div style="margin-top:6pt;"span style="color:#000000;font-family:arial;font-size:8.55pt"The Fund seeks to track the investment results of the Bloomberg /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"Pan-European High Yield (Euro) TR Index Hedged USD (the /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"“/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"Underlying Index/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"”/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"), which measures the performance of fixed-rate,/spanspan style="color:#000000;font-family:arial;font-size:8.55pt" high-yield Euro-denominated securities issued by /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"companies, as determined by Bloomberg Index Services Limited /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"(the /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"“/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"Index Provider/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"”/spanspan style="color:#000000;font-family:arial;font-size:8.55pt" or /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"“/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"Bloomberg/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"”/spanspan style="color:#000000;font-family:arial;font-size:8.55pt")./span/divdiv style="margin-top:6pt;"span style="color:#000000;font-family:arial;font-size:8.55pt"The constituents of the Underlying Index must be Euro-denominated/spanspan style="color:#000000;font-family:arial;font-size:8.55pt" corporate bonds with a remaining time to maturity /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"of at least one year and an outstanding par amount of at least /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"EUR 100 million. Senior and subordinated issues may be included. /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"The Underlying Index is market capitalization-weighted. The /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"Underlying Index excludes debt from issuers that have an /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"emerging market country of risk, as determined by Bloomberg. In /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"addition, certain types of securities, such as contingent capital /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"securities, inflation-linked bonds, floating-rate issues, fixed-rate /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"perpetuals, retail bonds, structured notes, pass-through /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"certificates, private placements (other than those offered /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"pursuant to Regulation S promulgated under the Securities Act of /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"1933, as amended (the /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"“/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"1933 Act/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"”/spanspan style="color:#000000;font-family:arial;font-size:8.55pt")) and securities where reliable /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"pricing is unavailable, are excluded from the Underlying Index. The /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"securities in the Underlying Index are updated on the last /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"business day of each month./span/divdiv style="margin-top:6pt;"span style="color:#000000;font-family:arial;font-size:8.55pt"The components of the Underlying Index include fixed-income /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"securities and foreign currency forward contracts (both /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"deliverable and non-deliverable) designed to hedge the Euro’s /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"fluctuations against the U.S. dollar. A foreign currency forward /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"contract is a contract between two parties to buy or sell a /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"specified amount of a specific currency in the future at an agreed-upon/spanspan style="color:#000000;font-family:arial;font-size:8.55pt" exchange rate. The notional exposure to foreign currency /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"forward contracts (both deliverable and non-deliverable) generally /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"will be a short position that hedges the currency risk of the fixed-income/spanspan style="color:#000000;font-family:arial;font-size:8.55pt" portfolio./span/divdiv style="margin-top:6pt;"span style="color:#000000;font-family:arial;font-size:8.55pt"The Underlying Index sells forward the total value of the Euro at a /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"one-month forward rate to hedge against fluctuations in the /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"relative value of the Euro in relation to the U.S. dollar. The hedge /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"is reset monthly. The Underlying Index is designed to have higher /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"returns than an equivalent unhedged investment when the Euro is /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"weakening relative to the U.S. dollar. Conversely, the Underlying /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"Index is designed to have lower returns than an equivalent /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"unhedged investment when the Euro is rising relative to the U.S. /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"dollar./span/divdiv style="margin-top:6pt;"span style="color:#000000;font-family:arial;font-size:8.55pt"In order to track the hedging component of the Underlying Index, /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"the Fund enters into foreign currency forward contracts designed /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"to offset the Fund’s exposure to the Euro. The Fund’s exposure to /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"foreign currency forward contracts is based on the aggregate /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"exposure of the Fund to the Euro. While this approach is designed /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"to minimize the impact of currency fluctuations on Fund returns, it /span/divdiv style="line-height:10.45pt;text-align:left;"span style="color:#000000;font-family:arial;font-size:8.55pt"does not necessarily eliminate the Fund’s exposure to the Euro. /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"The return of the foreign currency forward contracts may not /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"perfectly offset the actual fluctuations in value between the Euro /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"and the U.S. dollar./span/divdiv style="margin-top:6pt;"span style="color:#000000;font-family:arial;font-size:8.55pt"The Fund may also use non-deliverable forward (/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"“/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"NDF/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"”/spanspan style="color:#000000;font-family:arial;font-size:8.55pt") contracts /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"to execute its hedging transactions. An NDF contract is a contract /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"where there is no physical settlement of two currencies at /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"maturity. Rather, based on the movement of the currencies and /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"the contractually agreed upon exchange rate, one party makes a /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"net cash settlement in U.S. dollars to the other party./span/divdiv style="margin-top:6pt;"span style="color:#000000;font-family:arial;font-size:8.55pt"In addition, the Fund may use interest rate futures to hedge the /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"duration of its bond portfolio./span/divdiv style="margin-top:6pt;"span style="color:#000000;font-family:arial;font-size:8.55pt"As of November 3, 2025, the Underlying Index consisted of /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"securities of companies in 27 countries or regions. As of /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"November 3, 2025, there are approximately 660 components in /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"the Underlying Index. As of November 3, 2025, a significant /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"portion of the Underlying Index is represented by securities of /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"issuers in the communications and consumer goods and services /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"industries or sectors. The components of the Underlying Index are /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"likely to change over time./span/divdiv style="margin-top:7pt;"span style="color:#000000;font-family:arial;font-size:8.55pt"BFA uses an indexing approach to try to achieve the Fund’s /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"investment objective. The Fund does not try to /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"“/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"beat/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"”/spanspan style="color:#000000;font-family:arial;font-size:8.55pt" the index it /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"tracks and does not seek temporary defensive positions when /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"markets decline or appear overvalued./span/divdiv style="margin-top:7pt;"span style="color:#000000;font-family:arial;font-size:8.55pt"Indexing may eliminate the chance that the Fund will substantially /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"outperform the Underlying Index but also may reduce some of the /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"risks of active management, such as poor security selection. /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"Indexing seeks to achieve lower costs and better after-tax /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"performance by aiming to keep portfolio turnover low in /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"comparison to actively managed investment companies./span/divdiv style="margin-top:7pt;"span style="color:#000000;font-family:arial;font-size:8.55pt"BFA uses a representative sampling indexing strategy to manage /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"the Fund. /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"“/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"Representative sampling/spanspan style="color:#000000;font-family:arial;font-size:8.55pt"”/spanspan style="color:#000000;font-family:arial;font-size:8.55pt" is an indexing strategy that /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"involves investing in a representative sample of securities or other /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"instruments that collectively has an investment profile similar to /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"that of an applicable underlying index. The instruments selected /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"are expected to have, in the aggregate, investment characteristics /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"(based on factors such as market value and industry weightings), /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"fundamental characteristics (such as return variability, duration /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"(/spanspan style="color:#000000;font-family:arial;font-size:8.55pt;font-style:italic"i.e./spanspan style="color:#000000;font-family:arial;font-size:8.55pt", an instrument's price sensitivity to a change in interest /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"rates), maturity or credit ratings and yield) and liquidity measures /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"similar to those of an applicable underlying index. The Fund may /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"or may not hold all of the components of the Underlying Index./span/divdiv style="margin-top:7pt;"span style="color:#000000;font-family:arial;font-size:8.55pt"The Fund will invest at least 80% of its assets in the component /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"securities of the Underlying Index, and the Fund will invest at least /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"90% of its assets in fixed income securities of the types included /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"in the Underlying Index that BFA believes will help the Fund track /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"the Underlying Index. The Fund will invest no more than 10% of its /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"assets in futures, options and swaps contracts that BFA believes /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"will help the Fund track the Underlying Index as well as in fixed /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"income securities other than the types included in the Underlying /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"Index, but which BFA believes will help the Fund track the /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"Underlying Index. Cash and cash equivalent investments /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"associated with a derivative position will be treated as part of that /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"position for the purposes of calculating the percentage of /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"investments included in the Underlying Index. The Fund seeks to /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"track the investment results of the Underlying Index before fees /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"and expenses of the Fund./span/divdiv style="line-height:10.45pt;text-align:left;"span style="color:#000000;font-family:arial;font-size:8.55pt"The Underlying Index is sponsored by Bloomberg, which /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"is/spanspan style="color:#000000;font-family:arial;font-size:8.55pt;line-height:10.45pt" /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"independent of the Fund and BFA. The Index Provider /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"determines the composition and relative weightings of the /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"components of the Underlying Index and publishes information /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"regarding the market value of the Underlying Index./span/divdiv style="margin-top:7pt;"span style="color:#000000;font-family:arial;font-size:8.55pt;font-weight:bold"Industry Concentration Policy./spanspan style="color:#000000;font-family:arial;font-size:8.55pt" The Fund will concentrate its /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"investments (/spanspan style="color:#000000;font-family:arial;font-size:8.55pt;font-style:italic"i.e./spanspan style="color:#000000;font-family:arial;font-size:8.55pt", hold 25% or more of its total assets) in a /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"particular industry or group of industries to approximately the /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"same extent that the Underlying Index is concentrated. For /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"purposes of this limitation, securities of the U.S. government /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"(including its agencies and instrumentalities), repurchase /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"agreements collateralized by U.S. government securities, and /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"securities of state or municipal governments and their political /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"subdivisions are not considered to be issued by members of any /spanspan style="color:#000000;font-family:arial;font-size:8.55pt"industry./span/div