since June 30, 2017, with 10 out of 11 industry sectors
experiencing job growth. Average wages rose, but at slower rates than in previous periods of low unemployment due, in part, to
the retirement of baby boomers. California’s personal income for the quarter ending September 2017 was 0.6% higher than in June
2017 but was lower than the 0.9% increase during the same quarter in 2016.

Stabilizing commodity
prices and rising wages moved consumer prices higher. Inflation in California rose 2.5% in the 2016-17 fiscal year compared to
an increase in national inflation of 1.8%. According to the California Department of Finance, inflation in California is expected
to increase by 3.1% in the 2017- 18 fiscal year 2017-18 and 2.9% in the 2018-19 fiscal year. In comparison, national inflation
is expected to increase by 2.1% in the 2017-18 fiscal year and 2.2% in the 2018-19 fiscal year.

Housing inflation
rose 4.9% in California compared to 3.3% nationwide during 2017. Median home prices in California increased 7.6% over prices in
December 2016 but decreased 1.1% since June 2017. California housing permits have lagged behind population growth and California
is experiencing the lowest housing inventory level in 13 years.

Net Assets. California’s
primary government’s combined net position (governmental and business-type activities) increased by $9.1 billion (29.9%) from a
negative $30.4 billion to a negative $21.3 billion as of June 30, 2017.

A significant portion
of the California primary government’s net position is comprised of its $109.3 billion net investment in capital assets,
such as land, buildings, equipment, and infrastructure (roads, bridges, and other immovable assets). This amount of capital assets
is net of any outstanding debt used to acquire those assets and the resources needed to repay this debt must come from other sources
because California cannot use the capital assets to pay off the liabilities. Further, these assets are not available for future
spending.

Another $40.1 billion of the California primary government’s net position
represents resources that are externally restricted as to how they may be used, such as resources pledged to debt service. Comment
of June 30, 2017, the primary government’s combined unrestricted net deficit position was $170.8 billion $169.5 billion
for governmental activities and $1.3 billion for business-type activities.

California
General Fund. California’s main operating fund (the “California General Fund”) ended the 2016-17 fiscal
year with assets of $26.4 billion; liabilities and deferred inflows of resources of $20.6 billion; and non- spendable,
restricted, and committed fund balances of $104 million, $7.4 billion, and $181 million, respectively, leaving the California
General Fund with a negative unassigned fund balance of $1.9 billion. Total assets of the California General Fund increased
by $5.4 billion (26.0%) over the prior fiscal year, while total liabilities and deferred inflows of resources decreased by
$11 million (0.1%).

As of the end of
the 2015-16 fiscal year, the California General Fund had an excess of revenues over expenditures of $8.9 billion ($125.1 billion
in revenues and $116.2 billion in expenditures). Approximately $120.3 billion (96.1%) of California General Fund revenue is derived
from California’s largest three taxespersonal income taxes ($84.3 billion), sales and use taxes ($24.9 billion), and corporation
taxes ($11.1 billion). As a result of fund classifications made to comply with generally accepted governmental accounting principles,
a total of $309 million in revenue, essentially all from unemployment programs, is included in the California General Fund.

During the 2016-17
fiscal year, total California General Fund revenue increased by $7.5 billion (6.4%), mainly resulting from increases in personal
income taxes of $5.7 billion (7.3%) and in corporation taxes of $1.9 billion (20.7%). California General Fund expenditures increased
by $4.5 billion (4.0%), mainly resulting from increases in education and health and human services expenditures, which were up
$2.0 billion and $1.3 billion, respectively. The California General Fund ended the 2016-17 fiscal year with a fund balance of $5.8
billion, a $5.4 billion increase from the prior year’s ending fund balance of $362 million.

Budget
Outlook. California’s 2016-17 Budget Act (the “California Budget Act”) enacted on June 27, 2016 increased
the California General Fund’s budgeted expenditures by $3.7 billion, or 3.0% over last year’s California General
Fund budget. The California Budget Act appropriated $183.3 billion $125.1 billion from the California General Fund, $54.9
billion from special funds, and $3.3 billion from bond funds. The California General Fund’s revenues were projected to
be $125.9 billion after a $1.8 billion transfer to California’s rainy-day fund, the Budget Stabilization Account.
California General Fund revenue comes predominantly from taxes, with personal income taxes expected to provide 70.0% of total
revenue. California’s major taxes (personal income, sales and use, and corporation taxes) are projected to supply
approximately 97.3% of the California General Fund’s resources in fiscal year 2017-18. The California General Fund was
projected to end fiscal year 2017-18 with $9.9 billion in total reserves $8.5 billion in the Budget Stabilization Account and
$1.4 billion in the California General Fund’s Special Fund for Economic Uncertainties. In addition to the required
minimum annual transfer to the Budget Stabilization Account, Proposition 2 requires the California General Fund to make an
equivalent

minimum annual amount of debt reduction payments; the 2017-18 spending plan included $1.8 billion of debt reduction expenditures.

In January
2018, the proposed 2018-19 governor’s budget provided revised estimates of fiscal year 2017-18 California General Fund
revenues, expenditures, and reserves. The revised estimates project California General Fund revenue of $127.3 billion,
expenditures of $126.5 billion, and total year-end reserves of $12.6 billion-$8.4 billion in the Budget Stabilization Account
and $4.2 billion in the California General Fund’s Special Fund for Economic Uncertainties which is $3.2 billion more
than projected in June 2017 for the enacted budget. As of January 1, 2018, actual California General Fund cash receipts for
the first half of fiscal year 2017-18 surpassed estimates by 7.4% resulting in a decrease in the California General
Fund’s need for temporary borrowing by $2.4 billion compared to estimates, leaving a balance as of December 31, 2017,
of $16.1 billion in outstanding loans, comprised entirely of internal borrowing from special funds.

The 2017-18 spending
plan increased total state expenditures by $12.2 billion over the 2016-17 level primarily in education, transportation, and health
and human services programs. The California General Fund had a $2.1 billion increase in education spending to meet the Proposition
98 guaranteed minimum funding level for K-12 schools and community colleges, $475 million for universities and additional financial
aid to students, and $310 million in childcare and pre-school programs. The increase in transportation spending is mainly attributed
to the implementation of the Road Repair and Accountability Act of 2017, which increased existing fuel excise taxes and created
two new vehicle charges.

The projected $2.8
billion of increased revenue for the 2017-18 fiscal year will be mainly spent on transit-related projects. In addition, the 2017-18
spending plan allocates an estimated $2.6 billion in cap-and-trade auction revenues to programs related to transportation and housing,
forestry and fire prevention activities and reducing emissions from vehicles, heavy-duty equipment and agricultural activities.
The increases in health and human services spending results from the allocation of $1.3 billion from increased tax revenue on tobacco
products to California’s MediCal programs and a $400 million increase in California General Fund assistance to counties for in-home
supportive services costs.

To help reduce California’s
net pension liability, the 2017-18 spending plan includes a one-time $6.0 billion supplemental payment to the California Public
Employees’ Retirement System which will be made using a loan from California’s internal investment pool. The California General
Fund’s share of the loan repayment will begin in fiscal year 2017-18 and will be counted towards the minimum annual debt reduction
payments required by Proposition 2 over the expected term of the loan. The remaining balance of the loan will be repaid from special
funds that contribute to the California Public Employees’ Retirement System, and which will benefit from the loan.

Capital Assets.
As of June 30, 2017, California’s investment in capital assets for its governmental and business-type activities was $140.7 billion
(net of accumulated depreciation/amortization). California’s capital assets include land, state highway infrastructure, collections,
buildings and other depreciable property, intangible assets, and

construction/development in progress. The buildings and other
depreciable property account includes buildings, improvements other than buildings, equipment, certain infrastructure assets, certain
books, and other capitalized and depreciable property. Intangible assets include computer software, land use rights, patents, copyrights,
and trade-marks. Infrastructure assets are items that normally are immovable, such as roads and bridges, and can be preserved for
a greater number of years than can most capital assets.

As of June 30, 2017,
California’s capital assets increased $4.0 billion, or 2.9% over the prior fiscal year. The majority of the increase occurred in
state highway infrastructure, and buildings and other depreciable property.

Debt Administration.
At June 30, 2017, California had total bonded debt outstanding of $111.3 billion, including $79.5 billion ($3.5 billion current
and $76 billion long-term) in general obligation bonds, which are backed by the full faith and credit of California, and $31.8
billion ($1.9 billion current and $29.9 long-term) in revenue bonds, which are secured solely by specified revenue sources. During
the 2016-17 fiscal year, California issued $9.0 billion in new general obligation bonds to fund various capital projects and other
voter- approved costs related to K-12 schools and higher education facilities, transportation improvements and high-speed rail,
water quality and environmental protection, and other public purposes.

Budgetary Control.
Every year, California’s Governor recommends a budget including estimated revenues for approval by the legislature. The annual
budget bill adopted by the Legislature does not include revenues. Under state law, California cannot adopt a spending plan that
exceeds estimated revenues. California’s annual budget is primarily prepared on a modified accrual basis for governmental funds.
The budget can be amended throughout the year by special legislative action, budget revisions by the Department of Finance, or
executive orders of the Governor. Amendments to the original budget for the fiscal year ended June 30, 2017, increased spending
authority for the budgetary/legal basis- reported California General Fund and the Environmental and Natural Resources Funds, and
decreased spending authority for Transportation Funds.

Under the California
Constitution, money may be drawn from the treasury only through a legal appropriation. The appropriations contained in the Budget
Act, as approved by the Legislature and signed by the Governor, are the primary sources of annual expenditure authorizations. Appropriations
are generally available for expenditure or encumbrance either in the year appropriated or for a period of three years if the legislation
does not specify a period of availability. At the end of the availability period, the encumbering authority for the unencumbered
balance lapses. Some appropriations continue indefinitely, while others are available until fully spent. Generally, encumbrances
must be liquidated within two years from the end of the period in which the appropriation is available, otherwise the spending
authority for these encumbrances lapses.

Risk Management.
The primary government has elected, with a few exceptions, to be self-insured against loss or liability. The primary government
generally does not maintain reserves. Losses are covered by appropriations from each fund responsible for payment in the year in
which the payment occurs. California is permissively self-insured and, barring any extraordinary

catastrophic event, the
potential amount of loss faced by California is not considered material in relation to the primary government’s
financial position. Generally, the exceptions are when a bond resolution or a contract requires the primary government to
purchase commercial insurance for coverage against property loss or liability. There have been no significant reductions in
insurance coverage from the prior year. In addition, no insurance settlement in the last three years has exceeded insurance
coverage. All claim payments are on a “pay-as-you-go” basis, with workers’ compensation benefits for
self-insured agencies initially being paid by the State Compensation Insurance Fund.

As of June 30, 2017,
the discounted liability for unpaid self-insurance claims of the primary government is estimated to be $4.0 billion, which is primarily
based on actuarial reviews of California’s workers’ compensation program and includes indemnity payments to claimants, other costs
of providing workers’ compensation benefits, the liability for unpaid services fees, industrial disability leave benefits and incurred-but-not-reported
amounts. The estimated total liability of approximately $5.8 billion is discounted to $4.0 billion using a 3.5% interest rate.
Of the total discounted liability, $396 million is a current liability, of which $265 million is included in the California General
Fund, $128 million in the special revenue funds, and $3 million in the internal service funds. The remaining $3.6 billion is reported
as other noncurrent liabilities.

Ratings. As of October
1, 2018 all outstanding general obligation bonds of the state of California were rated “AA-” by S&P Global Ratings,
a division of S&P Global, Inc., and “Aa3” by Moody’s Investors Service, Inc. Any explanation concerning the significance
of such ratings must be obtained from the rating agencies. There is no assurance that any ratings will continue for any period
of time or that they will not be revised or withdrawn.

Local Issuances.
It should be noted that the creditworthiness of obligations issued by local California issuers may be unrelated to the creditworthiness
of obligations issued by the state of California, and there is no obligation on the part of the state to make payment on such local
obligations in the event of default.

The foregoing information
constitutes only a brief summary of some of the general factors which may impact certain issuers of California bonds and does not
purport to be a complete or exhaustive description of all adverse conditions to which the issuers of such obligations are subject.
Additionally, many factors including national economic, social and environmental policies and conditions, which are not within
the control of the issuers of such bonds, could affect or could have an adverse impact on the financial condition of the state
and various agencies and political subdivisions thereof. The sponsor is unable to predict whether or to what extent such factors
or other factors may affect the issuers of the bonds, the market value or marketability of such bonds or the ability of the respective
issuers of such bonds to pay interest on or principal of such bonds.

New Jersey.
The information provided below is only a brief summary of the complex factors affecting the financial situation in New
Jersey and is derived from sources that are generally available to investors and are believed to be accurate. Except where otherwise
indicated, the information is based on New Jersey’s 2016-17 fiscal year running from July 1, 2016 to June 30, 2017. No independent
verification has been made of the accuracy or

completeness of any of the following information. It is based in part on information
obtained from various state and local agencies in New Jersey or contained in official statements for various New Jersey municipal
obligations.

Economic
Outlook. The 2016-17 fiscal year was the eighth year in New Jersey’s economic recovery. There were 42,900 new
private-sector jobs added over the course of the year led by the following sectors: education and health services (20,300);
trade, transportation, and utilities (15,300); leisure and hospitality services (8,500); and manufacturing (3,200). At the
end of December 2017, New Jersey’s unemployment rate was 4.7%, matching the rate from a year ago.

New Jersey’s housing
market continued to expand with total existing home sales 9.0% higher, single-family home sales 9.7% higher and townhouse/condo
sales 8.5% higher than the prior year. Residential construction also increased in the 2016-17 fiscal year following a down year.
Permits to build single-family homes were 3.7% higher and permits to build units in large apartment buildings were 9.4% higher
than the prior year.

New Jersey’s new
car sales in 2016-17 fiscal year declined by 1.8% from the prior year. At the end of the third quarter of 2017, aggregate personal
income, defined as wage income as well as income from other sources such as assets and transfers, reached a new all-time high and
has grown at an average annual rate of 3.0% since its low point in the first quarter of 2009.

Revenues and Expenditures.
New Jersey’s revenues, including transfers, during the 2016-17 fiscal year totaled $60.3 billion, an increase of $1.6 billion versus
the prior fiscal year. This increase is primarily attributable to operating grants and contributions in addition to higher gross
income tax collections. General taxes were 52.4% of New Jersey’s total revenues for the fiscal year at $31.6 billion, representing
an increase of $1.1 billion versus the prior fiscal year. New Jersey’s three major taxes comprised 81.2% of the total general taxes
collected during the fiscal year, including $14.0 billion in gross income tax, $9.6 billion in the sales and use tax and $2.1 billion
in the corporation business tax.

New Jersey’s 2016-17
fiscal year expenses totaled $71.8 billion, an increase of $5.2 billion compared to the prior fiscal year. New Jersey’s spending
increases were comprised of the following factors: a $3.6 billion increase in government direction, management and control mainly
due to the increase in the pension expense based on the requirements of Governmental Accounting Standards Board (GASB) Statement
No. 68, Accounting and Financial Reporting for Pensions, $716.7 million in physical and mental health, $515.1 million in educational,
cultural, and intellectual development and $406.1 million in transportation programs.

New Jersey General
Fund. New Jersey’s chief operating fund (the “New Jersey General Fund”) is the fund into which all State revenues, not
otherwise restricted by statute, are deposited. The New Jersey General Fund’s ending fund balance totaled $4.7 billion of which
$783.7 million represented unassigned fund balance.

On a budgetary basis,
general revenues of $34.4 billion were $2.0 billion lower than the final budget. The negative variance was the result of unearned
grant revenues (both federal and

other) of $1.5 billion and declines of $1.2 billion in other revenues. Federal and other grant
revenues are not earned unless there has been a grant award and eligible grant expenses incurred. To the extent that federal and
grant appropriations are made in anticipation of grant awards and the incurrence of grant expenditures, grant revenues are budgeted.

Total expenditures
were $2.3 billion lower than original appropriations as set forth in the annual Appropriations Act plus supplemental appropriations
enacted during the 2016-17 fiscal year. A major cause for under-spending resulted from the overestimate of federal funds. This
practice allows New Jersey to receive the maximum federal dollars that become available. During the 2016-17 fiscal year, New Jersey’s
appropriation of federal funds and other grants exceeded expenditures by $1.5 billion, which is available for use in future years.
From a 2016-17 fiscal year program perspective, the following areas under-spent: community development and environmental management
($570.7 million); economic planning, development and security ($449.7 million); transportation programs ($367.9 million); viešai
safety and criminal justice ($352.0 million); physical and mental health ($332.1 million); government direction, management and
control ($259.5 million); special government services ($55.5 million); and offset by over-spending in educational, cultural and
intellectual development ($107.5 million).

Net Assets.
primary government’s assets and deferred outflows of resources totaled $73.7 billion, an increase of $17.9 billion from the prior
fiscal year after three restatements that resulted in a $822.4 million decrease in net position. Restatements were made to: decrease
net capital assets; increase noncurrent liabilities resulting from the inclusion of state health benefit funds incurred but not
reported obligations; and account for the inclusion of state health benefit funds resulting from the implementation of GASB Statement
No. 74, Financial Reporting for Postemployment Benefit Plans Other than Pension Plans. As of June 30, 2017, liabilities and deferred
inflows of resources exceeded assets and deferred outflows of resources by $132.6 billion. New Jersey’s unrestricted net position
(which represents net assets that have no statutory commitments and are available for discretionary use) totaled a negative $148.9
billion. The negative balance is primarily a result of New Jersey implementing, in the 2014-15 fiscal year, GASB Statement No.
68 and New Jersey’s recognition of other postemployment benefits under GASB Statement No. 45, Accounting and Financial Reporting
by Employers for Postemployment Benefits Other than Pensions. Financing activities contributing to New Jersey’s negative unrestricted
net position include: liabilities from pension obligation bonds, the funding of a portion of local elementary and high school construction
and the securitization of a major portion of annual tobacco master settlement agreement receipts with no corresponding assets.

Changes in Net Assets.
New Jersey’s 2016-17 fiscal year net position decreased by $11.5 billion. Approximately 52.4% of New Jersey’s total revenues came
from general taxes, while 28.9% came from operating grants. Charges for services amounted to 17.1% of total revenues, while other
items such as capital grants and miscellaneous revenues accounted for the remainder. New Jersey’s expenses cover a range of services.
The largest expense was for government direction, management and control at 26.4%. Other large expenses included: educational,
cultural and intellectual development, which includes approximately $401.0 million disbursed by the New Jersey Schools Development
Authority (a blended component unit) to help finance school facilities construction which amounted to 24.6%, and physical and mental
health which amounted to 20.8%. Other major expenditures focused on economic planning, development and

security and public safety
and criminal justice. During the 2016-17 fiscal year, governmental activities expenses exceeded program revenues. This imbalance
was mainly funded through $33.2 billion of general revenues (mostly taxes). The remaining $11.7 billion resulted in a decrease
in net position. Offsetting the governmental net position decrease, business-type activities reflected a net position
increase of $282.1 million as the unemployment compensation fund’s available resources exceeded the need to pay claims.

Debt Administration.
As of June 30, 2017, New Jersey’s outstanding long- term obligations for governmental activities increased $29.6 billion versus
the prior fiscal year, to a total of $201.3 billion. The increase consists of: a $26.1 billion increase in the net pension liability
and net other postemployment benefits (“OPEB”) obligation, $3.4 billion in bonded debt and $0.1 billion in other non-bonded
debt. Long-term bonded obligations totaled $46.1 billion, while other long-term obligations totaled $155.2 billion. In addition,
New Jersey has $15.2 billion of legislatively authorized bonding capacity that has not yet been issued. As of June 30, 2017, the
legislatively authorized but unissued debt increased by $11.2 billion from the prior fiscal year. In the 2014-15 fiscal year, New
Jersey implemented GASB Statement No. 68 which required New Jersey to record its proportionate share of the net pension liability
for all state retirement systems. Only the 2013-14 fiscal year was restated. Therefore, comparisons cannot be made to the 2012-13
fiscal year.

Ratings. As of October
1, 2018, all outstanding general obligation bonds of the State of New Jersey were rated “A-” by S&P Global Ratings
a division of S&P Global, Inc. and “A3” by Moody’s Investors Service, Inc. Any explanation concerning the significance
of such ratings must be obtained from the rating agencies. There is no assurance that any ratings will continue for any period
of time or that they will not be revised or withdrawn.

Local Issuances.
It should be noted that the creditworthiness of obligations issued by local New Jersey issuers may be unrelated to the creditworthiness
of obligations issued by the State of New Jersey, and there is no obligation on the part of the state to make payment on such local
obligations in the event of default.

The foregoing information
constitutes only a brief summary of some of the general factors which may impact certain issuers of bonds and does not purport
to be a complete or exhaustive description of all adverse conditions to which the issuers of such obligations are subject. Be to,
many factors including national economic, social and environmental policies and conditions, which are not within the control of
the issuers of such bonds, could affect or could have an adverse impact on the financial condition of the state and various agencies
and political subdivisions thereof. The sponsor is unable to predict whether or to what extent such factors or other factors may
affect the issuers of the bonds, the market value or marketability of such bonds or the ability of the respective issuers of such
bonds to pay interest on or principal of such bonds.

New York.
The information provided below is only a brief summary of the complex factors affecting the financial situation in New York and
is derived from sources that are generally available to investors and are believed to be accurate. Except where otherwise indicated,
the information is based on New York’s 2016-2017 fiscal year running from April 1,

2016 to March 31, 2017. No independent verification
has been made of the accuracy or completeness of any of the following information. It is based in part on information obtained
from various state and local agencies in New York or contained in official statements for various New York municipal obligations.

Economic Condition
and Outlook. Overall economic activity, employment and wages all rose in New York in 2016, but at rates below the nation’s.
nation’s real gross domestic product slowed in 2016, increasing by 1.6 percent. In comparison, New York’s real gross state product
grew at half this rate, an increase of 0.8 percent. Similar to the nation, this economic growth was weaker than New York’s 1.2
percent gain in 2015. Job growth at both the national and state levels decelerated in 2016. Employment increased at a stronger
rate nationally, growth of 1.7 percent, compared to 1.5 percent in New York. Total employment in New York increased to nearly 9.4
million. Similar to employment, wages at both the national and state levels increased at a slower rate in 2016. Gains in wages
at the national level (3.9 percent) were stronger than those in New York (3.2 percent) in 2016.

General Government
Results. An operating deficit of $2.8 billion is reported in the state’s general fund (“New York General Fund”) for the
2016-2017 fiscal year. As a result, the New York General Fund now has an accumulated fund balance of $2.3 billion. New York completed
its 2016-2017 fiscal year with a combined governmental funds operating deficit of $3.4 billion as compared to a combined governmental
funds operating surplus in the 2015-2016 fiscal year of $408 million. The combined operating deficit of $3.4 billion for the 2016-2017
fiscal year included an operating deficit in the New York General Fund of $2.8 billion, an operating surplus in the “Federal
Special Revenue Fund” of $6 million, an operating deficit in the “General Debt Service Fund” of $774 million and
an operating surplus in “Other Governmental Funds” of $204 million.

New York’s financial
position as shown in its governmental funds balance sheet as of March 31, 2017 includes a fund balance of $11.2 billion comprised
of $43.6 billion of assets less liabilities of $30.6 billion and deferred inflows of resources of $1.8 billion. The governmental
funds fund balance includes a $2.3 billion accumulated New York General Fund balance.

Overall Financial
Position. In the 2016-2017 fiscal year, New York reported net position of $28.9 billion, comprised of $160.2 billion in total assets
and $9.5 billion in deferred outflows of resources, less $139.5 billion in total liabilities and $1.3 billion in deferred inflows
of resources.

Net position reported
for governmental activities decreased in the 2016-2017 fiscal year by $4 billion, decreasing to $28.6 billion from $32.5 billion
in the 2015-2016 fiscal year. Unrestricted net position for governmental activities–the part of net position that can be used
to finance day-to-day operations without constraints established by debt covenants, enabling legislation, or other legal requirements–had
a deficit of $45.6 billion at the end of the 2016-2017 fiscal year.

The net position
deficit in unrestricted governmental activities, which increased by $4.7 billion in 2017, exists primarily because New York has
issued debt for purposes not resulting in a

capital asset related to New York
governmental activities and the obligation related to other postemployment benefits ($17.3 billion). Such outstanding debt
included: securitizing New York’s future tobacco settlement receipts ($660 million); eliminating the need for seasonal
borrowing by the New York Local Government Assistance Corporation ($1.8 billion); and borrowing for local highway and bridge
projects ($4.1 billion), local mass transit projects ($1.5 billion), and a wide variety of grants and other expenditures not
resulting in New York capital assets ($12.7 billion). This deficit in unrestricted net position of governmental activities
can be expected to continue for as long as New York continues to have obligations outstanding for purposes other than the
acquisition of New York governmental capital assets.

The net position
for business-type activities increased by $107 million (47.6 percent) to $332 million in 2017 as compared to $225 million in 2016.
The increase in net position for business-type activities was due to employer contributions and other revenue exceeding unemployment
benefit payments for the Unemployment Insurance Fund ($768 million). This was partially offset by the State University of New York
expenses exceeding revenues and State support ($537 million), the City University of New York Senior Colleges expenses exceeding
revenues and state support ($88 million), and Lottery education aid transfers exceeding net income ($36 million).

New York General
Fund Budgetary Highlights. New York General Fund disbursements exceeded receipts by $1.2 billion in 2016-2017. The New York General
Fund ended the 2016-2017 fiscal year with a closing cash fund balance of $7.7 billion, which consisted of approximately $1.8 billion
in the state’s rainy day reserve funds ($1.3 billion in the “Tax Stabilization Reserve Account” and $540 million in the
“Rainy Day Reserve Fund”), $56 million in the “Community Projects Fund,” $21 million in the “Contingency
Reserve Fund,” and $5.9 billion in the “Refund Reserve Account.” Total New York General Fund receipts for the 2016-2017
fiscal year (including transfers from other funds) were approximately $66.9 billion. Total New York General Fund disbursements
for the 2016-2017 fiscal year (including transfers to other funds) were approximately $68.1 billion.

Net operating results
for the 2016-2017 fiscal year were $1.7 billion more favorable than anticipated in the original financial plan, with the original
plan projecting a net operating deficit of $2.9 billion. Total receipts and transfers from other funds were less than original
financial plan estimates by $2.1 billion and total disbursements and transfers to other funds were less than original financial
plan estimates by $3.8 billion.

Personal income
tax receipts were $1.3 billion below initial projections, due to underlying weakness in estimated payments and withholding growth.
Business tax receipts were $989 million below initial projections, due to shortfalls in both audit collections and cash payments
associates with tax year 2015 final returns. The lower receipts were partially offset by higher than estimated estate tax collections
related to stronger than anticipated growth in household net worth. Miscellaneous receipts were $1 billion higher than the original
projections, due almost entirely to additional monetary settlement collections not anticipated in the initial budget for the 2016-2017
fiscal year.

Net operating results
for the 2016-2017 fiscal year were $0.5 million more favorable than anticipated in the final financial plan, with the final financial
plan projecting a net operating deficit of $1.7 billion. Total receipts and disbursements were lower than the final financial plan
estimates (by $1.1 billion and $1.6 billion, respectively). Lower receipts were primarily due to lower than expected business tax
receipts related to lower corporate franchise taxes and lower transfers to other funds due to timing associated with the availability
of fund balances. Lower than projected total disbursements occurred
primarily as a result of lower than planned transfers to the Capital Projects Fund, as well as lower spending for local assistance
and agency operations.

Capital Assets.
As of the end of the 2016-2017 fiscal year, New York has $104.8 billion invested in a broad range of capital assets, including
equipment, buildings, construction in progress, land preparation, and infrastructure, which primarily includes roads and bridges.
This amount represents a net increase (including additions and deductions) of $2.4 billion over the 2015-2016 fiscal year.

Debt Administration.
There are a number of methods by which New York may incur debt. New York has obtained long-term financing in the form of voter-approved
General Obligation debt (voter-approved debt) and other obligations that are authorized by legislation but not approved by the
voters (non-voter-approved debt), including lease purchase and contractual obligations where New York’s legal obligation to make
payments is subject to and paid from annual appropriations made by the New York State legislature or from assignment of revenue
in the case of tobacco settlement revenue bonds. Equipment capital leases and mortgage loan commitments, which represent $542 million
as of the end of the 2016-2017 fiscal year, do not require legislative or voter approval. Other obligations include certain bonds
issued through New York public authorities and certificates of participation. New York administers its long-term financing needs
as a single portfolio of New York-supported debt that includes general obligation bonds and other obligations of both its governmental
activities and business-type activities. Most of the debt reported under business-type activities, all of which was issued for
capital assets used in those activities, is supported by payments from resources generated by New York’s governmental activities–thus
it is not expected to be repaid from resource generated by business-type activities.

At the end of the
2016-2017 fiscal year, New York had $173 million in New York-supported (net) variable rate bonds outstanding and $1.7 billion in
interest rate exchange agreements, in which New York issues variable rate bonds and enters into a swap agreement that effectively
converts the rate to a fixed rate. At the end of the 2016-2017 fiscal year, variable rate bonds, net of those subject to the fixed
rate swaps, were equal to 0.3 percent of the New York-supported debt portfolio. Variable rate bonds that were converted to a synthetic
fixed rate through swap agreements of $1.7 billion were equal to 3.4 percent of the total New York-supported debt portfolio.

At the end of the
2016-2017 fiscal year, New York had $56.2 billion in bonds, notes, and other financing agreements outstanding compared with $56.7
billion in the 2015-2016 fiscal year, a decrease of $518 million.

In addition, New York reported $1.4 billion for collateralized
borrowings ($378 million in governmental activities and $985 million in business-type activities) for which specific revenues have
been pledged. In the 2015-2016 fiscal year, New York reported $838 million for collateralized borrowings ($401 million in governmental
activities and $437 million in business-type activities). During the 2016-2017 fiscal year, New York issued $6.1 billion in bonds,
of which $2.3 billion was for refunding and $3.8 billion was for new borrowing.

The New York State
Constitution, with exceptions for emergencies, limits the amount of general obligation bonds that can be issued to that amount
approved by the voters for a single work or purpose in a general election. As of the end of the 2016-2017 fiscal year, New York
has $2.7 billion in authorized but unissued bond capacity that can be used to issue bonds for specifically approved purposes. New
York may issue short-term debt without voter approval in anticipation of the receipt of taxes and revenues or proceeds from duly
authorized but not issued general obligation bonds.

The state finance
law, through the New York State Debt Reform Act of 2000 (the “New York Debt Reform Act”), also imposes phased-in caps
on the issuance of the new New York-supported debt and related debt service costs. The New York Debt Reform Act also limits the
use of debt to capital works and purposes, and establishes a maximum term length for repayment of 30 years. The New York Debt Reform
Act applies to all New York-supported debt. The New York Debt Reform Act does not apply to debt issued prior to April 1, 2000 or
to other obligations issued by public authorities where New York is not the direct obligor.

Litigation.
State of New York is a defendant in numerous legal proceedings pertaining to matters incidental to the performance of routine governmental
operations. Such litigation includes, but is not limited to, claims asserted against the State of New York arising from alleged
torts, alleged breaches of contracts, condemnation proceedings and other alleged violations of state and federal laws.

Included in New
York’s outstanding litigation are a number of cases challenging the legality or the adequacy of a variety of significant social
welfare programs, primarily involving New York’s Medicaid and mental health programs. Adverse judgments in these matters generally
could result in injunctive relief coupled with prospective changes in patient care that could require substantial increased financing
of the litigated programs in the future. With respect to pending and threatened litigation, New York has reported, in the governmental
activities, liabilities of $924 million, of which $712 million pertains to the State University of New York, for awarded claims,
anticipated unfavorable judgments, and incurred but not reported loss estimates related to medical malpractice claims. In addition,
the State of New York is party to other claims and litigation that its legal counsel has advised may result in possible adverse
court decisions with estimated potential losses of approximately $116 million.

Ratings. As of October
1, 2018, all outstanding general obligation bonds of the State of New York were rated “AA+” by S&P Global Ratings
a division of S&P Global, Inc., and “Aa1” by Moody’s Investors Service, Inc. Any explanation concerning the significance
of such ratings must be obtained from the rating agencies. There is no assurance that any ratings will continue for any period
of time or that they will not be revised or withdrawn.

Local Issuances.
It should be noted that the creditworthiness of obligations issued by local New York issuers may be unrelated to the creditworthiness
of obligations issued by the State of New York, and there is no obligation on the part of the state to make payment on such local
obligations in the event of default.

The foregoing information
constitutes only a brief summary of some of the general factors which may impact certain issuers of bonds and does not purport
to be a complete or exhaustive description of all adverse conditions to which the issuers of such obligations are subject. Be to,
many factors including national economic, social and environmental policies and conditions, which are not within the control of
the issuers of such bonds, could affect or could have an adverse impact on the financial condition of the state and various agencies
and political subdivisions thereof. The sponsor is unable to predict whether or to what extent such factors or other factors may
affect the issuers of the bonds, the market value or marketability of such bonds or the ability of the respective issuers of such
bonds to pay interest on or principal of such bonds.

Additional
Deposits
. Each trust agreement authorizes the sponsor to increase the size of a trust and the number of units thereof by
the deposit of additional securities, or cash (including a letter of credit or the equivalent) with instructions to purchase additional
securities, in such trust and the issuance of a corresponding number of additional units. In connection with these deposits, existing
and new investors may experience a dilution of their investments and a reduction in their anticipated income because of fluctuations
in the prices of the securities between the time of the deposit and the purchase of the securities and because the trust will pay
the associated brokerage fees and other acquisition costs.

Administration Of The Trust

Distributions
To Unitholders By Regulated Investment Companies Making Semiannual/Quarterly Distributions Or Grantor Trusts
. The discussion
in this section applies to all trusts other than trusts that are “regulated investment companies” for tax purposes that
have monthly distribution dates. Income received by a trust is credited by the trustee to the Income Account for the trust. All
other receipts are credited by the trustee to a separate Capital Account for the trust. The trustee will normally distribute any
income received by a trust on each distribution date or shortly thereafter to unitholders of record on the preceding record date.
A trust will also generally make required distributions or distributions to avoid imposition of tax at the end of each year if
it has elected to be taxed as a RIC for federal tax purposes. Unitholders will receive an amount substantially equal to their pro
rata share of the available balance of the Income Account of the related trust. All distributions will be net of applicable expenses.
There is no assurance that any actual distributions will be made since all dividends received may be used to pay expenses. In addition,
excess amounts from the Capital Account of a trust, if any, will be distributed on each distribution date or shortly thereafter
to unitholders of record on the preceding record date, provided that the trustee is not required to make a distribution from the
Capital Account unless the amount available for distribution is at least $1.00 per 100 units. Proceeds received from the disposition
of any of the securities after a record date and prior to the following distribution date will be held in the Capital Account and
not distributed until the next distribution date applicable to the Capital Account. Notwithstanding the foregoing, if a trust is

designed to be a grantor trust for
tax purposes, the trustee is not required to make a distribution from the Income Account or the Capital Account unless the
total cash held for distribution equals at least 0.1% of the trust’s net asset value as determined under the trust
agreement, provided that the trustee is required to distribute the balance of the Income Account and Capital Account on the
distribution date occurring in December of each year. The trustee is not required to pay interest on funds held in the
Capital or Income Accounts (but may itself earn interest thereon and therefore benefits from the use of such funds).

The distribution
to the unitholders of a trust as of each record date will be made on the following distribution date or shortly thereafter and
shall consist of an amount substantially equal to the unitholders’ pro rata share of the available balance of the Income Account
of the trust after deducting estimated expenses. Because dividends are not received by a trust at a constant rate throughout the
year, such distributions to unitholders are expected to fluctuate.

Distributions
To Unitholders By Regulated Investment Companies Making Monthly Distributions
. The discussion in this section applies if
your trust is a RIC that has monthly distribution dates. Income received by a trust is credited by the trustee to the Income Account
for the trust. All other receipts are credited by the trustee to a separate Capital Account for the trust. The trustee will normally
distribute income received by a trust on each distribution date or shortly thereafter to unitholders of record on the preceding
record date. The trust generally pays distributions from its Income Account (pro-rated on an annual basis) along with any excess
balance from the Capital Account on each monthly distribution date to unitholders of record on the preceding record date as described
in greater detail below. All distributions will be net of applicable expenses. The amount of your distributions will vary from
time to time as companies change their dividends or trust expenses change. The trust will also generally make required distributions
or distributions to avoid imposition of tax at the end of each year if it has elected to be taxed as a RIC for federal tax purposes.
Excess amounts from the Capital Account of a trust, if any, will be distributed at least annually to the unitholders then of record.
Proceeds received from the disposition of any of the securities after a record date and prior to the following distribution date
will be held in the Capital Account and not distributed until the next distribution date applicable to the Capital Account.
trustee shall not be required to make a distribution from the Capital Account unless the cash balance on deposit therein available
for distribution shall be sufficient to distribute at least $1.00 per 100 units. The trustee is not required to pay interest on
funds held in the Capital or Income Accounts (but may itself earn interest thereon and therefore benefits from the use of such
funds).

The distribution
to the unitholders as of each record date will be made on the following distribution date or shortly thereafter. When the trust
receives dividends from a portfolio security, the trustee credits the dividends to the trust’s accounts. In an effort to make relatively
regular income distributions, the trust’s distribution from the Income Account on each distribution date to each unitholder is
equal to such unitholder’s pro rata share of the cash balance in the Income Account calculated on the basis of a fraction (the
numerator of which is one and the denominator of which is the total number of distribution dates per year) of the estimated annual
income to the trust for the ensuing twelve months computed as of the close of business on the record date immediately preceding
such distribution after deduction of (1) the fees and expenses then deductible pursuant to the trust agreement and (2) the trustee’s
estimate of other expenses

properly chargeable to the Income
Account pursuant to the trust agreement which have accrued as of such record date or are otherwise properly attributable to
the period to which such distribution relates. Because the trust does not receive dividends from the portfolio securities at
a constant rate throughout the year, the trust’s income distributions to unitholders may be more or less than the
amount credited to the trust accounts as of the record date. In the event that the amount on deposit in the Income Account is
not sufficient for the payment of the amount intended to be distributed to unitholders on the basis of the computation
described above, the trustee is authorized to advance its own funds and cause to be deposited in and credited to the Income
Account such amounts as may be required to permit payment of the related distribution to be made as described above. In such
an event, the trustee shall be entitled to be reimbursed, without interest, out of income payments received by the trust
subsequent to the date of such advance. Any such advance shall be reflected in the Income Account until repaid.

Le général.
Persons who purchase units will commence receiving distributions only after such person becomes a record owner. A person will become
the owner of units, and thereby a unitholder of record, on the date of settlement provided payment has been received. Notification
to the trustee of the transfer of units is the responsibility of the purchaser, but in the normal course of business the selling
broker-dealer provides such notice.

The trustee will
periodically deduct from the Income Account of a trust and, to the extent funds are not sufficient therein, from the Capital Account
of the trust amounts necessary to pay the expenses of the trust. The trustee also may withdraw from said accounts such amounts,
if any, as it deems necessary to establish a reserve for any governmental charges payable out of a trust. Amounts so withdrawn
shall not be considered a part of the related trust’s assets until such time as the trustee shall return all or any part of such
amounts to the appropriate accounts. In addition, the trustee may withdraw from the Income and Capital Accounts of a trust such
amounts as may be necessary to cover redemptions of units.

Statements
To Unitholders
. With each distribution, the trustee will furnish to each unitholder a statement of the amount of income
and the amount of other receipts, if any, which are being distributed, expressed in each case as a dollar amount per unit.

The accounts of
a trust are required to be audited annually, at the related trust’s expense, by independent public accountants designated by the
sponsor, unless the sponsor determines that such an audit is not required. The accountants’ report for any audit will be furnished
by the trustee to any unitholder upon written request. Within a reasonable period of time after the last business day of each calendar
year, the trustee shall furnish to each person who at any time during such calendar year was a unitholder of a trust a statement,
covering such calendar year, setting forth for such trust:

(A) As to the Income Account:
(1) the amount of income received on the securities (including income received as a portion of the
proceeds of any disposition of securities);

(2) the amounts paid for purchases of replacement securities or for purchases of securities otherwise
pursuant to the applicable trust agreement, if any, and for redemptions;
(3) the deductions, if any, from the Income Account for payment into the Reserve Account;

(4) the deductions for applicable taxes and fees and expenses of the trustee, the sponsor, the evaluator,
the supervisor, counsel, auditors and any other expenses paid by the trust;
(5) the amounts reserved for purchases of contract securities, for purchases made pursuant to replace
failed contract securities or for purchases of securities otherwise pursuant to the applicable trust agreement, if any;
(6) the deductions for payment of the sponsor’s expenses of maintaining the registration of the trust
units, if any;
(7) the aggregate distributions to unitholders; et
(8) the balance remaining after such deductions and distributions, expressed both as a total dollar
amount and as a dollar amount per unit outstanding on the last business day of such calendar year;
(B) As to the Capital Account:
(1) the net proceeds received due to sale, maturity, redemption, liquidation or disposition of any
of the securities, excluding any portion thereof credited to the Income Account;
(2) the amount paid for purchases of replacement securities or for purchases of securities otherwise
pursuant to the applicable trust agreement, if any, and for redemptions;
(3) the deductions, if any, from the Capital Account for payments into the Reserve Account;
(4) the deductions for payment of applicable taxes and fees and expenses of the trustee, the sponsor,
the evaluator, the supervisor, counsel, auditors and any other expenses paid by the trust;
(5) the deductions for payment of the sponsor’s expenses of organizing the trust;

(6) the amounts reserved for purchases of contract securities, for purchases made pursuant to replace
failed contract securities or for purchases of securities otherwise pursuant to the trust agreement, if any;
(7) the deductions for payment of deferred sales charge and creation and development fee, if any;
(8) the deductions for payment of the sponsor’s expenses of maintaining the registration of the trust
units, if any;

(9) the aggregate distributions to unitholders; et
(10) the balance remaining after such distributions and deductions, expressed both as a total dollar
amount and as a dollar amount per unit outstanding on the last business day of such calendar year; et
(C) The following information:
(1) a list of the securities held as of the last business day of such calendar year and a list which
identifies all securities sold or other securities acquired during such calendar year, if any;
(2) the number of units outstanding on the last business day of such calendar year;
(3) the unit value based on the last trust evaluation of such trust made during such calendar year;
et
(4) the amounts actually distributed during such calendar year from the Income and Capital Accounts,
separately stated, expressed both as total dollar amounts and as dollar amounts per unit outstanding on the record dates for such
distributions.

Rights Of
Unitholders
. The death or incapacity of any unitholder will not operate to terminate a trust nor entitle legal representatives
or heirs to claim an accounting or to bring any action or proceeding in any court for partition or winding up of the trust, nor
otherwise affect the rights, obligations and liabilities of the parties to the applicable trust agreement. By purchasing units
of a trust, each unitholder expressly waives any right he may have under any rule of law, or the provisions of any statute, or
otherwise, to require the trustee at any time to account, in any manner other than as expressly provided in the applicable trust
agreement, in respect of the portfolio securities or moneys from time to time received, held and applied by the trustee under the
trust agreement. No unitholder shall have the right to control the operation and management of a trust in any manner, except to
vote with respect to the amendment of the related trust agreement or termination of the trust.

Amendment.
Each trust agreement may be amended from time to time by the sponsor and trustee or their respective successors, without the consent
of any of the unitholders, (i) to cure any ambiguity or to correct or supplement any provision which may be defective or inconsistent
with any other provision contained in the trust agreement, (ii) to change any provision required by the SEC or any successor governmental
agency, (iii) to make such other provision in regard to matters or questions arising under the trust agreement as shall not materially
adversely affect the interests of the unitholders or (iv) to make such amendments as may be necessary (a) for a trust to continue
to qualify as a RIC for federal income tax purposes if the trust has elected to be taxed as such under the United States Internal
Revenue Code of 1986, as amended, or (b) to prevent a trust from being deemed an association taxable as a corporation for federal
income tax purposes if the trust has not elected to be taxed as a RIC under the United States Internal Revenue Code of 1986, as
amended. A trust agreement may not be amended, however, without the consent of all unitholders of the related trust then outstanding,
so as (1) to permit, except in accordance with the
terms and conditions thereof, the acquisition thereunder of any securities other than those specified in the schedules to the trust
agreement or (2) to reduce the percentage of units the holders of which are required to consent to certain of such amendments.
A trust agreement may not be amended so as to reduce the interest in the trust represented by units without the consent of all
affected unitholders.

Except for the amendments,
changes or modifications described above, neither the sponsor nor the trustee nor their respective successors may consent to any
other amendment, change or modification of a trust agreement without the giving of notice and the obtaining of the approval or
consent of unitholders representing at least 66 2/3% of the units then outstanding of the affected trust. No amendment may reduce
the aggregate percentage of units the holders of which are required to consent to any amendment, change or modification of a trust
agreement without the consent of the unitholders of all of the units then outstanding of the affected trust and in no event may
any amendment be made which would (1) alter the rights to the unitholders of the trust as against each other, (2) provide the trustee
with the power to engage in business or investment activities other than as specifically provided in the trust agreement, (3) adversely
affect the tax status of the related trust for federal income tax purposes or result in the units being deemed to be sold or exchanged
for federal income tax purposes or (4) unless a trust has elected to be taxed as a RIC for federal income tax purposes, result
in a variation of the investment of unitholders in the trust. The trustee will notify unitholders of a trust of the substance of
any such amendment to the trust agreement for such trust.

Termination.
Each trust agreement provides that the related trust shall terminate upon the maturity, redemption, sale or other disposition
of the last of the securities held in the trust but in no event is it to continue beyond the trust’s mandatory termination
date. If the value of a trust shall be less than 40% of the total value of securities deposited in the trust during the initial
offering period, the trustee may, in its discretion, and shall, when so directed by the sponsor, terminate the trust. A trust
may be terminated at any time by the holders of units representing 66 2/3% of the units thereof then outstanding. A trust will
be liquidated by the trustee in the event that a sufficient number of units of the trust not yet sold are tendered for redemption
by the sponsor, so that the net worth of the trust would be reduced to less than 40% of the value of the securities at the time
they were deposited in the trust. If a trust is liquidated because of the

redemption of unsold units by the sponsor, the sponsor will refund to each
purchaser of units of the trust the entire sales charge paid by such purchaser.

Beginning nine business
days prior to, but no later than, the scheduled termination date described in the prospectus for a trust, the trustee may begin
to sell all of the remaining underlying securities on behalf of unitholders in connection with the termination of the trust.
sponsor may assist the trustee in these sales and receive compensation to the extent permitted by applicable law. The sale proceeds
will be net of any incidental expenses involved in the sales.

The sponsor
will generally instruct the trustee to sell the securities as quickly as practicable during the termination proceedings
without in its judgment materially adversely affecting the market price of the securities, but it is expected that all of the
securities will in any event be disposed of within a reasonable time after a trust’s termination. The sponsor does not
anticipate that the period will be longer than one month, and it could be as short as one day, depending on the liquidity of
the securities being sold. The liquidity of any security depends on the daily trading volume of the security and the amount
that the sponsor has available for sale on any particular day. Of course, no assurances can be given that the market value of
the securities will not be adversely affected during the termination proceedings.

Not less than thirty
days prior to termination of a trust, the trustee will notify unitholders thereof of the termination and provide a form allowing
qualifying unitholders to elect an in kind distribution, if applicable. If applicable, a unitholder who owns the minimum number
of units described in the prospectus may request an in kind distribution from the trustee instead of cash. To the extent possible,
the trustee will make an in kind distribution through the distribution of each of the securities of a trust in book entry form
to the account of the unitholder’s bank or broker-dealer at Depository Trust Company. The unitholder will be entitled to receive
whole shares of each of the securities comprising the portfolio of the related trust and cash from the Income and Capital Account
equal to the fractional shares to which the unitholder is entitled. The trustee may adjust the number of shares of any security
included in a unitholder’s in kind distribution to facilitate the distribution of whole shares. The sponsor may terminate the in
kind distribution option at any time upon sixty days written notice to the unitholders. Special federal income tax consequences
will result if a unitholder requests an in kind distribution.

Within a reasonable
period after termination, the trustee will sell any securities remaining in a trust not segregated for in kind distribution. Po
paying all expenses and charges incurred by a trust, the trustee will distribute to unitholders thereof their pro rata share of
the balances remaining in the Income and Capital Accounts of the trust.

The sponsor may,
but is not obligated to, offer for sale units of a subsequent series of a trust at approximately the time of the mandatory termination
date. If the sponsor does offer such units for sale, unitholders may be given the opportunity to purchase such units at a public
offering price. There is, however, no assurance that units of any new series of a trust will be offered for sale at that time,
or if offered, that there will be sufficient units available for sale to meet the requests of any or all unitholders.

The Trustee.
The trustee is The Bank of New York Mellon, a trust company organized under the laws of New York. The Bank of New York Mellon has
its principal unit investment trust division offices at 2 Hanson Place, 12th Floor, Brooklyn, New York 11217, (800) 848-6468.
Bank of New York Mellon is subject to supervision and examination by the Superintendent of Banks of the State of New York and the
Board of Governors of the Federal Reserve System, and its deposits are insured by the Federal Deposit Insurance Corporation to
the extent permitted by law.

Under each trust
agreement, the trustee or any successor trustee may resign and be discharged of the trust created by the trust agreement by executing
an instrument in writing and filing the same with the sponsor. If the trustee merges or is consolidated with another entity, the
resulting entity shall be the successor trustee without the execution or filing of any paper instrument or further act.

The trustee or successor
trustee must deliver a copy of the notice of resignation to all unitholders then of record, not less than sixty days before the
date specified in such notice when such resignation is to take effect. The sponsor upon receiving notice of such resignation is
obligated to appoint a successor trustee promptly. If, upon such resignation, no successor trustee has been appointed and has accepted
the appointment within thirty days after notification, the retiring trustee may apply to a court of competent jurisdiction for
the appointment of a successor. In case at any time the trustee shall not meet the requirements set forth in the trust agreement,
or shall become incapable of acting, or if a court having jurisdiction in the premises shall enter a decree or order for relief
in respect of the trustee in an involuntary case, or the trustee shall commence a voluntary case, under any applicable bankruptcy,
insolvency or other similar law now or hereafter in effect, or any receiver, liquidator, assignee, custodian, trustee, sequestrator
(or similar official) for the trustee or for any substantial part of its property shall be appointed, or the trustee shall generally
fail to pay its debts as they become due, or shall fail to meet such written standards for the trustee’s performance as shall be
established from time to time by the sponsor, or if the sponsor determines in good faith that there has occurred either (1) a material
deterioration in the creditworthiness of the trustee or (2) one or more grossly negligent acts on the part of the trustee with
respect to a trust, the sponsor, upon sixty days’ prior written notice, may remove the trustee and appoint a successor trustee
by written instrument, in duplicate, one copy of which shall be delivered to the trustee so removed and one copy to the successor
trustee. Notice of such removal and appointment shall be delivered to each unitholder by the successor trustee. Upon execution
of a written acceptance of such appointment by such successor trustee, all the rights, powers, duties and obligations of the original
trustee shall vest in the successor. The trustee must be a corporation organized under the laws of the United States, or any state
thereof, be authorized under such laws to exercise trust powers and have at all times an aggregate capital, surplus and undivided
profits of not less than $5,000,000.

The Sponsor.
The sponsor of each trust is Advisors Asset Management, Inc. The sponsor is a broker-dealer specializing in providing services
to broker-dealers, registered representatives, investment advisers and other financial professionals. The sponsor’s headquarters
are located at 18925 Base Camp Road, Monument, Colorado 80132. You can contact Advisors Asset Management, Inc. at 8100 East 22nd
Street North, Building 800, Suite 102, Wichita, Kansas 67226 or by using the contacts listed on the back cover of the prospectus.
The sponsor is a

registered broker-dealer and investment adviser and a member of the Financial Industry Regulatory Authority, Inc.
(“FINRA”) and the Securities Investor Protection Corporation (“SIPC”), and a registrant of the Municipal Securities
Rulemaking Board (“MSRB”).

Under each trust
agreement, the sponsor may resign and be discharged of the trust created by the trust agreement by executing an instrument in writing
and filing the same with the trustee. If the sponsor merges or is consolidated with another entity, the resulting entity shall
be the successor sponsor without the execution or filing of any paper instrument or further act.

If at any
time the sponsor shall resign or fail to undertake or perform any of the duties which by the terms of a trust agreement are
required by it to be undertaken or performed, or the sponsor shall become incapable of acting or shall be adjudged a bankrupt
or insolvent, or a receiver of the sponsor or of its property shall be appointed, or any public officer shall take charge or
control of the sponsor or of its property or affairs for the purpose of rehabilitation, conservation or liquidation, then the
trustee may (a) appoint a successor sponsor at rates of compensation deemed by the trustee to be reasonable and not exceeding
such reasonable amounts as may be prescribed by the SEC, (b) terminate the trust agreement and liquidate the related trust as
provided therein, or (c) continue to act as trustee without appointing a successor sponsor and receive additional
compensation deemed by the trustee to be reasonable and not exceeding such reasonable amounts as may be prescribed by the
SEC.

The Evaluator
And Superviso
r. Advisors Asset Management, Inc., the sponsor, also serves as evaluator and supervisor. The evaluator and
supervisor may resign or be removed by the sponsor and trustee in which event the sponsor or trustee may appoint a successor having
qualifications and at a rate of compensation satisfactory to the sponsor or, if the appointment is made by the trustee, the trustee.
Such resignation or removal shall become effective upon acceptance of appointment by the successor evaluator. If upon resignation
of the evaluator no successor has accepted appointment within thirty days after notice of resignation, the evaluator may apply
to a court of competent jurisdiction for the appointment of a successor. Notice of such resignation or removal and appointment
shall be delivered by the trustee to each unitholder.

Limitations
On Liability
. The sponsor, evaluator, and supervisor are liable for the performance of their obligations arising from
their responsibilities under the trust agreement but will be under no liability to any trust or unitholders for taking any action
or refraining from any action in good faith pursuant to the trust agreement or for errors in judgment, or for depreciation or
loss incurred by reason of the purchase or sale of securities, provided, however, that such parties will not be protected against
any liability to which they would otherwise be subjected by reason of their own willful misfeasance, bad faith or gross negligence
in the performance of their duties or its reckless disregard for their duties under the trust agreement. Each trust will indemnify,
defend and hold harmless each of the sponsor, supervisor and evaluator from and against any loss, liability or expense incurred
in acting in such capacity (including the cost and expenses of the defense against such loss, liability or expense) other than
by reason of willful misfeasance, bad faith or gross negligence in the performance of its duties or by reason of its reckless
disregard of its obligations and duties under the applicable trust agreement. Such parties are not under any obligation to appear
in, prosecute or defend any legal action which in their opinion may involve them in any expense or liability. The trustee will
be indemnified by each

trust and held harmless against any loss or liability accruing to it without gross negligence, bad faith or willful misconduct
on its part, arising out of or in connection with the acceptance or administration of the trust, including the costs and expenses
(including counsel fees) of defending itself against any claim of liability in the premises.

The trust
agreement provides that the trustee shall be under no liability for any action taken in good faith in reliance upon prima
facie properly executed documents or for the disposition of moneys, securities or certificates except by reason of its own
gross negligence, bad faith or willful misconduct, nor shall the trustee be liable or responsible in any way for depreciation
or loss incurred by reason of the sale by the trustee of any securities. In the event that the sponsor shall fail to act, the
trustee may act and shall not be liable for any such action taken by it in good faith. The trustee shall not be personally
liable for any taxes or other governmental charges imposed upon or in respect of the securities or upon the interest thereof.
In addition, the trust agreement contains other customary provisions limiting the liability of the trustee.

Expenses Of
The Trust
. The sponsor may receive a fee from your trust for creating and developing the trust, including determining the
trust’s objectives, policies, composition and size, selecting service providers and information services and for providing other
similar administrative and ministerial functions. The amount of this “creation and development fee” is set forth in the
prospectus. The trustee will deduct this amount from your trust’s assets as of the close of the initial offering period. No portion
of this fee is applied to the payment of distribution expenses or as compensation for sales efforts. This fee will not be deducted
from proceeds received upon a repurchase, redemption or exchange of units before the close of the initial public offering period.

For services performed
under a trust’s trust agreement the trustee shall be paid a fee at an annual rate in the amount per unit set forth in such trust
agreement. The trustee shall charge a pro-rated portion of its annual fee at the times specified in such trust agreement, which
pro-rated portion shall be calculated on the basis of the largest number of units in such trust at any time during the primary
offering period. After the primary offering period has terminated, the fee shall accrue daily and be based on the number of units
outstanding on the first business day of each calendar year in which the fee is calculated or the number of units outstanding at
the end of the primary offering period, as appropriate. The annual trustee fee shall be prorated for any calendar year in which
the trustee provides services during less than the whole of such year. The trustee may from time to time adjust its compensation
as set forth in the trust agreement provided that total adjustment upward does not, at the time of such adjustment, exceed the
percentage of the total increase in consumer prices for services as measured by the United States Department of Labor Consumer
Price Index entitled “All Services Less Rent of Shelter” or similar index, if such index should no longer be published.
The consent or concurrence of any unitholder shall not be required for any such adjustment or increase. Such compensation shall
be calculated and paid in installments by the trustee against the Income and Capital Accounts of each trust; provided, however,
that such compensation shall be deemed to provide only for the usual, normal and proper functions undertaken as trustee pursuant
to the trust agreement. The trustee shall also charge the Income and Capital Accounts of each trust for any and all expenses and
disbursements incurred as provided in the trust agreement.

As compensation
for portfolio supervisory services in its capacity as supervisor, evaluation services in its capacity as evaluator and for providing
bookkeeping and other administrative services of a character described in Section 26(a)(2)(C) of the Investment Company Act, the
sponsor shall be paid an annual fee in the amount per unit set forth in the trust agreement for a trust. The sponsor shall receive
a pro-rated portion of its annual fee from the trustee upon receipt of an invoice by the trustee from the sponsor, upon which,
as to the cost incurred by the sponsor of providing such services the trustee may rely. Such fee shall be calculated on the basis
of the largest number of units in such trust at any time during the primary offering period. After the primary offering period
has terminated, the fee shall accrue daily and be based on the number of units outstanding on the first business day of each calendar
year in which the fee is calculated or the number of units outstanding at the end of the primary offering period, as appropriate.
Such annual fee shall be prorated for any calendar year in which the sponsor provides services during less
than the whole of such year, but in no event shall such compensation when combined with all compensation received from a trust
for providing such services in any calendar year exceed the aggregate cost to the sponsor for providing such services, in the aggregate.
Such compensation may, from time to time, be adjusted provided that the total adjustment upward does not, at the time of such adjustment,
exceed the percentage of the total increase in consumer prices for services as measured by the United States Department of Labor
Consumer Price Index entitled “All Services Less Rent of Shelter” or similar index, if such index should no longer be
published. The consent or concurrence of any unitholder shall not be required for any such adjustment or increase. Such compensation
shall be charged against the Income and/or Capital Accounts of a trust.

The following additional
charges are or may be incurred by a trust in addition to any other fees, expenses or charges described in the prospectus: (a)
fees for the trustee’s extraordinary services; (b) expenses of the trustee (including legal and auditing expenses and reimbursement
of the cost of advances to the trust for payment of expenses and distributions, but not including any fees and expenses charged
by an agent for custody and safeguarding of securities) and of counsel, if any; (c) various governmental charges; (d) expenses
and costs of any action taken by the trustee to protect the trust or the rights and interests of the unitholders; (e) indemnification
of the trustee for any loss or liability accruing to it without gross negligence, bad faith or willful misconduct on its part
arising out of or in connection with the acceptance or administration of the trust; (f) indemnification of the sponsor for any
loss, liability or expense incurred in acting in that capacity other than by reason of willful misfeasance, bad faith or gross
negligence in the performance of its duties or its reckless disregard of its obligations and duties under the trust agreement;
(g) indemnification of the supervisor for any loss, liability or expense incurred in acting as supervisor of the trust other than
by reason of willful misfeasance, bad faith or gross negligence in the performance of its duties or by reason of its reckless
disregard of its obligations and duties under the trust agreement; (h) indemnification of the evaluator for any loss, liability
or expense incurred in acting as evaluator of the trust other than by reason of willful misfeasance, bad faith or gross negligence
in the performance of its duties or by reason of its reckless disregard of its obligations and duties under the trust agreement;
(i) expenditures incurred in contacting unitholders upon termination of the trust; and (j) license fees for the right to use trademarks
and trade names, intellectual property rights or for the use of databases and research owned by third-party licensors. The sponsor
is authorized to obtain from Mutual Fund Quotation Service (or similar service operated by The Nasdaq Stock Market, Inc. or its
successor) a

UIT ticker
symbol for each trust and to contract for the dissemination of the unit prices through that service. A trust will bear any
cost or expense incurred in connection with the obtaining of the ticker symbol and the dissemination of unit prices. Un
trust may pay the costs of updating its registration statement each year. All fees and expenses are payable out of a trust
and, when owing to the trustee, are secured by a lien on the trust. If the balances in the Income and Capital Accounts are
insufficient to provide for amounts payable by the trust, the trustee has the power to sell securities to pay such amounts.
These sales may result in capital gains or losses to unitholders.

Each trust
will pay the costs of organizing the trust. These costs may include, but are not limited to, the cost of the initial
preparation and typesetting of the registration statement, prospectuses (including preliminary prospectuses), the trust
agreement and other documents relating to the applicable trust, SEC and state blue sky registration fees, the costs of the
initial valuation of the portfolio and audit of a trust, the costs of a portfolio consultant, if any, one-time license fees,
if any, the initial fees and expenses of the trustee, and legal and other out-of-pocket expenses related thereto but not
including the expenses incurred in the printing of prospectuses (including preliminary prospectuses), expenses incurred in
the preparation and printing of brochures and other advertising materials and any other selling expenses. A trust may sell
securities to reimburse the sponsor for these costs at the end of the initial offering period or after six months, if
earlier. The value of the units will decline when a trust pays these costs.

Portfolio
Transactions And Brokerage Allocation
. When a trust sells securities, the composition and diversity of the securities in
the trust may be altered. In order to obtain the best price for a trust, it may be necessary for the sponsor to specify minimum
amounts in which blocks of securities are to be sold. In effecting purchases and sales of a trust’s portfolio securities, the sponsor
may direct that orders be placed with and brokerage commissions be paid to brokers, including the sponsor or brokers which may
be affiliated with the trust, the sponsor, the trustee or dealers participating in the offering of units.

Contents of Registration Statement

This Amendment to
the Registration Statement comprises the following:

The facing sheet

The prospectus and information supplement

The signatures

The consents of evaluator, independent auditors and legal
patarėjas

The following exhibits:

1.1.1 Standard Terms and Conditions of Trust. Reference is made to Exhibit 1.1.1 to the Registration
Statement on Form S-6 for Advisors Disciplined Trust 1670 (File No. 333-210025) as filed on May 6, 2016.
1.2 Certificate of Amendment of Certificate of Incorporation and Certificate of Merger of Advisors
Asset Management, Inc. Reference is made to Exhibit 1.2 to the Registration Statement on Form S-6 for Advisors Disciplined Trust
647 (File No. 333-171079) as filed on January 6, 2011.
1.3 Bylaws of Advisors Asset Management, Inc. Reference is made to Exhibit 1.3 to the Registration
Statement on Form S-6 for Advisors Disciplined Trust 647 (File No. 333-171079) as filed on January 6, 2011.
1.5 Form of Dealer Agreement. Reference is made to Exhibit 1.5 to the Registration Statement on Form
S-6 for Advisors Disciplined Trust 262 (File No. 333-150575) as filed of June 17, 2008.
2.2 Form of Code of Ethics. Reference is made to Exhibit 2.2 to the Registration Statement on Form
S-6 for Advisors Disciplined Trust 1853 (File No. 333-221628) as filed on February 21, 2018.
3.1 Opinion and consent of counsel as to legality of securities being registered.
3.3 Opinion of counsel as to the Trustee and the Trust.
4.1 Consent of initial evaluator.
4.2 Consent of independent registered public accounting firm.
6.1 Directors and Officers of Advisors Asset Management, Inc. Reference is made to Exhibit 6.1 to the
Registration Statement on Form S-6 for Advisors Disciplined Trust 1911 (File No. 333-227343) as filed on November 9, 2018.
7.1 Power of Attorney. Reference is made to Exhibit 7.1 to the Registration Statement on Form S-6 for
Advisors Disciplined Trust 1485 (File No. 333-203629) as filed on May 15, 2015.

Signatures

The Registrant,
Advisors Disciplined Trust 1972, hereby identifies Matrix Unit Trust, Series 1, Series 2, Series 3, Series 4, Series 5 and Series
8; Advisor’s Disciplined Trust, Series 10, Series 11 and Series 13; Advisor’s Disciplined Trust 23 and 40; and Advisors
Disciplined Trust 256, 318, 404, 459, 460, 518, 533, 544, 560, 588, 595, 610, 625, 677, 678, 699, 731, 782, 785, 803, 814, 820,
830, 834, 833, 839, 847, 854, 855, 862, 863, 867, 879, 880, 888, 891, 897, 901, 910, 911, 931, 932, 936, 938, 949, 952, 967, 980,
981, 982, 990, 1000, 1006, 1015, 1049, 1102, 1146, 1198, 1258, 1309, 1341, 1516, 1609, 1856, 1865, 1884, 1900, 1921, 1937 and 1951
for purposes of the representations required by Rule 487 and represents the following:

(1) that the portfolio
securities deposited in the series as to the securities of which this Registration Statement is being filed do not differ materially
in type or quality from those deposited in such previous series;

(2) that, except
to the extent necessary to identify the specific portfolio securities deposited in, and to provide essential financial information
for, the series with respect to the securities of which this Registration Statement is being filed, this Registration Statement
does not contain disclosures that differ in any material respect from those contained in the registration statements for such previous
series as to which the effective date was determined by the Commission or the staff; et

(3) that it has
complied with Rule 460 under the Securities Act of 1933.

Pursuant to the
requirements of the Securities Act of 1933, the Registrant, Advisors Disciplined Trust 1972 has duly caused this Amendment to the
Registration Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Wichita and State
of Kansas on September 24, 2019.

Advisors Disciplined Trust 1972
By Advisors Asset Management, Inc., Depositor
By /s/ ALEX R. MEITZNER
Alex R. Meitzner
Senior Vice President

Pursuant to the
requirements of the Securities Act of 1933, this Amendment to the Registration Statement has been signed below on September 24,
2019 by the following persons in the capacities indicated.

SIGNATURE TITLE
Scott I. Colyer Director of Advisors Asset )
Management, Inc. )
Lisa A. Colyer Director of Advisors Asset )
Management, Inc. )
James R. Costas Director of Advisors Asset )
Management, Inc. )
Christopher T. Genovese Director of Advisors Asset )
Management, Inc. )
Randy J. Pegg Director of Advisors Asset )
Management, Inc. )
Jack Simkin Director of Advisors Asset )
Management, Inc. )
Bart P. Daniel Director of Advisors Asset )
Management, Inc. )

By /s/ ALEX R. MEITZNER
Alex R. Meitzner
Attorney-in-Fact*

*An executed
copy of each of the related powers of attorney is filed herewith or incorporated herein by reference as Exhibit 7.1.

Exhibit
1.1

Advisors Disciplined Trust 1972

Trust Agreement

Dated: September 24,
2019

This Trust Agreement
among Advisors Asset Management, Inc., as Depositor, Evaluator and Supervisor, and The Bank of New York Mellon, as Trustee, sets
forth certain provisions in full and incorporates other provisions by reference to the document entitled “Standard Terms
and Conditions of Trust For Advisors Disciplined Trust, Effective for Unit Investment Trusts Investing in Equity Securities Established
On and After May 1, 2016” (the “Standard Terms and Conditions of Trust”) and such provisions as are set
forth in full and such provisions as are incorporated by reference constitute a single instrument. All references herein to Articles
and Sections are to Articles and Sections of the Standard Terms and Conditions of Trust.

Witnesseth
That:

In consideration
of the premises and of the mutual agreements herein contained, the Depositor, Trustee, Evaluator and Supervisor agree as follows:

Part
I

Standard
Terms and Conditions of Trust

Subject to the provisions
of Part II hereof, all the provisions contained in the Standard Terms and Conditions of Trust are herein incorporated by reference
in their entirety and shall be deemed to be a part of this instrument as fully and to the same extent as though said provisions
had been set forth in full in this instrument.

Part
II

Special
Terms and Conditions of Trust

The following
special terms and conditions are hereby agreed to:

1. The Securities listed in the
Schedules hereto have been deposited in trust under this Trust Agreement.

2. The fractional undivided interest
in and ownership of a Trust represented by each Unit thereof is a fractional amount, the numerator of which is one and the denominator
of which is the amount set forth under “Understanding Your Investment—Statement of Financial Condition–Number of units”
in the Prospectus for the Trust.

3. The aggregate number of Units
described in Section 2.03(a) for a Trust is that number of Units set forth under “Understanding Your Investment—Statement
of Financial Condition—Number of units” in the Prospectus for the Trust.

4. The term “Deferred
Sales Charge Payment Dates
” for a Trust shall mean the dates specified for deferred sales fee installments under “Investment
Summary—Fees and Expenses” in the Prospectus for the Trust.

5. The term “Distribution
Data
” for a Trust shall mean the “Distribution dates” set forth under “Investment Summary—Essential
Information” in the Prospectus for the Trust.

6. The term “Mandatory
Termination Date
” for a Trust shall mean the “Termination date” set forth under “Investment Summary—Essential
Information” in the Prospectus for the Trust.

7. The term “Record
Data
” for a Trust shall mean the “Record dates” set forth under “Investment Summary—Essential
Information” in the Prospectus for the Trust.

8. For purposes of the definition
of the term “Income Distribution”, Section 3.05(b)(ii)(B) shall apply to any Trust that is a RIC that has monthly
Distribution and Record Dates and Section 3.05(b)(ii)(A) shall apply to all other Trusts.

9. The Depositor’s annual
compensation as set forth under Section 3.13 shall be that dollar amount per 100 Units set forth under “Investment Summary—Fees
and Expenses—Annual operating expenses—Supervisory, evaluation and administration fees” in the Prospectus for
the Trust.

10. The Trustee’s annual
compensation as set forth under Section 7.04 shall be $0.0105 per Unit.

11. Section 1.01(50) of the Standard
Terms and Conditions of Trust is replaced in its entirety with the following:

“(50) ‘Rollover
Distribution’ shall have the meaning assigned to it in Section 6.04.”

12. Section 1.01(51) of the Standard
Terms and Conditions of Trust is replaced in its entirety with the following:

“(51) ‘Rollover
Unitholder’ shall have the meaning assigned to it in Section 6.04.”

13. Section 1.01(52) is replaced
in its entirety with the following:

“(52) ‘Securities
shall mean the securities of corporations or other entities, including Contract Securities, deposited in irrevocable trust and
listed in the schedule(s) to the Trust Agreement or which are deposited in or purchased on behalf of a Trust pursuant to Section
2.01(b) or as otherwise permitted hereby, and any securities received in exchange, substitution or

replacement for such securities, as
may from time to time continue to be held as a part of the Trusts.”

14. The first sentence of Section
3.02 is replaced in its entirety with the following:

“The Trustee
shall collect the dividends, interest and other similar income distributions on the Securities in each Trust as such becomes payable
(including all moneys representing penalties for the failure to make timely payments on the Securities, or as liquidated damages
for default or breach of any condition or term of the Securities or of the underlying instrument relating to any Securities and
other income attributable to a Failed Contract Security for which no Replacement Security has been obtained pursuant to Section
3.12) and credit such income to a separate account for each Trust to be known as the ‘Income Account.’”

15. Section 3.07(a)(i) through
(iv) is replaced in its entirety with the following:

“(i) that there has
been a default on any of the Securities in the payment of dividends, interest, principal or other payments, after declared and
when due and payable;

(ii) that any action or
proceeding has been instituted at law or equity seeking to restrain or enjoin the payment of dividends, interest, principal or
other payments on Securities after declared and when due and payable, or that there exists any legal question or impediment affecting
such Securities or the payment of dividends, interest, principal or other payments from the same;

(iii) that there has occurred
any breach of covenant or warranty in any document relating to the issuer of the Securities which would adversely affect either
immediately or contingently the payment of dividends, interest, principal, or other payments after declared and when due and payable,
or the general credit standing of the issuer or otherwise impair the sound investment character of such Securities;

(iv) that there has been
a default in the payment of dividends, interest, principal, income, premium or other similar payments, if any, on any other outstanding
obligations of the issuer or guarantor of such Securities;”

16. Section 3.09 is replaced
in its entirety with the following:

“Section
3.09. Notice and Sale by Trustee.
If at any time dividends, interest, principal or other payments, after declared and when
due and payable, on any of the Securities shall not have been paid within thirty (30) days, the Trustee shall notify the Depositor
thereof. If within thirty (30) days after such notification the Depositor has not given any instruction to sell or to hold or has
not taken any other action in connection with such Securities, the Trustee may in its discretion sell such Securities forthwith,
and the Trustee shall not be liable or responsible in any way for depreciation or loss incurred by reason of such sale.”

17.       Section
3.10(d)(i) is replaced in its entirety with the following:

“(i) The
Depositor may resign and be discharged hereunder, by executing an instrument in writing resigning as Depositor and filing the same
with the Trustee, not less than sixty (60) days before the date specified in such instrument when such resignation is to take effect.
Upon effective resignation hereunder, the resigning Depositor shall be discharged and shall no longer be liable in any manner hereunder
except as to acts or omissions occurring prior to such resignation and any successor depositor appointed by the Trustee pursuant
to Section 7.01(g) shall thereupon perform all duties and be entitled to all rights under this Indenture. The successor Depositor
shall not be under any liability hereunder for occurrences or omissions prior to the execution of such instrument. Notice of such
resignation and appointment of a successor depositor shall be delivered by the Trustee to each Unitholder then of record.”

In
Witness Whereof
, the undersigned have caused this Trust Agreement to be executed; all as of the day, month and year first
above written.

Advisors Asset Management, Inc.
By /s/ ALEX R. MEITZNER
Senior Vice President
The Bank of New York Mellon
By /s/ GERARDO CIPRIANO
Vice President

Schedule A to Trust Agreement

Securities Initially Deposited

à

Advisors Disciplined Trust 1972

Incorporated herein by this reference
and made a part hereof is the schedule set forth under “Investment Summary—Portfolio” in the Prospectus for each
Trust.


111 West Monroe Street
Chicago, IL  60603-4080

T 312.845.3000
F 312.701.2361
www.chapman.com


Exhibit 3.1

September 24, 2019

Advisors Asset Management, Inc.

18925 Base Camp Road

Monument, Colorado 80132

Re: Advisors Disciplined Trust 1972 (the
La fondation”)

(File No. 333-233474)

Ladies and Gentlemen:

We have served as
counsel for the Fund, in connection with the preparation, execution and delivery of a trust agreement dated as of the date shown
above (the “Indenture”) among Advisors Asset Management, Inc., as depositor, supervisor and evaluator (the “Depositor”)
and The Bank of New York Mellon, as trustee (the “Trustee”), pursuant to which the Depositor has delivered to
and deposited the securities listed in the schedule to the Indenture with the Trustee and pursuant to which the Trustee has provided
to or on the order of the Depositor documentation evidencing ownership of units (the “Units”) of fractional
undivided interest in and ownership of the unit investment trust of the Fund (the “Trust”), created under said
Indenture.

In connection therewith
we have examined such pertinent records and documents and matters of law as we have deemed necessary in order to enable us to express
the opinions hereinafter set forth. We have assumed the genuineness of all agreements, instruments and documents submitted to us
as originals and the conformity to originals of all copies thereof submitted to us. We have also assumed the genuineness of all
signatures and the legal capacity of all persons executing agreements, instruments and documents examined or relied upon by us.

We have not reviewed
the financial statements, compilation of the securities to be acquired by the Trust, or other financial or statistical data contained
in the registration statement and the prospectus, as to which we understand you have been furnished with the reports of the accountants
appearing in the registration statement and the prospectus. In addition, we have made no specific inquiry as to whether any stop
order or investigatory proceedings have been commenced with respect to the registration statement or the Depositor nor have we
reviewed court or governmental agency dockets.

Statements in this
opinion as to the validity, binding effect and enforceability of agreements, instruments and documents are subject: (i) to limitations
as to enforceability imposed by bankruptcy, reorganization, moratorium, insolvency and other laws of general application relating
to or affecting the enforceability of creditors’ rights, and (ii) to limitations under equitable

principles governing the availability
of equitable remedies.

The opinions expressed
herein are limited to the laws of the State of New York. No opinion is expressed as to the effect that the law of any other jurisdiction
might have upon the subject matter of the opinions expressed herein under applicable conflicts of law principles, rules or regulations
or otherwise.

Based upon and subject
to the foregoing, we are of the opinion that:

1. The execution and delivery
of the Indenture and the execution and issuance of the Units in the Trust have been duly authorized; et

2. The Units in the Trust,
when duly executed and delivered by the Depositor and the Trustee in accordance with the aforementioned Indenture, will constitute
valid and binding obligations of such Trust and the Depositor and such Units, when issued and delivered in accordance with the
Indenture against payment of the consideration set forth in the Fund prospectus, will be validly issued, fully paid and non-assessable.

We hereby consent
to the filing of this opinion as an exhibit to the registration statement relating to the Units referred to above and to the use
of our name and to the reference to our firm in said registration statement and in the related prospectus. This opinion is intended
solely for the benefit of the addressee in connection with the issuance of Units of the Trust and may not be relied upon in any
other manner or by any other person without our express written consent.

Very truly yours,

/s/ CHAPMAN AND CUTLER LLP

Chapman
and Cutler LLP

SRA/lew

Exhibit 3.3

September 24, 2019

The Bank of New York Mellon

as Trustee of

Advisors Disciplined Trust 1972

2 Hanson Place

Brooklyn, NY 11217

Re: Advisors
Disciplined Trust 1972 (the “Trust”)

Ladies and Gentlemen:

We are acting as your counsel in connection
with the execution and delivery by you of a certain Reference Trust Agreement (the “Trust Agreement”), dated as of
today’s date, between Advisors Asset Management, Inc., as Depositor, Evaluator and Supervisor (the “Depositor”,
“Evaluator” and “Supervisor”), and you, as Trustee, establishing the Trust, and the execution by you, as
Trustee under the Trust Agreement, of receipts for units evidencing ownership of all of the units of fractional undivided interest
(such receipts for units and such aggregate units being herein respectively called “Receipts for Units” and “Units”)
in the Trust, as set forth in the prospectus, (the “Prospectus”) included in the registration statement on Form S-6,
as amended to the date hereof (the “Registration Statement”), relating to the Trust. The Trust consist of the securities
listed under “Portfolio” in the Prospectus, including delivery statements relating to contracts for the purchase of
certain securities not yet delivered and cash, cash equivalents or an irrevocable letter or letters of credit, or a combination
thereof, in the amount required to pay for such purchases upon the receipt of such securities (such securities, delivery statements
and cash, cash equivalents, letter or letters of credit being herein called the “Portfolio Assets”).

We have examined the Trust Agreement, and originals (or copies certified or otherwise identified to our satisfaction) of such other
instruments, certificates and documents as we have deemed necessary or appropriate for the purpose of rendering this opinion. In
such examination, we have assumed the genuineness of all signatures, the authenticity of all documents submitted to us as originals
and the conformity to the original documents of all documents submitted to us as copies. As to any facts material to our opinion,
we have, when relevant facts were not independently established, relied upon the aforesaid instruments, certificates and documents.

Based on the foregoing, we are of the
opinion that:

1.       The
Bank of New York Mellon is a corporation organized under the laws of the State of New York with the powers of a trust company under
the Banking Law of the State of New York.

51 West 52nd Street | New York, NY | 10019-6119 | T 212.415.9200
| F 212.953.7201 | dorsey.com

2.       The
Trust Agreement and the Standard Terms are in proper form for execution and delivery by you, as Trustee, and each has been duly
executed and delivered by you, as Trustee, and assuming due authorization, execution and delivery by the Depositor, the Trust Agreement
and the Standard Terms are valid and legally binding obligations of The Bank of New York Mellon.

3.       The
Receipts for Units are in proper form for execution by you, as Trustee, and have been duly executed by you, as Trustee, and pursuant
to the Depositor’s instructions, the Trustee has registered on the registration books of the Trust the ownership of the Units
by Cede & Co., as nominee of the Depository Trust Company where it has caused the Units to be credited to the account of the
Depositor.

In rendering the foregoing opinion we
have not considered, among other things, the merchantability of the Portfolio Assets, whether the Portfolio Assets have been duly
authorized and delivered or the tax status of the Portfolio Assets under any federal, state or local laws.

The foregoing opinions are limited to
the laws of the State of New York and the federal laws of the United States of America. This opinion is for your benefit and may
not be disclosed to or relied upon by any other person without our prior written consent.

We hereby consent to the filing of this
opinion letter as an exhibit to the Registration Statement relating to the Units and to the use of our name and the reference to
our firm in the Registration Statement and in the Prospectus.

Very truly yours,

/s/ Dorsey &
Whitney LLP

Exhibit 4.1

Advisors Asset Management, Inc.
18925 Base Camp Road
Monument, Colorado 80132

September 24, 2019

Advisors Disciplined Trust 1972

c/o The Bank of New York Mellon, as Trustee

BNY Atlantic Terminal

2 Hanson Place, 12th Floor

Brooklyn, New York 11217

Re: Advisors Disciplined Trust 1972 (the “La fondation”)

Ladies and Gentlemen:

We have examined
the Registration Statement File No. 333-233474 for the above captioned Fund. We hereby consent to the use in the Registration Statement
of the references to Advisors Asset Management, Inc. as evaluator.

You are hereby authorized
to file a copy of this letter with the Securities and Exchange Commission.

Very truly yours,
Advisors Asset Management, Inc.
By /s/ ALEX R. MEITZNER
Alex R. Meitzner
Senior Vice President

Exhibit 4.2

Consent of Independent Registered
Public Accounting Firm

We have issued
our report dated September 24, 2019, with respect to the financial statement of Advisors Disciplined Trust 1972 contained in Amendment
No. 1 to the Registration Statement on Form S-6 (File No. 333-233474) and related Prospectus. We consent to the use of the aforementioned
report in the Registration Statement and Prospectus, and to the use of our name as it appears under the caption “Experts”.

/s/ Grant
Thornton LLP

Chicago, Illinois

September 24, 2019

Formule 487 conseillers sont disciplinés ◄ mutuelle entreprise
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