Common use of Principal Investment Strategies Clause in Contracts

Principal Investment Strategies. The Fund employs an indexing investment approach designed to track the performance of the CRSP US Total Market Index, which represents approximately 100% of the investable U.S. stock market and includes large-, mid-, small-, and micro-cap stocks regularly traded on the New York Stock Exchange and Nasdaq. The Fund invests by sampling the Index, meaning that it holds a broadly diversified collection of securities that, in the aggregate, approximates the full Index in terms of key characteristics. These key characteristics include industry weightings and market capitalization, as well as certain financial measures such as price/earnings ratio and dividend yield. Principal Risks An investment in the Fund could lose money over short or even long periods. You should expect the Fund’s share price and total return to fluctuate within a wide range, like the fluctuations of the overall stock market. The Fund is subject to the following risks, which could affect the Fund’s performance: • Stock market risk, which is the chance that stock prices overall will decline. Stock markets tend to move in cycles, with periods of rising prices and periods of falling prices. In addition, the Fund’s target index may, at times, become focused in stocks of a particular market sector, which would subject the Fund to proportionately higher exposure to the risks of that sector. • Index sampling risk, which is the chance that the securities selected for the Fund, in the aggregate, will not provide investment performance matching that of the Fund’s target index. Index sampling risk for the Fund should be low. An investment in the Fund is not a deposit of a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Vanguard International Stock Index Fund Admiral Shares (VTIAX) Investment Objective The Fund seeks to track the performance of a benchmark index that measures the investment return of stocks issued by companies located in developed and emerging markets, excluding the United States.

Principal Investment Strategies. The Fund fund employs an indexing investment approach designed to track the performance of the CRSP US Total Market Index, which represents approximately 100% of the investable U.S. stock market and includes large-, mid-, small-, and micro-cap microcap stocks regularly traded on the New York Stock Exchange and Nasdaq. The Fund fund invests by sampling the Index, meaning that it holds a broadly diversified collection of securities that, in the aggregate, approximates the full Index in terms of key characteristics. These key characteristics include industry weightings and market capitalization, as well as certain financial measures measures, such as price/earnings ratio and dividend yield. Principal Risks An investment in the Fund fund could lose money over short or even long periodsperiods of time. You should expect the Fundfund’s share price and total return to fluctuate within a wide range, like the fluctuations of the overall stock market. The Fund fund is subject to the following risks, which could affect the Fundfund’s performance: • Stock market risk, which is the chance that stock prices overall will decline. Stock markets tend to move in cycles, with periods of rising prices and periods of falling prices. In addition, the Fundfund’s target index may, at times, become focused in stocks of a particular market sector, which would subject the Fund fund to proportionately higher exposure to the risks of that sector. • Index sampling risk, which is the chance that the securities selected for the Fundfund, in the aggregate, will not provide investment performance matching that of the Fund’s fund‘s target index. Index sampling risk for the Fund should fund is expected to be low. An investment in the Fund fund is not a deposit of a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Vanguard International Stock Index Fees & Expenses (Based on the prospectus dated April 26, 2019) Total Annual Fund Admiral Shares (VTIAX) Operating Expenses 0.02% X. Xxxx Price Large-Cap Growth Strategy Investment Objective The Fund X. Xxxx Price Large-Cap Growth Strategy (“X. Xxxx Price Strategy”) seeks to track provide long-term capital appreciation through investments in common stocks of growth companies. Principal Investment Strategies In taking a growth approach to stock selection, the performance strategy will normally invest at least 80% of its net assets (including any borrowings for investment purposes) in the common stocks of large-cap companies. The strategy defines a large-cap company as one whose market capitalization is larger than the median market capitalization of companies in the Xxxxxxx 1000® Growth Index, a widely used benchmark of the largest U.S. growth stocks. As of December 31, 2018, the median market capitalization of companies in the Xxxxxxx 1000® Growth Index was approximately $10.7 billion. The market capitalizations of the companies in the strategy’s portfolio and the Xxxxxxx index change over time; the strategy will not automatically sell or cease to purchase stock of a company it already owns just because the company’s market capitalization falls below the median market capitalization of companies in the Xxxxxxx index. The strategy may at times invest significantly in certain sectors, such as the information technology sector. We generally look for companies with an above-average rate of earnings and cash flow growth and a lucrative niche in the economy that gives them the ability to sustain earnings momentum even during times of slow economic growth. As growth investors, we believe that when a company increases its earnings faster than both inflation and the overall economy, the market will eventually reward it with a higher stock price. The strategy is “nondiversified,” meaning it may invest a greater portion of its assets in a single issuer and own more of the issuer’s voting securities than is permissible for a “diversified” strategy. In pursuing its investment objective, the strategy has the discretion to deviate from its normal investment criteria. These situations might arise when the adviser believes a security could increase in value for a variety of reasons, including an extraordinary corporate event, a new product introduction or innovation, a favorable competitive development, or a change in management. While most assets will typically be invested in U.S. common stocks, the strategy may invest in foreign stocks in keeping with the strategy’s objective. The strategy may sell securities for a variety of reasons, such as to secure gains, limit losses, or redeploy assets into more promising opportunities. Principal Risks As with any investment strategy, there is no guarantee that the strategy will achieve its objective. The strategy’s share price fluctuates, which means you could lose money by investing in the strategy. The principal risks of investing in this strategy are summarized as follows: Active management risks The investment adviser’s judgments about the attractiveness, value, or potential appreciation of the strategy’s investments may prove to be incorrect. The strategy could underperform other strategy’s with a similar benchmark index or similar objectives and investment strategies if the strategy’s overall investment selections or strategies fail to produce the intended results. Risks of stock investing Common stocks generally fluctuate in value more than bonds and may decline significantly over short time periods. There is a chance that measures stock prices overall will decline because stock markets tend to move in cycles, with periods of rising and falling prices. The value of a stock in which the strategy invests may decline due to general weakness in the stock market or because of factors that affect a particular company or industry. Emerging markets risks The risks of foreign investing are heightened for securities of issuers in emerging market countries. Emerging market countries tend to have economic structures that are less diverse and mature, and political systems that are less stable, than those of developed countries. In addition to all of the risks of investing in foreign developed markets, emerging markets are more susceptible to governmental interference, local taxes being imposed on foreign investments, restrictions on gaining access to the strategy’s investments, and less efficient trading markets with lower overall liquidity. Investment style risks Different investment return styles tend to shift in and out of favor depending on market conditions and investor sentiment. The strategy’s growth approach to investing could cause it to underperform other stock strategy’s that employ a different investment style. Growth stocks tend to be more volatile than certain other types of stocks, and their prices may fluctuate more dramatically than the overall stock market. A stock with growth characteristics can have sharp price declines due to decreases in current or expected earnings and may lack dividends that can help cushion its share price in a declining market. Market capitalization risks Investing primarily in issuers within the same market capitalization category carries the risk that the category may be out of favor due to current market conditions or investor sentiment. Securities issued by large-cap companies located tend to be less volatile than securities issued by smaller companies. However, larger companies may not be able to attain the high growth rates of successful smaller companies, especially during strong economic periods, and may be unable to respond as quickly to competitive challenges. Sector concentration risks At times, the strategy may have a significant portion of its assets invested in developed securities of companies conducting business in a broadly related group of industries within an economic sector. Companies in the same economic sector may be similarly affected by economic or market events, making the strategy more vulnerable to unfavorable developments in that economic sector than strategy’s that invest more broadly. For example, the strategy may have a significant portion of its assets invested in securities of companies in the information technology sector. Companies in the information technology sector can be adversely affected by, among other things, intense competition, earnings disappointments, and emerging marketsrapid obsolescence of products and services due to technological innovations or changing consumer preferences. Nondiversification risks As a nondiversified strategy, excluding the United Statesstrategy has the ability to invest a larger percentage of its assets in the securities of a smaller number of issuers than a diversified strategy. As a result, poor performance by a single issuer could adversely affect strategy performance more than if the strategy were invested in a larger number of issuers. The strategy’s share price can be expected to fluctuate more than that of a comparable diversified strategy. Foreign investing risks The strategy’s investments in foreign holdings may be adversely affected by local, political, social, and economic conditions overseas, greater volatility, reduced liquidity, or decreases in foreign currency values relative to the U.S. dollar. Fees & Expenses (Based on the estimated total operating expenses August 30, 2019) Total Annual Fund Operating Expenses 0.33% DFA U.S. Large Cap Value Portfolio Investment Objective The investment objective of the U.S. Large Cap Value Portfolio is to achieve long-term capital appreciation. The U.S. Large Cap Value Portfolio is a Feeder Portfolio and pursues its objective by investing substantially all of its assets in its corresponding Master Fund, The U.S. Large Cap Value Series (the “U.S. Large Cap Value Series”) of The DFA Investment Trust Company, which has the same investment objective and policies as the U.S. Large Cap Value Portfolio.

Principal Investment Strategies. The Fund employs an indexing investment approach designed to track the performance of the CRSP US Total Market Index, which represents approximately 100% of the investable U.S. stock market and includes large-, mid-, small-, and micro-cap stocks regularly traded on the New York Stock Exchange and Nasdaq. The Fund invests by sampling the Index, meaning that it holds a broadly diversified collection of securities that, in the aggregate, approximates the full Index in terms of key characteristics. These key characteristics include industry weightings and market capitalization, as well as certain financial measures measures, such as price/earnings ratio and dividend yield. Principal Risks Risks. An investment in the Fund could lose money over short or even long periodsperiods of time. You should expect the Fund’s share price and total return to fluctuate within a wide range, like the fluctuations of the overall stock market. The Fund is subject to the following risks, which could affect the Fund’s performance: • Stock market risk, which is the chance that stock prices overall will decline. Stock markets tend to move in cycles, with periods of rising prices and periods of falling prices. In addition, the Fund’s target index may, at times, become focused in stocks of a particular market sector, which would subject the Fund to proportionately higher exposure to the risks of that sector. • Index sampling risk, which is the chance that the securities selected for the Fund, in the aggregate, will not provide investment performance matching that of the Fund’s target index. Index sampling risk for the Fund should be low. An investment in the Fund is not a deposit of a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Vanguard International Stock Index Fund Admiral Shares (VTIAX) Investment Objective The Fund seeks to track the performance of a benchmark index that measures the investment return of stocks issued by companies located in developed and emerging markets, excluding the United States.