Incapital Announces Licensing Agreement with Goldman Sachs Securities Division to Launch New Unit Trust Offerings

BOCA RATON, Fla. and CHICAGO, July 11, 2012 /PRNewswire/ -- Incapital LLC, a leading underwriter and distributor of fixed income securities and a growing range of financial products, has announced that it has entered into an agreement with Goldman Sachs' Securities Division to license basket selection methodologies used to create quantitatively-driven Unit Trust offerings.

The first such offering is the Balance Sheet Strength Portfolio and is based on a systematic and objective selection methodology developed by Goldman Sachs which focuses on the companies within the S&P 500. The methodology uses a modified Altman Z-score formula to identify the companies with the highest scores based on the weighted sum of five financial ratios: working capital to assets, retained earnings to assets, operating income to assets, leverage ratio and sales to assets.

The second offering, the High Quality Select Portfolio, approximates the Goldman Sachs Quality Select Basket and is similar to the Balance Sheet Strength portfolio.  However in addition to balance sheet strength, the stocks included are allocated across ten sectors of the S&P 500 and are quantitatively scored and screened for various other factors, including: stable sales growth, low downside earnings variability, strong return on equity and low stock price drawdown risk. The portfolio is designed to include equally weighted securities that have the highest quality scores from each sector, and is allocated so that the basket is sector neutral.

"Our agreement with Goldman Sachs underscores our commitment to work with the leading global firms in the industry to provide financial professionals with quality products," said John Browning, Director of Incapital's Unit Trust Division. "The robustness of the underlying methodology coupled with the flexibility and transparency of a unit trust, we believe, makes both portfolios extremely appealing products."

Incapital is the only Unit Trust provider offering products driven by Goldman Sachs selection methodologies. The licensing agreement follows Incapital's recent announcements of offerings in collaboration with Zacks Investment Research and Morningstar Investment Services, Inc.

Incapital Unit Trust portfolios are professionally-selected fixed baskets of securities that allow investors to diversify market risk without the large capital commitment, time and expertise it may require to achieve this type of diversification on their own. They have a low minimum purchase, daily liquidity, and a predetermined investment life which gives investors the opportunity to review and evaluate their long-term investment approach.

More information about Incapital Unit Trusts is available at www.incapital.com/Unit_Trusts.

About Incapital LLC

Incapital LLC is a securities and investment banking firm with main offices in Chicago and Boca Raton, Florida. Incapital underwrites and distributes fixed income securities and structured notes through more than 700 broker-dealers, institutions, advisors and wealth managers. With a diverse range of new issue and secondary market offerings, Incapital specializes in U.S. Agency securities, corporate notes, CDs, mortgage-backed securities, municipal bonds, market-linked notes, annuities as well as the sponsorship of Unit Investment Trusts.

There is no assurance that a unit investment trust will achieve its investment objective.  An investment in a unit investment trust is subject to market risk, which is the possibility that the market values of securities owned by the trust will decline and that the value of trust units may therefore be less than what you paid for them. Accordingly, you can lose money investing in a trust. Investment return and principal value will fluctuate with changes in market conditions. Units when redeemed may be worth more or less than their original cost.  Past performance is not indicative of future results.

Please consider the investment objectives, risks, charges and expenses of the unit investment trust(s) carefully before investing. The prospectus contains this and other information about the unit investment trust(s). To obtain a prospectus, please download one from sec.gov/edgar.shtml or the Unit Trust Offerings page on incapital.com. Please read the prospectus carefully before investing.

More information about Incapital is available at www.incapital.com.

Incapital LLC, Member FINRA/SIPC, 200 South Wacker Drive, Ste. 3700, Chicago, IL  60606 Phone: 312-379-3700

Contact:
Caroline Harris
212.279.3115 ext 222
[email protected]

Beth Leri
212.279.3115 ext 227
[email protected]

SOURCE Incapital LLC