FT 3196's closed-end, ETF portfolio seeks tax-free monthly income

By Toni Weeks

San Diego, Oct. 20 - FT 3196 has registered units of its series 8 Municipal Advantage Closed-End and ETF Portfolio, according to an S-6 amendment filed with the Securities and Exchange Commission.

The depositor is Wheaton, Ill.-based First Trust Portfolios LP.

The trust seeks monthly income that is exempt from federal income taxes by investing in a diversified portfolio of common stocks of closed-end investment companies and common stocks issued by exchange-traded funds.

The public offering price of the initial 13,449 units on the first settlement date, Oct. 25, is $10 apiece. Each unit has an initial sales charge of $0.1, a deferred sales charge of $0.245, a creation and development fee of $0.05 and an organization fee of $0.029, for a total net asset value of $9.576 per unit. The 3.95% maximum sales charge will be decreased to 2.45% on a sliding scale based on the investment amount.

The trust has a mandatory termination date of Oct. 21, 2013.

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