Defined Asset Funds
SELECT GROWTH PORTFOLIO
1996 Series D
A Disciplined Approach to Growth Stock Investing
Merrill Lynch
1. Canadian Pacific, Ltd.
(CP) has interests in transportation, energy, real estate, hotels and
telecommunications. The Company transports by ship, rail and truck.
2. CompUSA, Incorporated
(CPU) is the United States' largest operator of deep-discount superstores that
sell PCs, related software and accessories. Products are sold to individuals,
businesses and government agencies. Its subsidiary operates a mail order
computer business.
3. Dell Computer Corporation
(DELL) designs, manufactures and markets its notebook, desktop PCs, servers
and workstations to individual, corporate, government and educational
institutions worldwide.
4. Dynatech Corporation
(DYTC) through its subsidiaries, designs, manufactures and sells a diversified
line of proprietary electronic and microprocessor-based equipment, instruments
and systems for measurement, analysis and control. These products serve users
in the communications, scientific, diagnostic, medical and government agency
markets.
5. Gateway 2000, Incorporated
(GATE) develops, manufactures and markets IBM-compatible desktop, notebook and
subnotebook PCs and sells them to businesses, individuals, government agencies
and educational institutions worldwide. Gateway 2000 also sells peripheral
products and software.
6. Global Marine, Incorporated
(GLM) with ownership of approximately 28 drilling rigs, this offshore drilling
contractor operates and offers offshore drilling management services. A
subsidiary develops and produces oil and natural gas in the southern and
western United States, as well as the Texas and Louisiana Gulf coast.
7. MBNA Corporation
(KRB), through its subsidiary MBNA American Bank, N.A., issues premium and
standard bank credit cards. MBNA markets the cards through professional,
fraternal, educational and other special interest associations and is endorsed
by more than 4,000 organizations.
8. Smith International, Incorporated
(SII) designs, manufactures, sells and services a broad group of products used
for drilling oil and gas wells. The Company's brand names include "A-Z
Servco," "Drilco Grant," "Smith Diamond,""Smith Tool" and "M-1 Drilling
Fluids."
9. Storage Technology Corporation
(STK) manufactures, markets and services high-performance computer information
storage and retrieval subsystems. These subsystems are primarily used with
mainframe and midrange computer systems. The Company also offers software
enhancement products for data management and access.
10. Western Digital Corporation
(WDC) makes proprietary Winchester disk drives for PCs and file servers. WDC
markets its products to original equipment manufacturers worldwide. The
Company's other products include integrated circuits and board products for
graphics, storage control and systems logic.
Defined Strategy for Growth
Defined Asset Funds can help you to simplify complex issues regarding growth
stock investing with the Select Growth Portfolio. This Portfolio offers a
defined selection process and a disciplined investment approach.
Help From a Professional Consultant
Defined Asset Funds retained O'Shaughnessy Capital Management, Inc., a
registered investment adviser, as Portfolio Consultant to apply its
quantitative selection model to identify common stocks that it expected to
show superior growth in earnings per share over the next year. Using the
model, the Consultant screened a universe of 1600 stocks and identified
growth stocks that are believed to be reasonably priced and to have
attractive growth potential. Defined Asset Funds reviewed the identified
stocks for liquidity, market capitalization, and other factors and then
selected the ten stocks for the portfolio.
Defined Advantages
May save you time. You don't need to buy each stock individually. This
Portfolio uses a disciplined buy and hold Strategy, enabling you to wait out
what may be short-term price fluctuations. When the current Portfolio is
liquidated after a year, Defined Asset Funds expects to offer a new portfolio
selected by this process, which can be purchased at a reduced sales charge.
May save you money. Although Portfolio units are subject to a sales charge,
because of the institutional commissions at which the Portfolio buys and sells
stocks, the combination may be less expensive for many investors than buying
and selling the stocks outright.
About The Portfolio
The Defined Asset Funds Select Growth Portfolio consists of ten growth stocks,
which are subject to extreme price volatility. The Portfolio should be
considered speculative, and is not a complete equity investment program. The
Portfolio may only be appropriate for investors willing and able to assume
this risk and who are not seeking either preservation of capital or current
dividend income. It is unlikely that the Portfolio will change over its
one-year life, even if the stock market decreases in value or there are
adverse developments affecting the stocks held. The value of this investment
may fluctuate with changes in the financial condition of the issuers of the
stocks held, the value of common stocks in general, and the impact of the
Portfolio's purchase and sale of stocks. The projected earnings growth rate
for the stocks in the Portfolio is substantially above the average for common
stocks in general. Stocks with higher growth potential can involve greater
risk of loss.
Select Now
Call your financial professional to see how the Select Growth Portfolio can
fit into your financial plan. A free prospectus containing more information,
including all charges and expenses, is available. Read the prospectus
carefully before you invest.
