Definitions & Disclosures

All Cap

Generally, refers to an investment approach that invests across the full range of market capitalizations, including small-, mid-, and large-cap companies. All cap strategies typically do not focus on a specific capitalization.

Alpha

Compares risk-adjusted performance relative to an index. Positive alpha means outperformance on a risk-adjusted basis.

Blue Chip

Blue chip stocks are generally shares of large, well-established companies that are widely recognized in their industries and generally have substantial market capitalizations. Blue chip stocks are often part of major market indexes like the S&P 500.

Daily Liquidity

The ability to buy or sell shares on any business day at the current market price or net asset value, subject to normal market conditions.

ETF

An exchange-traded fund is a type of investment fund that holds a collection of securities and trades on stock exchanges throughout the day, just like individual stocks.

Gross Returns

Investment performance measured before deducting management fees, fund expenses, and transaction costs.

High Active Share

A measure of how much a portfolio's holdings differ from its benchmark index. A portfolio with high active share is meaningfully differentiated from the index, reflecting active investment decisions rather than closely mirroring benchmark constituents.

Large Cap

Refers to companies with larger market capitalization values (typically $10 billion to $200 billion) relative to the broader equity market, generally measured by the total market value of a company's outstanding shares.

Mid Cap

Refers to companies with medium-sized market capitalization values (typically $2 billion to $10 billion), relative to the broader equity market, based on the total market value of a company's outstanding shares.

MSCI ACWI NR Index

The MSCI ACWI NR Index is a free-float adjusted market-capitalization-weighted index that is designed to measure the equity market performance of developed and emerging markets. The MSCI ACWI consists of 47 country indexes comprising 23 developed and 24 emerging market country indexes.

MSCI ACWI Value NR Index

The MSCI ACWI Value NR Index captures the large- and mid-cap securities exhibiting overall value style characteristics across 23 developed market countries and 24 emerging markets countries. The value investment style characteristics for index construction are defined using three variables: book value to price, 12-month forward earnings to price, and dividend yield.

Natural Resources

Generally, refers to industries involved in the exploration, extraction, production, processing, or distribution of raw materials and commodities, including sectors such as energy, metals, mining, timber, agriculture, and water resources. Natural resource investment strategies typically focus on investing in these industries and sectors.

Net Returns

Investment performance measured after deducting applicable fees, expenses, and transaction costs.

Russell 2500™ Index

The Russell 2500™ Index measures the performance of the small- to mid-cap segment of the U.S. equity universe, commonly referred to as “SMID cap”. The Russell 2500™ Index is a subset of the Russell 3000™ Index. It includes approximately 2,500 of the smallest securities based on a combination of their market capitalization and current index membership. The Russell 2500™ Index is constructed to provide a comprehensive and unbiased barometer for the small- to mid-cap segment.

Russell 2500™ Value Index

The Russell 2500™ Value Index measures the performance of those Russell 2500™ companies with lower price-to-book ratios and lower forecasted growth values. These stocks are selected from the 2,500 smallest companies in the Russell 3000™ Index, representing approximately 20% of the total market capitalization of the Russell 3000™ Index.

SMA

Separately managed account.

Small Cap

Refers to companies with smaller market capitalization values (typically $250 million to $2 billion) relative to the broader equity market, generally measured by the total market value of a company's outstanding shares.

S&P 500

The S&P 500 Index is the Standard & Poor's composite index of 500 stocks, a widely recognized, unmanaged index of common stock prices.

CresAlta Investment Management, Inc. (CresAlta) is an investment adviser registered with the U.S. Securities and Exchange Commission (SEC). SEC registration does not constitute an endorsement of the advisory firm by the SEC, nor does it imply a certain level of skill or training.

CresAlta’s ETFs are distributed by Paralel Distributors LLC (Paralel). CresAlta serves as the investment adviser. Before investing, carefully consider the fund’s investment objectives, risks, charges, and expenses. This and other important information is contained in the prospectus and summary prospectus. Read them carefully before investing. To obtain a prospectus, visit the fund page on this website.

An SMA does not have a prospectus, is not a registered product, and does not afford the oversight that a 1940 Act product does. CVGD and CVSM are 1940 Act funds and distributed by Paralel. SMAs and related investment advisory services are provided by CresAlta, a federally registered investment adviser. Paralel is not affiliated with CresAlta and does not distribute SMAs.

The information on this website is provided for informational purposes only and is not intended as a forecast, a guarantee of future results, investment, legal or tax advice, or a recommendation or solicitation, or an offer to buy or sell any security. All expressions of opinion reflect the judgment of the authors as of the date of publication and are subject to change.

Forecasts, projections, and other forward-looking statements are based upon current beliefs and expectations. They are for illustrative purposes only and serve as an indication of what may occur. Given the inherent uncertainties and risks associated with forecasts, projections or other forward statements, actual events, results or performance may differ materially from those reflected or contemplated.

Investments in securities are not insured, protected, or guaranteed and may result in loss of income and/or principal. Diversification does not eliminate the risk of market loss. A long-term investment approach cannot guarantee a profit. Past performance is not indicative of, nor does it guarantee, future results.

Investors should consider the investment objectives, risks, charges, and expenses of the CresAlta Global Dividend ETF and the CresAlta Small and Mid Cap ETF (each, a “Fund” or collectively, the “Funds”), which are managed by CresAlta Investment Management, Inc. (“CresAlta”), carefully before investing. This and other information are contained in each Fund’s prospectus, which may be obtained by clicking here or by calling 855-704-4684. Please read the prospectus carefully before you invest.

An investment in the Funds involves risk, including loss of principal. There is no assurance that the investment process will consistently lead to successful investing. There is no assurance that the stated objectives will be met.

CresAlta employs an “active management” investment approach. Unlike typical “passively managed” ETFs, there is no index that the Funds attempt to track or replicate. Thus, the ability of the Funds to achieve their investment objectives will depend on the effectiveness of the portfolio manager.

ETF shares are bought and sold at market price — not NAV — and are not individually redeemable from the fund. Market price returns are based on the midpoint of the bid/ask spread at the close of trading and do not represent the return you would receive if you traded at another time. Brokerage commissions will reduce returns.

The Funds are not insured by the FDIC; are not guaranteed bank deposits; and are subject to investment risks, including the possible loss of principal.

Active Management Risk. A Fund’s judgments about an investment may prove to be incorrect or fail to have the intended results, which could adversely impact the Fund’s performance and cause it to underperform relative to its benchmark, or not to achieve its investment goal. Losses also may occur if there are mistakes or limitations in the data used or execution of the strategy. Each Fund has a specific investment strategy. If that strategy were to go out of favor with investors or otherwise fail to produce satisfactory performance results, the Fund could need to close. Portfolio turnover may end up higher than expected, which would result in higher transactional and brokerage fees.

Dividend-Paying Stock. While a Fund may hold securities of companies that have historically paid a dividend yield, those companies may reduce or discontinue their dividends, reducing the yield of the Fund. Low-priced securities in a Fund may be more susceptible to these risks. Past dividend payments are not a guarantee of future dividend payments. Also, the market return of high dividend yield securities, in certain market conditions, may perform worse than other investment strategies or the overall stock market. A Fund’s emphasis on dividend-paying stocks involves the risk that such stocks may fall out of favor with investors and underperform the market.

Equity Market Risk. A Fund invests in equity securities with an investment strategy significantly exposed to the performance of such securities, which include common stocks. Common stocks are susceptible to general stock market fluctuations and to volatile increases and decreases in value as market confidence in and perceptions of their issuers change. These investor perceptions are based on various and unpredictable factors including: expectations regarding government, economic, monetary and fiscal policies; inflation and interest rates; economic expansion or contraction; and global or regional political, economic, public health, and banking crises. Holdings in common stock, or common stock equivalents, of any given issuer, would generally be exposed to greater risk than holdings of preferred stocks and debt obligations of the same issuer because common stockholders, or holders of equivalent interests, generally have inferior rights to receive payments from issuers in comparison with the rights of preferred stockholders, bondholders, and other creditors of such issuers.

ETF Structure Risks. The Funds are ETFs, and, as a result of an ETF’s structure, the Funds are exposed to the following risks:

• Fluctuating Values — an ETF’s shares may trade at a market price that is above or below their NAV.
• Authorized Participants, Market Makers, and Liquidity Providers Concentration Risk — the Fund has a limited number of financial institutions that may act as APs; to the extent APs or MMs exit the business, Shares may trade at a material discount to NAV and possibly face delisting.
• Costs of Buying or Selling Shares — brokerage commissions and bid-ask spreads may significantly reduce investment results.
• Shares May Trade at Prices Other Than NAV — the market price of Shares may be above or below NAV intra-day due to supply, demand, or market volatility.
• Trading — there can be no assurance that Shares will trade with any volume on any stock exchange.
• Tax Laws Unfavorable — if tax laws were to change, certain ETF tax benefits could be eliminated.

General Market Risks. The stock market, bond market, and values of individual securities fluctuate. Decreases in such values will result in decreases to the value of a Fund. Changes in economic conditions, including but not limited to interest rates, credit availability, inflation rates, industry conditions, government regulation, competition, technological developments, political events and trends, tax laws, and other laws, affect securities values, which would adversely impact the value of a Fund and create unexpected volatility. Unexpected volatility could impair a Fund’s profitability or result in losses.

Limited History Risk. The Funds are new ETFs and have a limited history of operations for investors to evaluate. CresAlta is a recently formed company that has not previously managed an ETF. Investors in the Funds bear the risk that the Funds may not be successful in implementing their respective investment strategies, may be unable to implement certain of their investment strategies or may fail to attract sufficient assets, any of which could result in the Funds being liquidated and terminated at any time without shareholder approval and at a time that may not be favorable for all shareholders. Such a liquidation could have negative tax consequences for shareholders and will cause shareholders to incur expenses of liquidation.

Non-U.S. Securities Risk. A Fund may invest in non-U.S. securities. While non-U.S. investments are important to the diversification of the Fund’s portfolio, such investments carry risks that may be different from U.S. investments. Non-U.S. investments may not be subject to uniform audit, financial reporting, or disclosure standards or requirements comparable to those found in the U.S. Non-U.S. investments are also subject to foreign withholding taxes and the risk of adverse changes in investment or exchange control regulations. In addition, non-U.S. investments involve a currency risk that the value of the non-U.S. security will decrease due to changes in the relative value of the U.S. dollar and the security’s underlying foreign currency.

Small- and Mid-Capitalization Investing Risk. The Fund may invest in securities of small- and mid-cap issuers. Securities of small- and mid-cap issuers may present greater risks than those of large-cap issuers. For example, small- and mid-cap issuers often have limited product lines, markets, or financial resources. They may be subject to high volatility in revenues, expenses, and earnings. Their securities may be thinly traded, may be followed by fewer investment research analysts, and may be subject to wider price swings, which may create a greater chance of loss than when investing in securities of larger-cap issuers. The market prices of securities of small- and mid-cap issuers generally are more sensitive to changes in earnings expectations, to corporate developments, and to market rumors than are the market prices of large-cap issuers.

Risks of Purchasing Creation Units. There are certain legal risks unique to investors purchasing Creation Units directly from a Fund. Because Shares may be issued on an ongoing basis, a “distribution” of Shares could be occurring at any time. Certain activities that a shareholder performs as a dealer could, depending on the circumstances, result in the shareholder being deemed a participant in the distribution in a manner that could render the shareholder a statutory underwriter and subject to the prospectus delivery and liability provisions of the Securities Act. For example, a shareholder could be deemed a statutory underwriter if it purchases Creation Units from a Fund, breaks them down into the constituent Shares, and sells those Shares directly to customers, or if a shareholder chooses to couple the creation of a supply of new Shares with an active selling effort involving solicitation of secondary-market demand for Shares. Whether a person is an underwriter depends upon all of the facts and circumstances pertaining to that person’s activities, and the examples mentioned here should not be considered a complete description of all the activities that could cause you to be deemed an underwriter.

Valuation. The price the Fund could receive upon the sale of a security or other asset may differ from the Fund’s valuation of the security or other asset, particularly for securities or other assets that trade in low volume or volatile markets or that are valued using a fair value methodology as a result of trade suspensions or for other reasons. In addition, the value of the securities or other assets in the Fund’s portfolio may change on days or during time periods when shareholders will not be able to purchase or sell the Fund’s shares. APs who purchase or redeem Fund shares on days when the Fund is holding fair-valued securities may receive fewer or more shares, or lower or higher redemption proceeds, than they would have received had the Fund not fair-valued securities or used a different valuation methodology. The Fund’s ability to value investments may be impacted by technological issues or errors by pricing services or other third-party service providers.