Emerging Markets Equity Strategy

A firm that claims compliance with the GIPS standards must establish policies and procedures for complying with all the applicable requirements of the GIPS standards. Verification provides assurance on whether the firm’s policies and procedures related to composite and pooled fund maintenance, as well as the calculation, presentation, and distribution of performance, have been designed in compliance with the GIPS standards and have been implemented on a firm-wide basis. Verification does not provide assurance on the accuracy of any specific performance report.

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On August 31, 2018, FIS Group, Inc. (“FIS Group”) acquired Piedmont Investment Advisors, Inc.’s (“PIA”) predecessor, Piedmont Investment Advisors, LLC. Xponance®, Inc. (“Xponance®”) is an independent, registered investment adviser and is the successor registrant under the Investment Advisers Act of 1940 (the “Advisers Act”) to both FIS Group and its wholly-owned subsidiary, PIA. Pursuant to a corporate rebranding and consolidation strategy, Xponance® was established effective April 1, 2020, to leverage the long histories of its predecessor entities in providing customized investment management products to institutional clients. FIS Group (through its former subsidiaries, Fiduciary Investment Solutions, Inc. and FIS Funds Management, Inc.) managed assets since 1996 and PIA (through its former affiliate Piedmont Investment Advisors, LLC) began managing assets in 2000. The firm maintains a list of composite descriptions and limited pool fund(s) descriptions, which is available upon request. Total firm asset presented through, and including, Calendar Year 2019 represent total firm asset for FIS Group as, prior to April 1, 2020, this composite was managed by legacy firm FIS Group. Total firm assets presented for periods after April 1, 2020 represent the total firm assets of Xponance.® Xponance® Emerging Markets Equity Strategy is an emerging markets equity composite which contains fully discretionary emerging markets equity account(s) that are constructed by using the manager of managers concept and, beginning February 1, 2018, may or may not have applied a tactical completion account to implement Xponance’s top down views, including the ability to amplify or reduce overall market beta risk, based on our risk indicators, more nimbly and more efficiently. Accounts that are no longer with the firm are included through the last full measurement period such accounts were managed in the composite’s style. For comparison purposes this composite is measured against the MSCI Emerging Markets net Index. Since the performance inception of the composite, sub-advisor(s) have been utilized to manage assets within the Xponance® Emerging Markets Equity Strategy. For periods prior to January 1, 2010, cash was managed separately for all carve-outs. For calendar year 2010, the composite was made up of 100% carve-outs. The Xponance® Emerging Markets Equity Strategy composite was created November 6, 2013.

Past performance is not indicative of future results. The US Dollar is the currency used to express performance. Returns include the effect of foreign currency exchange rates. Sources of foreign exchange rates may be different among the portfolios within a composite, and between the composite and the benchmark. Composite performance is presented net of foreign withholding taxes on dividends, interest income, and capital gains. The actual tax rate applied may vary by custodian and the investor’s domicile. MSCI uses the maximum withholding tax rate applicable to institutional investors in calculating MSCI net dividends.

Gross of fee performance results are presented gross of management fees and include the reinvestment of all income. Net of fee performance results reflect a model annual management fee of 1.00%. Net returns are calculated by deducting the model management fee from the monthly gross composite return. Actual management fees incurred by clients may vary. Xponance® uses the following asset-based standard fee schedule: 1.00% for the first $10 million, 0.90% for the next $15 million, 0.85% for the next $25 million, 0.80% for the next $25 million, 0.70% for the next $25 million, negotiable thereafter. As reflected in the FIS Group Emerging Markets Collective Investment Trust Offering Memorandum, the maximum annual management fee is 0.85%. The total expense ratios for FIS Tactical Completion Fund: 0.17%, FIS Group at a Reasonable Price I: 0.20%, FIS Group Quality Growth I: 0.20%, FIS Group Quality Value I: 0.20%, FIS Group Relative Value I: 0.20% as of the Fund’s most recent fiscal year end (June 30, 2020). Policies for valuing portfolios, calculating investments, and preparing GIPS reports are available upon request.

The three-year annualized standard deviation measures the variability of the composite gross returns and the benchmark returns over the preceding 36-month period.

Internal dispersion is calculated using the equal-weighted standard deviation of annual gross of fee returns of those portfolios that were included in the composite for the entire year. For those years when less than six portfolios were included in the composite for the full year, no dispersion measure is presented.