EQUITY & INCOME PORTFOLIO OF CEFs Series 31

PORTFOLIO STATUS: Matured

DEPOSIT INFORMATION

Inception Date 11/8/2011
Mandatory Maturity Date 11/13/2013
NASDAQ Ticker Symbol CCEEFX
Trust Structure Grantor
Inception Unit Price $10.000000
Inception Bid Price1 $9.900000
Maturity Price (as of 11/13/2013)2 $10.207000
Historical Annual Dividend Distribution3 $0.848700

The weighted average P/E Ratio of the underlying securities where P/E ratio is defined as the ratio of the current stock price to the most recently reported earnings per share.

The weighted average P/B Ratio of the underlying securities where P/B ratio is defined as the ratio of the current stock price to the most recently reported book value per share.

The weighted average Market Capitalization of the underlying securities where Market Cap is defined as the current stock price multiplied by the most recently reported common shares outstanding.

The weighted average 1-year sales growth of the underlying securities where sales growth is calculated as the year over year percent change in net sales.

1 The "Inception Bid Price" represents the net asset value of one unit of a trust excluding any deferred sales charge, if applicable.

2 The "Maturity Price" represents the proceeds per unit received by unitholders upon termination of the trust.

3 The Historical Annual Dividend Distribution is as of the date of deposit and subject to change. The amount of distributions paid by the Trust’s securities may be lower or greater than the above-stated amount due to certain factors that may include, but are not limited to, a change in the dividends paid by issuers, a change in Trust expenses or the sale or maturity of securities in the portfolio. Fees and expenses of the Trust may vary as a result of a variety of factors including the Trust’s size, redemption activity, brokerage and other transaction costs and extraordinary expenses.

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.

Investment Objective

The Equity & Income Portfolio of CEFs, Series 31  ("Trust") seeks to provide total return that is comprised of current income and capital appreciation.

PRINCIPAL INVESTMENT STRATEGY

The Trust contains common shares of closed-end investment companies (“closed- end funds”) that invest primarily in equity securities and/or income-producing securities. 

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

SELECTION CRITERIA

The Trust invests in a diversified portfolio of closed-end funds that consist primarily of equity securities and/or income-producing securities. The assets held by such closed-end funds may include both foreign and domestic equity securities and fixed-income securities. The equity securities held in a closed-end fund may include common stocks, preferred stocks, convertible bonds, warrants and other securities with equity characteristics. The fixed-income securities held by a closed-end fund may consist of taxable bonds, government securities, high-yield or junk securities and other income-producing assets. 

An investment can be made in the closed-end funds without paying the sales fee, operating expenses and organization costs of the Trust. 

Closed-end funds are investment companies that consist primarily of securities issued by various corporate or government entities. Closed-end funds are typically traded on national securities exchanges and are managed by an investment adviser in accordance with the fund’s investment objectives and policies. The investment adviser generally charges a fee for such service. 

When selecting closed-end funds for inclusion in this portfolio the Sponsor looks at numerous factors. These factors include, but are not limited to: 

  • Investment Objective. The Sponsor favors funds that have a clear investment objective in line with the Trust’s objective and, based upon a review of publicly available information, appear to be maintaining it. 
  • Premium/Discount. The Sponsor favors funds that are trading at a discount relative to their peers and relative to their long-term average. 
  • Consistent Dividend. The Sponsor favors funds that have a history of paying a consistent and competitive dividend. 
  • Performance. The Sponsor favors funds that have a history of strong relative performance (based on market price and net asset value) when compared to their peers and an applicable benchmark.

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. 
  • Due to the current state of the economy, the value of the securities held by the Trust may be subject to steep declines or increased volatility due to changes in performance or perception of the issuers. Starting in December 2007, economic activity declined across all sectors of the economy, and the United States experienced increased unemployment. The economic crisis affected the global economy with European and Asian markets also suffering historic losses. Standard & Poor’s Rating Services recently lowered its long-term sovereign credit rating on the United States to “AA+” from “AAA,” which could lead to increased interest rates and volatility. Extraordinary steps have been taken by the governments of several leading countries to combat the economic crisis; however, the impact of these measures is not yet fully known and cannot be predicted. 
  • The Trust includes closed-end funds. Closed-end funds are actively managed investment companies that invest in various types of securities. Closed-end funds issue common shares that are traded 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’s portfolio during periods of market turmoil and as investors’ perceptions regarding closed-end funds or their underlying investments change. Closed-end funds are not redeemable at the option of the shareholder and they may trade in the market at a discount to their net asset value. Closed-end funds may also employ the use of leverage which increases risk and volatility. Instability in the auction rate preferred shares market may affect the volatility of closed-end funds that use such instruments to provide leverage. 
  • Certain closed-end funds held by the Trust invest in common stocks. Common stocks represent a proportional share of ownership in a company. Common stock prices fluctuate for several reasons including changes in investors’ perceptions of the financial condition of an issuer, changes in the general condition of the relevant stock market, such as the market volatility recently exhibited, or when political or economic events affect the issuers. Common stock prices may also be particularly sensitive to rising interest rates, as the cost of capital rises and borrowing costs increase. 
  • The value of the fixed-income securities in the closed-end funds will generally fall if interest rates, in general, rise. Typically, fixed-income securities with longer periods before maturity are more sensitive to interest rate changes. 
  • Certain closed-end funds held by the Trust may invest in bonds that are rated below investment-grade and are considered to be “junk” securities. Below investment-grade obligations are considered to be speculative and are subject to greater market and credit risks, and accordingly, the risk of non-payment or default is higher than with investment-grade securities. In addition, such securities may be more sensitive to interest rate changes and more likely to receive early returns of principal. 
  • Certain closed-end funds held by the Trust may invest in bonds that are rated as investment-grade by only one rating agency. As a result, such split-rated securities may have more speculative characteristics and are subject to a greater risk of default than securities rated as investment-grade by more than one rating agency. 
  • Certain closed-end funds held by the Trust invest in foreign securities. Investment in foreign securities presents additional risk. Foreign risk is the risk that foreign securities will be more volatile than U.S. securities due to such factors as adverse economic, currency, political, social or regulatory developments in a country, including government seizure of assets, excessive taxation, limitations on the use or transfer of assets, the lack of liquidity or regulatory controls with respect to certain industries or differing legal and/or accounting standards. 
  • Certain closed-end funds held by the Trust may invest in securities issued by companies headquartered or incorporated in countries considered to be emerging markets. Emerging markets are generally defined as countries with low per capita income in the initial stages of their industrialization cycles. Risks of investing in developing or emerging countries include the possibility of investment and trading limitations, liquidity concerns, delays and disruptions in settlement transactions, political uncertainties and dependence on international trade and development assistance. Companies headquartered in emerging market countries may be exposed to greater volatility and market risk. 
  • Certain closed-end funds held by the Trust invest in convertible securities. Convertible securities generally offer lower interest or dividend yields than nonconvertible 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 that stock price is greater than the convertible security’s “conversion price.” Convertible securities fall below 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. 
  • Certain closed-end funds held by the Trust invest in call options. The call writing portion of the investment strategy of the closed-end funds may not be successful in that the closed-end funds may not realize the full appreciation of stocks on which the closed-end funds have written call options. The ability to successfully implement the closed-end fund’s investment strategy depends on the closed-end fund’s adviser’s ability to predict pertinent market movements, which cannot be assured. The value of a call option held by a closed-end fund may be adversely affected if the market for the option becomes less liquid or smaller. The value of an option will be affected by changes in the value and dividend rates of the stock subject to the option, an increase in interest rates, a change in the actual and perceived volatility of the stock market and the common stock, and the remaining time to expiration. 
  • Certain closed-end funds held by the Trust invest in real estate investment trusts (“REITs”) and other real estate securities. REITs may concentrate their investments in specific geographic areas or in specific property types, such as hotels, shopping malls, residential complexes and office buildings. The value of the REIT and the ability of the REIT to distribute income may be adversely affected by several factors, including: rising interest rates; changes in the national, state and local economic climate and real estate conditions; perceptions of prospective tenants about the safety, convenience and attractiveness of the properties; the ability of the owner to provide adequate management, maintenance and insurance; the cost of complying with the Americans with Disabilities Act; increased competition from new properties; the impact of present or future environmental legislation and compliance with environmental laws; changes in real estate taxes and other operating expenses; adverse changes in governmental rules and fiscal policies; adverse changes in zoning laws; declines in the value of real estate; the downturn in the sub-prime mortgage lending market and the real estate markets in the United States; and other factors beyond the control of the issuer of the REIT. 
  • A closed-end fund or an issuer of securities held by a closed-end fund may be unwilling or unable to make principal payments and/or to declare distributions in the future, may call a security before its stated maturity, or may reduce the level of distributions declared. This may result in a reduction in the value of your units. 
  • The financial condition of a closed-end fund or an issuer of securities held by a closed-end fund may worsen, resulting in a reduction in the value of your units. This may occur at any point in time, including during the primary offering period. 
  • Current economic conditions may lead to limited liquidity and greater volatility. The markets for fixed-income securities, such as those held by certain closed-end funds held by the Trust, may experience periods of illiquidity and volatility. General market uncertainty and consequent repricing risk have led to market imbalances of sellers and buyers, which in turn have resulted in significant valuation uncertainties in a variety of fixed-income securities. These conditions resulted, and in many cases continue to result in, greater volatility, less liquidity, widening credit spreads and a lack of price transparency, with many debt securities remaining illiquid and of uncertain value. These market conditions may make valuation of some of the securities held by a closed-end fund uncertain and/or result in sudden and significant valuation increases or declines in its holdings. 
  • 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. 
  • Please note that the Sponsor or an affiliate may be engaged as a service provider to certain closed-end funds held by the Trust and therefore certain fees paid by the Trust to such closed-end funds will be paid to the Sponsor or an affiliate for its services to such closed-end funds. In addition to the expenses of the units of the Trust, the Trust is subject to various expenses of closed-end funds. Please see the Trust prospectus for more complete risk information.

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 ("UITs") are fixed and not actively managed. An investment in this fixed portfolio should be made with an understanding of the risks involved with owning various types of investments. Industry predictions may not materialize and securities selected for the Trust may not participate in overall industry growth, if any. UITs are subject to annual
fund operating expenses in addition to the sales charges. Units, when redeemed, may be worth more or less than their original price.

This UIT is part of a long-term strategy, and investors should consider their ability to invest in successive portfolios, if available, at the applicable 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 objectives, risks, charges, expenses and 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.

Guggenheim Investments represents the investment management businesses of Guggenheim Partners, LLC (“Guggenheim”), which includes Security Investors, LLC (“SI”), Guggenheim Funds Investment Advisors, LLC ("GFIA") and Guggenheim Partners Investment Management (“GPIM”), the investment advisors to the referenced funds. Guggenheim Funds Distributors, LLC, is affiliated with Guggenheim, SI, GFIA and GPIM.

2014 Guggenheim Investments. All Rights Reserved.
• Not FDIC Insured • No Bank Guarantee • May Lose Value