THE WEAR ETF (WEAR) Exchange: BATS

DELISTED - The Fund will normally invest at least 80% of its total assets in securities of the Index. The Index is designed to track the performance of companies that have a current or future business focus on wearable technology devices and/or components of such devices, as determined by EQM Indexes LLC (the "Index Provider").   Companies eligible for inclusion in the Index include companies that derive a portion of their revenues from (1) the sale of technology devices that can be worn on the body, either as an accessory or as part of clothing, and are used for applications such as sports and wellness, industrial and military, infotainment/lifestyle, or healthcare and medical ("Wearable Devices"); or (2) the manufacture of components used in Wearable Devices, such as semiconductors, sensors, and displays ("Wearable Components") (together, "Wearable Technology Companies"). Eligible Index constituents are common equity securities and American Depositary Receipts ("ADRs") of Wearable Technology Companies that are traded on an exchange, and that, at the time of rebalance, have a market capitalization of at least $300 million, a minimum price of $5 per share, an average daily traded value of at least $2 million over the last six months, and adequate liquidity and accessibility for an exchange-listed product, as determined by the Index Provider. The Index consists of securities of both U.S. and foreign issuers, including securities of issuers located in emerging market countries.   Index constituents are categorized as "core" holdings, meaning securities of Wearable Technology Companies that derive significant revenues, as defined by the Index Provider, from the sale of Wearable Devices, and "non-core" holdings, meaning securities of Wearable Technology Companies that, as determined by the Index Provider, are expected to derive an increasing portion of their revenues from the sale of Wearable Devices and/or are primarily engaged in the manufacture of Wearable Components. Index weightings are determined according to a modified equal weighting methodology: at each rebalance of the Index, constituents are equal-weighted, but core holdings are subject to a multiplier of 1.5 times the equal weight. Non-core holdings are then equal-weighted. The Index is rebalanced semi-annually but may be rebalanced more frequently for specific corporate events, as determined by the Index Provider. The Index is unmanaged and cannot be invested in directly.   The Fund employs a "passive management" investment strategy designed to track the performance of the Index. The Fund generally will use a replication methodology, meaning it will invest in all of the securities comprising the Index in proportion to the weightings in the Index. However, the Fund may utilize a sampling methodology under various circumstances, including when it may not be possible or practicable to purchase all of the securities in the Index. Exchange Traded Concepts, LLC (the "Adviser") expects that over time, if the Fund 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 Adviser or the Fund's sub-adviser, Vident Investment Advisory, LLC (the "Sub-Adviser") believes will help the Fund track the Index. Such investments include cash, 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. As of April 30, 2017, the Index had a significant amount of investment exposure in the information technology sector.   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 is responsible 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.