VALIDEA MARKET LEGENDS ETF (VALX) Exchange: NASDAQ

DELISTED - The Fund uses a “passive management” (or indexing) approach to track the performance, before fees and expenses, of the Index. The Index uses a proprietary, rules-based methodology created by Validea Capital Management, LLC, the Fund’s index provider and investment adviser (the “Adviser”), to select companies based on the published stock selection strategies of historically successful investors.Validea Market Legends IndexIndex construction begins with the universe of U.S.-listed equity securities with a minimum market capitalization of $400 million and a minimum average daily traded value of $4 million (the “Index Universe”).The securities in the Index Universe are screened against over 40 individual quantitative models (“Investor Models”) developed by the Adviser, each representing the published investment strategy of a historically successful investor whose investment strategy has generally been subject to significant academic or media analysis, such as Warren Buffet, Benjamin Graham, or David Dreman. The Investor Models incorporate over 300 unique fundamental metrics of companies, including measures relating to profitability, valuation, growth, cash flow, financing, and past performance, among others. The Adviser believes that the strategies of historically successful investors offer a formula for superior stock selection and that implementing these techniques in a disciplined, unemotional, and systematic manner can lead to long-term market outperformance.Using historical data, the Adviser’s proprietary model used by the Index evaluates the long-term performance, risks, and correlation of each Investor Model and identifies the five to ten Investor Models and ten securities from each of the selected Investor Models (for a total portfolio of 50-100 securities) that, in aggregate, have the greatest potential for capital appreciation while reducing volatility. The Index will be more concentrated in a single sector or sectors and contain a smaller number of securities when the Adviser’s quantitative model indicates that a more focused approach is warranted based on the factors used within the Investor Models. By utilizing various Investor Models in the creation of a composite strategy, the Index seeks to smooth returns in different market environments and limit investment style specific risk. The Index is comprised of U.S.-listed equity securities of U.S. companies (excluding BDCs) and foreign equity securities available on a U.S. exchange as American Depositary Receipts (“ADRs”). Investments in ADRs may include ADRs representing companies in emerging markets. The Index will be reconstituted every four weeks or approximately 13 times per year. At the time of each reconstitution, securities no longer identified for inclusion in the Index are removed from the Index and securities being added to the Index are equal-weighted with an aggregate weight equal to the aggregate weight of the securities being removed. Additionally, at the time of each reconstitution of the Index, securities in the Index are subject to maximum exposures of 40% for an individual sector, 25% for an individual industry, 10% for an individual security, and 25% for the five largest weighted securities, with any excess weight reallocated equally among the remaining securities, subject to the foregoing limitations. The Fund’s Investment Strategy The Fund attempts to invest all, or substantially all, of its assets in the component securities that make up the Index. Under normal circumstances, at least 80% of the Fund’s total assets (exclusive of any collateral held from securities lending) will be invested in the component securities of the Index. The Adviser expects that, over time, the correlation between the Fund’s performance and that of the Index, before fees and expenses, will be 95% or better. The Fund will generally use a “replication” strategy to achieve its investment objective, meaning it generally will invest in all of the component securities of the Index in approximately the same proportion as in the Index. However, the Fund may use a “representative sampling” strategy, meaning it may invest in a sample of the securities in the Index whose risk, return and other characteristics closely resemble the risk, return and other characteristics of the Index as a whole, when the Adviser believes it is in the best interests of the Fund (e.g., when replicating the Index involves practical difficulties or substantial costs, an Index constituent becomes temporarily illiquid, unavailable, or less liquid, or as a result of legal restrictions or limitations that apply to the Fund but not to the Index). The Fund generally may invest up to 20% of its total assets (exclusive of any collateral held from securities lending) in securities or other investments not included in the Index, but which the Adviser believes will help the Fund track the Index. For example, the Fund may invest in securities that are not components of the Index to reflect various corporate actions and other changes to the Index (such as reconstitutions, additions, and deletions).