The Fund aims to track the performance of the Russell/Nomura Fundamental Prime Index (excluding dividends) by investing all, or substantially all of its assets, in stocks that are included or are due to be included in the Russell/Nomura Fundamental Prime Index. Individual stocks that comprise the Fund will be held in proportions approximately equivalent to the ratio calculated based on the calculation rules of the Russell/Nomura Fundamental Prime Index.
The Russell/Nomura Fundamental Prime Index is an index seeking greater investability, which is designed by eliminating the stocks with significantly low liquidity or with extremely low index weight* from the component stocks of the Russell/Nomura Fundamental Index. The Russell/Nomura Fundamental Index, based on the index weight calculated by using each stock's fundamental variables (Adjusted Sales, Retained Operating Cash Flow and Dividends plus Buybacks), is designed to select and weight constituents of the top 98% of all stocks listed on financial instrument exchanges in Japan in terms of free-float adjusted market capitalization. The Russell/Nomura Fundamental Prime Index is calculated with a base date of December 29, 2000, and it assumes the index value on that day to be 100 points.