EATV Q2 Fund Methodology Overview

Dear Valued Investors,

This week I delve into the methodology that underpins EATV, the VegTech? Plant-based Innovation & Climate ETF. The goal is to illustrate the process we employ to curate our fund's investable universe and what goes into the investment strategy. This process is central in our goal of seeking long term growth of capital.

The EATV Universe Selection Process

1. A Diversified Universe

Our journey begins with a meticulous Eligibility screening, evolving into a Strategy that defines the weight of the securities within our portfolio. Through comprehensive research, including analysis of company filings, product evaluations and AI-assisted search, we assemble a diversified universe of companies aimed at seizing growth opportunities in the Plant-based Innovation sector.

2. Eligibility Screening

Our selection process focuses on companies that align with our thematic emphasis on Plant-based Innovation and climate impact. These entities innovate with plant-based ingredients for sustainable food and materials, or demonstrate a positive climate impact. This would also include novel technologies like microbial and bio-fermented proteins and cultivated meat which rely on plant-based inputs. Companies are categorized into sub-sectors such as AgTech, Synthetic Biology, Ingredients, and Consumer Food/Beverage, ensuring broad coverage across the food supply chain. Typically, 80% of our holdings are in these food-related sectors, with the remainder in materials or cash.

We seek companies exhibiting solid performance and promising futures. Each candidate must support our growth thesis, with evidence like consensus analyst estimates that the price will be above the current market price in twelve months. We delve deeper, considering competitive advantages such as brand recognition, cost leadership, patents, and intellectual property and moats. This method has led us to companies with high revenue growth, despite many EATV holdings being in the typically slower-growing consumer staples sector.

We also apply an ethical risk filter to exclude companies with practices that pose significant performance risks or fall outside our thematic focus. This includes firms engaged in severe human rights violations or pollution that poses material risks, or industries like non-renewable energy, vice products, weapons and defense, and private prisons.

3. Strategy

Our proprietary algorithm assesses stocks for risk-adjusted returns, leveraging factor investing to prioritize higher momentum stocks with higher historical returns while reducing weights on riskier assets. This blend of momentum and drawdown mitigation adapts to market conditions, aiming to safeguard against severe downturns. Our active management approach, bolstered by sector expertise, focuses on long-term growth, complemented by liquidity risk management to ensure the fund's tradability for larger institutional orders.

Because of the strategy and selection processes working together, EATV has shown strong performance, outpacing the Non-Impact Food Index Composite and Climate Positive Index Composite at NAV in the 1, 3, 9 month and Year-to-date periods, as well as the 1 and 2 year periods. This success underscores our strategy's effectiveness in capitalizing on sector momentum while weathering historic downturns.

The performance data quoted represents past performance and is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. For the most recent month-end performance, please call 1 424-237-8393 or visit the Fund's website at EATVetf.com. Performance of EATV takes into account the gross expense ratio, which is 0.76%. Indexes track an underlying basket of securities and cannot be invested in directly. The S&P 500 Index tracks the total returns of roughly 500 US large-cap companies. The Climate Positive Index Composite is the average performance of two indexes: The S&P Global Eco Index, tracking 40 of the largest publicly traded companies in six ecology related industries, and the S&P Global Clean Energy Select Index tracking 30 of the largest companies in the global clean energy related business. The Non-Impact Food Index Composite is the average performance of two indexes: (1) The Solactive AgTech & Food Innovation Index is a rules-based, price return index of companies in developed and emerging markets expected to have exposure to AgTech and Food Innovation, and (2) Morningstar Global Food Innovation Index is a float-adjusted market cap index reflecting the price returns of global companies in the Food Innovation theme.

4. Final Weightings

After final weights and when the strategy is implemented, the balance of the fund's investments are typically around 80% in food related companies, with 80.1% in the AgTech, Synthetic Biology, Ingredients, and Consumer Food/Beverage as of 6/30/24.

In conclusion, EATV offers a distinct advantage for investors looking to harness the transformative power of Plant-based Innovation within the food sector. Its methodology targets strategic long-term growth of capital and, because of its thematic emphasis, it has received a Carbon Neutral without buying credits certification from Ethos ESG addressing climate change and global warming. It offers efficient food production solutions that address food insecurity, biodiversity loss and deforestation protection, as well as animal welfare.

This presents a unique investment avenue that aligns financial growth with environmental stewardship. We encourage you to deepen your engagement with EATV, unlocking the dynamic growth potential of this sector while contributing to a sustainable future. We invite you to explore the growth potential of this dynamic sector and invest in EATV.

For more information and standardized performance and full holdings, visit https://EATVetf.com, and for an EATV Fact Sheet, click here.

Sincerely,

Sasha Goodman

Chief Investment Officer, Co-Founder of VegTech Invest, and Portfolio Manager of the EATV ETF

Exchange Traded Funds (ETF) are bought and sold through exchange trading at market price (not NAV), and are not individually redeemed from the fund. Shares may trade at a premium or discount to their NAV in the secondary market. Brokerage commissions will reduce returns.

The fund's investment objectives, risks, charges and expenses must be considered carefully before investing. The prospectus and summary prospectus (if available) contains this and other important information about the investment company, and it may be obtained by calling 1-424-237-8393, emailing [email protected] or visiting EATV.VegTechInvest.com. Read it carefully before investing.

The compound annual growth rate (CAGR) is the rate of return (RoR) that would be required for an investment to grow from its beginning balance to its ending balance, assuming the profits were reinvested at the end of each period of the investment's life span.

Investing involves risk including the possible loss of principal. Past performance does not guarantee future results.

Alpha refers to excess returns earned on an investment above the benchmark return when adjusted for risk.

The fund is an actively managed ETF that does not seek to replicate the performance of a specified index.

Foreign securities may be more volatile and less liquid than domestic (U.S.) securities, which could affect the Fund's investments.

Stocks of companies with small and mid-market capitalizations involve a higher degree of risk than investments in the broad-based equities market.

The fund is non-diversified and may hold large positions in a small number of securities. A price change in any one of those securities may have a greater impact on the fund's share price than if it were diversified.

The Fund is newly organized and has a limited operating history to judge.

ESG investing is defined as utilizing environmental, social and governance (ESG) criteria as a set of standards for a company's operations that socially conscious investors use to screen potential investments. The Fund's policy of investing in companies as a means to promote positive climate change could cause the Fund to perform differently compared to similar funds that do not have such a policy.

The fund EATV was carbon neutral during the third and fourth quarters of 2022, based on data provided by VegTech? Invest and an independent assessment conducted by Ethos Impact Inc. ("Ethos ESG").

In order to identify emissions reduction potential, Ethos reviewed a variety of lifecycle analyses (assessments of the carbon footprint of a product over its entire "lifecycle") from the University of Michigan, Boston Consulting Group, and others. These analyses quantify the typical emissions reduction associated with converting from beef to plant-based meat, implementing green vertical farming, investing in plant-based products and innovations, and making other transitions to plant-based industry.

Ethos compared the estimated carbon footprint of the holdings in EATV (the Scope 1, 2 and 3 emissions that EATV is responsible for through its investment in each holding) with the expected impact of emissions that are avoided for each holding. Based on this analysis, Ethos determined that the aggregate carbon avoidance potential of all EATV holdings was greater than the estimated carbon footprint -- i.e., an investment in EATV results in a net reduction of carbon (AKA Carbon Negative), when considering the expected emissions avoided.

The certification is not intended to indicate "absolute" zero emissions, but rather the relative impact when compared to meat and other alternatives.

EATV is distributed by Quasar Distributors, LLC.

Quasar is a subsidiary of the group of companies doing business as ACA Group and is an affiliate of Ethos ESG. Neither Quasar, nor any of its directors, officers, or staff, are involved in Ethos ESG's certification process or pay for accreditation, nor does Ethos ESG consider affiliation as part of its certification analysis.

VegTech LLC is located at 1842 Purdue Ave Unit 103, Los Angeles, CA 90025.