Securities Report (Domestic Investment Trust Beneficiary Certificates) - 10th Period (2025/04/29 - 2026/04/27)

Sumitomo Mitsui DS Asset Management Co., Ltd. Securities Report (Domestic Investment Trust Beneficiary Certificates) - 10th Period (2025/04/29 - 2026/04/27)

This report is the 10th-period securities report (from April 29, 2025, to April 27, 2026) for domestic investment trust beneficiary certificates managed by Sumitomo Mitsui DS Asset Management Co., Ltd. The purpose of this report is to provide investors and stakeholders with accurate and transparent information regarding the investment trust's performance, financial status, risk factors, and other significant matters.

The investment trust primarily invests in domestic equities and bond markets, aiming for stable asset growth and consistent dividend distributions. In terms of investment strategy, the company regularly reviews asset allocation based on macroeconomic analysis to ensure flexible responses to market fluctuations. For individual security selection, a proprietary screening process evaluates financial health, growth potential, and dividend policies from multiple perspectives.

Performance during the reporting period has been benchmarked against the Tokyo Stock Exchange Price Index (TOPIX) and the JGB Index. The trust's net asset value increased by 3.2% compared to the same period last year, driven by a moderate rise in the stock market and stable yields from the bond portfolio. Distributions are paid quarterly, with an annual distribution yield of 1.8%.

Regarding risk management, measures are in place for credit risk, liquidity risk, and foreign exchange risk. Specifically, credit risk is monitored through both external credit ratings and an internal risk assessment model, with regular reviews. To address liquidity risk, the trust maintains a policy of holding a certain percentage of highly liquid assets.

The trust is distributed through major financial institutions, including Sumitomo Mitsui Trust Bank, and attracts interest from both individual and institutional investors. Going forward, the company will continue to prioritize investor protection, provide timely disclosures in response to changing market conditions, and maintain a robust investment management framework.