FT 3404 offers High Dividend Equity Allocation Plus Portfolio units

By Tali David

Minneapolis, March 2 - FT 3404 is offering units of its High Dividend Equity Allocation Plus Portfolio, Series 2, 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 through a combination of capital appreciation and dividend income by investing in a diversified portfolio of common stocks.

On March 2, the initial date of deposit, $136,910 of contracts to purchase securities comprised the trust. The 13,691 units have an initial offering price of $10 and a net asset value of $9.574 each. The estimated net annual distribution per unit is $0.3958 for the first year and $0.3906 for subsequent years.

Each unit carries a maximum sales charge of up to 4.5%, consisting of a 0.5% creation and development fee and a deferred sales charge that will vary based on the public offering price. At a public offering price of $10 per unit, the maximum sales charge will be 3.95%. At a higher per-unit price, the maximum sales charge will be less than 3.95%, and at a lower unit price, it will exceed 3.95%. The fee may be reduced on a sliding scale depending on the amount of investment.

The trust has a mandatory termination date of March 4, 2014.

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