< Disclaimer for the English Overview
of the Delivery Prospectus of Listed Tracers US Government
Bond 0-2years Ladder (No Currency Hedge) >This document provides an overview of the Japanese “Summary Prospectus”(the “Delivery Prospectus”) of Listed Tracers US Bond 0-2 Year Ladder (NoCurrency Hedge) (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 ofthe content of this document, Nikko Asset Management Co., Ltd. cannot
guarantee the accuracy or completeness as differences of interpretation may
arise between the English and Japanese languages. In the event of any
inconsistency between this document in English and the Japanese version, theJapanese version shall prevail, except to the extent prohibited by the applicablelaw of any jurisdiction where the units of the Fund are sold. In addition, thisdocument is not a translation of the entire Delivery Prospectus, but an English
overview of the Delivery Prospectus, which means that some of the informationin 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 and conditions, there is no
guarantee that a corresponding update or modification will be made to thisEnglish 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 this English 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 for the purchase of thesesecurities (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 AssetManagement Co., Ltd.
1

Explanatory Booklet on the Investment Trust(English Overview of the Delivery Prospectus)

February 10, 2024

Listed Tracers US Government Bond
0-2years Ladder (No Currency Hedge)
Nickname: JoJo Tr US Bond 0-2 Ladder(No Currency Hedge)

Open-end Investment Trust, Overseas, Bonds, ETF
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.

●This prospectus
is publishedto the provisions of Article 13 of theEstablishedand managedpursuant
byFinancial Instruments and Exchange Act (No. 25 of 1948).
Please read this document carefully before deciding to subscribe to units of theFund.
●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 thewebsite of the Management Company. You can also obtain a copy of the Prospectus
Issued upon Request from a Distributor. If you do so, please make a personal record to that
effect.
●This document includes the main contents outlined in the trust deeds. The complete text ofthe 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.
2

● When a significant amendment is made to the content of the Fund, we will confirm theintention of investors (beneficiaries) in advance under the Act on Investment Trust andInvestment 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 invitation for subscription to Listed Tracers US Government Bond
0-2years Ladder (No Currency Hedge), which is extended by way of this prospectus, theManagement Company filed a securities registration statement with the Director-General of the
Kanto Local Finance Bureau on September 13, 2023 pursuant to the provisions of Article 5 of
the Financial Instruments and Exchange Act. The filing became effective on September 29,
2023.

Product Classification
Unit-Type/

Segmentation by Attribute

Eligible

Open-end

Eligible

Investments

Independent

Eligible

Investment

Market(Source of

Segment

Investments

Trust

Open-end

Timing of

GeographicalAccounting

Areas of

PeriodInvestment

Quarterly

North America

Income)Overseas

Bonds

Bonds, Public

ETF

Bonds

Currency
Hedging

No

Please refer to the Investment Trusts Association, Japan website for definitions of products classification and segmentation by attribute athttps://www.toushin.or.jp/.
*Currency Hedging described in segmentation by attribute indicates whether or not to hedge the currency fluctuation risk against Japaneseyen.

Management Company Details
Name:
Date of establishment:
Capital:Nikko Asset Management Co., Ltd.
December 1, 1959
17,363.04 million yen

Total net asset value of investment trust assets under management:

27,510.5 billion yen(As of the end of November 2023)

Listed Tracers is a series of Nikko Asset Management's ETFs
that follows* (traces) rule-based investing.
*This ETF is passively managed in accordancewith a rules-based approach, but as there is nocorresponding index to track, it falls under the
category of "Domestic Actively Managed ETF"
under TSE’s classification.

3

Objective and Characteristics of the Fund
Objective of the Fund
The Fund mainly invests in U.S. government bond with a remaining maturity of two
years or less, aiming to secure income and growth of the trust assets.

Characteristics of the Fund

1.

The Fund invests in U.S. government bond with a remaining
maturity of two years or less.
・In principle, the Fund invests into four groups according to their remaining maturity:
6 months or less, more than 6 months but less than 12 months, more than 12 months
but less than 18 months, and more than 18 months but less than 24 months. The
Fund invests in each group in approximately equal amounts, taking liquidity andtrading costs into consideration. (=a bond ladder)
・Bond futures and foreign exchange forward contracts may be used to realize thesame gains and losses similar to holding the underlying assets.
・In investing in foreign currency-denominated assets, in principle, currency hedging
is not carried out.

2.

*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 traded at
any time during trading hours.
・Units may be traded in blocks of 10 units (as of the date when the securities
registration statement was filed).
・Brokers determine trading commissions.
・The method of trading is generally the same as that for stocks.

3.
4.

*Please contact your broker for further information.

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

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

45.

Units may not be exchanged for public and corporate bonds.

Investment Restrictions
・Investment ratio in stocks shall be 10% or less of the total amount of trust assets.
・There is no restriction on the investment ratio for assets denominated in foreign currencies.
Distribution 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.

About the Fund’s bond ladder management■Image of the Fund’s bond ladder management

The above is an image of the Fund's bond allocation by a remaining maturity.
■The reference index of the Fund“The ICE BofA 1-Year U.S. Treasury Bond Index (no currency hedging, yen basis (TTM))" will be used as
the reference index.
*The index is the ICE BofA 1-Year U.S. Treasury Bond Index converted into yen by Nikko AssetManagement. This index is a reference index and is not a benchmark for the Fund.
* The ICE BofA 1-Year U.S. Treasury Bond Index is an index published by ICE Data Indices, LLC, and isbased on the performance of a one-month holding of U.S. Treasury bonds with a remaining maturity of
approximately one year (but not exceeding one year) and a rollover to U.S. Treasury bonds with the same
maturity in the following month repeatedly.

Copyrights to The ICE BofA 1-Year U.S. Treasury Bond Index
SOURCE ICE DATA INDICES, LLC (“ICE DATA”), IS USED WITH PERMISSION. ICE® IS A REGISTERED
TRADEMARK OF ICE DATA OR ITS AFFILIATES AND BOFA® IS A REGISTERED TRADEMARK OFBANK OF AMERICA CORPORATION LICENSED BY BANK OF AMERICA CORPORATION AND ITS
5

AFFILIATES ("BOFA") AND MAY NOT BE USED WITHOUT BOFA'S PRIOR WRITTEN APPROVAL. ICE
DATA, ITS AFFILIATES AND THEIR RESPECTIVE THIRD PARTY SUPPLIERS DISCLAIM ANY AND ALL
WARRANTIES AND REPRESENTATIONS, EXPRESS AND/OR IMPLIED, INCLUDING ANYWARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE,
INCLUDING THE INDICES, INDEX DATA AND ANY DATA INCLUDED IN, RELATED TO, OR DERIVED
THEREFROM. NEITHER ICE DATA, ITS AFFILIATES NOR THEIR RESPECTIVE THIRD PARTYSUPPLIERS SHALL BE SUBJECT TO ANY DAMAGES OR LIABILITYWITH RESPECT TO THE
ADEQUACY, ACCURACY, TIMELINESS OR COMPLETENESS OF THE INDICES OR THE INDEX DATA
OR ANY COMPONENT THEREOF, AND THE INDICES AND INDEX DATA AND ALL COMPONENTS
THEREOF ARE PROVIDED ON AN “AS IS” BASIS AND YOUR USE IS AT YOUR OWN RISK. ICE DATA,ITS AFFILIATES AND THEIR RESPECTIVE THIRD PARTY SUPPLIERS DO NOT SPONSOR, ENDORSE,
OR RECOMMEND NIKKO ASSET MANAGEMENT CO., LTD., OR ANY OF ITS PRODUCTS ORSERVICES.

Investment Risks
Please refer to “Matters to Consider” on our website below for the related risk.
https://en.nikkoam.com/etf/2093-tr-us0-2-nohedge

Past Performance
Please refer to “Net Asset Value and Performance” on our website below for the past
performance.
https://en.nikkoam.com/etf/2093-tr-us0-2-nohedge

6Procedures, Fees, and Other Items■ Subscription Memorandum
Subscription Units

Units to be determined by the distributors starting at no less than 2,000*Please contact the distributor.

Subscription Price

The NAV as of the next business day on which the subscription is accepted.

Subscription
Payment

To be paid by the day indicated by the distributor.
One unit of at least 2,000 units

Redemption Units*Units to be determined by the distributor.
*A beneficiary may ask a distributor to buy back 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

The NAV as of the next business day on which 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 request for redemption is made.

Business Hours for
Subscription and
Redemption

As a rule, applications for subscriptions and redemptions that are completed by 3
p.m. on the days distributors are open for business are deemed to have been
accepted on that day. It must be pursuant to the procedures established by the
distributor.

Subscription Period

From October 2, 2023 to January 28, 2025
*The subscription period can be renewed by filing another securities registration
statement before the expiration date shown above.

Even on the days distributors are open for business, applications for subscriptions
will not be accepted on the days below. Please contact the distributor for moredetails.

Non-acceptance Days
for Subscriptions

1)

When the application day for subscriptions is two business days prior to theaccounting date. (For a period of two business days, beginning threebusiness days prior to the accounting date when the accounting date falls on
a non-business day.)2)

When the application day for subscriptions is non-business day for New Yorkstock exchange or banks in New York.

3)

In addition to the days referred to in 1) and 2) above, any time themanagement company determines that unavoidable circumstances may
prevent it from making investment in accordance with the basic policies set
forth in the trust deeds.

Even on the days distributors are open for business, applications for redemptions
will not be accepted on the days below. Please contact the distributor for moredetails.

Non-acceptance Days 1)
for Redemptions

When the application day for redemptions is for a period of two businessdays, beginning three business days prior to the accounting date. (For aperiod of three business days, beginning four business days prior to theaccounting date when the accounting date falls on a non-business day.)2)

When the application day for redemptions is non-business day for New York7

stock exchange or banks in New York.
3)

In addition to the days referred to in 1) and 2) above, any time themanagement company determines that unavoidable circumstances may
prevent it from making investment in accordance with the basic policies set
forth in the trust deeds.

Restrictions on
Redemptions

Based on the size of the Fund or the product characteristics, restrictions may beplaced on the timing or volume of large redemption units to avoid adverse effects on
the Funds' management.

Suspension orCancellation of
Subscription,
Redemption
Applications

The management company may suspend acceptance of applications forsubscription or requests for redemptions, or cancel applications for subscriptions
or requests for redemptions that have already been accepted in the event thattrading on a stock exchange is suspended, trading of foreign exchange issuspended, settlement functions are halted, or the management company
determines that there are some other unavoidable reasons.

Trust Term

Unlimited (launch date: October 2, 2023)
Early termination is possible in any of the following cases:
・If the units are delisted from all the financial instruments exchanges on which
they have been listed.

Early Termination

Early termination may be carried out in any of the following events:
・If the total AUM of the Fund falls below JPY 1 billion after November 11, 2026.
・If it is deemed advantageous for beneficiaries, or・If unavoidable circumstances arise.

Closing of AccountOn the 10th day of February, May, August, and November of each year.
Distributions are paid four times a year in accordance with the income distribution policy.

Income Distribution

Maximum Trust
Money*As a rule, the trustee shall transfer income to beneficiaries to the bank accountdesignated in advance by the beneficiary on the day specified by the managementcompany but within 40 days from the end of each calculation period. When abeneficiary has signed a separate agreement with his or her broker in connection
with the treatment of income distribution, payment will be made pursuant to theprovisions of such agreement.

JPY 1 trillion
Notifications are posted on the management company website.

Public Notification

Investment Reports

URL: www.nikkoam.com/*In the event that the notification cannot be posted due to unavoidable
circumstances, this will be published in The Nikkei Shimbun.

As defined in the Act on Investment Trusts and Investment Corporations,investment reports are not prepared and published.
For tax purposes, the Fund is treated as exchange-traded fund (ETF).

Tax Treatment

・Publicly offered Equity Investment Trusts are eligible for the Nippon Individual
Savings Accounts (NISA) if they meet certain requirements under the tax law.
・The Fund is eligible for the "Growth Quota (Specific Tax Exemption Management
Account)" under the NISA, but the handling may differ depending on the distributor.
Please contact your distributor for details.
・The dividends received deduction will not apply.

8

・The system excluding dividends from gross revenue will not apply.

9

There is additional information on this page that does not appear on the original
Japanese Delivery Prospectus.

Fund Expenses and Taxes
Fund Expenses
Expenses to be borne directly by investors
Independently set by Distributors
Subscription
Fee

Redemption
Fee*Please contact your distributor for further information.
*Subscription fee is compensation for explanation and information providing about theFund or investment environment, and is also including expense of clerical processingof the subscription.
Independently set by Distributors*Please contact your distributor for further information.
*Exchange fee is compensation for clerical processing of the exchange.

Amount to be
Retained in
Trust Assets

Not applicable

Costs paid indirectly by the customer for the trust assets (paid from the Fund)
TER(TotalExpenseRatio)

0.0930% (TER includes Trust Fee, management fee and other costs below)※This represents the actual TER for the period of October 2, 2023 - November 10, 2023.
No more than 0.066% (0.06% excluding taxes) per annum of the daily total NAV of
the Fund.
The investment management fee is daily recorded and paid out of the trust
assets at the end of each calculation period or at the time of termination of theTrust.
<Distribution of Investment Management Expenses (annual rate)>
When the investment management expense is 0.06%, as of the date of filing of the
securities registration statement:

Investment
Management
Expenses(Trust fee)

Investment Management Expenses(Trust fee)
=NAV of investment period X Trust fee rate

The Fund

Total

Management
Company:

Trustee

0.06%

0.04%

0.02%

Management
Company
Trustee

Compensation for investment
management
Compensation for administration ofassets under management andexecution of orders from managementcompany*Figures are excluding tax. Consumption tax will be added.

10Not more than 0.03% per annum of the daily total NAV of the Fund

Other
Expensesand Fees

The following expenses are paid out of the trust assets at the times specified
by the management company: 1. Expenses for the preparation and distribution
Expenses of prospectuses and financial statements; 2. Cost for accounting and its(Expenses for incidental operations; 3. Cost for preparation of financial summary statement
preparation of (including the cost to outsource the work involved in 1. - 3.); 4. Auditing fee; 5.
prospectus
Expenses for listing the Fund; and 6. Royalties for the use of index marks used
and otherin the management of the Fund will be paid out of the trust assets at a time
expenses)determined by the Management Company.
* Auditing fee is an expense paid to the audit firm for the auditing of the
Fund.
Brokerage commissions on securities in the portfolio, expenses for custody ofassets in foreign countries, interest on borrowings, and interest on advances etc.
Commissions are paid out of the trust assets each time they are incurred.* The figures forand other
items such as the rate and maximum amount cannot be provided in advancefees
as they fluctuate in line with investment performance and other factors.
Brokerage

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.

11

Tax Treatment
Tax treatment for 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 todeclare for separate taxation at 20.315%. When a beneficiary has chosen a designated accountwith 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 not necessary.)
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, and choose either
separated taxation, based on declaration, or consolidated taxation (under which tax credits for
dividends will not apply).

3)

Taxation upon cancellation or termination
・Gains upon cancellation or termination (capital gains) are deemed to be income from transfer andthus have to be filed to declare for separate taxation at 20.315%. When a beneficiary has chosena 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 not necessary.)- By filing a tax return, you can offset losses upon sale (capital losses) against capital gains fromlisted stocks, dividends etc. from listed stocks, and interest income from public and corporate
bonds and such like (as long as separated taxation has been chosen upon declaration). In
addition, gains on sale (capital gains), income distributions, and interest income from public andcorporate bonds etc. (if separated taxation has been chosen upon declaration) can be offset
against capital losses from listed stocks and such like.
-

When investing through the Nippon Individual Savings Account (NISA), dividend income and transfer
income from newly purchased publicly offered stock investment trusts are exempt from taxation for an
unlimited period up to a certain amount each year. The tax exemption is available only to those whomeet certain conditions, such as opening a tax-exempt account with a distributor, and who purchaseproducts that meet the requirements of the tax law. For details, please contact the distributor.

- 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.

1213