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All Cap Growth Strategy Portfolio Series 7

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Investment Objective

The All Cap Growth Strategy Portfolio, Series 7 ("Trust") seeks to provide total return through capital appreciation and dividend income.

Principal Investment Strategy

Selection Criteria

Risks and Other Considerations

Portfolio Information

Deposit Information

Inception Date 9/2/2014
Non-Reoffered Date 12/1/2014
Mandatory Maturity Date 12/1/2015
Ticker Symbol CACGGX
Trust Structure Grantor
Inception Unit Price $10.0000
Maturity Price (as of 12/1/15) $9.3079

Past performance is no guarantee of future results. Investment returns and principal value will fluctuate with changes in market conditions. Investors' units, when redeemed, may be worth more or less than their original cost.

This information does not constitute an offer to sell or a solicitation of any offer to buy: nor shall there be any sale of these securities in any state where the offer, solicitation, or sale is not permitted.


Principal Investment Strategy

The Trust seeks to provide a portfolio of 40 securities spanning all market cap classifications that have displayed growth oriented characteristics. The Sponsor, with the assistance of Guggenheim Partners Investment Management, LLC (“GPIM”), an affiliate of the Sponsor and Guggenheim Partners, LLC, has selected the securities to be included in the Trust’s portfolio. As a result of this strategy, the Trust is concentrated in the consumer discretionary sector.

See “Investment Policies” in Part B of the prospectus for more information.

Selection Criteria

The Trust’s portfolio was constructed and the securities were selected seven business days prior to the initial date of deposit (the “Security Selection Date”) using the Security Selection Rules described below.

Security Selection Rules:

In constructing the Trust’s portfolio, 40 securities were selected based on the following rules-based criteria.

1. Initial Universe: Start with an initial universe of all securities included in the S&P 500 Pure Growth Index, the S&P MidCap 400 Pure Growth Index, and the S&P SmallCap 600 Pure Growth Index, as of the Security Selection Date.

2. Rank on Fundamentals: Rank every company identified in the initial universe along each of the following metrics. Each ranking is determined as of the Security Selection Date using the most recently reported information and will be used in the following steps for filtering the universe:

• Trailing six month total return.

• Standard deviation of daily returns for the trailing year, as provided by FactSet, where lower values rank higher.

• Earnings before interest, taxes, depreciation and amortization for the latest four quarters divided by enterprise value (EBITDA/EV), as provided by S&P Compustat. Enterprise value is determined by adding the equity market capitalization as of the most recent closing price with the total outstanding long term and short term debt as determined by the most recently available balance sheet, and then subtracting any cash and short term investments as determined by the most recently available balance sheet.

• Sales growth minus asset growth, as provided by S&P Compustat. Sales growth is the percentage change in trailing twelve months total sales as of the most recent reported quarterly filing versus the total sales from the prior twelve months. Asset growth is the percentage change in total assets as of the most recent reported quarterly filing versus the total assets from the same quarterly filing from the prior year.

• Analyst consensus EPS growth, as provided by FactSet. Consensus EPS growth is the median of all analyst earnings per share estimates provided to the FactSet database for the four quarters following the most recently filed quarterly financial statement, divided by the trailing four quarters of actual reported earnings per share. Any company that has negative EPS for the trailing four quarters, or that has zero analysts providing estimates in FactSet, will automatically be ranked at the bottom of the universe.

3. Define Sub-Universe: Reduce the initial universe of securities to a sub-universe that meets the following requirements, with each requirement being applied independently to the initial universe from the other requirements in this step, as of the Security Selection Date:

• Exclude all securities that are in the lowest ranked 20% of any of the five rankings described in step 2.

• Exclude securities with a market capitalization less than $500 million, as provided by FactSet based on the closing price as of the Security Selection Date.

• Exclude securities with trading liquidity of less than $1 million, as determined by the median daily dollar trading volume (i.e., volume in shares multiplied by the closing price for the day, as provided by FactSet) during a 90 trading day look back from the Security Selection Date.

• Exclude securities with a share price of less than $5.

• Exclude securities that have a pending cash or stock merger and acquisition or bankruptcy which will lead to delisting the security. Such events will be determined by reviewing the announced merger and acquisition data from Bloomberg and if the announced date falls before the Security Selection Date, an announcement of an agreement to be acquired in whole for cash or stock from an acquiring company or bankruptcy filing will cause exclusion.

4. Selection: Select from the sub-universe the 40 securities with the highest sustainable growth rate, as defined by the percentage of retained earnings multiplied by return on equity (“ROE”). Percentage of retained earnings is 100% minus the ratio of dividends paid in the trailing year divided by earnings for the trailing year. ROE is calculated as trailing year of reported earnings to common equity divided by the average of the most recent reported shareholders equity and the reported shareholders equity from the prior year. In the event of a tie between securities, the higher market capitalization company will be favored.

All financial statement data are as provided by S&P Compustat.

All selected securities are equally weighted at 2.5% as of Security Selection Date. Selected portfolio must adhere to following portfolio limits as of Security Selection Date:

• Weight in all Global Industry Classification Standard sectors must be within +/- 5% of the sector weight of the initial universe, where the securities in the initial universe originating from the S&P 500 Pure Growth Index are assigned 50% of their index weight, and securities originating from the S&P MidCap 400 Pure Growth and the S&P SmallCap 600 Pure Growth Indices are assigned 25% of their index weight. For example, if the Industrials sector comprised of 20% of each of the indices, then this sector would be given a weight of 10%, 5% and 5% from the S&P 500 Pure Growth Index, S&P MidCap 400 Pure Growth Index and the S&P SmallCap 600 Pure Growth Index, respectively. As a result, 15%-25% of the Trust’s portfolio would be from the Industrials sector (20% +/- 5%).

• Total weight of securities that are members of the S&P 500 Pure Growth Index must be between 40- 60%, members of the S&P MidCap 400 Pure Growth Index must be between 20-30%, and the members of the S&P SmallCap 600 Pure Growth Index must be between 20-30%.

If the top ranked 40 securities violates any of the portfolio limits, then the lowest ranked security will be replaced with the next best ranked security. This process will continue until the full portfolio of 40 securities meets all selection criteria.

Please note that due to the fluctuating nature of security prices, the weighting of an individual security or sector in the Trust portfolio may change after the Security Selection Date.

Guggenheim Partners Investment Management, LLC

Guggenheim Partners Investment Management, LLC is a subsidiary of Guggenheim Partners, LLC and an affiliate of the Sponsor, which offers financial services expertise within its asset management, investment advisory, capital markets, institutional finance and merchant banking business lines. Clients consist of a mix of individuals, family offices, endowments, foundations, insurance companies, pension plans and other institutions that together have enTrusted the firm with supervision of more than $100 billion in assets. A global diversified financial services firm, Guggenheim Partners, LLC office locations include New York, Chicago, Los Angeles, Miami, Boston, Philadelphia, St. Louis, Houston, London, Dublin, Geneva, Hong Kong, Singapore, Mumbai and Dubai.

The Sponsor is also a subsidiary of Guggenheim Partners, LLC. See “General Information” for additional information.

INDEX DEFINITIONS: S&P Pure Growth Indices include only those components of the parent index (S&P 500, S&P MidCap 400 and S&P SmallCap 600) that exhibit strong growth characteristics, and weights them by growth score. The S&P 500 Index is a capitalization-weighted index of 500 stocks designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries. The S&P MidCap 400 Index is a capitalization-weighted index which measures the performance of the mid-range sector of the U.S. stock market. The S&P SmallCap 600 Index is a capitalization-weighted index which measures the performance of selected U.S. stocks with a small market capitalization. The indices are unmanaged and it is not possible to invest directly in the indices.

Risks and Other Considerations

As with all investments, you may lose some or all of your investment in the Trust. No assurance can be given that the Trust’s investment objective will be achieved. The Trust also might not perform as well as you expect. This can happen for reasons such as these:

• Securities prices can be volatile. The value of your investment may fall over time. Market value fluctuates in response to various factors. These can include stock market movements, purchases or sales of securities by the Trust, government policies, litigation, and changes in interest rates, inflation, the financial condition of the securities’ issuer or even perceptions of the issuer. Units of the Trust are not deposits of any bank and are not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency.

• The Trust invests in “growth” stocks. Growth stocks are issued by companies which, based upon their higher than average price/book ratios, are expected to experience greater earnings growth rates relative to other companies in the same industry or the economy as a whole. Securities of growth companies may be more volatile than other stocks. If the perception of a company’s growth potential is not realized, the securities purchased may not perform as expected, reducing the Trust’s return. In addition, because different types of stocks tend to shift in and out of favor depending on market and economic conditions, “growth” stocks may perform differently from the market as a whole and other types of securities.

• The Trust is concentrated in the consumer discretionary sector. As a result, the factors that impact the consumer discretionary sector will likely have a greater effect on this Trust than on a more broadly diversified Trust. Consumer discretionary products are products purchased by consumers on a discretionary basis and are not necessities. The success of consumer discretionary companies, which manufacture products and provide discretionary services directly to the consumer, is tied closely to the performance of the overall domestic and international economy, interest rates, competition and consumer confidence. Success also depends heavily on disposable household income and consumer spending. Changes in demographics and consumer tastes can also affect the demand for, and success of, consumer discretionary products in the marketplace.

• The Trust invests in securities issued by small-capitalization and mid-capitalization companies. These securities customarily involve more investment risk than securities of large-capitalization companies. Small-capitalization and mid-capitalization companies may have limited product lines, markets or financial resources and may be more vulnerable to adverse general market or economic developments.

• Share prices or dividend rates on the securities in the Trust may decline during the life of the Trust. There is no guarantee that share prices of the securities in the Trust will not decline and that the issuers of the securities will declare dividends in the future and, if declared, whether they will remain at current levels or increase over time.

• Inflation may lead to a decrease in the value of assets or income from investments.

• The Sponsor does not actively manage the portfolio. The Trust will generally hold, and may, when creating additional units, continue to buy, the same securities even though a security’s outlook, market value or yield may have changed.

See “Investment Risks” in Part A of the prospectus and “Risk Factors” in Part B of the prospectus for additional information.

Please see the Trust prospectus for more complete risk information.

Unit Investment Trusts are fixed, not actively managed and should be considered as part of a long-term strategy. Investors should consider their ability to invest in successive portfolios, if available, at the applicable sales charge. UITs are subject to annual fund operating expenses in addition to the sales charge. Investors should consult an attorney or tax advisor regarding tax consequences associated with an investment from one series to the next, if available, and with the purchase or sale of units. Guggenheim Funds Distributors, LLC does not offer tax advice.




Read a prospectus and summary prospectus (if available) carefully before investing. It contains the investment objective, risks charges, expenses and the other information, which should be considered carefully before investing. To obtain a prospectus and summary prospectus (if available) click here or call 800.820.0888.

Investing involves risk, including the possible loss of principal.

Guggenheim Investments represents the following affiliated investment management businesses of Guggenheim Partners, LLC: Guggenheim Partners Investment Management, LLC, Security Investors, LLC, Guggenheim Funds Distributors, LLC, Guggenheim Funds Investment Advisors, LLC, Guggenheim Partners Advisors, LLC, Guggenheim Corporate Funding, LLC, Guggenheim Partners Europe Limited, Guggenheim Partners Fund Management (Europe) Limited, Guggenheim Partners Japan Limited, GS GAMMA Advisors, LLC, and Guggenheim Partners India Management. Securities offered through Guggenheim Funds Distributors, LLC.

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