1. Index Name and Code

Name: NEEQ PRIVATE OWNED LEADING INDEX (NEEQ POLI)

Code: 899301

2. Base Date and Base Index

The base date of NEEQ Private Owned Leading Index is December 20th, 2018. The base divisor of the index are the adjusted market cap of all constituents as of close of the base date. The base index is 1000.

3. Index Constituent Weightings

3.1 Index Universe

The index universe of NEEQ Private Owned Leading Index includes all the board listed companies satisfying the following conditions:

□    The company is private owned enterprise

□    The company is not in financial industry

□    The float shares of company is not zero

□    The company is not special treatment

3.2 Selection Criteria

The NEEQ Private Owned Leading Index constituents are selected as follows:

First Step: Rank all the companies in the universe by the latest audited revenue in descending order and get the rank.

Second Step: According to the rank, select top 3 companies of every industry as index constituents.

4. Index Calculation

NEEQ Private Owned Leading Index is calculated using a Paasche weighted composite price index formula, the formula is:

Current index= (Current adjusted market cap of constituents/ Base period)* 1000

Adjusted market cap= ∑(Price×Adjusted No. of shares×weight adjusted factor)

The weight cap of individual constituent is 5%.

Constituents will not be included in index calculation if they do not have transaction until five trading days before periodical adjustment. They will be calculated from the next month after first transaction, on the next trading day of second Friday.

5. Constituents Adjustment

NEEQ Private Owned Leading Index will be rebalanced every half year. The constituents and weight adjustment are implemented after market close on the first Friday of January and July. Temporary adjustment can be made under certain circumstances if necessary.

6. Constituents Reserve List

For the sake of index consistency and transparency, NEEQ Private Owned Leading Index adopts a reserve list policy which is used to implement temporary adjustment between two adjacent periodical reviews.

□    Reserve list is created at each constituents’ periodical review. There are 3 stocks of every industry in NEEQ Private Owned Leading Index reserve list.

□    If temporary adjustment is needed due to constituents delisting, merger, etc., stocks of same industry on the reserve list will be added to the index by rankings in turn.

□    If the number of stocks in the list is less than 2, NEEQ and CSI will complement the list according to the reserve list policy and publicize the new reserve list timely.