Fund Description: FlexShares Real Assets Allocation Index Fund is an exchange-traded index fund or Index ETF which is a separate investment portfolio of the FlexShares Trust, an open-end investment management company. INVESTMENT OBJECTIVE: The FlexShares Real Assets Allocation Index Fund seeks investment results that correspond generally to the price and yield performance, before fees and expenses, of the Northern Trust Real Assets Allocation Index. INDEX DESCRIPTION: The Northern Trust Real Assets Allocation Index measures the performance of an optimized allocation to the Underlying Funds that is intended to provide exposures to certain real assets and minimize overall volatility of investment in the Underlying Funds. The Index was comprised of the following Underlying Funds, each of which invests primarily in equity securities: 9.9% weight to FlexShares Morningstar Global Upstream Natural Resources Index Fund, a 39.9% weight to FlexShares Global Quality Real Estate Index Fund and a 50.2% weight to FlexShares STOXX Global Broad Infrastructure Index Fund. The weights of each Underlying Fund, and the degree to which each Underlying Fund represents exposure to certain real assets, may change over time as the Index and the underlying indexes of the Underlying Funds are reconstituted and/or rebalanced (which may be quarterly) and their component securities fluctuate in value. FUND STRATEGY: The Fund is a fund of funds and seeks its investment objective by investing primarily in the shares of other FlexShares ETFs (each an Underlying Fund) and together, the Underlying Funds, that are eligible for inclusion in the Underlying Index and listed below, rather than in securities of individual companies. The Underlying Funds themselves seek investment results corresponding to their own respective underlying indexes. The Underlying Funds invest primarily in separate sets of securities representing or providing exposures to global real assets. Real assets are defined by the Index Provider as physical or tangible assets. Examples of real assets include but are not limited to commodities, precious metals, oil, and real estate. Each Underlying Fund has its own risk profile and will contribute differently to the overall risk profile of the Fund. Each of the Underlying Funds invests in equity securities that are traded in or are issued by companies domiciled in global developed or emerging markets (including the U.S.). Certain of the Underlying Funds may invest in publicly-traded units of master limited partnerships (MLPs) and real estate investment trusts (REITs). The weights of each Underlying Fund, and the degree to which each Underlying Fund represents exposure to certain real assets, may change over time as the Underlying Index and the underlying indexes of the Underlying Funds are reconstituted and/or rebalanced (which may be quarterly) and their component securities fluctuate in value. A passive or indexing approach is used to try to achieve the Fund’s investment objective. Unlike many investment companies, the Fund does not try to beat the index it tracks and does not seek temporary defensive positions when markets decline or appear overvalued. Representative sampling is used by investing in a representative sample of securities that collectively has an investment profile similar to the Index. Securities selected are expected to have, in the aggregate, investment characteristics (based on factors such as market capitalization and industry weightings), fundamental characteristics (such as return variability and yield) and liquidity measures similar to those of the Index. Replication is an indexing strategy in which a fund invests in substantially all of the securities in its index in approximately the same proportions as in the index. The Fund generally will invest under normal circumstances at least 80% of its total assets in the securities of its Index. The Fund may also invest up to 20% of its assets in cash and cash equivalents, including shares of money market funds, futures contracts and options on futures, as well as securities not included in the Index, but which is believed will help the Fund track its Index. FUND MANAGEMENT: Northern Trust Investments, Inc., a subsidiary of Northern Trust Corporation, serves as the Investment Adviser of the Fund.