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Banking Industry Risk —The risks generally associated with concentrating investment in the <br />banking industry, such as interest rate risk, credit risk, and regulatory developments relating to <br />the banking industry. <br />Call Risk —A fixed income security may include a provision that allows the issuer to purchase <br />the security back from its holder earlier than the final maturity date of the security, known as a <br />"call feature." Issuers often exercise this right when interest rates have declined, in which case, <br />the Fund may be forced to reinvest the proceeds received at a lower interest rate <br />Convertible Securities Risk —The value of a convertible security generally increases and <br />decreases with the value of the underlying common stock, but may also be sensitive to changes <br />in interest rates. Convertible securities generally have a higher risk of default and tend to be <br />less liquid than traditional non - convertible securities. In addition, the convertible securities a <br />Fund invests in may be rated below investment grade or may be unrated, which could increase <br />their risks. Below investment grade securities are speculative and involve a greater risk of <br />default than investment grade securities. The market prices of lower rated convertible <br />securities also may experience greater volatility than the market prices of higher quality <br />securities and may decline significantly in periods of general economic difficulty. A Fund could <br />lose money if the issuer of a convertible security is unable to meet its financial obligations or <br />declares bankruptcy. <br />Credit Risk —An issuer of a fixed income security may be unable or unwilling to make payments <br />of principal or interest to the holders of such securities or may declare bankruptcy. These <br />events could cause a Fund to lose money. <br />Derivative Instruments Risk —Use of derivative instruments involves risks different from, or <br />possibly greater than, the risks associated with more traditional investments, and may involve a <br />small amount of investment relative to the amount of risk assumed. Risks associated with <br />derivative instruments include: the risk that the other party to a derivative contract may not <br />fulfill its obligations (counterparty risk); the risk that a particular derivative instrument, such as <br />over - the - counter derivative instruments, may be difficult to purchase or sell (liquidity risk); the <br />risk that certain derivative instruments are more sensitive to interest rate changes and market <br />price fluctuations (interest rate and market risks); the risk of mispricing or improper valuation <br />of the derivative instrument (valuation risk); the inability of the derivative instrument to <br />correlate in value with its underlying asset, reference rate, or index (basis risk); the risk that the <br />Fund may lose substantially more than the amount invested in the derivative instrument, and <br />that the Fund may be forced to liquidate portfolio positions when it may not be advantageous <br />to do so to satisfy its obligations or to meet segregation requirements (leverage risk). There is <br />no assurance that the Fund's use of any derivatives strategy will succeed, or that the Fund will <br />not lose money. <br />Emerging Markets Securities Risk — Investments in securities issued by companies located in <br />emerging market countries may present risks different from, or greater than, the risks of <br />investing in securities issued by companies located in developed foreign countries. Emerging <br />VantageTrust If Funds <br />Disclosure Memorandum <br />2016.01.13 -9- <br />