FT 3239 aims to provide tax-free income to New Jersey residents

By Toni Weeks

San Diego, Oct. 26 - FT 3239 has registered units of its series 4 New Jersey Municipal Income Select Closed-End Portfolio, according to a form S-6 amendment filed with the Securities and Exchange Commission.

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

The trust invests in a diversified portfolio of common stocks issued by closed-end investment companies that invest primarily in tax-exempt New Jersey municipal bonds. The trust seeks monthly income that is exempt from federal, New Jersey state and/or local income taxes. A portion of the income may be derived from non-New Jersey bonds, however, and that income would be taxable to New Jersey residents.

The public offering price of the initial 14,575 units is $10 apiece. Each unit has a maximum sales charge of 3.95%, consisting of an initial sales charge of $0.1, a deferred sales charge of $0.245 and a creation and development fee of $0.05. The total net asset value is $9.576 per unit. The estimated net annual distribution per unit for the first year is $0.5774.

The trust has a mandatory termination date of Oct. 28, 2013.

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.

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