The index rebalancing process

To create an Exceed Fund, we create a portfolio of four defined outcome investments using our strategies:

Portfolio rebalances quarterly, always to same sought after characteristics
Each defined outcome investment has a life of approximately one year
At maturity, each defined outcome investment is redeemed and rolled
into a new one

A new single defined outcome investment is tracked each quarter and matures approximately one year later. For the Nasdaq Exceed Structured Protection Index, each defined outcome investment seeks a maximum upside cap of approximately 15% and a maximum floor exposure of 12.5%, with the investor bearing potential losses up to 12.5%. Both the cap and floor exposures are set based on the value of the S&P 500 Index at the beginning of the defined outcome investment’s term:

Exceed Index’s rolling portfolio of defined outcome investments with multiple entry points provides additional consistency to Index returns.