Lyxor MSCI Japan ESG L.Extra(DR)UE USD H

The investment objective of the fund is to track both the upward and the downward evolution of MSCI Japan Select ESG Rating and Trend Leaders Net Total Return Index (the ' Benchmark Index') denominated in JPY, while minimizing the volatility of the difference between the return of the Fund and the return of the Benchmark Index (the ' Tracking Error'). The anticipated level of Tracking error in normal market conditions is indicated in the prospectus. The Benchmark Index is representative of the performance of large and mid cap stocks, across the Japanese market, issued by companies with robust Environmental, Social and Governance (ESG) ratings relative to their sector peers and/or which experienced a yearly improvement in these ESG ratings. The ESG rating methodology is based on ESG key issues including but not limited to water stress, carbon emissions, labor management or business ethics. The Benchmark Index uses a 'best-in-class' approach, i.e., best ranked companies in each sector (in accordance with the Global Industry Classification Standard (GICS)) are selected to construct the Benchmark Index. Limits of the methodology of the Benchmark Index are described in the prospectus of the Fund through risk factors, such as the market risk linked to controversies and the risks linked to ESG methodologies and to ESG score computation.