tltd

Equity

Capital Appreciation

FlexShares Morningstar Developed Markets ex-US Factor Tilt Index Fund

The Fund seeks investment results that correspond generally to the price and yield performance, before fees and expenses, of the Morningstar Developed Markets ex-US Factor Tilt Index (Underlying Index).

$60.62 (-1.41%)

$61.12

0.39%

$74.37/$50.40

OBJECTIVE AND STRATEGY

1:14

Transcript
Morningstar Developed Markets ex-US Factor Tilt Index

Diagraming the index process

Tilting Toward Developed Market ex-US Small Cap & Value

In depth discussion of the index and fund process

INDEX

The Morningstar Developed Markets ex-US Factor Tilt IndexSM measures the performance of stocks located in developed countries across the world (as defined by Morningstar, excluding the United States) with increased exposure to small-capitalization and value stocks. Stocks that are deemed to be small capitalization or small value have an overweighting in the index compared to their weight in a corresponding market-capitalization-weighted index. Like­wise, stocks designated as "large" or "growth" stocks have underweighting compared to a standard market-capitalization weighting.

Index Methodology

FlexShares Morningstar Developed Markets ex-US Factor Tilt Index Fund (TLTD) is passively managed and uses a representative sampling strategy to track its underlying index. Use of a representative sampling strategy creates tracking risk where the Fund’s performance could vary substantially from the performance of the underlying index along with the risk of high portfolio turnover. It is subject to concentration risk. The Fund's investments are concentrated in the securities of issuers in a particular country, market, industry, sector or asset class. Investments in foreign market securities involve certain risks such as currency volatility, political and social instability and reduced market liquidity. The Fund may be subject to increased price volatility and may be more susceptible to adverse economic, market, political or regulatory occurrences affecting that country, market, industry, sector or asset class. The Fund may also invest in derivative instruments. Changes in the value of the derivative may not correlate with the underlying asset, rate or index and the Fund could lose more than the principal amount invested.

The Morningstar Developed Markets ex-US Factor Tilt Index is the intellectual property (including registered trademarks) of Morningstar and/or its licensors ("Licensors"), which is used under license. The securities based on the Index are in no way sponsored, endorsed, sold or promoted by Morningstar and its Licensors and neither of the Licensors shall have any liability with respect thereto.

All data provided by: Northern Trust, J.P. Morgan, Refinitiv and Morningstar.