Listed Index Fund JPX-Nikkei Index 400

Invested principal is not guaranteed and may incur losses where the value of your investment principal will fall below par as the result of a decline in market price or the NAV. All gains and losses from the management of the fund belong to the investor (beneficiary). This fund also differs from bank deposits.

The fund invests primarily in stocks. The NAV of the fund may fall and investors may suffer losses due to declines in stock prices or deterioration in the financial conditions and business performance of equity issuers.

Major risks are as follows:

1. Price Fluctuation Risk In general, the price of a stock is vulnerable to company information on growth potential and profitability and changes in such information. In addition, stock prices are also vulnerable to domestic and overseas economic and political conditions and other factors. There is a risk that this fund may incur major losses in the event of stock price fluctuations or unforeseen fluctuations in stock liquidity.

2. Liquidity Risk In the event of small market scale or trading volume, when acquiring or selling securities, there is the risk of not being able to trade at the desired price due to actual market conditions as a result of the effects of large trading volume, the risk of being unable to sell at the valuation price, or the risk of trading volume being limited regardless of price highs and lows. As a result, there is the risk of suffering incalculable losses.

3. Credit Risk In general, there is a risk that this fund may incur significant losses in the event that a major crisis directly or indirectly affects the management of companies in which the fund has made investments in. Due to concerns regarding default or bankruptcy, the stock price of those companies could plummet (the value could even fall to zero), causing the fund's NAV to fall. The fund could become delisted in the event it should violate certain criteria established by financial instruments exchanges. Concerns regarding possible delisting or delisting itself can cause the stock of the issuing company to fall, leading to a material loss in the fund.

The fund's capital may be managed with short-term financial assets such as call loans or transferable certificates of deposit, however losses may be incurred as a result of default by purchasing counterparties. This can also contribute to a decline in the fund's NAV.

4. Currency Fluctuation Risk In the case of foreign currency-denominated assets, generally if the foreign exchange market moves so that the yen appreciates against the currency in which the fund's assets are held, the fund's NAV may depreciate as a result.

5. Security-lending Risk Lending of securities is accompanied by counterparty risks (default or cancellation of lending agreements as a result of bankruptcy) and as a result, there is a risk that the fund will incur unexpected losses. Following a default or cancellation of a lending agreement, when liquidation procedures are implemented using the collateral set aside in the lending agreement, the procurement cost of buying back the securities may exceed the amount of collateral due to market price fluctuations. In such cases, the fund is required to pay the difference, which may cause the fund to incur losses.

Risk of divergence between the JPX-Nikkei Index 400 and the fund's NAV

This fund will aim to match NAV volatility with the volatility of the JPX-Nikkei Index 400. Due to the following factors, however, it cannot guarantee that movements in the fund's NAV will always be consistent with that index.

• Market impact when buying or selling individual stocks as it adjusts its portfolio in response to changes in the stocks that comprise the JPX-Nikkei Index 400 and capital changes among companies, as well as various expenses, including trust fees, brokerage commissions, and audit fees.
• Management fees from the lending of securities or dividends of incorporated issues.
• The disparity between price movements of derivative transactions, such as futures trading, and that of some or all of the issues that comprise the JPX-Nikkei Index 400.

Divergence between market prices at which stocks are traded on exchanges and the fund's NAV This fund is listed on the Tokyo Stock Exchange and traded publicly, however, its market price will depend mainly on demand for the fund, its investment performance, and how attractive it is to investors in comparison with alternative investments. Accordingly, it is not possible to predict whether the fund's market price will trade above or below the NAV.
* Factors that contribute to NAV fluctuations are not limited to those listed above.

Additional Considerations

• This distribution material has been created by Amova Asset Management for the purpose of enhancing investors understanding of the Listed Index Fund JPX-Nikkei Index 400.
• The provisions stipulated in Article 37-6 of the Financial Instruments and Exchange Act (''cooling-off period'') do not apply to fund transactions.
• This fund differs from deposits or insurance policies in that it is not protected by the Deposit Insurance Corporation of Japan or the Policyholders Protection Corporation of Japan. Furthermore, units purchased from registered financial institutions, such as banks, are exempt from compensation from the Japan Investor Protection Fund.
• When the Fund faces big redemption causing short term cash requirement or sudden change in the main trading market condition, there can be temporal decline in the liquidity of holding assets, resulting in the risks that Fund unable to trade securities at the expected market prices or appraised prices, or encounters limitation in trading volume. This may result in the negative influence on NAV, suspension of redemption applications, or delay in making payment of redemption.
• When applying to invest in this fund, please make the decision to invest carefully after taking the time to read in detail the pre-agreement documents provided to you and other relevant material.