Sumitomo Mitsui DS Asset Management Hong Kong Limited

Item 5.         Fees and Compensation

Advisory Fees

Our standard annual advisory fee for portfolio management of Japanese equity portfolios for non-
Japanese investors ranges from 0.5% to 0.2% of assets under management, billed quarterly in arrears
based on quarter-end account values. Fees may be negotiated, and individual client agreements may

specify different fee schedules based on the scope and complexity of services, account size, and other
factors.

Fee Methodology & Billing

We calculate our investment advisory fees as set forth in the investment advisory agreement with each
client, and in general it calculates fees in proportion to the client’s assets under management using either
the month-end asset balance or the average daily balance as the basis for this calculation, and it is
common practice to treat accounts on a non‑aggregated basis.

We do not currently have any U.S. clients whose fees are subject to an annual cap. At present, all U.S.
client accounts are billed in accordance with the fee arrangements agreed with each client, without
applying an annual cap. However, We may consider such arrangements on a case-by-case basis in the
future.

Other Costs

Clients also bear custodial fees, transaction costs, and fund-level expenses (e.g., mutual fund/ETF
management fees), which are separate from advisory fee.

Negotiability & Conflicts

Under certain circumstances, we may offer fee discounts or alternative fee arrangements. These variations
can create potential incentives or conflicts of interest, which we address and mitigate through our
compliance program. Clients may request additional information about how their fees were determined at
any time.

Item 7.        Types of Clients

As noted above under “Advisory Business”, we provide investment management services only to Asia ex-
Japan institutional investors. There is no clear standard for the minimum account size.