S-Network Emerging Sector Dividend Dogs Index...© 2020 S-Network Global Indexes, 267 Fifth Avenue,...

© 2020 S-Network Global Indexes, 267 Fifth Avenue, New York, NY 10016.

S-Network Emerging Sector Dividend Dogs Index

Q2 2020

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Index Characteristics

q Well-Established Universe of Index Candidates§ S-Network Emerging Markets Liquid 500 Index (SNX500) Serves as Universe for EDOGX§ SNX500 Comprises 500 Leading Emerging Markets Stocks Screened for Liquidity

q Diversified by Sector§ Five Stocks with Highest Dividend Yields in Each of the Ten GICS Sectors Comprising the SNX500 (Real

Estate and Financials Combined) are Selected for Inclusion in EDOGX, Assuring Diversification Across All Sectors

q Diversified by Country § Membership Limited to No More than Five Stocks Per Country

q Pure Yield – No Qualitative Screens§ EDOGX Does Not Include Any Qualitative Screens, such as Dividend Growth, Dividend Consistency or

Coverage Ratio

§ Based Entirely on Dividend Yield, Making EDOGX the Only Pure Play Dividend Index Available

q Entirely Rules-Based§ Depends on a Clearly Defined Rules-Based Methodology

§ No Discretion is Exercised in Compiling the Index§ Pre-Defined Screening Protocol Assures a Consistent, Transparent and Arms-Length Compilation Process

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The S-Network Emerging Sector Dividend Dogs Index Offers the First Pure Play, Rules-Based Emerging Market High Dividend Index.


Index Construction

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The S-Network Emerging Sector Dividend Dogs Index Methodology Is Completely Transparent and Includes Screens Designed to Mitigate Risk and Lower Transaction Costs.

Upper Middle Income Markets(Certain former Comecon countries categorized as Upper Income are included)

Apply Stock Market Screens

Capture 99% of Aggregate Market Cap Coverage

Select 5 Highest Dividend Yielding Stocks in Each of Ten GICS Sectors Equally

Weighted

Apply Quantitative Screening for ADTV and Minimum Market Cap

Select 85% of Each Country’s Market


Index Performance

© 2020 S-Network Global Indexes, 267 Fifth Avenue, New York, NY 10016. 5

Historical Performance

Source: S-Network, as of 6/30/2020*To ensure fair comparisons, all of the starting index values are normalized to 1,000 as of December 31, 2003.

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

Dec-03 Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17 Dec-18 Dec-19

S-Network Emerging Sector Dividend Dogs TR Index vs. Benchmarks(12/31/2003–6/30/2020)

SNET EM Sector Dvd Dogs TR S&P EM Dvd Opportunities TR SNET EM Liquid 500 TR


Current Dividend Yield Comparison

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Source: S-Network, as of 6/30/2020

4.97%

2.11%

S-Network EmergingSector Dividend Dogs

S-Network EmergingLiquid 500

Dividend Yield


Historical Dividend Yields

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Over an Extended Time Frame, the S-Network Emerging Sector Dividend Dogs Index Has Consistently Offered Higher Yield than the SNX500 Index.


3.37

%

4.57

%

4.98

%

3.84

%

8.78

%

3.47

%

4.05

%

5.48

%

4.99

%

4.97

%

5.31

%

5.61

%

3.91

%

3.86

%

5.73

%

4.79

%

2.30

%

2.62

%

2.07

%

1.94

%

6.14

%

2.02

%

2.10

%

3.20

%

2.70

%

3.05

%

3.35

%

3.00

%

2.34

%

2.02

%

2.81

%

2.34

%

0.00%

1.00%

2.00%

3.00%

4.00%

5.00%

6.00%

7.00%

8.00%

9.00%

10.00%

Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15 Dec-16 Dec-17 Dec-18 Dec-19

S-Network Emerging Sector Dividend Dogs vs. S-Network Emerging Markets Liquid 500 (12/31/2004-12/31/2019)

S-Network Emerging Sector Dividend Dogs S-Network Emerging Liquid 500


Index Constituents and Fundamentals


Index Constituents

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The S-Network Emerging Sector Dividend Dogs Index Offers Diversification by Sector and Company, Avoiding Concentrated Risk.

Consumer Discretionary

Consumer Staples Energy Financials Health Care

Industrials Information Technology Materials Communication

ServicesUtilities


Astra International Tbk Pt

Genting Malaysia Bhd

Home Product Center Pcl

Ford Otomotive SanayiiAs

PETROBRAS DISTRIBUIDORA SA

Magnit Pjsc

Gudang Garam Tbk Pt

Bim Birlesik MagazalarAs

Tiger Brands Ltd

Coca-Cola Femsa Sab-SpAdr

Tatneft Pao

United Tractors Tbk Pt

Adaro Energy Tbk Pt

Exxaro Resources

China Petroleum & Chem-Adr

Malayan Banking Bhd

Absa Group Ltd

Powszechny Zaklad UbezpieczenSa

Komercni Banka

Santander Bank Polska SA

Richter Gedeon

Bangkok Dusit Medical Services Pcl

Bumrungrad Hospital Pcl

Livzon Pharmaceutical Group Inc.-H

Top Glove Corp Bhd

Alfa Sa A

Ccr S.A.

China International Marine Containers (Group) Co Ltd

Enka Insaat Ve Sanayi As

Grupo Aeroportuario Del Pacifi

Infosys Ltd

Wipro Ltd

Cielo Sa

Lenovo Group Ltd.

Legend Holdings Corp.

Mmc Norilsk Nickel Pjsc

Grupo Mexico Sab De Cv B

Severstal Pao

Eregli Demir Celik

Ternium Sa Adr

Mtn Group Ltd

PLDT Inc

Mobile Telesystems Pjsc

Globe Telecom Inc

Vodacom Group Ltd

Cez-Ceske Energeticke Zavody

ENGIE BRASIL ENERGIA SA

Petronas Gas Bhd

Empresa De Energia De Bogota S.A. E.S.P.

Enersis Chile Sa


Sector Distribution

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Energy9.69%

Consumer Staples10.37%

Communication Services

9.95%

Health Care10.20%

Materials9.68%

Utilities9.96%

Information Technology

10.42%Financials

9.63%

Industrials10.30%

Consumer Discretionary9.80%

S-Network Emerging Sector Dividend Dogs Index:Sector Distribution


Country Distribution

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China10.48%

Mexico9.90%

Russian Federation

9.82%

South Africa9.68%

Turkey8.47%

Indonesia7.96%

Malaysia7.78%

Brazil7.65% Thailand

6.00%

India4.30% Czech Republic

4.04%

Poland3.99%

Philippines3.98% Colombia

2.06%Chile2.00%

Hungary1.89%

S-Network Emerging Sector Dividend Dogs Index:Country Distribution


Index Fundamentals

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Solid Fundamental and a Large Capitalization Bias Help Mitigate Risks in the S-Network Emerging Sector Dividend Dogs Index.

S-Network Emerging Sector Dividend Dogs TR

S-Network Emerging Liquid 500 TR

Price/Earnings 11.04 15.54

Price/Book Value 1.39 1.8

Dividend Yield 4.97% 2.11%

Number of Constituents 50

Total Market Capitalization 469.77 Billion USD

Largest Market Capitalization 63.45 Billion USD

Smallest Market Capitalization 1.95 Billion USD

Average Market Capitalization 9.40 Billion USD

Median Market Capitalization 5.74 Billion USD

Market Capitalization Profile


Index Fundamentals


Statistical Profiles


Statistical Profile I

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The S-Network Emerging Sector Dividend Dogs Total Return Index has Outperformed theS-Network Emerging Markets Liquid 500 Total Return Index in Nine of the Last 16 Years.

S-Net Emerging Sector Div Dogs TR S-Network Emerging Liquid 500 TR Out/Underperformance

12/31/2004 25.93% 29.87% -3.95%

12/31/2005 28.72% 34.50% -5.78%

12/31/2006 37.99% 34.39% 3.60%

12/31/2007 45.30% 33.63% 11.67%

12/31/2008 -41.77% -52.52% 10.76%

12/31/2009 108.88% 81.32% 27.56%

12/31/2010 35.10% 21.32% 13.78%

12/31/2011 -4.88% -20.19% 15.30%

12/31/2012 31.95% 17.23% 14.73%

12/31/2013 -2.79% -2.60% -0.19%

12/31/2014 1.33% -5.27% 6.60%

12/31/2015 -15.42% -14.27% -1.15%

12/31/2016 16.39% 15.91% 0.48%

12/31/2017 21.48% 37.82% -16.34%

12/31/2018 -14.78% -14.64% -0.15%

12/31/2019 14.31% 21.51% -7.20%

YTD (6/30/2020) -14.81% -8.31% -6.50%

Calendar Year Ending Price Appreciation



Statistical Profile II

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S&P Emerging Markets Dividend Opportunities TR

S-Network Emerging Markets Liquid 500 TR

Since Inception* 555.22% 195.70% 268.39%

10 Year 55.38% 16.89% 44.54%

5 Year 0.07% 0.74% 24.19%

3 Year -8.75% -2.34% 13.48%

1 Year -12.59% -19.40% -2.46%




Since Inception* 12.07% 6.79% 8.22%

10 Year 4.51% 1.57% 3.75%

5 Year 0.01% 0.15% 4.43%

3 Year -3.00% -0.78% 4.30%

1 Year -12.59% -19.40% -2.46%

Total Return Appreciation

Compound Annual Growth Rate

*From 12/31/2003 Source: S-Network, as of 6/30/2020


Statistical Profile III

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Since Inception* 21.13% 21.43% 21.56%

10 Year 17.98% 19.05% 18.72%

5 Year 19.10% 19.46% 18.47%

3 Year 20.21% 19.34% 19.33%

1 Year 27.89% 26.04% 23.78%




Since Inception* 0.5859 0.3542 0.4161

10 Year 0.3021 0.1452 0.2579

5 Year 0.0364 0.0458 0.2637

3 Year -0.1314 -0.0296 0.2273

1 Year -0.3879 -0.7427 -0.0443

Annualized Standard Deviation (Monthly)

Annualized Sharpe Ratio (Monthly)





Since Inception* 0.9305 0.9437

10 Year 0.9150 0.9276

5 Year 0.8916 0.9187

3 Year 0.9157 0.9173

1 Year 0.9468 0.9646

Statistical Profile IV

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Since Inception* 4.28% -0.82%

10 Year 1.19% -1.78%

5 Year -3.73% -3.76%

3 Year -6.65% -4.51%

1 Year -9.23% -16.78%

Annualized Jensen’s Alpha (versus SNX500 TR, Monthly)


Correlation (versus SNX500 TR, Monthly)


Statistical Profile V

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10 Year 0.8373 0.8605

5 Year 0.7950 0.8440

3 Year 0.8386 0.8415

1 Year 0.8964 0.9305




10 Year 0.8790 0.9440

5 Year 0.9217 0.9676

3 Year 0.9576 0.9177

1 Year 1.1105 1.0562

Beta (versus SNX500 TR, Monthly)

R-Squared (versus SNX500 TR, Monthly)

*From 12/31/2003


Index Construction and Distribution

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Index Construction – Methodology

q All Constituents of EDOGX Must Be Constituents of the S-Network Emerging Markets Index

q Selection Criteria for S-Network Emerging Markets Index Include Requirements for Sector Inclusion, Primary Exchange Listing, Minimum Market Capitalization, Minimum Average Daily Trading Volume, and Other Factors

q Individual Securities Included in EDOGX Selected Based on Ranking system Within Each Sector

§ Selects the Five Stocks in Each Sector with Highest Dividend Yield as of Last Trading Day of November§ Dividend Yield is Computed Based on Regular Cash Dividends Paid by the Company Over Previous Twelve

Month Period, Divided by Share Price (Special Dividends Not Included)

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The S-Network Emerging Sector Dividend Dogs Index Uses A Stable and Transparent Construction Methodology.


Index Construction – Weighting and Deletions

q Share Weights Based on Prices as of Close of Trading on Second Friday of Rebalancing Month

q Index Is Rebalanced Quarterly on the Third Friday of the Last Month of Each Calendar Quarter

q Index Is Rebalanced Quarterly Back to Equal Weightsq Stocks That Are Deleted From of SNX500 Are Deleted from EDOGX Effective

Upon Deletion from SNX500q If Less Than Five Eligible Securities are Represented in any GICS Sector as of

Snapshot Date Only Those Securities Which Qualify are Included

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A Detailed Methodology and Rules Is Available at www.sectordividenddogs.com.


Index Details & Data Distribution

q Index Values Distributed in Real Time (15 second snapshots) in USD and EURq Total Return Index Calculated Daily in USD and EURq Index Values Distributed via Consolidated Tapeq Comprehensive Historic Data (including simulated back-tests from 12/31/2003)

§ Daily Prices for Price-Only + TR Indexes in USD + EURO

§ Quarterly Portfolio Snapshots (Historic Constituents and Weights)

q Extensive Analytic support§ Quarterly Reports (“Index Insights”)

§ Industry Overviews§ Extensive Statistical Data

q Comprehensive website: www.sectordividenddogs.comq Broad data distribution via third party vendors

§ S&P/Bloomberg/Yahoo, etc.§ S-Network contribution page on Bloomberg: SNET

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http://www.sectordividenddogs.com


Company History

q S-Network Global IndexesS-Network Global Indexes, Inc. is a publisher and developer of proprietary and custom indexes. S-Network began publishing indexes in 2006 and currently publishes over 350 indexes, which serve as the underlying universes and portfolios for financial products with approximately USD 4 billion in assets under management. S-Network indexes, which are supported by a state-of-the-art technology platform, are known for their transparency and efficiency.

S-Network is a leader in socially responsible investment, publishing best-practice benchmark indexes in collaboration with Thomson Reuters. S-Network published the first global alternative energy and water indexes, which today serve as the recognized benchmarks for those sectors worldwide. In addition to publishing socially responsible indexes, S-Network produces proprietary environmental, social and governance ratings on nearly 5,000 public companies worldwide.

S-Network publishes a comprehensive suite of benchmark indexes covering US, European, Pacific Basin and emerging markets companies and mirroring the performance characteristics of the most popular indexes. The benchmark series offers detailed historical data, including daily constituent level data, from December 31, 1999 to the present. S-Network benchmarks serve as starting universes for smart beta indexes, as institutional-quality performance benchmarks, and as bases for Separately Managed Accounts.

S-Network is a prominent provider of smart beta indexes that incorporate both standard market statistics, as well as unique and highly specialized proprietary data sets derived from non-traditional sources. Smart beta indexes developed by S-Network embrace powerful single-factor models as well as complex multi-factor models that incorporate over 200 discrete factors. All indexes developed by S-Network address and resolve issues such as liquidity, investability and index turnover characteristics.

For more information please visit https://snetworkglobalindexes.com/

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https://snetworkglobalindexes.com/

S-Network Emerging Sector Dividend Dogs Index...© 2020 S-Network Global Indexes, 267 Fifth Avenue,...

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