FT 3208's Interest Rate Hedge Portfolio anticipates interest rate hike

By Toni Weeks

San Diego, Nov. 15 - FT 3208 has registered units of its Interest Rate Hedge Portfolio, Series 39, 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 above-average total return in anticipation of the potential for future rising interest rates, which historically provide positive returns after the Federal Reserve's initial rate hike. The trust invests in a diversified portfolio of common stocks of companies that have a history of dividend growth as well as closed-end funds that invest in convertible securities, Treasury Inflation Protected Securities, master limited partnerships, limited-duration bonds and real estate investment trusts.

On the initial date of deposit, Nov. 14, the trust was comprised of $158,184 in contracts to purchase securities. The 15,978 units each have a public offering price of $10 and a net asset value of $9.576. The estimated net annual distribution per unit for the first year is $0.5654.

Each unit carries a maximum sales charge of 2.95%, consisting of an initial sales charge of 1%, a deferred sales charge of 2.45% and a creation and development fee of 0.5%. The maximum fee for unit purchasers of $50,000 or more is 3.7% and decreases on a sliding scale to 2.45% for investments of $1 million or more.

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

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