Sage ETFs

In managing our investments, we seek to achieve a "double bottom line" of strong competitive returns and positive sustainable outcomes.

ESG ETF Investing

At Sage Advisory Services, we believe environmental, social and governance (ESG) considerations are an important driver of long-term investment returns from both an opportunity and risk mitigation perspective. These considerations are integrated across our core business and built into the policies and principles that guide our investment process on behalf of our clients. We believe that investing in companies that are focused on managing ESG-related operating factors may serve to reduce investor risk and support the organizations’ long-term performance and financial health.

Read more about Sage’s Responsible Investment Policy 2020.

How have ESG strategies fared so far this year? As it turns out, very well. ESG strategies have largely outperformed non-ESG conventional counterparts and benchmarks, providing solid evidence that choosing companies with strong ESG characteristics can reduce risk and potentially hedge against negative returns in a portfolio.

Read more about GUDB’s recent performance.

Morningstar Rating

Morningstar Sustainability Rating: High **

GUDB received Morningstar’s historical sustainability score in the top 6% of funds in the U.S. Fixed Income Category out of 652 total funds, as of 5/31/2020.

MSCI Rating

MSCI ESG Rating Score: top 3% of 236 funds *

GUBD is rated in the top 3% of its peer group of Lipper USD Corporate bond funds out of 236 funds as of 3/31/2020, based on the value weighted average of the holdings in the fund as measured by their MSCI ESG rating score.

Important Fund Information:

Investors should carefully consider the investment objectives, risks, charges and expenses of the Sage ESG Intermediate Credit ETF. This and other important information about the Fund is contained in the prospectus, which can be obtained by calling 888-724-3911. The prospectus should be read carefully before investing. The Fund is distributed by Northern Lights Distributors, LLC, Member FINRA/SIPC. Sage Advisory Services LTD Co. and Northern Lights Distributors, LLC are not affiliated.

Investing involves risk including possible loss of principal. There is no guarantee that the Fund will achieve its objectives. The Fund generally will invest at least 80% of its total assets in the component securities of the SAGE ESG Credit Index (the “Index”). The Index consists of corporate bonds selected from the Barclays Capital U.S. Intermediate Credit Bond Index that meet Environmental, Social and Governance (ESG) criteria. The ESG investment strategy limits the types and number of investment opportunities available and, as a result, the strategy may underperform other strategies that do not have an ESG focus.

Investing involves risk including possible loss of principal. There is no guarantee that the Fund will achieve its objectives.

Rankings are only one form of performance and should not be used as the sole factor in making an investment decision. For more information about the Fund, please call 888-724-3911 or visit Investments cannot be made in an index. Unmanaged index returns do not reflect any fees, expenses or sales charges. Past performance is no guarantee of future results.

* The MSCI ESG Fund Quality Score measures the ability of underlying holdings to manage key medium-to long-term risks and opportunities arising from environmental, social, and governance factors. The Fund Percentile Rank measures how a fund's overall ESG Quality Score ranks relative to other funds in the same peer group. The MSCI badge indicates an ETF with an MSCI ESG Fund Quality Score ranked in the top 20% against the scores of other funds within the same peer group.

**© 2020 Morningstar. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.

Based on Morningstar U.S. Fixed Income Category. The Morningstar Sustainability Rating is a measure of how well the holdings in a portfolio are managing their environmental, social, and governance, or ESG, risks and opportunities relative to their Morningstar Category peers. The rating is a holdings-based calculation using company-level ESG analytics from Sustainalytics, a leading provider of ESG research. The rating ranges from “Low” to “High” on a 1-5 scale, represented by the number of “globes” the fund receives. The Morningstar Portfolio Sustainability Score is an asset-weighted average of Sustainalytics' company-level ESG Risk Score. The Sustainalytics' company-level ESG Risk Score measures the degree to which a company's economic value may be at risk driven by ESG factors. Like the ESG Risk Scores, the Portfolio Sustainability Score is rendered on a 0-100 scale, where lower scores are better, using an asset-weighted average of all covered securities. To receive a Portfolio Sustainability Score, at least 67% of a portfolio's assets under management (long positions only) must have a company ESG Risk Rating. The percentage of assets under management of the covered securities is rescaled to 100% before calculating the Portfolio Sustainability Score.

ETF shares are not redeemable with the issuing fund other than in large Creation Unit aggregations. Instead, investors must buy or sell ETF Shares in the secondary market with the assistance of a stockbroker. In doing so, the investor may incur brokerage commissions and may pay more than net asset value (“NAV”) when buying and receive less than NAV when selling. The NAV of the Fund’s shares is calculated each day the national securities exchanges are open for trading, normally 4:00 p.m. Eastern time. Shares are bought and sold at market price (closing price) not NAV. Market price returns are based on the midpoint of the bid/ask spread at 4:00 pm Eastern Time (when NAV is normally determined for most ETFs) and do not represent the returns you would receive if you traded shares at other times.