# EDGAR Filing Document

**Accession Number:** 0001540305
**File Stem:** 0000894189-26-001553
**Filing Date:** 2026-1
**Character Count:** 573593
**Document Hash:** 9af6f739e7d68eae7da520f9a77a9171
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0000894189-26-001553.hdr.sgml**: 20260126

**ACCESSION NUMBER**: 0000894189-26-001553

**CONFORMED SUBMISSION TYPE**: 485BPOS

**PUBLIC DOCUMENT COUNT**: 34

**FILED AS OF DATE**: 20260126

**DATE AS OF CHANGE**: 20260126

**EFFECTIVENESS DATE**: 20260131

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** ETF Series Solutions
- **CENTRAL INDEX KEY:** 0001540305

**ORGANIZATION NAME:**
- **EIN:** 000000000
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1112

**FILING VALUES:**
- **FORM TYPE:** 485BPOS
- **SEC ACT:** 1940 Act
- **SEC FILE NUMBER:** 811-22668
- **FILM NUMBER:** 26561362

**BUSINESS ADDRESS:**
- **STREET 1:** 615 EAST MICHIGAN ST
- **CITY:** MILWAUKEE
- **STATE:** WI
- **ZIP:** 53202
- **BUSINESS PHONE:** 414-287-3700

**MAIL ADDRESS:**
- **STREET 1:** 615 EAST MICHIGAN ST
- **CITY:** MILWAUKEE
- **STATE:** WI
- **ZIP:** 53202
**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** ETF Series Solutions
- **CENTRAL INDEX KEY:** 0001540305

**ORGANIZATION NAME:**
- **EIN:** 000000000
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1112

**FILING VALUES:**
- **FORM TYPE:** 485BPOS
- **SEC ACT:** 1933 Act
- **SEC FILE NUMBER:** 333-179562
- **FILM NUMBER:** 26561361

**BUSINESS ADDRESS:**
- **STREET 1:** 615 EAST MICHIGAN ST
- **CITY:** MILWAUKEE
- **STATE:** WI
- **ZIP:** 53202
- **BUSINESS PHONE:** 414-287-3700

**MAIL ADDRESS:**
- **STREET 1:** 615 EAST MICHIGAN ST
- **CITY:** MILWAUKEE
- **STATE:** WI
- **ZIP:** 53202

## Series and Classes Contracts Data

### Distillate U.S. Fundamental Stability & Value ETF (Series ID: S000063127)

| Class ID   | Class Name                                        | Ticker Symbol   |
|:---|:---|:---|
| C000204705 | Distillate U.S. Fundamental Stability & Value ETF | DSTL            |

### Distillate International Fundamental Stability & Value ETF (Series ID: S000070185)

| Class ID   | Class Name                                                 | Ticker Symbol   |
|:---|:---|:---|
| C000223218 | Distillate International Fundamental Stability & Value ETF | DSTX            |

### Distillate Small/Mid Cash Flow ETF (Series ID: S000077110)

| Class ID   | Class Name                         | Ticker Symbol   |
|:---|:---|:---|
| C000237276 | Distillate Small/Mid Cash Flow ETF | DSMC            |

?xml version='1.0' encoding='ASCII'? ck0001540305-20260126

Filed with the U.S. Securities and Exchange Commission on January 26, 2026

1933 Act Registration File No. 333-179562

1940 Act File No. 811-22668

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

**FORM N-1A**

---

| | | |
|:---|:---|:---|
| REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 | REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 | [X] |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pre-Effective Amendment No. | | [ ] |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Post-Effective Amendment No. | 1088 | [X] |

---

and

REGISTRATION STATEMENT UNDER THE INVESTMENT COMPANY ACT OF 1940 [X] <br> Amendment No. <u>1089</u> [X]

(Check appropriate box or boxes.)

**<u>ETF SERIES SOLUTIONS</u>**

(Exact Name of Registrant as Specified in Charter)

615 East Michigan Street, Milwaukee, Wisconsin 53202

(Address of Principal Executive Offices)

(Registrant's Telephone Number, including Area Code): (414) 516-1645

Kristina R. Nelson, President

ETF Series Solutions

c/o U.S. Bank Global Fund Services

615 East Michigan Street

Milwaukee, WI 53202

(Name and Address of Agent for Service)

Copy to:

Christopher D. Menconi

Morgan, Lewis & Bockius LLP

1111 Pennsylvania Avenue, NW

Washington, DC 20004-2541

As soon as practical after the effective date of this Registration Statement

(Approximate Date of Proposed Public Offering)

It is proposed that this filing will become effective

[ ] Immediately upon filing pursuant to Rule 485(b).

[X] on <u>January 31, 2026</u> pursuant to Rule 485(b).

[ ] on (date) pursuant to Rule 485(a)(1).

[ ] 60 days after filing pursuant to Rule 485(a)(1).

[ ] 75 days after filing pursuant to Rule 485(a)(2).

[ ] On (date) pursuant to Rule 485(a)(2).

If appropriate, check the following box

&nbsp;&nbsp;&nbsp;&nbsp;[ ] &nbsp;&nbsp;&nbsp;&nbsp;this post-effective amendment designates a new effective date for a previously filed post-effective amendment.

------

![distillateupdated (3).jpg](ck0001540305-20260126_g1.jpg)

Distillate U.S. Fundamental Stability & Value ETF (DSTL)

Listed on NYSE Arca, Inc.

Distillate International Fundamental Stability & Value ETF (DSTX)

Distillate Small/Mid Cash Flow ETF (DSMC)

Listed on New York Stock Exchange

PROSPECTUS

January 31, 2026

The U.S. Securities and Exchange Commission ("SEC") has not approved or disapproved of these securities or passed upon the accuracy or adequacy of this Prospectus. Any representation to the contrary is a criminal offense.

------

**TABLE OF CONTENTS**

---

| | |
|:---|:---|
| **[Distillate U.S. Fundamental Stability & Value ETF](#i3d6f51d021db4d4cb18f2295be47dfe9_10)[Summary](#i3d6f51d021db4d4cb18f2295be47dfe9_10)** | [3](#i3d6f51d021db4d4cb18f2295be47dfe9_10) |
| **[Distillate International Fundamental Stability & Value ETF](#i3d6f51d021db4d4cb18f2295be47dfe9_52)[Summary](#i3d6f51d021db4d4cb18f2295be47dfe9_52)** | [8](#i3d6f51d021db4d4cb18f2295be47dfe9_52) |
| **[Distillate Small/Mid Cash Flow ETF](#i3d6f51d021db4d4cb18f2295be47dfe9_549755814909)[Summary](#i3d6f51d021db4d4cb18f2295be47dfe9_549755814909)** | [14](#i3d6f51d021db4d4cb18f2295be47dfe9_549755814909) |
| **[Additional Information About the Funds](#i3d6f51d021db4d4cb18f2295be47dfe9_94)** | [19](#i3d6f51d021db4d4cb18f2295be47dfe9_94) |
| **[Portfolio Holdings Information](#i3d6f51d021db4d4cb18f2295be47dfe9_97)** | [24](#i3d6f51d021db4d4cb18f2295be47dfe9_97) |
| **[Management](#i3d6f51d021db4d4cb18f2295be47dfe9_100)** | [24](#i3d6f51d021db4d4cb18f2295be47dfe9_100) |
| &nbsp;&nbsp;&nbsp;[Investment Adviser](#i3d6f51d021db4d4cb18f2295be47dfe9_103) | [24](#i3d6f51d021db4d4cb18f2295be47dfe9_103) |
| &nbsp;&nbsp;&nbsp;Sub-Adviser | [25](#i3d6f51d021db4d4cb18f2295be47dfe9_106) |
| &nbsp;&nbsp;&nbsp;[Portfolio Managers](#i3d6f51d021db4d4cb18f2295be47dfe9_109) | [25](#i3d6f51d021db4d4cb18f2295be47dfe9_109) |
| **[How to Buy and Sell Shares](#i3d6f51d021db4d4cb18f2295be47dfe9_112)** | [26](#i3d6f51d021db4d4cb18f2295be47dfe9_112) |
| &nbsp;&nbsp;&nbsp;[Book Entry](#i3d6f51d021db4d4cb18f2295be47dfe9_115) | [26](#i3d6f51d021db4d4cb18f2295be47dfe9_115) |
| &nbsp;&nbsp;&nbsp;[Frequent Purchases and Redemptions of Shares](#i3d6f51d021db4d4cb18f2295be47dfe9_118) | [26](#i3d6f51d021db4d4cb18f2295be47dfe9_118) |
| &nbsp;&nbsp;&nbsp;[Determination of NAV](#i3d6f51d021db4d4cb18f2295be47dfe9_121) | [26](#i3d6f51d021db4d4cb18f2295be47dfe9_121) |
| &nbsp;&nbsp;&nbsp;[Fair Value Pricing](#i3d6f51d021db4d4cb18f2295be47dfe9_124) | [27](#i3d6f51d021db4d4cb18f2295be47dfe9_124) |
| &nbsp;&nbsp;&nbsp;[Investments by Registered Investment Companies](#i3d6f51d021db4d4cb18f2295be47dfe9_127) | [27](#i3d6f51d021db4d4cb18f2295be47dfe9_127) |
| &nbsp;&nbsp;&nbsp;[Delivery of Shareholder Documents – Householding](#i3d6f51d021db4d4cb18f2295be47dfe9_130) | [27](#i3d6f51d021db4d4cb18f2295be47dfe9_130) |
| **[Dividends, Distributions, and Taxes](#i3d6f51d021db4d4cb18f2295be47dfe9_133)** | [27](#i3d6f51d021db4d4cb18f2295be47dfe9_133) |
| **[Distribution](#i3d6f51d021db4d4cb18f2295be47dfe9_136)** | [29](#i3d6f51d021db4d4cb18f2295be47dfe9_136) |
| **[Premium/Discount Information](#i3d6f51d021db4d4cb18f2295be47dfe9_139)** | [30](#i3d6f51d021db4d4cb18f2295be47dfe9_139) |
| **[Additional Notices](#i3d6f51d021db4d4cb18f2295be47dfe9_142)** | [30](#i3d6f51d021db4d4cb18f2295be47dfe9_142) |
| **[Financial Highlights](#i3d6f51d021db4d4cb18f2295be47dfe9_145)** | [31](#i3d6f51d021db4d4cb18f2295be47dfe9_145) |

---

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**DISTILLATE U.S. FUNDAMENTAL STABILITY & VALUE ETF SUMMARY**<br>

**Investment Objective** 

The Distillate U.S. Fundamental Stability & Value ETF (the "Fund") seeks long-term capital appreciation.

**Fees and Expenses of the Fund** 

The following table describes the fees and expenses you may pay if you buy, hold, and sell shares of the Fund ("Shares"). **You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the table and Example below.** 

---

| | |
|:---|:---|
| **Annual Fund Operating Expenses *(expenses that you pay each year as a percentage of the value of your investment)*** | **Annual Fund Operating Expenses *(expenses that you pay each year as a percentage of the value of your investment)*** |
| Management Fees | 0.39% |
| Distribution and/or Service (12b-1) Fees | 0.00% |
| Other Expenses | 0.00% |
| **Total Annual Fund Operating Expenses** | **0.39%** |

---

**Expense Example** 

This Example is intended to help you compare the cost of investing in the Fund with the cost of investing in other funds. The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then continue to hold or redeem all of your Shares at the end of those periods. The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:

---

| | | | |
|:---|:---|:---|:---|
| **1 Year** | **3 Years** | **5 Years** | **10 Years** |
| $40 | $125 | $219 | $493 |

---

**Portfolio Turnover** 

The Fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the Example, affect the Fund's performance. For the fiscal year ended September 30, 2025, the Fund's portfolio turnover rate was 70% of the average value of its portfolio.

**Principal Investment Strategy** 

The Fund is an actively managed exchange-traded fund ("ETF") that seeks to achieve its investment objective by investing in U.S.-listed equity securities, selected based on the Adviser's assessment of a company's valuation, cash flow stability, and balance sheet quality ("fundamental factors"), as described below.

In selecting securities for the Fund, Distillate Capital Partners LLC, the Fund's investment adviser ("Distillate" or the "Adviser"), first considers companies that meet the Adviser's criteria for (i) profitability, (ii) historical cash flow, and (iii) liquidity (based on the average daily traded value of the security).

Companies that satisfy such criteria are then reviewed using the Adviser's proprietary measures of: (i) the company's valuation, which takes into account the company's free cash flow yield (a measure comparing a company's normalized free cash flow to its enterprise value), and (ii) the volatility of the company's historical and projected cash flows ("cash flow stability"). The Adviser then seeks to identify the most undervalued companies using these proprietary measures. A company's "normalized" free cash flow reflects its estimated free cash flow, adjusted to account for nonrecurring items. Such "normalized" values enable a more accurate comparison of different companies' regular free cash flows. A company's enterprise value is calculated based primarily on the company's market capitalization and indebtedness. Of the companies meeting these criteria, the Fund invests in large-capitalization equity securities. A large-capitalization company is defined as one of the roughly 500 largest U.S.-listed companies based on free-float market capitalization.

In assessing a company's balance sheet quality, the Adviser considers a company's financial indebtedness. Typically, the Fund does not invest in companies with significant leverage, based on the Adviser's proprietary debt-to-income calculation.

The Adviser evaluates investments applying the fundamental factor criteria described above and adjusts the Fund's portfolio accordingly on at least a quarterly basis. The Adviser, in its discretion, may include or exclude companies from the Fund's portfolio based on unusual data or fundamental conditions that the Adviser believes would cause a security's inclusion or exclusion to be

------

inconsistent with the Fund's principal investment strategy. Although the Adviser seeks to select companies that demonstrate fundamental stability, the value of such companies may still be subject to volatility over short or long periods of time.

As part of this review, the Adviser generally sells a stock when it no longer satisfies the Adviser's investment criteria discussed above. A stock will be sold if it becomes overvalued as measured using the Adviser's measure of free cash flow. This could be the result of stock price appreciation, free cash flow erosion, or other eligible stocks presenting even more attractive valuation opportunities. Additionally, a stock will be sold if the company takes on additional debt or reports a reduction in income such that it no longer satisfies the Adviser's measure of financial indebtedness. Finally, a stock may be sold if it no longer satisfies the Adviser's measure of cash flow stability.

Under normal circumstances, at least 80% of the Fund's net assets, plus borrowings for investment purposes, will be invested in U.S. assets. For purposes of this policy, the Fund considers securities that are traded principally in the United States to be "U.S. assets". As of January 13, 2026, the Fund had significant exposure to the health care, industrials, and information technology sectors.

**Principal Investment Risks** 

The principal risks of investing in the Fund are summarized below. The principal risks are presented in alphabetical order to facilitate finding particular risks and comparing them with other funds. Each risk summarized below is considered a "principal risk" of investing in the Fund, regardless of the order in which it appears. As with any investment, there is a risk that you could lose all or a portion of your investment in the Fund. Some or all of these risks may adversely affect the Fund's net asset value per share ("NAV"), trading price, yield, total return and/or ability to meet its objectives. For more information about the risks of investing in the Fund, see the section in the Fund's Prospectus titled "Additional Information About the Fund".

• **Equity Market Risk**. The equity securities held in the Fund's portfolio may experience sudden, unpredictable drops in value or long periods of decline in value. This may occur because of factors that affect securities markets generally or factors affecting specific issuers, industries, or sectors in which the Fund invests. Common stocks are generally exposed to greater risk than other types of securities, such as preferred stock and debt obligations, because common stockholders generally have inferior rights to receive payment from issuers. In addition, local, regional or global events such as war, including Russia's invasion of Ukraine, acts of terrorism, spread of infectious diseases or other public health issues (such as the global pandemic caused by the COVID-19 virus), recessions, rising inflation, trade wars and tariffs, or other events could have a significant negative impact on the Fund and its investments. Such events may affect certain geographic regions, countries, sectors and industries more significantly than others. Such events could adversely affect the prices and liquidity of the Fund's portfolio securities or other instruments and could result in disruptions in the trading markets.

• **ETF Risks**. The Fund is an ETF, and, as a result of an ETF's structure, it is exposed to the following risks:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Authorized Participants, Market Makers, and Liquidity Providers Concentration Risk.* The Fund has a limited number of financial institutions that may act as Authorized Participants ("APs"). In addition, there may be a limited number of market makers and/or liquidity providers in the marketplace. To the extent either of the following events occur, Shares may trade at a material discount to NAV and possibly face delisting: (i) APs exit the business or otherwise become unable to process creation and/or redemption orders and no other APs step forward to perform these services, or (ii) market makers and/or liquidity providers exit the business or significantly reduce their business activities and no other entities step forward to perform their functions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Costs of Buying or Selling Shares.* Due to the costs of buying or selling Shares, including brokerage commissions imposed by brokers and bid-ask spreads, frequent trading of Shares may significantly reduce investment results and an investment in Shares may not be advisable for investors who anticipate regularly making small investments.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Shares May Trade at Prices Other Than NAV.* As with all ETFs, Shares may be bought and sold in the secondary market at market prices. Although it is expected that the market price of Shares will approximate the Fund's NAV, there may be times when the market price of Shares is more than the NAV intra-day (premium) or less than the NAV intra-day (discount) due to supply and demand of Shares or during periods of market volatility. This risk is heightened in times of market volatility, periods of steep market declines, and periods when there is limited trading activity for Shares in the secondary market, in which case such premiums or discounts may be significant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Trading*. Although Shares are listed for trading on the NYSE Arca, Inc. (the "Exchange") and may be traded on U.S. exchanges other than the Exchange, there can be no assurance that Shares will trade with any volume, or at all, on any stock exchange. There can be no assurance that an active trading market for such Shares will develop or be maintained. In stressed market conditions, the liquidity of Shares may begin to mirror the liquidity of the Fund's underlying portfolio holdings, which can be significantly less liquid than Shares, and this could lead to differences between the market price of the Shares and the underlying value of those Shares.

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• **Large-Capitalization Investing Risk**. The securities of large-capitalization companies may be relatively mature compared to smaller companies and therefore subject to slower growth during times of economic expansion. Large-capitalization companies may also be unable to respond quickly to new competitive challenges, such as changes in technology and consumer tastes.

• **Management Risk.** The Fund is actively managed and may not meet its investment objective based on the Adviser's success or failure to implement investment strategies for the Fund. The Adviser relies on quantitative data that may prove to be incorrect or incomplete.

• **Sector Risk**. To the extent the Fund invests more heavily in particular sectors of the economy, its performance will be especially sensitive to developments that significantly affect those sectors. The Fund may invest a significant portion of its assets in the following sectors and, therefore, the performance of the Fund could be negatively impacted by events affecting each of these sectors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;*◦ Health Care Sector Risk.* Companies in the health care sector are subject to extensive government regulation and their profitability can be significantly affected by restrictions on government reimbursement for medical expenses, rising costs of medical products and services, pricing pressure (including price discounting), limited product lines, an increased emphasis on the delivery of healthcare through outpatient services, loss or impairment of intellectual property rights and litigation regarding product or service liability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Industrials Sector Risk.* The industrials sector can be significantly affected by, among other things, worldwide economic growth, supply and demand for specific products and services, rapid technological developments, international political and economic developments, environmental issues, tariffs and trade barriers, and tax and governmental regulatory policies. As the demand for, or prices of, industrials increase, the value of the Fund's investments generally would be expected to also increase. Conversely, declines in the demand for, or prices of, industrials generally would be expected to contribute to declines in the value of such securities. Such declines may occur quickly and without warning and may negatively impact the value of the Fund and your investment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Information Technology Sector Risk.* Market or economic factors impacting information technology companies and companies that rely heavily on technological advances could have a significant effect on the value of the Fund's investments. The value of stocks of information technology companies and companies that rely heavily on technology is particularly vulnerable to rapid changes in technology product cycles, rapid product obsolescence, government regulation and competition, both domestically and internationally, including competition from foreign competitors with lower production costs. Stocks of information technology companies and companies that rely heavily on technology, especially those of smaller, less-seasoned companies, tend to be more volatile than the overall market. Information technology companies are heavily dependent on patent and intellectual property rights, the loss or impairment of which may adversely affect profitability.

**Performance** 

The following performance information indicates some of the risks of investing in the Fund. The bar chart shows the Fund's performance for the calendar years ended December 31. The table illustrates how the Fund's average annual returns for the 1-year, 5-year, and since inception periods compare with those of the S&P 500® Index, a broad measure of US equity market performance, as well as the Russell 1000 Value Total Return. The Fund's past performance, before and after taxes, does not necessarily indicate how it will perform in the future. Updated performance information is available on the Fund's website at www.distillatefunds.com/dstl.

Prior to April 3, 2023, the Fund operated as an index-based ETF that sought to track the performance of the Distillate U.S. Fundamental Stability & Value Index. Consequently, performance during periods prior to April 3, 2023 does not reflect the Fund's current investment strategy as an actively-managed ETF. The Fund's performance may have differed if the Fund's current strategy had been in place.

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**Calendar Year Total Returns**![549755814482](ck0001540305-20260126_g2.jpg)

During the period of time shown in the bar chart, the Fund's highest quarterly return was 22.57% for the quarter ended June 30, 2020, and the lowest quarterly return was -19.39% for the quarter ended March 31, 2020.

**Average Annual Total Returns**

**For the Periods Ended December 31, 2025** 

---

| | | | |
|:---|:---|:---|:---|
| **Distillate U.S. Fundamental Stability & Value ETF** | **1 Year** | **5 Year** | **Since Inception**<br>**(10/23/2018)** |
| Return Before Taxes | 8.62% | 11.63% | 14.05% |
| Return After Taxes on Distributions | 8.27% | 11.28% | 13.72% |
| Return After Taxes on Distributions and Sale of Fund Shares | 5.34% | 9.22% | 11.50% |
| **S&P 500® Index**<br>(reflects no deduction for fees, expenses, or taxes)  | 17.88% | 14.42% | 15.43% |
| **Russell 1000 Value Total Return**<br>(reflects no deduction for fees, expenses, or taxes)  | 15.91% | 11.33% | 10.61% |

---

After-tax returns are calculated using the historical highest individual federal marginal income tax rates during the period covered by the table above and do not reflect the impact of state and local taxes. Actual after-tax returns depend on an investor's tax situation and may differ from those shown. After-tax returns shown are not relevant to investors who hold their Shares through tax-deferred arrangements such as an individual retirement account ("IRA") or other tax-advantaged accounts. In certain cases, the figure representing "Return After Taxes on Distributions and Sale of Shares" may be higher than the other return figures for the same period. A higher after-tax return results when a capital loss occurs upon redemption and provides an assumed tax deduction that benefits the investor.

**Management** 

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| | |
|:---|:---|
| *Adviser* | Distillate Capital Partners LLC |
| *Portfolio Managers* | Jay A. Beidler, CFA, Portfolio Manager for Distillate, and Matthew T. Swanson, CFA, Portfolio Manager for Distillate, are responsible for the day-to-day management of the Fund. Messrs. Beidler and Swanson have been portfolio managers of the Fund since April 2023. |

---

**Purchase and Sale of Shares** 

Shares are listed on the Exchange, and individual Shares may only be bought and sold in the secondary market through brokers at market prices, rather than NAV. Because Shares trade at market prices rather than NAV, Shares may trade at a price greater than NAV (premium) or less than NAV (discount).

The Fund issues and redeems Shares at NAV only in large blocks known as "Creation Units," which only APs (typically, broker-dealers) may purchase or redeem. The Fund generally issues and redeems Creation Units in exchange for a portfolio of securities and/or a designated amount of U.S. cash.

Investors may incur costs attributable to the difference between the highest price a buyer is willing to pay to purchase Shares (bid) and the lowest price a seller is willing to accept for Shares (ask) when buying or selling Shares in the secondary market (the "bid-ask

------

spread"). Recent information about the Fund, including its NAV, market price, premiums and discounts, and bid-ask spreads is available on the Fund's website at www.distillatefunds.com.

**Tax Information**

Fund distributions are generally taxable as ordinary income, qualified dividend income, or capital gains (or a combination), unless your investment is in an IRA or other tax-advantaged account. Distributions on investments made through tax-deferred arrangements may be taxed later upon withdrawal of assets from those accounts.

**Financial Intermediary Compensation** 

If you purchase Shares through a broker-dealer or other financial intermediary (such as a bank) (an "Intermediary"), the Adviser or its affiliates may pay Intermediaries for certain activities related to the Fund, including participation in activities that are designed to make Intermediaries more knowledgeable about exchange traded products, including the Fund, or for other activities, such as marketing, educational training or other initiatives related to the sale or promotion of Shares. These payments may create a conflict of interest by influencing the Intermediary and your salesperson to recommend the Fund over another investment. Any such arrangements do not result in increased Fund expenses. Ask your salesperson or visit the Intermediary's website for more information.

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**DISTILLATE INTERNATIONAL FUNDAMENTAL STABILITY & VALUE ETF SUMMARY**<br>

**Investment Objective** 

The Distillate International Fundamental Stability & Value ETF (the "Fund") seeks long-term capital appreciation.

**Fees and Expenses of the Fund** 

The following table describes the fees and expenses you may pay if you buy, hold, and sell shares of the Fund ("Shares"). **You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the table and Example below.** 

---

| | |
|:---|:---|
| **Annual Fund Operating Expenses *(expenses that you pay each year as a percentage of the value of your investment)*** | **Annual Fund Operating Expenses *(expenses that you pay each year as a percentage of the value of your investment)*** |
| Management Fees | 0.55% |
| Distribution and/or Service (12b-1) Fees | 0.00% |
| Other Expenses  | 0.00% |
| **Total Annual Fund Operating Expenses** | **0.55%** |

---

**Expense Example** 

This Example is intended to help you compare the cost of investing in the Fund with the cost of investing in other funds. The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then continue to hold or redeem all of your Shares at the end of those periods. The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:

---

| | | | |
|:---|:---|:---|:---|
| **1 Year** | **3 Years** | **5 Years** | **10 Years** |
| $56 | $176 | $307 | $689 |

---

**Portfolio Turnover** 

The Fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the Example, affect the Fund's performance. For the fiscal year ended September 30, 2025, the Fund's portfolio turnover rate was 91% of the average value of its portfolio.

**Principal Investment Strategy** 

The Fund is an actively managed exchange-traded fund ("ETF") that seeks to achieve its investment objective by investing in globally listed large- and mid-capitalization equity securities and depositary receipts of non-U.S. companies, selected based on the Adviser's assessment of a company's valuation, cash flow stability, and balance sheet quality ("fundamental factors"), as described below.

In selecting securities for the Fund, Distillate Capital Partners LLC, the Fund's investment adviser ("Distillate" or the "Adviser"), first considers companies that meet the Adviser's criteria for (i) profitability, (ii) historical cash flow, and (iii) liquidity (based on the average daily traded value of the security).

Companies that satisfy such criteria are then reviewed using the Adviser's proprietary measures of: (i) the company's valuation, which takes into account the company's free cash flow yield (a measure comparing a company's normalized free cash flow to its enterprise value), and (ii) the volatility of the company's historical and projected cash flows ("cash flow stability"). The Adviser then seeks to identify the most undervalued companies using these proprietary measures. A company's "normalized" free cash flow reflects its estimated free cash flow, adjusted to account for nonrecurring items. Such "normalized" values enable a more accurate comparison of different companies' regular free cash flows. A company's enterprise value is calculated based primarily on the company's market capitalization and indebtedness.

In assessing a company's balance sheet quality, the Adviser considers a company's financial indebtedness. Typically, the Fund does not invest in companies with significant leverage, based on the Adviser's proprietary debt-to-income calculation.

The Adviser evaluates investments applying the fundamental factor criteria described above and adjusts the Fund's portfolio accordingly on at least a quarterly basis. The Adviser, in its discretion, may include or exclude companies from the Fund's portfolio based on unusual data or fundamental conditions that the Adviser believes would cause a security's inclusion or exclusion to be inconsistent with the Fund's principal investment strategy. Although the Adviser seeks to select companies that demonstrate fundamental stability, the value of such companies may still be subject to volatility over short or long periods of time.

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The Fund may invest in companies in the following geographic regions: the Americas (North America ex-United States & South America), Europe, the Middle East & Africa, Japan, China/Hong Kong, and Asia & Australia ex-Japan/China/Hong Kong. For companies headquartered in China/Hong Kong, only such companies' Hong Kong-listed securities are eligible for consideration. The Fund eliminates U.S. companies (*i.e.*, those with their headquarters in the United States) from consideration.

The Adviser considers the liquidity of the country's stock markets, accessibility to foreign investors, operational complexity, price transparency, and capital controls, when selecting securities for the Fund. The Adviser may include a depositary receipt in lieu of a foreign ordinary share. In addition, the Fund may include companies organized in emerging market nations or whose shares trade primarily in emerging market nations.

Companies in the real estate development and real estate investment trust industries, as defined by the FactSet Revere Business Industry Classification Systems ("RBICS"), are eliminated from consideration.

As part of this review, the Adviser generally sells a stock when it no longer satisfies the Adviser's investment criteria discussed above. A stock will be sold if it becomes overvalued as measured using the Adviser's measure of free cash flow. This could be the result of stock price appreciation, free cash flow erosion, or other eligible stocks presenting even more attractive valuation opportunities. Additionally, a stock will be sold if the company takes on additional debt or reports a reduction in income such that it no longer satisfies the Adviser's measure of financial indebtedness. Finally, a stock may be sold if it no longer satisfies the Adviser's measure of cash flow stability.

As of January 13, 2026, the Fund had significant exposure to companies in Europe and Japan. As of January 13, 2026, the Fund had significant exposure to the consumer sector.

**Principal Investment Risks** 

The principal risks of investing in the Fund are summarized below. The principal risks are presented in alphabetical order to facilitate finding particular risks and comparing them with other funds. Each risk summarized below is considered a "principal risk" of investing in the Fund, regardless of the order in which it appears. As with any investment, there is a risk that you could lose all or a portion of your investment in the Fund. Some or all of these risks may adversely affect the Fund's net asset value per share ("NAV"), trading price, yield, total return and/or ability to meet its objectives. For more information about the risks of investing in the Fund, see the section in the Fund's Prospectus titled "Additional Information About the Funds".

• **Capital Controls and Sanctions Risk**. Economic conditions, such as volatile currency exchange rates and interest rates, political events, military action and other conditions may, without prior warning, lead to foreign government intervention (including intervention by the U.S. government with respect to foreign governments, economic sectors, foreign companies and related securities and interests) and the imposition of capital controls and/or sanctions, which may also include retaliatory actions of one government against another government, such as seizure of assets. Capital controls and/or sanctions include the prohibition of, or restrictions on, the ability to transfer currency, securities or other assets. Capital controls and/or sanctions may also impact the ability of the Fund to buy, sell or otherwise transfer securities or currency, negatively impact the value and/or liquidity of such instruments, adversely affect the trading market and price for Shares, and cause the Fund to decline in value.

• **Currency Exchange Rate Risk**. The Fund invests primarily in investments denominated in non-U.S. currencies or in securities that provide exposure to such currencies. Changes in currency exchange rates and the relative value of non-U.S. currencies will affect the value of the Fund's investment and the value of your Shares. Currency exchange rates can be very volatile and can change quickly and unpredictably. As a result, the value of an investment in the Fund may change quickly and without warning and you may lose money.

*•* **Depositary Receipt Risk**. Depositary Receipts involve risks similar to those associated with investments in foreign securities, such as changes in political or economic conditions of other countries and changes in the exchange rates of foreign currencies. Depositary Receipts listed on U.S. exchanges are issued by banks or trust companies and entitle the holder to all dividends and capital gains that are paid out on the underlying foreign shares ("Underlying Shares"). When the Fund invests in Depositary Receipts as a substitute for an investment directly in the Underlying Shares, the Fund is exposed to the risk that the Depositary Receipts may not provide a return that corresponds precisely with that of the Underlying Shares.

*•* **Emerging Markets Risk**. The Fund may invest in companies organized in emerging market nations. Investments in securities and instruments traded in developing or emerging markets, or that provide exposure to such securities or markets, can involve additional risks relating to political, economic, or regulatory conditions not associated with investments in U.S. securities and instruments or investments in more developed international markets. Such conditions may impact the ability of the Fund to buy, sell or otherwise transfer securities, adversely affect the trading market and price for Shares and cause the Fund to decline in value.

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*•* **Equity Market Risk**. The equity securities held in the Fund's portfolio may experience sudden, unpredictable drops in value or long periods of decline in value. This may occur because of factors that affect securities markets generally or factors affecting specific issuers, industries, or sectors in which the Fund invests. Common stocks are generally exposed to greater risk than other types of securities, such as preferred stock and debt obligations, because common stockholders generally have inferior rights to receive payment from issuers. In addition, local, regional or global events such as war, including Russia's invasion of Ukraine, acts of terrorism, spread of infectious diseases or other public health issues (such as the global pandemic caused by the COVID-19 virus), recessions, rising inflation, trade wars and tariffs, or other events could have a significant negative impact on the Fund and its investments. Such events may affect certain geographic regions, countries, sectors and industries more significantly than others. Such events could adversely affect the prices and liquidity of the Fund's portfolio securities or other instruments and could result in disruptions in the trading markets.

• **ETF Risks**. The Fund is an ETF, and, as a result of an ETF's structure, it is exposed to the following risks:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Authorized Participants, Market Makers, and Liquidity Providers Concentration Risk.* The Fund has a limited number of financial institutions that may act as Authorized Participants ("APs"). In addition, there may be a limited number of market makers and/or liquidity providers in the marketplace. To the extent either of the following events occur, Shares may trade at a material discount to NAV and possibly face delisting: (i) APs exit the business or otherwise become unable to process creation and/or redemption orders and no other APs step forward to perform these services, or (ii) market makers and/or liquidity providers exit the business or significantly reduce their business activities and no other entities step forward to perform their functions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Costs of Buying or Selling Shares.* Due to the costs of buying or selling Shares, including brokerage commissions imposed by brokers and bid-ask spreads, frequent trading of Shares may significantly reduce investment results and an investment in Shares may not be advisable for investors who anticipate regularly making small investments.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Shares May Trade at Prices Other Than NAV.* As with all ETFs, Shares may be bought and sold in the secondary market at market prices. Although it is expected that the market price of Shares will approximate the Fund's NAV, there may be times when the market price of Shares is more than the NAV intra-day (premium) or less than the NAV intra-day (discount) due to supply and demand of Shares or during periods of market volatility. This risk is heightened in times of market volatility, periods of steep market declines, and periods when there is limited trading activity for Shares in the secondary market, in which case such premiums or discounts may be significant. Because securities held by the Fund may trade on foreign exchanges that are closed when the Fund's primary listing exchange is open, there are likely to be deviations between the current price of a security and the security's last quoted price from the closed foreign market. This may result in premiums and discounts that are greater than those experienced by domestic ETFs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Trading*. Although Shares are listed for trading on the New York Stock Exchange (the "Exchange") and may be traded on U.S. exchanges other than the Exchange, there can be no assurance that Shares will trade with any volume, or at all, on any stock exchange. There can be no assurance that an active trading market for such Shares will develop or be maintained. In stressed market conditions, the liquidity of Shares may begin to mirror the liquidity of the Fund's underlying portfolio holdings, which can be significantly less liquid than Shares, and this could lead to differences between the market price of the Shares and the underlying value of those Shares.

• **Foreign Securities Risk**. Investments in non-U.S. securities involve certain risks that may not be present with investments in U.S. securities. For example, investments in non-U.S. securities may be subject to risk of loss due to foreign currency fluctuations or to political or economic instability. There may be less information publicly available about a non-U.S. issuer than a U.S. issuer. Investments in non-U.S. securities also may be subject to withholding or other taxes and may be subject to additional trading, settlement, custodial, and operational risks. These and other factors can make investments in the Fund more volatile and potentially less liquid than other types of investments. Companies in many foreign markets are not subject to the same degree of regulatory requirements, accounting standards or auditor oversight as companies in the U.S., and as a result, information about the securities in which the Fund invests may be less reliable or complete. Foreign markets often have less reliable securities valuations and greater risk associated with the custody of securities than the U.S. There may be significant obstacles to obtaining information necessary for investigations into or litigation against companies and shareholders may have limited legal remedies.

• **Geographic Investment Risk**. To the extent the Fund invests a significant portion of its assets in the securities of companies of a single country or region, it is more likely to be impacted by events or conditions affecting that country or region.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Risks Related to Investing in Europe.* The economies and markets of European countries are often closely connected and interdependent, and events in one country in Europe can have an adverse impact on other European countries. The Fund makes investments in securities of issuers that are domiciled in, or have significant operations in, member countries of the European Union ("EU") that are subject to economic and monetary controls that can adversely affect the Fund's investments. The European financial markets have experienced volatility and adverse trends in recent years and these events have

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adversely affected the exchange rate of the euro and may continue to significantly affect other European countries. Decreasing imports or exports, changes in governmental or EU regulations on trade, changes in the exchange rate of the euro, the default or threat of default by an EU member country on its sovereign debt, and/or an economic recession in an EU member country may have a significant adverse effect on the economies of EU member countries and their trading partners, including some or all of the European countries in which the Fund invests. Acts of war in Europe, including Russia's large-scale military invasion of Ukraine, and the resulting sanctions by and against European nations could also have a severe adverse effect on both European and global economies, which in turn could affect the value of the Fund's investments.

The United Kingdom ("UK") formally exited from the EU on January 31, 2020 (known as "Brexit"), and effective December 31, 2020, the UK ended a transition period during which it continued to abide by the EU's rules and the UK's trade relationships with the EU were generally unchanged. Following this transition period, the impact on the UK and European economies and the broader global economy could be significant, resulting in negative impacts, such as increased volatility and illiquidity, and potentially lower economic growth of markets in the UK, Europe and globally, which may adversely affect the value of the Fund's investments.

Russia's large-scale invasion of Ukraine on February 24, 2022 has led to various countries imposing economic sanctions on certain Russian individuals and Russian corporate and banking entities. A number of jurisdictions have also instituted broader sanctions on Russia. Further, as of the date of this Prospectus, the Russian securities markets effectively have not been open for trading by foreign investors since February 28, 2022. Russia's military incursion and resulting sanctions could have a severe adverse effect on both regional and global economies, which in turn could affect the value of the Fund's investments.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Risks Related to Investing in Japan.* The Japanese economy may be subject to considerable degrees of economic, political and social instability, which could have a negative impact on Japanese securities. While the Japanese economy has recently emerged from a prolonged economic downturn, Japan's economic growth rate may remain relatively low in the future. In addition, Japan is subject to the risk of natural disasters, such as earthquakes, volcanoes, typhoons and tsunamis. Additionally, decreasing U.S. imports, new trade regulations, changes in the U.S. dollar exchange rates, a recession in the United States or continued increases in foreclosure rates may have an adverse impact on the economy of Japan. Japan also has few natural resources, and any fluctuation or shortage in the commodity markets could have a negative impact on Japanese securities.

• **Management Risk.** The Fund is actively managed and may not meet its investment objective based on the Adviser's success or failure to implement investment strategies for the Fund. The Adviser relies on quantitative data that may prove to be incorrect or incomplete.

• **Market Capitalization Risk**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Large-Capitalization Investing Risk*. The securities of large-capitalization companies may be relatively mature compared to smaller companies and therefore subject to slower growth during times of economic expansion. Large-capitalization companies may also be unable to respond quickly to new competitive challenges, such as changes in technology and consumer tastes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Mid-Capitalization Investing Risk.* The securities of mid-capitalization companies may be more vulnerable to adverse issuer, market, political, or economic developments than securities of large-capitalization companies, but they may also be subject to slower growth than small-capitalization companies during times of economic expansion. The securities of mid-capitalization companies generally trade in lower volumes and are subject to greater and more unpredictable price changes than large capitalization stocks or the stock market as a whole. Mid-capitalization companies may be particularly sensitive to changes in interest rates, government regulation, borrowing costs, and earnings.

*•* **Portfolio Turnover Risk.** The Fund may frequently buy and sell portfolio securities and other assets to rebalance the Fund's exposure to specific securities. Higher portfolio turnover may result in the Fund paying higher levels of transaction costs and generating greater tax liabilities for shareholders. Portfolio turnover risk may cause the Fund's performance to be less than you expect.

• **Sector Risk**. To the extent the Fund invests more heavily in particular sectors of the economy, its performance will be especially sensitive to developments that significantly affect those sectors. The Fund may invest a significant portion of its assets in the following sectors and, therefore, the performance of the Fund could be negatively impacted by events affecting each of these sectors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Consumer Sectors Risk.* The success of consumer product manufacturers and retailers is tied closely to the performance of domestic and international economies, interest rates, exchange rates, competition, consumer confidence, tariffs and trade barriers, changes in demographics, and consumer preferences. Companies in consumer-oriented sectors depend heavily on

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disposable household income and consumer spending, and may be strongly affected by social trends and marketing campaigns. These companies may be subject to severe competition, which may have an adverse impact on their profitability.

**Performance** 

The following performance information indicates some of the risks of investing in the Fund. The bar chart shows the Fund's performance for the calendar years ended December 31. The table illustrates how the Fund's average annual returns for the 1-year, 5-year, and since inception periods compare with those of the Morningstar Global Markets ex-US Index, a broad measure of global ex-US equity market performance. The Fund's past performance, before and after taxes, does not necessarily indicate how it will perform in the future. Updated performance information is available on the Fund's website at www.distillatefunds.com/dstx.

Prior to April 3, 2023, the Fund operated as an index-based ETF that sought to track the performance of the Distillate International Fundamental Stability & Value Index. Consequently, performance during periods prior to April 3, 2023 does not reflect the Fund's current investment strategy as an actively-managed ETF. The Fund's performance may have differed if the Fund's current strategy had been in place.

**Calendar Year Total Returns**

![549755816051](ck0001540305-20260126_g3.jpg)

During the period of time shown in the bar chart, the Fund's highest quarterly return was 13.69% for the quarter ended December 31, 2022, and the lowest quarterly return was -12.70% for the quarter ended September 30, 2022.

**Average Annual Total Returns** 

**For the Periods Ended December 31, 2025** 

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| | | | |
|:---|:---|:---|:---|
| **Distillate International Fundamental Stability & Value ETF** | **1 Year** | **5 Years** | **Since Inception**<br>**(12/14/2020)** |
| Return Before Taxes | 41.53% | 6.99% | 7.59% |
| Return After Taxes on Distributions | 40.66% | 6.58% | 7.18% |
| Return After Taxes on Distributions and Sale of Fund Shares | 25.39% | 5.58% | 6.07% |
| **Morningstar Global Markets ex-US Index**<br>(reflects no deduction for fees, expenses, or taxes) | 31.60% | 7.78% | 8.28% |

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After-tax returns are calculated using the historical highest individual federal marginal income tax rates during the period covered by the table above and do not reflect the impact of state and local taxes. Actual after-tax returns depend on an investor's tax situation and may differ from those shown. After-tax returns shown are not relevant to investors who hold their Shares through tax-deferred arrangements such as an individual retirement account ("IRA") or other tax-advantaged accounts. In certain cases, the figure representing "Return After Taxes on Distributions and Sale of Shares" may be higher than the other return figures for the same period. A higher after-tax return results when a capital loss occurs upon redemption and provides an assumed tax deduction that benefits the investor.

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**Management** 

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| | |
|:---|:---|
| *Adviser* | Distillate Capital Partners LLC |
| *Sub-Adviser* | Vident Asset Management ("Vident" or the "Sub-Adviser") |
| *Portfolio Managers* | Jay A. Beidler, CFA, Portfolio Manager for Distillate; Matthew T. Swanson, CFA, Portfolio Manager for Distillate; Rafael Zayas, CFA, SVP, Head of Portfolio Management and Trading of Vident; and Austin Wen, CFA, Senior Portfolio Manager of Vident are responsible for the day-to-day management of the Fund. Messrs. Beidler and Swanson have been portfolio managers of the Fund since April 2023, and Messrs. Zayas and Wen have been portfolio managers of the Fund since its inception in December 2020. |

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**Purchase and Sale of Shares** 

Shares are listed on the Exchange, and individual Shares may only be bought and sold in the secondary market through brokers at market prices, rather than NAV. Because Shares trade at market prices rather than NAV, Shares may trade at a price greater than NAV (premium) or less than NAV (discount).

The Fund issues and redeems Shares at NAV only in large blocks known as "Creation Units," which only APs (typically, broker-dealers) may purchase or redeem. The Fund generally issues and redeems Creation Units in exchange for a portfolio of securities and/or a designated amount of U.S. cash.

Investors may incur costs attributable to the difference between the highest price a buyer is willing to pay to purchase Shares (bid) and the lowest price a seller is willing to accept for Shares (ask) when buying or selling Shares in the secondary market (the "bid-ask spread"). Recent information about the Fund, including its NAV, market price, premiums and discounts, and bid-ask spreads is available on the Fund's website at www.distillatefunds.com.

**Tax Information**

Fund distributions are generally taxable as ordinary income, qualified dividend income, or capital gains (or a combination), unless your investment is in an IRA or other tax-advantaged account. Distributions on investments made through tax-deferred arrangements may be taxed later upon withdrawal of assets from those accounts.

**Financial Intermediary Compensation** 

If you purchase Shares through a broker-dealer or other financial intermediary (such as a bank) (an "Intermediary"), the Adviser or its affiliates may pay Intermediaries for certain activities related to the Fund, including participation in activities that are designed to make Intermediaries more knowledgeable about exchange traded products, including the Fund, or for other activities, such as marketing, educational training or other initiatives related to the sale or promotion of Shares. These payments may create a conflict of interest by influencing the Intermediary and your salesperson to recommend the Fund over another investment. Any such arrangements do not result in increased Fund expenses. Ask your salesperson or visit the Intermediary's website for more information.

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**DISTILLATE SMALL/MID CASH FLOW ETF SUMMARY**<br>

**Investment Objective** 

The Distillate Small/Mid Cash Flow ETF (the "Fund") seeks capital appreciation.

**Fees and Expenses of the Fund** 

The following table describes the fees and expenses you may pay if you buy, hold, and sell shares of the Fund ("Shares"). **You may pay other fees, such as brokerage commissions and other fees to financial intermediaries, which are not reflected in the table and Example below.** 

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| | |
|:---|:---|
| **Annual Fund Operating Expenses *(expenses that you pay each year as a percentage of the value of your investment)*** | **Annual Fund Operating Expenses *(expenses that you pay each year as a percentage of the value of your investment)*** |
| Management Fees | 0.55% |
| Distribution and/or Service (12b-1) Fees | 0.00% |
| Other Expenses | 0.00% |
| **Total Annual Fund Operating Expenses** | **0.55%** |

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**Expense Example** 

This Example is intended to help you compare the cost of investing in the Fund with the cost of investing in other funds. The Example assumes that you invest $10,000 in the Fund for the time periods indicated and then continue to hold or redeem all of your Shares at the end of those periods. The Example also assumes that your investment has a 5% return each year and that the Fund's operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:

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| | | | |
|:---|:---|:---|:---|
| **1 Year:** | **3 Years:** | **5 Years** | **10 Years** |
| $56 | $176 | $307 | $689 |

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**Portfolio Turnover** 

The Fund pays transaction costs, such as commissions, when it buys and sells securities (or "turns over" its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Shares are held in a taxable account. These costs, which are not reflected in annual fund operating expenses or in the Example, affect the Fund's performance. For the fiscal year ended September 30, 2025, the Fund's portfolio turnover rate was 112% of the average value of its portfolio.

**Principal Investment Strategy**

The Fund is an actively managed exchange-traded fund ("ETF") that seeks to achieve its investment objective by investing in equity securities of small- and mid-capitalization companies. The Fund considers companies whose market capitalization, at the time of purchase, places them in the lowest 10% of the total market capitalization of the U.S. equity market to be small-cap and mid-cap companies. Under these market capitalization guidelines, based on market capitalization data as of January 13, 2026, the market capitalization of such a company would be equal to or less than $13,481 million. This threshold will change due to market conditions.

In selecting securities for the Fund, Distillate Capital Partners LLC, the Fund's investment adviser ("Distillate" or the "Adviser") considers companies that: (i) are headquartered in the United States; (ii) have sufficient liquidity (based on the average daily traded value of the security); (iii) have reported free cash flow data for the last three fiscal years; and (iv) have a forward earnings before interest, taxes, depreciation and amortization ("EBITDA") estimate. Further, companies for which there is a negative forward 12 month free cash flow estimate from FactSet Research Systems, Inc. will be eliminated from consideration.

Companies are then reviewed using the Adviser's proprietary measure of the company's free cash flow yield (a measure comparing a company's normalized free cash flow to its enterprise value). In selecting securities, the Adviser seeks to identify the most undervalued companies using this proprietary measure. The Adviser also considers a company's financial indebtedness to measure quality; the Fund does typically not invest in companies with significant leverage, based on the Adviser's proprietary debt-to-income calculation. A company's valuation and leverage calculation are referred to as "fundamental factors." The Adviser may include or exclude companies from the Fund's portfolio based on unusual data or fundamental conditions that the Adviser believes would cause a security's inclusion or exclusion to go against the spirit of the fundamental factors.

The Adviser generally sells a stock when it no longer satisfies the Adviser's investment criteria discussed above. A stock will be sold if it becomes overvalued as measured using the Adviser's measure of free cash flow. This could be the result of stock price appreciation, free cash flow erosion, or other eligible stocks presenting even more attractive valuation opportunities. Additionally, a

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stock will be sold if the company takes on additional debt or reports a reduction in income such that it no longer satisfies the Adviser's measure of financial indebtedness.

Under normal circumstances, at least 80% of the Fund's net assets, plus borrowings for investment purposes, will be invested in small- and mid-capitalization companies. A company whose capitalization is no longer within the market capitalization range of small- or mid-capitalization companies (as defined herein) after the purchase of its shares by the Fund will continue to be considered a small- or mid-capitalization company for purposes of the 80% policy.

As of January 13, 2026, the Fund had significant exposure to the consumer, industrials, information technology, and energy sectors.

**Principal Investment Risks**

The principal risks of investing in the Fund are summarized below. The principal risks are presented in alphabetical order to facilitate finding particular risks and comparing them with other funds. Each risk summarized below is considered a "principal risk" of investing in the Fund, regardless of the order in which it appears. As with any investment, there is a risk that you could lose all or a portion of your investment in the Fund. Some or all of these risks may adversely affect the Fund's net asset value per share ("NAV"), trading price, yield, total return and/or ability to meet its objectives. For more information about the risks of investing in the Fund, see the section in the Fund's Prospectus titled "Additional Information About the Fund".

• **Equity Market Risk**. The equity securities held in the Fund's portfolio may experience sudden, unpredictable drops in value or long periods of decline in value. This may occur because of factors that affect securities markets generally or factors affecting specific issuers, industries, or sectors in which the Fund invests. Common stocks are generally exposed to greater risk than other types of securities, such as preferred stock and debt obligations, because common stockholders generally have inferior rights to receive payment from issuers. In addition, local, regional or global events such as war, including Russia's invasion of Ukraine, acts of terrorism, spread of infectious diseases or other public health issues (such as the global pandemic caused by the COVID-19 virus), recessions, rising inflation, trade wars and tariffs, or other events could have a significant negative impact on the Fund and its investments. Such events may affect certain geographic regions, countries, sectors and industries more significantly than others. Such events could adversely affect the prices and liquidity of the Fund's portfolio securities or other instruments and could result in disruptions in the trading markets.

• **ETF Risks**. The Fund is an ETF, and, as a result of an ETF's structure, it is exposed to the following risks:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Authorized Participants, Market Makers, and Liquidity Providers Concentration Risk.* The Fund has a limited number of financial institutions that may act as Authorized Participants ("APs"). In addition, there may be a limited number of market makers and/or liquidity providers in the marketplace. To the extent either of the following events occur, Shares may trade at a material discount to NAV and possibly face delisting: (i) APs exit the business or otherwise become unable to process creation and/or redemption orders and no other APs step forward to perform these services, or (ii) market makers and/or liquidity providers exit the business or significantly reduce their business activities and no other entities step forward to perform their functions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Costs of Buying or Selling Shares.* Due to the costs of buying or selling Shares, including brokerage commissions imposed by brokers and bid-ask spreads, frequent trading of Shares may significantly reduce investment results and an investment in Shares may not be advisable for investors who anticipate regularly making small investments.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Shares May Trade at Prices Other Than NAV.* As with all ETFs, Shares may be bought and sold in the secondary market at market prices. Although it is expected that the market price of Shares will approximate the Fund's NAV, there may be times when the market price of Shares is more than the NAV intra-day (premium) or less than the NAV intra-day (discount) due to supply and demand of Shares or during periods of market volatility. This risk is heightened in times of market volatility, periods of steep market declines, and periods when there is limited trading activity for Shares in the secondary market, in which case such premiums or discounts may be significant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Trading*. Although Shares are listed for trading on the New York Stock Exchange (the "Exchange") and may be traded on U.S. exchanges other than the Exchange, there can be no assurance that Shares will trade with any volume, or at all, on any stock exchange. There can be no assurance that an active trading market for such Shares will develop or be maintained. In stressed market conditions, the liquidity of Shares may begin to mirror the liquidity of the Fund's underlying portfolio holdings, which can be significantly less liquid than Shares, and this could lead to differences between the market price of the Shares and the underlying value of those Shares.

• **Limited Operating History Risk.** The Fund is a recently organized investment company with a limited operating history. As a result, prospective investors have a limited track record or history on which to base their investment decision.

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• **Management Risk.** The Fund is actively managed and may not meet its investment objective based on the Adviser's success or failure to implement investment strategies for the Fund. The Adviser relies on quantitative data that may prove to be incorrect or incomplete.

• **Market Capitalization Risk**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Mid-Capitalization Investing Risk.* The securities of mid-capitalization companies may be more vulnerable to adverse issuer, market, political, or economic developments than securities of large-capitalization companies, but they may also be subject to slower growth than small-capitalization companies during times of economic expansion. The securities of mid-capitalization companies generally trade in lower volumes and are subject to greater and more unpredictable price changes than large capitalization stocks or the stock market as a whole, but they may also be nimbler and more responsive to new challenges than large-capitalization companies. Some mid-capitalization companies have limited product lines, markets, financial resources, and management personnel and tend to concentrate on fewer geographical markets relative to large-capitalization companies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Small-Capitalization Investing Risk.* The securities of small-capitalization companies may be more vulnerable to adverse issuer, market, political, or economic developments than securities of larger-capitalization companies. The securities of small-capitalization companies generally trade in lower volumes and are subject to greater and more unpredictable price changes than larger capitalization stocks or the stock market as a whole. Some small capitalization companies have limited product lines, markets, and financial and managerial resources and tend to concentrate on fewer geographical markets relative to larger capitalization companies. There is typically less publicly available information concerning smaller-capitalization companies than for larger, more established companies. Small-capitalization companies also may be particularly sensitive to changes in interest rates, government regulation, borrowing costs and earnings.

• **Portfolio Turnover Risk.** The Fund may frequently buy and sell portfolio securities and other assets to rebalance the Fund's exposure to specific securities. Higher portfolio turnover may result in the Fund paying higher levels of transaction costs and generating greater tax liabilities for shareholders. Portfolio turnover risk may cause the Fund's performance to be less than you expect.

• **Sector Risk**. To the extent the Fund invests more heavily in particular sectors of the economy, its performance will be especially sensitive to developments that significantly affect those sectors. The Fund may invest a significant portion of its assets in the following sectors and, therefore, the performance of the Fund could be negatively impacted by events affecting each of these sectors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Consumer Sectors Risk.* The success of consumer product manufacturers and retailers is tied closely to the performance of domestic and international economies, interest rates, exchange rates, competition, consumer confidence, changes in demographics and consumer preferences. Companies in the consumer staples sector, such as companies that produce or sell food, beverage, and drug retail or other household items, may be adversely impacted by changes in global and economic conditions, rising energy prices, and changes in the supply or price of commodities. Companies in the consumer discretionary sector, such as automobile, textile, retail, and media companies, depend heavily on disposable household income and consumer spending, and may be strongly affected by social trends and marketing campaigns. These companies may be subject to severe competition, which may have an adverse impact on their profitability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Energy Sector Risk.* The energy sector is comprised of energy, industrial, infrastructure, and logistics companies, and will therefore be susceptible to adverse economic, environmental, business, regulatory, or other occurrences affecting that sector. The energy sector has historically experienced substantial price volatility. At times, the performance of these investments may lag the performance of other sectors or the market as a whole. Companies operating in the energy sector are subject to specific risks, including, among others, fluctuations in commodity prices; reduced consumer demand for commodities such as oil, natural gas, or petroleum products; reduced availability of natural gas or other commodities for transporting, processing, storing, or delivering; slowdowns in new construction; extreme weather or other natural disasters; and threats of attack by terrorists on energy assets. Additionally, energy sector companies are subject to substantial government regulation and changes in the regulatory environment for energy companies may adversely impact their profitability. Over time, depletion of natural gas reserves and other energy reserves may also affect the profitability of energy companies.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Industrials Sector Risk.* The industrials sector can be significantly affected by, among other things, worldwide economic growth, supply and demand for specific products and services, rapid technological developments, international political and economic developments, environmental issues, tariffs and trade barriers, and tax and governmental regulatory policies. As the demand for, or prices of, industrials increase, the value of the Fund's investments generally would be expected to also increase. Conversely, declines in the demand for, or prices of, industrials generally would be expected to contribute to declines in the value of such securities. Such declines may occur quickly and without warning and may negatively impact the value of the Fund and your investment.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**◦** *Information Technology Sector Risk.* Market or economic factors impacting information technology companies and companies that rely heavily on technological advances could have a significant effect on the value of the Fund's investments. The value of stocks of information technology companies and companies that rely heavily on technology is particularly vulnerable to rapid changes in technology product cycles, rapid product obsolescence, government regulation and competition, both domestically and internationally, including competition from foreign competitors with lower production costs. Stocks of information technology companies and companies that rely heavily on technology, especially those of smaller, less-seasoned companies, tend to be more volatile than the overall market. Information technology companies are heavily dependent on patent and intellectual property rights, the loss or impairment of which may adversely affect profitability.

**Performance** 

The following performance information indicates some of the risks of investing in the Fund. The bar chart shows the Fund's performance for the calendar years ended December 31. The table illustrates how the Fund's average annual returns for the 1-year and since inception periods compare with the Russell 3000 Total Return, a broad measure of US equity market performance, as well as the Russell 2000 Total Return. The Fund's past performance, before and after taxes, does not necessarily indicate how it will perform in the future. Updated performance information is available on the Fund's website at www.distillatefunds.com/dsmc.

**Calendar Year Total Returns**

![549755817788](ck0001540305-20260126_g4.jpg)

During the period of time shown in the bar chart, the Fund's highest quarterly return was 12.66% for the quarter ended December 31, 2023, and the lowest quarterly return was -9.30% for the quarter ended March 31, 2025.

**Average Annual Total Returns**

**For the Periods Ended December 31, 2025** 

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| | | |
|:---|:---|:---|
| **Distillate Small/Mid Cash Flow ETF** | **1 Year** | **Since Inception**<br>**(10/05/2022)** |
| Return Before Taxes | 2.63% | 12.89% |
| Return After Taxes on Distributions | 2.33% | 12.56% |
| Return After Taxes on Distributions and Sale of Fund Shares | 1.75% | 10.10% |
| **Russell 3000 Total Return**<br>(reflects no deduction for fees, expenses, or taxes)  | 17.15% | 20.97% |
| **Russell 2000 Total Return**<br>(reflects no deduction for fees, expenses, or taxes)  | 12.81% | 12.77% |

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After-tax returns are calculated using the historical highest individual federal marginal income tax rates during the period covered by the table above and do not reflect the impact of state and local taxes. Actual after-tax returns depend on an investor's tax situation and may differ from those shown. After-tax returns shown are not relevant to investors who hold their Shares through tax-deferred arrangements such as an individual retirement account ("IRA") or other tax-advantaged accounts. In certain cases, the figure representing "Return After Taxes on Distributions and Sale of Shares" may be higher than the other return figures for the same period. A higher after-tax return results when a capital loss occurs upon redemption and provides an assumed tax deduction that benefits the investor.

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**Management** 

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| | |
|:---|:---|
| *Adviser* | Distillate Capital Partners LLC |
| *Sub-Adviser* | Vident Asset Management ("Vident" or the "Sub-Adviser") |
| *Portfolio Managers* | Jay A. Beidler, CFA, Portfolio Manager for Distillate; Matthew T. Swanson, CFA, Portfolio Manager for Distillate; Rafael Zayas, CFA, SVP, Head of Portfolio Management and Trading of Vident; and Austin Wen, CFA, Senior Portfolio Manager of Vident are responsible for the day-to-day management of the Fund. Messrs. Beidler and Swanson have been portfolio managers of the Fund since April 2023, Mr. Zayas has been a portfolio manager of the Fund since June 2020, and Mr. Wen has been a portfolio manager of the Fund since its inception in October 2018. |

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**Purchase and Sale of Shares** 

Shares are listed on the Exchange, and individual Shares may only be bought and sold in the secondary market through brokers at market prices, rather than NAV. Because Shares trade at market prices rather than NAV, Shares may trade at a price greater than NAV (premium) or less than NAV (discount).

The Fund issues and redeems Shares at NAV only in large blocks known as "Creation Units," which only APs (typically, broker-dealers) may purchase or redeem. The Fund generally issues and redeems Creation Units in exchange for a portfolio of securities and/or a designated amount of U.S. cash.

Investors may incur costs attributable to the difference between the highest price a buyer is willing to pay to purchase Shares (bid) and the lowest price a seller is willing to accept for Shares (ask) when buying or selling Shares in the secondary market (the "bid-ask spread"). Recent information about the Fund, including its NAV, market price, premiums and discounts, and bid-ask spreads is available on the Fund's website at www.distillatefunds.com.

**Tax Information**

Fund distributions are generally taxable as ordinary income, qualified dividend income, or capital gains (or a combination), unless your investment is in an IRA or other tax-advantaged account. Distributions on investments made through tax-deferred arrangements may be taxed later upon withdrawal of assets from those accounts.

**Financial Intermediary Compensation** 

If you purchase Shares through a broker-dealer or other financial intermediary (such as a bank) (an "Intermediary"), the Adviser or its affiliates may pay Intermediaries for certain activities related to the Fund, including participation in activities that are designed to make Intermediaries more knowledgeable about exchange traded products, including the Fund, or for other activities, such as marketing, educational training or other initiatives related to the sale or promotion of Shares. These payments may create a conflict of interest by influencing the Intermediary and your salesperson to recommend the Fund over another investment. Any such arrangements do not result in increased Fund expenses. Ask your salesperson or visit the Intermediary's website for more information.

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**ADDITIONAL INFORMATION ABOUT THE FUNDS**

**Investment Objective.** Each Fund's investment objective has been adopted as a non-fundamental investment policy and may be changed without shareholder approval upon written notice to shareholders.

**Manager of Managers Structure.** Each Fund and the Adviser have received exemptive relief from the SEC permitting the Adviser (subject to certain conditions and the approval of the Funds' Board of Trustees (the "Board")) to change or select sub-advisers without obtaining shareholder approval. The relief also permits the Adviser to materially amend the terms of agreements with a sub-adviser (including an increase in the fee paid by the Adviser to the sub-adviser (and not paid by the applicable Fund)) or to continue the employment of a sub-adviser after an event that would otherwise cause the automatic termination of services with Board approval, but without shareholder approval. Shareholders of the applicable Fund will be notified of any sub-adviser changes. The Adviser has the ultimate responsibility, subject to oversight by the Board, to oversee a sub-adviser and recommend their hiring, termination and replacement.

**Additional Information About the Fund's Principal Investment Strategies** *(Distillate U.S. Fundamental Stability & Value ETF (the "U.S. Fund") and Distillate Small/Mid Cash Flow ETF (the "Small/Mid Fund") only)*. Each Fund has adopted a policy, set forth below, to comply with Rule 35d-1 under the Investment Company Act of 1940 (the "1940 Act"). Such policy has been adopted as a non-fundamental investment policy and may be changed without shareholder approval upon 60 days' written notice to shareholders.

Under normal circumstances, at least 80% of the net assets, plus borrowings for investment purposes, of the U.S. Fund will be invested in U.S. assets. For purposes of this policy, the Fund considers securities that are traded principally in the United States to be "U.S. assets".

Under normal circumstances, at least 80% of the net assets, plus borrowings for investment purposes, of the Small/Mid Fund will be invested in securities of small- and mid-cap companies.

**Temporary Defensive Positions.** To respond to adverse market, economic, political, or other conditions, each Fund may invest up to 100% of its assets in a temporary defensive manner by holding all or a substantial portion of its assets in cash, cash equivalents, or other high quality short-term investments or in other ETFs that invest in such instruments. The Adviser also may invest in these types of securities or hold cash while looking for suitable investment opportunities or to maintain liquidity. In these circumstances, a Fund may be unable to achieve its investment objective.

**Additional Information About the Funds' Principal Risks**. This section provides additional information regarding the principal risks described in each Fund Summary. As in each Fund Summary, the principal risks below are presented in alphabetical order to facilitate finding particular risks and comparing them with other funds. Each risk described below is considered a "principal risk" of investing in the applicable Fund, regardless of the order in which it appears. Each of the factors below could have a negative impact on the applicable Fund's performance and trading prices.

• **Capital Controls and Sanctions Risk** *(Distillate International Fundamental Stability & Value ETF (the "International Fund") only).* Economic conditions, such as volatile currency exchange rates and interest rates, political events, military action and other conditions, may, without prior warning, lead to government intervention (including intervention by the U.S. government with respect to foreign governments, economic sectors, foreign companies and related securities and interests) and the imposition of capital controls and/or sanctions, which may also include retaliatory actions of one government against another government, such as seizure of assets. Capital controls and/or sanctions include the prohibition of, or restrictions on, the ability to transfer currency, securities or other assets. Levies may be placed on profits repatriated by foreign entities (such as the Fund). Capital controls and/or sanctions may also impact the ability of the Fund to buy, sell or otherwise transfer securities or currency, negatively impact the value and/or liquidity of such instruments, adversely affect the trading market and price for Shares, and cause the Fund to decline in value.

• **Currency Exchange Rate Risk** *(International Fund only)*. Changes in currency exchange rates and the relative value of non-U.S. currencies will affect the value of the Fund's investments and the value of your Shares. Because the Fund's NAV is determined on the basis of U.S. dollars, the U.S. dollar value of your investment in the Fund may go down if the value of the local currency of the non-U.S. markets in which the Fund invests depreciates against the U.S. dollar. This is true even if the local currency value of securities in the Fund's holdings goes up. Conversely, the dollar value of your investment in the Fund may go up if the value of the local currency appreciates against the U.S. dollar. The value of the U.S. dollar measured against other currencies is influenced by a variety of factors. These factors include: national debt levels and trade deficits, changes in balances of payments and trade, domestic and foreign interest and inflation rates, global or regional political, economic or financial events, monetary policies of governments, actual or potential government intervention, and global energy prices. Political instability, the possibility of government intervention and restrictive or opaque business and investment policies may also reduce the value of a country's currency. Government monetary policies and the buying or selling of currency by a country's government may also influence

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exchange rates. Currency exchange rates can be very volatile and can change quickly and unpredictably. As a result, the value of an investment in the Fund may change quickly and without warning, and you may lose money.

• **Depositary Receipt Risk** *(International Fund only)*. Depositary Receipts involve risks similar to those associated with investments in foreign securities, such as changes in political or economic conditions of other countries and changes in the exchange rates of foreign currencies. Depositary Receipts listed on U.S. exchanges are issued by banks or trust companies and entitle the holder to all dividends and capital gains that are paid out on the underlying foreign shares ("Underlying Shares"). When the Fund invests in Depositary Receipts as a substitute for an investment directly in the Underlying Shares, the Fund is exposed to the risk that the Depositary Receipts may not provide a return that corresponds precisely with that of the Underlying Shares.

• **Emerging Markets Risk** *(International Fund only)*. Investments in securities and instruments traded in developing or emerging markets, or that provide exposure to such securities or markets, can involve additional risks relating to political, economic, or regulatory conditions not associated with investments in U.S. securities and instruments. For example, developing and emerging markets may be subject to (i) greater market volatility, (ii) lower trading volume and liquidity, (iii) greater social, political and economic uncertainty, (iv) governmental controls on foreign investments and limitations on repatriation of invested capital, (v) lower disclosure, corporate governance, auditing and financial reporting standards, (vi) fewer protections of property rights, (vii) fewer investor rights and limited legal or practical remedies available to investors against emerging market companies, (viii) restrictions on the transfer of securities or currency, and (ix) settlement and trading practices that differ from those in U.S. markets. Each of these factors may impact the ability of the Fund to buy, sell or otherwise transfer securities, adversely affect the trading market and price for Shares and cause the Fund to decline in value.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Capital Controls and Sanctions Risk.* Economic conditions, such as volatile currency exchange rates and interest rates, political events, military action and other conditions may, without prior warning, lead to government intervention (including intervention by the U.S. government with respect to foreign governments, economic sectors, foreign companies and related securities and interests) and the imposition of capital controls and/or sanctions, which may also include retaliatory actions of one government against another government, such as seizure of assets. Capital controls and/or sanctions include the prohibition of, or restrictions on, the ability to transfer currency, securities or other assets. Levies may be placed on profits repatriated by foreign entities (such as the Fund). Capital controls and/or sanctions may also impact the ability of the Fund to buy, sell or otherwise transfer securities or currency, negatively impact the value and/or liquidity of such instruments, adversely affect the trading market and price for Shares, and cause the Fund to decline in value.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Geopolitical Risk.* Some countries and regions in which the Fund invests have experienced security concerns, war or threats of war and aggression, terrorism, economic uncertainty, natural and environmental disasters and/or systemic market dislocations that have led, and in the future may lead, to increased short-term market volatility and may have adverse long-term effects on the U.S. and world economies and markets generally. Such geopolitical and other events may also disrupt securities markets and, during such market disruptions, the Fund's exposure to the other risks described herein will likely increase. Each of the foregoing may negatively impact the Fund's investments.

• **Equity Market Risk**. Common stocks are susceptible to general stock market fluctuations and to volatile increases and decreases in value as market confidence in and perceptions of their issuers change. These investor perceptions are based on various and unpredictable factors including: expectations regarding government, economic, monetary and fiscal policies; inflation and interest rates; economic expansion or contraction; local, regional or global events such as acts of terrorism or war, including Russia's invasion of Ukraine; market volatility related to global trade policy and the imposition of tariffs; and global or regional political, economic, public health, and banking crises. If you held common stock, or common stock equivalents, of any given issuer, you would generally be exposed to greater risk than if you held preferred stocks and debt obligations of the issuer because common stockholders, or holders of equivalent interests, generally have inferior rights to receive payments from issuers in comparison with the rights of preferred stockholders, bondholders, and other creditors of such issuers.

• **ETF Risks**. Each Fund is an ETF, and, as a result of an ETF's structure, is exposed to the following risks:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *APs, Market Makers, and Liquidity Providers Concentration Risk.* The Fund has a limited number of financial institutions that may act as APs. In addition, there may be a limited number of market makers and/or liquidity providers in the marketplace. To the extent either of the following events occur, Shares may trade at a material discount to NAV and possibly face delisting: (i) APs exit the business or otherwise become unable to process creation and/or redemption orders and no other APs step forward to perform these services, or (ii) market makers and/or liquidity providers exit the business or significantly reduce their business activities and no other entities step forward to perform their functions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Costs of Buying or Selling Shares.* Investors buying or selling Shares in the secondary market will pay brokerage commissions or other charges imposed by brokers, as determined by that broker. Brokerage commissions are often a fixed amount and may be a significant proportional cost for investors seeking to buy or sell relatively small amounts of Shares. In addition, secondary market investors will also incur the cost of the difference between the price at which an investor is

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willing to buy Shares (the "bid" price) and the price at which an investor is willing to sell Shares (the "ask" price). This difference in bid and ask prices is often referred to as the "spread" or "bid-ask spread." The bid-ask spread varies over time for Shares based on trading volume and market liquidity, and the spread is generally lower if Shares have more trading volume and market liquidity and higher if Shares have little trading volume and market liquidity. Further, a relatively small investor base in the Fund, asset swings in the Fund, and/or increased market volatility may cause increased bid-ask spreads. Due to the costs of buying or selling Shares, including bid-ask spreads, frequent trading of Shares may significantly reduce investment results and an investment in Shares may not be advisable for investors who anticipate regularly making small investments.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Shares May Trade at Prices Other Than NAV.* As with all ETFs, Shares may be bought and sold in the secondary market at market prices. Although it is expected that the market price of Shares will approximate the Fund's NAV, there may be times when the market price of Shares is more than the NAV intra-day (premium) or less than the NAV intra-day (discount) due to supply and demand of Shares or during periods of market volatility. This risk is heightened in times of market volatility or periods of steep market declines. The market price of Fund shares during the trading day, like the price of any exchange-traded security, includes a "bid-ask" spread charged by the exchange specialist, market makers or other participants that trade the Fund shares. In times of severe market disruption, the bid-ask spread can increase significantly. At those times, Fund shares are most likely to be traded at a discount to NAV, and the discount is likely to be greatest when the price of Fund shares is falling fastest, which may be the time that you most want to sell your Fund shares. The Adviser believes that, under normal market conditions, large market price discounts or premiums to NAV will not be sustained because of arbitrage opportunities. Because securities held by the International Fund may trade on foreign exchanges that are closed when the International Fund's primary listing exchange is open, there are likely to be deviations between the current price of a security and the security's last quoted price from the closed foreign market. This may result in premiums and discounts for the International Fund that are greater than those experienced by domestic ETFs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Trading*. Although Shares are listed for trading on the Exchange (*i.e.*, NYSE Arca, Inc. with respect to the U.S. Fund, and New York Stock Exchange, with respect to the International Fund and Small/Mid Fund) and may be listed or traded on U.S. and non-U.S. stock exchanges other than the Exchange, there can be no assurance that an active trading market for such Shares will develop or be maintained. Trading in Shares may be halted due to market conditions or for reasons that, in the view of the Exchange, make trading in Shares inadvisable. In addition, trading in Shares on the Exchange is subject to trading halts caused by extraordinary market volatility pursuant to Exchange "circuit breaker" rules, which temporarily halt trading on the Exchange when a decline in the S&P 500<sup>®</sup> Index during a single day reaches certain thresholds (*e.g.*, 7%, 13%, and 20%). Additional rules applicable to the Exchange may halt trading in Shares when extraordinary volatility causes sudden, significant swings in the market price of Shares. There can be no assurance that Shares will trade with any volume, or at all, on any stock exchange. In stressed market conditions, the liquidity of Shares may begin to mirror the liquidity of the Fund's underlying portfolio holdings, which can be significantly less liquid than Shares, and this could lead to differences between the market price of the Shares and the underlying value of those Shares.

• **Foreign Securities Risk** *(International Fund only)*. Investments in non-U.S. securities involve certain risks that may not be present with investments in U.S. securities. For example, investments in non-U.S. securities may be subject to risk of loss due to foreign currency fluctuations, the imposition of tariffs, or to political or economic instability. There may be less information publicly available about a non-U.S. issuer than a U.S. issuer. Non-U.S. issuers may be subject to different accounting, auditing, financial reporting and investor protection standards than U.S. issuers. Investments in non-U.S. securities also may be subject to withholding or other taxes and may be subject to additional trading, settlement, custodial, and operational risks. With respect to certain countries, there is the possibility of government intervention and expropriation or nationalization of assets. Because legal systems differ, there is also the possibility that it will be difficult to obtain or enforce legal judgments in certain countries. Since foreign exchanges may be open on days when a Fund does not price its Shares, the value of the securities in the Fund's portfolio may change on days when shareholders will not be able to purchase or sell the Shares. Conversely, Shares may trade on days when foreign exchanges are closed. Each of these factors can make investments in a Fund more volatile and potentially less liquid than other types of investments. Foreign markets often have less reliable securities valuations and greater risk associated with the custody of securities than the U.S. There may be significant obstacles to obtaining information necessary for investigations into or litigation against companies and shareholders may have limited legal remedies.

• **Geographic Investment Risk** *(International Fund only)*. To the extent that the Fund invests a significant portion of its assets in the securities of companies of a single country or region, it is more likely to be impacted by events or conditions affecting that country or region. For example, political and economic conditions and changes in regulatory, tax, or economic policy in a country could significantly affect the market in that country and in surrounding or related countries and have a negative impact on the Fund's performance. Currency developments or restrictions, political and social instability, and changing economic conditions have resulted in significant market volatility.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Risks Related to Investing in Europe.* The economies of Europe are highly dependent on each other, both as key trading partners and as in many cases as fellow members maintaining the euro. Reduction in trading activity among European countries may cause an adverse impact on each nation's individual economies. European countries that are part of the Economic and Monetary Union of the EU are required to comply with restrictions on inflation rates, deficits, interest rates, debt levels, and fiscal and monetary controls, each of which may significantly affect every country in Europe. Decreasing imports or exports, changes in governmental or EU regulations on trade, changes in the exchange rate of the euro, the default or threat of default by an EU member country on its sovereign debt, and recessions in an EU member country may have a significant adverse effect on the economies of EU member countries and their trading partners. Recent market events affecting several of the EU member countries have adversely affected the sovereign debt issued by those countries, and ultimately may lead to a decline in the value of the euro. A significant decline in the value of the euro may produce unpredictable effects on trade and commerce generally and could lead to increased volatility in financial markets worldwide. Acts of war in Europe, including Russia's large-scale military invasion of Ukraine, and the resulting sanctions by and against European nations could also have a severe adverse effect on both European and global economies, which in turn could affect the value of the Fund's investments.

The United Kingdom ("UK") formally exited from the EU on January 31, 2020 (known as "Brexit"), and effective December 31, 2020, the UK ended a transition period during which it continued to abide by the EU's rules and the UK's trade relationships with the EU were generally unchanged. Following this transition period, the impact on the UK and European economies and the broader global economy could be significant, resulting in negative impacts, such as increased volatility and illiquidity, potentially lower economic growth on markets in the UK, Europe, and globally, and changes in legal and regulatory regimes to which certain Fund assets are or become subject, any of which may adversely affect the value of Fund investments.

The effects of Brexit will depend, in part, on agreements the UK negotiates to retain access to EU markets, including, but not limited to, current trade and finance agreements. Brexit could lead to legal and tax uncertainty and potentially divergent national laws and regulations, as the UK determines which EU laws to replace or replicate. The extent of the impact of the withdrawal negotiations in the UK and in global markets, as well as any associated adverse consequences, remain unclear, and the uncertainty may have a significant negative effect on the value of a Fund investments. If one or more other countries were to exit the EU or abandon the use of the euro as a currency, the value of investments tied to those countries or the euro could decline significantly and unpredictably.

Russia's large-scale invasion of Ukraine on February 24, 2022 has led to various countries imposing economic sanctions on certain Russian individuals and Russian corporate and banking entities. A number of jurisdictions have also instituted broader sanctions on Russia, including banning Russia from global payments systems that facilitate cross-border payments. In response, the government of Russia has imposed capital controls to restrict movements of capital entering and exiting the country. As a result, the value and liquidity of Russian securities and the Russian currency have experienced significant declines. Further, as of the date of this Prospectus, the Russian securities markets effectively remain closed for trading by foreign investors and have not been open to foreign investors since February 28, 2022. Russia's military incursion and resulting sanctions could have a severe adverse effect on both regional and global economies, which in turn could affect the value of the Fund's investments.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Risks Related to Investing in Japan.* The Japanese economy may be subject to considerable degrees of economic, political and social instability, which could have a negative impact on Japanese securities. While the Japanese economy has recently emerged from a prolonged economic downturn, Japan's economic growth rate may remain relatively low in the future. In addition, Japan is subject to the risk of natural disasters, such as earthquakes, volcanoes, typhoons and tsunamis. Additionally, decreasing U.S. imports, new trade regulations, changes in the U.S. dollar exchange rates, a recession in the United States or continued increases in foreclosure rates may have an adverse impact on the economy of Japan. Japan also has few natural resources, and any fluctuation or shortage in the commodity markets could have a negative impact on Japanese securities.

• **Limited Operating History Risk** *(Small/Mid Fund only).* The Fund is a recently organized investment company with a limited operating history. As a result, prospective investors have a limited track record or history on which to base their investment decision.

• **Management Risk.** The Fund is actively managed and may not meet its investment objective based on the Adviser's success or failure to implement investment strategies for the Fund. The Adviser relies on quantitative data that may prove to be incorrect or incomplete.

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• **Market Capitalization Risk.** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Large-Capitalization Investing Risk (U.S. Fund and International Fund only)*. The securities of large-capitalization companies may be relatively mature compared to smaller companies and therefore subject to slower growth during times of economic expansion. Large-capitalization companies may also be unable to respond quickly to new competitive challenges, such as changes in technology and consumer tastes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Mid-Capitalization Investing Risk* (*International Fund and Small/Mid Fund only).* The securities of mid-capitalization companies may be more vulnerable to adverse issuer, market, political, or economic developments than securities of large-capitalization companies, but they may also be subject to slower growth than small-capitalization companies during times of economic expansion. The securities of mid-capitalization companies generally trade in lower volumes and are subject to greater and more unpredictable price changes than large capitalization stocks or the stock market as a whole. Mid-capitalization companies may be particularly sensitive to changes in interest rates, government regulation, borrowing costs, and earnings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Small-Capitalization Investing Risk (Small/Mid Fund only).* The securities of small-capitalization companies may be more vulnerable to adverse issuer, market, political, or economic developments than securities of larger-capitalization companies. The securities of small-capitalization companies generally trade in lower volumes and are subject to greater and more unpredictable price changes than larger capitalization stocks or the stock market as a whole. Some small capitalization companies have limited product lines, markets, and financial and managerial resources and tend to concentrate on fewer geographical markets relative to larger capitalization companies. There is typically less publicly available information concerning smaller-capitalization companies than for larger, more established companies. Small-capitalization companies also may be particularly sensitive to changes in interest rates, government regulation, borrowing costs and earnings.

• **Portfolio Turnover Risk** *(International Fund and Small/Mid Fund only).* The Fund may frequently buy and sell portfolio securities and other assets to rebalance the Fund's exposure to specific securities. Higher portfolio turnover may result in the Fund paying higher levels of transaction costs and generating greater tax liabilities for shareholders. Portfolio turnover risk may cause the Fund's performance to be less than you expect.

• **Sector Risk**. Each Fund's investing approach may result in an emphasis on certain sectors or sub-sectors of the market at any given time. To the extent a Fund invests more heavily in one sector or sub-sector of the market, it thereby presents a more concentrated risk and its performance will be especially sensitive to developments that significantly affect those sectors or sub-sectors. In addition, the value of a Fund's shares may change at different rates compared to the value of shares of a fund with investments in a more diversified mix of sectors and industries. An individual sector or sub-sector of the market may have above-average performance during particular periods but may also move up and down more than the broader market. The several industries that constitute a sector may all react in the same way to economic, political or regulatory events. A Fund's performance could also be affected if the sectors or sub-sectors do not perform as expected. Alternatively, the lack of exposure to one or more sectors or sub-sectors may adversely affect performance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Health Care Sector Risk (U.S. Fund only).* Companies in the health care sector are subject to extensive government regulation and their profitability can be significantly affected by restrictions on government reimbursement for medical expenses, rising costs of medical products and services, pricing pressure (including price discounting), limited product lines and an increased emphasis on the delivery of healthcare through outpatient services. Companies in the health care sector are heavily dependent on obtaining and defending patents, which may be time consuming and costly, and the expiration of patents may also adversely affect the profitability of these companies. Health care companies are also subject to extensive litigation based on product liability and similar claims. In addition, their products can become obsolete due to industry innovation, changes in technologies or other market developments. Many new products in the health care sector require significant research and development and may be subject to regulatory approvals, all of which may be time consuming and costly with no guarantee that any product will come to market.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Consumer Sectors Risk (International Fund and Small/Mid Fund only).* The success of consumer product manufacturers and retailers is tied closely to the performance of domestic and international economies, interest rates, exchange rates, competition, consumer confidence, tariffs and trade barriers, changes in demographics, and consumer preferences. Companies in consumer-oriented sectors depend heavily on disposable household income and consumer spending, and may be strongly affected by social trends and marketing campaigns. These companies may be subject to severe competition, which may have an adverse impact on their profitability.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Energy Sector Risk (Small/Mid Fund only).* The energy sector is comprised of energy, energy industrial, energy infrastructure, and energy logistics companies, and will therefore be susceptible to adverse economic, environmental, business, regulatory, or other occurrences affecting that sector. The energy sector has historically experienced substantial price volatility. At times, the performance of these investments may lag the performance of other sectors or the market as a

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whole. Companies operating in the energy sector are subject to specific risks, including, among others, fluctuations in commodity prices; reduced consumer demand for commodities such as oil, natural gas, or petroleum products; reduced availability of natural gas or other commodities for transporting, processing, storing, or delivering; slowdowns in new construction; extreme weather or other natural disasters; and threats of attack by terrorists on energy assets. Additionally, energy sector companies are subject to substantial government regulation and changes in the regulatory environment for energy companies may adversely impact their profitability. Certain energy sector companies may incur environmental costs and liabilities due to the nature of their businesses and the substances they handle. Changes in existing laws, regulations, or enforcement policies governing the energy sector could significantly increase the compliance costs of such companies. Such companies could, from time to time, be held responsible for implementing remediation measures, the cost of which may not be recoverable from insurance. Over time, depletion of natural gas reserves and other energy reserves may also affect the profitability of energy companies. The above factors may change quickly and without warning and may negatively impact the value of the Fund and your investment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Industrials Sector Risk (U.S. Fund and Small/Mid Fund only).* The industrials sector can be significantly affected by, among other things, worldwide economic growth, supply and demand for specific products and services, rapid technological developments, international political and economic developments, environmental issues, tariffs and trade barriers, and tax and governmental regulatory policies. As the demand for, or prices of, industrials increase, the value of the Fund's investments generally would be expected to also increase. Conversely, declines in the demand for, or prices of, industrials generally would be expected to contribute to declines in the value of such securities. Such declines may occur quickly and without warning and may negatively impact the value of the Fund and your investment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;◦ *Information Technology Sector Risk (U.S. Fund and Small/Mid Fund only).* Market or economic factors impacting information technology companies and companies that rely heavily on technological advances could have a significant effect on the value of the Fund's investments. The value of stocks of information technology companies and companies that rely heavily on technology is particularly vulnerable to rapid changes in technology product cycles, rapid product obsolescence, government regulation and competition, both domestically and internationally, including competition from foreign competitors with lower production costs. Stocks of information technology companies and companies that rely heavily on technology, especially those of smaller, less-seasoned companies, tend to be more volatile than the overall market. Information technology companies are heavily dependent on patent and intellectual property rights, the loss or impairment of which may adversely affect profitability. Additionally, companies in the technology sector may face dramatic and often unpredictable changes in growth rates and competition for the services of qualified personnel.

**PORTFOLIO HOLDINGS INFORMATION**

Information about the Funds' daily portfolio holdings is available at www.distillatefunds.com. A description of the Funds' policies and procedures with respect to the disclosure of the Funds' portfolio holdings is available in the Funds' Statement of Additional Information ("SAI").

**MANAGEMENT**

**Investment Adviser**

Distillate Capital Partners LLC serves as the investment adviser and has overall responsibility for the general management and administration of each Fund. The Adviser was founded in 2018 and is controlled by each of Matthew T. Swanson, Jacob A. Beidler, and Thomas M. Cole, with offices at 401 N. Michigan Avenue, Suite 1710, Chicago, Illinois 60611. The Adviser arranges for sub-advisory, transfer agency, custody, fund administration, and all other related services necessary for the Funds to operate.

The Adviser provides oversight of the Sub-Adviser, monitoring of the Sub-Adviser's buying and selling of securities for each Fund, and review of the Sub-Adviser's performance. For the services it provides to the Funds, each Fund pays the Adviser a unified management fee, which is calculated daily and paid monthly, at an annual rate based on the applicable Fund's average daily net assets as set forth in the table below.

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| | |
|:---|:---|
| **Name of Fund** | **Management Fee** |
| Distillate U.S. Fundamental Stability & Value ETF | 0.39% |
| Distillate International Fundamental Stability & Value ETF | 0.55% |
| Distillate Small/Mid Cash Flow ETF | 0.55% |

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Under the Investment Advisory Agreement, the Adviser has agreed to pay all expenses of the Funds, except for: the fee paid to the Adviser pursuant to the Investment Advisory Agreement, interest charges on any borrowings, dividends and other expenses on securities sold short, taxes, brokerage commissions and other expenses incurred in placing orders for the purchase and sale of

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securities and other investment instruments, acquired fund fees and expenses, accrued deferred tax liability, extraordinary expenses, and distribution (12b-1) fees and expenses.

A discussion regarding the basis for the Board of Trustees' (the "Board") most recent approval of the Funds' Investment Advisory Agreement is available in the Funds' Annual Financial Statements and Additional Information, dated September 30, 2025, which were filed as part of the Funds' most recent <u>[Form N-CSR](https://www.sec.gov/ix?doc=/Archives/edgar/data/1540305/000113322825013287/de-efp19492_ncsr.htm)</u> filing.

**Sub-Adviser**

The Adviser has retained Vident Asset Management to serve as sub-adviser for the International Fund and the Small/Mid Fund. Vident is responsible for the day-to-day management of the International Fund and the Small/Mid Fund. Vident, a registered investment adviser, is owned by Vident Capital Holdings, LLC. Vident Capital Holdings, LLC is controlled by MM VAM, LLC which is owned by Casey Crawford. Vident's principal office is located at 1125 Sanctuary Parkway, Suite 515, Alpharetta, Georgia 30009. Vident was formed in 2016 and provides investment advisory services to ETFs, including the International Fund and the Small/Mid Fund. The Sub-Adviser is responsible for trading portfolio securities for these Funds, including selecting broker-dealers to execute purchase and sale transactions as instructed by the Adviser, subject to the supervision of the Adviser and the Board. For its services, Vident is paid a fee by the Adviser, which is calculated daily and paid monthly, at an annual rate based on the applicable Fund's average daily net assets as follows:

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| | | |
|:---|:---|:---|
| **Name of Fund** | **Minimum Fee** | **Sub-Advisory Fee** |
| Distillate International Fundamental Stability & Value ETF | $25000 | 0.040% on the first $250 million;<br>0.035% on the next $250 million; and<br>0.030% on net assets in excess of $500 million |
| Distillate Small/Mid Cash Flow ETF | $20000 | 0.030% on the first $250 million;<br>0.025% on the next $250 million; and<br>0.020% on net assets in excess of $500 million |

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A discussion regarding the basis for the Board's most recent approval of the Investment Sub-Advisory Agreement, with respect to the International Fund, is available in the Funds' <u>[Annual Financial Statements and Additional Information](https://www.sec.gov/ix?doc=/Archives/edgar/data/1540305/000113322824011094/dis-efp11478_ncsr.htm)</u>, dated September 30, 2024, which were filed as part of the Fund's Form N-CSR filing. A discussion regarding the basis for the Board's most recent approval of the Investment Sub-Advisory Agreement, with respect to the Small/Mid Fund, is available in the Fund's <u>[Annual Repor](https://www.sec.gov/Archives/edgar/data/1540305/000139834423022389/fp0085448-3_ncsr.htm)</u>t to Shareholders for the reporting period ended September 30, 2023.

**Portfolio Managers**

Jay A. Beidler, CFA, Matthew T. Swanson, CFA, Rafael Zayas, CFA, and Austin Wen, CFA, are primarily and jointly responsible for the day-to-day management of the International Fund and the Small/Mid Fund. Messrs. Beidler and Swanson are primarily and jointly responsible for the day-to-day management of the U.S. Fund.

Mr. Beidler is a Portfolio Manager for each Fund. Mr. Beidler serves as Portfolio Manager for Distillate, having co-founded the firm in September 2018. Mr. Beidler previously worked for ten years at Institutional Capital, LLC (ICAP), a Chicago-based value investment firm where he focused on quantitative analysis and macroeconomic research and worked as an analyst in the basic resources, energy, and healthcare sectors. Prior to ICAP, Mr. Beidler worked at Congaree River Limited Partnership, a family office, and was a consultant before that. Mr. Beidler holds an AB from Brown University, and an MBA from the University of Chicago Booth School of Business, and is a CFA charterholder.

Mr. Swanson is a Portfolio Manager for each Fund. Mr. Swanson serves as Portfolio Manager for Distillate, having co-founded the firm in April 2017. Mr. Swanson previously worked for 18 years as a portfolio manager of U.S. and international value strategies, and as an equity analyst covering the healthcare industry at Institutional Capital, LLC (ICAP), a Chicago-based value investment firm. Mr. Swanson holds a BA in Economics from Northwestern University, and an MBA from Kellogg School of Management, Northwestern University. Mr. Swanson is a CFA charterholder.

Rafael Zayas, CFA, is a Portfolio Manager for the International Fund and the Small/Mid Fund. Mr. Zayas has over 15 years of trading and portfolio management experience in global equity products and ETFs. He is Senior Vice President, Head of Portfolio Management & Trading. Previously, Mr. Zayas focused on international equities, specializing in managing and trading developed, emerging, and frontier market portfolios. Prior to joining Vident in 2017, Mr. Zayas was a Portfolio Manager at Russell Investments for over $5 billion in quantitative strategies across global markets, including emerging, developed, and frontier markets and listed alternatives. Before that, he was an equity Portfolio Manager at BNY Mellon Asset Management, where he was responsible for $150 million in internationally listed global equity ETFs and assisted in managing $3 billion of global ETF assets. Mr. Zayas holds a BS in Electrical Engineering from Cornell University. He also holds the Chartered Financial Analyst designation.

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Austin Wen, CFA, is a Portfolio Manager for the International Fund and the Small/Mid Fund. He is a Senior Portfolio Manager at Vident. Mr. Wen has over a decade of investment experience. Mr. Wen joined Vident in 2014. At Vident, Mr. Wen specializes in portfolio management and trading of equity, derivative, and commodities-based portfolios, as well as risk monitoring and investment analysis. Previously, he was a financial analyst for Vident Financial, focusing on the development and review of various investment solutions. He began his career as a State Examiner for the Georgia Department of Banking and Finance. Mr. Wen obtained a BA in Finance from the University of Georgia and holds the Chartered Financial Analyst designation.

The Funds' SAI provides additional information about the portfolio managers' compensation structure, other accounts managed by the portfolio managers, and the portfolio managers' ownership of Shares of each Fund.

**HOW TO BUY AND SELL SHARES**

Each Fund issues and redeems Shares at NAV only in Creation Units. Only APs may acquire Shares directly from a Fund, and only APs may tender their Shares for redemption directly to a Fund, at NAV. APs must be a member or participant of a clearing agency registered with the SEC and must execute a Participant Agreement that has been agreed to by the Distributor (defined below), and that has been accepted by a Fund's transfer agent, with respect to purchases and redemptions of Creation Units. Once created, Shares trade in the secondary market in quantities less than a Creation Unit.

Most investors buy and sell Shares in secondary market transactions through brokers. Shares are listed for trading on the secondary market on the Exchange and can be bought and sold throughout the trading day like other publicly traded securities.

When buying or selling Shares through a broker, you will incur customary brokerage commissions and charges, and you may pay some or all of the spread between the bid and the offer price in the secondary market on each leg of a round trip (purchase and sale) transaction. In addition, because secondary market transactions occur at market prices, you may pay more than NAV when you buy Shares and receive less than NAV when you sell those Shares.

**Book Entry**

Shares are held in book-entry form, which means that no stock certificates are issued. The Depository Trust Company ("DTC") or its nominee is the record owner of all outstanding Shares.

Investors owning Shares are beneficial owners as shown on the records of DTC or its participants. DTC serves as the securities depository for all Shares. DTC's participants include securities brokers and dealers, banks, trust companies, clearing corporations and other institutions that directly or indirectly maintain a custodial relationship with DTC. As a beneficial owner of Shares, you are not entitled to receive physical delivery of stock certificates or to have Shares registered in your name, and you are not considered a registered owner of Shares. Therefore, to exercise any right as an owner of Shares, you must rely upon the procedures of DTC and its participants. These procedures are the same as those that apply to any other securities that you hold in book entry or "street name" through your brokerage account.

**Frequent Purchases and Redemptions of Shares**

The Funds impose no restrictions on the frequency of purchases and redemptions of Shares. In determining not to approve a written, established policy, the Board evaluated the risks of market timing activities by Fund shareholders. Purchases and redemptions by APs, who are the only parties that may purchase or redeem Shares directly with a Fund, are an essential part of the ETF process and help keep Share trading prices in line with NAV. As such, the Funds accommodate frequent purchases and redemptions by APs. However, the Board has also determined that frequent purchases and redemptions for cash may increase tracking error and portfolio transaction costs and may lead to the realization of capital gains. To minimize these potential consequences of frequent purchases and redemptions, the Funds employ fair value pricing and may impose transaction fees on purchases and redemptions of Creation Units to cover the custodial and other costs incurred by a Fund in effecting trades. In addition, the Funds and the Adviser reserve the right to reject any purchase order at any time.

**Determination of NAV**

Each Fund's NAV is calculated as of the scheduled close of regular trading on the New York Stock Exchange ("NYSE"), generally 4:00 p.m. Eastern time, each day the NYSE is open for business. The NAV for each Fund is calculated by dividing the Fund's net assets by its Shares outstanding.

In calculating its NAV, each Fund generally values its assets on the basis of market quotations, last sale prices, or estimates of value furnished by a pricing service or brokers who make markets in such instruments. The values of non-U.S. dollar denominated securities are converted to U.S. dollars using foreign currency exchange rates generally determined as of 4:00 p.m., London time. If such information is not available for a security held by a Fund or is determined to be unreliable, the security will be valued at fair value estimates under guidelines established by the Board (as described below).

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**Fair Value Pricing**

The Adviser has been designated by the Board as the valuation designee for the Funds pursuant to Rule 2a-5 under the 1940 Act. In its capacity as valuation designee, the Adviser has adopted procedures and methodologies to fair value Fund securities whose market prices are not "readily available" or are deemed to be unreliable. For example, such circumstances may arise when: (i) a security has been de-listed or has had its trading halted or suspended; (ii) a security's primary pricing source is unable or unwilling to provide a price; (iii) a security's primary trading market is closed during regular market hours; or (iv) a security's value is materially affected by events occurring after the close of the security's primary trading market. The Board has appointed the Adviser as each Fund's valuation designee to perform all fair valuations of the Funds' portfolio investments, subject to the Board's oversight. Accordingly, the Adviser has established procedures for its fair valuation of each Fund's portfolio investments. Generally, when fair valuing a security held by a Fund, the Adviser will take into account all reasonably available information that may be relevant to a particular valuation including, but not limited to, fundamental analytical data regarding the issuer, information relating to the issuer's business, recent trades or offers of the security, general and/or specific market conditions and the specific facts giving rise to the need to fair value the security. Fair value determinations are made in good faith and in accordance with the fair value methodologies established by the Adviser. Due to the subjective and variable nature of determining the fair value of a security or other investment, there can be no assurance that the Adviser's fair value will match or closely correlate to any market quotation that subsequently becomes available or the price quoted or published by other sources. In addition, a Fund may not be able to obtain the fair value assigned to the security upon the sale of such security.

**Investments by Registered Investment Companies**

Section 12(d)(1) of the 1940 Act restricts investments by registered investment companies in the securities of other investment companies, including Shares. Registered investment companies are permitted to invest in a Fund beyond the limits set forth in section 12(d)(1) subject to certain terms and conditions set forth in Rule 12d1-4 under the 1940 Act, including that such investment companies enter into an agreement with a Fund.

**Delivery of Shareholder Documents – Householding** 

Householding is an option available to certain investors of the Funds. Householding is a method of delivery, based on the preference of the individual investor, in which a single copy of certain shareholder documents can be delivered to investors who share the same address, even if their accounts are registered under different names. Householding for the Funds is available through certain broker-dealers. If you are interested in enrolling in householding and receiving a single copy of prospectuses and other shareholder documents, please contact your broker-dealer. If you are currently enrolled in householding and wish to change your householding status, please contact your broker-dealer.

**DIVIDENDS, DISTRIBUTIONS, AND TAXES**

**Dividends and Distributions**

The Funds intend to pay out dividends, if any, and distribute any net realized capital gains to its shareholders at least annually. Each Fund will declare and pay capital gain distributions, if any, in cash. Distributions in cash may be reinvested automatically in additional whole Shares only if the broker through whom you purchased Shares makes such option available. Your broker is responsible for distributing the income and capital gain distributions to you.

**Taxes** 

The following discussion is a summary of certain important U.S. federal income tax considerations generally applicable to investments in the Funds. Your investment in a Fund may have other tax implications. Please consult your tax advisor about the tax consequences of an investment in Shares, including the possible application of foreign, state, and local tax laws. This summary does not apply to Shares held in an IRA or other tax-qualified plans, which are generally not subject to current tax. Transactions relating to Shares held in such accounts may, however, be taxable at some time in the future. This summary is based on current tax laws, which may change.

Each Fund has elected and intends to qualify each year for treatment as a RIC under the Code. If a Fund meets certain minimum distribution requirements, a RIC is not subject to tax at the fund level on income and gains from investments that are timely distributed to shareholders. However, a Fund's failure to qualify as a RIC or to meet minimum distribution requirements would result (if certain relief provisions were not available) in fund-level taxation and, consequently, a reduction in income available for distribution to shareholders.

Unless your investment in Shares is made through a tax-exempt entity or tax-advantaged account, such as an IRA, you need to be aware of the possible tax consequences when a Fund makes distributions, when you sell your Shares listed on the Exchange, and when you purchase or redeem Creation Units (APs only).

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**Taxes on Distributions** 

Each Fund intends to distribute, at least annually, substantially all of its net investment income and net capital gains. For federal income tax purposes, distributions of investment income are generally taxable as ordinary income or qualified dividend income. Taxes on distributions of capital gains (if any) are determined by how long a Fund owned the investments that generated them, rather than how long a shareholder has owned his or her Shares. Sales of assets held by a Fund for more than one year generally result in long-term capital gains and losses, and sales of assets held by a Fund for one year or less generally result in short-term capital gains and losses. Distributions of a Fund's net capital gain (the excess of net long-term capital gains over net short-term capital losses) that are reported by such Fund as capital gain dividends ("Capital Gain Dividends") will be taxable as long-term capital gains, which for non-corporate shareholders are subject to tax at reduced rates of up to 20% (lower rates apply to individuals in lower tax brackets). Distributions of short-term capital gain will generally be taxable as ordinary income. Dividends and distributions are generally taxable to you whether you receive them in cash or reinvest them in additional Shares.

Distributions reported by a Fund as "qualified dividend income" are generally taxed to non-corporate shareholders at rates applicable to long-term capital gains, provided holding period and other requirements are met. "Qualified dividend income" generally is income derived from dividends paid by U.S. corporations or certain foreign corporations that are either incorporated in a U.S. possession or eligible for tax benefits under certain U.S. income tax treaties. In addition, dividends that a Fund received in respect of stock of certain foreign corporations may be qualified dividend income if that stock is readily tradable on an established U.S. securities market. Dividends received by a Fund from an underlying fund taxable as a RIC may be treated as qualified dividend income generally only to the extent so reported by such underlying fund. Corporate shareholders may be entitled to a dividends received deduction for the portion of dividends they receive from a Fund that are attributable to dividends received by the Fund from U.S. corporations, subject to certain limitations. Certain of a Fund's investment strategies may limit its ability to make distributions eligible for the reduced rates applicable to qualified dividend income. Since the International Fund invests primarily in securities of non-U.S. issuers, it is not expected that a significant portion of the dividends received from the International Fund will qualify for the dividends-received deduction for corporations.

Shortly after the close of each calendar year, you will be informed of the amount and character of any distributions received from a Fund.

In general, your distributions are subject to federal income tax for the year in which they are paid. Certain distributions paid in January, however, may be treated as paid on December 31 of the prior year. Distributions are generally taxable even if they are paid from income or gains earned by a Fund before your investment (and thus were included in the Shares' NAV when you purchased your Shares).

You may wish to avoid investing in a Fund shortly before a dividend or other distribution, because such a distribution will generally be taxable even though it may economically represent a return of a portion of your investment.

If a Fund's distributions exceed its earnings and profits, all or a portion of the distributions made for a taxable year may be recharacterized as a return of capital to shareholders. A return of capital distribution will generally not be taxable but will reduce each shareholder's cost basis in Shares and result in a higher capital gain or lower capital loss when the Shares are sold. After a shareholder's basis in Shares has been reduced to zero, distributions in excess of earnings and profits in respect of those Shares will be treated as gain from the sale of the Shares.

If you are neither a resident nor a citizen of the United States or if you are a foreign entity, distributions (other than Capital Gain Dividends) paid to you by a Fund will generally be subject to a U.S. withholding tax at the rate of 30%, unless a lower treaty rate applies. Gains from the sale or other disposition of Shares by non-U.S. shareholders generally are not subject to U.S. taxation, unless you are a nonresident alien individual who is physically present in the U.S. for 183 days or more per year. A Fund may, under certain circumstances, report all or a portion of a dividend as an "interest-related dividend" or a "short-term capital gain dividend," which would generally be exempt from this 30% U.S. withholding tax, provided certain other requirements are met. Different tax consequences may result if you are a foreign shareholder engaged in a trade or business within the United States or if a tax treaty applies.

Each Fund (or a financial intermediary, such as a broker, through which a shareholder owns Shares) generally is required to withhold and remit to the U.S. Treasury a percentage (currently 24%) of the taxable distributions and sale proceeds paid to any shareholder who fails to properly furnish a correct taxpayer identification number, who has underreported dividend or interest income, or who fails to certify that the shareholder is not subject to such withholding.

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**Taxes When Shares are Sold on the Exchange**

Provided that a shareholder holds Shares as capital assets, any capital gain or loss realized upon a sale of Shares generally is treated as a long-term capital gain or loss if Shares have been held for more than one year and as a short-term capital gain or loss if Shares have been held for one year or less. However, any capital loss on a sale of Shares held for six months or less is treated as long-term capital loss to the extent of Capital Gain Dividends paid with respect to such Shares. Any loss realized on a sale will be disallowed to the extent Shares of a Fund are acquired, including through reinvestment of dividends, within a 61-day period beginning 30 days before and ending 30 days after the disposition of Shares. The ability to deduct capital losses may be limited.

The cost basis of Shares of a Fund acquired by purchase will generally be based on the amount paid for the Shares and then may be subsequently adjusted for other applicable transactions as required by the Code. The difference between the selling price and the cost basis of Shares generally determines the amount of the capital gain or loss realized on the sale or exchange of Shares. Contact the broker through whom you purchased your Shares to obtain information with respect to the available cost basis reporting methods and elections for your account.

**Taxes on Purchases and Redemptions of Creation Units**

An AP having the U.S. dollar as its functional currency for U.S. federal income tax purposes who exchanges securities for Creation Units generally recognizes a gain or a loss. The gain or loss will be equal to the difference between the value of the Creation Units at the time of the exchange and the exchanging AP's aggregate basis in the securities delivered, plus the amount of any cash paid for the Creation Units. An AP who exchanges Creation Units for securities will generally recognize a gain or loss equal to the difference between the exchanging AP's basis in the Creation Units and the aggregate U.S. dollar market value of the securities received, plus any cash received for such Creation Units. The IRS may assert, however, that a loss that is realized upon an exchange of securities for Creation Units may not be currently deducted under the rules governing "wash sales" (for an AP who does not mark-to-market its holdings), or on the basis that there has been no significant change in economic position. APs exchanging securities should consult their own tax advisor with respect to whether the wash sales rule applies and when a loss might be deductible.

A Fund may include a payment of cash in addition to, or in place of, the delivery of a basket of securities upon the redemption of Creation Units. Such Fund may sell portfolio securities to obtain the cash needed to distribute redemption proceeds. This may cause such Fund to recognize investment income and/or capital gains or losses that it might not have recognized if it had completely satisfied the redemption in-kind. As a result, such Fund may be less tax efficient if it includes such a cash payment in the proceeds paid upon the redemption of Creation Units.

**Foreign Investments by the Fund** *(International Fund only)*

Interest and other income received by the Fund with respect to foreign securities may give rise to withholding and other taxes imposed by foreign countries. Tax conventions between certain countries and the United States may reduce or eliminate such taxes. If as of the close of a taxable year more than 50% of the value of the Fund's assets consists of certain foreign stock or securities, the Fund will be eligible to elect to "pass through" to investors the amount of foreign income and similar taxes (including withholding taxes) paid by the Fund during that taxable year. This means that investors would be considered to have received as additional income their respective Shares of such foreign taxes but may be entitled to either a corresponding tax deduction in calculating taxable income, or, subject to certain limitations, a credit in calculating federal income tax. If the Fund does not so elect, the Fund will be entitled to claim a deduction for certain foreign taxes incurred by the Fund. The Fund (or its administrative agent) will notify you if it makes such an election and provide you with the information necessary to reflect foreign taxes paid on your income tax return.

**Net Investment Income Tax**

U.S. individuals with income exceeding specified thresholds are subject to a 3.8% tax on all or a portion of their "net investment income," which includes interest, dividends, and certain capital gains (generally including capital gains distributions and capital gains realized on the sale of Shares). This 3.8% tax also applies to all or a portion of the undistributed net investment income of certain shareholders that are estates and trusts.

*The foregoing discussion summarizes some of the possible consequences under current federal tax law of an investment in each Fund. It is not a substitute for personal tax advice. You also may be subject to state and local tax on Fund distributions and sales of Shares. Consult your personal tax advisor about the potential tax consequences of an investment in Shares under all applicable tax laws. For more information, please see the section entitled "Federal Income Taxes" in the SAI.* 

**DISTRIBUTION** 

The Distributor, Quasar Distributors, LLC, a wholly-owned subsidiary of Foreside Financial Group, LLC (d/b/a ACA Group), is a broker-dealer registered with the SEC. The Distributor distributes Creation Units for the Funds on an agency basis and does not maintain a secondary market in Shares. The Distributor has no role in determining the policies of the Funds or the securities that are purchased or sold by the Funds. The Distributor's principal address is 190 Middle Street, Suite 301, Portland, Maine 04101.

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The Board has adopted a Distribution and Service Plan (the "Plan") pursuant to Rule 12b-1 under the 1940 Act. In accordance with the Plan, each Fund is authorized to pay an amount up to 0.25% of its average daily net assets each year for certain distribution-related activities and shareholder services.

No Rule 12b-1 fees are currently paid by the Funds, and there are no plans to impose these fees. However, in the event Rule 12b-1 fees are charged in the future, because the fees are paid out of Fund assets, over time these fees will increase the cost of your investment and may cost you more than certain other types of sales charges.

**PREMIUM/DISCOUNT INFORMATION**

Information regarding how often Shares traded on the Exchange at a price above (*i.e.*, at a premium) or below (*i.e.*, at a discount) the NAV per Share is available, free of charge, on the Funds' website at www.distillatefunds.com.

**ADDITIONAL NOTICES**

Shares are not sponsored, endorsed, or promoted by the Exchange. The Exchange is not responsible for, nor has it participated in the determination of, the timing, prices, or quantities of Shares to be issued, nor in the determination or calculation of the equation by which Shares are redeemable. The Exchange has no obligation or liability to owners of Shares in connection with the administration, marketing, or trading of Shares.

Without limiting any of the foregoing, in no event shall the Exchange have any liability for any lost profits or indirect, punitive, special, or consequential damages even if notified of the possibility thereof.

The Adviser, Sub-Adviser, and the Funds make no representation or warranty, express or implied, to the owners of Shares or any member of the public regarding the advisability of investing in securities generally or in a Fund particularly.

------

**FINANCIAL HIGHLIGHTS**

The financial highlights tables are intended to help you understand each Fund's financial performance for each Fund's five most recent fiscal years (or the life of the Fund, if shorter). Certain information reflects financial results for a single Share. The total returns in the tables represent the rate that an investor would have earned or lost on an investment in a Fund (assuming reinvestment of all dividends and distributions). This information has been audited by Cohen & Company, Ltd., the Funds' independent registered public accounting firm, whose report, along with the Funds' financial statements, is included in the Funds' Annual Financial Statements and Additional Information, which is available upon request and as part of the Funds' most recent Form N-CSR, which can be located on the SEC's website.

**Distillate U.S. Fundamental Stability & Value ETF** 

**For a capital share outstanding throughout the year**

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Year Ended September 30,** | **Year Ended September 30,** | **Year Ended September 30,** | **Year Ended September 30,** | **Year Ended September 30,** | **Year Ended September 30,** | **Year Ended September 30,** | **Year Ended September 30,** |
| **PER SHARE DATA:** | **2025** |  | **2024** |  | **2023** | **2022** |  | **2021** |
| Net asset value, beginning of year | $56.72 |  | $44.64 |  | $36.86 | $40.96 |  | $32.61 |
| **INVESTMENT OPERATIONS:** |  |  |  |  |  |  |  |  |
| Net investment income <sup>(a)</sup> | 0.76 |  | 0.76 |  | 0.62 | 0.58 |  | 0.46 |
| Net realized and unrealized gain (loss) on investments | 1.28 |  | 12.04 |  | 7.78 | (4.17) |  | 8.51 |
| **Total from investment operations** | 2.04 |  | 12.80 |  | 8.40 | (3.59) |  | 8.97 |
| **LESS DISTRIBUTIONS FROM:** |  |  |  |  |  |  |  |  |
| Net investment income | (0.75) |  | (0.72) |  | (0.62) | (0.51) |  | (0.62) |
| Return of capital | (0.06) |  |  |  |  |  |  |  |
| **Total distributions** | (0.81) |  | (0.72) |  | (0.62) | (0.51) |  | (0.62) |
| ETF transaction fees per share |  |  | 0.00 | <sup>(b)</sup> |  | 0.00 | <sup>(b)</sup> |  |
| **Net asset value, end of year** | $57.95 |  | $56.72 |  | $44.64 | $36.86 |  | $40.96 |
| Total return | 3.67% |  | 28.82% |  | 22.87% | -8.91% |  | 27.68% |
| **SUPPLEMENTAL DATA AND RATIOS:** |  |  |  |  |  |  |  |  |
| Net assets, end of year (in thousands) | $1838343 |  | $2072965 |  | $1282310 | $721584 |  | $373774 |
| Ratio of expenses to average net assets | 0.39% |  | 0.39% |  | 0.39% | 0.39% |  | 0.39% |
| Ratio of excise tax expense to average net assets | 0.00% | <sup>(d)</sup> |  |  |  |  |  |  |
| Ratio of net investment income (loss) to average net assets | 1.37% |  | 1.49% |  | 1.43% | 1.36% |  | 1.17% |
| Portfolio turnover rate <sup>(c)</sup> | 70% |  | 87% |  | 95% | 78% |  | 73% |

---

(a) Net investment income per share has been calculated based on average shares outstanding during the years.

(b) Amount represents less than $0.005 per share.

(c) Portfolio turnover rate excludes in-kind transactions.

(d) Amount represents less than 0.005%.

------

**Distillate International Fundamental Stability & Value ETF**

**For a capital share outstanding throughout the year/period**

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Year Ended September 30,** | **Year Ended September 30,** | **Year Ended September 30,** | **Year Ended September 30,** | **Year Ended September 30,** | | **Period Ended**<br>**September 30,** | |
| **PER SHARE DATA:** | **2025** | **2024** |  | **2023** | **2022** |  | **2021**<sup>(a)</sup> |  |
| Net asset value, beginning of period | $25.91 | $21.72 |  | $17.95 | $25.08 |  | $25.05 |  |
| **INVESTMENT OPERATIONS:** |  |  |  |  |  |  |  |  |
| Net investment income<sup>(b)</sup> | 0.58 | 0.56 |  | 0.55 | 0.72 |  | 0.59 |  |
| Net realized and unrealized gain (loss) on investments | 4.44 | 4.14 |  | 3.77 | (7.21) |  | (0.12) |  |
| **Total from investment operations** | 5.02 | 4.70 |  | 4.32 | (6.49) |  | 0.47 |  |
| **LESS DISTRIBUTIONS FROM:** |  |  |  |  |  |  |  |  |
| Net investment income | (0.62) | (0.51) |  | (0.56) | (0.64) |  | (0.44) |  |
| **Total distributions** | (0.62) | (0.51) |  | (0.56) | (0.64) |  | (0.44) |  |
| ETF transaction fees per share | 0.01 | 0.00 | <sup>(c)</sup> | 0.01 | 0.00 | <sup>(c)</sup> | 0.00 | <sup>(c)</sup> |
| **Net asset value, end of period** | $30.32 | $25.91 |  | $21.72 | $17.95 |  | $25.08 |  |
| Total return<sup>(d)</sup> | 19.79% | 21.89% |  | 24.22% | -26.26% |  | 1.78% |  |
| **SUPPLEMENTAL DATA AND RATIOS:** |  |  |  |  |  |  |  |  |
| Net assets, end of period (in thousands) | $37897 | $36277 |  | $29323 | $19740 |  | $22568 |  |
| Ratio of expenses to average net assets<sup>(e)</sup> | 0.55% | 0.55% |  | 0.55% | 0.55% |  | 0.55% |  |
| Ratio of net investment income (loss) to average net assets<sup>(e)</sup> | 2.23% | 2.38% |  | 2.53% | 3.12% |  | 2.78% |  |
| Portfolio turnover rate <sup>(d)(f)</sup> | 91% | 117% |  | 75% | 102% |  | 57% |  |

---

(a) Inception date of the Fund was December 14, 2020.

(b) Net investment income per share has been calculated based on average shares outstanding during the periods.

(c) Amount represents less than $0.005 per share.

(d) Not annualized for periods less than one year.

(e) Annualized for periods less than one year.

(f) Portfolio turnover rate excludes in-kind transactions.

------

**Distillate Small/Mid Cash Flow ETF**

**For a capital share outstanding throughout the year/period**

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Year Ended September 30,** | **Year Ended September 30,** | **Year Ended September 30,** | **Period Ended**<br>**September 30,**  |
| **PER SHARE DATA:** | **2025** |  | **2024** | **2023**<sup>(a)</sup> |
| Net asset value, beginning of period | $36.02 |  | $30.64 | $24.90 |
| **INVESTMENT OPERATIONS:** |  |  |  |  |
| Net investment income<sup>(b)</sup> | 0.40 |  | 0.48 | 0.37 |
| Net realized and unrealized gain (loss) on investments  | (0.12) |  | 5.31 | 5.69 |
| **Total from investment operations** | 0.28 |  | 5.79 | 6.06 |
| **LESS DISTRIBUTIONS FROM:** |  |  |  |  |
| Net investment income | (0.43) |  | (0.41) | (0.32) |
| **Total distributions** | (0.43) |  | (0.41) | (0.32) |
| ETF transaction fees per share  | 0.00 | <sup>(c)</sup> |  |  |
| **Net asset value, end of period** | $35.87 |  | $36.02 | $30.64 |
| Total return<sup>(d)</sup> | 0.85% |  | 18.91% | 24.46% |
| **SUPPLEMENTAL DATA AND RATIOS:** |  |  |  |  |
| Net assets, end of period (in thousands) | $106712 |  | $99059 | $30645 |
| Ratio of expenses to average net assets<sup>(e)</sup> | 0.55% |  | 0.55% | 0.55% |
| Ratio of excise tax expense to average net assets<sup>(e)</sup> | 0.00 | <sup>(g)</sup> |  |  |
| Ratio of net investment income (loss) to average net assets<sup>(e)</sup> | 1.19% |  | 1.39% | 1.28% |
| Portfolio turnover rate <sup>(d)(f)</sup> | 112% |  | 114% | 66% |

---

(a) Inception date of the Fund was October 5, 2022.

(b) Net investment income per share has been calculated based on average shares outstanding during the periods.

(c) Amount represents less than $0.005 per share.

(d) Not annualized for periods less than one year.

(e) Annualized for periods less than one year.

(f) Portfolio turnover rate excludes in-kind transactions.

(g) Amount represents less than 0.005%.

------

**Distillate U.S. Fundamental Stability & Value ETF** 

**Distillate International Fundamental Stability & Value ETF** 

**Distillate Small/Mid Cash Flow ETF**

---

| | | | |
|:---|:---|:---|:---|
| **Adviser** | **Distillate Capital Partners LLC**<br>401 N. Michigan Avenue, Suite 1710<br>Chicago, Illinois 60611 | **Sub-Adviser** | **Vident Asset Management**<br>1125 Sanctuary Parkway, Suite 515<br>Alpharetta, Georgia 30009 |
| **Transfer Agent, Fund Accountant, and Fund Administrator** | **U.S. Bancorp Fund Services, LLC** <br>d/b/a/ U.S. Bank Global Fund Services<br>615 East Michigan Street <br>Milwaukee, Wisconsin 53202 | **Distributor** | **Quasar Distributors, LLC** <br>190 Middle Street, Suite 301, Portland, Maine 04101 |
| **Independent<br>Registered Public<br>Accounting Firm** | **Cohen & Company, Ltd.**<br>1835 Market St., Suite 310<br>Philadelphia, Pennsylvania 19103 | **Custodian** | **U.S. Bank National Association** <br>1555 N. Rivercenter Drive, Suite 302 <br>Milwaukee, Wisconsin 53212 |
| **Legal Counsel** | **Morgan, Lewis & Bockius LLP**<br>1111 Pennsylvania Avenue NW<br>Washington, DC 20004-2541 |  |  |

---

Investors may find more information about the Funds in the following documents:

**Statement of Additional Information:** The Funds' SAI provides additional details about the investments of the Funds and certain other additional information. A current SAI dated January 31, 2026 is on file with the SEC and is herein incorporated by reference into this Prospectus. It is legally considered a part of this Prospectus.

**Annual/Semi-Annual Reports:** Additional information about each Fund's investments is available in the Funds' <u>[annual](https://www.sec.gov/ix?doc=/Archives/edgar/data/1540305/000113322825013287/de-efp19492_ncsr.htm)</u> and<u>[semi-annual](https://www.sec.gov/ix?doc=/Archives/edgar/data/1540305/000113322825006168/dce-efp15983_ncsrs.htm)</u> reports to shareholders and in Form N-CSR. In the annual report you will find a discussion of the market conditions and investment strategies that significantly affected the Funds' performance. In Form N-CSR, you will find the Funds' annual and semi-annual financial statements.

You can obtain free copies of these documents, request other information or make general inquiries about the Funds by calling 1-800-617-0004.

Shareholder reports and other information about the Funds are also available:

• Free of charge from the SEC's EDGAR database on the SEC's website at http://www.sec.gov; or

• Free of charge from the Funds' Internet web site at www.distillatefunds.com; or

• For a fee, by e-mail request to publicinfo@sec.gov.

(SEC Investment Company Act File No. 811-22668)

------

**Distillate U.S. Fundamental Stability & Value ETF (DSTL)**

Listed on NYSE Arca, Inc.

**Distillate International Fundamental Stability & Value ETF (DSTX)**

**Distillate Small/Mid Cash Flow ETF (DSMC)**

Listed on New York Stock Exchange

Each a series of ETF Series Solutions

**STATEMENT OF ADDITIONAL INFORMATION**

January 31, 2026

This Statement of Additional Information ("SAI") is not a prospectus and should be read in conjunction with the prospectus dated January 31, 2026 for the Distillate U.S. Fundamental Stability & Value ETF (the "U.S. Fund"), the Distillate International Fundamental Stability & Value ETF (the "International Fund"), and the Distillate Small/Mid Cash Flow ETF (the "Small/Mid Fund") (each, a "Fund" and, collectively, the "Funds"), each a series of ETF Series Solutions (the "Trust"), as may be supplemented from time to time (the "Prospectus"). Capitalized terms used in this SAI that are not defined have the same meaning as in the Prospectus, unless otherwise noted. A copy of the Prospectus may be obtained without charge, by calling the Funds at 1-800-617-0004 or visiting www.distillatefunds.com.

The Funds' audited financial statements for the fiscal year ended September 30, 2025 are incorporated into this SAI by reference to the Funds' Annual Financial Statements and Other Information dated September 30, 2025. A copy of the Funds' Annual Financial Statements and Other Information as well as the Funds' Annual Report, each of which was filed as part of the Funds' most recent <u>[Form N-CSR](https://www.sec.gov/ix?doc=/Archives/edgar/data/1540305/000113322825013287/de-efp19492_ncsr.htm)</u>, may be obtained without charge by request to the Funds at the address or phone number noted above.

------

**TABLE OF CONTENTS**

---

| | |
|:---|:---|
| [General Information about the Trust](#i03508ba82daa498c8268b86c18584e50_7) | [3](#i03508ba82daa498c8268b86c18584e50_7) |
| [Additional Information About Investment Objectives, Policies, and Related Risks](#i03508ba82daa498c8268b86c18584e50_10) | [3](#i03508ba82daa498c8268b86c18584e50_10) |
| [Investment Restrictions](#i03508ba82daa498c8268b86c18584e50_13) | [15](#i03508ba82daa498c8268b86c18584e50_13) |
| [Exchange Listing and Trading](#i03508ba82daa498c8268b86c18584e50_16) | [16](#i03508ba82daa498c8268b86c18584e50_16) |
| [Management of the Trust](#i03508ba82daa498c8268b86c18584e50_19) | [16](#i03508ba82daa498c8268b86c18584e50_19) |
| [Principal Shareholders, Control Persons, and Management Ownership](#i03508ba82daa498c8268b86c18584e50_22) | [21](#i03508ba82daa498c8268b86c18584e50_22) |
| [Codes of Ethics](#i03508ba82daa498c8268b86c18584e50_25) | [21](#i03508ba82daa498c8268b86c18584e50_25) |
| [Proxy Voting Policies](#i03508ba82daa498c8268b86c18584e50_28) | [22](#i03508ba82daa498c8268b86c18584e50_28) |
| [Investment Adviser and Sub-Adviser](#i03508ba82daa498c8268b86c18584e50_31) | [22](#i03508ba82daa498c8268b86c18584e50_31) |
| [Portfolio Managers](#i03508ba82daa498c8268b86c18584e50_34) | [24](#i03508ba82daa498c8268b86c18584e50_34) |
| [The Distributor](#i03508ba82daa498c8268b86c18584e50_37) | [25](#i03508ba82daa498c8268b86c18584e50_37) |
| [The Administrator and Transfer Agent](#i03508ba82daa498c8268b86c18584e50_40) | [26](#i03508ba82daa498c8268b86c18584e50_40) |
| [Custodian](#i03508ba82daa498c8268b86c18584e50_43) | [26](#i03508ba82daa498c8268b86c18584e50_43) |
| [Legal Counsel](#i03508ba82daa498c8268b86c18584e50_46) | [27](#i03508ba82daa498c8268b86c18584e50_46) |
| [Independent Registered Public Accounting Firm](#i03508ba82daa498c8268b86c18584e50_49) | [27](#i03508ba82daa498c8268b86c18584e50_49) |
| [Portfolio Holdings Disclosure Policies and Procedures](#i03508ba82daa498c8268b86c18584e50_52) | [27](#i03508ba82daa498c8268b86c18584e50_52) |
| [Description of Shares](#i03508ba82daa498c8268b86c18584e50_55) | [27](#i03508ba82daa498c8268b86c18584e50_55) |
| [Limitation of Trustees' Liability](#i03508ba82daa498c8268b86c18584e50_58) | [27](#i03508ba82daa498c8268b86c18584e50_58) |
| [Brokerage Transactions](#i03508ba82daa498c8268b86c18584e50_61) | [27](#i03508ba82daa498c8268b86c18584e50_61) |
| [Portfolio Turnover Rate](#i03508ba82daa498c8268b86c18584e50_64) | [29](#i03508ba82daa498c8268b86c18584e50_64) |
| [Book Entry Only System](#i03508ba82daa498c8268b86c18584e50_67) | [29](#i03508ba82daa498c8268b86c18584e50_67) |
| [Purchase and Redemption of Shares in Creation Units](#i03508ba82daa498c8268b86c18584e50_70) | [30](#i03508ba82daa498c8268b86c18584e50_70) |
| [Determination of NAV](#i03508ba82daa498c8268b86c18584e50_73) | [35](#i03508ba82daa498c8268b86c18584e50_73) |
| [Dividends and Distributions](#i03508ba82daa498c8268b86c18584e50_76) | [36](#i03508ba82daa498c8268b86c18584e50_76) |
| [Federal Income Taxes](#i03508ba82daa498c8268b86c18584e50_79) | [36](#i03508ba82daa498c8268b86c18584e50_79) |
| [Financial Statements](#i03508ba82daa498c8268b86c18584e50_82) | [42](#i03508ba82daa498c8268b86c18584e50_82) |
| [Appendix A – Proxy Voting Policies](#i03508ba82daa498c8268b86c18584e50_795) | [43](#i03508ba82daa498c8268b86c18584e50_795) |

---

------

**GENERAL INFORMATION ABOUT THE TRUST**

The Trust is an open-end management investment company consisting of multiple investment series. This SAI relates to the Funds. The Trust was organized as a Delaware statutory trust on February 9, 2012. The Trust is registered with the U.S. Securities and Exchange Commission ("SEC") under the Investment Company Act of 1940, as amended (together with the rules and regulations adopted thereunder, as amended, the "1940 Act"), as an open-end management investment company, and the offering of each Fund's shares ("Shares") is registered under the Securities Act of 1933, as amended (the "Securities Act"). The Trust is governed by its Board of Trustees (the "Board").

Distillate Capital Partners LLC ("Distillate" or the "Adviser") serves as investment adviser to the Funds. Vident Asset Management ("Vident" or the "Sub-Adviser") serves as sub-adviser to the International Fund and the Small/Mid Fund. The investment objective of each Fund is stated in each Fund's Prospectus under "Investment Objective".

Each Fund offers and issues Shares at their net asset value ("NAV") only in aggregations of a specified number of Shares (each, a "Creation Unit"). Each Fund generally offers and issues Shares in exchange for a basket of securities ("Deposit Securities") together with the deposit of a specified cash payment ("Cash Component"). The Trust reserves the right to permit or require the substitution of a "cash in lieu" amount ("Deposit Cash") to be added to the Cash Component to replace any Deposit Security. Shares of the U.S. Fund are listed on the NYSE Arca, Inc., and Shares of the International Fund and the Small/Mid Fund are listed on the New York Stock Exchange (each, an "Exchange"). Shares trade on the Exchange at market prices that may differ from the Shares' NAV. Shares are also redeemable only in Creation Unit aggregations, primarily for a basket of Deposit Securities together with a Cash Component. A Creation Unit of the U.S. Fund and the Small/Mid Fund generally consists of 25,000 Shares, and a Creation Unit of the International Fund generally consists of 50,000 Shares, though this may change from time to time. As a practical matter, only institutions or large investors purchase or redeem Creation Units. Except when aggregated in Creation Units, Shares are not redeemable securities.

Shares may be issued in advance of receipt of Deposit Securities subject to various conditions, including a requirement to maintain on deposit with the Trust cash at least equal to a specified percentage of the value of the missing Deposit Securities, as set forth in the Participant Agreement (as defined below). The Trust may impose a transaction fee for each creation or redemption. In all cases, such fees will be limited in accordance with the requirements of the SEC applicable to management investment companies offering redeemable securities. As in the case of other publicly traded securities, brokers' commissions on transactions in the secondary market will be based on negotiated commission rates at customary levels.

**ADDITIONAL INFORMATION ABOUT INVESTMENT OBJECTIVES, POLICIES, AND RELATED RISKS**

Each Fund's investment objective and principal investment strategies are described in the Prospectus. The following information supplements, and should be read in conjunction with, the Prospectus. For a description of certain permitted investments, see "<u>Description of Permitted Investments</u>" in this SAI.

With respect to each Fund's investments, unless otherwise noted, if a percentage limitation on investment is adhered to at the time of investment or contract, a subsequent increase or decrease as a result of market movement or redemption will not result in a violation of such investment limitation.

**Diversification**

Each Fund is "diversified" within the meaning of the 1940 Act. Under applicable federal laws, to qualify as a diversified fund, each Fund, with respect to 75% of its total assets, may not invest greater than 5% of its total assets in any one issuer and may not hold greater than 10% of the securities of one issuer, other than investments in cash and cash items (including receivables), U.S. government securities, and securities of other investment companies. The remaining 25% of each Fund's total assets does not need to be "diversified" and may be invested in securities of a single issuer, subject to other applicable laws. The diversification of a fund's holdings is measured at the time the fund purchases a security. However, if a fund purchases a security and holds it for a period of time, the security may become a larger percentage of the fund's total assets due to movements in the financial markets. If the market affects several securities held by a fund, the fund may have a greater percentage of its assets invested in securities of a single issuer or a small number of issuers. However, each Fund intends to satisfy the asset diversification requirements for qualification as a regulated investment company ("RIC") under Subchapter M of the Internal Revenue Code of 1986, as amended (the "Code"). See "<u>Federal Income Taxes</u>" below for details.

**General Risks**

The value of a Fund's portfolio securities may fluctuate with changes in the financial condition of an issuer or counterparty, changes in specific economic or political conditions that affect a particular security or issuer and changes in general economic or political conditions. An investor in a Fund could lose money over short or long periods of time.

------

There can be no guarantee that a liquid market for the securities held by a Fund will be maintained. The existence of a liquid trading market for certain securities may depend on whether dealers will make a market in such securities. There can be no assurance that a market will be made or maintained or that any such market will be or remain liquid. The price at which securities may be sold and the value of Shares will be adversely affected if trading markets for a Fund's portfolio securities are limited or absent, or if bid-ask spreads are wide.

***Cyber Security Risk.*** Investment companies, such as the Funds, and their service providers may be subject to operational and information security risks resulting from cyber attacks. Cyber attacks include, among other behaviors, stealing or corrupting data maintained online or digitally, denial of service attacks on websites, the unauthorized release of confidential information or various other forms of cyber security breaches. Cyber attacks affecting a Fund or the Adviser, Sub-Adviser, custodian, transfer agent, intermediaries and other third-party service providers may adversely impact a Fund. For instance, cyber attacks may interfere with the processing of shareholder transactions, impact a Fund's ability to calculate its NAV, cause the release of private shareholder information or confidential company information, impede trading, subject a Fund to regulatory fines or financial losses, and cause reputational damage. A Fund may also incur additional costs for cyber security risk management purposes. Similar types of cyber security risks are also present for issuers of securities in which a Fund invests, which could result in material adverse consequences for such issuers, and may cause a Fund's investments in such portfolio companies to lose value.

***Recent Market Events.*** Beginning in the first quarter of 2020, financial markets in the United States and around the world experienced extreme and, in many cases, unprecedented volatility and severe losses due to the global pandemic caused by COVID-19, a novel coronavirus. The pandemic resulted in a wide range of social and economic disruptions, including closed borders, voluntary or compelled quarantines of large populations, stressed healthcare systems, reduced or prohibited domestic or international travel, and supply chain disruptions affecting the United States and many other countries. Some sectors of the economy and individual issuers experienced particularly large losses as a result of these disruptions. Although the immediate effects of the COVID-19 pandemic have dissipated, global markets and economies continue to contend with the ongoing and long-term impact of the COVID-19 pandemic and the resultant market volatility and economic disruptions. It is unknown how long circumstances related to the pandemic will persist, whether they will reoccur in the future, whether efforts to support the economy and financial markets will be successful, and what additional implications may follow from the pandemic. The impact of these events and other epidemics or pandemics in the future could adversely affect Fund performance.

Russia's military invasion of Ukraine in February 2022, the resulting responses by the United States and other countries, and the potential for wider conflict could increase volatility and uncertainty in the financial markets and adversely affect regional and global economies. The United States and other countries have imposed broad-ranging economic sanctions on Russia, certain Russian individuals, banking entities and corporations, and Belarus as a response to Russia's invasion of Ukraine, and may impose sanctions on other countries that provide military or economic support to Russia. The sanctions restrict companies from doing business with Russia and Russian companies, prohibit transactions with the Russian central bank and other key Russian financial institutions and entities, ban Russian airlines and ships from using many other countries' airspace and ports, respectively, and place a freeze on certain Russian assets. The sanctions also removed some Russian banks from the Society for Worldwide Interbank Financial Telecommunications (SWIFT), the electronic network that connects banks globally to facilitate cross-border payments. In addition, the United States and the United Kingdom have banned oil and other energy imports from Russia, and the European Union has banned most Russian crude oil imports and refined petroleum products, with limited exceptions. The extent and duration of Russia's military actions and the repercussions of such actions (including any retaliatory actions or countermeasures that may be taken by those subject to sanctions, including cyber attacks) are impossible to predict, but could result in significant market disruptions, including in certain industries or sectors, such as the oil and natural gas markets, and may negatively affect global supply chains, inflation and global growth. These and any related events could significantly impact a Fund's performance and the value of an investment in such Fund, even if the Fund does not have direct exposure to Russian issuers or issuers in other countries affected by the invasion.

In addition, the foreign policy agenda of the U.S. administration, which includes the imposition of significant tariffs on foreign countries, including China and long-time U.S. allies, may have a substantial impact on both the U.S. and global economy. In particular, the imposition of increased tariffs by the United States could lead to retaliatory tariffs by foreign countries, increased and prolonged market volatility, and sector-specific downturns in industries reliant on international trade. These efforts may adversely affect the growth of the global economy and, in turn, have a negative impact on the Funds.

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**Description of Permitted Investments**

The following are descriptions of the Funds' permitted investments and investment practices and the associated risk factors. A Fund will only invest in any of the following instruments or engage in any of the following investment practices if such investment or activity is consistent with a Fund's investment objective and permitted by the Fund's stated investment policies. Each of the permitted investments described below applies to each Fund unless otherwise noted.

**Borrowing**. Although the Funds do not intend to borrow money, a Fund may do so to the extent permitted by the 1940 Act. Under the 1940 Act, a Fund may borrow up to one-third (1/3) of its total assets. A Fund will borrow money only for short-term or emergency purposes. Such borrowing is not for investment purposes and will be repaid by the borrowing Fund promptly. Borrowing will tend to exaggerate the effect on NAV of any increase or decrease in the market value of the borrowing Fund's portfolio. Money borrowed will be subject to interest costs that may or may not be recovered by earnings on the securities purchased. A Fund also may be required to maintain minimum average balances in connection with a borrowing or to pay a commitment or other fee to maintain a line of credit; either of these requirements would increase the cost of borrowing over the stated interest rate.

**Depositary Receipts** *(International Fund only)*. To the extent the Fund invests in stocks of foreign corporations, the Fund's investment in securities of foreign companies may be in the form of depositary receipts or other securities convertible into securities of foreign issuers. American Depositary Receipts ("ADRs") are dollar-denominated receipts representing interests in the securities of a foreign issuer, which securities may not necessarily be denominated in the same currency as the securities into which they may be converted. ADRs are receipts typically issued by United States banks and trust companies which evidence ownership of underlying securities issued by a foreign corporation. Generally, ADRs in registered form are designed for use in domestic securities markets and are traded on exchanges or over-the-counter in the United States. Global Depositary Receipts ("GDRs"), European Depositary Receipts ("EDRs"), and International Depositary Receipts ("IDRs") are similar to ADRs in that they are certificates evidencing ownership of shares of a foreign issuer, however, GDRs, EDRs, and IDRs may be issued in bearer form and denominated in other currencies, and are generally designed for use in specific or multiple securities markets outside the U.S. EDRs, for example, are designed for use in European securities markets, while GDRs are designed for use throughout the world. Depositary receipts will not necessarily be denominated in the same currency as their underlying securities.

The Fund will not invest in any unlisted Depositary Receipts or any Depositary Receipt that the Adviser or the Sub-Adviser deem to be illiquid or for which pricing information is not readily available. In addition, all Depositary Receipts generally must be sponsored. However, the Fund may invest in unsponsored Depositary Receipts under certain limited circumstances. The issuers of unsponsored Depositary Receipts are not obligated to disclose material information in the United States and, therefore, there may be less information available regarding such issuers and there may not be a correlation between such information and the value of the Depositary Receipts.

**Equity Securities.** Equity securities, such as the common stocks of an issuer, are subject to stock market fluctuations and therefore may experience volatile changes in value as market conditions, consumer sentiment or the financial condition of the issuers change. A decrease in value of the equity securities in a Fund's portfolio may also cause the value of the Fund's Shares to decline.

An investment in the Funds should be made with an understanding of the risks inherent in an investment in equity securities, including the risk that the financial condition of issuers may become impaired or that the general condition of the stock market may deteriorate (either of which may cause a decrease in the value of a Fund's portfolio securities and therefore a decrease in the value of Shares). Common stocks are susceptible to general stock market fluctuations and to volatile increases and decreases in value as market confidence and perceptions change. These investor perceptions are based on various and unpredictable factors, including expectations regarding government, economic, monetary and fiscal policies; inflation and interest rates; economic expansion or contraction; and global or regional political, economic, public health, or banking crises.

Holders of common stocks incur more risk than holders of preferred stocks and debt obligations because common stockholders, as owners of the issuer, generally have inferior rights to receive payments from the issuer in comparison with the rights of creditors or holders of debt obligations or preferred stocks. Further, unlike debt securities, which typically have a stated principal amount payable at maturity (whose value, however, is subject to market fluctuations prior thereto), or preferred stocks, which typically have a liquidation preference and which may have stated optional or mandatory redemption provisions, common stocks have neither a fixed principal amount nor a maturity. Common stock values are subject to market fluctuations as long as the common stock remains outstanding.

*When-Issued Securities:* A when-issued security is one whose terms are available and for which a market exists, but which has not been issued. When a Fund engages in when-issued transactions, it relies on the other party to consummate the sale. If the other party fails to complete the sale, a Fund may miss the opportunity to obtain the security at a favorable price or yield.

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When purchasing a security on a when-issued basis, a Fund assumes the rights and risks of ownership of the security, including the risk of price and yield changes. At the time of settlement, the value of the security may be more or less than the purchase price. The yield available in the market when the delivery takes place also may be higher than those obtained in the transaction itself. Because a Fund does not pay for the security until the delivery date, these risks are in addition to the risks associated with its other investments.

Decisions to enter into "when-issued" transactions will be considered on a case-by-case basis when necessary to maintain continuity in a company's index membership. A Fund will segregate cash or liquid securities equal in value to commitments for the when-issued transactions. A Fund will segregate additional liquid assets daily so that the value of such assets is equal to the amount of the commitments.

**Types of Equity Securities:**

*Common Stocks* — Common stocks represent units of ownership in a company. Common stocks usually carry voting rights and earn dividends. Unlike preferred stocks, which are described below, dividends on common stocks are not fixed but are declared at the discretion of the company's board of directors.

*Preferred Stocks* — Preferred stocks are also units of ownership in a company. Preferred stocks normally have preference over common stock in the payment of dividends and the liquidation of the company. However, in all other respects, preferred stocks are subordinated to the liabilities of the issuer. Unlike common stocks, preferred stocks are generally not entitled to vote on corporate matters. Types of preferred stocks include adjustable-rate preferred stock, fixed dividend preferred stock, perpetual preferred stock, and sinking fund preferred stock.

Generally, the market values of preferred stock with a fixed dividend rate and no conversion element vary inversely with interest rates and perceived credit risk.

*Rights and Warrants* — A right is a privilege granted to existing shareholders of a corporation to subscribe to shares of a new issue of common stock before it is issued. Rights normally have a short life of usually two to four weeks, are freely transferable and entitle the holder to buy the new common stock at a lower price than the public offering price. Warrants are securities that are usually issued together with a debt security or preferred stock and that give the holder the right to buy proportionate amount of common stock at a specified price. Warrants are freely transferable and are traded on major exchanges. Unlike rights, warrants normally have a life that is measured in years and entitles the holder to buy common stock of a company at a price that is usually higher than the market price at the time the warrant is issued. Corporations often issue warrants to make the accompanying debt security more attractive.

An investment in warrants and rights may entail greater risks than certain other types of investments. Generally, rights and warrants do not carry the right to receive dividends or exercise voting rights with respect to the underlying securities, and they do not represent any rights in the assets of the issuer. In addition, their value does not necessarily change with the value of the underlying securities, and they cease to have value if they are not exercised on or before their expiration date. Investing in rights and warrants increases the potential profit or loss to be realized from the investment as compared with investing the same amount in the underlying securities.

*Real Estate Investment Trusts ("REITs") —* A U.S. REIT is a corporation or business trust (that would otherwise be taxed as a corporation) which meets the definitional requirements of the Code. The Code permits a qualifying REIT to deduct from taxable income the dividends paid, thereby effectively eliminating corporate level federal income tax. To meet the definitional requirements of the Code, a REIT must, among other things: invest substantially all of its assets in interests in real estate (including mortgages and other REITs), cash and government securities; derive most of its income from rents from real property or interest on loans secured by mortgages on real property; and, in general, distribute annually 90% or more of its taxable income (other than net capital gains) to shareholders.

REITs are sometimes informally characterized as Equity REITs and Mortgage REITs. An Equity REIT invests primarily in the fee ownership or leasehold ownership of land and buildings (*e.g.*, commercial equity REITs and residential equity REITs); a Mortgage REIT invests primarily in mortgages on real property, which may secure construction, development, or long-term loans.

REITs may be affected by changes in underlying real estate values, which may have an exaggerated effect to the extent that REITs in which a Fund invests may concentrate investments in particular geographic regions or property types. Additionally, rising interest rates may cause investors in REITs to demand a higher annual yield from future distributions, which may in turn decrease market prices for equity securities issued by REITs. Rising interest rates also generally increase the costs of obtaining financing, which could cause the value of a Fund's investments to decline. During periods of declining interest rates, certain Mortgage REITs may hold mortgages that the mortgagors elect to prepay, which prepayment may diminish the yield on securities issued by such Mortgage REITs. In addition, Mortgage REITs may be affected by the ability of borrowers to repay when due the debt extended by the REIT and Equity REITs may be affected by the ability of tenants to pay rent.

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Certain REITs have relatively small market capitalization, which may tend to increase the volatility of the market price of securities issued by such REITs. Furthermore, REITs are dependent upon specialized management skills, have limited diversification and are, therefore, subject to risks inherent in operating and financing a limited number of projects. By investing in REITs indirectly through a Fund, a shareholder will bear not only his or her proportionate share of the expenses of such Fund, but also, indirectly, similar expenses of the REITs. REITs depend generally on their ability to generate cash flow to make distributions to shareholders.

In addition to these risks, Equity REITs may be affected by changes in the value of the underlying property owned by the trusts, while Mortgage REITs may be affected by the quality of any credit extended. Further, Equity and Mortgage REITs are dependent upon management skills and generally may not be diversified. Equity and Mortgage REITs are also subject to heavy cash flow dependency defaults by borrowers and self-liquidation. In addition, Equity and Mortgage REITs could possibly fail to qualify for the favorable U.S. federal income tax treatment generally available to U.S. REITs under the Code or fail to maintain their exemptions from registration under the 1940 Act. The above factors may also adversely affect a borrower's or a lessee's ability to meet its obligations to the REIT. In the event of default by a borrower or lessee, the REIT may experience delays in enforcing its rights as a mortgagee or lessor and may incur substantial costs associated with protecting its investments.

*Medium-Sized Companies* — Investors in medium-sized companies typically take on greater risk and price volatility than they would by investing in larger, more established companies. This increased risk may be due to the greater business risks of their medium size, limited markets and financial resources, narrow product lines and frequent lack of management depth. The securities of medium-sized companies are often traded in the over-the-counter market and might not be traded in volumes typical of securities traded on a national securities exchange. Thus, the securities of medium capitalization companies are likely to be less liquid, and subject to more abrupt or erratic market movements, than securities of larger, more established companies.

*Smaller Companies* — The securities of small- and mid-capitalization companies may be more vulnerable to adverse issuer, market, political, or economic developments than securities of larger-capitalization companies. The securities of small- and mid-capitalization companies generally trade in lower volumes and are subject to greater and more unpredictable price changes than larger capitalization stocks or the stock market as a whole. Some small- or mid-capitalization companies have limited product lines, markets, and financial and managerial resources and tend to concentrate on fewer geographical markets relative to larger capitalization companies. There is typically less publicly available information concerning small- and mid-capitalization companies than for larger, more established companies. Small- and mid-capitalization companies also may be particularly sensitive to changes in interest rates, government regulation, borrowing costs, and earnings.

*Tracking Stocks* — The Funds may invest in tracking stocks. A tracking stock is a separate class of common stock whose value is linked to a specific business unit or operating division within a larger company and which is designed to "track" the performance of such business unit or division. The tracking stock may pay dividends to shareholders independent of the parent company. The parent company, rather than the business unit or division, generally is the issuer of tracking stock. However, holders of the tracking stock may not have the same rights as holders of the company's common stock.

**Exchange-Traded Funds.** The Funds may invest in shares of other investment companies (including ETFs). As the shareholder of another ETF, a Fund would bear, along with other shareholders, its pro rata portion of the other ETF's expenses, including advisory fees. Such expenses are in addition to the expenses each Fund pays in connection with its own operations. A Fund's investments in other ETFs may be limited by applicable law.

Disruptions in the markets for the securities underlying ETFs purchased or sold by a Fund could result in losses on investments in ETFs. ETFs also carry the risk that the price a Fund pays or receives may be higher or lower than the ETF's NAV. ETFs are also subject to certain additional risks, including the risks of illiquidity and of possible trading halts due to market conditions or other reasons, based on the policies of the relevant exchange. ETFs and other investment companies in which a Fund may invest may be leveraged, which would increase the volatility of a Fund's NAV.

**Fixed-Income Securities*.*** The Funds may invest in fixed-income securities. Fixed-income securities include a broad array of short-, medium-, and long-term obligations issued by the U.S. or foreign governments, government or international agencies and instrumentalities, and corporate and private issuers of various types. The maturity date is the date on which a fixed-income security matures. This is the date on which the borrower must pay back the borrowed amount, which is known as the principal. Some fixed-income securities represent uncollateralized obligations of their issuers; in other cases, the securities may be backed by specific assets (such as mortgages or other receivables) that have been set aside as collateral for the issuer's obligation. Fixed-income securities generally involve an obligation of the issuer to pay interest or dividends on either a current basis or at the maturity of the security, as well as the obligation to repay the principal amount of the security at maturity. The rate of interest on fixed-income securities may be fixed, floating, or variable. Some securities pay a higher interest rate than the current market rate. An investor may have to pay more than the security's principal to compensate the seller for the value of the higher interest rate. This additional payment is a premium.

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Fixed-income securities are subject to credit risk, market risk, and interest rate risk. Except to the extent values are affected by other factors such as developments relating to a specific issuer, generally the value of a fixed-income security can be expected to rise when interest rates decline and, conversely, the value of such a security can be expected to fall when interest rates rise. Some fixed-income securities also involve prepayment or call risk. This is the risk that the issuer will repay a Fund the principal on the security before it is due, thus depriving such Fund of a favorable stream of future interest or dividend payments. Such Fund could buy another security, but that other security might pay a lower interest rate. In addition, many fixed-income securities contain call or buy-back features that permit their issuers to call or repurchase the securities from their holders. Such securities may present risks based on payment expectations. Although a Fund would typically receive a premium if an issuer were to redeem a security, if an issuer were to exercise a call option and redeem the security during times of declining interest rates, the Fund may realize a capital loss on its investment if the security was purchased at a premium and such Fund may be forced to replace the called security with a lower yielding security.

Changes by nationally recognized securities rating organizations ("NRSROs") in their ratings of any fixed-income security or the issuer of a fixed-income security and changes in the ability of an issuer to make payments of interest and principal may also affect the value of these investments. Changes in the value of portfolio securities generally will not affect income derived from these securities, but will affect a Fund's NAV.

Duration is an estimate of how much a bond's price will fluctuate in response to a change in interest rates. In general, the value of a fixed-income security with positive duration will generally decline if interest rates increase, whereas the value of a security with negative duration will generally decline if interest rates decrease. If interest rates rise by one percentage point, the price of debt securities with an average duration of five years would be expected to decline by about 5%. If rates decrease by a percentage point, the price of debt securities with an average duration of five years would be expected to rise by about 5%. The greater the duration of a bond (whether positive or negative), the greater its percentage price volatility. Only a pure discount bond – that is, one with no coupon or sinking-fund payments – has a duration equal to the remaining maturity of the bond, because only in this case does the present value of the final redemption payment represent the entirety of the present value of the bond. For all other bonds, duration is less than maturity.

The Funds may invest in variable- or floating-rate securities (including, but not limited to, floating rate notes issued by the U.S. Treasury), which bear interest at rates subject to periodic adjustment or provide for periodic recovery of principal on demand. The value of a Fund's investment in certain of these securities may depend on such Fund's right to demand that a specified bank, broker-dealer, or other financial institution either purchase such securities from a Fund at par or make payment on short notice to a Fund of unpaid principal and/or interest on the securities.

**Illiquid Securities.** Each Fund may invest up to an aggregate amount of 15% of its net assets in illiquid investments, as such term is defined by Rule 22e-4 under the 1940 Act. A Fund may not invest in illiquid investments if, as a result of such investment, more than 15% of the Fund's net assets would be invested in illiquid investments. Illiquid investments include securities subject to contractual or other restrictions on resale and other instruments that lack readily available markets. The inability of a Fund to dispose of illiquid investments readily or at a reasonable price could impair a Fund's ability to raise cash for redemptions or other purposes. The liquidity of securities purchased by a Fund that are eligible for resale pursuant to Rule 144A, except for certain 144A bonds, will be monitored by a Fund on an ongoing basis. In the event that more than 15% of a Fund's net assets are invested in illiquid investments, the Fund, in accordance with Rule 22e-4(b)(1)(iv), will report the occurrence to both the Board and the SEC and seek to reduce its holdings of illiquid investments within a reasonable period of time.

**Investment Company Securities.** The Funds may invest in the securities of other investment companies, including ETFs and money market funds, subject to applicable limitations under Section 12(d)(1) of the 1940 Act and Rule 12d1-4 under the 1940 Act. Investing in another pooled vehicle exposes a Fund to all the risks of that pooled vehicle. Pursuant to Section 12(d)(1), a Fund may invest in the securities of another investment company (the "acquired company") provided that such Fund, immediately after such purchase or acquisition, does not own in the aggregate: (i) more than 3% of the total outstanding voting stock of the acquired company; (ii) securities issued by the acquired company having an aggregate value in excess of 5% of the value of the total assets of such Fund; or (iii) securities issued by the acquired company and all other investment companies (other than treasury stock of such Fund) having an aggregate value in excess of 10% of the value of the total assets of the applicable Fund. To the extent allowed by law or regulation, the Funds may invest their assets in securities of investment companies that are money market funds in excess of the limits discussed above.

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The Funds may rely on Section 12(d)(1)(F) and Rule 12d1-3 under the 1940 Act, which provide an exemption from Section 12(d)(1) that allow the Funds to invest all of its assets in other registered funds, including ETFs, if, among other conditions: (a) a Fund, together with its affiliates, acquires no more than three percent of the outstanding voting stock of any acquired fund, and (b) the sales load charged on a Fund's Shares is no greater than the limits set forth in Rule 2341 of the Rules of the Financial Industry Regulatory Authority, Inc. ("FINRA"). In addition, the Funds may invest beyond the limits of Section 12(d)(1) subject to certain terms and conditions set forth in Rule 12d1-4 under the 1940 Act, including that the Funds enter into an agreement with the acquired company.

If a Fund invests in and, thus, is a shareholder of, another investment company, the Fund's shareholders will indirectly bear the Fund's proportionate share of the fees and expenses paid by such other investment company, including advisory fees, in addition to both the management fees payable directly by the Fund to the Fund's own investment adviser and the other expenses that the Fund bears directly in connection with the Fund's own operations.

Section 12(d)(1) of the 1940 Act restricts investments by registered investment companies ("Investing Funds") in the securities of other registered investment companies, including the Funds. The acquisition of Shares by Investing Funds is subject to the restrictions of Section 12(d)(1) of the 1940 Act, except as may be permitted by exemptive rules under the 1940 Act such as Rule 12d1-4, subject to certain terms and conditions, including that the Investing Fund enter into an agreement with the Funds regarding the terms of the investment.

**Master Limited Partnerships** *(U.S. Fund and Small/Mid Fund only).* MLPs are limited partnerships in which the ownership units are publicly traded. MLP units are registered with the SEC and are freely traded on a securities exchange or in the OTC market. MLPs often own several properties or businesses (or own interests) that are related to real estate development and oil and gas industries, but they also may finance motion pictures, research and development and other projects. Generally, a MLP is operated under the supervision of one or more managing general partners. Limited partners are not involved in the day-to-day management of the partnership.

The risks of investing in a MLP are generally those involved in investing in a partnership as opposed to a corporation. For example, state law governing partnerships is often less restrictive than state law governing corporations. Accordingly, there may be fewer protections afforded investors in a MLP than investors in a corporation. Additional risks involved with investing in a MLP are risks associated with the specific industry or industries in which the partnership invests, such as the risks of investing in real estate, or oil and gas industries.

MLPs are generally treated as partnerships for U.S. federal income tax purposes. When the Fund invests in the equity securities of an MLP or any other entity that is treated as a partnership for U.S. federal income tax purposes, the Fund will be treated as a partner in the entity for tax purposes. Accordingly, in calculating the Fund's taxable income, it will be required to take into account its allocable share of the income, gains, losses, deductions, and credits recognized by each such entity, regardless of whether the entity distributes cash to the Fund. Distributions from such an entity to the Fund are not generally taxable unless the cash amount (or, in certain cases, the fair market value of marketable securities) distributed to the Fund exceeds the Fund's adjusted tax basis in its interest in the entity. In general, the Fund's allocable share of such an entity's net income will increase the Fund's adjusted tax basis in its interest in the entity, and distributions to the Fund from such an entity and the Fund's allocable share of the entity's net losses will decrease the Fund's adjusted basis in its interest in the entity, but not below zero. The Fund may receive cash distributions from such an entity in excess of the net amount of taxable income the Fund is allocated from its investment in the entity. In other circumstances, the net amount of taxable income the Fund is allocated from its investment in such an entity may exceed cash distributions received from the entity. Thus, the Fund's investments in such an entity may lead the Fund to make distributions in excess of its earnings and profits, or the Fund may be required to sell investments, including when not otherwise advantageous to do so, to satisfy the distribution requirements applicable to RICs under the Code.

Depreciation or other cost recovery deductions passed through to the Fund from any investments in MLPs in a given year will generally reduce the Fund's taxable income, but those deductions may be recaptured in the Fund's income in one or more subsequent years. When recognized and distributed, recapture income will generally be taxable to the Fund's shareholders at the time of the distribution at ordinary income tax rates, even though those shareholders might not have held Shares in the Fund at the time the deductions were taken, and even though those shareholders may not have corresponding economic gain on their Shares at the time of the recapture. To distribute recapture income or to fund redemption requests, the Fund may need to liquidate investments, which may lead to additional taxable income.

**Non-U.S. Securities** *(International Fund only)*. Investments in non-U.S. securities involve certain risks that may not be present in investments in U.S. securities. For example, non-U.S. securities may be subject to currency risks or to political or economic instability. There may be less information publicly available about a non-U.S. issuer than about a U.S. issuer, and a foreign issuer may or may not be subject to uniform accounting, auditing and financial reporting standards and practices comparable to those in the U.S. Investments in non-U.S. securities may be subject to withholding or other taxes and may be subject to additional trading, settlement, custodial, and operational risks. Other risks of investing in such securities include political or economic instability in the country involved, the difficulty of predicting international trade patterns and the possible imposition of tariffs and exchange controls. The prices of such

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securities may be more volatile than those of domestic securities. With respect to certain foreign countries, there is a possibility of expropriation of assets or nationalization, imposition of withholding taxes on dividend or interest payments, difficulty in obtaining and enforcing judgments against foreign entities or diplomatic developments which could affect investment in these countries. Losses and other expenses may be incurred in converting between various currencies in connection with purchases and sales of foreign securities. Since foreign exchanges may be open on days when the Fund does not price its Shares, the value of the securities in the Fund's portfolio may change on days when shareholders will not be able to purchase or sell Shares. Conversely, Shares may trade on days when foreign exchanges are closed. Each of these factors can make investments in the Fund more volatile and potentially less liquid than other types of investments.

Non-U.S. stock markets may not be as developed or efficient as, and may be more volatile than, those in the U.S. While the volume of shares traded on non-U.S. stock markets generally has been growing, such markets usually have substantially less volume than U.S. markets. Therefore, the Fund's investment in non-U.S. equity securities may be less liquid and subject to more rapid and erratic price movements than comparable securities listed for trading on U.S. exchanges. Non-U.S. equity securities may trade at price/earnings multiples higher than comparable U.S. securities and such levels may not be sustainable. There may be less government supervision and regulation of foreign stock exchanges, brokers, banks and listed companies abroad than in the U.S. Moreover, settlement practices for transactions in foreign markets may differ from those in U.S. markets. Such differences may include delays beyond periods customary in the U.S. and practices, such as delivery of securities prior to receipt of payment, that increase the likelihood of a failed settlement, which can result in losses to the Fund. The value of non-U.S. investments and the investment income derived from them may also be affected unfavorably by changes in currency exchange control regulations. Foreign brokerage commissions, custodial expenses, and other fees are also generally higher than for securities traded in the U.S. This may cause the Fund to incur higher portfolio transaction costs than domestic equity funds. Fluctuations in exchange rates may also affect the earning power and asset value of the foreign entity issuing a security, even one denominated in U.S. dollars. Dividend and interest payments may be repatriated based on the exchange rate at the time of disbursement, and restrictions on capital flows may be imposed.

Set forth below for certain markets in which the Fund may invest are brief descriptions of some of the conditions and risks in each such market.

*Investments in China and Hong Kong.* Investing in ADRs with underlying shares organized, listed or domiciled in China involves special considerations not typically associated with investing in countries with more democratic governments or more established economies or securities markets. Such risks may include: (i) the risk of nationalization or expropriation of assets or confiscatory taxation; (ii) greater social, economic and political uncertainty (including the risk of war); (iii) dependency on exports and the corresponding importance of international trade; (iv) increasing competition from Asia's other low-cost emerging economies; (v) higher rates of inflation; (vi) controls on foreign investment and limitations on repatriation of invested capital; (vii) greater governmental involvement in and control over the economy; (viii) the risk that the Chinese government may decide not to continue to support the economic reform programs implemented since 1978 and could return to the prior, completely centrally planned, economy; (ix) the fact that Chinese companies, particularly those located in China, may be smaller, less seasoned and newly organized; (x) the differences in, or lack of, auditing and financial reporting standards which may result in unavailability of material information about issuers, particularly in China where, for example, the Public Company Accounting Oversight Board ("PCAOB") lacks access to inspect PCAOB-registered accounting firms; (xi) the fact that statistical information regarding the economy of China may be inaccurate or not comparable to statistical information regarding the U.S. or other economies; (xii) the less extensive, and still developing, regulation of the securities markets, business entities and commercial transactions; (xiii) the fact that the settlement period of securities transactions in foreign markets may be longer; (xiv) the fact that the willingness and ability of the Chinese government to support the Chinese and Hong Kong economies and markets is uncertain; (xv) the risk that it may be more difficult, or impossible, to obtain and/or enforce a judgment than in other countries; (xvi) the rapid and erratic nature of growth, particularly in China, resulting in inefficiencies and dislocations; (xvii) the risk that, because of the degree of interconnectivity between the economies and financial markets of China and Hong Kong, any sizable reduction in the demand for goods from China, or an economic downturn in China, could negatively affect the economy and financial market of Hong Kong as well; and (xviii) the risk that certain companies in the Fund's portfolio may have dealings with countries subject to sanctions or embargoes imposed by the U.S. Government or identified as state sponsors of terrorism.

China is also vulnerable economically to the impact of a public health crisis, which could depress consumer demand, reduce economic output, and potentially lead to market closures, travel restrictions, and quarantines, all of which would negatively impact China's economy and could affect the economies of its trading partners.

After many years of steady growth, the growth rate of China's economy had slowed prior to 2020. Although this slowdown was to some degree intentional, the slowdown also slowed the once rapidly growing Chinese real estate market and left local governments with high debts with few viable means to raise revenue, especially with the fall in demand for housing. In the first quarter of 2021, however, as China recovered from the COVID-19 pandemic, these trends reversed as China's economy grew over 18% on a year-over-year basis and demand grew within the Chinese real estate market. It remains unclear though whether

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these trends will continue given global economic uncertainties caused by the pandemic and trade relations and fears that the Chinese real estate market may be overheating.

Investments in Hong Kong are also subject to certain political risks not associated with other investments. Following the establishment of the People's Republic of China by the Communist Party in 1949, the Chinese government renounced various debt obligations incurred by China's predecessor governments, which obligations remain in default, and expropriated assets without compensation. There can be no assurance that the Chinese government will not take similar action in the future. Investments in China and Hong Kong involve risk of a total loss due to government action or inaction. China has committed by treaty to preserve Hong Kong's autonomy and its economic, political and social freedoms for 50 years from the July 1, 1997 transfer of sovereignty from Great Britain to China. However, if China would exert its authority so as to alter the economic, political, or legal structures or the existing social policy of Hong Kong, investor and business confidence in Hong Kong could be negatively affected, which in turn could negatively affect markets and business performance. In addition, the Hong Kong dollar trades at a fixed exchange rate in relation to (or, is "pegged" to) the U.S. dollar, which has contributed to the growth and stability of the Hong Kong economy. However, it is uncertain how long the currency peg will continue or what effect the establishment of an alternative exchange rate system would have on the Hong Kong economy. Because the Fund's NAV is denominated in U.S. dollars, the establishment of an alternative exchange rate system could result in a decline in the Fund's NAV. These and other factors could have a negative impact on the Fund's performance.

*Investments in Variable Interest Entities ("VIEs").* In seeking exposure to Chinese companies, the Fund may invest in VIE structures. VIE structures can vary, but generally consist of a U.S.-listed company with contractual arrangements, through one or more wholly-owned special purpose vehicles, with a Chinese company that ultimately provides the U.S.-listed company with contractual rights to exercise control over and obtain economic benefits from the Chinese company. Although the U.S.-listed company in a VIE structure has no equity ownership in the underlying Chinese company, the VIE contractual arrangements permit the VIE structure to consolidate its financial statements with those of the underlying Chinese company. The VIE structure enables foreign investors, such as the Fund, to obtain investment exposure similar to that of an equity owner in a Chinese company in situations in which the Chinese government has restricted the non-Chinese ownership of such company. As a result, an investment in a VIE structure subjects the Fund to the risks associated with the underlying Chinese company. In its efforts to monitor, regulate and/or control foreign investment and participation in the ownership and operation of Chinese companies, including in particular those within the technology, telecommunications and education industries, the Chinese government may intervene or seek to control the operations, structure, or ownership of Chinese companies, including VIEs, to the disadvantage of foreign investors, such as the Fund. Intervention by the Chinese government with respect to a VIE could significantly and adversely affect the Chinese company's performance or the enforceability of the company's contractual arrangements with the VIE and thus, the value of the Fund's investment in the VIE. In addition to the risk of government intervention, the Fund's investment in a VIE structure is subject to the risk that the underlying Chinese company (or its officers, directors, or Chinese equity owners) may breach the contractual arrangements with the other entities in the VIE structure, or that Chinese law changes in a way that affects the enforceability of these arrangements, or those contracts are otherwise not enforceable under Chinese law, in which case the Fund may suffer significant losses on its VIE investments with little or no recourse available.

*Investments in Emerging Markets*. Investments in securities listed and traded in emerging markets are subject to additional risks that may not be present for U.S. investments or investments in more developed non-U.S. markets. Such risks may include: (i) greater market volatility; (ii) lower trading volume; (iii) greater social, political and economic uncertainty; (iv) governmental controls on foreign investments and limitations on repatriation of invested capital; (v) the risk that companies may be held to lower disclosure, corporate governance, auditing and financial reporting standards than companies in more developed markets; (vi) the risk that there may be less protection of property rights than in other countries; and (vii) fewer investor rights and limited legal or practical remedies available to investors against emerging market companies. Emerging markets are generally less liquid and less efficient than developed securities markets.

*Investments in Europe.* Most developed countries in Western Europe are members of the European Union ("EU"), and many are also members of the European Monetary Union (EMU), which requires compliance with restrictions on inflation rates, deficits, and debt levels. Unemployment in certain European nations is historically high and several countries face significant debt problems. These conditions can significantly affect every country in Europe. The euro is the official currency of the EU. The Fund, through its investments in Europe, may have significant exposure to the euro and events affecting the euro. Recent market events affecting several of the EU member countries have adversely affected the sovereign debt issued by those countries, and ultimately may lead to a decline in the value of the euro. A significant decline in the value of the euro may produce unpredictable effects on trade and commerce generally and could lead to increased volatility in financial markets worldwide.

The UK formally exited from the EU on January 31, 2020 (known as "Brexit"), and effective December 31, 2020, the UK ended a transition period during which it continued to abide by the EU's rules and the UK's trade relationships with the EU were generally unchanged. During this transition period and beyond, the impact on the UK and European economies and the broader global economy could be significant, resulting in negative impacts, such as increased volatility and illiquidity, potentially lower

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economic growth on markets in the UK, Europe, and globally, and changes in legal and regulatory regimes to which certain Fund assets are or become subject, any of which may adversely affect the value of Fund investments.

The effects of Brexit will depend, in part, on agreements the UK negotiates to retain access to EU markets, including, but not limited to, current trade and finance agreements. Brexit could lead to legal and tax uncertainty and potentially divergent national laws and regulations, as the UK determines which EU laws to replace or replicate. The extent of the impact of the withdrawal negotiations in the UK and in global markets, as well as any associated adverse consequences, remain unclear, and the uncertainty may have a significant negative effect on the value of Fund investments. If one or more other countries were to exit the EU or abandon the use of the euro as a currency, the value of investments tied to those countries or the euro could decline significantly and unpredictably.

Russia's large-scale invasion of Ukraine on February 24, 2022 has led to various countries imposing economic sanctions on certain Russian individuals and Russian corporate and banking entities. A number of jurisdictions have also instituted broader sanctions on Russia, including banning Russia from global payments systems that facilitate cross-border payments. In response, the government of Russia has imposed capital controls to restrict movements of capital entering and exiting the country. As a result, the value and liquidity of Russian securities and the Russian currency have experienced significant declines. Further, as of the date of this SAI, the Russian securities markets effectively have been closed for trading by foreign investors since February 28, 2022.

Russia's military incursion and resulting sanctions could have a severe adverse effect on the region's economies and more globally, including significant negative impacts on the financial markets for certain securities and commodities and could affect the value of the Fund's investments. Eastern European markets are particularly sensitive to social, political, economic, and currency events in Russia and may suffer heavy losses as a result of their trading and investment links to the Russian economy and currency. Changes in regulations on trade, decreasing imports or exports, changes in the exchange rate of the euro, a significant influx of refugees, and recessions among European countries may have a significant adverse effect on the economies of other European countries including those of Eastern Europe.

*Investments in Japan.* Economic growth in Japan is heavily dependent on international trade, government support, and consistent government policy. Slowdowns in the economies of key trading partners such as the United States, China, and countries in Southeast Asia could have a negative impact on the Japanese economy as a whole. The Japanese economy has in the past been negatively affected by, among other factors, government intervention and protectionism and an unstable financial services sector. While the Japanese economy has recently emerged from a prolonged economic downturn, some of these factors, as well as other adverse political developments, increases in government debt, changes to fiscal, monetary or trade policies, or other events, such as natural disasters, could have a negative impact on Japanese securities. Japan also has few natural resources, and any fluctuation or shortage in the commodity markets could have a negative impact on Japanese securities.

*Investments in South Korea*. Investments in South Korean issuers involve risks that are specific to South Korea, including legal, regulatory, political, currency, security and economic risks. Substantial political tensions exist between North Korea and South Korea and recently these political tensions have escalated. The outbreak of hostilities between the two nations, or even the threat of an outbreak of hostilities, will likely adversely impact the South Korean economy. In addition, South Korea's economic growth potential has recently been on a decline, mainly because of a rapidly aging population and structural problems.

*Investments in Taiwan*. Investments in Taiwanese issuers may subject the Fund to legal, regulatory, political, currency and economic risks that are specific to Taiwan. Specifically, Taiwan's geographic proximity and history of political contention with China have resulted in ongoing tensions between the two countries. These tensions may materially affect the Taiwanese economy and its securities market. Taiwan's economy is export-oriented, so it depends on an open world trade regime and remains vulnerable to fluctuations in the world economy. The Taiwanese economy is dependent on the economies of Asia, mainly those of Japan and China, and the United States. Reduction in spending by any of these countries on Taiwanese products and services or negative changes in any of these economies may cause an adverse impact on the Taiwanese economy.

**Other Short-Term Instruments**. The Funds may invest in short-term instruments, including money market instruments, on an ongoing basis to provide liquidity or for other reasons. Money market instruments are generally short-term investments that may include but are not limited to: (i) shares of money market funds; (ii) obligations issued or guaranteed by the U.S. government, its agencies or instrumentalities (including government-sponsored enterprises); (iii) negotiable certificates of deposit ("CDs"), bankers' acceptances, fixed time deposits and other obligations of U.S. and foreign banks (including foreign branches) and similar institutions; (iv) commercial paper rated at the date of purchase "Prime-1" by Moody's or "A-1" by S&P or, if unrated, of comparable quality as determined by the Adviser or the Sub-Adviser (as pertains to the International Fund and Small/Mid Fund only); (v) non-convertible corporate debt securities (*e.g.*, bonds and debentures) with remaining maturities at the date of purchase of not more than 397 days and that satisfy the rating requirements set forth in Rule 2a-7 under the 1940 Act; and (vi) short-term U.S. dollar-denominated obligations of foreign banks (including U.S. branches) that, in the opinion of the Adviser or Sub-Adviser (as pertains to the International Fund and Small/Mid Fund only), are of comparable quality to obligations of U.S. banks which may be purchased by a Fund. Any of these

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instruments may be purchased on a current or a forward-settled basis. Money market instruments also include shares of money market funds. Time deposits are non-negotiable deposits maintained in banking institutions for specified periods of time at stated interest rates. Bankers' acceptances are time drafts drawn on commercial banks by borrowers, usually in connection with international transactions.

**Repurchase Agreements.** Each Fund may invest in repurchase agreements to generate income from its excess cash balances and to invest securities lending cash collateral. A repurchase agreement is an agreement under which a Fund acquires a financial instrument (*e.g.*, a security issued by the U.S. government or an agency thereof, a banker's acceptance or a certificate of deposit) from a seller, subject to resale to the seller at an agreed upon price and date (normally, the next Business Day). A repurchase agreement may be considered a loan collateralized by securities. The resale price reflects an agreed upon interest rate effective for the period the instrument is held by the applicable Fund and is unrelated to the interest rate on the underlying instrument.

In these repurchase agreement transactions, the securities acquired by a Fund (including accrued interest earned thereon) must have a total value in excess of the value of the repurchase agreement and are held by the Custodian until repurchased. No more than an aggregate of 15% of a Fund's net assets will be invested in illiquid investments, including repurchase agreements having maturities longer than seven days and securities subject to legal or contractual restrictions on resale, or for which there are no readily available market quotations.

The use of repurchase agreements involves certain risks. For example, if the other party to the agreement defaults on its obligation to repurchase the underlying security at a time when the value of the security has declined, a Fund may incur a loss upon disposition of the security. If the other party to the agreement becomes insolvent and subject to liquidation or reorganization under the U.S. Bankruptcy Code or other laws, a court may determine that the underlying security is collateral for a loan by a Fund not within the control of the Fund and, therefore, the Fund may not be able to substantiate its interest in the underlying security and may be deemed an unsecured creditor of the other party to the agreement.

**Securities Lending.** Each Fund may lend portfolio securities in an amount up to one-third of its total assets to brokers, dealers and other financial institutions. In a portfolio securities lending transaction, a Fund receives from the borrower an amount equal to the interest paid or the dividends declared on the loaned securities during the term of the loan as well as the interest on the collateral securities, less any fees (such as finders or administrative fees) the Fund pays in arranging the loan. A Fund may share the interest it receives on the collateral securities with the borrower. The terms of each Fund's loans permit each Fund to reacquire loaned securities on five business days' notice or in time to vote on any important matter. Loans are subject to termination at the option of the applicable Fund or borrower at any time, and the borrowed securities must be returned when the loan is terminated. The Funds may pay fees to arrange for securities loans.

The SEC currently requires that the following conditions must be met whenever a Fund's portfolio securities are loaned: (1) the Fund must receive at least 100% cash collateral from the borrower; (2) the borrower must increase such collateral whenever the market value of the securities rises above the level of such collateral; (3) the Fund must be able to terminate the loan at any time; (4) the Fund must receive reasonable interest on the loan, as well as any dividends, interest or other distributions on the loaned securities, and any increase in market value; (5) the Fund may pay only reasonable custodian fees approved by the Board in connection with the loan; (6) while voting rights on the loaned securities may pass to the borrower, the Board must terminate the loan and regain the right to vote the securities if a material event adversely affecting the investment occurs; and (7) the Fund may not loan its portfolio securities so that the value of the loaned securities is more than one-third of its total asset value, including collateral received from such loans. These conditions may be subject to future modification. Such loans will be terminable at any time upon specified notice. A Fund might experience the risk of loss if the institution with which it has engaged in a portfolio loan transaction breaches its agreement with the Fund. In addition, the Funds will not enter into any portfolio security lending arrangement having a duration of longer than one year. The principal risk of portfolio lending is potential default or insolvency of the borrower. In either of these cases, a Fund could experience delays in recovering securities or collateral or could lose all or part of the value of the loaned securities. As part of participating in a lending program, the applicable Fund may be required to invest in collateralized debt or other securities that bear the risk of loss of principal. In addition, all investments made with the collateral received are subject to the risks associated with such investments. If such investments lose value, a Fund will have to cover the loss when repaying the collateral.

Any loans of portfolio securities are fully collateralized based on values that are marked-to-market daily. Any securities that a Fund may receive as collateral will not become part of the Fund's investment portfolio at the time of the loan and, in the event of a default by the borrower, the Fund will, if permitted by law, dispose of such collateral except for such part thereof that is a security in which the Fund is permitted to invest. During the time securities are on loan, the borrower will pay a Fund any accrued income on those securities, and the Fund may invest the cash collateral and earn income or receive an agreed-upon fee from a borrower that has delivered cash-equivalent collateral.

**Tax Risks.** As with any investment, you should consider how your investment in Shares will be taxed. The tax information in the Prospectus and this SAI is provided as general information. You should consult your own tax professional about the tax consequences of an investment in Shares.

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Unless your investment in Shares is made through a tax-exempt entity or tax-deferred retirement account, such as an individual retirement account, you need to be aware of the possible tax consequences when the Fund makes distributions or you sell Shares.

**U.S. Government Securities.** Each Fund may invest in U.S. government securities. Securities issued or guaranteed by the U.S. government or its agencies or instrumentalities include U.S. Treasury securities, which are backed by the full faith and credit of the U.S. Treasury and which differ only in their interest rates, maturities, and times of issuance. U.S. Treasury bills have initial maturities of one-year or less; U.S. Treasury notes have initial maturities of one to ten years; and U.S. Treasury bonds generally have initial maturities of greater than ten years. Certain U.S. government securities are issued or guaranteed by agencies or instrumentalities of the U.S. government including, but not limited to, obligations of U.S. government agencies or instrumentalities such as the Federal National Mortgage Association ("Fannie Mae"), the Government National Mortgage Association ("Ginnie Mae"), the Small Business Administration, the Federal Farm Credit Administration, the Federal Home Loan Banks, Banks for Cooperatives (including the Central Bank for Cooperatives), the Federal Land Banks, the Federal Intermediate Credit Banks, the Tennessee Valley Authority, the Export-Import Bank of the United States, the Commodity Credit Corporation, the Federal Financing Bank, the Student Loan Marketing Association, the National Credit Union Administration and the Federal Agricultural Mortgage Corporation ("Farmer Mac").

Some obligations issued or guaranteed by U.S. government agencies and instrumentalities, including, for example, Ginnie Mae pass-through certificates, are supported by the full faith and credit of the U.S. Treasury. Other obligations issued by or guaranteed by federal agencies, such as those securities issued by Fannie Mae, are supported by the discretionary authority of the U.S. government to purchase certain obligations of the federal agency, while other obligations issued by or guaranteed by federal agencies, such as those of the Federal Home Loan Banks, are supported by the right of the issuer to borrow from the U.S. Treasury, while the U.S. government provides financial support to such U.S. government-sponsored federal agencies, no assurance can be given that the U.S. government will always do so, since the U.S. government is not so obligated by law. U.S. Treasury notes and bonds typically pay coupon interest semi-annually and repay the principal at maturity.

On September 7, 2008, the U.S. Treasury announced a federal takeover of Fannie Mae and the Federal Home Loan Mortgage Corporation ("Freddie Mac"), placing the two federal instrumentalities in conservatorship. Under the takeover, the U.S. Treasury agreed to acquire $1 billion of senior preferred stock of each instrumentality and obtained warrants for the purchase of common stock of each instrumentality (the "Senior Preferred Stock Purchase Agreement" or "Agreement"). Under the Agreement, the U.S. Treasury pledged to provide up to $200 billion per instrumentality as needed, including the contribution of cash capital to the instrumentalities in the event their liabilities exceed their assets. This was intended to ensure that the instrumentalities maintain a positive net worth and meet their financial obligations, preventing mandatory triggering of receivership. On December 24, 2009, the U.S. Treasury announced that it was amending the Agreement to allow the $200 billion cap on the U.S. Treasury's funding commitment to increase as necessary to accommodate any cumulative reduction in net worth over the next three years. As a result of this Agreement, the investments of holders, including the Funds, of mortgage-backed securities and other obligations issued by Fannie Mae and Freddie Mac are protected.

The total public debt of the United States as a percentage of gross domestic product has grown rapidly since the beginning of the 2008–2009 financial downturn. Although high debt levels do not necessarily indicate or cause economic problems, they may create certain systemic risks if sound debt management practices are not implemented. A high national debt can raise concerns that the U.S. government will not be able to make principal or interest payments when they are due. This increase has also necessitated the need for the U.S. Congress to negotiate adjustments to the statutory debt limit to increase the cap on the amount the U.S. government is permitted to borrow to meet its existing obligations and finance current budget deficits. In August 2023, Fitch lowered its long-term sovereign credit rating on the U.S. In explaining the downgrade, Fitch cited, among other reasons, expected fiscal deterioration of the U.S. government and extended and contentious negotiations related to raising the government's debt ceiling. An increase in national debt levels may also necessitate the need for the U.S. Congress to negotiate adjustments to the statutory debt ceiling to increase the cap on the amount the U.S. Government is permitted to borrow to meet its existing obligations and finance current budget deficits. Future downgrades could increase volatility in domestic and foreign financial markets, result in higher interest rates, lower prices of U.S. Treasury securities and increase the costs of different kinds of debt. Any controversy or ongoing uncertainty regarding the statutory debt ceiling negotiations may impact the U.S. long-term sovereign credit rating and may cause market uncertainty. As a result, market prices and yields of securities supported by the full faith and credit of the U.S. government may be adversely affected.

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**INVESTMENT RESTRICTIONS**

The Trust has adopted the following investment restrictions as fundamental policies with respect to the Funds. These restrictions cannot be changed with respect to a Fund without the approval of the holders of a majority of the Fund's outstanding voting securities. For the purposes of the 1940 Act, a "majority of outstanding shares" means the vote of the lesser of: (1) 67% or more of the voting securities of a Fund present at the meeting if the holders of more than 50% of the Fund's outstanding voting securities are present or represented by proxy; or (2) more than 50% of the outstanding voting securities of a Fund.

Except with the approval of a majority of the outstanding voting securities, a Fund may not:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.*(U.S. Fund and International Fund only)* Concentrate its investments (*i.e.*, hold more than 25% of its total assets) in any industry or group of related industries, except that the Fund will concentrate to approximately the same extent that the Index concentrates in the securities of such particular industry or group of related industries. For purposes of this limitation, securities of the U.S. government (including its agencies and instrumentalities), repurchase agreements collateralized by U.S. government securities, investment companies, and tax-exempt securities of state or municipal governments and their political subdivisions are not considered to be issued by members of any industry.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.*(Small/Mid Fund only)* Concentrate its investments (*i.e.*, hold more than 25% of its total assets) in any industry or group of related industries. For purposes of this limitation, securities of the U.S. government (including its agencies and instrumentalities), repurchase agreements collateralized by U.S. government securities and securities of state or municipal governments and their political subdivisions are not considered to be issued by members of any industry.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Borrow money or issue senior securities (as defined under the 1940 Act), except to the extent permitted under the 1940 Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.Make loans, except to the extent permitted under the 1940 Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.Purchase or sell real estate unless acquired as a result of ownership of securities or other instruments, except to the extent permitted under the 1940 Act. This shall not prevent the Fund from investing in securities or other instruments backed by real estate, real estate investment trusts or securities of companies engaged in the real estate business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.Purchase or sell physical commodities unless acquired as a result of ownership of securities or other instruments, except to the extent permitted under the 1940 Act. This shall not prevent the Fund from purchasing or selling options and futures contracts or from investing in securities or other instruments backed by physical commodities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.Underwrite securities issued by other persons, except to the extent permitted under the 1940 Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.With respect to 75% of its total assets, purchase the securities of any one issuer if, immediately after and as a result of such purchase, (a) the value of the Fund's holdings in the securities of such issuer exceeds 5% of the value of the Fund's total assets, or (b) the Fund owns more than 10% of the outstanding voting securities of the issuer (with the exception that this restriction does not apply to the Fund's investments in the securities of the U.S. Government, or its agencies or instrumentalities, or other investment companies).

For the purposes of fundamental restriction #1 with respect to the U.S. Fund and International Fund, the Index is a reference to the Funds' respective underlying indices prior to April 3, 2023, on which date each of those Funds changed from being index-based to actively-managed.

In addition to the investment restrictions adopted as fundamental policies as set forth above, the U.S. Fund and the Small/Mid Fund observe the following non-fundamental restrictions, respectively, which may be changed without a shareholder vote.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.The U.S. Fund invests, under normal circumstances, at least 80% of its net assets, plus the amount of any borrowings for investment purposes, in U.S. assets. For purposes of this policy, the Fund considers securities that are traded principally in the United States to be "U.S. assets".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.The Small/Mid Fund invests, under normal circumstances, at least 80% of the Fund's net assets, plus the amount of any borrowings for investment purposes, in small- and mid-capitalization companies.

In determining its compliance with the fundamental investment restriction on concentration, a Fund will consider the investments of other investment companies in which such Fund invests to the extent it has sufficient information about such investment companies. With respect to a Fund's investments in affiliated investment companies, the Fund will consider its entire investment in any investment company with a policy to concentrate, or having otherwise disclosed that it is concentrated, in a particular industry or group of related industries as being invested in such industry or group of related industries.

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If a percentage limitation is adhered to at the time of investment or contract, a later increase or decrease in percentage resulting from any change in value or total or net assets will not result in a violation of such restriction, except that the percentage limitation with respect to the borrowing of money will be observed continuously.

The following descriptions of certain provisions of the 1940 Act may assist investors in understanding the above policies and restrictions:

*<u>Concentration.</u>* The SEC has defined concentration as investing more than 25% of a Fund's net assets in an industry or group of industries, with certain exceptions. The U.S. Fund and the International Fund ceased tracking an index and became actively-managed ETFs on April 3, 2023. As a result, neither Fund concentrates its investments in any industry or group of related industries.

*<u>Borrowing</u>*<u>.</u> The 1940 Act presently allows a Fund to borrow from a bank (including pledging, mortgaging or hypothecating assets) in an amount up to 33 1/3% of its total assets (not including temporary borrowings up to 5% of its total assets).

*<u>Senior Securities</u>*<u>.</u> Senior securities may include any obligation or instrument issued by a Fund evidencing indebtedness. The 1940 Act generally prohibits a fund from issuing senior securities. An exemptive rule under the 1940 Act, however, permits a fund to enter into transactions that might otherwise be deemed to be senior securities, such as derivative transactions, reverse repurchase agreements and similar financing transactions, and short sales, subject to certain conditions.

*<u>Lending</u>*<u>.</u> Under the 1940 Act, a Fund may only make loans if expressly permitted by its investment policies. The Funds' current investment policy on lending is that a Fund may not make loans if, as a result, more than 33 1/3% of its total assets would be lent to other parties, except that a Fund may: (i) purchase or hold debt instruments in accordance with its investment objective and policies; (ii) enter into repurchase agreements; and (iii) engage in securities lending as described in this SAI.

*<u>Real Estate and Commodities</u>*<u>.</u> The 1940 Act does not directly restrict a Fund's ability to invest in real estate or commodities, but the 1940 Act requires every investment company to have a fundamental investment policy governing such investments.

*<u>Underwriting</u>*<u>.</u> Under the 1940 Act, underwriting securities involves the Funds purchasing securities directly from an issuer for the purpose of selling (distributing) them or participating in any such activity either directly or indirectly.

**EXCHANGE LISTING AND TRADING**

Shares are listed for trading and trade throughout the day on the Exchange.

There can be no assurance that a Fund will continue to meet the requirements of the Exchange necessary to maintain the listing of Shares. The Exchange will consider the suspension of trading in, and will initiate delisting proceedings of, the Shares if any of the requirements set forth in the Exchange rules, including compliance with Rule 6c-11(c) under the 1940 Act, are not continuously maintained or such other event shall occur or condition shall exist that, in the opinion of the Exchange, makes further dealings on the Exchange inadvisable. The Exchange will remove the Shares of a Fund from listing and trading upon termination of such Fund.

The Trust reserves the right to adjust the price levels of Shares in the future to help maintain convenient trading ranges for investors. Any adjustments would be accomplished through stock splits or reverse stock splits, which would have no effect on the net assets of the Fund.

**MANAGEMENT OF THE TRUST**

**Board Responsibilities.** The management and affairs of the Trust and its series are overseen by the Board, which elects the officers of the Trust who are responsible for administering the day-to-day operations of the Trust and the Funds. The Board has approved contracts, as described below, under which certain companies provide essential services to the Trust.

The day-to-day business of the Trust, including the management of risk, is performed by third-party service providers, such as the Adviser, the Sub-Adviser, the Distributor, and the Administrator. The Board is responsible for overseeing the Trust's service providers and, thus, has oversight responsibility with respect to risk management performed by those service providers. Risk management seeks to identify and address risks, *i.e.*, events or circumstances that could have material adverse effects on the business, operations, shareholder services, investment performance or reputation of a Fund. The Funds and their service providers employ a variety of processes, procedures and controls to identify such events or circumstances, to lessen the probability of their occurrence and/or to mitigate the effects of such events or circumstances if they do occur. Each service provider is responsible for one or more discrete aspects of the Trust's business (*e.g.,* the Sub-Adviser is responsible for the day-to-day management of the International Fund's and Small/Mid Fund's portfolio investments) and, consequently, for managing the risks associated with those aspects for which it is responsible. The Board has emphasized to the Funds' service providers the importance of maintaining vigorous risk management.

The Board's role in risk oversight begins before the inception of the Funds, at which time certain of the Funds' service providers present the Board with information concerning the investment objectives, strategies, and risks of the Funds as well as proposed

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investment limitations for the Funds. Additionally, the Adviser and Sub-Adviser provide the Board with an overview of, among other things, their investment philosophy, brokerage practices, and compliance infrastructure. Thereafter, the Board continues its oversight function as various personnel, including the Trust's Chief Compliance Officer, as well as personnel of the Sub-Adviser, and other service providers such as the Funds' independent registered public accounting firm, make periodic reports to the Audit Committee or to the Board with respect to various aspects of risk management. The Board and the Audit Committee oversee efforts by management and service providers to manage risks to which the Funds may be exposed.

The Board is responsible for overseeing the nature, extent, and quality of the services provided to the Funds by the Adviser and the Sub-Adviser and receives information about those services at its regular meetings. In addition, on an annual basis (following the initial two-year period), in connection with its consideration of whether to renew the Investment Advisory Agreement with the Adviser, and Sub-Advisory Agreement with the Sub-Adviser, the Board or its designee may meet with the Adviser and/or Sub-Adviser to review such services. Among other things, the Board regularly considers the Adviser's and Sub-Adviser's adherence to each Fund's investment restrictions and compliance with various Fund policies and procedures and with applicable securities regulations. The Board also reviews information about each Fund's performance and each Fund's investments, including, for example, portfolio holdings schedules.

The Trust's Chief Compliance Officer reports regularly to the Board to review and discuss compliance issues and Fund, Adviser, and Sub-Adviser risk assessments. At least annually, the Trust's Chief Compliance Officer provides the Board with a report reviewing the adequacy and effectiveness of the Trust's policies and procedures and those of its service providers, including the Adviser and the Sub-Adviser. The report addresses the operation of the policies and procedures of the Trust and each service provider since the date of the last report; any material changes to the policies and procedures since the date of the last report; any recommendations for material changes to the policies and procedures; and any material compliance matters since the date of the last report.

The Board receives reports from the Funds' service providers regarding operational risks and risks related to the valuation and liquidity of portfolio securities. Annually, the Funds' independent registered public accounting firm reviews with the Audit Committee its audit of the Funds' financial statements, focusing on major areas of risk encountered by the Funds and noting any significant deficiencies or material weaknesses in the Funds' internal controls. Additionally, in connection with its oversight function, the Board oversees Fund management's implementation of disclosure controls and procedures, which are designed to ensure that information required to be disclosed by the Trust in its periodic reports with the SEC are recorded, processed, summarized, and reported within the required time periods. The Board also oversees the Trust's internal controls over financial reporting, which comprise policies and procedures designed to provide reasonable assurance regarding the reliability of the Trust's financial reporting and the preparation of the Trust's financial statements.

From their review of these reports and discussions with the Adviser and Sub-Adviser, the Chief Compliance Officer, independent registered public accounting firm and other service providers, the Board and the Audit Committee learn in detail about the material risks of each Fund, thereby facilitating a dialogue about how management and service providers identify and mitigate those risks.

The Board recognizes that not all risks that may affect a Fund can be identified and/or quantified, that it may not be practical or cost-effective to eliminate or mitigate certain risks, that it may be necessary to bear certain risks (such as investment-related risks) to achieve a Fund's goals, and that the processes, procedures and controls employed to address certain risks may be limited in their effectiveness. Moreover, reports received by the Board as to risk management matters are typically summaries of the relevant information. Most of the Funds' investment management and business affairs are carried out by or through the Adviser, Sub-Adviser, and other service providers, each of which has an independent interest in risk management but whose policies and the methods by which one or more risk management functions are carried out may differ from the Funds' and each other's in the setting of priorities, the resources available or the effectiveness of relevant controls. As a result of the foregoing and other factors, the Board's ability to monitor and manage risk, as a practical matter, is subject to limitations.

**Members of the Board.** There are three members of the Board, and all three members are not interested persons of the Trust, as that term is defined in the 1940 Act (the "Independent Trustees"). Mr. Michael A. Castino serves as Chair of the Board and as the Trust's Lead Independent Trustee. As Lead Independent Trustee, Mr. Castino acts as a spokesperson for the Independent Trustees in between meetings of the Board, serves as a liaison for the Independent Trustees with the Trust's service providers, officers, and legal counsel to discuss ideas informally, and participates in setting the agenda for meetings of the Board and separate meetings or executive sessions of the Independent Trustees.

The Board is comprised entirely of Independent Trustees. There is an Audit Committee of the Board that is chaired by an Independent Trustee and comprised solely of Independent Trustees. The Audit Committee chair presides at the Audit Committee meetings, participates in formulating agendas for Audit Committee meetings, and coordinates with management to serve as a liaison between the Independent Trustees and management on matters within the scope of responsibilities of the Audit Committee as set forth in its Board-approved charter. There is a Nominating and Governance Committee of the Board that is chaired by an Independent Trustee and comprised solely of Independent Trustees. The Nominating and Governance Committee chair presides at the Nominating and Governance Committee meetings, participates in formulating agendas for Nominating and Governance Committee meetings, and

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coordinates with management to serve as a liaison between the Independent Trustees and management on matters within the scope of responsibilities of the Nominating and Governance Committee as set forth in its Board-approved charter. The Trust has determined its leadership structure is appropriate given the specific characteristics and circumstances of the Trust. The Trust made this determination in consideration of, among other things, the fact that the Independent Trustees of the Trust constitute the entire Board, the number of Independent Trustees that constitute the Board, the amount of assets under management in the Trust, and the number of funds overseen by the Board. The Board also believes that its leadership structure facilitates the orderly and efficient flow of information to the Independent Trustees from Fund management.

Additional information about each Trustee of the Trust is set forth below. The address of each Trustee of the Trust is c/o U.S. Bank Global Fund Services, 615 E. Michigan Street, Milwaukee, WI 53202.

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Name and <br>Year of Birth** | **Position Held with the Trust** | **Term of Office and Length of Time Served** | **Principal Occupation(s) During Past 5 Years** | **Number of Portfolios in Fund Complex Overseen by Trustee** | **Other Directorships Held by Trustee During Past 5 Years** |
| &nbsp;&nbsp;&nbsp;**Independent Trustees** | &nbsp;&nbsp;&nbsp;**Independent Trustees** | &nbsp;&nbsp;&nbsp;**Independent Trustees** | &nbsp;&nbsp;&nbsp;**Independent Trustees** | &nbsp;&nbsp;&nbsp;**Independent Trustees** | &nbsp;&nbsp;&nbsp;**Independent Trustees** |
| &nbsp;&nbsp;&nbsp;Michael A. Castino<br>Born: 1967 | Lead Independent Trustee and Chair | Indefinite term; Trustee<br>since 2014;<br>Chair<br>since 2013 | &nbsp;&nbsp;&nbsp;President, Sound Capital Solutions LLC (since 2023); Senior Vice President, U.S. Bancorp Fund Services, LLC (2013–2023); Managing Director of Index Services, Zacks Investment Management (2011–2013). | 62 | &nbsp;&nbsp;&nbsp;None. |
| &nbsp;&nbsp;&nbsp;David A. Massart<br>Born: 1967 | Trustee and Nominating and Governance Committee Chair | Indefinite term; Trustee<br>since 2012;<br>Committee Chair <br>since 2023 | &nbsp;&nbsp;&nbsp;Partner and Managing Director, Beacon Pointe Advisors, LLC (since 2022); Co-Founder and Chief Investment Strategist, Next Generation Wealth Management, Inc. (2005-2021). | 62 | &nbsp;&nbsp;&nbsp;Independent Trustee, Managed Portfolio Series (30 portfolios) (since 2011). |
| &nbsp;&nbsp;&nbsp;Janet D. Olsen<br>Born: 1956 | Trustee | Indefinite term;<br>since 2018 | &nbsp;&nbsp;&nbsp;Retired; formerly Managing Director and General Counsel, Artisan Partners Limited Partnership (investment adviser) (2000–2013); Executive Vice President and General Counsel, Artisan Partners Asset Management Inc. (2012–2013); Vice President and General Counsel, Artisan Funds, Inc. (investment company) (2001–2012). | 62 | &nbsp;&nbsp;&nbsp;Independent Trustee, PPM Funds (2 portfolios) (2017–2024). |

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**Individual Trustee Qualifications.** The Trust has concluded that each of the Trustees should serve on the Board because of their ability to review and understand information about the Funds provided to them by management, to identify and request other information they may deem relevant to the performance of their duties, to question management and other service providers regarding material factors bearing on the management and administration of the Funds, and to exercise their business judgment in a manner that serves the best interests of each Fund's shareholders. The Trust has concluded that each of the Trustees should serve as a Trustee based on his or her own experience, qualifications, attributes and skills as described below.

The Trust has concluded that Mr. Massart should serve as a Trustee because of his substantial industry experience, including over three decades working with high net worth individuals, families, trusts, and retirement accounts to identify strategic asset allocation decisions, evaluate and select investment managers, and manage client relationships, and the experience he has gained as serving as trustee of another investment company trust since 2011. He is currently a Managing Director at Beacon Pointe Advisors, LLC. Previously, he served as Chief Investment Strategist and lead member of the investment committees of the SEC-registered investment advisory firm he co-founded. He also previously served as Managing Director of Strong Private Client and as a Manager of Wells Fargo Investments, LLC.

The Trust has concluded that Ms. Olsen should serve as a Trustee because of her substantial industry experience, including nearly 20 years as a practicing attorney representing primarily registered investment companies and investment advisers, over a decade serving as a senior executive of an investment management firm and a related public company, and the experience she has gained by serving as an executive officer of another investment company from 2001 to 2012. Ms. Olsen most recently served as Managing Director and General Counsel of Artisan Partners Limited Partnership, a registered investment adviser serving primarily investment companies and institutional investors, and several affiliated entities, including its general partner, Artisan Partners Asset Management Inc. (NYSE: APAM), and as an executive officer of Artisan Funds Inc.

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The Trust has concluded that Mr. Castino should serve as Trustee because of the experience he gained as Chair of the Trust since 2013, as a senior officer of U.S. Bancorp Fund Services, LLC, doing business as U.S. Bank Global Fund Services ("Fund Services" or the "Transfer Agent"), from 2012 to 2023, and in his past roles with investment management firms and indexing firms involved with ETFs, as well as his experience in and knowledge of the financial services industry. Mr. Castino currently serves as President of Sound Capital Solutions, LLC, an SEC registered investment adviser.

In its periodic assessment of the effectiveness of the Board, the Board considers the complementary individual skills and experience of the individual Trustees primarily in the broader context of the Board's overall composition so that the Board, as a body, possesses the appropriate (and appropriately diverse) skills and experience to oversee the business of the Funds.

**Board Committees**. The Board has established the following standing committees of the Board:

<u>Audit Committee</u>. The Board has a standing Audit Committee that is composed of each of the Independent Trustees of the Trust. The Audit Committee operates under a written charter approved by the Board. The principal responsibilities of the Audit Committee include: recommending which firm to engage as the Funds' independent registered public accounting firm and whether to terminate this relationship; reviewing the independent registered public accounting firm's compensation, the proposed scope and terms of its engagement, and the firm's independence; pre-approving audit and non-audit services provided by the Funds' independent registered public accounting firm to the Trust and certain other affiliated entities; serving as a channel of communication between the independent registered public accounting firm and the Trustees; reviewing the results of each external audit, including any qualifications in the independent registered public accounting firm's opinion, any related management letter, management's responses to recommendations made by the independent registered public accounting firm in connection with the audit, reports submitted to the Committee by the internal auditing department of the Trust's Administrator that are material to the Trust as a whole, if any, and management's responses to any such reports; reviewing the Funds' audited financial statements and considering any significant disputes between the Trust's management and the independent registered public accounting firm that arose in connection with the preparation of those financial statements; considering, in consultation with the independent registered public accounting firm and the Trust's senior internal accounting executive, if any, the independent registered public accounting firms' report on the adequacy of the Trust's internal financial controls; reviewing, in consultation with the Funds' independent registered public accounting firm, major changes regarding auditing and accounting principles and practices to be followed when preparing the Funds' financial statements; and other audit related matters. During the fiscal year ended September 30, 2025, the Audit Committee met four times.

The Audit Committee also serves as the Qualified Legal Compliance Committee ("QLCC") for the Trust for the purpose of compliance with Rules 205.2(k) and 205.3(c) of the Code of Federal Regulations, regarding alternative reporting procedures for attorneys retained or employed by an issuer who appear and practice before the SEC on behalf of the issuer (the "issuer attorneys"). An issuer attorney who becomes aware of evidence of a material violation by the Trust, or by any officer, director, employee, or agent of the Trust, may report evidence of such material violation to the QLCC as an alternative to the reporting requirements of Rule 205.3(b) (which requires reporting to the chief legal officer and potentially "up the ladder" to other entities).

<u>Nominating and Governance Committee</u>. The Board has a standing Nominating and Governance Committee that is composed of each of the Independent Trustees of the Trust. The Nominating and Governance Committee operates under a written charter approved by the Board. The principal responsibility of the Nominating and Governance Committee is to consider, recommend and nominate candidates to fill vacancies on the Trust's Board, if any. The Nominating and Governance Committee generally will not consider nominees recommended by shareholders. The Nominating and Governance Committee is also responsible for, among other things, reviewing and making recommendations regarding Independent Trustee compensation and the Trustees' annual "self-assessment." The Nominating and Governance Committee meets periodically, as necessary. During the fiscal year ended September 30, 2025, the Nominating and Governance Committee met twice.

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**Principal Officers of the Trust**

The officers of the Trust conduct and supervise its daily business. The address of each officer of the Trust is c/o U.S. Bank Global Fund Services, 615 E. Michigan Street, Milwaukee, WI 53202. Additional information about the Trust's officers is as follows:

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| | | | |
|:---|:---|:---|:---|
| **Name and**<br>**Year of Birth** | **Position(s) Held with the Trust** | **Term of Office and Length of Time Served** | **Principal Occupation(s)**<br>**During Past 5 Years** |
| Kristina R. Nelson<br>Born: 1982 | President | Indefinite term;<br>since 2019 | Senior Vice President, U.S. Bancorp Fund Services, LLC (since 2020); Vice President, U.S. Bancorp Fund Services, LLC (2014–2020). |
| Cynthia L. Andrae<br>Born: 1971 | Chief Compliance Officer and Anti-Money Laundering Officer | Indefinite term;<br>since 2022 <br>(other roles since 2021) | Vice President, U.S. Bancorp Fund Services, LLC (since 2019); Deputy Chief Compliance Officer, U.S. Bancorp Fund Services, LLC (2021–2022); Compliance Officer, U.S. Bancorp Fund Services, LLC (2015–2019). |
| Kristen M. Weitzel<br>Born: 1977 | Treasurer | Indefinite term;<br>since 2014<br>(other roles since 2013) | Vice President, U.S. Bancorp Fund Services, LLC (since 2015). |
| Mary C. Horn<br>Born: 1990 | Secretary | Indefinite Term; <br>since 2025 | Vice President and Regulatory Administration Attorney, U.S. Bancorp Fund Services, LLC (since 2025); Counsel, Hartford Funds (2022–2025), Senior Counsel, The Vanguard Group, Inc. (2019–2022). |
| Jessica L. Vorbeck<br>Born: 1984 | Assistant Treasurer | Indefinite term;<br>since 2020 | Assistant Vice President, U.S. Bancorp Fund Services, LLC (since 2022); Officer, U.S. Bancorp Fund Services, LLC (2014–2017, 2018–2022). |
| Kyle L. Kroken<br>Born: 1986 | Assistant Treasurer | Indefinite term;<br>since 2024 | Vice President, U.S. Bancorp Fund Services, LLC (since 2019). |
| Aaron P. Wroblewski<br>Born: 1968 | Assistant Treasurer | Indefinite term;<br>since 2025 | Officer, U.S. Bancorp Fund Services, LLC (since 2010). |
| Noelle-Nadia A. Filali <br>Born: 1997 | Assistant Secretary | Indefinite term;<br>since 2025 | Assistant Vice President, U.S. Bancorp Fund Services, LLC (since 2025); Regulatory Administration Attorney, U.S. Bancorp Fund Services, LLC (since 2023); Regulatory Administration Intern, U.S. Bancorp Fund Services, LLC (2022–2023); Law Student (2020–2023). |

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**Trustee Ownership of Shares.** The Funds are required to show the dollar amount ranges of each Trustee's "beneficial ownership" of Shares and each other series of the Trust as of the end of the most recently completed calendar year. Dollar amount ranges disclosed are established by the SEC. "Beneficial ownership" is determined in accordance with Rule 16a-1(a)(2) under the Securities Exchange Act of 1934 (the "1934 Act").

As of December 31, 2025, no Trustee owned Shares or shares of any other series of the Trust.

**Board Compensation.** Effective January 1, 2026, the Trustees each receive an annual trustee fee of $260,400. During the one-year period prior to January 1, 2026, the Trustees each received an annual trustee fee of $244,000. The Board holds regularly scheduled quarterly meetings and the Trustees receive additional compensation for each additional meeting attended ($2,000) as well as reimbursement for travel and other out-of-pocket expenses incurred in connection with attendance at Board meetings. The Lead Independent Trustee receives an additional annual fee of $18,000. The Chair of the Audit Committee receives an additional annual fee of $18,000. The Chair of the Nominating and Governance Committee receives an additional annual fee of $8,000. The Trust has no pension or retirement plan.

The following table shows the compensation earned by each Trustee for the Fund's fiscal year ended September 30, 2025. Trustee fees are paid by the investment adviser to each series of the Trust and not by the Fund. Trustee compensation does not include reimbursed out-of-pocket expenses in connection with attendance at meetings.

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| | | |
|:---|:---|:---|
| **Name** | **Aggregate Compensation <br>From the Funds** | **Total Compensation from Fund Complex <br>Paid to Trustees** |
| **Independent Trustees** | **Independent Trustees** | **Independent Trustees** |
| Michael A. Castino | $0 | $208633 |
| Janet D. Olsen | $0 | $208633 |
| David A. Massart | $0 | $216633 |

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**PRINCIPAL SHAREHOLDERS, CONTROL PERSONS, AND MANAGEMENT OWNERSHIP**

A principal shareholder is any person who owns of record or beneficially 5% or more of the outstanding Shares of a Fund. A control person is a shareholder that owns beneficially or through controlled companies more than 25% of the voting securities of a company or acknowledges the existence of control. Shareholders owning voting securities in excess of 25% may determine the outcome of any matter affecting and voted on by shareholders of a Fund.

As of January 2, 2026 the Trustees and officers of the Trust as a group did not own more than 1% of the outstanding shares of the Funds. As of January 2, 2026, the following shareholders were considered to be principal shareholders of the Funds:

**Distillate U.S. Fundamental Stability & Value ETF**

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| | | |
|:---|:---|:---|
| **Name and Address** | **% Ownership** | **Type of Ownership** |
| &nbsp;&nbsp;&nbsp;Charles Schwab & Co., Inc.<br>211 Main Street<br>San Francisco, CA 94105-1905 | 58.18% | Record |
| &nbsp;&nbsp;&nbsp;National Financial Services, LLC<br>200 Liberty Street<br>New York, NY 10281 | 19.70% | Record |

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**Distillate International Fundamental Stability & Value ETF**

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| | | |
|:---|:---|:---|
| **Name and Address** | **% Ownership** | **Type of Ownership** |
| &nbsp;&nbsp;&nbsp;Charles Schwab & Co., Inc.<br>211 Main Street<br>San Francisco, CA 94105-1905 | 64.26% | Record |
| &nbsp;&nbsp;&nbsp;RBC Capital Markets<br>200 Vesey Street, 9th Floor<br>New York, NY 10281 | 10.65% | Record |
| &nbsp;&nbsp;&nbsp;UBS Financial Services, Inc.<br>1200 Harbor Boulevard<br>Weehawken, NJ 07086 | 10.56% | Record |
| &nbsp;&nbsp;&nbsp;National Financial Services, LLC<br>200 Liberty Street<br>New York, NY 10281 | 7.51% | Record |

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**Distillate Small/Mid Cash Flow ETF**

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| | | |
|:---|:---|:---|
| **Name and Address** | **% Ownership** | **Type of Ownership** |
| &nbsp;&nbsp;&nbsp;Charles Schwab & Co., Inc.<br>211 Main Street<br>San Francisco, CA 94105-1905 | 54.59% | Record |
| &nbsp;&nbsp;&nbsp;National Financial Services, LLC<br>200 Liberty Street<br>New York, NY 10281 | 23.26% | Record |
| &nbsp;&nbsp;&nbsp;Merrill Lynch Pierce, Fenner & Smith <br>(a/k/a MLPF&S)<br>4800 Deer Lake Dr E<br>Jacksonville, FL 32246-6484 | 10.73% | Record |

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**CODES OF ETHICS**

The Trust, the Adviser, and the Sub-Adviser have each adopted codes of ethics pursuant to Rule 17j-1 of the 1940 Act. These codes of ethics are designed to prevent affiliated persons of the Trust, the Adviser, and the Sub-Adviser from engaging in deceptive, manipulative or fraudulent activities in connection with securities held or to be acquired by a Fund (which may also be held by persons subject to the codes of ethics). Each Code of Ethics permits personnel subject to that Code of Ethics to invest in securities for their personal investment accounts, subject to certain limitations, including limitations related to securities that may be purchased or held by a Fund. The Distributor (as defined below) relies on the principal underwriters exception under Rule 17j-1(c)(3), specifically where the Distributor is not affiliated with the Trust, the Adviser, the Sub-Adviser, and no officer, director, or general partner of the Distributor serves as an officer, director, or general partner of the Trust, the Adviser, or the Sub-Adviser.

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There can be no assurance that the codes of ethics will be effective in preventing such activities. Each code of ethics may be examined at the office of the SEC in Washington, D.C. or on the Internet at the SEC's website at http://www.sec.gov.

**PROXY VOTING POLICIES**

The Funds have delegated proxy voting responsibilities to the Adviser, subject to the Board's oversight. In delegating proxy responsibilities, the Board has directed that proxies be voted consistent with each Fund's and its shareholders' best interests and in compliance with all applicable proxy voting rules and regulations. The Adviser has adopted proxy voting policies and guidelines for this purpose ("Proxy Voting Policies"). A copy of the Proxy Voting Policies is set forth in <u>Appendix A</u> to this SAI. The Trust's Chief Compliance Officer is responsible for monitoring the effectiveness of the Proxy Voting Policies. The Proxy Voting Policies have been adopted by the Trust as the policies and procedures that the Adviser will use when voting proxies on behalf of a Fund.

The Proxy Voting Policies address, among other things, material conflicts of interest that may arise between the interests of the Funds and the interests of the Adviser. The Proxy Voting Policies will ensure that all issues brought to shareholders are analyzed in light of the Adviser's fiduciary responsibilities.

Information on how the Funds voted proxies relating to portfolio securities during the most recent 12-month period ended June 30 is available (1) without charge, upon request, by calling 1–800–617–0004, (2) on the Funds' website at www.distillatefunds.com, and (3) on the SEC's website at www.sec.gov.

**INVESTMENT ADVISER AND SUB-ADVISER**

**Investment Adviser**

Distillate Capital Partners LLC, an Illinois limited liability company located at 401 N. Michigan Avenue, Suite 1710, Chicago, Illinois 60611 serves as the investment adviser to the Funds. The Adviser is controlled by each of Matthew T. Swanson, Jacob A. Beidler, and Thomas M. Cole.

Pursuant to an Investment Advisory Agreement (the "Advisory Agreement"), the Adviser provides investment advice to the Funds and oversees the day-to-day operations of each Fund, subject to the direction and control of the Board and the officers of the Trust. The Adviser is responsible for trading portfolio securities on behalf of the Funds, including selecting broker-dealers to execute purchase and sale transactions, subject to the oversight of the Board. Under the Advisory Agreement, the Adviser is also responsible for arranging transfer agency, custody, fund administration, securities lending, accounting, distribution, and other services necessary for the Funds to operate. The Adviser administers the Funds' business affairs, provides office facilities and equipment and certain clerical, bookkeeping and administrative services. The Adviser bears the costs of all advisory and non-advisory services required to operate the Funds, in exchange for a single unitary management fee from each Fund. For the services it provides to the Funds, each Fund pays the Adviser a unified management, which is calculated daily and paid monthly, at an annual rate based on the applicable Fund's average daily net assets as follows:

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| | |
|:---|:---|
| **Name of Fund** | **Management Fee** |
| U.S. Fund | 0.39% |
| International Fund | 0.55% |
| Small/Mid Fund | 0.55% |

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Under the Advisory Agreement, the Adviser has agreed to pay all expenses of the Funds, except for: the fee paid to the Adviser pursuant to the Advisory Agreement, interest charges on any borrowings, dividends and other expenses on securities sold short, taxes, brokerage commissions and other expenses incurred in placing orders for the purchase and sale of securities and other investment instruments, acquired fund fees and expenses, accrued deferred tax liability, extraordinary expenses, and distribution (12b-1) fees and expenses.

The Advisory Agreement with respect to a Fund will continue in force for an initial period of two years. Thereafter, the Advisory Agreement will be renewable from year to year with respect to the Funds, so long as its continuance is approved at least annually (1) by the vote, cast in person at a meeting called for that purpose, of a majority of those Trustees who are not "interested persons" of the Adviser or the Trust; and (2) by the majority vote of either the full Board or the vote of a majority of the outstanding Shares. The Advisory Agreement automatically terminates on assignment and is terminable on a 60-day written notice either by the Trust or the Adviser.

The Adviser shall not be liable to the Trust or any shareholder for anything done or omitted by it, except acts or omissions involving willful misfeasance, bad faith, negligence or reckless disregard of the duties imposed upon it by its agreement with the Trust or for any losses that may be sustained in the purchase, holding or sale of any security.

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The table below shows management fees paid by each of the Funds to the Adviser for the fiscal years or period ended September 30.

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| | | | | |
|:---|:---|:---|:---|:---|
| **Name of Fund** | **2025** | **2024** | **2023** |  |
| U.S. Fund | $7509500 | $6577459 | $3958774 |  |
| International Fund | $190624 | $185585 | $112490 |  |
| Small/Mid Fund | $538693 | $360536 | $104541 | <sup>\*</sup> |

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<sup>\*</sup>For the fiscal period October 5, 2022 (commencement of operations) through September 30, 2023.

**Sub-Adviser**

The Adviser has retained Vident Asset Management, 1125 Sanctuary Parkway, Suite 515, Alpharetta, Georgia 30009, to serve as sub-adviser for the International Fund and the Small/Mid Fund. The Sub-Adviser was established in 2016 and is owned by Vident Capital Holdings, LLC. Vident Capital Holdings, LLC is controlled by MM VAM, LLC which is owned by Casey Crawford.

Pursuant to a Sub-Advisory Agreement between the Trust, the Adviser, and the Sub-Adviser (the "Sub-Advisory Agreement"), the Sub-Adviser is responsible for trading portfolio securities on behalf of the International Fund and Small/Mid Fund, including selecting broker-dealers to execute purchase and sale transactions as instructed by the Adviser, subject to the supervision of the Adviser and the Board. For the services it provides to the Funds, the Sub-Adviser is compensated by the Adviser from the management fees paid by the Funds to the Adviser. Vident's sub-advisory fee is calculated daily and paid monthly, at an annual rate based on the applicable Fund's average daily net assets.

The Sub-Advisory Agreement was approved by the Trustees (including all the Independent Trustees) and the Adviser, as sole shareholder of the International Fund and Small/Mid Fund, in compliance with the 1940 Act. The Sub-Advisory Agreement will continue in force for an initial period of two years. Thereafter, the Sub-Advisory Agreement is renewable from year to year with respect to a Fund, so long as its continuance is approved at least annually (1) by the vote, cast in person at a meeting called for that purpose, of a majority of those Trustees who are not "interested persons" of the Trust; and (2) by the majority vote of either the full Board or the vote of a majority of the outstanding Shares of the applicable Fund. The Sub-Advisory Agreement will terminate automatically in the event of its assignment, and is terminable at any time without penalty by the Board or, with respect to a Fund, by a majority of the outstanding Shares, on not less than 60 days' written notice to the Sub-Adviser, or by the Sub-Adviser on 90 days' written notice to the Adviser and the Trust. The Sub-Advisory Agreement provides that the Sub-Adviser shall not be protected against any liability to the Trust or its shareholders by reason of willful misfeasance, fraud, bad faith or gross negligence on its part in the performance of its duties or from reckless disregard of its obligations or duties thereunder.

The table below shows sub-advisory fees paid by the Adviser to the Sub-Adviser for services provided to each of the Funds for the fiscal years or period ended September 30.

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| | | | | |
|:---|:---|:---|:---|:---|
| **Name of Fund** | **2025** | **2024** | **2023** |  |
| U.S. Fund<sup>(1)</sup> | $— | $202699 | $240896 |  |
| International Fund | $13873 | $13638 | $12500 |  |
| Small/Mid Fund | $29389 | $23270 | $19726 | <sup>(2)</sup> |

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<sup>(1)</sup> Vident Asset Management was sub-adviser to the U.S. Fund through April 30, 2024.

<sup>(2)</sup> For the fiscal period October 5, 2022 (commencement of operations) through September 30, 2023.

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**PORTFOLIO MANAGERS**

The Funds are jointly and primarily managed by Jay A. Beidler, CFA, Portfolio Manager for Distillate and Matthew T. Swanson, CFA, Portfolio Manager for Distillate (the "Distillate Portfolio Managers"); and the International Fund and the Small/Mid Fund are also jointly and primarily managed by Rafael Zayas, CFA, SVP, Head of Portfolio Management and Trading for Vident, and Austin Wen, CFA, Portfolio Manager for Vident (the "Vident Portfolio Managers", together with the Distillate Portfolio Managers, the "Portfolio Managers").

***Other Accounts.*** In addition to the Funds, the Portfolio Managers managed the following other accounts as of September 30, 2025, and the Vident Portfolio Managers managed the following other accounts as of September 30, 2025, none of which were subject to a performance-based management fee:

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Distillate Portfolio Managers** | **Registered**<br>**<u>Investment Companies</u>** | **Registered**<br>**<u>Investment Companies</u>** | **Other Pooled**<br>**<u>Investment Vehicles</u>** | **Other Pooled**<br>**<u>Investment Vehicles</u>** | **<u>Other Accounts</u>** | **<u>Other Accounts</u>** |
| &nbsp;&nbsp;&nbsp;**Distillate Portfolio Managers** | Number of <br>Accounts | Total Assets in <br>the Accounts | Number of <br>Accounts | Total Assets in <br>the Accounts | Number of <br>Accounts | Total Assets in <br>the Accounts |
| &nbsp;&nbsp;Jay A. Beidler, CFA | 0 | $0 | 0 | $0 | 1 | $103 mm |
| &nbsp;&nbsp;Matthew T. Swanson, CFA | 0 | $0 | 0 | $0 | 1 | $103 mm |
| &nbsp;&nbsp;&nbsp;**Vident Portfolio Managers** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Rafael Zayas, CFA | 64 | $9,140 mm | 18 | $5,152 mm | 0 | $0 |
| &nbsp;&nbsp;&nbsp;Austin Wen, CFA | 73 | $8,774 mm | 21 | $5,183 mm | 0 | $0 |

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***Portfolio Manager Fund Ownership.*** The Funds are required to show the dollar ranges of the portfolio managers' "beneficial ownership" of Shares of each Fund as of the end of the most recently completed fiscal year or a more recent date for a new portfolio manager. Dollar amount ranges disclosed are established by the SEC. "Beneficial ownership" is determined in accordance with Rule 16a-1(a)(2) under the 1934 Act. As of the date of September 30, 2025, the Vident Portfolio Managers did not beneficially own Shares of any Fund. As of September 30, 2025, the Distillate Portfolio Managers beneficially owned Shares in the following dollar ranges:

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| | | | |
|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;**Distillate Portfolio Managers** | **Dollar Range of Shares owned of**  | **Dollar Range of Shares owned of**  | **Dollar Range of Shares owned of**  |
| &nbsp;&nbsp;&nbsp;**Distillate Portfolio Managers** | **DSTL** | **DSTX** | **DSMC** |
| &nbsp;&nbsp;Jay A. Beidler, CFA | over $1,000,000 | $100001 - $500000 | over $1,000,000 |
| &nbsp;&nbsp;Matthew T. Swanson, CFA | over $1,000,000 | over $1,000,000 | over $1,000,000 |

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***Vident Portfolio Manager Compensation.*** The Vident Portfolio Managers receive a fixed base salary and discretionary bonus that are not tied to the performance of the Funds.

***Distillate Portfolio Manager Compensation.*** Each Distillate Portfolio Manager has an ownership interest in the Adviser. The Distillate Portfolio Managers are compensated entirely via the distributed profits from their ownership of the firm.

***Vident Description of Material Conflicts of Interest.*** A Portfolio Manager's management of "other accounts" may give rise to potential conflicts of interest in connection with their management of the International Fund's and the Small/Mid Fund's investments, on the one hand, and the investments of the other accounts, on the other. The other accounts may have the same investment objectives as a Fund. Therefore, a potential conflict of interest may arise as a result of the identical investment objectives, whereby a Portfolio Manager could favor one account over another. Another potential conflict could include a Portfolio Manager's knowledge about the size, timing, and possible market impact of Fund trades, whereby a Portfolio Manager could use this information to the advantage of other accounts and to the disadvantage of the International Fund and Small/Mid Fund they manage. However, the Sub-Adviser has established policies and procedures to ensure that the purchase and sale of securities among all accounts the Sub-Adviser manages are fairly and equitably allocated.

***Distillate Description of Material Conflicts of Interest.*** A Portfolio Manager's management of "other accounts" may give rise to potential conflicts of interest in connection with their management of the Funds' investments, on the one hand, and the investments of the other accounts, on the other. The other accounts may have the same investment objectives as a Fund. Therefore, a potential conflict of interest may arise as a result of the identical investment objectives, whereby a Portfolio Manager could favor one account over another. Another potential conflict could include a Portfolio Manager's knowledge about the size, timing, and possible market impact of Fund trades, whereby a Portfolio Manager could use this information to the advantage of other accounts and to the disadvantage of the Funds they manage. However, the Adviser has established policies and procedures to ensure that the purchase and sale of securities among all other accounts the Adviser manages are fairly and equitably allocated.

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**THE DISTRIBUTOR**

The Trust and Quasar Distributors, LLC (the "Distributor"), a wholly-owned subsidiary of Foreside Financial Group, LLC (d/b/a ACA Group), are parties to a distribution agreement (the "Distribution Agreement"), whereby the Distributor acts as principal underwriter for the Funds and distributes Shares. Shares are continuously offered for sale by the Distributor only in Creation Units. The Distributor will not distribute Shares in amounts less than a Creation Unit and does not maintain a secondary market in Shares. The principal business address of the Distributor is 190 Middle Street, Suite 301, Portland, Maine 04101.

Under the Distribution Agreement, the Distributor, as agent for the Trust, will review orders for the purchase and redemption of Creation Units, provided that any subscriptions and orders will not be binding on the Trust until accepted by the Trust. The Distributor is a broker-dealer registered under the 1934 Act and a member of FINRA.

The Distributor may also enter into agreements with securities dealers ("Soliciting Dealers") who will solicit purchases of Creation Units of Shares. Such Soliciting Dealers may also be Authorized Participants (as discussed in "<u>Procedures for Purchase of Creation Units</u>" below) or DTC participants (as defined below).

The Distribution Agreement will continue for two years from its effective date and is renewable annually thereafter. The continuance of the Distribution Agreement must be specifically approved at least annually (i) by the vote of the Trustees or by a vote of the shareholders of the Fund and (ii) by the vote of a majority of the Independent Trustees who have no direct or indirect financial interest in the operations of the Distribution Agreement or any related agreement, cast in person at a meeting called for the purpose of voting on such approval. The Distribution Agreement is terminable without penalty by the Trust on 60 days' written notice when authorized either by majority vote of its outstanding voting Shares or by a vote of a majority of its Board (including a majority of the Independent Trustees), or by the Distributor on 60 days' written notice, and will automatically terminate in the event of its assignment. The Distribution Agreement provides that in the absence of willful misfeasance, bad faith or gross negligence on the part of the Distributor, or reckless disregard by it of its obligations thereunder, the Distributor shall not be liable for any action or failure to act in accordance with its duties thereunder.

***Intermediary Compensation.*** The Adviser, the Sub-Adviser, or their affiliates, out of their own resources and not out of Fund assets (*i.e.*, without additional cost to the Fund or its shareholders), may pay certain broker dealers, banks and other financial intermediaries ("Intermediaries") for certain activities related to a Fund, including participation in activities that are designed to make Intermediaries more knowledgeable about exchange traded products, including the Fund, or for other activities, such as marketing and educational training or support. These arrangements are not financed by a Fund and, thus, do not result in increased Fund expenses. They are not reflected in the fees and expenses listed in the fees and expenses sections of a Fund's Prospectus and they do not change the price paid by investors for the purchase of Shares or the amount received by a shareholder as proceeds from the redemption of Shares.

Such compensation may be paid to Intermediaries that provide services to a Fund, including marketing and education support (such as through conferences, webinars and printed communications). The Adviser and Sub-Adviser periodically assess the advisability of continuing to make these payments. Payments to an Intermediary may be significant to the Intermediary, and amounts that Intermediaries pay to your adviser, broker or other investment professional, if any, may also be significant to such adviser, broker or investment professional. Because an Intermediary may make decisions about what investment options it will make available or recommend, and what services to provide in connection with various products, based on payments it receives or is eligible to receive, such payments create conflicts of interest between the Intermediary and its clients. For example, these financial incentives may cause the Intermediary to recommend a Fund over other investments. The same conflict of interest exists with respect to your financial adviser, broker or investment professional if he or she receives similar payments from his or her Intermediary firm.

Intermediary information is current only as of the date of this SAI. Please contact your adviser, broker, or other investment professional for more information regarding any payments his or her Intermediary firm may receive. Any payments made by the Adviser, Sub-Adviser or their affiliates to an Intermediary may create the incentive for an Intermediary to encourage customers to buy Shares.

If you have any additional questions, please call 1-800-617-0004.

***Distribution and Service Plan.*** The Trust has adopted a Distribution and Service Plan (the "Plan") in accordance with the provisions of Rule 12b-1 under the 1940 Act, which regulates circumstances under which an investment company may directly or indirectly bear expenses relating to the distribution of its shares. No payments pursuant to the Plan are expected to be made during the twelve (12) month period from the date of this SAI. Rule 12b-1 fees to be paid by a Fund under the Plan may only be imposed after approval by the Board.

Continuance of the Plan must be approved annually by a majority of the Trustees of the Trust and by a majority of the Trustees who are not interested persons (as defined in the 1940 Act) of the Trust and have no direct or indirect financial interest in the Plan or in any agreements related to the Plan ("Qualified Trustees"). The Plan requires that quarterly written reports of amounts spent under the Plan and the purposes of such expenditures be furnished to and reviewed by the Trustees. The Plan may not be amended to increase

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materially the amount that may be spent thereunder without approval by a majority of the outstanding Shares of a Fund. All material amendments of the Plan will require approval by a majority of the Trustees of the Trust and of the Qualified Trustees.

The Plan provides that each Fund pays the Distributor an annual fee of up to a maximum of 0.25% of the average daily net assets of the Shares. Under the Plan, the Distributor may make payments pursuant to written agreements to financial institutions and intermediaries such as banks, savings and loan associations and insurance companies including, without limit, investment counselors, broker-dealers and the Distributor's affiliates and subsidiaries (collectively, "Agents") as compensation for services and reimbursement of expenses incurred in connection with distribution assistance. The Plan is characterized as a compensation plan since the distribution fee will be paid to the Distributor without regard to the distribution expenses incurred by the Distributor or the amount of payments made to other financial institutions and intermediaries. The Trust intends to operate the Plan in accordance with its terms and with the FINRA rules concerning sales charges.

Under the Plan, subject to the limitations of applicable law and regulations, each Fund is authorized to compensate the Distributor up to the maximum amount to finance any activity primarily intended to result in the sale of Creation Units of the Fund or for providing or arranging for others to provide shareholder services and for the maintenance of shareholder accounts. Such activities may include, but are not limited to: (i) delivering copies of a Fund's then current reports, prospectuses, notices, and similar materials, to prospective purchasers of Creation Units; (ii) marketing and promotional services, including advertising; (iii) paying the costs of and compensating others, including Authorized Participants (as discussed in "Procedures for Purchase of Creation Units" below) with whom the Distributor has entered into written Participant Agreements (as defined below), for performing shareholder servicing on behalf of a Fund; (iv) compensating certain Authorized Participants for providing assistance in distributing the Creation Units of a Fund, including the travel and communication expenses and salaries and/or commissions of sales personnel in connection with the distribution of the Creation Units of a Fund; (v) payments to financial institutions and intermediaries such as banks, savings and loan associations, insurance companies and investment counselors, broker-dealers, mutual fund supermarkets and the affiliates and subsidiaries of the Trust's service providers as compensation for services or reimbursement of expenses incurred in connection with distribution assistance; (vi) facilitating communications with beneficial owners of Shares, including the cost of providing (or paying others to provide) services to beneficial owners of Shares, including, but not limited to, assistance in answering inquiries related to shareholder accounts; and (vii) such other services and obligations as are set forth in the Distribution Agreement. The Distributor does not retain Fund monies for profit. Instead, it keeps them in retention for future distribution related expenses. The Adviser compensates the Distributor for certain distribution related services.

**THE ADMINISTRATOR AND TRANSFER AGENT**

U.S. Bancorp Fund Services, LLC, doing business as U.S. Bank Global Fund Services, located at 615 East Michigan Street, Milwaukee, Wisconsin 53202, serves as the Funds' transfer agent and administrator.

Pursuant to a Fund Administration Servicing Agreement and a Fund Accounting Servicing Agreement between the Trust and Fund Services, Fund Services provides the Trust with administrative and management services (other than investment advisory services) and accounting services, including portfolio accounting services, tax accounting services and furnishing financial reports. In this capacity, Fund Services does not have any responsibility or authority for the management of the Funds, the determination of investment policy, or for any matter pertaining to the distribution of Shares. As compensation for the administration, accounting and management services, the Adviser pays Fund Services a fee based on each Fund's average daily net assets, subject to a minimum annual fee. Fund Services also is entitled to certain out-of-pocket expenses for the services mentioned above, including pricing expenses.

The table below shows fees earned by Fund Services for services provided to the Funds for the fiscal years or period ended September 30.

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| | | | | |
|:---|:---|:---|:---|:---|
| **Name of Fund** | **2025** | **2024** | **2023** |  |
| U.S. Fund | $603798 | $550918 | $358091 |  |
| International Fund | $94490 | $88527 | $93260 |  |
| Small/Mid Fund | $112441 | $96110 | $79794 | <sup>\*</sup> |

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<sup>\*</sup>For the fiscal period October 5, 2022 (commencement of operations) through September 30, 2023.

**CUSTODIAN**

Pursuant to a Custody Agreement, U.S. Bank National Association (the "Custodian" or "U.S. Bank"), 1555 North Rivercenter Drive, Suite 302, Milwaukee, Wisconsin 53212, serves as the Custodian of the Funds' assets. The Custodian holds and administers the assets in each Fund's portfolio. Pursuant to the Custody Agreement, the Custodian receives an annual fee from the Adviser based on the Trust's total average daily net assets, subject to a minimum annual fee, and certain settlement charges. The Custodian also is entitled to certain out-of-pocket expenses.

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**LEGAL COUNSEL**

Morgan, Lewis & Bockius LLP, located at 1111 Pennsylvania Avenue NW, Washington, DC 20004-2541, serves as legal counsel for the Trust.

**INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

Cohen & Company, Ltd., located at 1835 Market Street, Suite 310, Philadelphia, Pennsylvania 19103, serves as the independent registered public accounting firm for the Funds. Its services include auditing the Funds' financial statements. Cohen & Co Advisory, LLC, an affiliate of Cohen & Company, Ltd., provides tax services to the Funds as requested.

**PORTFOLIO HOLDINGS DISCLOSURE POLICIES AND PROCEDURES**

The Board has adopted a policy regarding the disclosure of information about each Fund's security holdings. Each Fund's entire portfolio holdings are publicly disseminated each day a Fund is open for business and may be available through financial reporting and news services, including publicly available internet web sites. In addition, the composition of the Deposit Securities (as defined below) is publicly disseminated daily prior to the opening of the Exchange via the National Securities Clearing Corporation ("NSCC").

**DESCRIPTION OF SHARES**

The Declaration of Trust authorizes the issuance of an unlimited number of funds and Shares. Each Share represents an equal proportionate interest in the applicable Fund with each other Share. Shares are entitled upon liquidation to a pro rata share in the net assets of the applicable Fund. Shareholders have no preemptive rights. The Declaration of Trust provides that the Trustees may create additional series or classes of Shares. All consideration received by the Trust for shares of any additional funds and all assets in which such consideration is invested would belong to that fund and would be subject to the liabilities related thereto. Share certificates representing Shares will not be issued. Shares, when issued, are fully paid and non-assessable.

Each Share has one vote with respect to matters upon which a shareholder vote is required, consistent with the requirements of the 1940 Act and the rules promulgated thereunder. Shares of all funds of the Trust vote together as a single class, except that if the matter being voted on affects only a particular fund it will be voted on only by that fund and if a matter affects a particular fund differently from other funds, that fund will vote separately on such matter. As a Delaware statutory trust, the Trust is not required, and does not intend, to hold annual meetings of shareholders. Approval of shareholders will be sought, however, for certain changes in the operation of the Trust and for the election of Trustees under certain circumstances. Upon the written request of shareholders owning at least 10% of the Trust's Shares, the Trust will call for a meeting of shareholders to consider the removal of one or more Trustees and other certain matters. In the event that such a meeting is requested, the Trust will provide appropriate assistance and information to the shareholders requesting the meeting.

Under the Declaration of Trust, the Trustees have the power to liquidate a Fund without shareholder approval. While the Trustees have no present intention of exercising this power, they may do so if a Fund fails to reach a viable size within a reasonable amount of time or for such other reasons as may be determined by the Board.

**LIMITATION OF TRUSTEES' LIABILITY**

The Declaration of Trust provides that a Trustee shall be liable only for his or her own willful misfeasance, bad faith, gross negligence or reckless disregard of the duties involved in the conduct of the office of Trustee, and shall not be liable for errors of judgment or mistakes of fact or law. The Trustees shall not be responsible or liable in any event for any neglect or wrong-doing of any officer, agent, employee, adviser or principal underwriter of the Trust, nor shall any Trustee be responsible for the act or omission of any other Trustee. The Declaration of Trust also provides that the Trust shall indemnify each person who is, or has been, a Trustee, officer, employee or agent of the Trust, any person who is serving or has served at the Trust's request as a Trustee, officer, trustee, employee or agent of another organization in which the Trust has any interest as a shareholder, creditor or otherwise to the extent and in the manner provided in the Amended and Restated By-laws. However, nothing in the Declaration of Trust shall protect or indemnify a Trustee against any liability for his or her willful misfeasance, bad faith, gross negligence, or reckless disregard of the duties involved in the conduct of the office of Trustee. Nothing contained in this section attempts to disclaim a Trustee's individual liability in any manner inconsistent with the federal securities laws.

**BROKERAGE TRANSACTIONS**

The policy of the Trust regarding purchases and sales of securities for a Fund is that primary consideration will be given to obtaining the most favorable prices and efficient executions of transactions. Consistent with this policy, when securities transactions are effected on a stock exchange, the Trust's policy is to pay commissions which are considered fair and reasonable without necessarily determining that the lowest possible commissions are paid in all circumstances. The Trust believes that a requirement always to seek the lowest possible commission cost could impede effective portfolio management and preclude the Funds and the Adviser (with respect to the U.S. Fund) and the Sub-Adviser (with respect to the International Fund and the Small/Mid Fund) from obtaining a high quality of brokerage and research services. In seeking to determine the reasonableness of brokerage commissions paid in any

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transaction, the Adviser and Sub-Adviser will rely upon its experience and knowledge regarding commissions generally charged by various brokers and on its judgment in evaluating the brokerage services received from the broker effecting the transaction. Such determinations are necessarily subjective and imprecise, as in most cases, an exact dollar value for those services is not ascertainable. The Trust has adopted policies and procedures that prohibit the consideration of sales of Shares as a factor in the selection of a broker or dealer to execute its portfolio transactions.

The Adviser and Sub-Adviser each owe a fiduciary duty to its clients to seek to provide best execution on trades effected. In selecting a broker-dealer for each specific transaction, the Adviser and Sub-Adviser choose the broker-dealer deemed most capable of providing the services necessary to obtain the most favorable execution. "Best execution" is generally understood to mean the most favorable cost or net proceeds reasonably obtainable under the circumstances. The full range of brokerage services applicable to a particular transaction may be considered when making this judgment, which may include, but is not limited to: liquidity, price, commission, timing, aggregated trades, capable floor brokers or traders, competent block trading coverage, ability to position, capital strength and stability, reliable and accurate communications and settlement processing, use of automation, knowledge of other buyers or sellers, arbitrage skills, administrative ability, underwriting and provision of information on a particular security or market in which the transaction is to occur. The specific criteria will vary depending upon the nature of the transaction, the market in which it is executed, and the extent to which it is possible to select from among multiple broker-dealers. The Adviser and Sub-Adviser will also use electronic crossing networks ("ECNs") when appropriate.

Subject to the foregoing policies, brokers or dealers selected to execute a Fund's portfolio transactions may include such Fund's Authorized Participants (as discussed in "<u>Procedures for Purchase of Creation Units</u>" below) or their affiliates. An Authorized Participant or its affiliates may be selected to execute a Fund's portfolio transactions in conjunction with an all-cash creation unit order or an order including "cash-in-lieu" (as described below under "<u>Purchase and Redemption of Shares in Creation Units</u>"), so long as such selection is in keeping with the foregoing policies. As described below under "<u>Purchase and Redemption of Shares in Creation Units—Creation Transaction Fee</u>" and "<u>—Redemption Transaction Fee</u>", each Fund may determine to not charge a variable fee on certain orders when the Adviser and/or Sub-Adviser have determined that doing so is in the best interests of Fund shareholders, *e.g.*, for creation orders that facilitate the rebalance of the applicable Fund's portfolio in a more tax efficient manner than could be achieved without such order, even if the decision to not charge a variable fee could be viewed as benefiting the Authorized Participant or its affiliate selected to execute the Fund's portfolio transactions in connection with such orders.

The Adviser and Sub-Adviser, as applicable, may use a Fund's assets for, or participate in, third-party soft dollar arrangements, in addition to receiving proprietary research from various full-service brokers, the cost of which is bundled with the cost of the broker's execution services. The Adviser and Sub-Adviser do not "pay up" for the value of any such proprietary research. Section 28(e) of the 1934 Act permits the Adviser and Sub-Adviser, under certain circumstances, to cause a Fund to pay a broker or dealer a commission for effecting a transaction in excess of the amount of commission another broker or dealer would have charged for effecting the transaction in recognition of the value of brokerage and research services provided by the broker or dealer. The Adviser and Sub-Adviser may receive a variety of research services and information on many topics, which it can use in connection with its management responsibilities with respect to the various accounts over which it exercises investment discretion or otherwise provides investment advice. The research services may include qualifying order management systems, portfolio attribution and monitoring services and computer software and access charges which are directly related to investment research. Accordingly, a Fund may pay a broker commission higher than the lowest available in recognition of the broker's provision of such services to the Adviser and/or Sub-Adviser, but only if the Adviser and/or Sub-Adviser determine the total commission (including the soft dollar benefit) is comparable to the best commission rate that could be expected to be received from other brokers. The amount of soft dollar benefits received depends on the amount of brokerage transactions effected with the brokers. A conflict of interest exists because there is an incentive to: 1) cause clients to pay a higher commission than the firm might otherwise be able to negotiate; 2) cause clients to engage in more securities transactions than would otherwise be optimal; and 3) only recommend brokers that provide soft dollar benefits.

The Adviser and Sub-Adviser face a potential conflict of interest when it uses client trades to obtain brokerage or research services. This conflict exists because the Adviser and Sub-Adviser are able to use the brokerage or research services to manage client accounts without paying cash for such services, which reduces the Adviser's and Sub-Adviser's expenses to the extent that the Adviser and Sub-Adviser would have purchased such products had they not been provided by brokers. Section 28(e) permits the Adviser and Sub-Adviser to use brokerage or research services for the benefit of any account it manages. Certain accounts managed by the Adviser and Sub-Adviser may generate soft dollars used to purchase brokerage or research services that ultimately benefit other accounts managed by the Adviser and Sub-Adviser, effectively cross subsidizing the other accounts managed by the Adviser and Sub-Adviser that benefit directly from the product. The Adviser and Sub-Adviser may not necessarily use all of the brokerage or research services in connection with managing a Fund whose trades generated the soft dollars used to purchase such products.

The Sub-Adviser is responsible, subject to oversight by the Adviser and the Board, for placing orders on behalf of the International Fund and the Small/Mid Fund for the purchase or sale of portfolio securities. If purchases or sales of portfolio securities of the International Fund and the Small/Mid Fund and/or one or more other investment companies or clients supervised by the Sub-Adviser are considered at or about the same time, transactions in such securities are allocated among the several investment companies and

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clients in a manner deemed equitable and consistent with its fiduciary obligations to all by the Sub-Adviser. In some cases, this procedure could have a detrimental effect on the price or volume of the security so far as the International Fund and the Small/Mid Fund are concerned. However, in other cases, it is possible that the ability to participate in volume transactions and to negotiate lower brokerage commissions will be beneficial to the International and/or the Small/Mid Fund. The primary consideration is prompt execution of orders at the most favorable net price.

A Fund may deal with affiliates in principal transactions to the extent permitted by exemptive order or applicable rule or regulation.

The table below shows brokerage commissions paid in the aggregate amount by the Funds for the fiscal year or period ended September 30.

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| | | | | |
|:---|:---|:---|:---|:---|
| **Name of Fund** | **2025** | **2024** | **2023** |  |
| U.S. Fund | $302458 | $406372 | $214891 |  |
| International Fund | $38943 | $54610 | $19787 |  |
| Small/Mid Fund | $105199 | $78904 | $10943 | <sup>\*</sup> |

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<sup>\*</sup>For the fiscal period October 5, 2022 (commencement of operations) through September 30, 2023.

**Directed Brokerage.** For the fiscal year ended September 30, 2025, the Funds did not pay any commissions on brokerage transactions directed to brokers pursuant to an agreement or understanding whereby the broker provides research or other brokerage services to the Sub-Adviser.

**Brokerage with Fund Affiliates**. A Fund may execute brokerage or other agency transactions through registered broker-dealer affiliates of the Funds, the Adviser, the Sub-Adviser or the Distributor for a commission in conformity with the 1940 Act, the 1934 Act and rules promulgated by the SEC. These rules require that commissions paid to the affiliate by the Funds for exchange transactions not exceed "usual and customary" brokerage commissions. The rules define "usual and customary" commissions to include amounts which are "reasonable and fair compared to the commission, fee or other remuneration received or to be received by other brokers in connection with comparable transactions involving similar securities being purchased or sold on a securities exchange during a comparable period of time." The Trustees, including those who are not "interested persons" of the Funds, have adopted procedures for evaluating the reasonableness of commissions paid to affiliates and review these procedures periodically. During the fiscal year ended September 30, 2025, the Funds did not pay brokerage commissions to any registered broker-dealer affiliates of the Funds, the Adviser, the Sub-Adviser, or the Distributor.

**Securities of "Regular Broker-Dealers**.**"** Each Fund is required to identify any securities of its "regular brokers and dealers" (as such term is defined in the 1940 Act) that it may hold at the close of its most recent fiscal year. "Regular brokers or dealers" of a Fund are the ten brokers or dealers that, during the most recent fiscal year: (i) received the greatest dollar amounts of brokerage commissions from the Fund's portfolio transactions; (ii) engaged as principal in the largest dollar amounts of portfolio transactions of the Fund; or (iii) sold the largest dollar amounts of Shares. The Funds did not acquire any securities of "regular broker dealers" as of September 30, 2025.

**PORTFOLIO TURNOVER RATE**

Portfolio turnover may vary from year to year, as well as within a year. High turnover rates are likely to result in comparatively greater brokerage expenses. The overall reasonableness of brokerage commissions is evaluated by the Adviser or Sub-Adviser (as it pertains to the International Fund and Small/Mid Cap Fund only) based upon its knowledge of available information as to the general level of commissions paid by other institutional investors for comparable services.

The Funds' portfolio turnover rate for the fiscal year or period ended September 30 were:

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| | | |
|:---|:---|:---|
| **Name of Fund** | **2025** | **2024** |
| U.S. Fund | 70% | 87% |
| International Fund | 91% | 117% |
| Small/Mid Fund | 112% | 114% |

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**BOOK ENTRY ONLY SYSTEM**

The Depository Trust Company ("DTC") acts as securities depositary for Shares. Shares are represented by securities registered in the name of DTC or its nominee, Cede & Co., and deposited with, or on behalf of, DTC. Except in limited circumstances set forth below, certificates will not be issued for Shares.

DTC is a limited-purpose trust company that was created to hold securities of its participants (the "DTC Participants") and to facilitate the clearance and settlement of securities transactions among the DTC Participants in such securities through electronic book-entry

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changes in accounts of the DTC Participants, thereby eliminating the need for physical movement of securities certificates. DTC Participants include securities brokers and dealers, banks, trust companies, clearing corporations and certain other organizations, some of whom (and/or their representatives) own DTC. More specifically, DTC is owned by a number of its DTC Participants and by the New York Stock Exchange ("NYSE") and FINRA. Access to the DTC system is also available to others such as banks, brokers, dealers, and trust companies that clear through or maintain a custodial relationship with a DTC Participant, either directly or indirectly (the "Indirect Participants").

Beneficial ownership of Shares is limited to DTC Participants, Indirect Participants, and persons holding interests through DTC Participants and Indirect Participants. Ownership of beneficial interests in Shares (owners of such beneficial interests are referred to in this SAI as "Beneficial Owners") is shown on, and the transfer of ownership is effected only through, records maintained by DTC (with respect to DTC Participants) and on the records of DTC Participants (with respect to Indirect Participants and Beneficial Owners that are not DTC Participants). Beneficial Owners will receive from or through the DTC Participant a written confirmation relating to their purchase of Shares. The Trust recognizes DTC or its nominee as the record owner of all Shares for all purposes. Beneficial Owners of Shares are not entitled to have Shares registered in their names and will not receive or be entitled to physical delivery of Share certificates. Each Beneficial Owner must rely on the procedures of DTC and any DTC Participant and/or Indirect Participant through which such Beneficial Owner holds its interests, to exercise any rights of a holder of Shares.

Conveyance of all notices, statements, and other communications to Beneficial Owners is effected as follows. DTC will make available to the Trust upon request and for a fee a listing of Shares held by each DTC Participant. The Trust shall obtain from each such DTC Participant the number of Beneficial Owners holding Shares, directly or indirectly, through such DTC Participant. The Trust shall provide each such DTC Participant with copies of such notice, statement, or other communication, in such form, number and at such place as such DTC Participant may reasonably request, in order that such notice, statement or communication may be transmitted by such DTC Participant, directly or indirectly, to such Beneficial Owners. In addition, the Trust shall pay to each such DTC Participant a fair and reasonable amount as reimbursement for the expenses attendant to such transmittal, all subject to applicable statutory and regulatory requirements.

Share distributions shall be made to DTC or its nominee, Cede & Co., as the registered holder of all Shares. DTC or its nominee, upon receipt of any such distributions, shall credit immediately DTC Participants' accounts with payments in amounts proportionate to their respective beneficial interests in a Fund as shown on the records of DTC or its nominee. Payments by DTC Participants to Indirect Participants and Beneficial Owners of Shares held through such DTC Participants will be governed by standing instructions and customary practices, as is now the case with securities held for the accounts of customers in bearer form or registered in a "street name," and will be the responsibility of such DTC Participants.

The Trust has no responsibility or liability for any aspect of the records relating to or notices to Beneficial Owners, or payments made on account of beneficial ownership interests in Shares, or for maintaining, supervising, or reviewing any records relating to such beneficial ownership interests, or for any other aspect of the relationship between DTC and the DTC Participants or the relationship between such DTC Participants and the Indirect Participants and Beneficial Owners owning through such DTC Participants.

DTC may determine to discontinue providing its service with respect to a Fund at any time by giving reasonable notice to the Fund and discharging its responsibilities with respect thereto under applicable law. Under such circumstances, the applicable Fund shall take action either to find a replacement for DTC to perform its functions at a comparable cost or, if such replacement is unavailable, to issue and deliver printed certificates representing ownership of Shares, unless the Trust makes other arrangements with respect thereto satisfactory to the Exchange.

**PURCHASE AND REDEMPTION OF SHARES IN CREATION UNITS**

Each Fund issues and redeems Shares only in Creation Units on a continuous basis through the Transfer Agent, without a sales load (but subject to transaction fees, if applicable), at their NAV per share next determined after receipt of an order, on any Business Day, in proper form pursuant to the terms of the Authorized Participant Agreement ("Participant Agreement"). The NAV of Shares is calculated each Business Day as of the scheduled close of regular trading on the NYSE, generally 4:00 p.m., Eastern time. The Funds will not issue fractional Creation Units. A "Business Day" is any day on which the NYSE is open for business.

**Fund Deposit**. The consideration for purchase of a Creation Unit of a Fund generally consists of (a)(i) Deposit Securities and/or (ii) Deposit Cash and (b) a Cash Component, computed as described below. Notwithstanding the foregoing, each Fund reserves the right to permit or require the substitution of a cash in lieu amount to replace any Deposit Security in connection with the purchase of a Creation Unit. When accepting purchases of Creation Units for all or a portion of Deposit Cash, a Fund may incur additional costs associated with the acquisition of Deposit Securities that would otherwise be provided by an in-kind purchaser.

Together, the Deposit Securities or Deposit Cash, as applicable, and the Cash Component constitute the "Fund Deposit," which represents the minimum initial and subsequent investment amount for a Creation Unit of the applicable Fund. The "Cash Component" is an amount equal to the difference between the NAV of Shares (per Creation Unit) and the value of the Deposit Securities or Deposit Cash, as applicable. If the Cash Component is a positive number (*i.e.*, the NAV per Creation Unit exceeds the value of the Deposit

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Securities or Deposit Cash, as applicable), the Cash Component shall be such positive amount. If the Cash Component is a negative number (*i.e.*, the NAV per Creation Unit is less than the value of the Deposit Securities or Deposit Cash, as applicable), the Cash Component shall be such negative amount and the creator will be entitled to receive cash in an amount equal to the Cash Component. The Cash Component serves the function of compensating for any differences between the NAV per Creation Unit and the value of the Deposit Securities or Deposit Cash, as applicable. Computation of the Cash Component excludes any stamp duty or other similar fees and expenses payable upon transfer of beneficial ownership of the Deposit Securities, if applicable, which shall be the sole responsibility of the Authorized Participant (as defined below).

Each Fund, through NSCC, makes available on each Business Day, prior to the opening of business on the Exchange (currently 9:30 a.m., Eastern time), the list of the names and the required number of Shares of each Deposit Security or the required amount of Deposit Cash, as applicable, to be included in the current Fund Deposit (based on information at the end of the previous Business Day) for the applicable Fund. Such Fund Deposit is subject to any applicable adjustments as described below, to effect purchases of Creation Units of the applicable Fund until such time as the next-announced composition of the Deposit Securities or the required amount of Deposit Cash, as applicable, is made available.

The identity and number of Shares of the Deposit Securities or the amount of Deposit Cash, as applicable, required for a Fund Deposit for the Fund changes as rebalancing adjustments and corporate action events are reflected from time to time by the Adviser or Sub-Adviser with a view to the investment objective of each Fund they manage.

The Trust reserves the right to permit or require the substitution of Deposit Cash to replace any Deposit Security, which shall be added to the Cash Component, including, without limitation, in situations where the Deposit Security: (i) may not be available in sufficient quantity for delivery; (ii) may not be eligible for transfer through the systems of DTC for corporate securities and municipal securities; (iii) may not be eligible for trading by an Authorized Participant (as defined below) or the investor for which it is acting; (iv) would be restricted under the securities laws or where the delivery of the Deposit Security to the Authorized Participant would result in the disposition of the Deposit Security by the Authorized Participant becoming restricted under the securities laws; or (v) in certain other situations (collectively, "custom orders"). The adjustments described above will reflect changes, known to the Adviser on the date of announcement to be in effect by the time of delivery of the Fund Deposit resulting from certain corporate actions.

**Procedures for Purchase of Creation Units**. To be eligible to place orders with the Transfer Agent to purchase a Creation Unit of a Fund, an entity must be (i) a "Participating Party" (*i.e.*, a broker-dealer or other participant in the clearing process through the Continuous Net Settlement System of the NSCC (the "Clearing Process")), a clearing agency that is registered with the SEC; or (ii) a DTC Participant (see "<u>Book Entry Only System</u>"). In addition, each Participating Party or DTC Participant (each, an "Authorized Participant") must execute a Participant Agreement that has been agreed to by the Distributor, and that has been accepted by the Transfer Agent, with respect to purchases and redemptions of Creation Units. Each Authorized Participant will agree, pursuant to the terms of a Participant Agreement, on behalf of itself or any investor on whose behalf it will act, to certain conditions, including that it will pay to the Fund, an amount of cash sufficient to pay the Cash Component together with the creation transaction fee (described below), if applicable, and any other applicable fees and taxes.

All orders to purchase Shares directly from the U.S. Fund must be placed for one or more Creation Units and in the manner and by the time set forth in the Participant Agreement. The order cut-off time for the Fund for orders to purchase Creation Units of the U.S. Fund is expected to be 4:00 p.m. Eastern time, which time may be modified by the Fund from time-to-time by amendment to the Participant Agreement. The date on which an order to purchase Creation Units (or an order to redeem Creation Units, as set forth below) is received and accepted is referred to as the "Order Placement Date."

All orders to purchase Shares directly from the International Fund on the next Business Day must be submitted as a "Future Dated Trade" for one or more Creation Units between 4:30 p.m. Eastern time and 5:30 p.m. Eastern time on the prior Business Day and in the manner set forth in the Participant Agreement. With respect to the International Fund, the Business Day following the day on which such an order is submitted to purchase Creation Units (or an order to redeem Creation Units, as set forth below) is referred to as the "Order Placement Date."

An Authorized Participant may require an investor to make certain representations or enter into agreements with respect to the order (*e.g.*, to provide for payments of cash, when required). Investors should be aware that their particular broker may not have executed a Participant Agreement and that, therefore, orders to purchase Shares directly from a Fund in Creation Units have to be placed by the investor's broker through an Authorized Participant that has executed a Participant Agreement. In such cases there may be additional charges to such investor. At any given time, there may be only a limited number of broker-dealers that have executed a Participant Agreement and only a small number of such Authorized Participants may have international capabilities.

On days when the Exchange closes earlier than normal, a Fund may require orders to create Creation Units to be placed earlier in the day. In addition, if a market or markets on which a Fund's investments are primarily traded is closed, the applicable Fund will also generally not accept orders on such day(s). Orders must be transmitted by an Authorized Participant by telephone or other transmission method acceptable to the Transfer Agent pursuant to procedures set forth in the Participant Agreement. On behalf of the

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Funds, the Transfer Agent will notify the Custodian of such order. The Custodian will then provide such information to the appropriate local sub-custodian(s). Those placing orders through an Authorized Participant should allow sufficient time to permit proper submission of the purchase order to the Transfer Agent by the cut-off time on such Business Day. Economic or market disruptions or changes, or telephone or other communication failure may impede the ability to reach the Transfer Agent or an Authorized Participant.

Fund Deposits must be delivered by an Authorized Participant through the Federal Reserve System (for cash) or through DTC (for corporate securities), through a subcustody agent (for foreign securities) and/or through such other arrangements allowed by the Fund or its agents. With respect to foreign Deposit Securities, the Custodian shall cause the subcustodian of the Funds to maintain an account into which the Authorized Participant shall deliver, on behalf of itself or the party on whose behalf it is acting, such Deposit Securities (or Deposit Cash for all or a part of such securities, as permitted or required), with any appropriate adjustments as advised by the Fund. Foreign Deposit Securities must be delivered to an account maintained at the applicable local subcustodian. A Fund Deposit transfer must be ordered by the Authorized Participant in a timely fashion so as to ensure the delivery of the requisite number of Deposit Securities or Deposit Cash, as applicable, to the account of the applicable Fund or its agents by no later than 12:00 p.m. Eastern time (or such other time as specified by the Fund) on the Settlement Date. If a Fund or its agents do not receive all of the Deposit Securities, or the required Deposit Cash in lieu thereof, by such time, then the order may be deemed rejected and the Authorized Participant shall be liable to the applicable Fund for losses, if any, resulting therefrom. The "Settlement Date" for a Fund is generally the first Business Day after the Order Placement Date. However, the Funds reserve the right to settle transactions on a basis other than the Business Day after the Order Placement Date.

All questions as to the number of Deposit Securities or Deposit Cash to be delivered, as applicable, and the validity, form and eligibility (including time of receipt) for the deposit of any tendered securities or cash, as applicable, will be determined by the Fund, whose determination shall be final and binding. The amount of cash represented by the Cash Component must be transferred directly to the Custodian through the Federal Reserve Bank wire transfer system in a timely manner so as to be received by the Custodian no later than the Settlement Date. If the Cash Component and the Deposit Securities or Deposit Cash, as applicable, are not received by the Custodian in a timely manner by the Settlement Date, the creation order may be cancelled. Upon written notice to the Transfer Agent, such canceled order may be resubmitted the following Business Day using a Fund Deposit as newly constituted to reflect the then current NAV of the applicable Fund.

The order shall be deemed to be received on the Business Day on which the order is placed provided that the order is placed in proper form prior to the applicable cut-off time. Trades are to be settled when the federal funds in the appropriate amount are deposited by 2:00 p.m. or 3:00 p.m., Eastern time, with the Custodian on the Settlement Date. If the order is not placed in proper form as required, or federal funds in the appropriate amount are not received by 2:00 p.m. or 3:00 p.m., Eastern time on the Settlement Date, then the order may be deemed to be rejected and the Authorized Participant shall be liable to the applicable Fund for losses, if any, resulting therefrom. A creation request is considered to be in "proper form" if all procedures set forth in the Participant Agreement and this SAI are properly followed.

**Issuance of a Creation Unit.** Except as provided in this SAI, Creation Units will not be issued until the transfer of good title to the Fund of the Deposit Securities or payment of Deposit Cash, as applicable, and the payment of the Cash Component have been completed. When the subcustodian has confirmed to the Custodian that the required Deposit Securities (or the cash value thereof) have been delivered to the account of the relevant subcustodian or subcustodians, the Transfer Agent and the Adviser shall be notified of such delivery, and the Fund will issue and cause the delivery of the Creation Units. The delivery of Creation Units so created generally will occur no later than one Business Day following the day on which the purchase order is deemed received by the Transfer Agent. However, the Funds reserve the right to settle transactions on a basis other than the Business Day after the purchase order is deemed received by the Transfer Agent.

Creation Units may be purchased in advance of receipt by the Fund of all or a portion of the applicable Deposit Securities as described below. In these circumstances, the initial deposit will have a value greater than the NAV of Shares on the date the order is placed in proper form since, in addition to available Deposit Securities, cash must be deposited in an amount equal to the sum of (i) the Cash Component, plus (ii) an additional amount of cash equal to a percentage of the value as set forth in the Participant Agreement, of the undelivered Deposit Securities (the "Additional Cash Deposit"), which shall be maintained in a separate non-interest bearing collateral account. The Authorized Participant must deposit with the Custodian the Additional Cash Deposit, as applicable, by 12:00 p.m. Eastern time (or such other time as specified by the Fund) on the Settlement Date. If a Fund or its agents do not receive the Additional Cash Deposit in the appropriate amount, by such time, then the order may be deemed rejected and the Authorized Participant shall be liable to the applicable Fund for losses, if any, resulting therefrom. An additional amount of cash shall be required to be deposited with the Fund, pending delivery of the missing Deposit Securities to the extent necessary to maintain the Additional Cash Deposit with the Fund in an amount at least equal to the applicable percentage, as set forth in the Participant Agreement, of the daily market value of the missing Deposit Securities. The Participant Agreement will permit the Fund to buy the missing Deposit Securities at any time. Authorized Participants will be liable to the Fund for the costs incurred by the Fund in connection with any such purchases. These costs will be deemed to include the amount by which the actual purchase price of the Deposit Securities exceeds the value of such

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Deposit Securities on the day the purchase order was deemed received by the Distributor plus the brokerage and related transaction costs associated with such purchases. The Fund will return any unused portion of the Additional Cash Deposit once all of the missing Deposit Securities have been properly received by the Custodian or purchased by the Fund and deposited into the Fund. In addition, a transaction fee, as described below under "<u>Creation Transaction Fee</u>," may be charged. The delivery of Creation Units so created generally will occur no later than the Settlement Date.

**Acceptance of Orders of Creation Units**. Each Fund reserves the right to reject an order for Creation Units transmitted to it by the Transfer Agent with respect to a Fund including, without limitation, if (a) the order is not in proper form; (b) the Deposit Securities or Deposit Cash, as applicable, delivered by the Participant are not as disseminated through the facilities of the NSCC for that date by the Custodian; (c) the investor(s), upon obtaining Shares ordered, would own 80% or more of the currently outstanding Shares of the applicable Fund; (d) the acceptance of the Fund Deposit would, in the opinion of counsel, be unlawful; (e) the acceptance or receipt of the order for a Creation Unit would, in the opinion of Fund counsel, be unlawful; or (f) in the event that circumstances outside the control of the Fund, the Custodian, the Transfer Agent and/or the Adviser make it for all practical purposes not feasible to process orders for Creation Units.

Examples of such circumstances include acts of God or public service or utility problems such as fires, floods, extreme weather conditions and power outages resulting in telephone, telecopy and computer failures; market conditions or activities causing trading halts; systems failures involving computer or other information systems affecting the Fund, the Distributor, the Custodian, a sub-custodian, the Transfer Agent, DTC, NSCC, Federal Reserve System, or any other participant in the creation process, and other extraordinary events. The Transfer Agent shall notify a prospective creator of a Creation Unit and/or the Authorized Participant acting on behalf of the creator of a Creation Unit of its rejection of the order of such person. The Funds, the Transfer Agent, the Custodian, any sub-custodian and the Distributor are under no duty, however, to give notification of any defects or irregularities in the delivery of Fund Deposits nor shall either of them incur any liability for the failure to give any such notification. The Funds, the Transfer Agent, the Custodian and the Distributor shall not be liable for the rejection of any purchase order for Creation Units.

All questions as to the number of Shares of each security in the Deposit Securities and the validity, form, eligibility and acceptance for deposit of any securities to be delivered shall be determined by the Trust, and the Trust's determination shall be final and binding

**Creation Transaction Fee**. A fixed purchase (*i.e.*, creation) transaction fee, payable to the Fund's custodian, may be imposed for the transfer and other transaction costs associated with the purchase of Creation Units ("Creation Order Costs"). The standard fixed creation transaction fee for each Fund, regardless of the number of Creation Units created in the transaction, can be found in the table below. Each Fund may adjust the standard fixed creation transaction fee from time to time. The fixed creation fee may be waived on certain orders if the applicable Fund's custodian has determined to waive some or all of the Creation Order Costs associated with the order or another party, such as the Adviser, has agreed to pay such fee.

In addition, a variable fee, payable to the applicable Fund, of up to the maximum percentage listed in the table below of the value of the Creation Units subject to the transaction may be imposed for cash purchases, non-standard orders, or partial cash purchases of Creation Units. The variable charge is primarily designed to cover additional costs (*e.g.*, brokerage, taxes) involved with buying the securities with cash. Each Fund may determine to not charge a variable fee on certain orders when the Adviser has determined that doing so is in the best interests of Fund shareholders, *e.g.*, for creation orders that facilitate the rebalance of the Fund's portfolio in a more tax efficient manner than could be achieved without such order.

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| | | |
|:---|:---|:---|
| **Name of Fund** | **Fixed Creation Transaction Fee** | &nbsp;&nbsp;**Maximum Variable Transaction Fee** |
| U.S. Fund | $300 | 2% |
| International Fund | $1000 | 2% |
| Small/Mid Fund | $500 | 2% |

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Investors who use the services of a broker or other such intermediary may be charged a fee for such services. Investors are responsible for the fixed costs of transferring the Fund Securities from the Trust to their account or on their order.

**Risks of Purchasing Creation Units**. There are certain legal risks unique to investors purchasing Creation Units directly from a Fund. Because Shares may be issued on an ongoing basis, a "distribution" of Shares could be occurring at any time. Certain activities that a shareholder performs as a dealer could, depending on the circumstances, result in the shareholder being deemed a participant in the distribution in a manner that could render the shareholder a statutory underwriter and subject to the prospectus delivery and liability provisions of the Securities Act. For example, a shareholder could be deemed a statutory underwriter if it purchases Creation Units from a Fund, breaks them down into the constituent Shares, and sells those Shares directly to customers, or if a shareholder chooses to couple the creation of a supply of new Shares with an active selling effort involving solicitation of secondary-market demand for Shares. Whether a person is an underwriter depends upon all of the facts and circumstances pertaining to that person's activities, and

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the examples mentioned here should not be considered a complete description of all the activities that could cause you to be deemed an underwriter.

Dealers who are not "underwriters" but are participating in a distribution (as opposed to engaging in ordinary secondary-market transactions), and thus dealing with Shares as part of an "unsold allotment" within the meaning of Section 4(a)(3)(C) of the Securities Act, will be unable to take advantage of the prospectus delivery exemption provided by Section 4(a)(3) of the Securities Act.

**Redemption**. Shares may be redeemed only in Creation Units at their NAV next determined after receipt of a redemption request in proper form by a Fund through the Transfer Agent and only on a Business Day. A Fund will not redeem shares in amounts less than Creation Units, except upon liquidation of the Fund.

There can be no assurance, however, that there will be sufficient liquidity in the public trading market at any time to permit assembly of a Creation Unit. Investors should expect to incur brokerage and other costs in connection with assembling a sufficient number of Shares to constitute a redeemable Creation Unit.

Fund Securities received on redemption may not be identical to Deposit Securities.

Redemption proceeds for a Creation Unit are paid either in-kind or in cash, or combination thereof, as determined by the Fund. With respect to in-kind redemptions of the Funds, redemption proceeds for a Creation Unit will consist of Fund Securities, as announced by the Custodian on the Business Day of the request for redemption, received in proper form plus the Cash Redemption Amount, less a fixed redemption transaction fee, as applicable on that day. The Cash Redemption Amount is an amount equal to the difference between the NAV of Shares being redeemed, as next determined after receipt of a request in proper form, and the value of the Fund Securities. Fund Securities received on redemption may not be identical to Deposit Securities.

In the event that Fund Securities have a value greater than the NAV of Shares, a compensating cash payment equal to the differential is required to be made by or through an Authorized Participant by the redeeming shareholder. Notwithstanding the foregoing, at the Fund's discretion, an Authorized Participant may receive the corresponding cash value of the securities in lieu of the in-kind securities value representing one or more Fund Securities.

**Redemption Transaction Fee**. A fixed redemption transaction fee, payable to the Fund's custodian, may be imposed for the transfer and other transaction costs associated with the redemption of Creation Units ("Redemption Order Costs"). The standard fixed redemption transaction fee for each Fund, regardless of the number of Creation Units redeemed in the transaction, can be found in the table below. Each Fund may adjust the redemption transaction fee from time to time. The fixed redemption fee may be waived on certain orders if the applicable Fund's custodian has determined to waive some or all of the Redemption Order Costs associated with the order or another party, such as the Adviser, has agreed to pay such fee.

In addition, a variable fee, payable to the applicable Fund, of up to the maximum percentage listed in the table below of the value of the Creation Units subject to the transaction may be imposed for cash redemptions, non-standard orders, or partial cash redemptions (when cash redemptions are available) of Creation Units. The variable charge is primarily designed to cover additional costs (*e.g.*, brokerage, taxes) involved with selling portfolio securities to satisfy a cash redemption. Each Fund may determine to not charge a variable fee on certain orders when the Adviser has determined that doing so is in the best interests of Fund shareholders, *e.g.*, for redemption orders that facilitate the rebalance of the Fund's portfolio in a more tax efficient manner than could be achieved without such order.

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| | | |
|:---|:---|:---|
| **Name of Fund** | **Fixed Redemption Transaction Fee** | &nbsp;&nbsp;**Maximum Variable Transaction Fee** |
| U.S. Fund | $300 | 2% |
| International Fund | $1000 | 2% |
| Small/Mid Fund | $500 | 2% |

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Investors who use the services of a broker or other such intermediary may be charged a fee for such services. Investors are responsible for the fixed costs of transferring the Fund Securities from the Fund to their account or on their order.

**Procedures for Redemption of Creation Units.** Orders to redeem Creation Units of the U.S. Fund must be submitted in proper form to the Transfer Agent prior to 4:00 p.m. Eastern time. Orders to redeem Creation Units of the International Fund on the next Business Day must be submitted in proper form to the Transfer Agent as a "Future Dated Trade" for one or more Creation Units between 4:30 p.m. Eastern Time and 5:30 p.m. Eastern Time on the prior Business Day in the manner set forth in the Participant Agreement. A redemption request is considered to be in "proper form" if (i) an Authorized Participant has transferred or caused to be transferred to the Trust's Transfer Agent the Creation Unit(s) being redeemed through the book-entry system of DTC so as to be effective by the time as set forth in the Participant Agreement and (ii) a request in form satisfactory to the Trust is received by the Transfer Agent from the Authorized Participant on behalf of itself or another redeeming investor within the time periods specified in the Participant

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Agreement. If the Transfer Agent does not receive the investor's Shares through DTC's facilities by the times and pursuant to the other terms and conditions set forth in the Participant Agreement, the redemption request shall be rejected.

The Authorized Participant must transmit the request for redemption, in the form required by the Fund, to the Transfer Agent in accordance with procedures set forth in the Participant Agreement. Investors should be aware that their particular broker may not have executed a Participant Agreement, and that, therefore, requests to redeem Creation Units may have to be placed by the investor's broker through an Authorized Participant who has executed a Participant Agreement. Investors making a redemption request should be aware that such request must be in the form specified by such Authorized Participant. Investors making a request to redeem Creation Units should allow sufficient time to permit proper submission of the request by an Authorized Participant and transfer of the Shares to the Fund's Transfer Agent; such investors should allow for the additional time that may be required to effect redemptions through their banks, brokers or other financial intermediaries if such intermediaries are not Authorized Participants.

**Additional Redemption Procedures.** In connection with taking delivery of Shares of Fund Securities upon redemption of Creation Units, a redeeming shareholder or Authorized Participant acting on behalf of such shareholder must maintain appropriate custody arrangements with a qualified broker-dealer, bank, or other custody providers in each jurisdiction in which any of the Fund Securities are customarily traded, to which account such Fund Securities will be delivered. Deliveries of redemption proceeds generally will be made within one Business Day of the trade date. However, the Funds reserve the right to settle transactions on a basis other than the Business Day after the trade date.

However, due to the schedule of holidays in certain countries, the different treatment among foreign and U.S. markets of dividend record dates and dividend ex-dates (that is the last date the holder of a security can sell the security and still receive dividends payable on the security sold), and in certain other circumstances, the delivery of in-kind redemption proceeds with respect to the International Fund may take longer than one Business Day after the day on which the redemption request is received in proper form. If neither the redeeming shareholder nor the Authorized Participant acting on behalf of such redeeming shareholder has appropriate arrangements to take delivery of the Fund Securities in the applicable foreign jurisdiction and it is not possible to make other such arrangements, or if it is not possible to effect deliveries of the Fund Securities in such jurisdiction, the Trust may, in its discretion, exercise its option to redeem such Shares in cash, and the redeeming shareholders will be required to receive its redemption proceeds in cash.

In addition, an investor may request a redemption in cash that a Fund may, in its sole discretion, permit. In either case, the investor will receive a cash payment equal to the NAV of its Shares based on the NAV of Shares of the applicable Fund next determined after the redemption request is received in proper form (minus a redemption transaction fee, if applicable, and additional charge for requested cash redemptions specified above, to offset the Fund's brokerage and other transaction costs associated with the disposition of Fund Securities). A Fund may also, in its sole discretion, upon request of a shareholder, provide such redeemer a portfolio of securities that differs from the exact composition of the Fund Securities but does not differ in NAV.

Redemptions of Shares for Fund Securities will be subject to compliance with applicable federal and state securities laws and the Funds (whether or not it otherwise permits cash redemptions) reserve the right to redeem Creation Units for cash to the extent that the Fund could not lawfully deliver specific Fund Securities upon redemptions or could not do so without first registering the Fund Securities under such laws. An Authorized Participant or an investor for which it is acting subject to a legal restriction with respect to a particular security included in the Fund Securities applicable to the redemption of Creation Units may be paid an equivalent amount of cash. The Authorized Participant may request the redeeming investor of the Shares to enter into agreements with respect to such matters as compensating cash payment. Further, an Authorized Participant that is not a "qualified institutional buyer," ("QIB") as such term is defined under Rule 144A of the Securities Act, will not be able to receive Fund Securities that are restricted securities eligible for resale under Rule 144A. An Authorized Participant may be required by the Fund to provide a written confirmation with respect to QIB status to receive Fund Securities.

Because the portfolio securities of the Funds may trade on other exchanges on days that the Exchange is closed or are otherwise not Business Days for such Fund, shareholders may not be able to redeem their Shares of the applicable Fund, or to purchase or sell Shares of the applicable Fund on the Exchange, on days when the NAV of the applicable Fund could be significantly affected by events in the relevant foreign markets.

The right of redemption may be suspended or the date of payment postponed with respect to a Fund (1) for any period during which the Exchange is closed (other than customary weekend and holiday closings); (2) for any period during which trading on the Exchange is suspended or restricted; (3) for any period during which an emergency exists as a result of which disposal of the Shares of the applicable Fund or determination of the NAV of the Shares is not reasonably practicable; or (4) in such other circumstance as is permitted by the SEC.

**DETERMINATION OF NAV**

NAV per Share for a Fund is computed by dividing the value of the net assets of the applicable Fund (*i.e.*, the value of its total assets less total liabilities) by the total number of Shares outstanding, rounded to the nearest cent. Expenses and fees, including the management fees, are accrued daily and taken into account for purposes of determining NAV. The NAV of each Fund is calculated by

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Fund Services and determined at the scheduled close of the regular trading session on the NYSE (ordinarily 4:00 p.m., Eastern time) on each day that the NYSE is open, provided that fixed-income assets may be valued as of the announced closing time for trading in fixed-income instruments on any day that the Securities Industry and Financial Markets Association ("SIFMA") announces an early closing time.

Pursuant to Rule 2a-5 under the 1940 Act, the Board has appointed the Adviser as the Funds' valuation designee (the "Valuation Designee") to perform all fair valuations of each Fund's portfolio investments, subject to the Board's oversight. As the Valuation Designee, the Adviser has established procedures for its fair valuation of each Fund's portfolio investments. These procedures address, among other things, determining when market quotations are not readily available or reliable and the methodologies to be used for determining the fair value of investments, as well as the use and oversight of third-party pricing services for fair valuation. The Adviser's fair value determinations will be carried out in compliance with Rule 2a-5 and based on fair value methodologies established and applied by the Adviser and periodically tested to ensure such methodologies are appropriate and accurate with respect to each Fund's portfolio investments. The Adviser's fair value methodologies may involve obtaining inputs and prices from third-party pricing services.

In calculating each Fund's NAV per Share, each Fund's investments are generally valued using market quotations to the extent such market quotations are readily available. If market quotations are not readily available or are deemed to be unreliable by the Adviser, the Adviser will fair value such investments and use the fair value to calculate each Fund's NAV. When fair value pricing is employed, the prices of securities used by the Adviser to calculate each Fund's NAV may differ from quoted or published prices for the same securities. Due to the subjective and variable nature of fair value pricing, it is possible that the fair value determined for a particular security may be materially different (higher or lower) from the price of the security quoted or published by others, or the value when trading resumes or is realized upon its sale. There may be multiple methods that can be used to value a portfolio investment when market quotations are not readily available. The value established for any portfolio investment at a point in time might differ from what would be produced using a different methodology or if it had been priced using market quotations.

**DIVIDENDS AND DISTRIBUTIONS**

The following information supplements and should be read in conjunction with the section in the Prospectus entitled "Dividends, Distributions and Taxes."

<u>General Policies</u>. Dividends from net investment income, if any, are declared and paid at least annually by each Fund. Distributions of net realized securities gains, if any, generally are declared and paid once a year, but a Fund may make distributions on a more frequent basis to comply with the distribution requirements of the Code to preserve a Fund's eligibility for treatment as a RIC, in all events in a manner consistent with the provisions of the 1940 Act.

Dividends and other distributions on Shares are distributed, as described below, on a pro rata basis to Beneficial Owners of such Shares. Dividend payments are made through DTC Participants and Indirect Participants to Beneficial Owners then of record with proceeds received from the Trust.

Each Fund makes additional distributions to the extent necessary (i) to distribute the entire annual taxable income of the applicable Fund, plus any net capital gains and (ii) to avoid imposition of the excise tax imposed by Section 4982 of the Code. Management of the Trust reserves the right to declare special dividends if, in its reasonable discretion, such action is necessary or advisable to preserve a Fund's eligibility for treatment as a RIC or to avoid imposition of income or excise taxes on undistributed income.

<u>Dividend Reinvestment Service</u>. The Trust will not make the DTC book-entry dividend reinvestment service available for use by Beneficial Owners for reinvestment of their cash proceeds, but certain individual broker-dealers may make available the DTC book-entry Dividend Reinvestment Service for use by Beneficial Owners of the Funds through DTC Participants for reinvestment of their dividend distributions. Investors should contact their brokers to ascertain the availability and description of these services. Beneficial Owners should be aware that each broker may require investors to adhere to specific procedures and timetables to participate in the dividend reinvestment service and investors should ascertain from their brokers such necessary details. If this service is available and used, dividend distributions of both income and realized gains will be automatically reinvested in additional whole Shares issued by the Trust of the applicable Fund at NAV per Share. Distributions reinvested in additional Shares will nevertheless be taxable to Beneficial Owners acquiring such additional Shares to the same extent as if such distributions had been received in cash.

**FEDERAL INCOME TAXES**

The following is only a summary of certain important U.S. federal income tax considerations generally affecting a Fund and its shareholders that supplements the discussion in the Prospectus. No attempt is made to present a comprehensive explanation of the federal, state, local or foreign tax treatment of a Fund or its shareholders, and the discussion here and in the Prospectus is not intended to be a substitute for careful tax planning.

The following general discussion of certain U.S. federal income tax consequences is based on provisions of the Code and the regulations issued thereunder as in effect on the date of this SAI. New legislation, as well as administrative changes or court decisions,

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may significantly change the conclusions expressed herein, and may have a retroactive effect with respect to the transactions contemplated herein.

Shareholders are urged to consult their own tax advisers regarding the application of the provisions of tax law described in this SAI in light of the particular tax situations of the shareholders and regarding specific questions as to federal, state, foreign or local taxes.

<u>Taxation of the Funds</u>. Each Fund has elected and intends to continue to qualify each year to be treated as a separate RIC under the Code. As such, the Funds should not be subject to federal income taxes on their net investment income and capital gains, if any, to the extent that they timely distribute such income and capital gains to their shareholders. To qualify for treatment as a RIC, a Fund must distribute annually to its shareholders at least the sum of 90% of its net investment income (generally including the excess of net short-term capital gains over net long-term capital losses) and 90% of its net tax-exempt interest income, if any (the "Distribution Requirement") and also must meet several additional requirements. Among these requirements are the following: (i) at least 90% of the applicable Fund's gross income each taxable year must be derived from dividends, interest, payments with respect to certain securities loans, gains from the sale or other disposition of stock, securities or foreign currencies, or other income derived with respect to its business of investing in such stock, securities or foreign currencies and net income derived from interests in qualified publicly traded partnerships (the "Qualifying Income Requirement"); and (ii) at the end of each quarter of the Fund's taxable year, the Fund's assets must be diversified so that (a) at least 50% of the value of the Fund's total assets is represented by cash and cash items, U.S. government securities, securities of other RICs, and other securities, with such other securities limited, in respect to any one issuer, to an amount not greater in value than 5% of the value of the Fund's total assets and to not more than 10% of the outstanding voting securities of such issuer, including the equity securities of a qualified publicly traded partnership, and (b) not more than 25% of the value of its total assets is invested, including through corporations in which the Fund owns a 20% or more voting stock interest, in the securities (other than U.S. government securities or securities of other RICs) of any one issuer, the securities (other than securities of other RICs) of two or more issuers which the applicable Fund controls and which are engaged in the same, similar, or related trades or businesses, or the securities of one or more qualified publicly traded partnerships (the "Diversification Requirement"). The determination of the value and the identity of the issuer of derivative investments that the Fund may invest in are often unclear for purposes of the Diversification Requirement described above. Although each Fund intends to carefully monitor its investments to ensure that it is adequately diversified under the Diversification Requirement, there are no assurances that the Internal Revenue Service ("IRS") will agree with a Fund's determination of the issuer under the Diversification Requirement with respect to such derivatives.

To the extent a Fund makes investments that may generate income that is not qualifying income, including certain derivatives, the Fund will seek to restrict the resulting income from such investments so that the Fund's non-qualifying income does not exceed 10% of its gross income.

Although the Funds intend to distribute substantially all of their net investment income and may distribute their capital gains for any taxable year, the Funds will be subject to federal income taxation to the extent any such income or gains are not distributed. Each Fund is treated as a separate corporation for federal income tax purposes. A Fund therefore is considered to be a separate entity in determining its treatment under the rules for RICs described herein. The requirements (other than certain organizational requirements) for qualifying RIC status are determined at the fund level rather than at the Trust level.

If a Fund fails to satisfy the Qualifying Income Requirement or the Diversification Requirement in any taxable year, the applicable Fund may be eligible for relief provisions if the failures are due to reasonable cause and not willful neglect and if a penalty tax is paid with respect to each failure to satisfy the applicable requirements. Additionally, relief is provided for certain *de minimis* failures of the Diversification Requirement where a Fund corrects the failure within a specified period of time. To be eligible for the relief provisions with respect to a failure to meet the Diversification Requirement, a Fund may be required to dispose of certain assets. If these relief provisions were not available to a Fund and it were to fail to qualify for treatment as a RIC for a taxable year, all of its taxable income would be subject to tax at the regular 21% corporate rate without any deduction for distributions to shareholders, and its distributions (including capital gains distributions) generally would be taxable to the shareholders of the applicable Fund as ordinary income dividends to the extent of a Fund's current and accumulated earnings and profits, subject to the dividends received deduction for corporate shareholders and the lower tax rates on qualified dividend income received by non-corporate shareholders, subject to certain limitations. To requalify for treatment as a RIC in a subsequent taxable year, a Fund would be required to satisfy the RIC qualification requirements for that year and to distribute any earnings and profits from any year in which the applicable Fund failed to qualify for tax treatment as a RIC. If a Fund failed to qualify as a RIC for a period greater than two taxable years, it would generally be required to pay a Fund-level tax on certain net built in gains recognized with respect to certain of its assets upon a disposition of such assets within five years of qualifying as a RIC in a subsequent year. The Board reserves the right not to maintain the qualification of a Fund for treatment as a RIC if it determines such course of action to be beneficial to shareholders. If a Fund determines that it will not qualify as a RIC, the applicable Fund will establish procedures to reflect the anticipated tax liability in the Fund's NAV.

If a Fund meets the Distribution Requirement but retains some or all of its income or gains, it will be subject to federal income tax to the extent any such income or gains are not distributed. A Fund may designate certain amounts retained as undistributed net capital

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gain in a notice to its shareholders, who (i) will be required to include in income for U.S. federal income tax purposes, as long-term capital gain, their proportionate shares of the undistributed amount so designated, (ii) will be entitled to credit their proportionate shares of the income tax paid by the Fund on that undistributed amount against their federal income tax liabilities and to claim refunds to the extent such credits exceed their tax liabilities, and (iii) will be entitled to increase their tax basis, for federal income tax purposes, in their Shares by an amount equal to the excess of the amount of undistributed net capital gain included in their respective income over their respective income tax credits.

A Fund may elect to treat part or all of any "qualified late year loss" as if it had been incurred in the succeeding taxable year in determining the Fund's taxable income, net capital gain, net short-term capital gain, and earnings and profits. The effect of this election is to treat any such "qualified late year loss" as if it had been incurred in the succeeding taxable year in characterizing Fund distributions for any calendar year. A "qualified late year loss" generally includes net capital loss, net long-term capital loss, or net short-term capital loss incurred after October 31 of the current taxable year (commonly referred to as "post-October losses") and certain other late-year losses.

Capital losses in excess of capital gains ("net capital losses") are not permitted to be deducted against a RIC's net investment income. Instead, for U.S. federal income tax purposes, potentially subject to certain limitations, a Fund may carry a net capital loss from any taxable year forward indefinitely to offset its capital gains, if any, in years following the year of the loss. To the extent subsequent capital gains are offset by such losses, they will not result in U.S. federal income tax liability to the applicable Fund and may not be distributed as capital gains to its shareholders. Generally, a Fund may not carry forward any losses other than net capital losses. The carryover of capital losses may be limited under the general loss limitation rules if the Fund experiences an ownership change as defined in the Code.

The table below shows the capital loss carryforward amounts for each of the Funds as of September 30, 2025. These amounts do not expire.

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| | | |
|:---|:---|:---|
| **Name of Fund** | **Short-Term** | **Long-Term** |
| U.S. Fund | $7311584 | $33641357 |
| International Fund | $3756998 | $1834872 |
| Small/Mid Fund | $8837639 | $2851117 |

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A Fund will be subject to a nondeductible 4% federal excise tax on certain undistributed income if it does not distribute to its shareholders in each calendar year an amount at least equal to 98% of its ordinary income for the calendar year plus 98.2% of its capital gain net income for the one-year period ending on October 31 of that year, subject to an increase for any shortfall in the prior year's distribution. For this purpose, any ordinary income or capital gain net income retained by a Fund and subject to corporate income tax will be considered to have been distributed. The Funds intend to declare and distribute dividends and distributions in the amounts and at the times necessary to avoid the application of the excise tax but can make no assurances that all such tax liability will be completely eliminated. For example, a Fund may receive delayed or corrected tax reporting statements from its investments that cause such Fund to accrue additional income and gains after such Fund has already made its excise tax distributions for the year. In such a situation, a Fund may incur an excise tax liability resulting from such delayed receipt of such tax information statements. In addition, a Fund may in certain circumstances be required to liquidate Fund investments in order to make sufficient distributions to avoid federal excise tax liability at a time when the investment adviser might not otherwise have chosen to do so, and liquidation of investments in such circumstances may affect the ability of the Fund to satisfy the requirement for qualification as a RIC.

<u>Taxation of Shareholders – Distributions</u>. Each Fund intends to distribute annually to its shareholders substantially all of its investment company taxable income (computed without regard to the deduction for dividends paid), its net tax-exempt income, if any, and any net capital gain (net recognized long-term capital gains in excess of net recognized short-term capital losses, taking into account any capital loss carryforwards). The distribution of investment company taxable income (as so computed) and net realized capital gain will be taxable to Fund shareholders regardless of whether the shareholder receives these distributions in cash or reinvests them in additional Shares.

Each Fund (or your broker) will report to shareholders annually the amounts of dividends paid from ordinary income, the amount of distributions of net capital gain, the portion of dividends which may qualify for the dividends received deduction for corporations, and the portion of dividends which may qualify for treatment as qualified dividend income, which, subject to certain limitations and requirements, is taxable to non-corporate shareholders at rates of up to 20%. Distributions from a Fund's net capital gain will be taxable to shareholders at long-term capital gains rates, regardless of how long shareholders have held their Shares. Distributions by a Fund of its net short-term capital gains will be taxable as ordinary income. Distributions may be subject to state and local taxes.

Qualified dividend income includes, in general, subject to certain holding period and other requirements, dividend income from taxable domestic corporations and certain foreign corporations. Subject to certain limitations, eligible foreign corporations include those incorporated in possessions of the United States, those incorporated in certain countries with comprehensive tax treaties with the

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United States, and other foreign corporations if the stock with respect to which the dividends are paid is readily tradable on an established securities market in the United States. Dividends received by a Fund from an underlying fund taxable as a RIC or from a REIT may be treated as qualified dividend income generally only to the extent so reported by such underlying fund or REIT, however, dividends received by a Fund from a REIT are generally not treated as qualified dividend income. If 95% or more of a Fund's gross income (calculated without taking into account net capital gain derived from sales or other dispositions of stock or securities) consists of qualified dividend income, the Fund may report all distributions of such income as qualified dividend income. Fund dividends will not be treated as qualified dividend income if a Fund does not meet holding period and other requirements with respect to dividend paying stocks in its portfolio, and the shareholder does not meet holding period and other requirements with respect to the Shares on which the dividends were paid. Certain of a Fund's investment strategies may limit its ability to make distributions eligible for the reduced rates applicable to qualified dividend income.

In the case of corporate shareholders, certain dividends received by a Fund from U.S. corporations (generally, dividends received by the Fund in respect of any share of stock (1) with a tax holding period of at least 46 days during the 91-day period beginning on the date that is 45 days before the date on which the stock becomes ex-dividend as to that dividend and (2) that is held in an unleveraged position) and distributed and appropriately so reported by the Fund may be eligible for the 50% dividends received deduction. Certain preferred stock must have a holding period of at least 91 days during the 181-day period beginning on the date that is 90 days before the date on which the stock becomes ex-dividend as to that dividend to be eligible. Capital gain dividends distributed to a Fund from other RICs are not eligible, and dividends distributed to a Fund from REITs are generally not eligible for the dividends received deduction. To qualify for the deduction, corporate shareholders must meet the minimum holding period requirement stated above with respect to their Shares, taking into account any holding period reductions from certain hedging or other transactions or positions that diminish their risk of loss with respect to their Shares, and, if they borrow to acquire or otherwise incur debt attributable to Shares, they may be denied a portion of the dividends received deduction with respect to those Shares. The International Fund invests primarily in securities of non-U.S. issuers and is not expected that a significant portion of the dividends received from the International Fund will qualify for the dividends-received deduction for corporations.

Although dividends generally will be treated as distributed when paid, any dividend declared by a Fund in October, November or December and payable to shareholders of record in such a month that is paid during the following January will be treated for U.S. federal income tax purposes as received by shareholders on December 31 of the calendar year in which it was declared.

U.S. individuals with adjusted gross income (subject to certain adjustments) exceeding certain threshold amounts ($250,000 if married filing jointly or if considered a "surviving spouse" for federal income tax purposes, $125,000 if married filing separately, and $200,000 in other cases) are subject to a 3.8% tax on all or a portion of their "net investment income," which includes taxable interest, dividends, and certain capital gains (generally including capital gain distributions and capital gains realized on the sale of Shares). This 3.8% tax also applies to all or a portion of the undistributed net investment income of certain shareholders that are estates and trusts.

Shareholders who have not held Shares for a full year should be aware that a Fund may report and distribute, as ordinary dividends or capital gain dividends, a percentage of income that is not equal to the percentage of the Fund's ordinary income or net capital gain, respectively, actually earned during the applicable shareholder's period of investment in the Fund. A taxable shareholder may wish to avoid investing in a Fund shortly before a dividend or other distribution, because the distribution will generally be taxable even though it may economically represent a return of a portion of the shareholder's investment.

To the extent that a Fund makes a distribution of income received by the Fund in lieu of dividends (a "substitute payment") with respect to securities on loan pursuant to a securities lending transaction, such income will not constitute qualified dividend income to individual shareholders and will not be eligible for the dividends received deduction for corporate shareholders.

If a Fund's distributions exceed its earnings and profits, all or a portion of the distributions made for a taxable year may be recharacterized as a return of capital to shareholders. A return of capital distribution will generally not be taxable but will reduce each shareholder's cost basis in a Fund and result in a higher capital gain or lower capital loss when the Shares on which the distribution was received are sold. After a shareholder's basis in the Shares has been reduced to zero, distributions in excess of earnings and profits will be treated as gain from the sale of the shareholder's Shares.

<u>Taxation of Shareholders – Sale or Exchange of Shares.</u> A sale or exchange of Shares may give rise to a gain or loss. For tax purposes, an exchange of your Fund shares of a different fund is the same as a sale. In general, provided that a shareholder holds Shares as capital assets, any gain or loss realized upon a taxable disposition of Shares will be treated as long-term capital gain or loss if Shares have been held for more than 12 months. Otherwise, such gain or loss on the taxable disposition of Shares will generally be treated as short-term capital gain or loss. Any loss realized upon a taxable disposition of Shares held for six months or less will be treated as long-term capital loss, rather than short-term capital loss, to the extent of any amounts treated as distributions to the shareholder of long-term capital gain (including any amounts credited to the shareholder as undistributed capital gains). All or a portion of any loss realized upon a taxable disposition of Shares may be disallowed if substantially identical Shares are acquired (through the

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reinvestment of dividends or otherwise) within a 61-day period beginning 30 days before and ending 30 days after the disposition. In such a case, the basis of the newly acquired Shares will be adjusted to reflect the disallowed loss.

The cost basis of Shares acquired by purchase will generally be based on the amount paid for Shares and then may be subsequently adjusted for other applicable transactions as required by the Code. The difference between the selling price and the cost basis of Shares generally determines the amount of the capital gain or loss realized on the sale or exchange of Shares. Contact the broker through whom you purchased your Shares to obtain information with respect to the available cost basis reporting methods and elections for your account.

An Authorized Participant who exchanges securities for Creation Units generally will recognize a gain or a loss. The gain or loss will be equal to the difference between the market value of the Creation Units at the time and the sum of the exchanger's aggregate basis in the securities surrendered plus the amount of cash paid for such Creation Units. The ability of Authorized Participants to receive a full or partial cash redemption of Creation Units of a Fund may limit the tax efficiency of such Fund. An Authorized Participant who redeems Creation Units will generally recognize a gain or loss equal to the difference between the exchanger's basis in the Creation Units and the sum of the aggregate market value of any securities received plus the amount of any cash received for such Creation Units. The IRS, however, may assert that a loss realized upon an exchange of securities for Creation Units cannot currently be deducted under the rules governing "wash sales" (for a person who does not mark-to-market its portfolio) or on the basis that there has been no significant change in economic position.

The Trust, on behalf of the Funds, has the right to reject an order for Creation Units if the purchaser (or a group of purchasers) would, upon obtaining the Creation Units so ordered, own 80% or more of the outstanding Shares and if, pursuant to Section 351 of the Code, a Fund would have a basis in the deposit securities different from the market value of such securities on the date of deposit. The Trust also has the right to require the provision of information necessary to determine beneficial Share ownership for purposes of the 80% determination. If a Fund does issue Creation Units to a purchaser (or a group of purchasers) that would, upon obtaining the Creation Units so ordered, own 80% or more of the outstanding Shares, the purchaser (or a group of purchasers) will generally not recognize gain or loss upon the exchange of securities for Creation Units.

Authorized Participants purchasing or redeeming Creation Units should consult their own tax advisers with respect to the tax treatment of any creation or redemption transaction and whether the wash sales rule applies and when a loss may be deductible.

<u>Taxation of Fund Investments</u>. Certain of a Fund's investments may be subject to complex provisions of the Code (including provisions relating to hedging transactions, straddles, integrated transactions, foreign currency contracts, forward foreign currency contracts, and notional principal contracts) that, among other things, may affect a Fund's ability to qualify as a RIC, affect the character of gains and losses realized by the Fund (*e.g.*, may affect whether gains or losses are ordinary or capital), accelerate recognition of income to the Fund and defer losses. These rules could therefore affect the character, amount, and timing of distributions to shareholders. These provisions also may require a Fund to mark to market certain types of positions in its portfolio (*i.e*., treat them as if they were closed out) which may cause the Fund to recognize income without the Fund receiving cash with which to make distributions in amounts sufficient to enable the Fund to satisfy the RIC distribution requirements for avoiding income and excise taxes. A Fund intends to monitor its transactions, intends to make appropriate tax elections, and intends to make appropriate entries in its books and records to mitigate the effect of these rules and preserve the Fund's qualification for treatment as a RIC. To the extent a Fund invests in an underlying fund that is taxable as a RIC, the rules applicable to the tax treatment of complex securities will also apply to the underlying funds that also invest in such complex securities and investments.

<u>Certain Foreign Currency Tax Issues</u>*<u>(International Fund only)</u>*. The U.S. Treasury Department has authority to issue regulations that would exclude foreign currency gains from the Diversification Requirement described above if such gains are not directly related to the Fund's business of investing in stock or securities. Accordingly, regulations may be issued in the future that could treat some or all of the Fund's non-U.S. currency gains as non-qualifying income, thereby potentially jeopardizing the Fund's status as a RIC for all years to which the regulations are applicable.

Under Section 988 of the Code, gains or losses attributable to fluctuations in exchange rates which occur between the time the Fund accrues income or other receivables or accrues expenses or other liabilities denominated in a foreign currency and the time the Fund actually collects such income or receivables or pays such expenses or liabilities generally are treated as ordinary income or loss. Similarly, on disposition of debt securities denominated in a foreign currency and on disposition of certain other financial instruments (such as forward currency contracts and currency swaps), gains or losses attributable to fluctuations in the value of the foreign currency between the date of acquisition of the security or contract and the date of settlement or disposition are also treated as ordinary gain or loss. The gains and losses may increase or decrease the amount of the Fund's income to be distributed to its shareholders as ordinary income. The Fund may elect out of the application of Section 988 of the Code with respect to the tax treatment of each of its foreign currency forward contracts to the extent that (i) such contract is a capital asset in the hands of the Fund and is not part of a straddle transaction and (ii) the Fund makes an election by the close of the day the contract is entered into to treat the gain or loss attributable to such contract as capital gain or loss.

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<u>Foreign Investments</u>. Dividends and interest received by a Fund from sources within foreign countries may be subject to withholding and other taxes imposed by such countries. Tax treaties between certain countries and the U.S. may reduce or eliminate such taxes.

If more than 50% of the value of a Fund's assets at the close of any taxable year consists of stock or securities of foreign corporations, which for this purpose may include obligations of foreign governmental issuers, the Fund may elect, for U.S. federal income tax purposes, to treat any foreign income or withholding taxes paid by the Fund as paid by its shareholders. For any year that a Fund is eligible for and makes such an election, each shareholder of the Fund will be required to include in income an amount equal to his or her allocable share of qualified foreign income taxes paid by the Fund, and shareholders will be entitled, subject to certain holding period requirements and other limitations, to credit their portions of these amounts against their U.S. federal income tax due, if any, or to deduct their portions from their U.S. taxable income, if any. No deductions for foreign taxes paid by a Fund may be claimed, however, by non-corporate shareholders who do not itemize deductions. No deduction for such taxes will be permitted to individuals in computing their alternative minimum tax liability. Shareholders that are not subject to U.S. federal income tax, and those who invest in a Fund through tax-advantaged accounts (including those who invest through individual retirement accounts or other tax-advantaged retirement plans), generally will receive no benefit from any tax credit or deduction passed through by such Fund. Each Fund does not expect to satisfy the requirements for passing through to its shareholders any share of foreign taxes paid by the Fund, with the result that shareholders will not include such taxes in their gross incomes and will not be entitled to a tax deduction or credit for such taxes on their own tax returns. Foreign taxes paid by a Fund will reduce the return from the Fund's investments.

Foreign tax credits, if any, received by a Fund as a result of an investment in another RIC (including an ETF or underlying fund which is taxable as a RIC) will not be passed through to you unless the Fund qualifies as a "qualified fund-of-funds" under the Code. If a Fund is a "qualified fund of funds" it will be eligible to file an election with the IRS that will enable the Fund to pass along these foreign tax credits to its shareholders. A Fund will be treated as a "qualified fund-of-funds" under the Code if at least 50% of the value of such Fund's total assets (at the close of each quarter of the Fund's taxable year) is represented by interests in other RICs.

If a Fund holds shares in a "passive foreign investment company" ("PFIC"), it may be subject to U.S. federal income tax on a portion of any "excess distribution" or gain from the disposition of such shares even if such income is distributed as a taxable dividend by the Fund to its shareholders. Additional charges in the nature of interest may be imposed on a Fund in respect of deferred taxes arising from such distributions or gains.

Each Fund may be eligible to treat a PFIC as a "qualified electing fund" ("QEF") under the Code in which case, in lieu of the foregoing requirements, the Fund will be required to include in income each year a portion of the ordinary earnings and net capital gains of the qualified electing fund, even if not distributed to the Fund, and such amounts will be subject to the 90% and excise tax distribution requirements described above. To make this election, a Fund would be required to obtain certain annual information from the PFICs in which it invests, which may be difficult or impossible to obtain. Alternatively, a Fund may make a mark-to-market election that will result in such Fund being treated as if it had sold and repurchased its PFIC stock at the end of each year. In such case, a Fund would report any gains resulting from such deemed sales as ordinary income and would deduct any losses resulting from such deemed sales as ordinary losses to the extent of previously recognized gains. The election must be made separately for each PFIC owned by a Fund and, once made, is effective for all subsequent taxable years, unless revoked with the consent of the IRS. By making the election, a Fund could potentially ameliorate the adverse tax consequences with respect to its ownership of shares in a PFIC, but in any particular year may be required to recognize income in excess of the distributions it receives from PFICs and its proceeds from dispositions of PFIC stock. A Fund may have to distribute this excess income to satisfy the 90% distribution requirement and to avoid imposition of the 4% excise tax. To distribute this income and avoid a tax at the fund level, a Fund might be required to liquidate portfolio securities that it might otherwise have continued to hold, potentially resulting in additional taxable gain or loss. Each Fund intends to make the appropriate tax elections, if possible, and take any additional steps that are necessary to mitigate the effect of these rules. Amounts included in income each year by a Fund arising from a QEF election, will be "qualifying income" under the Qualifying Income Requirement (as described above) even if not distributed to the Fund, if the Fund derives such income from its business of investing in stock, securities or currencies.

<u>Backup Withholding</u>. Each Fund will be required in certain cases to withhold (as "backup withholding") on amounts payable to any shareholder who (1) fails to provide a correct taxpayer identification number certified under penalty of perjury; (2) is subject to backup withholding by the IRS for failure to properly report all payments of interest or dividends; (3) fails to provide a certified statement that he or she is not subject to "backup withholding"; or (4) fails to provide a certified statement that he or she is a U.S. person (including a U.S. resident alien). The backup withholding rate is currently 24%. Backup withholding is not an additional tax and any amounts withheld may be credited against the shareholder's ultimate U.S. tax liability. Backup withholding will not be applied to payments that have been subject to the 30% withholding tax on shareholders who are neither citizens nor permanent residents of the U.S.

<u>Non-U.S. Shareholders</u>. Any non-U.S. investors in a Fund may be subject to U.S. withholding and estate tax and are encouraged to consult their tax advisers prior to investing in the Fund. Foreign shareholders (*i.e.*, nonresident alien individuals and foreign corporations, partnerships, trusts and estates) are generally subject to U.S. withholding tax at the rate of 30% (or a lower tax treaty rate) on distributions derived from taxable ordinary income. Each Fund may, under certain circumstances, report all or a portion of a

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dividend as an "interest-related dividend" or a "short-term capital gain dividend," which would generally be exempt from this 30% U.S. withholding tax, provided certain other requirements are met. Short-term capital gain dividends received by a nonresident alien individual who is present in the U.S. for a period or periods aggregating 183 days or more during the taxable year are not exempt from this 30% withholding tax. Gains realized by foreign shareholders from the sale or other disposition of Shares generally are not subject to U.S. taxation, unless the recipient is an individual who is physically present in the U.S. for 183 days or more per year. Foreign shareholders who fail to provide an applicable IRS form may be subject to backup withholding on certain payments from a Fund. Backup withholding will not be applied to payments that are subject to the 30% (or lower applicable treaty rate) withholding tax described in this paragraph. Different tax consequences may result if the foreign shareholder is engaged in a trade or business within the United States. In addition, the tax consequences to a foreign shareholder entitled to claim the benefits of a tax treaty may be different than those described above.

Unless certain non-U.S. entities that hold Shares comply with IRS requirements that will generally require them to report information regarding U.S. persons investing in, or holding accounts with, such entities, a 30% withholding tax may apply to Fund distributions payable to such entities. A non-U.S. shareholder may be exempt from the withholding described in this paragraph under an applicable intergovernmental agreement between the U.S. and a foreign government, provided that the shareholder and the applicable foreign government comply with the terms of the agreement.

For foreign shareholders to qualify for an exemption from backup withholding, described above, the foreign shareholder must comply with special certification and filing requirements. Foreign shareholders in a Fund should consult their tax advisers in this regard.

<u>Certain Potential Tax Reporting Requirements</u>. Under U.S. Treasury regulations, if a shareholder recognizes a loss on disposition of Shares of $2 million or more for an individual shareholder or $10 million or more for a corporate shareholder (or certain greater amounts over a combination of years), the shareholder must file with the IRS a disclosure statement on IRS Form 8886. Direct shareholders of portfolio securities are in many cases excepted from this reporting requirement, but under current guidance, shareholders of a RIC are not excepted. Significant penalties may be imposed for the failure to comply with the reporting requirements. The fact that a loss is reportable under these regulations does not affect the legal determination of whether the taxpayer's treatment of the loss is proper. Shareholders should consult their tax advisers to determine the applicability of these regulations in light of their individual circumstances.

<u>Other Issues</u>. In those states which have income tax laws, the tax treatment of a Fund and of Fund shareholders with respect to distributions by the Fund may differ from federal tax treatment.

**FINANCIAL STATEMENTS**

The Funds' Annual Financial Statements and Additional Information for the fiscal year ended September 30, 2025, which were filed as part of the Funds' most recent <u>[Form N-CSR](https://www.sec.gov/ix?doc=/Archives/edgar/data/1540305/000113322825013287/de-efp19492_ncsr.htm)</u>, is a separate document, and the financial statements and accompanying notes appearing therein are incorporated by reference into this SAI. You may request a copy of the Funds' Annual Financial Statements and Additional Information at no charge by calling 1-800-617-0004 or through the Funds' website at www.distillatefunds.com.

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**Appendix A - Proxy Voting Policies**

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**DistillateCapitalPartnersLLC**

**2026ProxyVotingPrinciplesandGuidelines**

DistillateCapitalPartnersLLChas adoptedtheproxyvotingprinciplesandguidelines asrecommendedby

Egan-Jonesintheir2026Governance(formerlyBlended)PolicyOverview. EganJones, aleadingproxy

advisoryservice,isengagedbyDistillateforProxyServices.Distillatehasreviewedtheseprinciplesand

hasdeterminedthemtobeconsistentwithourownviewsongoodcorporategovernance.Inaddition,we

havereviewedEgan-Jones'statementonconflictsofinterest,andbelievetheadvisortohaverobust

controlstoavoidormanagesuchconflictsastheymayarise.Distillatemaintainsindependenceandcan,

atitsdiscretion,voteinamannerthatisinconflictwithEgan-Jones'recommendationswhen/ifitdeems

thatvotetobeinthebestinterestofDistillate'sclients.

**Governance(FormerlyBlended)** 

**Policy Overview**

EffectiveforshareholdermeetingsheldonorafterMarch1, 2026

Published December 23, 2025

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**I.GovernancePolicyOverview**

Recommendationsaredesignedtoprioritizeshareholderreturnsandimplementmarket-

standard governance practices.

Thispolicyemphasizesstandardgovernancepracticesforbothmanagementandshareholder

proposals. Shareholder proposals regarding environmental and social issues will generally be

opposed.

**Directorelections**

TheGovernancePolicygenerallysupportscandidateswithastrongboardaccountabilityandgovernancerecord,includingcomposition

and independence of the board and key board committees<sup>1</sup>, attendance history, and over boarding. Additionally, the TSR of the

Companyoverthedirector'stenureisconsidered.

**Directorandexecutivecompensation**

TheGovernancePolicysupportscompensationpackagesbasedontotalshareholderreturns.Generally,highercompensationpackages

aresupportedifsignificantshareholderreturnshavealsobeendelivered.Additionally,itemssuchasrespondingtolowapprovalofthe

say-on-pay vote and the presence of performance metrics are considered.

**Governance**

TheGovernancePolicygenerallysupportscorporategovernancepracticessuchasseparatingthechairmanandCEOrolesand

declassifyingtheboardbutopposesmorerestrictivepoliciessuchasimposingretirementagerequirementsorintroducingtermlimits.

**Corporateoperations(includinghumanresources,health,safety,andenvironment)**

TheGovernancePolicygenerallyrejectsshareholderproposalsthatseekreportingorpolicyimplementationthatwouldrestrictthe

operationsofthecompany,includinghiringpractices,environmentalandsustainabilityreporting,orpoliticalcontributions.Thegoalis

to rely on management and the board to effectively run the company's operations. In some cases, the Governance Policy supports

environmentalandsocialshareholderproposalswhenthecompanyfallsshortinitsreportingandtransparency.

**Procedure**

TheGovernancePolicygenerallysupportsroutineandproceduralproposalssuchasthosetoelectaclerkorapprovetheprevious

board's actions, so as to not be obstructive to standard practices.

**Auditors**

TheGovernancePolicygenerallysupportsmanagement'sproposedauditor,giventhattheauditordoesnotgenerateoutsizednon-

audit fees for the company. Alsoconsidered are auditor tenure and materialdisciplinary actions against the auditor. The goal is to

supportindependentauditors.

<sup>1</sup>SeeAppendixAforEgan-Jones'DirectorClassificationframework.

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Shareholderrights**

TheGovernancePolicygenerallysupportsbroadershareholderrightssuchasequalvotingrightsandrequiringshareholderapproval

for bylaw amendments. However, the policy will generally oppose proposals relating to the implementation of supermajority and

cumulativevoting.Thegoalistogiveshareholdersproportionaterepresentationinthecompany.

**Mergers,acquisitions,andrestructuring**

TheGovernancePolicysupportsproposalswithahighprobabilityofyieldingoutsizedreturnsforinvestors.Thefairnessopinionbya

qualified investment banker or advisor is carefully considered for these proposals.

**Capitalization**

TheGovernancePolicygenerallysupportsmanagements'recommendationsonthecapitalizationofthecompany.Thegoalisto

support proposals that will generate superior shareholder returns.

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**III.Detailedvoterecommendations**

Viewrecommendationspercategoryandregion.

**Proposalsbymanagement**\|Accounting

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Acceptanaccounting** <br>**irregularity**<br>| World |  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,thefinancialstatements<br>giveatrueandfairviewofthefinancialposition<br>oftheCompanyfortherecentfiscalyear,andof<br>its financial performance and its cash flows for<br>theyearthenendedinaccordancewiththelaw.<br>|
| **Accept the financial** <br>**statements/statutory** <br>**report**<br>| World | North America | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,thefinancialstatements<br>giveatrueandfairviewofthefinancialposition<br>oftheCompanyfortherecentfiscalyear,andof<br>its financial performance and its cash flows for<br>theyearthenendedinaccordancewiththelaw.<br>|
| **Approve a special** <br>**transactionsfinancial** <br>**report**<br>| China,Western <br>Europe, Latin<br>America<br>|  | We recommend FOR this Proposal, because <br>accordingtoourpolicy,approvingthespecial <br>transactions financial report ensures<br>transparency and gives shareholders a clear <br>overviewofsignificanttransactions,supporting <br>informed decision-making.<br>|
| **Receivetheannualreport** <br>**and accounts**<br>| World | North America | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,thefinancialstatements<br>giveatrueandfairviewofthefinancialposition<br>oftheCompanyfortherecentfiscalyear,andof<br>its financial performance and its cash flows for<br>theyearthenendedinaccordancewiththelaw.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbymanagement**\|Auditor

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Approvethedischargeof** <br>**the auditors**<br>| Western <br>Europe<br>|  | We generally recommend FOR because after <br>reviewingtheauditoractsforthefiscalyearthat <br>has ended, we find it advisable to grant<br>dischargefromliabilitytotheauditors.<br>|
| **RatifyauditorANDdirector** <br>**remuneration**<br>| World | UnitedStates | WegenerallyrecommendFORtheauditorwhen <br>the following conditions are met: 1) non-audit <br>feesdo not make up asubstantial proportion of <br>all fees the auditor is charging the company; 2) <br>auditor tenure is less than 20 years and 3) total <br>auditor fees (as a universe percentile according <br>to market cap categories) <90th percentile. The <br>purpose is to maintain some independence for<br>the auditor.<br>|
| **Ratifyauditorappointment** <br>**and remuneration**<br>| Emerging&<br>Frontier Asia-<br>Pacific,Western <br>Europe<br>|  | WegenerallyrecommendFORtheauditorwhen <br>the following conditions are met: 1) non-audit <br>feesdo not make up asubstantial proportion of <br>all fees the auditor is charging the company; 2) <br>auditor tenure is less than 20 years and 3) total <br>auditor fees (as a universe percentile according <br>to market cap categories) <90th percentile. The <br>purpose is to maintain some independence for<br>the auditor.<br>|
| **Ratifytheappointmentofa** <br>**non-statutory auditor**<br>| World |  | WerecommendFORthisProposal,because <br>according to our policy, ratifying the <br>appointment of a non-statutory auditor<br>strengthensoversightandreinforcesthe <br>integrity of reporting.<br>|
| **Ratifytheappointmentofa** <br>**specialtransactionsauditor**<br>| China,Western <br>Europe, Latin<br>America<br>|  | WerecommendFORthisProposal,because <br>according to our policy, ratifying the<br>appointmentofaspecialtransactionsauditor <br>ensures independent review of significant<br>transactionsandstrengthensdisclosureand <br>transparency.<br>|
| **Ratifytheappointmentof** <br>**an auditor**<br>| World |  | WegenerallyrecommendFORtheauditorwhen <br>the following conditions are met: 1) non-audit<br>feesdonotmakeupasubstantialproportionof <br>all fees the auditor is charging the company; 2)<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
|  |  | auditortenureislessthan20yearsand3)total<br>auditorfees(asauniversepercentileaccording<br>tomarketcapcategories)<90thpercentile.The<br>purpose is to maintain some independence for<br>the auditor.<br>|
| **Ratifytheappointmentof** <br>**statutory AND** <br>**sustainability auditors**<br>| Western <br>Europe<br>| WegenerallyrecommendFORtheauditorwhen <br>the following conditions are met: 1) non-audit <br>feesdo not make up asubstantial proportion of <br>all fees the auditor is charging the company; 2) <br>auditor tenure is less than 20 years and 3) total <br>auditor fees (as a universe percentile according <br>to market cap categories) <90th percentile. The <br>purpose is to maintain some independence for<br>the auditor.<br>|
| **Removetheauditor** | World | WegenerallyrecommendavoteFORthe<br>removaloftheauditorswhenevertheCompany <br>may deem it necessary to ensure auditor <br>independence and integrity.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbymanagement**\|Capitalization

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Allotsecurities** | Western <br>Europe<br>| United <br>Kingdom<br>| WegenerallyrecommendFORbecause<br>accordingtoourpolicy,theallotmentofshares <br>or securities will enable the Company to<br>capitalizeonfuturebusinessopportunities.This <br>flexibilityprovidestheCompanywiththeability <br>to act promptly and strategically to business <br>decisions, ensuring it remains competitive and<br>well-positionedforlong-termsuccess.<br>|
| **Allotsecurities** | United <br>Kingdom<br>|  | WegenerallyrecommendFORiftheproposed <br>allotted securities are no more than 33% of<br>currentlyissuedsharecapital.<br>|
| **Appropriate**<br>**profits/surplus/retained** <br>**earnings**<br>| World | North America | We recommend FOR thisProposal,because<br>accordingtoourpolicy,allocatingcorporate<br>earningsthroughappropriatedistributionof<br>profits,surplus,orretainedearningssupports <br>shareholder interests and long-term value<br>creation.<br>|
| **Approveashare** <br>**repurchaseplan**<br>| Emerging&<br>Frontier Asia-<br>Pacific,Western <br>Europe<br>|  | WegenerallyrecommendavoteFORbecause <br>according to our policy, the proposed share <br>repurchase plan would grant the Company <br>greater flexibility in managing its capital<br>structure.Furthermore,sharerepurchasesare <br>widely regarded as an effective strategy for <br>enhancing shareholder value and financial <br>position of companies.<br>|
| **Approveastockexchange** <br>**listing**<br>| World |  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,approvalofthestock <br>exchange listing would create investment <br>opportunities for the Company and provide <br>greater liquidity while diversifying the risks<br>associatedwithit.<br>|
| **Approveastockterms** <br>**revision**<br>| World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Approveadjustmentinthe** <br>**share repurchase price**<br>| Emerging&<br>FrontierAsia-<br>Pacific<br>|  | We recommend FOR this Proposal, because<br>accordingtoourpolicy,allocatingcorporate<br>earningsthroughappropriatedistributionof<br>profits,surplus,orretainedearningssupports<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | | |
|:---|:---|:---|:---|
|  |  |  | shareholderinterestsandlong-termvalue <br>creation.<br>|
| **Approvecapital**<br>**utilization/cash**<br>**management**<br>| Emerging&<br>FrontierAsia-<br>Pacific<br>|  | WerecommendFORthisProposal,because<br>according to our policy, theproposed capitalor <br>cashutilizationenablesthecompanytosupport <br>its strategic initiatives andefficientlyfinanceits <br>operations.<br>|
| **Approvecreditand/ordebt** <br>**financing**<br>| Emerging&<br>FrontierAsia-<br>Pacific<br>|  | WerecommendFORthisProposal,because<br>accordingtoourpolicy,approvingcreditordebt <br>financing provides the company with the<br>necessarycapitaltosupportstrategicinitiatives,<br>maintainliquidity,andensurefinancialflexibility.<br>|
| **Approvedividends** | World | North America | We generally recommend FOR this Proposal, <br>becauseaccordingtoourpolicy,theproposed <br>dividend distribution is financially prudent, <br>maintains sufficient liquidity, and supports<br>consistentshareholderreturns.<br>|
| **Changesharepar value** | World |  | We generally recommend FOR when the new <br>parvalueislessthanorequaltooldparvalue.<br>|
| **Conductastocksplit** | World |  | WegenerallyrecommendFORbecause<br>according to our policy, the proposed reverse <br>stocksplitwouldmaketheCompany'scommon <br>stock a more attractive and cost-effective<br>investment for many investors, thereby <br>enhancingtheliquidityofcurrentstockholders <br>and potentially broadening the investor base.<br>|
| **Distribute**<br>**profit/dividend/etc** <br>**accordingtoasharingplan**<br>| World | North America | WegenerallyrecommendFORbecause <br>according to our policy, the proposed<br>distributionplanwillnotputthecompany´s <br>liquidity at risk.<br>|
| **Exchangedebtforequity** | World |  | We generally recommend a vote FOR because <br>accordingtoourpolicy,theproposedexchange <br>of debt for equity would strengthen the <br>Company's financial position by reducing its<br>liabilities,improvingitsbalancesheetand<br>enhancingitscreditworthiness.<br>|
| **Increaseauthorizedshares** | World | Brazil | WegenerallyrecommendFORexceptwhenone <br>of the following conditions is met: 1) The new <br>proposed stock is >50% of total authorized <br>sharesofcommonstock;2)TheincreaseisNOT<br>tiedtoaspecifictransactionorfinancing<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
|  |  | proposal;and3)TheSharepoolwasNOTused <br>up due to equity plans.<br>|
| **Increaseauthorizedshares** | Brazil | WegenerallyrecommendFORexceptwhenone <br>of the following conditions is met: 1) The<br>increaseisNOTtiedtoaspecifictransactionor <br>financing proposal; and 2) The Share pool was <br>NOT used up due to equity plans.<br>|
| **Issuebonds** | World | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,approvalofthisproposal <br>will give the Company greater flexibility in <br>considering and planning for future corporate <br>needs, including, but not limited to, stock <br>dividends, grants under equity compensation <br>plans,stock splits,financings,potentialstrategic <br>transactions, including mergers, acquisitions, <br>and business combinations, as well as other<br>generalcorporatetransactions.<br>|
| **Issueshares** | World | We generally recommend FOR when there is a <br>purpose for the share issuance and when the <br>shareholderrightsontheissuedshareswillnot<br>besuperiortooutstandingshares.<br>|
| **Issuesharesbelow NAV** | World | WegenerallyrecommendFORifthesharesto<br>beissuedbelowNAVare25%orlessofthe <br>outstanding shares.<br>|
| **Issuesharesuponexercise** <br>**of warrants**<br>| World | WegenerallyrecommendFORbecause<br>according to our policy, the proposed issuance <br>of shares will provide the Company with a <br>sourceofcapitaltofunditscorporateendeavors<br>andactivities.<br>|
| **Re-priceoptions** | World | WegenerallyrecommendFORre-pricingoptions <br>whenexternalanduncontrollablemarketfactors<br>causedthestockpricetodecrease.<br>|
| **Repurchaseand/orcancel** <br>**shares**<br>| Emerging&<br>Frontier Asia-<br>Pacific,Western <br>Europe<br>| WerecommendFORthisProposalbecause, <br>according to our policy, share<br>repurchase/cancellation can enhance <br>shareholder value and provide the company <br>withflexibilityinmanagingitscapitaleffectively.<br>|
| **Repurchasebonds** | World | We recommend FOR this Proposal because, <br>accordingtoourpolicy,repurchaseofbonds <br>allows the company to manage its debt <br>efficiently, reduce interest expenses, and<br>optimizeitscapitalstructure,ultimately<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
|  |  | supportingfinancialflexibilityandlong-term <br>shareholder value.<br>|
| **Createanewclassof** <br>**shares**<br>| World | We generally recommend FOR these proposals <br>when the new class of shares to be created will <br>nothaveblank-checkauthorityandwillnothave <br>superior voting rights to the existing class of<br>shares.<br>|
| **Reclassify/convertshares** | World | WegenerallyrecommendFORiftheconversion <br>would provide equal rights to shareholders.<br>|
| **Createanewclassof** <br>**shares**<br>| World | We generally recommend FOR these proposals<br>when the new class of shares to be created will<br>nothaveblank-checkauthorityandwillnot have<br>superiorvotingrightstotheexistingclassof<br>shares.<br>|
| **Reclassify/convertshares** | World | WegenerallyrecommendFORiftheconversion <br>would provide equal rights to shareholders.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbymanagement**\|Climate/Resources

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Approvethesustainability** <br>**auditor**<br>| Western <br>Europe<br>|  | We generally recommend FOR when the <br>statutory auditor passed the auditor test or <br>whenthesustainabilityauditorisadifferent<br>auditorthanthestatutoryauditor.<br>|
| **Approvethesustainability** <br>**report**<br>| Western<br>Europe,<br>Australia<br>|  | WegenerallyrecommendavoteFORbecause <br>according to our policy, the proposed report <br>demonstratestheCompany'scommitmentto<br>sustainabilityandprovidesvaluableinformation <br>about its ongoing initiatives. This transparency <br>enables shareholders to better understand the <br>Company's sustainability efforts and progress,<br>aligning with best practices in corporate <br>responsibilityandlong-termvaluecreation.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbymanagement**\|Compensation

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Advise on executive** <br>**compensation(say-on-pay)**<br>| UnitedStates, <br>United <br>Kingdom<br>|  | We generally recommend FOR when the total <br>compensation is reasonable considering the <br>company'sperformanceasmeasuredbychange <br>in adjusted stock price, and considering the<br>following requirements: 1) the compensation <br>planincludesspecificanddefinedperformance <br>metrics and 2) the company made changes to<br>theexecutivecompensationplanifthecompany <br>received less than 70% approval on the most<br>recentsay-on-pay/remunerationpolicyor <br>remuneration report vote.<br>|
| **Advise on executive** <br>**compensation(say-on-pay)**<br>| World | UnitedStates, <br>United <br>Kingdom<br>| We generally recommend FOR when the total <br>compensation is reasonable considering the <br>company'sperformanceasmeasuredbychange<br>inadjustedstockprice.<br>|
| **Approve a stock** <br>**compensationplan(non-**<br>**SPAC)**<br>| UnitedStates |  | We generally recommend FOR when the plan <br>results in dilution of 10% or less and when the <br>averageburnrateoverthelastthreeyearsis3% <br>or less (or the company hasbeen public for five<br>yearsorless).<br>|
| **Approve a stock** <br>**compensationplan(non-**<br>**SPAC)**<br>| World | UnitedStates | WegenerallyrecommendFORwhentheplan <br>results in dilution of 10% or less.<br>|
| **Approve a stock** <br>**compensationplan(SPAC)**<br>| World |  | WegenerallyrecommendFORiftheplanisfor <br>the newly formed entity arising from the <br>business combination with a special purpose <br>acquisitioncompany(SPAC)andtheauthorized <br>share pool doesn't exceed 3% of the new<br>entity'sauthorizedsharecapital.<br>|
| **Approveanemployee** <br>**stock purchase plan**<br>| World |  | WegenerallyrecommendFORwhentheplanis<br>qualifiedunderSection423(c)orhasdilutionof<br>10% or less and when there is no evergreen<br>provision.<br>|
| **Approvean**<br>**employment/management**<br>**/severance/partnership** <br>**agreement**<br>| Emerging&<br>Frontier Asia-<br>Pacific,Western <br>Europe<br>|  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | | |
|:---|:---|:---|:---|
| **Approvebonuses** | UnitedStates, <br>United <br>Kingdom<br>|  | We generally recommend FOR when the total <br>compensation is reasonable considering the <br>company'sperformanceasmeasuredbychange <br>in adjusted stock price, and considering the<br>following requirements: 1) the compensation <br>planincludesspecificanddefinedperformance <br>metrics and 2) the company made changes to<br>theexecutivecompensationplanifthecompany <br>received less than 70% approval on the most<br>recentsay-on-pay/remunerationpolicyor<br>remunerationreportvote.<br>|
| **Approvebonuses** | World | UnitedStates, <br>United <br>Kingdom<br>| We generally recommend FOR when the total <br>compensation is reasonable considering the <br>company'sperformanceasmeasuredbychange<br>inadjustedstockprice.<br>|
| **Approve executive/**<br>**director/related**<br>**party transactions**<br>| Western <br>Europe<br>|  | WegenerallyrecommendFORwhentheamount <br>doesn't exceed 2% of the company's annual<br>revenueor$1,000,000.<br>|
| **Approvefutureexecutive** <br>**remuneration**<br>| Western<br>Europe,Eastern <br>Europe &<br>CentralAsia,<br>MiddleEast& <br>North Africa<br>|  | We generally recommend FOR when the <br>proposedcompensationincludesperformance-<br>based metrics.<br>|
| **Approveother** <br>**compensation**<br>| World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Approvetheexecutive** <br>**compensation policy**<br>| UnitedStates, <br>United <br>Kingdom<br>|  | We generally recommend FOR when the total <br>compensation is reasonable considering the <br>company'sperformanceasmeasuredbychange <br>in adjusted stock price, and considering the<br>following requirements: 1) the compensation <br>planincludesspecificanddefinedperformance <br>metrics and 2) the company made changes to<br>theexecutivecompensationplanifthecompany <br>received less than 70% approval on the most<br>recentsay-on-pay/remunerationpolicyor<br>remunerationreportvote.<br>|
| **Approvetheexecutive** <br>**compensation policy**<br>| World | UnitedStates, <br>United <br>Kingdom<br>| We generally recommend FOR when the total <br>compensation is reasonable considering the <br>company'sperformanceasmeasuredbychange<br>inadjustedstockprice.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
| **Approvethenon-executive** <br>**directors' compensation**<br>| Emerging&<br>Frontier Asia-<br>Pacific,Western <br>Europe,Eastern <br>Europe &<br>CentralAsia<br>| WerecommendFORthisProposal,because <br>according to our policy, the proposed non-<br>executive directors' compensation is <br>commensuratewiththeircontributionsand<br>supportsthecompanyinremainingcompetitive <br>in attracting and retaining skilled board<br>members.<br>|
| **Decidethefrequencyof** <br>**the executive**<br>**compensationvote**<br>| World | Wegenerallyrecommendanannualfrequency <br>for the say-on-pay vote.<br>|
| **Reducethelegalreserve** | Emerging&<br>Frontier Asia-<br>Pacific,Western <br>Europe,<br>Developed <br>Asia-Pacific<br>| WegenerallyrecommendFORbecause<br>accordingtoourpolicy,theproposedreduction <br>of legal reserves is commensurate with the <br>Company'scurrentfinancialpositionandwould <br>strengthen its cashflow.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbymanagement**\|Directors

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Allow for theremoval of** <br>**directorsonlywithcause**<br>| World |  | WegenerallyrecommendAGAINSTtheproposal <br>becauseaccordingtoourpolicy,directorsshould <br>be removed with or without cause. This level of <br>flexibility allows the Company to make<br>necessarychangestoitsleadershipwhen<br>deemed appropriate. Allowing for the removal <br>of directorswithorwithout causeensuresthat <br>theBoardcaneffectivelyaddressissuessuchas <br>performance concerns and maintain the best <br>interests of the Company and its shareholders.<br>|
| **Allowfortheremovalof** <br>**directors without cause**<br>| World |  | WegenerallyrecommendavoteFORbecause<br>accordingtoourpolicy,allowingshareholdersto<br>remove a director without cause enhances<br>accountabilityandstrengthensshareholder<br>rights. This provisionempowersshareholders to<br>takeactioniftheybelieveadirectorisnotacting<br>in the best interests of the company, ensuring<br>greatertransparencyandgovernance.<br>|
| **Approvedirector** <br>**indemnification**<br>| World |  | WegenerallyrecommendFORbecause<br>according to our policy, approval of director <br>indemnificationwouldenabletheCompanyto <br>provide a greater scope of protection to<br>directorsin casesoflitigations. Further,sucha <br>provision would also help the Company to <br>attract,retainandmotivateitsdirectorswhose<br>effortsareessentialtotheCompany'ssuccess.<br>|
| **Approvedirectorliability** <br>**insurance**<br>| World |  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,approvalofdirector<br>liabilityinsurancewouldenabletheCompanyto <br>provide a greater scope of protection to<br>directorsin casesoflitigations. Further,sucha <br>provision would also help the Company to <br>attract,retainandmotivateitsdirectorswhose <br>effortsareessentialtotheCompany'ssuccess.<br>|
| **Approveelectionand** <br>**remunerationforthe**<br>**executivedirector(s)**<br>| Developed <br>Asia-Pacific,<br>|  | WegenerallyrecommendFORwhenthe<br>director(s) passes our election of director test <br>andtheexecutivecompensationpassesourtest.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | | |
|:---|:---|:---|:---|
|  | Western <br>Europe<br>|  | Ifanydirectorortheexecutivecompensation <br>does not pass our tests, we will recommend<br>againsttheproposal.<br>|
| **Approveelectionand**<br>**remunerationforthenon-**<br>**executive director(s)**<br>| United <br>Kingdom<br>|  | WegenerallyrecommendFORwhenthechange <br>inadjustedstockpriceoverthedirector'stenure <br>is not poor (given that the director tenure is at <br>least three years). Additionally, the following <br>governance factors are considered: director <br>attendance, independence on key committees,<br>the cybersecurity score of the company, the <br>presence of zombie directors on the board, <br>overboarding,thepercentageofindependent <br>directorsontheboard,theimplementationof<br>previouslyapprovedshareholderproposals,and <br>the presence of at least one diverse director on <br>the board.<br>|
| **Approveelectionand**<br>**remunerationforthenon-**<br>**executive director(s)**<br>| Developed <br>Asia-Pacific, <br>Western<br>Europe<br>| United <br>Kingdom<br>| WegenerallyrecommendFORwhenthechange <br>inadjustedstockpriceoverthedirector'stenure <br>is not poor (given that the director tenure is at <br>least three years). Additionally, the following <br>governance factors are considered: director <br>attendance, independence on key committees,<br>the cybersecurity score of the company, <br>overboarding,thepercentageofindependent <br>directorsontheboard,andthepresenceofat<br>leastonediversedirectorontheboard.<br>|
| **Approvefinancial**<br>**statementsanddischarge** <br>**directors**<br>| Western<br>Europe,Eastern <br>Europe &<br>CentralAsia<br>|  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,thefinancialstatements<br>giveatrueandfairviewofthefinancialposition<br>oftheCompanyfortherecentfiscalyear,andof<br>its financial performance and its cash flows for<br>theyearthenendedinaccordancewiththelaw.<br>|
| **Approvethedirectors'** <br>**report**<br>| Western<br>Europe,Eastern <br>Europe &<br>CentralAsia<br>|  | WegenerallyrecommendFORbecauseapproval<br>ofthedirectors'reportisinthebestinterestsof<br>the Company and its shareholders.<br>|
| **Approvethedischargeof** <br>**the board and president**<br>| Western<br>Europe,Eastern <br>Europe &<br>CentralAsia<br>|  | WegenerallyrecommendFORbecause<br>according to our policy, we find no breach of <br>fiduciarydutythatcompromisedtheCompany <br>and shareholders' interests for the fiscal year <br>that has ended.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
| **Approvethedischargeof** <br>**the management board**<br>| Western<br>Europe,Eastern <br>Europe &<br>CentralAsia<br>| WegenerallyrecommendFORbecause<br>according to our policy, we find no breach of <br>fiduciarydutythatcompromisedtheCompany <br>and shareholders' interests for the fiscal year <br>that has ended.<br>|
| **Approvethedischargeof** <br>**the supervisory board**<br>| Western<br>Europe,Eastern <br>Europe &<br>CentralAsia<br>| WegenerallyrecommendFORbecause<br>according to our policy, we find no breach of <br>fiduciarydutythatcompromisedtheCompany <br>and shareholders' interests for the fiscal year<br>thathas ended.<br>|
| **Approvetheprevious** <br>**board's actions**<br>| Western<br>Europe,Eastern <br>Europe &<br>CentralAsia<br>| WegenerallyrecommendFORbecause<br>according to our policy, we find no breach of <br>fiduciarydutythatcompromisedtheCompany <br>and shareholders' interests for the fiscal year <br>that has ended.<br>|
| **Approvethespill** <br>**resolution**<br>| Australia | WegenerallyrecommendFORthisresolution <br>when the company has failed our executive<br>compensationtest.<br>|
| **Authorizeexculpationof** <br>**officers (DGCL)**<br>| World | WegenerallyrecommendavoteFORbecause <br>accordingtoourpolicy,implementationofthe<br>exculpationprovisionpursuanttoDelawareLaw <br>will enable the Company to attract, retain and <br>motivate its officerswhoseefforts are essential <br>to the Company's success. Additionally,<br>Delaware's exculpation law strikes a balanced <br>approach,offeringprotectiontodirectorswhile <br>ensuringaccountabilityforsignificantbreaches<br>oftheirfiduciaryduties.<br>|
| **Authorize the board to** <br>**executelegalformalities**<br>| Western<br>Europe,Eastern <br>Europe &<br>CentralAsia, <br>Emerging &<br>FrontierAsia-<br>Pacific<br>| WegenerallyrecommendFORbecauseapproval<br>oftheproposalisnecessaryinordertocarryout<br>the legal formalities related to the meeting.<br>|
| **Authorizetheboardtofill** <br>**vacancies**<br>| World | WegenerallyrecommendFORiftheappointees <br>will face a shareholder vote at the next annual<br>meeting.<br>|
| **Changethesizeofthe** <br>**board of directors**<br>| World | WegenerallyrecommendFORiftheboardsize <br>is between 5 and 15.<br>|
| **Classifythe board** | World | WegenerallyrecommendAGAINSTbecause <br>accordingtoourpolicy,staggeredtermsfor<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | | |
|:---|:---|:---|:---|
|  |  |  | directorsincreasethedifficultyforshareholders <br>to make fundamental changes to the <br>compositionandbehaviorofaboard.Weprefer <br>that the entire board of a company be elected <br>annuallytoprovideappropriateresponsiveness<br>toshareholders.<br>|
| **Declassifytheboard** | World |  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,staggeredtermsfor<br>directorsincreasethedifficultyforshareholders <br>to make fundamental changes to the <br>compositionandbehaviorofaboard.Weprefer <br>that the entire board of a company be elected <br>annuallytoprovideappropriateresponsiveness<br>toshareholders.<br>|
| **Delegateauthoritytoa** <br>**committee**<br>| Western <br>Europe<br>|  | We generally recommend FOR because the <br>delegationofauthoritytothecommitteeisin <br>the best interests of the Company and its<br>shareholders.<br>|
| **Electacompany clerk/**<br>**secretary**<br>| Western<br>Europe,Eastern <br>Europe &<br>CentralAsia<br>|  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,thenomineeappears <br>qualified.<br>|
| **Electadirectortoboard** | UnitedStates, <br>United <br>Kingdom<br>|  | WegenerallyrecommendFORwhenthechange <br>inadjustedstockpriceoverthedirector'stenure <br>is not poor (given that the director tenure is at <br>least three years). Additionally, the following <br>governance factors are considered: director <br>attendance, independence on key committees,<br>the cybersecurity score of the company, the <br>presence of zombie directors on the board, <br>overboarding,thepercentageofindependent <br>directorsontheboard,theimplementationof<br>previouslyapprovedshareholderproposals,and<br>thepresenceofatleastonediversedirectoron <br>the board.<br>|
| **Electadirectortoboard** | World | UnitedStates, <br>United <br>Kingdom<br>| WegenerallyrecommendFORwhenthechange <br>inadjustedstockpriceoverthedirector'stenure <br>is not poor (given that the director tenure is at <br>least three years). Additionally, the following <br>governance factors are considered: director <br>attendance, independence on key committees,<br>thecybersecurityscoreofthecompany,<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | | |
|:---|:---|:---|:---|
|  |  |  | overboarding,thepercentageofindependent <br>directorsontheboard,andthepresenceofat<br>leastonediversedirectorontheboard.<br>|
| **Electadirectorto** <br>**committee**<br>| UnitedStates, <br>United <br>Kingdom<br>|  | WegenerallyrecommendFORwhenthechange <br>inadjustedstockpriceoverthedirector'stenure <br>is not poor (given that the director tenure is at <br>least three years). Additionally, the following <br>governance factors are considered: director <br>attendance, independence on key committees,<br>the cybersecurity score of the company, the <br>presence of zombie directors on the board, <br>overboarding,thepercentageofindependent <br>directorsontheboard,theimplementationof<br>previouslyapprovedshareholderproposals,and <br>the presence of at least one diverse director on <br>the board.<br>|
| **Electadirectorto** <br>**committee**<br>| World | UnitedStates, <br>United <br>Kingdom<br>| WegenerallyrecommendFORwhenthechange <br>inadjustedstockpriceoverthedirector'stenure <br>is not poor (given that the director tenure is at <br>least three years). Additionally, the following <br>governance factors are considered: director <br>attendance, independence on key committees,<br>the cybersecurity score of the company, <br>overboarding,thepercentageofindependent <br>directorsontheboard,andthepresenceofat<br>leastonediversedirectorontheboard.<br>|
| **Electdirectorsandappoint** <br>**the auditor**<br>| Western <br>Europe<br>|  | WegenerallyrecommendFORwhenthe<br>director(s) passes our election of director test <br>and the auditor passes our auditor ratification <br>test.Ifanydirectorortheauditordoesnotpass <br>our tests, we will recommend against the<br>proposal.<br>|
| **Electdirectorsandfixthe** <br>**number of directors**<br>| United <br>Kingdom<br>|  | WegenerallyrecommendFORwhenthechange <br>inadjustedstockpriceoverthedirector'stenure <br>is not poor (given that the director tenure is at <br>least three years). Additionally, the following <br>governance factors are considered: director <br>attendance, independence on key committees,<br>the cybersecurity score of the company, the <br>presence of zombie directors on the board, <br>overboarding,thepercentageofindependent <br>directorsontheboard,theimplementationof<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | | |
|:---|:---|:---|:---|
|  |  |  | previouslyapprovedshareholderproposals,and <br>the presence of at least one diverse director on<br>the board.<br>|
| **Electdirectorsandfixthe** <br>**number of directors**<br>| Canada,<br>Western<br>Europe<br>| United <br>Kingdom<br>| WegenerallyrecommendFORwhenthechange <br>inadjustedstockpriceoverthedirector'stenure <br>is not poor (given that the director tenure is at <br>least three years). Additionally, the following <br>governance factors are considered: director <br>attendance, independence on key committees,<br>the cybersecurity score of the company, <br>overboarding,thepercentageofindependent<br>directorsontheboard,andthepresenceofat <br>least one diverse director on the board.<br>|
| **Electmultipledirectorsto** <br>**the board**<br>| World | UnitedStates, <br>United <br>Kingdom<br>| WegenerallyrecommendFORwheneach<br>directorpassesourelectionofdirectortest.If <br>any director does not pass this test, we will<br>recommendagainsttheproposal.<br>|
| **Eliminatetheretirement** <br>**age requirement**<br>| World |  | We generally recommend FOR this proposal <br>because, in accordance with our policy, the <br>Companyanditsshareholdersareinthebest<br>positiontodeterminetheapproachtocorporate <br>governance, particularly board composition.<br>Imposing inflexible rules, such as age limits for <br>outside directors, does not necessarily correlate <br>withreturnsorbenefitsforshareholders.Similar <br>to arbitrary term limits, age limits could force <br>valuable directors off the board solely based on <br>their age, potentially undermining the<br>effectivenessoftheboard.<br>|
| **Fixthenumberof directors** | Canada, <br>Western<br>Europe<br>|  | WegenerallyrecommendFORiftheboardsize <br>is between 5 and 15.<br>|
| **Receivethedirectors'** <br>**report**<br>| World | North America | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,thefinancialstatements<br>giveatrueandfairviewofthefinancialposition<br>oftheCompanyfortherecentfiscalyear,andof<br>its financial performance and its cash flows for<br>theyearthathasended.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbymanagement**\|LegalandCompliance

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Adoptanexclusiveforum** <br>**for disputes**<br>| World |  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,havinganexclusive <br>forum will allow the Company to address <br>disputes and litigations in an exclusive <br>jurisdiction,withfamiliarityofthelaw,and <br>reducetheadministrativecostandburden<br>relatedtosettlement.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbymanagement**\|M&A/Structure

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Adoptananti-greenmail** <br>**provision**<br>| World |  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,theadoptionofananti-<br>greenmail provision will prevent the likelihood <br>of potential hostile takeover which could be<br>detrimentaltotheshareholders'interests.<br>|
| **Adviseonmergerrelated** <br>**compensation**<br>| World | UnitedStates | WegenerallyrecommendFORwhen1)thetotal <br>severance package doesn't exceed 3X the<br>previousyear'sCAPforthehighestpaidNEO.<br>|
| **Adviseonmergerrelated** <br>**compensation**<br>| UnitedStates |  | WegenerallyrecommendFORwhen1)thetotal <br>severance package doesn't exceed 3X the <br>previous year's CAP for the highest paid NEO 2) <br>there is no excise tax gross-up and 3) the<br>paymentisdouble-trigger.<br>|
| **Approveajointventure** <br>**agreement**<br>| World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Approvealiquidationplan** | World |  | WegenerallyrecommendFORifthefollowing<br>conditionsaremet:thetransactionisthebest<br>strategic alternative for the company and the<br>appraisalvalueisfair.<br>|
| **Approveananti-takeover** <br>**measure(s)**<br>| Australia |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Approveanextension**<br>**amendmentproposal(for** <br>**SPACs)**<br>| World |  | WegenerallyrecommendFORwhenthetrust <br>depositpaymentisnotlessthantheprevious<br>trustdepositpayment.<br>|
| **Approvean M&A**<br>**agreement(saleor** <br>**purchase)**<br>| World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **ApproveanM&A-related** <br>**share issuance**<br>| World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Approveanopt-outplan** | World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Approvetherestructuring** <br>**plan**<br>| World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Changethedomicile/**<br>**jurisdictionof** <br>**incorporation**<br>| World |  | WegenerallyrecommendFORwhenthe<br>shareholderswillmaintainthesameorsimilar <br>rights.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
| **Proceedwithbankruptcy** | World | WegenerallyrecommendFORbecause <br>accordingtoourpolicy,approvalofthe<br>bankruptcyplanisthebestavailablealternative <br>in order for the Company to provide a <br>reasonable value for its shareholders.<br>|
| **Removeanantitakeover** <br>**provision(s)**<br>| World | WerecommendFORthisProposal,because, <br>according to our policy, the removal of the<br>antitakeoverprovisioncanincreaseshareholder <br>value by enhancing market responsiveness and <br>facilitatingpotentialtakeoversthatmayleadto<br>premiumbuyouts.<br>|
| **Ratifyapoisonpill** | World | WegenerallyrecommendavoteFORbecause<br>accordingtoourpolicy,approvaloftheproposal <br>will acknowledge both the advantages and<br>inherentrisksofimplementingashareholder<br>rightsplan,orpoisonpill.Whiletheseplanscan <br>deter hostile takeovers, they also carry the risk <br>of management entrenchment in some cases. <br>Ensuringthat shareholdersare given avoiceon <br>the advisability of such a plan is crucial to <br>safeguarding the Company from these risks, <br>promoting transparency, and maintaining a <br>balance between protecting shareholder<br>interestsandpreventingpotentialmisuseofthe<br>plan.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbymanagement**\|MeetingandProxyStatement

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Adoptnoticeandaccess** <br>**provisions**<br>| World |  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,approvalofthenotice <br>and access provision would provide <br>shareholders with sufficient disclosure and<br>ampletimetomakeinformeddecisions <br>regarding the election of directors at<br>shareholdermeetings.Thisprovisionensures <br>that shareholders have the opportunity to <br>review relevant information regarding the <br>nominees, the Company's performance, and<br>otherimportantmatters,thereforeenablingthe <br>shareholders to participate meaningfully in the<br>governanceprocess.<br>|
| **Approve administrative** <br>**and/orproceduralitems**<br>| World |  | WerecommendFORthisProposal,because<br>accordingtoourpolicy,approvingadministrative <br>and procedural items related to the convening <br>of shareholder meetings ensures proper <br>organization, compliance with governance<br>requirements,andsmoothconductof <br>proceedings.<br>|
| **Changethe**<br>**location/date/timeofa** <br>**shareholder meeting**<br>| World |  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,theproposedchange <br>will increase the likelihood of increased<br>attendancerateinmeetings,nottomentionthe <br>benefits of flexibility and improved accessibility<br>toshareholders.<br>|
| **Indicate if you are a** <br>**controllingshareholderor** <br>**haveapersonalinterestin**<br>**theproposal**<br>| Canada,Israel, <br>Latin America<br>|  | This test will indicate NO if the shareholder is <br>notacontrollingshareholderanddoesnothave <br>a personal interest in the approval of this<br>proposal.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbymanagement**\|MutualFund

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Adoptaninvestmentpolicy** | World |  | WegenerallyrecommendFORiftheinvestment <br>strategy is cogent.<br>|
| **Approvethecompanyas** <br>**investment trust**<br>| World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Approvethefundamental** <br>**investment objective**<br>| World |  | WegenerallyrecommendFORbecause <br>according to our policy, a fundamental<br>investment objective for funds will ensure that <br>any revision or matter related to the fund's <br>activities will be brought up for shareholder <br>approval, thereby protecting their interests as <br>shareowners. By involving shareholders in key <br>decisions,theCompanyreinforcestransparency, <br>accountability, and the protection of<br>shareholdervalue.<br>|
| **Approvetheinvestment** <br>**advisory agreement**<br>| World |  | WegenerallyrecommendFORifthefollowing <br>conditions are met: the investment fees are <br>reasonable (3% or less) and the investment<br>strategyiscogent.<br>|
| **Approvethenon-**<br>**fundamentalinvestment** <br>**objective**<br>| World |  | WegenerallyrecommendAGAINSTbecause <br>according to our policy, a fundamental<br>investmentobjectiveforfundswillensurethat <br>any revision or matter related to the fund's <br>activities will be brought up for shareholder <br>approval, thereby protecting their interestsas<br>shareowners.<br>|
| **Approvethereorganization** | World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Approve the sub-**<br>**investmentadvisory** <br>**agreement**<br>| World |  | WegenerallyrecommendFORsub-investment <br>advisory agreements when the sub-advisory<br>feesarepaidbytheprimaryadviserandthe <br>investment strategy is cogent.<br>|
| **Changethefund's**<br>**fundamentalrestrictionto** <br>**non-fundamental**<br>| World |  | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,approvaloftheproposal <br>would increase the Fund's exposure to<br>significantlossesarisingfrominvestmentin <br>high-risk assets. Moreover, contrary to a<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
|  |  | fundamental investment restriction, non-<br>fundamentalinvestmentrestrictionsareoften<br>focusedonshort-terminvestingwhichissubject <br>to market volatility and fluctuations.<br>|
| **Converttheclosed-end**<br>**fundtoanopen-endfund**<br>| World | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,theconversiontoan <br>open-end fund would provide for portfolio<br>diversificationhencereducingtheCompany's <br>riskexposure,andatthesametimeproviding<br>greaterliquiditytoitsshareholders.<br>|
| **Issue/approvea12b-1plan** <br>**(the distribution of funds**<br>**throughintermediaries)**<br>| World | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,approvalofthe12b-1 <br>plan would enable the Fund to facilitate its <br>distribution and sale through various<br>intermediaries,whichwouldbebeneficialin <br>improving its asset position.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbymanagement**\|Other

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Amend other articles/**<br>**bylaws/charter**<br>| World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Appointaratingagency** | Western<br>Europe,Eastern <br>Europe &<br>CentralAsia, <br>Emerging &<br>FrontierAsia-<br>Pacific,<br>Developed <br>Asia-Pacific,<br>LatinAmerica<br>|  | We generally recommend FOR because the <br>appointmentoftheproposedratingagencyisin <br>the best interests of the Company and its <br>shareholders.<br>|
| **Approveappointmentofa** <br>**(non-director) executive**<br>| MiddleEast& <br>North Africa, <br>Western<br>Europe,Eastern <br>Europe &<br>CentralAsia<br>|  | WerecommendFORthisProposal,because <br>according to our policy, approving the <br>appointment of the executive ensures the <br>companyhasthenecessarymanagementin <br>place to support operational continuity.<br>|
| **Approvecompanyrelated-**<br>**party transactions**<br>| Emerging&<br>FrontierAsia-<br>Pacific,<br>Developed <br>Asia-Pacific, <br>Western<br>Europe<br>|  | WerecommendFORtheproposedtransaction <br>as we believe it will allow the company to<br>executeonitsoperationalandstrategic <br>objectives.<br>|
| **Approveothercompany** <br>**policies**<br>| World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Approve political &** <br>**charitablecontributions**<br>| United <br>Kingdom<br>|  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,itisnecessarytoallow <br>the Company to fund charitable and political<br>activities, which is in the best interests of <br>shareholders.Suchcontributionscanenhance <br>the Company's reputation, strengthen<br>stakeholderrelationships,andsupportits<br>broadersocialandcorporateresponsibility<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
|  |  | goals,ultimatelybenefitinglong-term <br>shareholder value.<br>|
| **Approvetheappointment** <br>**of a (director) executive**<br>| World | WegenerallyrecommendFORwhenthechange <br>inadjustedstockpriceoverthedirector'stenure <br>is not poor (given that the director tenure is at <br>least three years). Additionally, the following <br>governance factors are considered: director <br>attendance, independence on key committees,<br>the cybersecurity score of the company, <br>overboarding,thepercentageofindependent <br>directorsontheboard,andthepresenceofat<br>leastonediversedirectorontheboard.<br>|
| **Approvethecompany** <br>**name change**<br>| World | WegenerallyrecommendFORbecause<br>according to our policy, the proposed name <br>changesupportsstrategicchangesthatenhance <br>the Company's business objectives.<br>Furthermore, the proposed name change will <br>moreeffectivelyreflecttheCompany'smission <br>andvision,therebystrengtheningitsmarketing <br>and branding efforts and improving its overall <br>market positioning.<br>|
| **Approvethecontinuance** <br>**of company**<br>| Canada | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,approvalofthisproposal <br>is in the best interests of the Company and its<br>shareholders.<br>|
| **Approvetheconveningof** <br>**the corporate assembly**<br>| Western <br>Europe<br>| WegenerallyrecommendFORbecauseapproval <br>of the convening of the corporate assembly or <br>shareholders' meeting is inthe best interests of<br>theCompanyandits shareholders.<br>|
| **Approvethestaking** <br>**consideration**<br>| World | WerecommendFORtheProposal,because <br>according to our policy, approving staking<br>considerationinblockchainnetworksenhances <br>yield by supporting network security and<br>transaction validation. This complies with <br>regulatorystandards,reflectingresponsible <br>digitalassetmanagementandindustrybest<br>practices.<br>|
| **Approvethestakingfee** | World | WerecommendFORapprovalofthestakingfee, <br>because according to our policy, the fee helps <br>cover the Company's operational costs <br>associated with staking activities. The fee aligns<br>withindustrystandardsandensures<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
|  |  | transparencyandfairnesstoclientsindigital <br>asset staking services.<br>|
| **Attendtootherbusiness** | World | We generally recommend FOR when the <br>companyisdomiciledintheUSorCanada.<br>|
| **Ratifydecisionsmadein** <br>**the prior fiscal year**<br>| Western<br>Europe,Eastern <br>Europe &<br>CentralAsia<br>| WegenerallyrecommendFORwhentheactis <br>related to routine matters such as the <br>distributionofdividends,releasefromliability, <br>or decisions made in the fiscal year that has<br>ended.<br>|
| **Reimburseproxycontest** <br>**expenses**<br>| World | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbymanagement**\|ShareholderRights

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Adoptanadvancednotice** <br>**requirement**<br>| UnitedStates, <br>Australia<br>|  | WegenerallyrecommendFORwhenthepolicy <br>stipulatesthatnominationsmustbesubmitted <br>no later than 60-90 days prior to the annual <br>meeting and that nominations must be<br>submittednoearlierthan120-150dayspriorto<br>theannual meeting.<br>|
| **Adoptanadvancednotice** <br>**requirement**<br>| Canada |  | WegenerallyrecommendFORwhenthepolicy<br>stipulatesthatnominationsmustbesubmitted<br>no later than 30-65 days before the annual<br>meeting and that nominations must be <br>submittednoearlierthan30-65dayspriorto <br>the annual meeting.<br>|
| **Adopt,renew,oramenda** <br>**shareholder rights plan**<br>| World |  | WegenerallyrecommendFORiftheproposed <br>plan expands rights for shareholders.<br>|
| **Adopt/increaseproxy** <br>**access**<br>| World |  | WegenerallyrecommendavoteFORbecause <br>according to our policy, shareholders should <br>have the right to nominate their own<br>representatives to the board. Proxy access <br>wouldenhancetheCompany'sgovernanceby<br>empoweringshareholderswithgreaterinfluence <br>over the direction of the company, fostering <br>more accountability and alignment with<br>shareholderinterests.<br>|
| **Allow virtual-only** <br>**shareholdermeetings**<br>| World |  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,virtualmeetingswill <br>increase the likelihood of an improved<br>attendancerateinmeetings,nottomentionthe <br>benefits of flexibility, reducing costs and<br>improvedaccessibility.<br>|
| **Approvepreemptiverights** | Western <br>Europe<br>|  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,pre-emptiverightsallow <br>shareholders to maintain their proportional<br>ownershipintheCompanyintheeventofnew <br>share issuance, protecting their interests and<br>ensuringtheyarenotdilutedbyfutureequity <br>offerings.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
| **Eliminatepreemptiverights** | United <br>Kingdom<br>| We generally recommend FOR when the <br>disapplicationofrightsisfor24%orlessof<br>shares.<br>|
| **Establishtherighttocalla** <br>**special meeting**<br>| World | WegenerallyrecommendFORiftheproposal<br>willstrengthenshareholderrights(i.e.lowerthe <br>threshold required to call a special meeting).<br>|
| **Expandtherighttoactby** <br>**written consent**<br>| World | WegenerallyrecommendFORbecause<br>accordingtoour policy, theright toacton <br>written consent allows an increased <br>participationofshareholdersinthevoting <br>process,therebydemocratizingvotingand <br>giving shareholders the right to act<br>independentlyfromthemanagement.<br>|
| **Redeemashareholder** <br>**rights plan**<br>| World | We generally recommend FOR when the <br>additional shares for the beneficiaries of the<br>poisonpillaremoreattractivethantakeoverby <br>a hostile party.<br>|
| **Restricttherighttoactby** <br>**written consent**<br>| World | WegenerallyrecommendAGAINSTbecause <br>according to our policy, the right to act on <br>written consent allows an increased <br>participation of shareholders in the voting <br>process, thereby democratizing voting and <br>giving the shareholders the right to act<br>independentlyfromthemanagement.<br>|
| **Restricttherighttocalla** <br>**special meeting**<br>| World | WegenerallyrecommendAGAINSTtheproposal <br>because according to our policy, the ability of <br>shareholders to call special meetings is widely <br>regarded as an important aspect of good <br>corporate governance. We believe the <br>Company's current threshold appropriately <br>balances the rights of shareholders to call a<br>specialmeetingwiththebroaderinterestsofthe <br>Company and its shareholders.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbymanagement**\|Voting

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| | | |
|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **VoteRecommendation** |
| **Adoptconfidentialvoting** | World | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,approvaloftheproposal <br>will preserve the confidentiality and integrity of<br>voteoutcomes.<br>|
| **Adoptunequalvoting** <br>**rights**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,inordertoprovideequal <br>voting rights to all shareholders, companies <br>should not utilize dual class capital structures.<br>|
| **Amendthequorum/voting** <br>**requirement**<br>| World | We generally recommend FOR when the <br>proposedquorumisatleast33%ofshares<br>entitledtovote.<br>|
| **Approvecumulativevoting** | World<br> China | WegenerallyrecommendAGAINSTbecause<br>according to our policy cumulative voting could <br>makeitpossibleforanindividualshareholderor <br>group of shareholders with special interests to<br>elect one or more directors to the Company's <br>Boardofdirectorstorepresenttheirparticular <br>interests. Such a shareholder or group of <br>shareholders could have goals that are <br>inconsistent, and could conflict with, the<br>interestsandgoalsofthemajorityofthe<br>Company'sshareholders.<br>|
| **Approvecumulativevoting** | China | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,cumulativevotingallows <br>a significant group of shareholders to elect a<br>director of its choice - safeguarding minority <br>shareholderinterestsandbringingindependent <br>perspectives to Board decisions.<br>|
| **Approvepluralityvoting** | World | We generally recommend FOR plurality voting <br>when plurality voting will only be used in <br>contestedsituations.Inuncontestedsituations,<br>wedonotpreferforpluralityvotingtobeused.<br>|
| **Approve/increase** <br>**supermajorityvoting**<br>| World | WegenerallyrecommendAGAINSTbecause<br>according to our policy, a simple majority vote <br>will strengthen the Company's corporate <br>governancepractice.Contrarytosupermajority <br>voting, a simple majority standard will give the<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
|  |  | shareholdersequalandfairrepresentationin <br>the Company by limiting the power of <br>shareholders who own a large stake in the <br>entity, therefore, paving the way for a more<br>meaningfulvotingoutcome.<br>|
| **Eliminatecumulative** <br>**voting**<br>| World | WegenerallyrecommendFORbecause<br>according to our policy cumulative voting could <br>makeitpossibleforanindividualshareholderor <br>group of shareholders with special interests to<br>elect one or more directors to the Company's <br>Boardofdirectorstorepresenttheirparticular <br>interests. Such a shareholder or group of <br>shareholders could have goals that are <br>inconsistent, and could conflict with, the<br>interestsandgoalsofthemajorityofthe <br>Company's shareholders.<br>|
| **Eliminate or reduce** <br>**supermajorityvoting**<br>| World | WegenerallyrecommendFORbecause<br>according to our policy, a simple majority vote <br>will strengthen the Company's corporate <br>governancepractice.Contrarytosupermajority <br>voting, a simple majority standard will give the <br>shareholders equal and fair representation in<br>the Company by limiting the power of <br>shareholderswhoownalargestakeintheentity <br>and paving the way for a more meaningful<br>votingoutcome.<br>|
| **Eliminateunequalvoting** <br>**rights**<br>| World | WegenerallyrecommendFORbecause<br>according to our policy, companies should <br>ensurethatallshareholdersareprovidedwith <br>equal voting rights, promoting fairness,<br>accountability,andalignmentbetween<br>economic ownership and control. By adopting a <br>one-share,one-votestructure,theCompanycan <br>better uphold shareholder democracy and <br>support long-term value creation for all<br>investors.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|Auditors

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Appointanauditor** | World |  | WegenerallyrecommendavoteAGAINST <br>because according to our policy, the <br>appointmentofauditorsisaresponsibility<br>entrustedtotheboardofdirectors,specifically <br>the Audit Committee. In our view, the <br>proceduresgoverningtheselectionofauditors <br>adhere to standard corporate governance and<br>accountingpractices.Unlesstherearesignificant <br>concerns that could jeopardize the integrity and <br>independence of the auditors, we believe that <br>approving this proposal is neither necessary nor <br>justified at this time.<br>|
| **Limitauditornon-audit** <br>**services**<br>| World |  | WegenerallyrecommendFORbecause<br>according to our policy, auditors should not <br>providenon-auditservices.Thispracticeensures <br>the independence and integrity of the audit <br>process, maintaining objectivity and minimizing <br>any potential conflicts of interest that could <br>undermine the reliability of the Company's<br>financialreporting.<br>|
| **Rotatetheauditor** | World |  | WegenerallyrecommendFORwhentheauditor <br>is proposed to be rotated no more frequently<br>thanevery20years.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|BoardReport

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Reportonboardmember** <br>**information**<br>| World |  | We generally recommend AGAINST because <br>accordingtoourpolicy,theinformationbeing <br>requested in the shareholder proposal is<br>unnecessaryandwillnotresultinanyadditional<br>benefittotheshareholders.<br>|
| **Reportonboardoversight** | World |  | We generally recommend FOR this proposal <br>when less than 40% of 13 specific board <br>governancecriteriaarebeingmet.Thesecriteria <br>include items such as: say-on-pay is on the<br>agenda, the CEO and chairman positions are <br>heldbydifferentpeople,andallclassesofstock <br>have equal voting rights.<br>|
| **Reportonproxyvoting** <br>**review**<br>| World |  | We generally recommend FOR this proposal <br>when less than 40% of 13 specific board <br>governancecriteriaarebeingmet.Thesecriteria <br>include items such as: say-on-pay is on the<br>agenda,theCEOandchairmanpositions are<br>heldbydifferentpeople,andallclassesofstock <br>have equal voting rights.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|Capitalization

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Issue dividends** | World |  | We recommend a vote AGAINST this proposal <br>because according to our policy,the Company's <br>dividendpayoutplanshouldbegovernedbythe <br>board of directors after taking into account<br>relevantfactorssuchastheCompany'sliquidity<br>andfinancialposition.<br>|
| **Issueshares** | World |  | We generally recommend a vote AGAINST this <br>proposal because according to our policy, the <br>approvalcouldcausepotentialexcessivedilution <br>in the interests of the shareholders and could <br>potentially overvalue the Company's stock price<br>withsuchanexcessiveissuancethatis <br>disproportionate to its needs.<br>|
| **Require shareholder** <br>**approvaltoauthorizethe** <br>**issuance of**<br>**bonds/debentures**<br>| World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Require shareholder** <br>**approval to reclassify** <br>**sharesorconversionrights**<br>| World |  | WegenerallyrecommendFORbecause<br>according to our policy, companies should <br>ensurethatallshareholdersareprovidedwith <br>equal voting rights, promoting fairness,<br>accountability,andalignmentbetween<br>economic ownership and control. By adopting a <br>one-share,one-votestructure,theCompanycan <br>better uphold shareholder democracy and <br>support long-term value creation for all <br>investors.<br>|
| **Createanewclassof** <br>**shares**<br>| World |  | We generally recommend FOR these proposals <br>when the new class of shares to be created will <br>nothaveblank-checkauthorityandwillnothave <br>superior voting rights to the existing class of<br>shares.<br>|
| **Reclassify/convertshares** | World |  | WegenerallyrecommendFORiftheconversion <br>would provide equal rights to shareholders.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|Climate/Resources

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Adoptaclimateactionplan**<br>**/emissionsreduction/** <br>**resource restriction**<br>| World |  | We generally recommend AGAINST the <br>proposal,because,accordingtoourpolicy,its<br>approvalwouldnotprovideadditionalbenefits <br>or valuetoshareholders, given the Company's <br>existing robust policy and strategy on climate<br>change.<br>|
| **AdoptaGMOpolicy** | World |  | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,approvaloftheproposal <br>would impose unnecessary burdens on the <br>Company's operations.<br>|
| **Adoptanimalwelfare** <br>**standards**<br>| World |  | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,themattersraisedinthe <br>proposal have already been addressed by the <br>Company.Moreover,theproposaladvocatesfor <br>impractical and imprudent actions that could<br>negativelyimpactthebusinessanditsresults.<br>|
| **Approve an annual** <br>**advisoryvoteonclimate** <br>**change**<br>| World |  | WegenerallyrecommendavoteAGAINST<br>becauseaccordingtoourpolicy,adoptingthis <br>proposal is unnecessary and unwarranted in<br>lightoftheCompany'sexistingapproachto<br>climatechangeandsustainability.TheCompany<br>alreadyimplementseffectivestrategiesinthese<br>areas, making the proposal redundant.<br>Furthermore,approvalwouldresultin<br>significant administrative costs and financial <br>burdens,divertingresourcesfromothercritical <br>initiatives.<br>|
| **Reducefossilfuelfinancing** | World |  | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,theCompanyisalready <br>committed to meeting its climate action goals <br>related to sustainable financing. As businesses <br>move to achieving their net zero goals, we<br>believethattheCompany'scurrentpoliciesin <br>financing will bridge the transition to a low <br>carbon economy.<br>|
| **Reportonanimalwelfare** | World |  | We generally recommend AGAINST because <br>accordingtoourpolicyandgiventhecurrent<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
|  |  | applicable laws and regulations that the <br>Company must comply with, we do not believe <br>thattherequestedreportwouldaddmeaningful <br>value to the policies, processes, practices, and <br>resourcesthatarealreadyinplace.Additionally, <br>approval of this proposal would result in the <br>Company incurring unnecessary costs and <br>expenses as it is in the best interests of <br>shareholders for the board to manage the<br>Company'sdisclosuresandrisks.<br>|
| **Reportoncostsandrisks** <br>**associatedwithaclimate**<br>**(orsimilar)plan**<br>| World | We generally recommend AGAINST when the <br>reportisclearlyandfullyredundantwithother<br>reportingrequiredoftheCompany.<br>|
| **ReportonGMO** | World | WegenerallyrecommendAGAINSTbecause <br>according to our policy, preparing a report<br>regardingGMOswouldprovidenoincremental <br>and meaningful information to the Company's <br>shareholders. Moreover, given the Company's <br>current compliance with SEC reporting<br>requirementsandothergovernmentregulators <br>of GMOs, we believe that approval of this <br>proposal will accrue unnecessary costs and<br>administrativeburdentotheCompany.<br>|
| **Report on the company's** <br>**climateplan/emissions/**<br>**resourceuse**<br>| World | We generally recommend AGAINST when the <br>reportisclearlyandfullyredundantwithother<br>reportingrequiredoftheCompany.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|Compensation

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Amendtheclawback** <br>**provision**<br>| World |  | We generally recommend FOR when the <br>proposalisonlyaskingtoexpandtheclawback<br>provisiontoincludefraudandmisconduct.<br>|
| **Approvearetirementplan** | World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Capexecutivegrosspay** | World |  | WegenerallyrecommendAGAINSTthisproposal <br>becauseaccordingtoourpolicy,implementinga <br>caponexecutive compensation gross pay, could <br>negativelyimpactthehiringandretentionofthe <br>Company's key executives and employees. Such <br>arestrictionwouldlimittheCompany'sabilityto <br>fully capitalize on the skills, expertise, and <br>experience that individual leaders bring to the<br>organization.<br>|
| **Change the use of ESG** <br>**metricsincompensation**<br>| World |  | WegenerallyrecommendFORthisresolution <br>when the company has failed our executive<br>compensationtest.<br>|
| **Deductstockbuybacks** <br>**from pay**<br>| World |  | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,adoptionoftheproposal <br>will not enhance the Company's compensation<br>decision-makingprocess.<br>|
| **Discontinueexecutive** <br>**perquisites**<br>| World |  | WegenerallyrecommendavoteFORbecause<br>accordingtoourpolicy,thegrantingofexecutive <br>perquisites has been a key driver of inflated <br>executivecompensation.Sincetheseperquisites <br>arenotdirectlylinkedtocompanyperformance, <br>they contribute to compensation packages that <br>may not align with shareholder interests or the<br>Company'soverallsuccess.<br>|
| **Discontinuestockoption** <br>**and bonus programs**<br>| World |  | WegenerallyrecommendFORthisresolution <br>when the company has failed our executive<br>compensationtest.<br>|
| **Discontinue the** <br>**professionalservices** <br>**allowance**<br>| World |  | WegenerallyrecommendFORtheproposal<br>becauseaccordingtoourpolicy,limitingtheuse <br>of corporate funds for the personal benefit of <br>executives is in the best interests of<br>shareholders.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
| **Implementanadvisory** <br>**vote on executive** <br>**compensation**<br>| World | WerecommendFORthisProposal,because<br>accordingtoourpolicy,anadvisoryvoteon<br>executivecompensationhelpsensurethatpay<br>practicesremainfair,transparent,andaligned<br>with shareholder interests.<br>|
| **Implementdouble** <br>**triggered vesting**<br>| World | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,vestingofequityawards <br>over a period of time is intended to promote <br>long-term improvements in performance. The<br>linkbetweenpayandlong-termperformance <br>can be severed if awards pay out on an<br>accelerated schedule. More importantly, a <br>doubletriggervestingprovisionwouldprovide <br>protectiontotheCompany'semployeesinthe <br>event of transition or change of control.<br>|
| **Include legal/compliance** <br>**costs in adjustments**<br>| World | WerecommendFORthisProposal,because<br>according to our policy, including legal and<br>compliance costsinperformance adjustments<br>ensures that the financial impact of executive<br>decisions is fully reflected, thereby promoting<br>accountabilityandaligningcompensationwith<br>effectiveriskmanagement.<br>|
| **Includeperformance**<br>**metricsincompensation**<br>| World | WegenerallyrecommendFORthisresolution <br>when the company has failed our executive<br>compensationtest.<br>|
| **Prohibitequityvestingfor** <br>**government service**<br>| World | WegenerallyrecommendAGAINSTthe <br>proposal,as,accordingtoourpolicy,its<br>implementation could hinder the Company's <br>abilitytoattractkeyemployees.Additionally,it <br>could inadvertently penalize individuals who <br>may wish to enter or return to governmental<br>service.<br>|
| **Removetaxgross-ups** | World | WegenerallyrecommendFORbecause<br>according to our policy, tax gross-ups payments<br>can lead to unclearcompensation packages and<br>donotalignwithperformance-basedincentives.<br>Additionally,taxgross-upscanrepresenta<br>significant cost to companies without providing <br>meaningfulbenefitstorecipients.Byeliminating <br>suchpayments,theCompanycanpromotemore <br>transparent, performance-driven compensation <br>structures.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
| **Reportonexecutive** <br>**compensation**<br>| World | We generally recommend FOR when the <br>requestedreportisnotaskingforenvironmental<br>and/orsocialmetrics.<br>|
| **Requireashareholdervote** <br>**to ratify executive or** <br>**director severance pay**<br>| World | WegenerallyrecommendFORbecause<br>according to our policy, excessive executive <br>compensationpackageshasbeenanongoing <br>cause of concern among shareholders and <br>investors.WhiletheCompanyarguesthatits <br>severance and termination payments are <br>reasonable, we believe that it is in the best <br>interests of the stockholders if they ratify <br>executive compensation in such form.We<br>believethatapprovalofthisproposalwillenable <br>the stockholders to voice their views and <br>opinions regarding the Company's executive<br>severancepaymentsandwillensuredecisions <br>are in their best interests.<br>|
| **Requirethatexecutives** <br>**retain shares**<br>| World | WegenerallyrecommendFORbecause <br>accordingtoourpolicy,requiringsenior<br>executives to holda significant portionofstock <br>obtainedthroughexecutivepayplansalignsthe <br>interests of executives with the long-term <br>successoftheCompany,encouragingdecisions <br>that drivesustainedvalue for shareholders and<br>promotingafocusonlong-termgrowth.<br>|
| **Useadeferralperiodfor** <br>**compensation**<br>| World | WegenerallyrecommendFORthisresolution <br>when the company has failed our executive<br>compensationtest.<br>|
| **UseGAAPmetricsfor** <br>**compensation**<br>| World | WegenerallyrecommendFORthisresolution <br>when the company has failed our executive<br>compensationtest.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|Directors

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Allowfortheremovalof** <br>**directors without cause**<br>| World |  | We generally recommend FOR the proposal <br>because according to our policy, allowing to <br>remove directors without cause provides <br>flexibilitytotheCompanytomakenecessary <br>changes to its leadership when deemed <br>appropriate. Allowing for the removal of<br>directorswithoutcauseensuresthattheBoard <br>can effectively address issues such as<br>performance concerns and maintain the best <br>interestsoftheCompanyanditsshareholders.<br>|
| **Amend the** <br>**indemnification/liability** <br>**provisions for directors**<br>| World |  | WegenerallyrecommendFORbecause <br>accordingtoourpolicy,approvalofthe<br>indemnification and liability provisions will <br>enable the Company to attract, retain, and <br>motivateitsdirectors,whoseeffortsarecrucial <br>toitslong-termsuccess.Byprovidingdirectors <br>with appropriate protection against personal<br>liability,theCompanyensuresthatdirectorscan <br>make decisions in the best interests of the <br>Company without undue concern about<br>personalfinancialrisks.<br>|
| **Changethesizeofthe** <br>**board of directors**<br>| World |  | WegenerallyrecommendFORiftheboardsize <br>is between 5 and 15.<br>|
| **Classifythe board** | World |  | WegenerallyrecommendAGAINSTbecause <br>accordingtoourpolicy,staggeredtermsfor<br>directorsincreasethedifficultyforshareholders <br>to make fundamental changes to the <br>compositionandbehaviorofaboard.Weprefer <br>that the entire board of a company be elected <br>annuallytoprovideappropriateresponsiveness<br>toshareholders.<br>|
| **CreateaCEOsuccession** <br>**plan**<br>| World |  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,aCEOsuccessionplan <br>would safeguard a smooth transition and<br>alignmentintoanewleadershipwheneverthe <br>need arises, thereby ensuring continuity and <br>shareholder confidence in the Company.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
| **Createakeycommittee** | World | WegenerallyrecommendFORbecause<br>according to our policy, the board of directors <br>shouldestablishkeyBoardcommittees—namely <br>Audit, Compensation, and Nominating<br>committees—composedsolelyofindependent<br>outsidedirectors.Thisstructureensuressound<br>corporate governance practices, enhances<br>objectivity,andstrengthenstheoversightof<br>criticalareaswithintheCompany.<br>|
| **Createanon-key** <br>**committee**<br>| World | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Declassifytheboard** | World | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,staggeredtermsfor<br>directorsincreasethedifficultyforshareholders <br>to make fundamental changes to the <br>compositionandbehaviorofaboard.Weprefer <br>that the entire board of a company be elected <br>annuallytoprovideappropriateresponsiveness <br>to shareholders.<br>|
| **Decreasetherequired** <br>**director experience /**<br>**expertise/diversity**<br>| World | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Designateanindependent** <br>**chairman**<br>| World | WegenerallyrecommendFORbecause<br>according to our policy, there is an inherent <br>potentialconflictinhavinganon-independent <br>director serve as Chairman of the Board. To<br>furtherensureindependenceandaccountability <br>intheboardroom,webelieveitiscrucialforthe <br>Chairman to be independent. This structure <br>enhances effective governance and strengthens <br>the oversight of management, ultimately<br>benefitingtheCompanyanditsshareholders.<br>|
| **Electadirectortoboard** | World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,allowingashareholder <br>toelecta director to a boardis notin the best <br>interests of the Company. Instead, the board <br>should continue to nominate directors for <br>shareholder approval, as they possess the <br>expertise and resources to find the most<br>qualifiedcandidates.<br>|
| **Eliminatetermlimits** | World | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,eliminationofterm<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
|  |  | limitswillhelptheCompanytoattract,retain <br>and motivate directors who can contribute <br>valuable insights and long-term strategic <br>guidance.Thiswillalsoensurecontinuityand <br>strengthen the Company's governance by<br>retainingknowledgeableandcapableleadership<br>ofexperienceddirectors.<br>|
| **Eliminatetheretirement** <br>**age requirement**<br>| World | We generally recommend FOR this proposal <br>because, in accordance with our policy, the <br>Companyanditsshareholdersareinthebest<br>positiontodeterminetheapproachtocorporate <br>governance, particularly board composition.<br>Imposing inflexible rules, such as age limits for <br>outside directors, does not necessarily correlate <br>withreturnsorbenefitsforshareholders.Similar <br>to arbitrary term limits, age limits could force <br>valuable directors off the board solely based on <br>their age, potentially undermining the<br>effectivenessoftheboard.<br>|
| **Ensure compensation** <br>**advisorindependence**<br>| World | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,approvaloftheproposal <br>would recognize the valuable role of a <br>compensation advisor in ensuring that the <br>Company's compensation decisions are made <br>basedonindependentandimpartialadvice.This <br>helpstoensurefairnessandobjectivityinsetting <br>executive compensation, aligning it with the <br>Company's long-termgoalsandbest interestsof<br>itsshareholders.<br>|
| **Establishastakeholder** <br>**position to board**<br>| World | We generallyrecommendAGAINSTbecause <br>accordingtoourpolicy,thecurrentselection<br>process,compositionandskillsetoftheboardof <br>directors already captures stakeholder<br>representation in the board room. As such, <br>approvaloftheproposalwouldberedundant<br>andduplicative.<br>|
| **Introducearetirementage** <br>**requirement**<br>| World | WegenerallyrecommendAGAINSTthisproposal <br>because, in accordance with our policy, the <br>Company and its shareholders are in the best <br>positiontodeterminetheapproachtocorporate <br>governance, particularly board composition.<br>Imposinginflexiblerules,suchasagelimitsfor<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
|  |  | outside directors, does not necessarily correlate <br>withreturnsorbenefitsforshareholders.Similar <br>to arbitrary term limits, age limits could force <br>valuable directors off the board solely based on <br>their age, potentially undermining the<br>effectivenessoftheboard.<br>|
| **Introducetermlimits** | World | WegenerallyrecommendAGAINSTthisproposal <br>because, in accordance with our policy, it would <br>not serve a useful purpose. Having experienced <br>directors on the board is crucial for the <br>Company's long-term success and the<br>enhancementofshareholdervalue.<br>|
| **Requiredirector**<br>**experience / expertise /** <br>**diversityorotherlimitson** <br>**the board**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,itisinthebestinterests <br>of the shareholders for the board and <br>nominating committee to manage the <br>composition and qualifications of the board<br>members.<br>|
| **Requirestockownership** <br>**for directors**<br>| World | WegenerallyrecommendFORifthefollowing <br>conditions are met: 1) The cash value of<br>requiredownershipdoesnotexceedtheone-<br>yearsalaryofthelowest-paiddirectorand2)the<br>directorhasatleast3yearsfromtheirstartdate <br>to meet the requirement.<br>|
| **Separatethechairmanand** <br>**CEO positions**<br>| World | WegenerallyrecommendFORbecause<br>according to our policy we believe that there is <br>aninherentpotentialconflict,inhavinganinside <br>director serve as the Chairman of the board.<br>Consequently,wepreferthatcompanies<br>separatetherolesoftheChairmanandCEOand <br>that the Chairman be independent to further <br>ensureboardindependenceandaccountability.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|Health,Safety,andOperations

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Adoptapaidsickleave** <br>**policy**<br>| World |  | WegenerallyrecommendavoteAGAINST<br>becauseaccordingtoourpolicy,approvingthis <br>proposal would lead to unnecessary costs and <br>expenses. Additionally, this policy is not<br>universallyapplicable,asitwouldonlyaffectthe <br>Company's non-unionized employees. In<br>contrast, unionized employees are typically <br>governedbycollectivebargainingagreements <br>that address such matters.<br>|
| **Modifybusinessoperations** <br>**with a high-risk country,**<br>**entity,region,etc.**<br>| World |  | WegenerallyrecommendFORifthecountryhas <br>a score of 4 from the U.S. Department of State<br>traveladvisories.<br>|
| **Reducesales/marketingof** <br>**alcohol products/services**<br>| World |  | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,approvaloftheproposal <br>isunnecessaryastheCompanyalreadycomplies <br>with the applicable federal laws and regulations <br>andgiventheCompany'snatureofbusiness,we <br>believe that approval of the proposal would<br>significantlyimpactitsoperations.<br>|
| **Reducesales/marketingof** <br>**drug products/services**<br>| World |  | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,approvaloftheproposal <br>isunnecessaryastheCompanyalreadycomplies <br>with the applicable federal laws and regulations <br>andgiventheCompany'snatureofbusiness,we <br>believe that approval of the proposal would<br>significantlyimpactitsoperations.<br>|
| **Reduce sales/marketing of** <br>**gambling products/services**<br>| World |  | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,approvaloftheproposal <br>isunnecessaryastheCompanyalreadycomplies <br>with the applicable federal laws and regulations <br>andgiventheCompany'snatureofbusiness,we <br>believe that approval of the proposal would<br>significantlyimpactitsoperations.<br>|
| **Reducesales/marketingof** <br>**other products/services**<br>| World |  | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,approvaloftheproposal <br>is unnecessary as the Company is already<br>requiredtocomplywithapplicablefederallaws<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
|  |  | andregulationsandgiventheCompany'snature <br>of business, we believe that approval of the <br>proposal would significantly impact its<br>operations.<br>|
| **Reducesales/marketingof** <br>**pornography**<br>**products/services**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,approvaloftheproposal <br>would significantly impact the Company's <br>business operations.<br>|
| **Reducesales/marketingof** <br>**tobacco/vape**<br>**products/services**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,approvaloftheproposal <br>isunnecessaryastheCompanyalreadycomplies <br>with the applicable federal laws and regulations <br>andgiventheCompany'snatureofbusiness,we <br>believe that approval of the proposal would<br>significantlyimpactitsoperations.<br>|
| **Reduce sales/marketing of** <br>**unhealthyfoods/beverages**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,theCompanyisalready <br>addressing the issues related to the<br>consumption of its products through its <br>sustainabilityandcurrentmarketinginitiatives.<br>|
| **Reducesales/marketingof** <br>**weaponproducts/services**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,theCompanyhasin<br>place extensive procedures to ensure that<br>weaponsalesaremadeinstrictcompliancewith<br>allapplicableUnitedStateslawsandregulations.<br>|
| **Reportonartificial** <br>**intelligence**<br>| World | WegenerallyrecommendavoteAGAINST<br>because according to our policy, the proposed <br>report on artificial intelligence would be an <br>unnecessaryadditiontotheCompany'sexisting <br>efforts in AI reporting. Also, approval of the <br>proposal would pose significant administrative <br>costs and financial burden to the Company.<br>|
| **Reportoncontent** <br>**management**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,approvalofthisproposal <br>would result in the Company incurring<br>unnecessary costs andexpenses. Additionally, it <br>is in the best interests of shareholders for the<br>boardtomanagetheCompany'sdisclosuresand <br>risks.<br>|
| **Reportoncybersecurity** | World | WegenerallyrecommendAGAINSTunlessthe <br>Company receives a failing grade on their<br>cybersecurityriskscore.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
| **Reportondataprivacy** | World | We generally recommend AGAINST when the <br>reportisclearlyandfullyredundantwithother<br>reportingrequiredoftheCompany.<br>|
| **Reportonhigh-riskcountry** <br>**operations**<br>| World | We generally recommend AGAINST when the <br>reportisclearlyandfullyredundantwithother<br>reportingrequiredoftheCompany.<br>|
| **Reportonintellectual** <br>**property transfers**<br>| World | We generally recommend AGAINST because <br>accordingtoourpolicyandgiventhecurrent <br>applicable laws and regulations that the<br>Company must comply with, we do not believe <br>thattherequestedreportwouldaddmeaningful <br>value to the policies, processes, practices, and <br>resourcesthatarealreadyinplace.Additionally, <br>approval of this proposal would result in the <br>Company incurring unnecessary costs and <br>expenses as it is in the best interests of<br>shareholdersfortheboardtomanagethe <br>Company's disclosures and risks.<br>|
| **Reportonmaternalhealth** <br>**outcomes**<br>| World | We generally recommend AGAINST because <br>accordingtoourpolicyandgiventhecurrent <br>applicable laws and regulations that the<br>Company must comply with, we do not believe <br>thattherequestedreportwouldaddmeaningful <br>value to the policies, processes, practices, and <br>resourcesthatarealreadyinplace.Additionally, <br>approval of this proposal would result in the <br>Company incurring unnecessary costs and <br>expenses as it is in the best interests of<br>shareholdersfortheboardtomanagethe <br>Company's disclosures and risks.<br>|
| **Reportonplantclosure** <br>**community impacts**<br>| World | We generally recommend AGAINST because <br>accordingtoourpolicyandgiventhecurrent <br>applicable laws and regulations that the<br>Company must comply with, we do not believe <br>thattherequestedreportwouldaddmeaningful <br>value to the policies, processes, practices, and <br>resourcesthatarealreadyinplace.Additionally, <br>approval of this proposal would result in the <br>Company incurring unnecessary costs and <br>expenses as it is in the best interests of <br>shareholders for the board to manage the<br>Company'sdisclosuresandrisks.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
| **Report on product** <br>**information/production**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,approvalofthisproposal <br>would result in the Company incurring<br>unnecessary costs and expenses by duplicating <br>effortsthatarealreadyunderwayandproviding <br>additional reports with information that is<br>alreadyavailabletoshareholders.<br>|
| **Report on product pricing/**<br>**distribution**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,approvalofthisproposal <br>would result in the Company incurring<br>unnecessary costs and expenses by duplicating <br>effortsthatarealreadyunderwayandproviding <br>additional reports with information that is<br>alreadyavailabletoshareholders.<br>|
| **Reportonpublichealth** <br>**risks**<br>| World | We generally recommend AGAINST because <br>accordingtoourpolicyandgiventhecurrent <br>applicable laws and regulations that the<br>Company must comply with, we do not believe <br>thattherequestedreportwouldaddmeaningful <br>value to the policies, processes, practices, and <br>resourcesthatarealreadyinplace.Additionally, <br>approval of this proposal would result in the <br>Company incurring unnecessary costs and <br>expenses as it is in the best interests of <br>shareholders for the board to manage the<br>Company'sdisclosuresandrisks.<br>|
| **Report on suppliers /** <br>**partners/customers/** <br>**sales**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,approvalofthisproposal <br>would result in the Company incurring<br>unnecessary costs andexpenses. Additionally, it <br>is in the best interests of shareholders for the <br>boardtomanagetheCompany'sdisclosuresand<br>risks.<br>|
| **Reportonworkerhealth** <br>**and safety**<br>| World | We generally recommend AGAINST when the <br>reportisclearlyandfullyredundantwithother<br>reportingrequiredoftheCompany.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|HumanResourcesandRights

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Addressfairlending** | World |  | WegenerallyrecommendAGAINSTtheproposal <br>because, according to our policy, it would not <br>meaningfully improve the Company's existing <br>robust policies and risk oversight structure, nor <br>enhance any current disclosures that provide <br>shareholders with meaningful information on <br>how the Company addresses and oversees risks <br>related to discrimination. Additionally, we are <br>concerned that such an evaluation could, in <br>today's highly litigious environment,<br>inadvertentlyprovidearoadmapforlawsuits <br>against the Company, potentially leading to<br>significantlegalcostsforshareholdersinthe<br>longterm.<br>|
| **Addressincomeinequality** | World |  | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,theCompany'sexisting <br>compensation processes are guided by the <br>fundamentalprinciplethatdecisionsaremade <br>on the basis of the individual's personal<br>capabilities,qualificationsandcontributionsto <br>the Company's needs and not on gender.<br>Moreover,giventheCompany'scurrentefforts <br>to equal employment opportunity, we believe <br>that approval of this proposal will accrue<br>unnecessarycostsandadministrativeburdento<br>the Company.<br>|
| **Addresslabordisputes** | World |  | WegenerallyrecommendAGAINSTthisproposal <br>because, in accordance with our policy, the <br>Company has already addressed the labor <br>concerns raised in the proposal. As such, <br>approval ofthe requested report is unnecessary <br>and would result in significant administrative <br>costs, diverting Company resources from more<br>relevantandmeaningfulpriorities.<br>|
| **Addresssexualharassment** <br>**complaints**<br>| World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
| **Adopt an anti-**<br>**discriminationpolicy**<br>| World | WegenerallyrecommendAGAINSTbecause <br>according to our policy, this could put the<br>Companyinanuncompetitivepositioninterms <br>of hiring prospective talents due to the rigid <br>requirements of the proposal.<br>|
| **Adoptdiversity-based** <br>**hiring**<br>| World | WegenerallyrecommendAGAINSTbecause <br>according to our policy, this could put the<br>Companyinanuncompetitivepositioninterms <br>of hiring prospective talents due to the rigid<br>requirementsoftheproposal.<br>|
| **Adoptmerit-basedhiring** | World | WegenerallyrecommendAGAINSTbecause <br>according to our policy, this could put the<br>Companyinanuncompetitivepositioninterms <br>of hiring prospective talents due to the rigid <br>requirements of the proposal.<br>|
| **Becomeapublicbenefit** <br>**corporation**<br>| World | WegenerallyrecommendAGAINSTbecause <br>according to our policy, the proposal is not <br>necessary and is not in the best long-term<br>interestoftheCompanyanditsshareholders.<br>|
| **Provideahumanrights** <br>**impact assessment**<br>| World | WegenerallyrecommendavoteAGAINST <br>because, while human rights impact<br>assessments(HRIAs)arevaluableforidentifying <br>and mitigating risks, mandating rigid reporting <br>can undermine their effectiveness. Such <br>reporting requirements may encourage <br>superficial compliance without meaningful<br>humanrightsimprovements.<br>|
| **Provideareportpromoting** <br>**DEI practices**<br>| World | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Reportonabortionpolicy** | World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,providingareportona <br>highly sensitive topic could cause divisiveness <br>amongtheCompany,itsemployees,customers <br>and shareholders. The complexity of views<br>drawnfromreportingthepoliciesonabortionor <br>something similar could pose significant<br>reputational and legal risks for the Company <br>whichcouldsubsequentlyaffectitsoperations<br>andperformance.<br>|
| **Report on collective** <br>**bargaining/unionrelations**<br>| World | WegenerallyrecommendAGAINSTthisproposal <br>because, in line with our policy and given the<br>Company'scompliancewithapplicablelaws<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
|  |  | regardingfreedomofassociation,webelieveits <br>approval would not provide additional benefits <br>to employees or create further value for<br>shareholders.<br>|
| **Reportonfetaltissueuse** | World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,providingareportona <br>highly sensitive topic could cause divisiveness <br>amongtheCompany,itsemployees,customers <br>and shareholders. The complexity of views<br>drawnfromreportingthepoliciesonfetaltissue <br>use or something similar could pose significant <br>reputational and legal risks for the Company<br>whichcouldsubsequentlyaffectitsoperations <br>and performance.<br>|
| **Reportonhuman** <br>**trafficking**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicyandgiventheCompany's<br>currentpolicieswhicheffectivelyarticulatetheir<br>long-standing support for, and continued<br>commitmentto,humanrights,theproposal<br>wouldbeduplicativeandunnecessary.<br>|
| **Reportoninvitro** <br>**fertilization**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,providingareportona <br>highly sensitive topic could cause divisiveness <br>amongtheCompany,itsemployees,customers <br>and shareholders. The complexity of views<br>drawnfromreportingthepoliciesonabortionor <br>something similar could pose significant<br>reputational and legal risks for the Company <br>whichcouldsubsequentlyaffectitsoperations <br>and performance.<br>|
| **Report on prison/slave/**<br>**childlabor**<br>| World | We generally recommend AGAINST because <br>accordingtoourpolicyandgiventhecurrent <br>applicable laws and regulations that the<br>Company must comply with, we do not believe <br>thattherequestedreportwouldaddmeaningful <br>value to the policies, processes, practices, and <br>resourcesthatarealreadyinplace.Additionally, <br>approval of this proposal would result in the <br>Company incurring unnecessary costs and <br>expenses as it is in the best interests of <br>shareholders for the board to manage the<br>Company'sdisclosuresandrisks.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
| **Report on sexual** <br>**harassmentcomplaints**<br>| World | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Reportonthecosts/risksof** <br>**DEI practices**<br>| World | WegenerallyrecommendAGAINSTthisproposal <br>because, in accordance with our policy, <br>conducting a cost/benefit report or a stand-<br>alone DEI audit by the Company or a group <br>acting on its behalf could potentially uncover <br>violations of regulations or laws, which could <br>pose both legal and reputational risks.<br>Additionally,weareconcernedthatsuchreport <br>could, in our highly litigious society, serve as a <br>roadmap for lawsuits against the Company, <br>potentially leading to significant costs for<br>shareholdersinthelongterm.<br>|
| **Reportonworker** <br>**misclassification**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,approvaloftheproposal <br>would not create additional benefits to the<br>employeesorvaluefortheshareholders.<br>|
| **Request the company** <br>**ceaseorre-evaluateDEI** <br>**activities**<br>| World | WegenerallyrecommendAGAINSTthisProposal <br>because, according to our policy, requests to<br>cease or re-evaluate DEI activities risk <br>undermining the significant benefits that <br>diversity,equity,andinclusionbringtothe<br>company.Scalingbacktheseeffortscouldalso<br>negativelyaffecttalentattraction,retention,and <br>overall company performance.<br>|
| **Rescindtheracialequity** <br>**audit**<br>| World | WegenerallyrecommendavoteAGAINST<br>because, according to our policy, the proposed <br>rescinding ofthe racial audit undermines efforts <br>toassesstheimpactsoftheCompany'sdiversity, <br>equity, and inclusion (DEI) practices. Racial <br>auditsareessentialinidentifyingandaddressing <br>disparities, and reversing this initiative would<br>limitshareholders'abilitytoevaluatethe<br>materialityandeffectivenessoftheCompany's<br>DEI efforts.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|LegalandCompliance

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Adoptexclusiveforum** <br>**bylaws**<br>| World |  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,havinganexclusive <br>forum will allow the Company to address <br>disputes and litigations in an exclusive <br>jurisdiction,withfamiliarityofthelaw,and <br>reducetheadministrativecostandburden<br>relatedtosettlement.<br>|
| **Relinquish intellectual** <br>**property**<br>| World |  | WegenerallyrecommendAGAINSTbecause<br>according to our policy the proposal would not <br>meaningfullyimprovetheCompany'sdisclosure <br>and reporting policies in place but is rather <br>duplicative of its current efforts in addressing <br>issues with product access and pricing.<br>|
| **Reportonconcealment** <br>**clauses**<br>| World |  | We generally recommend AGAINST because <br>accordingtoourpolicyandgiventhecurrent <br>applicable laws and regulations that the<br>Company must comply with, we do not believe <br>thattherequestedreportwouldaddmeaningful <br>value to the policies, processes, practices, and <br>resourcesthatarealreadyinplace.Additionally, <br>approval of this proposal would result in the <br>Company incurring unnecessary costs and <br>expenses as it is in the best interests of<br>shareholdersfortheboardtomanagethe <br>Company's disclosures and risks.<br>|
| **Reportonemployee** <br>**arbitration claims**<br>| World |  | WegenerallyrecommendAGAINSTthisproposal <br>because, in accordance with our policy, it<br>presentsaone-size-fits-allapproachthatcould <br>adversely impact the Company's ability to<br>effectivelyusearbitration.<br>|
| **Reportonpatentprocess** | World |  | WegenerallyrecommendAGAINSTbecause<br>according to our policy the proposal would not <br>meaningfullyimprovetheCompany'sdisclosure <br>and reporting policies in place and we do not<br>believethereportwouldresultinanyadditional <br>benefit to shareholders.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
| **Reportonwhistleblowers** | World | We generally recommend AGAINST because <br>accordingtoourpolicyandgiventhecurrent <br>applicable laws and regulations that the<br>Company must comply with, we do not believe <br>thattherequestedreportwouldaddmeaningful <br>value to the policies, processes, practices, and <br>resourcesthatarealreadyinplace.Additionally, <br>approval of this proposal would result in the <br>Company incurring unnecessary costs and <br>expenses as it is in the best interests of <br>shareholders for the board to manage the<br>Company'sdisclosuresandrisks.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|M&A/Structure

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Makeaself-tenderoffer** | World |  | WegenerallyrecommendAGAINSTbecause <br>according to our policy, the proposal is not <br>necessary and is not in the best long-term<br>interestoftheCompanyandits shareholders.<br>|
| **Removeanantitakeover** <br>**provision(s)**<br>| World |  | We generally recommend AGAINST because <br>according to our policy, removal of the <br>Company'santitakeoverprovisionsmayleave<br>the Company vulnerable to a hostile takeover. <br>Additionally,thecurrentantitakeoverprovisions <br>providemoretimeformanagementtoconsider <br>offers and negotiate better terms.<br>|
| **RequestanM&A/** <br>**restructure**<br>| World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Ratifyapoisonpill** | World |  | WegenerallyrecommendavoteFORbecause<br>accordingtoourpolicy,approvaloftheproposal <br>will acknowledge both the advantages and<br>inherentrisksofimplementingashareholder<br>rightsplan,orpoisonpill.Whiletheseplanscan <br>deter hostile takeovers, they also carry the risk <br>of management entrenchment in some cases. <br>Ensuringthat shareholdersare given avoiceon <br>the advisability of such a plan is crucial to <br>safeguarding the Company from these risks, <br>promoting transparency, and maintaining a <br>balance between protecting shareholder<br>interestsandpreventingpotentialmisuseofthe<br>plan.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|Mutual Fund

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Converttheclosed-end**<br>**fundtoanopen-endfund**<br>| World |  | WegenerallyrecommendavoteAGAINSTthis <br>proposal because, according to our policy, a <br>closed-end fund structure tends to provide<br>higher returns to shareholders, as the value of <br>shares is influenced by market dynamics, which <br>canresultintradingatapremiumordiscountto <br>NAV. Additionally, closed-end funds often<br>generate higher income by utilizing leverage, <br>makingthemparticularlyattractivetoincome-<br>focused investors.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|Other

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **AdoptMacBridePrinciples,** <br>**Sullivan Principles, or** <br>**similar**<br>| World |  | We generally recommend AGAINST because <br>adoptionofthisproposalwouldbeduplicative <br>and would make the Company unnecessarily<br>accountable to different sets of overlapping fair <br>employmentguidelinesthatarealreadycovered<br>inits policies.<br>|
| **Approveothercompany** <br>**policies**<br>| World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Disassociatefromindustry** <br>**associations**<br>| World |  | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,companiesbenefitfrom <br>industry associations, especially when it comes <br>to influential policies that can directly affect <br>businesses. As such, disassociation from such <br>groups could potentially pose potential<br>reputational and systemicrisks that couldbe<br>detrimentaltotheCompany'sbusinessinthe<br>long-run.<br>|
| **Prepareanindependent** <br>**third-party audit**<br>| World |  | WegenerallyrecommendAGAINSTthisproposal <br>because, in accordance with our policy, <br>conducting a stand-alone audit by the Company <br>or a group acting on its behalf could potentially <br>reveal violations of regulations and laws, which <br>could be legally and reputationally problematic.<br>Additionally, we are concerned that such an <br>audit could, in our highly litigious society, <br>provide a roadmap for lawsuits against the <br>Company,whichcouldresultinsignificantcosts<br>forshareholdersoverthelongterm.<br>|
| **Reportonanothermatter** | World |  | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|
| **Reportonkey-personrisk** | World |  | WegenerallyrecommendFORbecause<br>according to our policy, the requested report <br>would be beneficial to the Company in <br>mitigating risks associated with key persons <br>whoseservicesandcontributionsarecrucialto<br>itssuccess.Additionally,theproposalwould<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

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| | | |
|:---|:---|:---|
|  |  | enabletheCompanytodevelopeffective<br>successionplans,ensuringcontinuityand<br>minimizing disruption in the event ofthe<br>departureofthesekeyindividuals.<br>|
| **Reimburseproxycontest** <br>**expenses**<br>| World | Thisproposalisconsideredonacase-by-case <br>basis by the guidelines committee.<br>|

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**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|Politics

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| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Reportoncharitable** <br>**contributions**<br>| World |  | WegenerallyrecommendAGAINSTthisproposal <br>because, in accordance with our policy, the <br>Company already carefully evaluates and<br>reviews its charitable activities, and makes <br>information about its corporate giving publicly <br>available.Wedonotbelievethatimplementing <br>the proposal would justify the administrative <br>costs and efforts, nor would it provide a<br>meaningfulbenefittotheCompany's <br>shareholders.<br>|
| **Reportongovernment** <br>**financial support**<br>| World |  | We generally recommend AGAINST because <br>accordingtoourpolicyandgiventhecurrent <br>applicable laws and regulations that the<br>Company must comply with, we do not believe <br>thattherequestedreportwouldaddmeaningful <br>value to the policies, processes, practices, and <br>resourcesthatarealreadyinplace.Additionally, <br>approval of this proposal would result in the <br>Company incurring unnecessary costs and <br>expenses as it is in the best interests of <br>shareholders for the board to manage the<br>Company'sdisclosuresandrisks.<br>|
| **Reportonlobbying** <br>**expenditures**<br>| World |  | We generally recommend AGAINST because <br>accordingtoourpolicyandgiventhecurrent <br>applicable laws and regulations that the<br>Company must comply with, we do not believe <br>thattherequestedreportwouldaddmeaningful <br>value to the policies, processes, practices, and <br>resourcesthatarealreadyinplace.Additionally, <br>approval of this proposal would result in the <br>Company incurring unnecessary costs and <br>expenses as it is in the best interests of <br>shareholders for the board to manage the<br>Company'sdisclosuresandrisks.<br>|
| **Report on partnerships** <br>**withpolitical(orglobalist)**<br>**organizations**<br>| World |  | We generally recommend AGAINST because <br>accordingtoourpolicyandgiventhecurrent<br>applicablelawsandregulationsthatthe<br>|

---

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

---

| | | |
|:---|:---|:---|
|  |  | Company must comply with, we do not believe <br>thattherequestedreportwouldaddmeaningful <br>value to the policies, processes, practices, and <br>resourcesthatarealreadyinplace.Additionally, <br>approval of this proposal would result in the <br>Company incurring unnecessary costs and <br>expenses as it is in the best interests of <br>shareholders for the board to manage the<br>Company'sdisclosuresandrisks.<br>|
| **Reportonpolitical** <br>**contributions**<br>| World | We generally recommend AGAINST because <br>accordingtoourpolicyandgiventhecurrent <br>applicable laws and regulations that the<br>Company must comply with, we do not believe <br>thattherequestedreportwouldaddmeaningful <br>value to the policies, processes, practices, and <br>resourcesthatarealreadyinplace.Additionally, <br>approval of this proposal would result in the <br>Company incurring unnecessary costs and <br>expenses as it is in the best interests of <br>shareholders for the board to manage the<br>Company'sdisclosuresandrisks.<br>|
| **Reportonpublicpolicy** <br>**advocacy**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicyandgiventheCompany's <br>policiesandoversightmechanismsrelatedto its <br>political contributions and activities, we believe <br>that the shareholder proposal is unnecessary <br>and will not result in any additional benefit to<br>theshareholders.Rather,theproposalpromotes <br>impractical and imprudent actions that would<br>negativelyaffectthebusinessandresults.<br>|
| **Revokeapublicpolicy** <br>**endorsement**<br>| World | We generally recommend AGAINST because <br>accordingtoourpolicy,politicalendorsement<br>andspendingisanintegralpartofabusiness,as <br>Companies should have a voice on policies<br>affecting them. As such, approval of this <br>proposal will strictly limit the Company's<br>flexibilityinsupportingtheadvocaciesthatare <br>congruent with its business.<br>|
| **Supportapublicpolicy** <br>**endorsement**<br>| World | WegenerallyrecommendAGAINSTbecause<br>accordingtoourpolicy,althoughtheCompany <br>must comply with federal, state, and local<br>campaignfinanceandlobbyingregulationsthat<br>|

---

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

arecurrentlyinplace,webelievethatpolitical <br>endorsements, often in the form of<br>contributions,increasethepossibilityof<br>misalignmentwithcorporatevalueswhichin <br>turn could lead to reputational risks.<br>

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|ShareholderRights

---

| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Adoptafair**<br>**elections/advancenotice** <br>**bylaw**<br>| Canada |  | WegenerallyrecommendFORwhenthepolicy<br>stipulatesthatnominationsmustbesubmitted<br>no later than 30-65 days before the annual<br>meeting and that nominations must be<br>submittednoearlierthan30-65daysprior to<br>theannual meeting.<br>|
| **Adoptafair**<br>**elections/advancenotice** <br>**bylaw**<br>| UnitedStates |  | WegenerallyrecommendFORwhenthepolicy <br>stipulatesthatnominationsmustbesubmitted <br>no later than 60-90 days prior to the annual <br>meeting and that nominations must be<br>submittednoearlierthan120-150dayspriorto <br>the annual meeting.<br>|
| **Adopt/increaseproxy** <br>**access**<br>| World |  | We generally recommend FOR when the <br>proposedownershiprequirementisatleast3%.<br>|
| **Allow virtual-only** <br>**shareholdermeetings**<br>| World |  | WerecommendAGAINSTthisProposal,because <br>according to our policy, virtual meetings should <br>complement,notreplace,in-personshareholder <br>meetings, as relying solely on them may<br>underminetransparencyandshareholder<br>participation.<br>|
| **Establishtherighttocalla** <br>**special meeting**<br>| World |  | WegenerallyrecommendFORiftheproposal<br>willstrengthenshareholderrights(i.e.lowerthe <br>threshold required to call a special meeting).<br>|
| **Introducetherighttoact** <br>**by written consent**<br>| World |  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,therighttoacton <br>written consent allows an increased <br>participationofshareholdersinthevoting <br>process,therebydemocratizingvotingand <br>giving shareholders the right to act<br>independentlyfromthemanagement.<br>|
| **Opposetherighttoactby** <br>**written consent**<br>| World |  | WegenerallyrecommendAGAINSTbecause <br>according to our policy, the right to act on <br>written consent allows an increased <br>participation of shareholders in the voting <br>process, thereby democratizing voting and <br>giving the shareholders the right to act<br>independentlyfromthemanagement.<br>|

---

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

---

| | | |
|:---|:---|:---|
| **Requireshareholder** <br>**approval for bylaw** <br>**amendments**<br>| World | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,approvaloftheproposal <br>will ensure that shareholders have a voice in <br>revising or adopting the bylaws which could <br>compromise their interests.<br>|

---

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**Proposalsbyshareholders**\|Voting

---

| | | | |
|:---|:---|:---|:---|
| **Proposal** | **Region(s)to** <br>**Include**<br>| **Region(s)to** <br>**Exclude**<br>| **VoteRecommendation** |
| **Adoptamajorityvotefor** <br>**director election**<br>| World |  | WegenerallyrecommendavoteFORbecause <br>according to our policy, a majority vote<br>requirementinboardroomelectionsenhance <br>director accountability to shareholders. This <br>standard ensures that shareholder <br>dissatisfactionwithdirectorperformancehas <br>tangible consequences, transforming the<br>electionprocessfromamereformalityintoone <br>that truly reflects shareholders' voices.<br>|
| **Adoptconfidentialvoting** | World |  | WegenerallyrecommendFORbecause<br>accordingtoourpolicy,approvaloftheproposal <br>will preserve the confidentiality and integrity of <br>vote outcomes.<br>|
| **Approvecumulativevoting** | World |  | WegenerallyrecommendAGAINSTbecause<br>according to our policy cumulative voting could <br>makeitpossibleforanindividualshareholderor <br>group of shareholders with special interests to<br>elect one or more directors to the Company's <br>Boardofdirectorstorepresenttheirparticular <br>interests. Such a shareholder or group of <br>shareholders could have goals that are <br>inconsistent, and could conflict with, the<br>interestsandgoalsofthemajorityofthe <br>Company's shareholders.<br>|
| **Approve/increase** <br>**supermajorityvoting**<br>| World |  | WegenerallyrecommendAGAINSTbecause<br>according to our policy, a simple majority vote <br>will strengthen the Company's corporate <br>governancepractice.Contrarytosupermajority <br>voting, a simple majority standard will give the <br>shareholders equal and fair representation in<br>the Company by limiting the power of <br>shareholders who own a large stake in the <br>entity,therefore,pavingthewayforamore<br>meaningfulvotingoutcome.<br>|
| **Eliminatecumulative** <br>**voting**<br>| World |  | WegenerallyrecommendFORbecause<br>according to our policy cumulative voting could <br>makeitpossibleforanindividualshareholderor<br>|

---

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

---

| | | |
|:---|:---|:---|
|  |  | groupofshareholderswithspecialintereststo <br>elect one or more directors to the Company's <br>Boardofdirectorstorepresenttheirparticular <br>interests. Such a shareholder or group of <br>shareholders could have goals that are <br>inconsistent, and could conflict with, the<br>interestsandgoalsofthemajorityofthe<br>Company'sshareholders.<br>|
| **Eliminate or reduce** <br>**supermajorityvoting**<br>| World | WegenerallyrecommendFORbecause<br>according to our policy, a simple majority vote <br>will strengthen the Company's corporate <br>governancepractice.Contrarytosupermajority <br>voting, a simple majority standard will give the <br>shareholders equal and fair representation in<br>the Company by limiting the power of <br>shareholderswhoownalargestakeintheentity <br>and paving the way for a more meaningful<br>votingoutcome.<br>|
| **Promoteequalvoting** <br>**rights**<br>| World | WegenerallyrecommendFORbecause<br>according to our policy, a differential in voting <br>power may have the effect of denying <br>shareholderstheopportunitytovoteonmatters <br>of critical economic importance to them. In <br>order to provide equal voting right to all <br>shareholders, we prefer that companies do not<br>utilizemultipleclasscapitalstructures.<br>|
| **Restrictnominationof** <br>**directors**<br>| World | WegenerallyrecommendavoteFORbecause, <br>according to our policy, a simple majority <br>requirement in director elections, combined <br>with a mandatory resignation policy and <br>prohibition on the renomination of directors, <br>ensures that the election results accurately <br>reflectshareholdersentiment.Specifically,this<br>approachaddressessituationswhereadirector <br>receives less than a majority of votes, aligning<br>theelectionoutcomewithshareholder<br>expectationsandmaintainingeffective<br>governance.<br>|
| **Tabulateproxyvoting** | World | WegenerallyrecommendFORbecause<br>according to our policy, adoption of proxy <br>tabulationsimplifiesthevotingprocesswithout <br>compromising transparency or shareholder<br>|

---

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

participation.Thisstreamlinedapproachensures <br>that shareholder votes are accurately counted <br>and reported, making it easier for investors to<br>engageinthedecision-makingprocess.Atthe <br>same time, it preserves the integrity and<br>transparency of the voting process, ensuring <br>thatallshareholdershaveanequalopportunity <br>to influence key decisions while promoting<br>efficientgovernancepractices.<br>

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**IV.LegalDisclaimer**

DISCLAIMER© 2025 Egan-Jones Proxy Services, a division of Egan-Jones Ratings Company and/

or its affiliates. All Rights Reserved. This document is intended to provide a general overviewof

Egan-JonesProxyServices'proxyvotingmethodologies.Itisnotintendedtobe exhaustive and

does not address all potential voting issues or concerns. Egan-Jones Proxy

Services'proxyvotingmethodologies,astheyapplytocertainissuesortypesofproposals,are

explained in more detail in reference files on Egan-Jones Proxy Services' website –

<u>http://www.ejproxy.com</u>.Thesummariescontainedhereinshouldnotbereliedonandauseror

client, or prospective user or client, should review the complete methodologies and discuss

theirapplicationwitharepresentativeofEgan-JonesProxyServices.Thesemethodologieshave

not been set or approved by the U.S. Securities and Exchange Commission or any other

regulatorybodyintheUnitedStatesorelsewhere.Norepresentationsorwarranties,expressor

implied, are made regarding the accuracy or completeness of any information included herein.

In addition, Egan-Jones Proxy Services shall notbe liable foranylosses ordamages arising from,

orinconnectionwith,theinformationcontainedherein,ortheuseof,relianceon,orinabilityto

use any such information. Egan-Jones Proxy Services expects its clients and users to possess

sufficient experience and knowledge to make their own decisions entirely independent of any

informationcontainedinthisdocumentorthemethodologyreferencefilescontainedon

<u>http://www.ejproxy.com</u>.

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**AppendixA:DirectorClassification**

Many of our off-the-shelf policies consider whether a director is independent, an insider, or an

affiliatedoutsidedirectorforelectionofdirectorproposals.Thisdocumentseekstobringclarity

as to how Egan-Jones classifies directors.

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**InsideDirector**

Adirectorisconsideredtobeaninsidedirector(non-independent)ifanyofthefollowingaretrue:

1)Currentemployeeor currentofficer<sup>2</sup>ofthecompanyoroneofitsaffiliates<sup>3</sup>

2)Currentemployeeofmajority shareholder(morethan50percent).

3)Beneficialownerofmorethan50percentofthecompany'svotingpoweroremployeeofbeneficialowner(thismay

beaggregatedifvotingpowerisdistributedamongmorethanonememberofagroup).

4)DirectornamedintheSummaryCompensationTable(excludingformerinterimofficers)

2Thedefinitionofofficerwillgenerallyfollowthatofa"Section1cofficer"(officerssubjecttoSection1coftheSecuritiesandExchangeActof1934)

and includes the chief executive, operating, financial, legal, technology, and accounting officers of a company (including the president, treasurer,

secretary,controller,oranyvicepresidentinchargeofaprincipal businessunit, division,orpolicyfunction).Currentinterimofficersareincludedin

this category. For private companies, the equivalent positions are applicable. A non-employee director serving as an officer due to statutory

requirements(e.g. corporate secretary) will be classified as an Affiliated Outsider due to material relationships with the company. However, if the

company provides explicit disclosure that the director is not receiving additional compensation in excess of $10,000 per year for serving in that

capacity,thenthedirectorwillbeclassifiedasanIndependentOutsider.

3"Affiliate"includesasubsidiary,siblingcompany,orparentcompany.Egan-Jonesuses50%controlownershipbytheparentcompanyasthe

standard for applying its affiliate designation.

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**AffiliatedOutsideDirector**

Adirectorisconsideredtobeanaffiliatedoutsidedirector(non-independent)ifanyofthefollowingaretrue:

**1)Tenure**

a.DirectorwhosetenureontheBoardis10yearsormore

**2)FormerCEO/InterimOfficer**

a.FormerCEOofthecompanywithinthepastfiveyears<sup>4</sup>,<sup>5</sup>.

b.FormerCEOofanacquiredcompanywithinthepastfiveyears.

c.Formerinterimofficeriftheservicewaslongerthan6months.

**3)Non-CEOExecutives:**

a.FormerexecutivesofmergedcompaniesthatsitontheBoardofthenewlyformedcompany.

b.Officerofaformerparentorpredecessorfirmatthetimethecompanywassoldorsplit

offfromthe parent/predecessor within the past five years.

c.Officer, formerofficer,orgeneralorlimitedpartnerofajointventureor

partnership with the company.

d.FounderoftheCompany

e.Directordeclarednon-independentbytheCompany

**4)FamilyMember:**

a.Adirectorwhoisanimmediatefamilymember<sup>6</sup>ofacurrentorformerofficerofthecompanyorits

affiliates within the last five years.

**5)Transactional,Professional,Financial,andCharitableRelationships**

a.Currentlyprovides(orwhoseimmediatefamilymemberprovides)professionalservices<sup>7</sup>tothecompany,

to an affiliate of the company or an individual officer of the company or one of its affiliates.

4IncludesanyformerCEOofthecompanypriortothecompany'sinitialpublicoffering(IPO).

5When there is a former CEO of a special purpose acquisition company (SPAC) serving on the board of an acquired company, Egan-Jones will

generally classify such directors as independent unless determined otherwise taking into account the following factors: the applicable listing

standardsdeterminationofsuchdirector'sindependence;anyoperatingtiestothefirm;andtheexistenceofanyotherconflictingrelationshipsor

related party transactions.

6"Immediate family member" follows the SEC's definition of such and covers spouses, parents, children, step- parents, stepchildren, siblings, in-

laws,andanyperson(otherthanatenantoremployee)sharingthehouseholdofanydirector,nomineefordirector,executiveofficer,orsignificant

shareholder of the company.

7Professionalservicescanbecharacterizedasadvisoryinnature,generallyinvolveaccesstosensitivecompanyinformationortostrategicdecision-

making, and typically have a commission- or fee-based payment structure. Professional services generally include, but are not limited to the

following: investment banking/financial advisory services; commercial banking (beyond deposit services); investment services; insurance services;

accounting/auditservices;consultingservices;marketingservices;legalservices;propertymanagementservices;realtorservices;lobbyingservices;

executive search services; and IT consulting services. The following would generally be considered transactional relationships and not professional

services: deposit services; IT tech support services; educational services; and construction services. The case of participation ina banking syndicate

by a non-lead bank should be considered a transactional (and hence subject to the associated materiality test) rather than a professional

relationship. "Of Counsel" relationships are only considered immaterial if the individual does not receive any form of compensation from, or is a

retiredpartnerof,thefirmprovidingtheprofessionalservice.Thecaseofacompany providingaprofessionalservicetooneofitsdirectorsortoan

entity with which one of its directors is affiliated, will be considered a transactional rather than a professional relationship. Insurance services and

marketing services are assumed to be professional services unless the company explains why such services are not advisory.

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

b.Is(orwhoseimmediatefamilymemberis)apartnerin,oracontrollingshareholderoranemployeeof,

anorganizationwhichprovidesprofessionalservicestothecompany,toanaffiliateofthecompany,or

an individual officer of the company or one of its affiliates.

c.Ifadirector'simmediatefamilymemberreceives,morethan$120,000peryearindirectcompensation

(base salary plus cash bonus) from the Company, as an employee or affiliate.

d.A directorwho (orwhose immediate family member)has anymaterialtransactional relationship<sup>8</sup> with

thecompanyoritsaffiliates(excludinginvestmentsinthecompanythroughaprivateplacement)isnot

'independent' until three years after falling below the threshold described as follows: If the company

makesannualpaymentsto,orreceivesannualpaymentsfrom,anotherentityexceedingthegreaterof

$1,000,000or2percentoftherecipient'sgrossrevenues.(Therecipientisthepartyreceivingthe

financial proceeds from the transaction).

e.Adirectorwhois(orwhoseimmediatefamilymemberis)apartnerin,oracontrollingshareholderoran

executiveofficerof,anorganizationwhichhasanymaterialtransactionalrelationshipwiththecompany

oritsaffiliates(excludinginvestmentsinthecompanythroughaprivateplacement)isnot'independent'

until three years after falling below the threshold described as follows: If the company makes annual

paymentsto,orreceivesannualpaymentsfrom,anotherentityexceedingthegreaterof$1,000,000or2

percent of the recipient's gross revenues. (The recipient is the party receiving the financial proceeds

fromthetransaction).

f.Is (or an immediate family member is) a trustee, director, or employee of a charitable or non-profit

organization that receives material grants or endowments from the company or its affiliates. Material is

definedasfollows:Ifthecompanymakesannualpaymentsto,orreceivesannualpaymentsfrom,another

entityexceedingthegreaterof$1,000,000or2percentoftherecipient'sgrossrevenues.(Therecipientis

the party receiving the financial proceeds from the transaction).

**6)OtherRelationships:**

a.Has(oranimmediatefamilymemberhas)aninterlockingrelationship<sup>9</sup>involvingmembersoftheboard

of directors. Should not be employedby anotherentity (public company) at which an executive officer

serves as a director of the Company, and thereby be part of an interlocking relationship.

b.Founderofthecompanybutnotcurrentlyanemployee

c.Anymaterialrelationship<sup>10</sup>withthecompany

8A material transactional relationship, including grants to non-profit organizations, exists if the company makes annual payments to, or receives

annualpaymentsfrom,anotherentityexceedingthegreaterof$1,000,000or2percentoftherecipient'sgrossrevenues.(Therecipientistheparty

receiving the financial proceeds from the transaction).

9Interlocksinclude:executiveofficersservingasdirectorsoneachother'scompensationorsimilarcommittees(or,intheabsenceof sucha

committee,ontheboard);orexecutiveofficerssittingoneachother'sboardsandat leastoneservesontheother'scompensationorsimilar

committees (or, in the absence of such a committee, on the board).

10ForpurposesofEgan-Jones'sdirectorindependenceclassification,"material"willbedefinedasastandardofrelationship(financial, personal,or

otherwise)thatareasonablepersonmightconcludecouldpotentiallyinfluenceone'sobjectivityintheboardroominamanner that wouldhavea

meaningful impact on an individual's ability to satisfy requisite fiduciary standards on behalf of shareholders.

**Governance(FormerlyBlended)Policy**<br>**Overview**<br>

**IndependentDirector**

Anindependentdirectorhasnomaterial<sup>11</sup>connectiontothecompanyotherthanaboardseat.

11ForpurposesofEgan-Jones'sdirectorindependenceclassification,"material"willbedefinedasastandardofrelationship(financial, personal,or

otherwise)thatareasonablepersonmightconcludecouldpotentiallyinfluenceone'sobjectivityintheboardroominamanner that wouldhavea

meaningful impact on an individual's ability to satisfy requisite fiduciary standards on behalf of shareholders.

------

**PART C: OTHER INFORMATION**

**Item 28. Exhibits**

---

| | | | |
|:---|:---|:---|:---|
| (a) | (i) |  | <u>[Certificate of Trust dated February 9, 2012 of ETF Series Solutions (the "Trust" or the "Registrant") is incorporated herein by reference to Exhibit (a)(i) to the Registrant's Registration Statement on Form N-1A, as filed on February 17, 2012.](https://www.sec.gov/Archives/edgar/data/1540305/000089418912000776/cert.htm)</u> |
|  | (ii) |  | <u>[Registrant's Agreement and Declaration of Trust dated February 17, 2012 is incorporated herein by reference to Exhibit (a)(ii) to the Registrant's Registration Statement on Form N-1A, as filed on February 17, 2012.](https://www.sec.gov/Archives/edgar/data/1540305/000089418912000776/declaration.htm)</u> |
| (b) |  |  | <u>[Registrant's Amended and Restated Bylaws dated August 18, 2014 are incorporated herein by reference to Exhibit (b) to the Registrant's Registration Statement on Form N-1A, as filed on September 8, 2014.](https://www.sec.gov/Archives/edgar/data/1540305/000089418914004441/bylaws.htm)</u> |
| (c) |  |  | Not applicable. |
| (d) | (i) | (A) | <u>[Investment Advisory Agreement between the Trust and Distillate Capital Partners LLC is incorporated herein by reference to Exhibit (d)(i) to the Registrant's Registration Statement on Form N-1A, as filed on October 17, 2018.](https://www.sec.gov/Archives/edgar/data/1540305/000089418918005644/inv-advisory_agmt.htm)</u> |
|  |  | (B) | <u>[Amended Schedule A to the Investment Advisory Agreement is incorporated herein by reference to Exhibit (d)(i)(B) to the Registrant's Registration Statement on Form N-1A, as filed on August, 22, 2022.](https://www.sec.gov/Archives/edgar/data/1540305/000089418922005913/distillateadvisoryagreemen.htm)</u> |
|  | (ii) | (A) | <u>[Investment Sub-Advisory Agreement between the Trust, Distillate Capital Partners LLC, and Vident Advisory, LLC is incorporated herein by reference to Exhibit (d)(ii)(A) to the Registrant's Registration Statement on Form N-1A, as filed on January 25, 2024.](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/vasub-advisoryagreementdisa.htm)</u> |
|  |  | (B) | <u>[Amended Schedule A to the Investment Sub-Advisory Agreement is incorporated herein by reference to Exhibit (d)(ii)(B) to the Registrant's Registration Statement on Form N-1A, as filed on January 25, 2024.](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/vasub-advisoryagreementdis.htm)</u> |
| (e) | (i) | (A) | <u>[Distribution Agreement between the Trust and Quasar Distributors, LLC dated September 30, 2021 is incorporated herein by reference to Exhibit (e)(i)(A) to the Registration Statement on Form N-1A, as filed on October 28, 2021.](https://www.sec.gov/Archives/edgar/data/1540305/000089418921007557/exeia2021-09x30essxquasare.htm)</u> |
|  |  | (B) | <u>[Seventeenth Amendment to the Distribution Agreement with Quasar Distributors, LLC is incorporated herein by reference to Exhibit (e)(i)(B) to the Registrant's Registration Statement on Form N-1A, as filed on October 14, 2025.](https://www.sec.gov/Archives/edgar/data/1540305/000089418925011301/exeibseventeenthamendmentt.htm)</u> |
|  | (ii) |  | <u>[Form of Authorized Participant Agreement for Quasar Distributors, LLC is incorporated herein by reference to Exhibit (e)(iii) to the Registrant's Registration Statement on Form N-1A, as filed on May 23, 2012.](https://www.sec.gov/Archives/edgar/data/1540305/000089418912002911/ap_agmt.htm)</u> |
| (f) |  |  | Not applicable. |
| (g) | (i) | (A) | <u>[Custody Agreement between the Trust and U.S. Bank National Association dated May 16, 2012 is incorporated herein by reference to Exhibit (g) to the Registrant's Registration Statement on Form N-1A, as filed on May 23, 2012.](https://www.sec.gov/Archives/edgar/data/1540305/000089418912002911/custody_agmt.htm)</u> |
|  |  | (B) | <u>[Amended Exhibit](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-amendmasteressc.htm)[FF](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-amendmasteressc.htm)[to the Custody Agreement](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-amendmasteressc.htm)[dated August 1, 2022](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-amendmasteressc.htm)[is incorporated herein by reference to Exhibit (](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-amendmasteressc.htm)[g](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-amendmasteressc.htm)[)(i)(B) to the Registrant's Registration Statement on Form N-1A, as filed on January 25, 2024.](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-amendmasteressc.htm)</u> |
| (h) | (i) | (A) | <u>[Fund Administration Servicing Agreement between the Trust and U.S. Bancorp Fund Services, LLC dated May 16, 2012 is incorporated herein by reference to Exhibit (h)(i) to the Registrant's Registration Statement on Form N-1A, as filed on May 23, 2012.](https://www.sec.gov/Archives/edgar/data/1540305/000089418912002911/fundadmin_agmt.htm)</u> |
|  |  | (B) | <u>[Amended Exhibit FF to the](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-amendmasteressf.htm)[Fund Admin](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-amendmasteressf.htm)[Agreement](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-amendmasteressf.htm)[dated August 1, 2022](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-amendmasteressf.htm)[is incorporated herein by reference to Exhibit (](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-amendmasteressf.htm)[h](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-amendmasteressf.htm)[)(i)(B) to the Registrant's Registration Statement on Form N-1A, as filed on January 25, 2024.](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-amendmasteressf.htm)</u> |
|  | (ii) | (A) | <u>[Fund Accounting Servicing Agreement between the Trust and U.S. Bancorp Fund Services, LLC dated May 16, 2012 is incorporated herein by reference to Exhibit (h)(ii) to the Registrant's Registration Statement on Form N-1A, as filed on May 23, 2012.](https://www.sec.gov/Archives/edgar/data/1540305/000089418912002911/fundacct_agmt.htm)</u> |
|  |  | (B) | <u>[Amended Exhibit FF to the Fund Accounting Servicing Agreement dated August 1, 2022 is incorporated herein by reference to Exhibit (h)(ii)(B) to the Registrant's Registration Statement on Form N-1A, as filed on January 25, 2024.](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-essfundaccounti.htm)</u> |
|  | (iii) | (A) | <u>[Transfer Agent Agreement between the Trust and U.S. Bancorp Fund Services, LLC dated May 16, 2012 is incorporated herein by reference to Exhibit (d)(ii) to the Registrant's Registration Statement on Form N-1A, as filed on May 23, 2012.](https://www.sec.gov/Archives/edgar/data/1540305/000089418912002911/ta_agmt.htm)</u> |
|  |  | (B) | <u>[Amended Exhibit FF to the](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-esstransferagen.htm)[Transfer Agent](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-esstransferagen.htm)[Agreement](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-esstransferagen.htm)[dated August 1, 2](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-esstransferagen.htm)[022](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-esstransferagen.htm)[is incorporated herein by reference to Exhibit (](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-esstransferagen.htm)[h](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-esstransferagen.htm)[)(](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-esstransferagen.htm)[iii](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-esstransferagen.htm)[)(B) to the Registrant's Registration Statement on Form N-1A, as filed on January 25, 2024.](https://www.sec.gov/Archives/edgar/data/1540305/000089418924000519/distillate-esstransferagen.htm)</u> |
|  | (iv) | (A) | <u>[Powers of Attorney dated October 9, 2025 are incorporated herein by reference to Exhibit (h)(iv) to the Registrant's Registration Statement on Form N-1A, as filed on October 10, 2025.](https://www.sec.gov/Archives/edgar/data/1540305/000089418925011225/exhiv2025-10trusteeandoffi.htm)</u> |
|  | (v) | (A) | <u>[Compliance Services Agreement between the Trust and U.S. Bancorp Fund Services, LLC dated May 24, 2022 is incorporated herein by reference to Exhibit (h)(v)(A) to the Registrant's Registration Statement on Form N-1A, as filed on May 26, 2022.](https://www.sec.gov/Archives/edgar/data/1540305/000089418922004045/exhvaccoagreement2022.htm)</u> |

---

------

---

| | | | |
|:---|:---|:---|:---|
| | (vi) | | <u>[Certificate of Secretary dated](https://www.sec.gov/Archives/edgar/data/1540305/000089418923004935/esssecretaryscertificatere.htm)[July 13, 2023](https://www.sec.gov/Archives/edgar/data/1540305/000089418923004935/esssecretaryscertificatere.htm)[with respect to powers of attorney is incorporated herein by reference to Exhibit (h)(vi) to the Registrant's Registration Statement on Form N-1A, as filed on](https://www.sec.gov/Archives/edgar/data/1540305/000089418923004935/esssecretaryscertificatere.htm)[July 25, 2023.](https://www.sec.gov/Archives/edgar/data/1540305/000089418923004935/esssecretaryscertificatere.htm)</u> |
| | (vii) | | <u>[Fund of Funds Investment Agreement between Distillate Capital Partners LLC (on behalf of each of its existing and future series) and Ultra Series Fund dated January 19, 2022 is incorporated herein by reference to Exhibit (h)(vii) to the Registrant's Registration Statement on Form N-1A, as filed on January 28, 2022.](https://www.sec.gov/Archives/edgar/data/1540305/000089418922000657/exhviiultraseriesfund_dist.htm)</u> |
| (i) | (i) |  | <u>[Opinion and Consent of Counsel for the Distillate Capital Partners LLC](https://www.sec.gov/Archives/edgar/data/1540305/000089418918005644/opinion-consent_counsel.htm)[, on](https://www.sec.gov/Archives/edgar/data/1540305/000089418918005644/opinion-consent_counsel.htm)[behalf of DSTL,](https://www.sec.gov/Archives/edgar/data/1540305/000089418918005644/opinion-consent_counsel.htm)[is incorporated herein by reference to Exhibit (i) to the Registrant's Registration Statement on Form N-1A, as filed on October 17, 2018.](https://www.sec.gov/Archives/edgar/data/1540305/000089418918005644/opinion-consent_counsel.htm)</u> |
|  | (ii) |  | <u>[Opinion and Consent of Counsel for the Distillate Capital Partners LLC, on behalf of DSTX is incorporated herein by reference to Exhibit (i)(ii) to the Registrant's Registration Statement on Form N-1A, as filed on December 9, 2020.](https://www.sec.gov/Archives/edgar/data/1540305/000089418920009488/exiii-485blegalopinion.htm)</u> |
|  | (iii) |  | <u>[Opinion and Consent of Counsel for the Distillate Capital Partners LLC, on behalf of DS](https://www.sec.gov/Archives/edgar/data/1540305/000089418922005913/etfseriessolutions_n-1aleg.htm)[MC](https://www.sec.gov/Archives/edgar/data/1540305/000089418922005913/etfseriessolutions_n-1aleg.htm)[is incorporated herein by reference to Exhibit (i)(iii) to the Registrant's Registration Statement on Form N-1A, as filed on August, 22, 2022.](https://www.sec.gov/Archives/edgar/data/1540305/000089418922005913/etfseriessolutions_n-1aleg.htm)</u> |
| (j) |  |  | <u>[Consent of Independent Registered Public Accounting Firm](exjconsent-distillateetfs.htm)</u> **- filed herewith.** |
| (k) |  |  | Not applicable. |
| (l) | (i) |  | <u>[Initial Capital Agreement between the Trust and U.S. Bancorp Fund Services, LLC dated April](https://www.sec.gov/Archives/edgar/data/1540305/000089418912002911/capital_agmt.htm)[23, 2012 is incorporated herein by reference to Exhibit (l)(i) to the Registrant's Registration Statement on Form N-1A, as filed on May 23, 2012.](https://www.sec.gov/Archives/edgar/data/1540305/000089418912002911/capital_agmt.htm)</u> |
|  | (ii) |  | <u>[Letter of Representations between the Trust and Depository Trust Company dated May 21, 2012 is incorporated herein by reference to Exhibit (l)(ii) to the Registrant's Registration Statement on Form N-1A, as filed on May 23, 2012.](https://www.sec.gov/Archives/edgar/data/1540305/000089418912002911/depository-lttr.htm)</u> |
| (m) | (i) | (A) | <u>[Rule 12b-1 Plan is incorporated herein by reference to Exhibit (m) to the Registrant's Registration Statement on Form N-1A, as filed on May 23, 2012.](https://www.sec.gov/Archives/edgar/data/1540305/000089418912002911/plan_12b1.htm)</u> |
|  |  | (B) | <u>[Amended Schedule A to Rule 12b-1 Plan dated October 10, 2025 is incorporated herein by reference to Exhibit (m)(i)(B) to the Registrant's Registration Statement on Form N-1A, as filed on December 17, 2025.](https://www.sec.gov/Archives/edgar/data/1540305/000089418925017164/exmibscheduleatorule12b-1p.htm)</u> |
| (n) |  |  | Not applicable. |
| (o) |  |  | Reserved. |
| (p) | (i) |  | <u>[Code of Ethics for the Trust is incorporated herein by reference to Exhibit (p)(i) to the Registrant's Registration Statement on Form N-1A, as filed on September 28, 2021.](https://www.sec.gov/Archives/edgar/data/1540305/000089418921006933/esscodeofethics2020-04x21.htm)</u> |
|  | (ii) |  | <u>[Code of Ethics for](https://www.sec.gov/Archives/edgar/data/1540305/000089418923002428/expiidcpcoe32023.htm)[Distillate Capital Partners LLC](https://www.sec.gov/Archives/edgar/data/1540305/000089418923002428/expiidcpcoe32023.htm)[is incorporated herein by reference to Exhibit (p)(](https://www.sec.gov/Archives/edgar/data/1540305/000089418923002428/expiidcpcoe32023.htm)[i](https://www.sec.gov/Archives/edgar/data/1540305/000089418923002428/expiidcpcoe32023.htm)[i) to the Registrant's Registration Statement on Form N-1A, as filed on](https://www.sec.gov/Archives/edgar/data/1540305/000089418923002428/expiidcpcoe32023.htm)[April 3, 2023](https://www.sec.gov/Archives/edgar/data/1540305/000089418923002428/expiidcpcoe32023.htm)[.](https://www.sec.gov/Archives/edgar/data/1540305/000089418923002428/expiidcpcoe32023.htm)</u> |
|  | (iii) |  | <u>[Code of Ethics for Vident Asset Management is incorporated herein by reference to Exhibit (p)(iv) to the Registrant's Registration Statement on Form N-1A, as filed on June 26, 2024.](https://www.sec.gov/Archives/edgar/data/1540305/000089418924003777/videntcodeofethics_finalx0.htm)</u> |

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**Item 29. Persons Controlled by or Under Common Control with Registrant**

No person is directly or indirectly controlled by or under common control with the Registrant.

**Item 30. Indemnification**

The Trustees shall not be responsible or liable in any event for any neglect or wrongdoing of any officer, agent, employee, adviser or principal underwriter of the Trust, nor shall any Trustee be responsible for the act or omission of any other Trustee, and, subject to the provisions of the By-Laws, the Trust out of its assets may indemnify and hold harmless each and every Trustee and officer of the Trust from and against any and all claims, demands, costs, losses, expenses, and damages whatsoever arising out of or related to such Trustee's or officer's performance of his or her duties as a Trustee or officer of the Trust; provided that nothing herein contained shall indemnify, hold harmless or protect any Trustee or officer from or against any liability to the Trust or any Shareholder to which he or she would otherwise be subject by reason of willful misfeasance, bad faith, gross negligence or reckless disregard of the duties involved in the conduct of his or her office.

Every note, bond, contract, instrument, certificate or undertaking and every other act or thing whatsoever issued, executed or done by or on behalf of the Trust or the Trustees or any of them in connection with the Trust shall be conclusively deemed to have been issued, executed or done only in or with respect to their or his or her capacity as Trustees or Trustee, and such Trustees or Trustee shall not be personally liable thereon.

Insofar as indemnification for liability arising under the Securities Act of 1933 (the "Securities Act") may be permitted to Trustees, officers and controlling persons of the Registrant pursuant to the foregoing provisions, or otherwise, the registrant has been advised that in the opinion of the U.S. Securities and Exchange Commission ("SEC") such indemnification is against public policy as expressed in the Act and is, therefore, unenforceable. In the event that a claim for indemnification against such liabilities (other

------

than the payment by the Registrant of expenses incurred or paid by a director, officer or controlling person of the Registrant in the successful defense of any action, suit or proceeding) is asserted by such Trustee, officer, or controlling person in connection with the securities being registered, the Registrant will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the question whether such indemnification by it is against public policy as expressed in the Act and will be governed by the final adjudication of such issue.

**Item 31. Business and Other Connections of Investment Adviser**

This Item incorporated by reference each investment adviser's Uniform Application for Investment Adviser Registration ("Form ADV") on file with the SEC, as listed below. Each Form ADV may be obtained, free of charge, at the SEC's website at www.adviserinfo.sec.gov. Additional information as to any other business, profession, vocation or employment of a substantial nature engaged in by each officer and director of the below-listed investment advisers is included in the Trust's Statement of Additional Information.

---

| | |
|:---|:---|
| <u>Investment Adviser</u> | <u>SEC File No.</u> |
| Distillate Capital Partners LLC | 801-113847 |
| Vident Advisory, LLC | 801-114538 |

---

**Item 32(a). Principal Underwriter**

(a)&nbsp;&nbsp;&nbsp;&nbsp;Quasar Distributors, LLC (the "Distributor") serves as principal underwriter for the following investment companies registered under the Investment Company Act of 1940, as amended:

&nbsp;&nbsp;&nbsp;&nbsp;1. Abacus FCF ETF Trust

&nbsp;&nbsp;&nbsp;&nbsp;2. Advisor Managed Portfolios

&nbsp;&nbsp;&nbsp;&nbsp;3. Antares Private Credit Fund

&nbsp;&nbsp;&nbsp;&nbsp;4. Capital Advisors Growth Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;5. Chase Growth Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;6. Davidson Multi Cap Equity Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;7. Edgar Lomax Value Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;8. Huber Large Cap Value Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;9. Huber Mid Cap Value Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;10. Huber Select Large Cap Value Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;11. Huber Small Cap Value Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;12. Logan Capital Broad Innovative Growth ETF, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;13. Medalist Partners MBS Total Return Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;14. Medalist Partners Short Duration Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;15. O'Shaughnessy Market Leaders Value Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;16. PIA BBB Bond Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;17. PIA High Yield (MACS) Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;18. PIA High Yield Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;19. PIA MBS Bond Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;20. PIA Short-Term Securities Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;21. Poplar Forest Cornerstone Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;22. Poplar Forest Partners Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;23. Pzena Emerging Markets Value Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;24. Pzena International Small Cap Value Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;25. Pzena International Value Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;26. Pzena Mid Cap Value Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;27. Pzena Small Cap Value Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;28. Reverb ETF, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;29. Scharf ETF, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;30. Scharf Global Opportunity ETF, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;31. Scharf Multi-Asset Opportunity Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;32. Shenkman Capital Floating Rate High Income Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;33. Shenkman Capital Short Duration High Income Fund, Series of Advisors Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;34. The Aegis Funds

&nbsp;&nbsp;&nbsp;&nbsp;35. Allied Asset Advisors Funds

&nbsp;&nbsp;&nbsp;&nbsp;36. Angel Oak Funds Trust

&nbsp;&nbsp;&nbsp;&nbsp;37. Angel Oak Strategic Credit Fund

&nbsp;&nbsp;&nbsp;&nbsp;38. Brookfield Infrastructure Income Fund Inc.

&nbsp;&nbsp;&nbsp;&nbsp;39. Brookfield Investment Funds

&nbsp;&nbsp;&nbsp;&nbsp;40. Buffalo Funds

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&nbsp;&nbsp;&nbsp;&nbsp;41. RJ Eagle GCM Dividend Select Income ETF, Series of Carillon Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;42. RJ Eagle Municipal Income ETF, Series of Carillon Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;43. RJ Eagle Vertical Income ETF, Series of Carillon Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;44. DoubleLine Funds Trust

&nbsp;&nbsp;&nbsp;&nbsp;45. AAM Bahl & Gaynor Small/Mid Cap Income Growth ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;46. AAM Brentview Dividend Growth ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;47. AAM Crescent CLO ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;48. AAM Low Duration Preferred and Income Securities ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;49. AAM S&P 500 High Dividend Value ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;50. AAM Sawgrass U.S. Large Cap Quality Growth ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;51. AAM Sawgrass U.S. Small Cap Quality Growth ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;52. AAM SLC Low Duration Income ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;53. AAM Todd International Intrinsic Value ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;54. AAM Transformers ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;55. Acquirers Deep Value ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;56. Aptus April Buffer, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;57. Aptus Collared Investment Opportunity ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;58. Aptus Deferred Income ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;59. Aptus Defined Risk ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;60. Aptus Drawdown Managed Equity ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;61. Aptus Enhanced Yield ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;62. Aptus International Enhanced Yield ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;63. Aptus January Buffer ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;64. Aptus July Buffer ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;65. Aptus Large Cap Enhanced Yield ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;66. Aptus Large Cap Upside ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;67. Aptus October Buffer ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;68. Bahl & Gaynor Dividend ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;69. Bahl & Gaynor Income Growth ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;70. Bahl & Gaynor Small Cap Dividend ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;71. BTD Capital Fund, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;72. Carbon Strategy ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;73. ClearShares OCIO ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;74. ClearShares Piton Intermediate Fixed Income Fund, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;75. ClearShares Ultra-Short Maturity ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;76. Colterpoint Net Lease Real Estate ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;77. Distillate International Fundamental Stability & Value ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;78. Distillate Small/Mid Cash Flow ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;79. Distillate U.S. Fundamental Stability & Value ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;80. ETFB Green SRI REITs ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;81. Hoya Capital High Dividend Yield ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;82. Hoya Capital Housing ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;83. LHA Market State Tactical Beta ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;84. LHA Market State Tactical Q ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;85. LHA Risk-Managed Income ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;86. McElhenny Sheffield Managed Risk ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;87. Opus Small Cap Value ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;88. The Acquirers Fund, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;89. The Brinsmere Fund - Conservative ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;90. The Brinsmere Fund - Growth ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;91. U.S. Global GO GOLD and Precious Metal Miners ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;92. U.S. Global JETS ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;93. U.S. Global Sea to Sky Cargo ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;94. U.S. Global Technology and Aerospace & Defense ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;95. US Vegan Climate ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;96. Vest 10 Year Interest Rate Hedge ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;97. Vest 2 Year Interest Rate Hedge ETF, Series of ETF Series Solutions

&nbsp;&nbsp;&nbsp;&nbsp;98. First American Funds Trust

&nbsp;&nbsp;&nbsp;&nbsp;99. FundX Investment Trust

&nbsp;&nbsp;&nbsp;&nbsp;100. The Glenmede Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;101. The GoodHaven Funds Trust

&nbsp;&nbsp;&nbsp;&nbsp;102. Harding, Loevner Funds, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;103. Hennessy Funds Trust

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&nbsp;&nbsp;&nbsp;&nbsp;104. Horizon Funds

&nbsp;&nbsp;&nbsp;&nbsp;105. Hotchkis & Wiley Funds

&nbsp;&nbsp;&nbsp;&nbsp;106. Intrepid Capital Management Funds Trust

&nbsp;&nbsp;&nbsp;&nbsp;107. Jacob Funds Inc.

&nbsp;&nbsp;&nbsp;&nbsp;108. The Jensen Quality Growth Fund Inc.

&nbsp;&nbsp;&nbsp;&nbsp;109. Kirr, Marbach Partners Funds, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;110. Core Alternative ETF, Series of Listed Funds Trust

&nbsp;&nbsp;&nbsp;&nbsp;111. Optimized Equity Income ETF, Series of Listed Funds Trust

&nbsp;&nbsp;&nbsp;&nbsp;112. Wahed Dow Jones Islamic World ETF, Series of Listed Funds Trust

&nbsp;&nbsp;&nbsp;&nbsp;113. Wahed FTSE USA Shariah ETF, Series of Listed Funds Trust

&nbsp;&nbsp;&nbsp;&nbsp;114. LKCM Funds

&nbsp;&nbsp;&nbsp;&nbsp;115. LoCorr Investment Trust

&nbsp;&nbsp;&nbsp;&nbsp;116. MainGate Trust

&nbsp;&nbsp;&nbsp;&nbsp;117. ATAC Rotation Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;118. Cove Street Capital Small Cap Value Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;119. Kensington Active Advantage Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;120. Kensington Defender Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;121. Kensington Dynamic Allocation Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;122. Kensington Hedged Premium Income ETF, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;123. Kensington Managed Income Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;124. LK Balanced Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;125. Leuthold Core ETF, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;126. Leuthold Core Investment Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;127. Leuthold Global Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;128. Leuthold Grizzly Short Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;129. Leuthold Select Industries ETF, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;130. Muhlenkamp Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;131. Nuance Concentrated Value Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;132. Nuance Mid Cap Value Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;133. Olstein All Cap Value Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;134. Olstein Strategic Opportunities Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;135. Port Street Quality Growth Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;136. Prospector Capital Appreciation Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;137. Prospector Opportunity Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;138. Reinhart Genesis PMV Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;139. Reinhart International PMV Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;140. Reinhart Mid Cap PMV Fund, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;141. Tremblant Global ETF, Series of Managed Portfolio Series

&nbsp;&nbsp;&nbsp;&nbsp;142. Greenspring Income Opportunities Fund, Series of Manager Directed Portfolios

&nbsp;&nbsp;&nbsp;&nbsp;143. Hood River Emerging Markets Fund, Series of Manager Directed Portfolios

&nbsp;&nbsp;&nbsp;&nbsp;144. Hood River International Opportunity Fund, Series of Manager Directed Portfolios

&nbsp;&nbsp;&nbsp;&nbsp;145. Hood River New Opportunities Fund, Series of Manager Directed Portfolios

&nbsp;&nbsp;&nbsp;&nbsp;146. Hood River Small-Cap Growth Fund, Series of Manager Directed Portfolios

&nbsp;&nbsp;&nbsp;&nbsp;147. SanJac Alpha Core Plus Bond ETF, Series of Manager Directed Portfolios

&nbsp;&nbsp;&nbsp;&nbsp;148. SanJac Alpha Low Duration ETF, Series of Manager Directed Portfolios

&nbsp;&nbsp;&nbsp;&nbsp;149. SWP Growth & Income ETF, Series of Manager Directed Portfolios

&nbsp;&nbsp;&nbsp;&nbsp;150. Vert Global Sustainable Real Estate ETF, Series of Manager Directed Portfolios

&nbsp;&nbsp;&nbsp;&nbsp;151. Mason Capital Fund Trust

&nbsp;&nbsp;&nbsp;&nbsp;152. Matrix Advisors Funds Trust

&nbsp;&nbsp;&nbsp;&nbsp;153. Monetta Trust

&nbsp;&nbsp;&nbsp;&nbsp;154. Nicholas Equity Income Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;155. Nicholas Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;156. Nicholas II, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;157. Nicholas Limited Edition, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;158. Oaktree Diversified Income Fund Inc.

&nbsp;&nbsp;&nbsp;&nbsp;159. Permanent Portfolio Family of Funds

&nbsp;&nbsp;&nbsp;&nbsp;160. Perritt Funds, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;161. Procure ETF Trust II

&nbsp;&nbsp;&nbsp;&nbsp;162. Professionally Managed Portfolios

&nbsp;&nbsp;&nbsp;&nbsp;163. Provident Mutual Funds, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;164. Abbey Capital Futures Strategy Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;165. Abbey Capital Multi-Asset Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;166. Adara Smaller Companies Fund, Series of The RBB Fund, Inc.

------

&nbsp;&nbsp;&nbsp;&nbsp;167. Aquarius International Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;168. Boston Partners All Cap Value Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;169. Boston Partners Global Equity Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;170. Boston Partners Global Sustainability Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;171. Boston Partners Long/Short Equity Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;172. Boston Partners Long/Short Research Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;173. Boston Partners Small Cap Value Fund II, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;174. Campbell Systematic Macro Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;175. F/m 10-Year Investment Grade Corporate Bond ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;176. F/m 2-Year Investment Grade Corporate Bond ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;177. F/m 3-Year Investment Grade Corporate Bond ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;178. F/m Callable Tax-Free Municipal ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;179. F/m Compoundr High Yield Bond ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;180. F/m Compoundr U.S. Aggregate Bond ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;181. F/m Emerald Life Sciences Innovation ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;182. F/m Emerald Special Situations ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;183. F/m High Yield 100 ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;184. F/m Investments Large Cap Focused Fund Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;185. F/m Opportunistic Income ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;186. F/m Ultrashort Treasury Inflation-Protected Security (TIPS) ETF Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;187. F/m US Treasury 10 Year Note ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;188. F/m US Treasury 12 Month Bill ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;189. F/m US Treasury 2 Year Note ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;190. F/m US Treasury 20 Year Bond ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;191. F/m US Treasury 3 Month Bill ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;192. F/m US Treasury 3 Year Note ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;193. F/m US Treasury 30 Year Bond ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;194. F/m US Treasury 5 Year Note ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;195. F/m US Treasury 6 Month Bill ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;196. F/m US Treasury 7 Year Note ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;197. Motley Fool 100 Index ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;198. Motley Fool Capital Efficiency 100 Index ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;199. Motley Fool Global Opportunities ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;200. Motley Fool Innovative Growth Factor ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;201. Motley Fool Mid-Cap Growth ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;202. Motley Fool Momentum Factor ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;203. Motley Fool Next Index ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;204. Motley Fool Small-Cap Growth ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;205. Motley Fool Value Factor ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;206. MUFG Japan Small Cap Active ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;207. Oakhurst Fixed Income Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;208. Optima Strategic Credit Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;209. SGI Dynamic Tactical ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;210. SGI Enhanced Core ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;211. SGI Enhanced Global Income ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;212. SGI Enhanced Market Leaders ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;213. SGI Global Equity Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;214. SGI Peak Growth Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;215. SGI Prudent Growth Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;216. SGI Small Cap Core Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;217. SGI U.S. Large Cap Core ETF, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;218. SGI U.S. Large Cap Equity Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;219. WPG Partners Select Small Cap Value Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;220. WPG Partners Small Cap Value Diversified Fund, Series of The RBB Fund, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;221. The RBB Fund Trust

&nbsp;&nbsp;&nbsp;&nbsp;222. RBC Funds Trust

&nbsp;&nbsp;&nbsp;&nbsp;223. Rockefeller Municipal Opportunities Fund

&nbsp;&nbsp;&nbsp;&nbsp;224. SEG Partners Long/Short Equity Fund

&nbsp;&nbsp;&nbsp;&nbsp;225. Series Portfolios Trust

&nbsp;&nbsp;&nbsp;&nbsp;226. Thompson IM Funds, Inc.

&nbsp;&nbsp;&nbsp;&nbsp;227. Tortoise Capital Series Trust

&nbsp;&nbsp;&nbsp;&nbsp;228. Bright Rock Mid Cap Growth Fund, Series of Trust for Professional Managers

&nbsp;&nbsp;&nbsp;&nbsp;229. Bright Rock Quality Large Cap Fund, Series of Trust for Professional Managers

------

&nbsp;&nbsp;&nbsp;&nbsp;230. CrossingBridge Low Duration High Income Fund, Series of Trust for Professional Managers

&nbsp;&nbsp;&nbsp;&nbsp;231. CrossingBridge Nordic High Income Bond Fund, Series of Trust for Professional Managers

&nbsp;&nbsp;&nbsp;&nbsp;232. CrossingBridge Responsible Credit Fund, Series of Trust for Professional Managers

&nbsp;&nbsp;&nbsp;&nbsp;233. CrossingBridge Ultra-Short Duration Fund, Series of Trust for Professional Managers

&nbsp;&nbsp;&nbsp;&nbsp;234. RiverPark Strategic Income Fund, Series of Trust for Professional Managers

&nbsp;&nbsp;&nbsp;&nbsp;235. Dearborn Partners Rising Dividend Fund, Series of Trust for Professional Managers

&nbsp;&nbsp;&nbsp;&nbsp;236. Jensen Global Quality Growth Fund, Series of Trust for Professional Managers

&nbsp;&nbsp;&nbsp;&nbsp;237. Jensen Quality MidCap Fund, Series of Trust for Professional Managers

&nbsp;&nbsp;&nbsp;&nbsp;238. Rockefeller Climate Solutions Fund, Series of Trust for Professional Managers

&nbsp;&nbsp;&nbsp;&nbsp;239. Rockefeller US Small Cap Core Fund, Series of Trust for Professional Managers

&nbsp;&nbsp;&nbsp;&nbsp;240. Wall Street EWM Funds Trust

(b)&nbsp;&nbsp;&nbsp;&nbsp;The following are the Officers and Manager of the Distributor, the Registrant's underwriter. The Distributor's principal business address is 190 Middle Street, Suite 301, Portland, Maine 04101.

---

| | | |
|:---|:---|:---|
| <u>Name</u> | <u>Position with Underwriter</u> | <u>Position with Registrant</u> |
| Teresa Cowan | President/Manager | None |
| Chris Lanza | Vice President | None |
| Kate Macchia | Vice President | None |
| Susan L. LaFond | Vice President and Chief Compliance Officer and Treasurer | None |
| Gabriel E. Edelman | Secretary | None |
| Weston Sommers | Financial and Operations Principal and Chief Financial Officer | None |

---

(c)&nbsp;&nbsp;&nbsp;&nbsp;Not applicable.

**Item 33. Location of Accounts and Records**

The books and records required to be maintained by Section 31(a) of the Investment Company Act of 1940 are maintained at the following locations:

---

| | |
|:---|:---|
| **Records Relating to:** | **Are located at:** |
| Registrant's Fund Administrator, Fund Accountant and Transfer Agent | U.S. Bancorp Fund Services, LLC<br>615 East Michigan Street, 3<sup>rd</sup> Floor<br>Milwaukee, Wisconsin 53202 |
| Registrant's Custodian | U.S. Bank, National Association<br>1555 N. Rivercenter Drive, Suite 302 <br>Milwaukee, Wisconsin 53212 |
| Registrant's Principal Underwriters | Quasar Distributors, LLC<br>190 Middle Street, Suite 301<br>Portland, Maine 04101 |
| Registrant's Investment Adviser and Sub-Adviser | Distillate Capital Partners LLC<br>401 N. Michigan Avenue, Suite 1710<br>Chicago, IL 60611<br>Vident Advisory, LLC<br>1125 Sanctuary Parkway, Suite 515<br>Alpharetta, Georgia 30009 |

---

**Item 34. Management Services**

Not applicable.

**Item 35. Undertakings**

Not applicable.

------

**SIGNATURES**

Pursuant to the requirements of the Securities Act of 1933 and the Investment Company Act of 1940, the Registrant certifies that it meets all of the requirements for effectiveness of this Post-Effective Amendment to its Registration Statement on Form N-1A (this "Amendment") under Rule 485(b) under the Securities Act and has duly caused this Amendment to be signed below on its behalf by the undersigned, duly authorized, in the City of Chicago, State of Illinois, on January 26, 2026.

---

| |
|:---|
| **ETF Series Solutions** |
| /s/ Noelle-Nadia A. Filali |
| Noelle-Nadia A. Filali <br>Assistant Secretary |

---

Pursuant to the requirements of the Securities Act of 1933, this Amendment has been signed below by the following persons in the capacities indicated on January 26, 2026.

---

| | |
|:---|:---|
| <u>Signature</u> | <u>Title</u> |
| \* <u>David A. Massart</u> | Trustee |
| David A. Massart | |
| \* <u>Janet D. Olsen</u> | Trustee |
| Janet D. Olsen | |
| \* <u>Michael A. Castino</u> | Trustee |
| Michael A. Castino | |
| <u>\* Kristina R. Nelson</u> | President and Principal Executive Officer |
| Kristina R. Nelson | |
| <u>\* Kristen M. Weitzel</u> | Treasurer and Principal Financial Officer |
| Kristen M. Weitzel | |

---

\*By: <u>/s/ Noelle-Nadia A. Filali</u>

Noelle-Nadia A. Filali

pursuant to Powers of Attorney

------

**INDEX TO EXHIBITS**

---

| | |
|:---|:---|
| **Exhibit Number** | **Description** |
| (j) | <u>[Consent of Independent Registered Public Accounting Firm](exjconsent-distillateetfs.htm)</u> |

---

## Ex-99.(J)

![cohenlogo-toprightcornera.jpg](cohenlogo-toprightcornera.jpg)

**CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM**

We hereby consent to the incorporation by reference in this Registration Statement on Form N-1A of our report dated November 25, 2025, relating to the financial statements and financial highlights of Distillate International Fundamental Stability & Value ETF, Distillate Small/Mid Cash Flow ETF, and Distillate U.S. Fundamental Stability & Value ETF, each a series of ETF Series Solutions, which are included in Form N-CSR for the year ended September 30, 2025, and to the references to our firm under the headings "Financial Highlights" in the Prospectus, and "Independent Registered Public Accounting Firm" in the Statement of Additional Information.

/s/ COHEN & COMPANY, LTD.

COHEN & COMPANY, LTD.

Philadelphia, Pennsylvania

January 26, 2026

![footerimageconsentlettera.jpg](footerimageconsentlettera.jpg)

<br>