Rayliant Investment Research

Item 5- Fees and Compensation

Investment Advisory Services
For the investment advisory services to the ETFs, Rayliant charges an advisory fee, which is calculated daily
and paid monthly, at the following annual rates based on the average daily net assets of the ETF:

Fund                                                                         Advisory Fee
Rayliant Wilshire NxtGen Emerging Markets Equity ETF (“RWEM”) ¹              0.52%
Rayliant Wilshire NxtGen US Large Cap Equity ETF (“RWLC”) ¹                  0.32%
Rayliant -ChinaAMC Transformative China Tech ETF (“CNQQ”)                    0.75%
Rayliant SMDAM Japan Equity ETF (“RAYJ”)*                                    0.65%

¹ RWLC and RWEM are expected to be renamed the Rayliant NxtGen Multifactor US Equity ETF and the Rayliant
NxtGen Multifactor Emerging Markets Equity ETF, respectively, pending completion of the required shareholder
notice period. *The sub-adviser of RAYJ, SMDAM, is paid by Rayliant equal to 50% of the advisory fee received
by Rayliant from the ETF, net of any waivers and reimbursements.

The advisory fees set out above exclude other fees, such as brokerage commissions and fees payable to
financial intermediaries. All fees and expenses relating to the ETFs are detailed in the Prospectuses.

Separately Managed Accounts
Rayliant charges a management fee for separately managed accounts, determined on a case-by-case basis.
The fee structure is based on several factors, such as the size of the assets, complexity of the account and
transactions, types of securities involved and relationship with the client.

Rayliant’s management fees are exclusive from other costs and expenses which are borne by the client. These
costs and expenses may include, but are not limited to, brokerage commissions, transaction fees, custodial
fees, charges by third-party investment managers, deferred sales charges, odd-lot differentials, transfer taxes,
wire transfer and electronic fund fees, and other taxes or fees related to brokerage accounts and securities
transactions.

Clients are billed for management fees quarterly in arrears. They are either deducted from the assets of the
client’s account or paid via invoice, depending on client’s preference.

Provision of Sub-Advisory Services
For sub-advisory arrangements, Rayliant is generally compensated through one of two structures: (1) a direct
service fee based on the AUM of discretionary portfolios, calculated quarterly using average month-end AUM;
or (2) a portion of fees paid by clients to RGA, Rayliant's parent company, which may include a fixed fee
component and/or an AUM-based fee on a declining scale, each payable quarterly in arrears. Where fees are
calculated by reference to AUM, such AUM reflects assets in portfolios managed by the receiving adviser and is
not included in Rayliant's regulatory assets under management as reported in Item 4.

The sub-advisory fees are negotiable at Rayliant’s discretion.

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Item 7- Types of Clients
Rayliant's clients consist of the ETFs for which it serves as investment adviser — comprising series of The
Advisors' Inner Circle Fund III (RWLC, RWEM, and RAYJ) and the Rayliant Funds Trust (CNQQ) — as well as
institutional clients to which it provides sub-advisory and model delivery services, including East West Bank
and Henderson Rowe Limited.