Securities Report (Domestic Investment Trust Beneficiary Certificates) - 5th Period (2025/10/11 - 2026/04/10)

Daiwa Asset Management Co., Ltd. Securities Report (Domestic Investment Trust Beneficiary Certificates) - 5th Period (2025/10/11 - 2026/04/10)

This report is a securities report submitted by Daiwa Asset Management Co., Ltd. under the Financial Instruments and Exchange Act, covering the 5th period (October 11, 2025, to April 10, 2026) of domestic investment trust beneficiary certificates. The purpose of this report is to provide investors and stakeholders with transparent information on the trust assets' performance, income trends, risk factors, and future outlook.

The investment trust primarily targets investments in domestic equity and bond markets, adopting an investment strategy focused on pursuing stable returns while prioritizing capital preservation. The investment team continuously monitors macroeconomic trends, monetary policies, and corporate earnings, maintaining a responsive framework to adapt swiftly to changing market conditions.

During the reporting period, investment performance was significantly influenced by overall market movements. In particular, in the latter half of 2025, stock price volatility became pronounced due to expectations of U.S. interest rate hikes and exchange rate fluctuations. In response, adjustments were made to the bond portfolio, particularly with regard to rising long-term interest rate risks, enabling the trust to maintain relatively stable performance.

Regarding income distributions, the policy of semi-annual regular payouts has been maintained, taking into account net asset value trends and cash flow conditions. For the 5th period, distribution amounts are projected to increase slightly compared to the previous period, aiming to enhance investor convenience.

Looking ahead, while global uncertainties persist, the direction of the Bank of Japan's monetary easing policy and the impact of government economic measures on markets will continue to be closely monitored. Additionally, in line with the growing trend of ESG investing, allocations to sustainable investment opportunities are planned to be gradually expanded.

Ongoing risk factors include domestic and international economic conditions, interest rate fluctuations, exchange rate movements, and geopolitical risks. To address these, the trust will continue to emphasize diversified investments and strengthen risk management frameworks to ensure stable asset management.

This report is provided for informational purposes to support investment decisions and is not intended as an investment solicitation. Prospective investors should always review the offering documents and the latest reports before making investment decisions.