[LOGO OMITTED] FIRST TRUST
120 Liberty Drive, Wheaton, IL 60187
September 21, 2008
Re: FIRST TRUST STRATEGIC HIGH INCOME FUND III
Dear Valued Shareholder:
We need your help. We still need to get your proxy voting instructions for the
Special Meeting of Shareholders of First Trust Strategic High Income Fund III.
You are one of the largest shareholders who have yet to vote.
The Meeting is scheduled to be held on Wednesday, October 14th at 4:00 p.m.
Central Time at the offices of First Trust Advisors L.P., advisor to the Fund,
located at 120 East Liberty Drive, Suite 400, Wheaton, Illinois 60187. In early
September you should have received proxy materials seeking your vote for the
Special Meeting of Shareholders requesting your vote on two proposals. The first
proposal is to approve a new investment sub-advisory agreement among the Fund,
First Trust Advisors L.P. and Hyperion Brookfield Asset Management, Inc. The
second proposal is to approve a change in the Fund's industry concentration
policy from being concentrated in residential mortgage-backed securities to
being non-concentrated.
Your vote is very important. Every shareholder's vote counts regardless of the
number of shares owned. As a shareholder of record of the First Trust Strategic
High Income Fund III, your participation is critical to the outcome of this
Meeting. If sufficient voting participation is not received by October 14th
additional expenses of further solicitation efforts could be incurred.
Please cast your vote today. If you need another copy of the Proxy Statement,
have any proxy-related questions, or wish to vote your proxy by phone, please
call 1-866-530-8634 for assistance.
We have set up the following voting methods so that you will find one to be
convenient and vote your shares today.
[GRAPHIC OMITTED] 1. Vote by Telephone. You may cast your vote by calling
our toll-free proxy hotline at 1-866-530-8634.
Representatives are available to record your vote
Monday through Friday 9:00 a.m. to 10:00 p.m. Eastern
Time .
[GRAPHIC OMITTED] 2. Vote by Touch-tone Phone. You may cast your vote by
telephone by calling the toll-free number found on the
enclosed proxy ballot(s).
[GRAPHIC OMITTED] 3. Vote Through the Internet. You may cast your vote
using the Internet by logging into the Internet address
located on the enclosed proxy ballot(s) and following
the instructions on the website.
[GRAPHIC OMITTED] 4. Vote by Mail. You may cast your vote by signing,
dating and mailing the enclosed proxy ballot in the
postage-prepaid return envelope provided. If convenient
for you, please utilize one of the voting options above
so that your vote will be received no later than
October 14th.
Thank you for your assistance with this important matter. If you have voted
since this letter was mailed, we thank you for casting your vote. Otherwise,
please take a moment now to vote.
Sincerely,
/s/ James A. Bowen
James A. Bowen
Chairman of the Board
The address and phone number of First Trust Advisors L.P. and
First Trust Strategic High Income Fund III are
120 East Liberty Drive, Wheaton, IL 60187 and 630-765-8000.
NOBO
[LOGO OMITTED] FIRST TRUST
120 Liberty Drive, Wheaton, IL 60187
September 21, 2008
Re: FIRST TRUST STRATEGIC HIGH INCOME FUND III
Dear Valued Shareholder:
We need your help. We still need to get your proxy voting instructions for the
Special Meeting of Shareholders of First Trust Strategic High Income Fund III.
You are one of the largest shareholders who have yet to vote.
The Meeting is scheduled to be held on Wednesday, October 14th at 4:00 p.m.
Central Time at the offices of First Trust Advisors L.P., advisor to the Fund,
located at 120 East Liberty Drive, Suite 400, Wheaton, Illinois 60187. In early
September you should have received proxy materials seeking your vote for the
Special Meeting of Shareholders requesting your vote on two proposals. The first
proposal is to approve a new investment sub-advisory agreement among the Fund,
First Trust Advisors L.P. and Hyperion Brookfield Asset Management, Inc. The
second proposal is to approve a change in the Fund's industry concentration
policy from being concentrated in residential mortgage-backed securities to
being non-concentrated.
Your vote is very important. Every shareholder's vote counts regardless of the
number of shares owned. As a shareholder of record of the First Trust Strategic
High Income Fund III, your participation is critical to the outcome of this
Meeting. If sufficient voting participation is not received by October 14th
additional expenses of further solicitation efforts could be incurred.
Please cast your vote today. If you need another copy of the Proxy Statement,
have any proxy-related questions, please call 1-866-530-8634 for assistance.
We have set up the following voting methods so that you will find one to be
convenient and vote your shares today.
[GRAPHIC OMITTED] 1. Vote by Touch-tone Phone. You may cast your vote by
telephone by calling the toll-free number found on the
enclosed proxy ballot(s).
[GRAPHIC OMITTED] 2. Vote Through the Internet. You may cast your vote
using the Internet by logging into the Internet address
located on the enclosed proxy ballot(s) and following
the instructions on the website.
[GRAPHIC OMITTED] 3. Vote by Mail. You may cast your vote by signing,
dating and mailing the enclosed proxy ballot in the
postage-prepaid return envelope provided. If convenient
for you, please utilize one of the voting options above
so that your vote will be received no later than
October 14th.
Thank you for your assistance with this important matter. If you have voted
since this letter was mailed, we thank you for casting your vote. Otherwise,
please take a moment now to vote.
Sincerely,
/s/ James A. Bowen
James A. Bowen
Chairman of the Board
The address and phone number of First Trust Advisors L.P. and
First Trust Strategic High Income Fund III are
120 East Liberty Drive, Wheaton, IL 60187 and 630-765-8000.
OBO