Index Methodology Guide for FactSet Japan Semiconductor Index

This document is an Index Methodology Guide for the FactSet Japan Semiconductor Index, which serves as an equity benchmark for tracking the performance of Japan's semiconductor industry. The guide outlines the index's construction, maintenance, and calculation processes. It details the criteria for constituent selection, including market capitalization and trading volume requirements, as well as the classification of companies based on their revenue sources related to semiconductor manufacturing and capital equipment. The index is float-adjusted and reconstituted semi-annually, with specific procedures for handling constituent changes and corporate actions. Additionally, the guide provides information on index valuation days and the methodology for calculating index returns, including price, total, and net total returns. The document aims to ensure transparency and clarity in the index's operational framework, facilitating its use by investors and stakeholders in the semiconductor sector.