< Disclaimer for the English Overview of
the Delivery Prospectus of
Listed Index Fund S&P500 Futures Inverse>
This document provides an overview of the Japanese “Summary Prospectus” (the “Delivery Prospectus”) of
Listed Index Fund S&P500 Futures Inverse (the “Fund”) in English. The Japanese Delivery Prospectus is
the offering document. This document in English is not required by law or any regulation.
While every effort has been made to ensure the accuracy or completeness of the content of this document,
Nikko Asset Management Co., Ltd. cannot guarantee the accuracy or completeness as differences ofinterpretation may arise between the English and Japanese languages. In the event of any inconsistency
between this document in English and the Japanese version, the Japanese version shall prevail, except tothe extent prohibited by the applicable law of any jurisdiction where the units of the Fund are sold. In
addition, this document is not a translation of the entire Delivery Prospectus, but an English overview of the
Delivery Prospectus, which means that some of the information in the Delivery Prospectus has been
simplified, modified, or omitted.
Except as otherwise indicated herein, this material is based on the most recent Japanese version of the
Delivery Prospectus. In case of any update to or modification of the Japanese version of the terms andconditions, there is no guarantee that a corresponding update or modification will be made to this English
document.
This English overview of the Delivery Prospectus has been prepared by Nikko Asset Management Co., Ltd.
for English speaking investors for information purposes. Investors should not subscribe for these securities
solely relying on this document, as this is not a full translation of the original Delivery Prospectus. As thisEnglish document may differ from the Japanese Delivery Prospectus as explained above, this document
does not contain or constitute, and should not be relied upon as an offer or invitation to make an offer forthe purchase of these securities (including units of the Fund) to any person or entity in any jurisdiction.
Neither this material nor any part hereof may be reproduced, transmitted, reprinted, or redistributed without
the prior written authorization of Nikko Asset Management Co., Ltd.

Explanatory Booklet on the Investment Trust(English Overview of the Delivery Prospectus)
April 20, 2024

Listed Index Fund
S&P500 Futures Inverse
Nickname: JoJo S&P500 Inverse
Open-end Investment Trust, Overseas, Equities, ETF, Index typeThis document is not a translation of the entire Delivery Prospectus, but an English overview of the
Delivery Prospectus, which means that some of the information in the Delivery Prospectus has been
simplified, modified, or omitted.
This fund restricts US persons (including US residents, legal persons and other entities which areestablished under US law or which have their principal place of business in the US and pension plans
for their officers and employees, and estates and trusts, the income of which is subject to US incometax) from purchasing or holding units of the fund.
●This prospectus is published pursuant to the provisions of Article 13 of the Financial Instruments
and Exchange Act (No. 25 of 1948).
Please read this document carefully before deciding to subscribe to units of the Fund.
●The prospectus for the Fund provided under Article 15, Paragraph 3 of the Financial
Instruments and Exchange Act (hereinafter referred to as the "Prospectus Issued upon
Request") can be read or downloaded from the website of the Management Company. You canalso obtain a copy of the Prospectus Issued upon Request from a Distributor. If you do so, please make apersonal record to that effect.
●This document includes the main contents outlined in the trust deeds. The complete text of the trust deeds
is provided in the Prospectus Issued upon Request.
●For information on the NAV or Distributors of the Fund, please contact the Management Company.
Management Company (the party issuing investment instructions for the Fund)
Nikko Asset Management Co., Ltd.
Registration Number: Director of the Kanto Local Financial Bureau (Financial instruments firms) No. 368
Website: www.nikkoam.com/+813-6447-6653 (9 a.m.-5 p.m., excluding Saturdays, Sundays and public holidays)
Trustee (the party responsible for custody and management of Fund assets)
Sumitomo Mitsui Trust Bank, Limited
Established and managed by

Nikko Asset Management Co., Ltd.

● When a significant amendment is made to the content of the fund, we will confirm the intention of
investors (beneficiaries) in advance under the Act on Investment Trust and Investment
Corporations (No. 198 of 1951).
● The fund assets are classified and managed by the Trustee under the Trust Act (No. 108 of
2006).
●In connection with the subscription to "Listed Index Fund S&P500 Futures Inverse", which iscarried out via this prospectus, the management company submitted a securities registration
statement on April 19, 2024 to the Director-General of the Kanto Local Finance Bureau pursuant
to the provisions of Article 5 of the Financial Instruments and Exchange Act. The filing became
effective on the next business day after the filing date.

Product Classification
UnitType/Open
Eligible-end
MarketInvestment
Trust

Open-end Overseas

Segmentation by Attribute

Geographic
Eligible
Timing ofInvestments Independent Supplementary Eligible
al Areas of Currency
Accounting(Source of Segment Classification Investments
Investmen Hedge
PeriodIncome)t

Equities

ETF

Index type

Other
assets(Stock price
Annuallyindex
futures
trade))

North
AmericaYes(Fullhedging)

Index
Followed
Other(S&P 500
Futures
InverseDaily Index
ExcessReturn)Please refer to the Investment Trusts Association, Japan website for definitions of products classification and segmentation by
attribute at https://www.toushin.or.jp/.
*Currency Hedging described in segmentation by attribute indicates whether or not to hedge the currency fluctuation risk
against Japanese yen.

Management Company Details
Name:
Date of establishment:

Nikko Asset Management Co., Ltd.
December 1, 1959

Capital:17,363.04 million yen
Total net asset value of investment trust assets under management: 28,894.6 billion yen(As of the end of January 2024)

Contents
Page No.
Objective and Characteristics of the Fund .................................................. 1
Investment Risks ............................................................................................ 4
Past Performance ......................................................................................... 4
Procedures, Fees, and Other Considerations ............................................. 5
Additional Items ............................................................................................ 11

Objective and Characteristics of the Fund
Objective of the FundThe fund seeks the net asset value per unit to track the performance of the S&P 500
Futures Inverse Daily Index Excess Return by making daily adjustments so that the
total market value of short U.S. stock index futures position is approximately equal to
the net asset value, in addition to investing primarily in domestic and foreign public andcorporate bonds.
* The S&P 500 Futures Inverse Daily Index Excess Return is an index calculated by-1 times the daily return of the S&P 500 Futures Index Excess Return. The base dateis September 9, 1997 and the index value on that date is calculated as 1000 points.
*

Excess returns in futures index does not take interest rates into account.

*

The volatility of the S&P 500 Futures Inverse Daily Index Excess Return is not necessarily -1
times that of the S&P 500 Futures Index Excess Return when compared with period of morethan two days due to compounding effects and other factors.

Copyrights of the "S&P 500 Futures Inverse Daily Index Excess Return"The "S&P 500 Futures Inverse Daily Index Excess Return" is a product of S&P Dow Jones
Indices LLC or its affiliates (“SPDJI”), and has been licensed for use by Nikko AssetManagement Co., Ltd.. S&P®, S&P 500®, US 500, The 500, iBoxx®, iTraxx® and CDX® aretrademarks of S&P Global, Inc. or its affiliates (“S&P”); Dow Jones® is a registeredtrademark of Dow Jones Trademark Holdings LLC (“Dow Jones”); These trademarks havebeen licensed for use by SPDJI and sublicensed for certain purposes by Nikko AssetManagement Co., Ltd.. "Listed Index Fund S&P500 Futures Inverse" is not sponsored,
endorsed, sold or promoted by SPDJI, Dow Jones, S&P, their respective affiliates and noneof such parties make any representation regarding the advisability of investing in suchproduct(s) nor do they have any liability for any errors, omissions, or interruptions of the "S&P
500 Futures Inverse Daily Index Excess Return".

－1－

Characteristics of the FundThe fund seeks investment results that track the movement of
the S&P 500 Futures Inverse Daily Index Excess Return.

• The fund seeks the net asset value per unit to track the performance of the
S&P 500 Futures Inverse Daily Index Excess Return by making daily
adjustments so that the total market value of short U.S. stock index futures
position is approximately equal to the net asset value, in addition toinvesting primarily in domestic and foreign bonds.
* The Fund is substantially managed by Nikko Asset Management Americas,
Inc..
* The Fund may invest in Money Account Mother Fund that aim to securestable income by investing in public and corporate bonds.
* The Fund seeks to reduce the currency fluctuations risk through currency
hedging, but this does not completely eliminate the currency fluctuations
risk. When hedging against foreign exchange fluctuation risk, if the shortterm interest rate of JPY is lower than that of the underlying currency, thehedging cost will be incurred.
* The investment management described above may not be carried out due
to market and financial conditions.

Units are listed on Tokyo Stock Exchange and can be tradedat any time during trading hours.
• Units may be traded in blocks of 10 unit (as of the date when the securities
registration statement was filed).
• The brokers determine trading commissions.
• The method of trading is generally the same as that for stocks.
* Please contact your broker for further information.

Units are subscribed for with cash.
• Units are subscribed using the NAV on the following business day when
the subscription is accepted.

Units may be redeemed with a request for redemption.
• Units may be redeemed by the NAV on the following business day whenredemption is accepted.

Units may not be exchanged for public and corporate bonds .

－2－

Main Investment Restrictions• There is no restriction as to the investment ratio in stocks.
• There is no restriction on the investment ratio for assets denominated in foreign currencies.
Dividend Policy• As a general rule, the full amount of dividends and other income arising from the trust
assets is distributed after deduction of expenses.
*There is no guarantee for the amount and payment of dividends in the future.

－3－

Investment Risks
Please refer to "Matters to Consider" on our website below for the related risk.

https://en.nikkoam.com/etf/2240-sp500-inverse

Past Performance
Please refer to "Net Asset Value and Performance" on our website below for the past performance.

https://en.nikkoam.com/etf/2240-sp500-inverse－4－

Procedures, Fees, and Other Considerations
Subscription Memorandum
Subscription Units

Units to be determined by the distributors starting at no less than 1,000*Please contact the distributor.

Subscription Price

NAV on the following business day the subscription is accepted.

Subscription
MethodPlease make the payment by the day designated by the distributor.

Redemption Unit

One unit of at least 1,000 units*Units to be determined by the distributor.
*A beneficiary may ask a Distributor to buyback his or her Units where the total
number of Units owned is less than the minimum-trading unit for the Units
established by the stock exchange. Please contact the distributors for details.

Redemption Price

NAV on the following business day the redemption is accepted.

Redemption
Proceeds

As a rule, payment will be made from the fifth business day after and including
the day on which a redemption request is made.

Business Hours for

As a rule, applications for subscription and redemption that are completed by 3 p.m.
on the days Distributors are open for business are deemed to have accepted onthat day. It must be pursuant to the procedures established by the Distributor.

Subscription and
Redemption
Subscription
PeriodFrom April 20, 2024 to October 18, 2024
*The subscription period can be renewed by filing another securities registration
statement before the expiration date shown above.
Even on the days where the distributor is open for business, applications forsubscription will not be accepted on the following days. Please contact the distributors
for details.

Non-acceptanceDays for
Subscription

1) When the application day for subscription is two business days prior to theaccounting date. (For a period of two business days, beginning three business days
prior to the accounting date when the accounting date falls on non-business day.)2) When the application day for subscription is non-business day for the New York
Stock Exchange, Chicago Mercantile Exchange, and banks in New York.
3) In addition to the days referred to 1) and 2), any time the Management Company
determines that unavoidable circumstances have developed that may prevent it frominvesting in accordance with the basic policies set forth in the trust deeds.

Even on the days where the distributor is open for business, applications forredemption will not be accepted on the following days. Please contact the
distributors for details.

Non-acceptanceDays forRedemption

1) When the application day for redemption is for a period of two business days,
beginning three business days prior to the accounting date. (For a period of threebusiness days, beginning four business days prior to the accounting date when
the accounting date falls on non-business day.)2) When the application day for redemption is non-business day for the New York
Stock Exchange, Chicago Mercantile Exchange, and banks in New York
3) In addition to the days referred to 1) and 2), any time the Management
Company determines that unavoidable circumstances have developed that may
prevent it from investing in accordance with the basic policies set forth in the trust
deeds.
－5－

Restrictions on
Subscription

Restrictions on
Redemption

This fund restricts US persons (including US residents, legal persons andother entities which are established under US law or which have their principal
place of business in the US and pension plans for their officers andemployees, and estates and trusts, the income of which is subject to US
income tax) from purchasing or holding units of the fund.
Based on the size of the Fund or the product characteristics, restrictions may beplaced on the timing and amount of large number of units for redemption to avoid
adverse effects on the fund’s management.
The Management Company may stop accepting requests for subscriptions orredemption in the following cases:
Regarding U.S. stock index futures in which the Fund primarily trades:

Suspension orCancellation of
Subscription,
Redemption
Applications

Trust Term

1. When the day's session for financial instruments exchange is not held orsuspended (for the stock price index futures trading mentioned above)
2. When all or a part of trading of the stock index futures contracts are notexecuted due to unavoidable circumstances such as bit and offer price at theend of the day’s session in the exchange reach the daily price limit set byfinancial instruments exchange.
The Management Company may suspend acceptance of applications forsubscription or requests for redemption, or cancel applications for subscription orrequests for a redemption that have already been accepted in the event thattrading on the financial instruments exchanges is suspended, trading of foreignexchange is suspended, settlement functions are halted, or any unavoidable
circumstances arise.
Unlimited (set up date: March 14, 2023)
The fund will be terminated early in any of the following cases:• If the units are delisted on all the financial exchanges.

Early Termination

Closing Date

• S&P 500 Futures Inverse Daily Index Excess Return is delisted.
• If any amendment to the trust deed deemed necessary by the Management
Company or Trustee as a result of a change in the calculation method or similarof the S&P 500 Futures Inverse Daily Index Excess Return is not accepted by awritten resolution.
The fund may be terminated early in any of the following cases:• If the total NAV falls below JPY 1 billion after January 23, 2024.
• If it is deemed advantageous for beneficiaries, or• If unavoidable circumstances arise.
January 20th each year
Distributions are paid once a year in accordance with the distribution policy.

Income Distribution

Maximum Amountof Trust Money
Public Notification* In general, the Trustee will pay to each beneficiary their income distribution by
wire transfer on the day specified by the Management Company but within 40
days of the end of each calculation period in the bank account designated inadvance by the beneficiary. Where a beneficiary has signed a separate
agreement with his or her broker in connection with the treatment of income
distribution, payment will be made pursuant to the provisions of such agreement.
1 trillion yen
Electronic public notices are posted on the website of the Management Company.
URL: www.nikkoam.com/* In the event that electronic public notices cannot be posted due to unavoidable－6－

circumstances, this will be published in The Nikkei.

Investment Report

As defined in the Act on Investment Trust and Investment Corporations,investment reports are not prepared and published.

Tax Treatment

For tax purposes, the fund is treated as an exchange-traded fund (ETF).
• Publicly-offered Equity Investment Trusts are eligible for the Nippon Individual
Savings Account (NISA) if they meet certain requirements under the tax law .
• The Fund is not eligible for the NISA.
• The dividends received deduction will not apply.
• The system excluding dividends from gross revenue will not apply.

－7－

Fund Expenses and Taxes
Fund Expenses
Expenses to be borne directly by investors
Subscription
Independently set by Distributors*Please contact your Distributor for further information.
Fee
Redemption
Fee

Independently set by Distributors*Please contact your Distributor for further information.

Amount to be
Retained in
None
Trust Assets
Expenses to be borne indirectly by investors from trust assets

No more than 0.396% (0.36% excluding taxes) per annum of the daily total
NAV of the FundThe investment management fee is daily recorded and paid out of the trust assets at theend of each calculation period or at the time of termination of the Trust.
<Distribution of Investment Management Expenses(annual rate)>
When the above is 0.36%, as of the filing date of the securities registration statement.
Investment
Management
Expenses(Trust fee)

Total
0.36%

Trust Fee Rate (annual rate)
Managementcompany
0.32%

Management
Company
Trustee

Trustee
0.04%

Compensation for investment
management
Compensation for administration ofassets under management andexecution of orders from Management
Company*The rate in the table is excluding taxes. Consumption tax is separately charged.
*The fees for the investment advisory company are paid out of the fees received by the abovementioned investment management company.

No more than 0.1% per annum of fund’s total daily net assets

Other
Expenses andFees

Expenses(Expenses for
preparation of
Prospectus
and
other
expenses)

Brokerage
Commissions
and
Other
Fees

during trust period of the fund.
1. Expenses for the drawing up and issuing prospectus and financial
statements, 2. Cost for accounting and its related duties 3. Cost for
preparation of a consolidated financial summary (including outsourcing
fees if (1) - (3) are outsourced), 4. Auditing fees, 5. Fees related tolisting the fund, 6. "The S&P 500 Futures Inverse Daily Index Excess
Return" trademark fees and others are paid out of the trust assets atthe times specified by the Management Company. * Auditing fee is an
expense paid to audit firm for auditing of the Fund.
Brokerage commissions on securities in the portfolio, expenses forcustody of assets in foreign countries, interest on borrowings, intereston advances, and other fees will be paid out of the fund.* The figures
for items such as the rate and maximum amount cannot be provided
in advance as they fluctuate in line with investment performance andother factors. As the fund does not currently lend securities, there
will be no fees in relation to that.
－8－

The total amount of expenses of the fund to be borne by investors varies according to holding length andinvestment status, and thus cannot be shown.

－9－

Tax Treatment
Tax treatment for Japanese individual investors
1) Taxation upon sale of units• Gains on sale (capital gains) are deemed to be income from transfer and thus have to be
filed to declare for separate taxation at 20.315%. When a beneficiary has chosen adesignated account with tax withholding (an account with tax withholding at the taxpayer’s
option), tax will be withheld at source at 20.315% (as a general rule, tax filing is notnecessary).
2) Taxation upon receipt of income distributions• Income distributions are regarded as dividend income, and tax is withheld at source at
20.315% (as a general rule, tax filing is not necessary). You can also file a tax return, andchoose either separated taxation based on declaration, or consolidated taxation (under which
dividends received deduction will not apply).
3) Tax on Cancellation and Termination Fee• Gains upon cancellation or termination (capital gains) are deemed to be income from transfer
and thus have to be filed to declare for separate taxation at 20.315%. When a beneficiary has
chosen a designated account with tax withholding (an account with tax withholding at the
taxpayer’s option), tax will be withheld at source at 20.315% (as a general rule, tax filing is notnecessary).
* By filing a tax return, you can offset losses upon sale (capital losses) against capital gains fromlisted stocks, dividends, etc. interest income from specified public and corporate bond , etc. andsuch like (as long as separated taxation upon declaration has been chosen). In addition, gains
on sale (capital gains), income distributions and interest income from specified public andcorporate bond, etc. (if separated taxation upon declaration has been chosen) can be offset
against capital losses from listed stocks and such like.
* In cases of being applied to the foreign tax deduction, tax on distributions may differ from theaforementioned descriptions.
* The aforementioned descriptions do not apply to Japanese corporations.
* Above tax rates are as of the date when the securities registration statement was filed, so
those may change in the event that tax laws are revised. We recommend that investors consult
a tax or similar specialist for details of tax treatment.

－10－Additional Items
Q&A: About the Fluctuation of the NAV
Q. If the daily movement of NAV is -1 times that of the S&P 500 Futures Index Excess Return (hereinafter, the "S&P 500
Futures Index"), is the investment result also -1 times during the holding period?
A. Even if the daily movement of the NAV is -1 times that of the S&P 500 Futures Index, it does not mean that each
investor will receive -1 times investment results if the holding period is more than two days.

Charts Demonstrating the NAV Price Changes (when the S&P 500 Futures Index is on the rise)*Calculation of the above upside-downside ratio is rounded to one decimal place.
*Graphs and data are only examples of calculations and highlight the relation between the price change of the overall
stock market and NAV. They do not indicate the actual price movement.

－11－

Charts Demonstrating the NAV Price Changes (when the S&P500 Futures Index is on the
decline)*Calculation of the above upside-downside ratio is rounded to one decimal place.
*Graphs and data are only examples of calculations and highlight the relation between the price change of the overall
stock market and NAV. They do not indicate the actual price movement.

－12－

－13－