GAVEKAL KNOWLEDGE LEADERS EMERGING MARKETS ETF (KLEM) Exchange: NYSE ARCA

DELISTED - The Fund will normally invest at least 80% of its total assets in securities of the Index. The Index is designed to measure the performance of issuers in emerging markets countries that are considered to be “Knowledge Leaders,” as defined and determined by Gavekal Capital, LLC, the Fund’s Index Provider (the “Index Provider”), based on a proprietary, rules-based selection model developed by the Index Provider and incorporated into the Index methodology.   The eligible universe of Index components includes companies that account for 85% of the market capitalization of emerging market country companies, excluding all secondary listings, preferred shares, and American Depository Receipts. Of those, companies in the lowest 50% in terms of trading liquidity (shares traded multiplied by share price) are eliminated. A proprietary selection model is then applied to create an intangible-adjusted financial history for each remaining company. The selection model does this by making adjustments to each company’s reported financial data since 1980 (or since the company’s inception, if later) that cause intangible investments to be treated as identical to tangible investments. For this purpose, intangible assets include research and development, advertising, brand development, and employee training expenses. The selection model then applies the Index Provider’s “Knowledge Leaders” screen, a proprietary, quantitative process used to measure a company’s intangible-adjusted financial history for knowledge and innovation intensity, financial strength, and profitability. Companies are graded on a “pass/fail” basis and those companies that pass each level of the screen are identified as Knowledge Leaders and included on the Index. From time to time, the Fund may have a significant portion of its assets invested in the securities of companies in one or more countries or regions and/or sectors. The Index may include companies of any market capitalization. Components in the Index are equal-weighted at the time of each Index rebalancing. The Index is rebalanced on a semi-annual basis. As of the date of this Prospectus, the Index comprised 234 component securities.   The Fund uses a passive investment strategy designed to track the performance of the Index. The Fund’s sub-adviser, Penserra Capital Management, LLC (“Penserra” or the “Sub-Adviser”), uses a representative sampling strategy to manage the Fund. Representative sampling is an indexing strategy that involves investing in a representative sample of the Index’s component securities that collectively has an investment profile similar to the Index. The securities selected are expected to have, in the aggregate, investment characteristics (based on factors such as industry weightings), fundamental characteristics (such as return variability) and liquidity measures similar to those of the Index. The Fund may or may not hold all of the securities in the Index. “Tracking error” is the difference between the performance (return) of the Fund’s portfolio and that of the Index. Funds that employ a representative sampling strategy may incur tracking error to a greater extent than funds that seek to replicate an index. The Fund expects that over time, if it has sufficient assets, the correlation between the Fund’s performance, before fees and expenses, and that of the Index will be 95% or better. A figure of 100% would indicate perfect correlation.   The Fund may invest up to 20% of its assets in investments that are not included in the Index, but that the Fund’s investment adviser, Exchange Traded Concepts, LLC (the “Adviser”), or Sub-Adviser believes will help the Fund track the Index. Such investments include other investment companies, cash and cash equivalents, and money market instruments.   The Fund will concentrate its investments (i.e., invest more than 25% of its total assets) in a particular industry or group of industries to approximately the same extent that the Index concentrates in an industry or group of industries.   The Index Provider is not affiliated with the Fund, the Adviser, or the Sub-Adviser. The Index Provider developed the methodology for determining the securities to be included in the Index and for the ongoing maintenance of the Index. The Index is calculated and administered by Solactive AG, which is not affiliated with the Fund, the Adviser, the Sub-Adviser, or the Index Provider.