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© 2018 S-Network Global Indexes, 267 Fifth Avenue, New York, NY 10016.

S-Network Emerging Sector

Dividend Dogs Index

Q1 2018

1


Index Characteristics

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

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

Diversified by Country

Membership Limited to No More than Five Stocks Per Country

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

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

2

The S-Network Emerging Sector Dividend Dogs Index Offers the First Pure Play,

Rules-Based Emerging Market High Dividend Index.


Index Construction

3

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

© 2018 S-Network Global Indexes, 267 Fifth Avenue, New York, NY 10016. 5

Historical Performance

Source: S-Network, as of 3/31/2018*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

S-Network Emerging Sector Dividend Dogs TR Index vs. Benchmarks(12/31/2003–3/31/2018)

EDOGXTR SPGTEDUT SNX500T


Current Dividend Yield Comparison

6

Source: S-Network, as of 3/31/2018

4.43%

2.05%

EDOGX

SNX500

TTM Yield


Historical Dividend Yields

7

Over an Extended Time Frame, the S-Network Emerging Sector Dividend Dogs Index Has

Consistently Offered Higher Yield than the SNX500 Index.


3.3

7%

4.5

7%

4.9

8%

3.8

4%

8.7

8%

3.4

7%

4.0

5%

5.4

8%

4.9

9%

4.9

7%

5.3

1%

5.6

1%

3.9

1%

3.9

4%

4.4

3%

2.3

0%

2.6

2%

2.0

6%

1.9

4%

6.1

4%

2.0

2%

2.1

0%

3.2

0%

2.7

0%

3.0

5%

3.3

5%

3.0

0%

2.3

4%

2.0

2%

2.0

5%

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 Mar-18

S-Network Emerging Sector Dividend Dogs vs. S-Network Emerging Markets Liquid 500 (12/31/2004-3/31/2018)

EDOGX SNX500


Index Constituents and Fundamentals


Index Constituents

9

The S-Network Emerging Sector Dividend Dogs Index Offers Diversification by Sector and

Company, Avoiding Concentrated Risk.

AES Gener S.A.

CEZ-Ceske Energeticke

Zavody

ENGIE Brasil Energia S.A.

Huaneng Power Intl ADR N

Perusahaan Gas Negara PT

Intouch Holdings PCL NVDR

MegaFon PJSC GDR

Mobile TeleSystems PJSC

PLDT Inc ADR

Turkcell Iletisim Hizmet AS

ADR

Eregli Demir Celik

Indocement Tunggal Prakarsa

Tbk PT

Severstal PJSC GDR

Sinopec Shanghai

Petrochemical Co Ltd H Shares

Vedanta Ltd ADR

Cielo SA

Delta Electronics Thai PCL

Infosys Limited ADR

Lenovo Group Ltd.

Wipro Corporation Ltd ADR

BTS Group Holdings PCL

CCR S.A.

COSCO SHIPPING Energy

Transportation Co Ltd - H

Shares

Enka Insaat ve Sanayi AS

MISC Bhd

Fleury SA

Kalbe Farma Tbk PT

Life Healthcare Group Holdings

Ltd.

Netcare Ltd

Richter Gedeon

BB Seguridade Participacoes

S.A.

Banco Santander Mexico

Bank Pekao SA

Barclays Africa Group Ltd

Malayan Banking Bhd

Gazprom PJSC GDR

Lukoil PJSC GDR

Semirara Mining and Power

Corp

Thai Oil PCL

Tupras-Turkiye Petrol Rafine

AVI Ltd

British American Tobacco

Malaysia Bhd

Cencosud SA

Charoen Pokphand Foods

Kimberly Clark de Mexico

S.A.B. de C.V. A

Astra International Tbk PT

Astro Malaysia Holdings Bhd

Ford Otomotive Sanayii AS

Great Wall Motor Co. Ltd. - H

Shares

Woolworth Hldgs

Consumer

Discretionary

Consumer

StaplesEnergy Financials Health Care

IndustrialsInformation

TechnologyMaterials Telecommunication

ServicesUtilities



Sector Distribution

10


Consumer Staples10.40%

Industrials10.36%

Utilities10.15%

Health Care10.09%

Financials10.03%

Information Technology10.01%

Energy9.99%

Telecommunication Services

9.89%

Materials9.62%

Consumer Discretionary9.47%

S-Network Emerging Sector Dividend Dogs Index:Sector Distribution


Country Distribution

11


Thailand10.53%

Russian Federation10.01%

South Africa10.01%

China9.99%

Turkey9.94%

Brazil9.89%

Malaysia8.18%

Indonesia7.62% India

5.90%Mexico4.10% Chile

3.96%

Philippines3.86%

Czech Republic2.13%

Others3.88%

S-Network Emerging Sector Dividend Dogs Index:Country Distribution


Index Fundamentals

12

Solid Fundamental and a Large Capitalization Bias Help Mitigate Risks in the S-Network

Emerging Sector Dividend Dogs Index.

EDOGX SNX500

Price/Earnings 14.49 16.43

Price/Book Value 1.78 1.95

Dividend Yield 4.43% 2.05%

Index Fundamentals

Number of Constituents 50

Total Market Capitalization 550.10 Billion USD

Largest Market Capitalization 58.98 Billion USD

Smallest Market Capitalization 1.95 Billion USD

Average Market Capitalization 11.00 Billion USD

Median Market Capitalization 6.93 Billion USD

Market Capitalization Profile



Statistical Profiles


Statistical Profile I

14

The S-Network Emerging Sector Dividend Dogs Total Return Index has Outperformed the

SXN1000 Total Return Index in Nine of the Last 14 Years.

S-Net Emerging Sector Div Dogs TR SNX500T Out/Underperformance

12/31/2004 25.93% 29.88% -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%

YTD (3/31/2018) -1.42% 1.68% -3.10%

Calendar Year Ending Price Appreciation



Statistical Profile II

15


Since Inception* 678.31% 268.88% 293.83%

10 Year 158.85% 44.26% 36.80%

5 Year 17.29% 5.50% 30.62%

3 Year 18.90% 26.93% 36.75%

1 Year 11.94% 25.93% 28.30%


Since Inception* 15.49% 9.59% 10.10%

10 Year 9.98% 3.73% 3.18%

5 Year 3.24% 1.08% 5.49%

3 Year 5.94% 8.27% 11.00%

1 Year 11.94% 25.93% 28.30%

Total Return Appreciation

Compound Annual Growth Rate

*From 12/31/2003 Source: S-Network, as of 3/31/2018


Statistical Profile III

16


Since Inception* 20.87% 21.52% 21.78%

10 Year 22.15% 22.77% 22.90%

5 Year 15.29% 17.35% 16.05%

3 Year 16.38% 18.97% 17.25%

1 Year 10.66% 11.08% 13.68%


Since Inception* 0.7391 0.4779 0.4969

10 Year 0.5273 0.2615 0.2394

5 Year 0.2601 0.1257 0.3892

3 Year 0.3968 0.4810 0.6565

1 Year 0.9986 2.0412 1.8143

Standard Deviation (Monthly)

Sharpe Ratio (Monthly)



EDOGXTR SPGTEDUT

Since Inception* 0.9334 0.9452

10 Year 0.9333 0.9508

5 Year 0.8850 0.9195

3 Year 0.8661 0.9114

1 Year 0.9249 0.7976

Statistical Profile IV

17

EDOGXTR SPGTEDUT

Since Inception* 0.48% 0.01%

10 Year 0.56% 0.06%

5 Year -0.11% -0.34%

3 Year -0.23% -0.19%

1 Year -0.60% 0.55%

Jensen’s Alpha (versus SNX500T, Monthly)


Correlation (versus SNX500T, Monthly)


Statistical Profile V

18


EDOGXTR SPGTEDUT


10 Year 0.8711 0.9041

5 Year 0.7832 0.8455

3 Year 0.7502 0.8307

1 Year 0.8555 0.6362

EDOGXTR SPGTEDUT


10 Year 0.9024 0.9454

5 Year 0.8430 0.9941

3 Year 0.8226 1.0027

1 Year 0.7206 0.6461

Beta (versus SNX500T, Monthly)

R-Squared (versus SNX500T, Monthly)


Index Construction and Distribution

19


Index Construction – Methodology

All Constituents of EDOGX Must Be Constituents of the S-Network Emerging

Markets Index

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

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)

20

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

Construction Methodology.


Index Construction – Weighting and Deletions

Share Weights Based on Prices as of Close of Trading on Second Friday of

Rebalancing Month

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

Calendar Quarter

Index Is Rebalanced Quarterly Back to Equal Weights

Stocks That Are Deleted From of SNX500 Are Deleted from EDOGX Effective

Upon Deletion from SNX500

If Less Than Five Eligible Securities are Represented in any GICS Sector as of

Snapshot Date Only Those Securities Which Qualify are Included

21

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


Index Details & Data Distribution

Index Values Distributed in Real Time (15 second snapshots) in USD and EUR

Total Return Index Calculated Daily in USD and EUR

Index Values Distributed via Consolidated Tape

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)

Extensive Analytic support

Quarterly Reports (“Index Insights”)

Industry Overviews

Extensive Statistical Data

Comprehensive website: www.sectordividenddogs.com

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

S-Network Global Indexes

S-Network Global Indexes, Inc. is a publisher and developer of proprietary and custom indexes. Founded in 1997, S-Network publishes over 200 indexes, which serve as the underlying portfolios for financial products with over USD 6 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 http://www.snetglobalindexes.com

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