Common use of Income Distribution Clause in Contracts

Income Distribution. 1. The Principal agrees to have any income earned on the entrusted capital and any dividends paid from foreign securities processed according to product terms and conditions and policies of the fund manager and the Mandatory. 2. The Principal agrees that all capital gains and interest earned on securities invested using the entrusted capital are attributable to the Principal; meanwhile, all associated risks, losses, expenses and tax burdens shall also be borne by the Principal. 3. Apart from fees collected under this agreement, the Mandatory will not share any income or loss associated with the entrusted capital. 4. With regards to subscription or holding of U.S.-listed ETF, shares and depository receipts, the U.S. tax law requires non-U.S. persons to pay a 30% tax on income sourced from the United States, such as cash dividends. The Mandatory will authorize its counterparty to collect the 30% tax on dividend at the source. This taxation rule may differ depending on the details of transaction or market conditions.

Income Distribution. 1. The Principal agrees to have any income earned on the entrusted capital and any dividends paid from foreign securities processed according to product terms and conditions and policies of the fund manager and the Mandatory. 2. The Principal agrees that all capital gains and interest earned on securities invested using the entrusted capital are attributable to the Principal; meanwhile, all associated risks, losses, expenses and tax burdens shall also be borne by the Principal. 3. Apart from fees collected under this agreement, the Mandatory will not share any income or loss associated with the entrusted capital. 4. With regards to subscription or holding of U.S.-listed ETF, shares and depository receipts, the U.S. tax law requires non-non- U.S. persons to pay a 30% tax on income sourced from the United States, such as cash dividends. The Mandatory will authorize its counterparty to collect the 30% tax on dividend at the source. This taxation rule may differ depending on the details of transaction or market conditions.