Rayliant-ChinaAMCTransformative China Tech ETF

Investing involves risk, including the risk of total loss of principal. Please consider the risks outlined in the sections below before investing in the ETF.

Equity securities may decline due to company-specific events, industry shifts, or general market conditions. Stock values can be volatile and may result in losses.

Investments in Chinese issuers are subject to government intervention, policy shifts, capital restrictions, and limited legal recourse. Many Chinese companies use variable interest entity (VIE) structures, which do not provide direct equity ownership and could be deemed invalid under Chinese law, leading to significant losses.

Emerging markets involve heightened risks, including political and economic instability, weaker investor protections, less transparent accounting standards, and greater price volatility.

Foreign investments may face liquidity constraints, withholding taxes, political instability, and currency exchange fluctuations. A stronger U.S. dollar may reduce returns on foreign securities.

Because the Fund is concentrated in China and technology-related industries, adverse events in these areas may disproportionately impact Fund performance.

Technology securities may be volatile due to rapid innovation, competitive pressures, product obsolescence, cybersecurity risks, and regulatory changes.

There can be no assurance that an ETF will achieve its stated objectives.

Securities of smaller companies may be more volatile, less liquid, and more sensitive to economic conditions than those of larger firms.

As a non-diversified fund, the Fund may invest more heavily in fewer issuers, increasing exposure to the performance of individual securities.

Only a limited number of institutions can create and redeem shares. If they cease activity, liquidity may decline, and shares could trade at wider premiums/discounts to NAV. Investors may also face bid-ask spreads, brokerage commissions, and potential trading halts.

Shares may trade at a price above (premium) or below (discount) the Fund’s net asset value (NAV).

Because the Fund may use cash rather than in-kind transactions for creations/redemptions, it could recognize taxable gains and distribute higher capital gains than traditional ETFs.

Use of swaps or derivatives may increase leverage, counterparty exposure, and valuation risk, potentially magnifying gains or losses.

The Fund may be affected by human error, system failures, cyberattacks, or service provider errors, which could disrupt operations or harm performance.

Concentrated ownership may trigger large redemptions, leading to forced sales at unfavorable prices.

Higher turnover may increase costs and taxable gains.

The Fund is newly launched and lacks an operating history.

Securities valued using estimates or fair value pricing may differ from actual sale prices

Trading through Stock Connect is subject to a number of restrictions that may affect an ETF’s investments and returns. China A shares purchased by the ETF through Stock Connect are generally subject to Chinese securities regulations and listing rules, among other restrictions.

The adviser confirms it has taken the following steps to comply with Executive Order 13959 dated 12 November 2020:
1. It has not purchased and will not purchase for value on or after January 11, 2021 any of the Sanctioned Securities of companies identified in the Executive Order;
2. As additional Sanctioned Securities become subject to restrictions under the Executive Order, it will not purchase for value any of these Sanctioned Securities on or after the effective date of the restrictions applicable to these Sanctioned Securities;
3. To the extent it maintains holdings of Sanctioned Securities prior to the effective date of the restrictions under the Executive Order applicable to these Sanctioned Securities, it will divest all holdings of the Sanctioned Securities in accordance with the requirements of the Executive Order.

The Rayliant-ChinaAMC Transformative China Tech ETF is distributed by Northern Lights Distributors, LLC, Member FINRA/SIPC. The Rayliant-ChinaAMC Transformative China Tech ETF is not affiliated with Northern Lights Distributors, LLC.