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　　General Information& Regulation

　　Sompo Asset Management Co., Ltd. was established on February 25, 1986 and is located in Tokyo, Japan. It mainly provides investment management business, investment consulting and agency business, second-class financial instrument business, and fixed-payment pension operation management business. In April 2020, the company name was changed from “Sompo Japan Nipponkoa Asset Management” to “Sompo Asset Management”. Sompo Asset Management is regulated by the Financial Services Agency (FSA) of Japan, with the regulatory certificate number 7010001031160.

　　Market Instruments

　　Sompo Asset Management provides investors with a series of financial instruments, including Japanese stocks, overseas stocks, Japanese bonds, overseas bonds, real estate investment trusts (REITs), etc. Sompo Asset Management also provides investment products for pension clients as well as professional hedge funds in the Japanese market.

　　Sompo Commissions

　　The maximum investment trust application fee is 3.5% (excluding tax), the maximum trust property retention fee is 0.5% of the trust assets, and the maximum trust fee is 1.9% (excluding tax). In addition, the invested funds and Euroyen bonds may incur other costs.

　　Investment Process

　　When investing in Japanese stocks, first find normal fundamentals through fundamental research, including strategic analyses such as positioning and competitive forces analyses, and research and score each company on business and credit risk in order to accurately calculate each stock's discount rate. Second, use normal fundamentals, discount rate and the dividend discount model to calculate the intrinsic value, alpha, and price/intrinsic value ratio of each stock, and rank each stock accordingly to generate a model portfolio. Finally, portfolio managers integrate recommendations into the client portfolio, taking correlation and risk concentration into account, then optimize the client portfolio within the constraints of the client portfolio's risk budget.

　　Sompo Income Distribution

　　Unlike deposits and savings interest, distributions are paid from the net assets of the investment trust, so when the distribution is paid, the net asset value will reduce this amount.

　　Sompo Risk

　　Investment trust funds mainly invest in domestic and foreign stocks, bonds and other securities. The prices of these securities fluctuate, and there is no guarantee of investment principal. Therefore, the value of each investment unit may fluctuate due to market price changes, exchange rate changes and other factors, and may be lower than the customer's investment amount. In addition, each investment trust has different types of investment assets, investment restrictions, trading markets and investment countries, so the nature and content of risks involved may also be different.