Zacks Indicator Defined Outcome Trust Series 2

The Trust utilizes a quantitative selection process developed by Zacks Investment Management (“ZIM”) to determine the constituents of a final portfolio. This Trust uses the Defined Outcome Trust methodology. The Trust has a predetermined performance threshold in which the Trust will terminate upon reaching a 15% net gain. The Trust will invest in common stocks, which may include the common stocks of U.S. and foreign companies that have small-, mid- and large-capitalizations.

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

Defined Outcome Trust Methodology

The Defined Outcome Trust methodology provides an inherent investment discipline by having a built-in trigger based on performance. This Trust has a predetermined performance trigger that would automatically liquidate the Trust’s holdings if the per unit net asset value reaches or exceeds 15% above its initial net asset value as calculated on the date of deposit, net of the 2.95% upfront sales charge and other related investment expenses. The day on which the performance trigger is implemented shall be referred to as the “Performance Trigger Day.” The net proceeds from the liquidation may be more or less than the amount calculated on the Performance Trigger Day due to market conditions and because the Trustee may be unable to liquidate the Trust’s holdings at the same price used to calculate the net asset value on the Performance Trigger Day. Consequently, the net proceeds received by a unitholder may be greater or less than 15% above the Trust’s initial net asset value as calculated on the date of deposit, net of the 2.95% upfront sales charge and other related investment expenses. The liquidation proceeds will then be returned to all unitholders on the settlement date.

This type of Trust facilitates making strategies investible within an unit investment Trust that are shorter term in opportunity. If the predetermined performance trigger is not met within approximately 12 months, the Trust will terminate at that time by liquidating its holdings and returning the liquidation proceeds to the unitholders net of applicable expenses.

In constructing the Trust’s portfolio, the securities were selected based on the following steps:

1. Begin by identifying an initial universe of all securities that trade on at least one public North American securities exchange as of the security selection date.

2. Eliminate all master limited partnerships and closed-end funds.

3. Eliminate securities with a market capitalization of less than $300,000,000.

4. Eliminate the securities not designated as a “Strong Buy” by the Zacks Indicator Model. A “Strong Buy” is any security with a score of 5 or less.

5. Rank the remaining securities in descending order of their “Last EPS Surprise %” as reported by Zacks Investment Research; where “Last EPS Surprise %” is the difference (as a percentage) between the actual earnings per share (“EPS”) reported for the last quarter and the consensus estimate for the last quarter.

6. Select the 25 securities with the largest “Last EPS Surprise %” and equal weight them as of the security selection date.

Final Trust Portfolio Construction Screen

A final liquidity check is performed by removing any security eligible for inclusion in the Trust portfolio with liquidity of less than the estimated total dollar value of the security as of the security selection date and replacing it with the next highest ranked security.

In the event that a security that has a pending merger and acquisition or bankruptcy that will lead to its delisting, that security will be removed and the next security in the list will be selected for inclusion in the portfolio. Such events will be determined by reviewing the announced merger and acquisition and bankruptcy data from Bloomberg. If any of the events are to take place before the security selection date, or there is an announcement of a merger and acquisition or bankruptcy, the subject security shall be removed from the portfolio.

Zacks Indicator Model

The Zacks Indicator Model attempts to capitalize on stock price movements resulting from EPS estimate revisions and earnings surprises. The Zacks Indicator Model assigns a composite score to each stock on a scale of 1 to 99, with 1 being the most attractive and 99 being the least. This ranking system is intended to identify stocks whose returns are expected to be higher than the equally weighted selection universe over the next 1-6 months. The composite scores are created by analyzing:

1. The extent to which analysts have been revising estimates in the same direction over the past 60 days,

2. The size of recent changes in the consensus estimate for the current and next fiscal years,

3. The extent to which the most recent estimates differ from the consensus, and

4. The extent to which the last reported quarterly EPS deviated from the analysts’ mean estimate of that quarter’s EPS.

Zacks Investment Management

Zacks Investment Management, founded in 1992 as a wholly owned subsidiary of Zacks Investment Research, is one of the largest providers of independent research in the U.S. ZIM has over $2.5 billion in assets under management for retail and institutional clients in separately managed accounts that employ proprietary quantitative models and three mutual funds, which it markets through its wholesale division. ZIM manages equity and fixed income portfolios for clients using a unique combination of Zacks independent research and Zacks proprietary quantitative models. The Trust will pay a portfolio consulting fee to ZIM for its assistance in the selection of the Trust portfolio.

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.

Furthermore, the net proceeds from the liquidation may be more or less than the amount calculated on the Performance Trigger Day due to market conditions and because the Trustee may be unable to liquidate the Trust’s holdings at the same price used to calculate the net asset value on the Performance Trigger Day.

• 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. In addition, Standard & Poor’s Rating Services lowered its long-term sovereign credit rating on the United States to “AA+” from “AAA.” Effects of the economic crisis can still be felt in many countries around the world and may have an impact on the securities held by the Trust.

• 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.

• The Trust is concentrated in the information technology sector. As a result, the factors that impact the information technology sector will likely have a greater effect on this Trust than on a more broadly diversified Trust. Some of the risks associated with the information technology sector are listed below. The Trust is diversified across the information technology sector and includes stocks of companies from the following industries: communications equipment, computers and peripherals, electronic equipment and instruments, internet software and services, IT services, office electronics, semiconductors and semiconductor equipment and software. Adverse developments in the sector may affect the value of your investment. Companies involved in this sector must contend with rapid changes in technology, intense competition, government regulation and the rapid obsolescence of products and services. Furthermore, sector predictions may not materialize and the companies selected for the Trust may not represent the entire sector and may not participate in the overall sector growth.

• The Trust is concentrated in the financial sector. As a result, the factors that impact the financial sector will likely have a greater effect on this Trust than on a more broadly diversified Trust. Some of the risks associated with the financial sector are listed below. Companies in the financial sector include banks, insurance companies and investment firms. The profitability of companies in the financial sector is largely dependent upon the availability and cost of capital which may fluctuate significantly in response to changes in interest rates and general economic developments. Financial sector companies are especially subject to the adverse effects of economic recession, decreases in the availability of capital, 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. Negative developments initially relating to the subprime mortgage market and subsequently spreading to other parts of the economy, have adversely affected credit and capital markets worldwide and significantly impacted financial sector companies.

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

• The Trust invests in American Depositary Receipts (“ADR”) and U.S.-listed foreign securities. The Trust’s investment in ADRs and U.S.- listed foreign securities presents additional risk. ADRs are issued by a bank or Trust company to evidence ownership of underlying securities issued by foreign corporations. Securities of foreign issuers present risks beyond those of domestic securities. More specifically, 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.

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

• The application of the predetermined trigger may result in the Trust terminating at a price below what may have been possible if the trigger was not in place. In addition, investors may be subject to adverse tax consequences and possibly short-term capital gains rates as a result of the application of the trigger.

• 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.