SCHEDULE 14A
INFORMATION REQUIRED IN PROXY STATEMENT
SCHEDULE 14A INFORMATION
Proxy Statement Pursuant to Section 14(a) of the Securities
Exchange Act of 1934 (Amendment No. )
Filed by the registrant [X]
Filed by a party other than the registrant [ ]
Check the appropriate box:
[ ] Preliminary Proxy Statement
[ ] Confidential, for Use of the Commission Only (as permitted by
Rule 14a-6(e)(2))
[ ] Definitive Proxy Statement
[X] Definitive Additional Materials
[ ] Soliciting Material under ss. 240.14a-12
First Trust/Value Line(R) & Ibbotson Equity Allocation Fund
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(Name of Registrant as Specified in Its Charter)
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(Name of Person(s) Filing Proxy Statement)
Payment of filing fee (Check the appropriate box):
[X] No Fee Required.
[ ] Fee computed on table below per Exchange Act Rules 14a-6(i)(4) and 0-11.
(1) Title of each class of securities to which transaction applies:
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(2) Aggregate number of securities to which transaction applies:
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(3) Per unit price or other underlying value of transaction computed
pursuant to Exchange Act Rule 0-11:(1)
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(5) Total fee paid:
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[ ] Fee paid previously with preliminary materials.
[ ] Check box if any part of the fee is offset as provided by Exchange
Act Rule 0-11(a)(2) and identify the filing for which the offsetting
fee was paid previously. Identify the previous filing by registration
statement number, or the form or schedule and the date of its filing.
(1) Amount previously paid:
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(1) Set forth the amount on which the filing fee is calculated and state how
it was determined.
FIRST TRUST/VALUE LINE(R) & IBBOTSON EQUITY ALLOCATION FUND
1001 Warrenville Road, Suite 300
Lisle, Illinois 60532
October 23, 2006
Re: Your shares of First Trust/Value Line(R) & Ibbotson Equity
Allocation Fund ("FVI")
Dear Shareholder:
Recently you received a notice of an Annual Meeting of Shareholders of
FVI along with a Prospectus/Proxy Statement and a proxy card, requesting your
vote upon the proposed plan of reorganization (the "Reorganization") of FVI with
and into First Trust Value Line(R) Equity Allocation Index Fund ("FVI ETF"), a
newly organized exchange-traded fund, which is a series of the First Trust
Exchange-Traded Fund. If the Reorganization is approved by the FVI shareholders,
your shares of FVI will be exchanged, on a tax-free basis for federal income tax
purposes, for shares of FVI ETF (the "Reorganization Shares") with an equal
aggregate net asset value, and you will become a shareholder of FVI ETF.
You are receiving this letter because you hold your shares of FVI
directly and not in "street name" through a broker-dealer. Because shares of
exchange-traded funds cannot be traded in registered form, you need to designate
a brokerage account that will hold your Reorganization Shares. If you do not
designate a brokerage account, you may be limited in your ability to sell the
Reorganization Shares in the secondary market until such an account is
designated. WE ENCOURAGE YOU TO TRANSFER YOUR SHARES OF FVI TO A BROKERAGE
ACCOUNT AS SOON AS POSSIBLE.
The Altman Group ("Altman") has been engaged to assist in the
solicitation of proxies for FVI. You may receive a telephone call from a
representative of Altman to encourage you to transfer your FVI shares to a
brokerage account.
Please refer to the Prospectus/Proxy Statement dated October 17, 2006
for complete information with respect to the Reorganization.
If you have any questions, please call Altman at the special toll-free
number we have set up for you (1-800-761-6707) weekdays from 9:00 a.m. to 10:00
p.m. Eastern Standard time. We appreciate your prompt attention to this matter.
Thank you.
Very truly yours,
First Trust/Value Line(R) & Ibbotson Equity
Allocation Fund
/s/ W. Scott Jardine
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W. Scott Jardine, Secretary