Form 40-17G SCHWAB STRATEGIC TRUST

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29 September 2021

VIA EDGAR

Filing Desk

Securities and Exchange Commission

100 F Street, NE

Washington, D.C. 20549

Re: Schwab
Strategic Trust
File Nos. 333-160595
and 811-22311

Dear Sir or Madam:

On behalf of the above-referenced management investment
company (the “Trust”), enclosed please find the following for filing pursuant to Rule 17g-1 under the Investment Company
Act of 1940, as amended:

1. A copy of the Trust’s current primary $37,500,000 fidelity bond
policy # FS 2346443 13 00 (Great American Insurance Company), effective through June 30, 2022.

2. A copy of the Trust’s excess $15,625,000 fidelity bond policy
# 82515977 (Chubb), effective through June 30, 2022.

3. A copy of the resolutions adopted by a majority of the members
of the Board of Trustees of the Trust who are not “interested persons” of the Trust approving the form and amount of the bond.

The premium for the bond has been paid
through the period ending June 30, 2022.

Sincerely,

/s/ Alexandra Riedel

Alexandra Riedel

Assistant Secretary

     
301
E. Fourth St., Cincinnati, OH 45202
  Your
Great American Insurance Policy® 
     

   
   
0790FIC (01/20) © 2020 Great American
Insurance Company
800-545-4269
  GAIG.com

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IMPORTANT NOTICE
FIDELITY CRIME DIVISION CLAIMS

Should
this account have a potential claim situation, please contact:

 

 

Fidelity
 & Crime Claims Department

Great American Insurance
Group

Five Waterside Crossing

Windsor, CT 06095

(860) 298-7330

 

(860) 688-8188 fax

[email protected]

SDM-683       (Ed.    08/14)

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IMPORTANT INFORMATION
TO POLICYHOLDERS
CALIFORNIA

TO OBTAIN INFORMATION OR TO MAKE A COMPLAINT

In the event you need to contact someone
about this Policy for any reason please contact your agent. If you have additional questions, you may contact the insurance company issuing
this Policy at the following address and telephone number:

Great American Insurance Group

Administrative Offices

301 East 4th Street

Cincinnati, OH 45202

Or you may call the toll-free telephone
number for information or to make a complaint at:

 

1-800-972-3008

If you have a problem with your insurance
company, its agent or representative that has not been resolved to your satisfaction, please call or write to the Department of Insurance.

California Department of Insurance

Consumer Services Division

300 South Spring Street, South Tower

Los Angeles, California 90013

1-800-927-4357

213-897-8921 (if calling from within the Los Angeles area)

1-800-482-4833 (TDD Number)

Written correspondence is preferable
so that a record of your inquiry can be maintained. When contacting your agent, company or the Bureau of Insurance, have your Policy
Number available.

ATTACH THIS NOTICE TO YOUR POLICY

This notice is for information only
and does not become a part or condition of the attached document.

SDM-705      (Ed.     11/08)

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FI75 10 (Ed. 11 /16)

INVESTMENT COMPANY BOND

GREAT AMERICAN INSURANCE COMPANY

(A Stock Insurance Company, Herein Called the Underwriter)

DECLARATIONS   Bond
No. FS 2346443 13 00

 

Item 1. Name of Insured (herein
called Insured): Schwab Strategic Trust

Principal Address: 211
Main Street
    San
Francisco, CA 94105

 

Item
2.
Bond
Period: from 12:01 a.m.
 on
06/30/2021 to 06/30/2022 12:01 a.m.
 the
effective date of the termination or cancellation of this Bond, standard time at the Principal
Address as to each of said dates.

 

Item 3.

Limit of Liability – Subject to Sections 9, 10 and 12 hereof,

Amount applicable to

      Limit
of Liability
  Deductible
  Insuring Agreement
(A)-Fidelity
  $ 37,500,000   $ 25,000
  Insuring Agreement (B)-On
Premises
  $ 37,500,000   $ 25,000
  Insuring Agreement (C)-In
Transit
  $ 37,500,000   $ 25,000
  Insuring Agreement (D)-Forgery
or Alteration
  $ 37,500,000   $ 25,000
  Insuring Agreement (E)-Securities   $ 37,500,000   $ 25,000
  Insuring Agreement (F)-Counterfeit
Currency
  $ 37,500,000   $ 25,000
  Insuring Agreement (G)-Stop
Payment
  $ 37,500,000   $ 5,000
  Insuring Agreement (H)-Uncollectible
Items of Deposit
  $ 37,500,000   $ 5,000
  Insuring Agreement (I)-Audit
Expense
  $ 37,500,000   $ 5,000
  Insuring Agreement (J)-Telefacsimile Transmissions   $ 37,500,000   $ 25,000
  Insuring Agreement (K)-Unauthorized
Signatures
  $ 37,500,000   $ 5,000
               
  Optional Insuring Agreements and Coverages            
               
  Insuring Agreement (L)-Computer
Systems
  $ 37,500,000   $ 25,000
  Insuring Agreement (M)-Automated
Phone Systems
  $ Not
Covered
  $ N/A
  Insuring Agreement (N)-Fraudulent
Transfer Instructions
  $ Not
Covered
  $ N/A

FI75 10 (Ed. 11/16) (Page 1 of 2)  

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If Not Covered
is inserted above opposite any specified Insuring Agreement or Coverage, such Insuring Agreement or Coverage and any other reference
thereto in this Bond shall be deemed to be deleted therefrom.

 

 

Item 4. Offices or Premises Covered-Offices acquired or established
subsequent to the effective date of this Bond are covered according to the terms of General Agreement A. All the Insureds offices or
premises in existence at the time this Bond becomes effective are covered under this Bond except the offices or premises located as follows:

N/A

 

 

 

Item 5. The
liability of the Underwriter is subject to the terms of the following Riders attached hereto:

 

See
Form
 FI8801

 

 

Item 6. The
Insured by the acceptance of this Bond gives to the Underwriter terminating or cancelling prior Bond(s)
 or
Policy(ies) No.(s)

FS 2346443
12

such termination
or cancellation to be effective as of the time this Bond becomes effective.

FI75 10 (Ed. 11/16) (Page 2 of 2)  

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FI 75 11 (Ed. 08/15)

INVESTMENT COMPANY BOND

The Underwriter, in consideration of
an agreed premium, and subject to the Declarations made a part hereof, the General Agreements, Conditions and Limitations and other terms
of this Bond, agrees with the Insured, in accordance with Insuring Agreements hereof to which an amount of insurance is applicable as
set forth in Item 3 of the Declarations and with respect to loss sustained by the Insured at any time but discovered during the Bond period,
to indemnify and hold harmless the Insured for:

INSURING AGREEMENTS

FIDELITY

(A) Loss resulting from any dishonest or fraudulent act(s), including Larceny or Embezzlement committed by
an Employee, committed anywhere and whether committed alone or in collusion with others, including loss of Property resulting from
such acts of an Employee, which Property is held by the Insured for any purpose or in any capacity and whether so held gratuitously or
not and whether or not the Insured is liable therefor.
     
    Dishonest or fraudulent act(s) as
used in this Insuring Agreement shall mean only dishonest or fraudulent act(s) committed by such Employee with the manifest intent:

(a) to cause the Insured to sustain such loss; and

(b) to obtain financial benefit for the Employee, or for any other person or organization intended by the
Employee to receive such benefit, other than salaries, commissions, fees, bonuses, promotions, awards, profit sharing, pensions or other
employee benefits earned in the normal course of employment.

ON PREMISES

(B) Loss of Property (occurring with or without negligence or violence) through robbery, burglary, Larceny,
theft, holdup, or other fraudulent means, misplacement, mysterious unexplainable disappearance, damage thereto or destruction thereof,
abstraction or removal from the possession, custody or control of the Insured, and loss of subscription, conversion, redemption or deposit
privileges through the misplacement or loss of Property, while the Property is (or is supposed or believed by

the Insured to be) lodged or deposited
within any offices or premises located anywhere, except in an office listed in Item 4 of the Declarations or amendment thereof or in the
mail or with a carrier for hire other than an armored motor vehicle company, for the purpose of transportation.

Offices and Equipment

(1) Loss of or damage to furnishings, fixtures, stationary, supplies or equipment, within any of the Insured’s offices covered under
this Bond caused by Larceny or theft in, or by burglary, robbery or hold-up of such office, or attempt thereat, or by vandalism or malicious
mischief; or

(2) loss through damage to any such office by Larceny or theft in, or by burglary, robbery or hold-up of such office or attempt thereat.

IN TRANSIT

(C) Loss of Property (occurring with or without negligence or violence) through robbery, Larceny, theft, hold-up,
misplacement, mysterious unexplainable disappearance, being lost or otherwise made away with, damage thereto or destruction thereof,
and loss of subscription, conversion, redemption or deposit privileges through the misplacement or loss of Property, while the Property
is in transit anywhere in the custody of any person or persons acting as messenger, except while in the mail or with a carrier for hire,
other than an armored motor vehicle company, for the purpose of transportation, such transit to begin immediately upon receipt of such
Property by the transporting person or persons, and to end immediately upon delivery thereof at destination.

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FORGERY OR ALTERATION

(D) Loss through FORGERY or ALTERATION of, on or in any bills of exchange, checks, drafts, acceptances, certificates
of deposit, promissory notes, or other written promises, orders or directions to pay sums certain in money due bills, money orders,
warrants, orders upon public treasuries, letters of credit, written instructions, advices or applications directed to the Insured,
authorizing or acknowledging the transfer, payment, delivery or receipt of funds or Property, which instructions or advices or applications
purport to have been signed or endorsed by any customer of the Insured, shareholder or subscriber to shares, whether certificated or uncertificated,
of any Investment Company or by any financial or banking institution or stock-broker but which instructions, advices or applications either bear the forged signature or Endorsement or have been altered without the knowledge and consent of such customer, shareholder
or subscriber to shares, whether certificated or uncertificated, of an Investment Company, financial or banking institution or stockbroker,
withdrawal orders or receipts for the withdrawal of funds or Property, or receipts or certificates of deposit for Property and bearing
the name of the Insured as issuer, or of another Investment Company for which the Insured acts as agent, excluding, however, any loss
covered under Insuring Agreement (F) hereof whether or not coverage for Insuring Agreement (F)  is provided for in the Declarations
of this Bond.

Any check or draft (a) made payable
to a fictitious payee and endorsed in the name of such fictitious payee or (b) procured in a transaction with the maker or drawer
thereof or with one acting as an agent of such maker or drawer or anyone impersonating another and made or drawn payable to the one so
impersonated and endorsed by anyone other than the one impersonated, shall be deemed to be forged as to such Endorsement.

Mechanically reproduced facsimile signatures
are treated the same as handwritten signatures.

SECURITIES

(E) Loss sustained by the Insured, including loss sustained by reason of a violation of the constitution,
by-laws, rules  or regulations of any

Self Regulatory Organization of which
the Insured is a member or which would have been imposed upon the Insured by the constitution, by-laws, rules or regulations of
any Self Regulatory Organization if the Insured had been a member thereof,

(1) through the Insured’s having, in good faith and in the course of business, whether for its own account or for the account of others,
in any representative, fiduciary, agency or any other capacity, either gratuitously or otherwise, purchased or otherwise acquired,
accepted or received, or sold or delivered, or given any value, extended any credit or assumed any liability, on the faith of, or otherwise
acted upon, any securities, documents or other written instruments which prove to have been

(b) forged as to the signature of any maker, drawer, issuer, endorser, assignor, lessee, transfer agent or registrar, acceptor, surety
or guarantor or as to the signature of any person signing in any other capacity, or

(c) raised or otherwise altered, or lost, or stolen, or

(2) through the Insured’s having, in good faith and in the course of business, guaranteed in writing or witnessed any signatures whether
for valuable consideration or not and whether or not such guaranteeing or witnessing is ultra vires the Insured, upon any transfers, assignments,
bills of sale, powers of attorney, guarantees, Endorsements or other obligations upon or in connection with any securities, documents
or other written instruments and which pass or purport to pass title to such securities, documents or other written instruments; EXCLUDING,
losses caused by FORGERY or ALTERATION of, on or in those instruments covered under Insuring Agreement (D) hereof.

Securities, documents or other written
instruments shall be deemed to mean original (including original counterparts) negotiable or non-negotiable agreements which in and
of themselves represent an equitable interest, ownership, or debt, including an assignment thereof which instruments are in the ordinary

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course of business, transferable by
delivery of such agreements with any necessary Endorsement or assignment.

The word “counterfeited”
as used in this Insuring Agreement shall be deemed to mean any security, document or other written instrument which is intended to
deceive and to be taken for an original.

Mechanically reproduced facsimile signatures
are treated the same as handwritten signatures.

COUNTERFEIT CURRENCY

(F) Loss through the receipt by the Insured, in good faith, of any counterfeited money orders or altered paper
currencies or coin of the United States of America or Canada issued or purporting to have been issued by the United States of America
or Canada or issued pursuant to a United States of America or Canadian statute for use as currency.

STOP PAYMENT

(G) Loss against any and all sums which the Insured shall become obligated to pay by reason of the Liability
imposed upon the Insured by law for damages:

For having either complied with or
failed to comply with any written notice of any customer, shareholder or subscriber of the Insured or any Authorized Representative
of such customer, shareholder or subscriber to stop payment of any check or draft made or drawn by such customer, shareholder or subscriber or any Authorized Representative of such customer, shareholder or subscriber, or

For having refused to pay any check
or draft made or drawn by any customer, shareholder or subscriber of the Insured, or any Authorized Representative of such customer,
shareholder or Subscriber.

UNCOLLECTIBLE ITEMS OF DEPOSIT

(H) Loss resulting from payments of dividends or fund shares, or withdrawals permitted from any customer’s,
shareholder’s or subscriber’s account based upon Uncollectible items of Deposit of a customer, shareholder or subscriber credited by
the Insured or the Insured’s agent to such customer’s, shareholder’s or subscriber’s Mutual Fund Account: or

loss resulting from any item of Deposit
processed through an Automated Clearing House which is reversed by the customer, shareholder or subscriber and deemed uncollectible
by the Insured.

Loss includes dividends and interest
accrued not to exceed 15% of the Uncollectible items which are deposited.

This Insuring Agreement applies to all
Mutual Funds with “exchange privileges” if all Fund(s) in the exchange program are insured by a Great American Insurance
Company of Cincinnati, OH for Uncollectible Items of Deposit. Regardless of the number of transactions between Fund(s) the minimum
number of days of deposit within the Fund(s)  before withdrawal as declared in the Fund(s)  prospectus shall begin from the
date a deposit was first credited to any Insured Fund(s).

AUDIT EXPENSE

(I) Expense incurred by the Insured for that part of the costs of audits or examinations required by any governmental
regulatory authority to be conducted either by such authority or by an independent accountant by reason of the discovery of loss sustained
by the Insured through any dishonest or fradulent act(s), including Larceny or Embezzlement of any of the Employees. The total liability
of the Underwriter for such expense by reason of such acts of any Employee or in which such Employee is concerned or implicated or with
respect to any one audit or examination is limited to the amount stated opposite Audit Expense in Item 3 of the Declarations; it being
understood, however, that such expense shall be deemed to be a loss sustained by the Insured through any dishonest or fraudulent act(s),
including Larceny or Embezzlement of one or more of the Employees and the liability under this paragraph shall be in addition to the Limit
of Liability stated in Insuring Agreement (A) in Item 3 of the Declarations.

TELEFACSIMILE TRANSMISSIONS

(J) Loss resulting by reason of the Insured having transferred, paid or delivered any funds or Property, established
any credit, debited any account, or given any value relying on any fraudulent instructions sent by a customer or financial institution
by Telefacsimile Transmission directed to the Insured, authorizing or

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acknowledging the transfer, payment,
or delivery of funds or property, the establishment of a credit, debiting of any account, or the giving of value by the Insured, but
only if such telefacsimile instructions:

(1) bear a valid test key exchanged between the Insured and a customer or another financial institution with authority to use such test
key for Telefacsimile instructions in the ordinary course of business, but which test key has been wrongfully obtained by a person who
was not authorized to initiate, make, validate or authenticate a test key arrangement; and

(2) fraudulently purport to have been sent by such customer or financial institution, but which telefacsimile instructions are transmitted without the knowledge or consent of such customer or financial institution by a person other than such customer or financial
institution and which bear a forged signature.

“Telefacsimile” means a system
of transmitting written documents by electronic signals over telephone lines to equipment maintained by the Insured within its communication room for the purposes of re-producing a copy of said document. It does not mean electronic communication sent by Telex, TWC,
or electronic mail, or Automated Clearing House.

UNAUTHORIZED SIGNATURES

(K) Loss resulting directly from the Insured having accepted, paid or cashed any check or withdrawal order,
draft, made or drawn on a customer’s account which bears the signature or Endorsement of one other than a person whose name and signature
is on the application on file with the Insured as a signatory on such account.

It shall be a condition precedent
to the Insured’s right to recovery under this Insuring Agreement that the Insured shall have on file signatures of all persons who are
authorized signatories on such account.

GENERAL AGREEMENTS

(A) ADDITIONAL OFFICES OR EMPLOYEES- CONSOLIDATION OR MERGER-NOTICE

(1) If the Insured shall, while this Bond is in force, establish any additional office or offices, such office
or offices shall be automatically covered hereunder from the dates of their establishment, respectively. No notice to the Underwriter
of an increase during any premium period in the number of offices or in the number of Employees at any of the offices covered hereunder
need be given and no additional premium need be paid for the remainder of such premium period.

(2) If an Investment Company, named as Insured herein, shall, while this Bond is in force, merge or consolidate
with, or purchase the assets of another institution, coverage for such acquisition shall apply automatically from the date of acquisition.
The Insured shall notify the Underwriter of such acquisition within 60 days of said

date, and an additional premium shall
be computed only if such acquisition involves additional offices or employees.

WARRANTY

(B) No statement made by or on behalf of the Insured, whether contained in the application or otherwise, shall
be deemed to be a warranty of anything except that it is true to the best of the knowledge and belief of the person making the statement.

COURT COSTS AND ATTORNEYS’
FEES

(Applicable to all Insuring Agreements
or Coverages now or hereafter forming part of this Bond)

(C) The Underwriter will indemnify the Insured against court costs and reasonable attorneys’ fees incurred and
paid by the Insured in defense, whether or not successful, whether or not fully litigated on the merits and whether or not settled of
any suit or legal proceeding brought against the Insured to enforce the lnsured’s liability or alleged liability on account

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of any loss, claim or damage which,
if established against the Insured, would constitute a loss sustained by the Insured covered under the terms of this Bond provided,
however, that with respect to Insuring Agreement (A) this indemnity shall apply only in the event that

(1) an Employee admits to being guilty of
any dishonest or fraudulent act(s), including Larceny or Embezzlement; or

(2) an Employee is adjudicated to be guilty
of any dishonest or fraudulent act(s), including Larceny or Embezzlement;

(3) in the absence of (1) or (2) above
an arbitration panel agrees, after a review of an agreed statement of facts, that an Employee would be found guilty of dishonesty if such Employee were prosecuted.

The Insured shall promptly give notice
to the Underwriter of any such suit or legal proceeding and at the request of the Underwriter shall furnish it with copies of all pleadings
and other papers therein. At the Underwriter’s election the Insured shall permit the Underwriter to conduct the defense of such suit
or legal proceeding, in the Insured’s name, through attorneys of the Underwriter’s

selection. In such event, the Insured shall
give all reasonable information and assistance which the Underwriter shall deem necessary to the proper defense of such suit or legal
proceeding.

If the Insured’s liability or alleged
liability is greater than the amount recoverable under this Bond, or if a Deductible Amount is applicable, the liability of the Underwriter
under this General Agreement is limited to that percentage of litigation expense determined by pro ration of the Bond limit of liability
to the amount claimed, after the application of any deductible. This litigation expense will be in addition to the Limit of Liability
for the applicable Insuring Agreement.

FORMER EMPLOYEE

(D) Acts of Employee, as defined in this Bond,
are covered under Insuring Agreement (A)  only while the Employee is in the Insured’s
employ. Should loss involving a former Employee of the Insured be discovered subsequent to
the termination of employment, coverage would still apply under Insuring Agreement (A) if
the direct proximate cause of the loss occurred while the former Employee performed duties
within the scope of his/her employment.

THE FOREGOING INSURING AGREEMENTS AND
GENERAL AGREEMENTS ARE SUBJECT TO
THE FOLLOWING CONDITIONS AND LIMITATIONS:

SECTION
1. DEFINITIONS

The following terms, as used in this
Bond, shall have the respective meanings stated in this Section:

(1) any of the Insured’s officers, partners,
or employees, and

(2) any of the officers or employees of any
predecessor of the Insured whose principal assets are acquired by the Insured by consolidation
or merger with, or purchase of assets of capital stock of such predecessor, and

(3) attorneys retained by the Insured to perform legal services for the Insured and the employees of such attorneys while such attorneys
or the employees of such attorneys are performing such services for the Insured, and

(4) guest students pursuing their studies or
duties in any of the Insured’s offices, and

(5) directors or trustees of the Insured, the
investment advisor, underwriter (distributor), transfer agent, or shareholder accounting
record keeper, or administrator authorized by written agreement to keep financial and/or
other required records, but only while performing acts coming within the scope of the usual
duties of an officer or employee or while acting as a member of any committee duly elected
or

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appointed to examine or audit or have
custody of or access to the Property of the Insured, and

(6) any individual or individuals assigned
to perform the usual duties of an employee within the premises of the Insured by contract,
or by any agency furnishing temporary personnel on a contingent or part-time basis, and

(7) each natural person, partnership or corporation authorized by written agreement with the Insured to perform services as electronic
data processor of checks or other accounting records of the Insured, but excluding any such
processor who acts as transfer agent or in any other agency capacity in issuing checks, drafts
or securities for the Insured, unless included under Sub-section (9) hereof, and

(8) those persons so designated in section
15, Central Handling of Securities, and

(9) any officer, partner or Employee of

(a) an investment advisor,

(b) an underwriter (distributor),

(c) a transfer agent or shareholder accounting record-keeper, or

(d) an administrator authorized by written agreement
to keep financial and/or other required records, for an Investment Company, named as Insured
while performing acts coming within the scope of the usual duties of an officer or Employee
of any Investment Company named as Insured herein, or while acting as a member of any committee
duly elected or appointed to examine or audit or have custody of or access to the Property
of any such Investment Company provided that only Employees or partners of a transfer
agent, shareholder accounting record-keeper or administrator which is an affiliated person
as defined in the Investment Company Act of 1940, of an Investment Company named as Insured,
or is an affiliated person of the adviser, underwriter or administrator of such Investment
Company, and which is not a bank, shall be included within the definition of Employee.

Each employer of temporary personnel or processors as set forth in Sub-Sections (6) and (7)  of Section  1 (a) and their partners, officers and
employees shall collectively be deemed to be one person for all the purposes of this Bond, excepting, however, the last paragraph
of Section 13. Brokers, or other agents under contract or representatives of the same general character shall not be
considered Employees.

(b) Property means money (i.e. currency, coin, bank notes, Federal Reserve notes), postage and revenue
stamps, U.S. Savings Stamps, bullion, precious metals of all kinds and in any form and articles made therefrom, jewelry, watches,
necklaces, bracelets, gems, precious and semi-precious stones, Bonds, securities, evidences of debts, debentures, scrip, certificates, interim receipts, warrants, rights, puts, calls, straddles, spreads, transfers, coupons, drafts, bills of exchange,
acceptances, notes, checks, withdrawal orders, money orders, warehouse receipts, bills of lading, conditional sales contracts,
abstracts of title, insurance Policies, deeds, mortgages under real estate and/or chattels and upon interests therein, and
assignments of such Policies, mortgages and instruments, and other valuable papers, including books of account and other records
used by the Insured in the conduct of its business, and all other instruments similar to or in the nature of the foregoing including
Electronic Representations of such Instruments enumerated above (but excluding all data processing records) in which the Insured
has an interest or in which the Insured acquired or should have acquired an interest by reason of a predecessor’s declared
financial condition at the time of the Insured’s consolidation or merge with, or purchase of the principal assets of, such
predecessor or which are held by the Insured for any purpose or in any capacity and whether so held by the Insured for any purpose
or in any capacity and whether so held gratuitously or not and whether or not the Insured is liable therefor.

(c) Forgery means the signing of the name
of another with the intent to deceive; it does not include the signing of one’s own name
with or without authority, in any capacity, or for any purpose.

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(d) Larceny and Embezzlement as it applies
to any named Insured means those acts as set forth in Section 37 of the Investment Company
Act of 1940.

(e) Items of Deposit means any one or more
checks and drafts.

SECTION  2.
EXCLUSIONS THIS BOND
DOES NOT COVER:

(a) loss effected directly or indirectly by
means of forgery or alteration of, on or in any instrument, except when covered by Insuring
Agreement (A), (D), (E) or (F).

(b) loss due to riot or civil commotion outside
the United States of America and Canada; or loss due to military, naval or usurped power,
war or insurrection unless such loss occurs in transit in the circumstances recited in Insuring
Agreement (C) and unless, when such transit was initiated, there was no knowledge of
such riot, civil commotion, military, naval or usurped power, war or insurrection on the
part of any person acting for the Insured in initiating such transit.

(c) loss, in time of peace or war, directly
or indirectly caused by or resulting from the effects of nuclear fission or fusion or radioactivity; provided, however, that this paragraph shall not apply to loss resulting from industrial
uses of nuclear energy.

(d) loss resulting from any wrongful act or
acts of any person who is a member of the Board of Directors of the Insured or a member of
any equivalent body by whatsoever name known unless such person is also an Employee or
an elected official, partial owner or partner of the Insured in some other capacity, nor,
in any event, loss resulting from the act or acts of any person while acting in the capacity
of a member of such Board or equivalent body.

(e) loss resulting from the complete or partial
nonpayment of, or default upon, any loan or transaction in the nature of, or amounting to,
a loan made by or obtained from the Insured or any of its partners, directors or Employees,
whether authorized or unauthorized and whether procured in good faith or through

trick, artifice, fraud or false pretenses,
unless such loss is covered under Insuring Agreement (A), (E) or (F).

(f) loss resulting from any violation by the
Insured or by any Employee

(1) of law regulating (a) the issuance,
purchase or sale of securities, (b) securities transactions upon Security Exchanges
or over the counter market, (c) Investment Companies, or (d) Investment Advisors,
or

(2) of any rule or regulation made pursuant
to any such law.

unless such loss, in the absence of
such laws, rules or regulations, would be covered under Insuring Agreements (A) or (E).

(g) loss of Property or loss of privileges
through the misplacement or loss of Property as set forth in Insuring Agreement (C) or
(D) while the Property is in the custody of any armored motor vehicle company, unless
such loss shall be in excess of the amount recovered or received by the Insured under (a) the
Insured’s contract with said armored motor vehicle company, (b) insurance carried by
said armored motor vehicle company for the benefit of users of its service, and (c) all
other insurance and indemnity in force in whatsoever form carried by or for the benefit
of users of said armored motor vehicle company’s service, and then this Bond shall cover
only such excess.

(h) potential income, including but not limited
to interest and dividends, not realized by the Insured because of a loss covered under
this Bond, except as included under Insuring Agreement (I).

(i) all damages of any type for which the Insured
is legally liable, except direct compensatory damages arising from a loss covered under this
Bond.

(j) loss through the surrender of Property
away from an office of the Insured as a result of a threat

(1) to do bodily harm to any person, except
loss of Property in transit in the custody of any person acting as messenger

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provided that when such transit was initiated
there was no knowledge by the Insured of any such threat, or

(2) to do damage to the premises or Property
of the Insured, except when covered under Insuring Agreement (A).

(k) all costs, fees and other expenses incurred
by the Insured in establishing the existence of or amount of loss covered under this Bond
unless such indemnity is provided for under Insuring Agreement (I).

(l) loss resulting from payments made or withdrawals from the account of a customer of the Insured, shareholder or subscriber to shares
involving funds erroneously credited to such account, unless such payments are made to or
withdrawn by such depositor or representative of such person, who is within the premises
of the drawee bank of the Insured or within the office of the Insured at the time of such
payment or withdrawal or unless such payment is covered under Insuring Agreement (A).

(m) any loss resulting from Uncollectible Items
of Deposit which are drawn from a financial institution outside the fifty states of the
United States of America, District of Columbia, and territories and possessions of the United
States of America, and Canada.

SECTION 3.
ASSIGNMENT OF RIGHTS

This Bond does not afford coverage
in favor of any Employers of temporary personnel or of processors as set forth in sub-sections (6)  and (7) of
Section 1(a) of this Bond, as aforesaid, and upon payment to the insured by the Underwriter on account of any loss through
dishonest or fraudulent act(s) including Larceny or Embezzlement committed by any of the partners, officers or employees of
such Employers, whether acting alone or in collusion with others, an assignment of such of the Insured’s rights and causes of action
as it may have against such Employers by reason of such acts so committed shall, to the extent of such payment, be given by the
Insured to the Underwriter, and the Insured shall execute all papers necessary to secure to the Underwriter the rights herein
provided for.

SECTION
4. LOSS-NOTICE-PROOF-LEGAL
PROCEEDINGS

This Bond is for the use and benefit
only of the Insured named in the Declarations and the Underwriter shall not be liable hereunder for loss sustained by anyone other
than the Insured unless the Insured, in its sole discretion and at its option, shall include such loss in the Insured’s proof of loss.
At the earliest practicable moment after discovery of any loss hereunder the Insured shall give the Underwriter written notice thereof
and shall also within six months after such discovery furnish to the Underwriter affirmative proof of loss with full particulars. If
claim is made under this Bond for loss of securities or shares, the Underwriter shall not be liable unless each of such securities or
shares is identified in such proof of loss by a certificate or Bond number or, where such securities or shares are uncertificated, by
such identification means as agreed to by the Underwriter. The Underwriter shall have thirty days after notice and proof of loss within
which to investigate the claim, and this shall apply notwithstanding the loss is made up wholly or in part of securities of which duplicates
may be obtained. Legal proceedings for recovery of any loss hereunder shall not be brought prior to the expiration of sixty days after
such proof of loss is filed with the Underwriter nor after the expiration of twenty-four months from the discovery of such loss, except
that any action or proceeding to recover hereunder on account of any judgment against the Insured in any suit mentioned in General
Agreement C or to recover attorneys’ fees paid in any such suit, shall be begun within twenty-four months from the date upon which
the judgment in such suit shall become final. If any limitation embodied in this Bond is prohibited by any law controlling the construction
hereof, such limitation shall be deemed to be amended so as to be equal to the minimum period of limitation permitted by such law.

Discovery occurs when the Insured

(a) becomes aware of facts, or

(b) receives written notice of an actual or potential claim by a third
party which alleges that the Insured is liable under circumstance

which would cause a reasonable person
to assume that a loss covered by the Bond has been or will be incurred even though the exact amount or details of loss may not be then
known.

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SECTION 5.
VALUATION OF PROPERTY

The value of any Property, except books
of accounts or other records used by the Insured in the conduct of its business, for the loss of which a claim shall be made hereunder,
shall be determined by the average market value of such Property on the business day next preceding the discovery of such loss;
provided, however, that the value of any Property replaced by the Insured prior to the payment of claim therefor shall be the actual
market value at the time of replacement; and further provided that in case of a loss or misplacement of interim certificates, warrants,
rights, or other securities, the production which is necessary to the exercise of subscription, conversion, redemption or deposit privileges,
the value thereof shall be the market value of such privileges immediately preceding the expiration thereof if said loss or misplacement
is not discovered until after their expiration. If no market price is quoted for such Property or for such privileges, the value shall
be fixed by agreement between the parties or by arbitration.

In case of any loss or damage to Property
consisting of books of accounts or other records used by the Insured in the conduct of its business, the Underwriter shall be liable
under this Bond only if such books or records are actually reproduced and then for not more than the cost of blank books, blank pages or
other materials plus the cost of labor for the actual transcription or copying of data which shall have been furnished by the Insured
in order to reproduce such books and other records.

SECTION 6. VALUATION OF
PREMISES AND

FURNISHINGS

In case of damage to any office of
the Insured, or loss of or damage to the furnishings, fixtures, stationary, supplies, equipment, safes or vaults therin, the Underwriter
shall not be liable for more than the actual cash value thereof, or for more than the actual cost of their replacement or repair. The
Underwriter may, at its election, pay such actual cash value or make such replacement or repair. If the Underwriter and the Insured cannot agree upon such cash value or such cost or replacement or repair, such shall be determined by arbitration.

SECTION 7.
LOST SECURITIES

If the Insured shall sustain a loss
of securities the total value of which is in excess of the limit stated in Item 3 of the Declarations of this Bond, the liability of
the Underwriter shall be limited to payment for, or duplication of, securities having value equal to the limit stated in Item 3 of the
Declarations of this Bond.

If the Underwriter shall make payment
to the Insured for any loss of securities, the Insured shall thereupon assign to the Underwriter all of the Insured’s rights, title
and interests in and to said securities.

With respect to securities the value
of which do not exceed the Deductible Amount (at the time of the discovery of the loss) and for which the Underwriter may at its sole
discretion and option and at the request of the Insured issue a Lost Instrument Bond or Bonds to effect replacement thereof, the Insured
will pay the usual premium charged therefor and will indemnify the Underwriter against all loss or expense that the Underwriter may
sustain because of the issuance of such Lost Instrument Bond or Bonds.

With respect to securities the value
of which exceeds the Deductible Amount (at the time of discovery of the loss) and for which the Underwriter may issue or arrange for
the issuance of a Lost Instrument Bond or Bonds to effect replacement thereof, the Insured agrees that it will pay as premium therefor
a proportion of the usual premium charged therefor, said proportion being equal to the percentage that the Deductible Amount bears
to the value of the securities upon discovery of the loss, and that it will indemnify the issuer of said Lost Instrument Bond or Bonds
against all loss and expense that is not recoverable from the Underwriter under the terms and conditions of this INVESTMENT COMPANY
BOND subject to the Limit of Liability hereunder.

SECTION
8. SALVAGE

In case of recovery, whether made
by the Insured or by the Underwriter, on account of any loss in excess of the Limit of Liability hereunder plus the Deductible Amount
applicable to such loss from any source other than suretyship, insurance, reinsurance, security or indemnity taken by or for the benefit
of the Underwriter, the net amount of such recovery, less the actual costs and expenses of making same, shall be applied to reimburse
the

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Insured in full for the excess portion
of such loss, and the remainder, if any, shall be paid first in reimbursement of the Underwriter and thereafter in reimbursement of
the Insured for that part of such loss within the Deductible Amount. The Insured shall execute all necessary papers to secure to the Underwriter
the rights provided for herein.

SECTION 9. NON-REDUCTION
AND NON-ACCUMULATION OF LIABILITY AND TOTAL LIABILITY

At all times prior to termination hereof
this Bond shall continue in force for the limit stated in the applicable sections of Item 3 of the Declarations of this Bond notwithstanding
any previous loss for which the Underwriter may have paid or be liable to pay hereunder; PROVIDED, however, that regardless of the number
of years this Bond shall continue in force and the number of premiums which shall be payable or paid, the liability of the Underwriter
under this Bond with respect to all loss resulting form

(a) any one act of burglary, robbery or hold-up, or attempt thereat, in which no Partner or Employee is concerned or implicated shall
be deemed to be one loss, or

(b) any one unintentional or negligent act on the part of any one person resulting in damage to or destruction or misplacement of Property,
shall be deemed to be one loss, or

(c) all wrongful acts, other than those specified
in (a) above, of any one person shall be deemed to be one loss, or
     
  (d) all
wrongful acts, other than those specified in (a) above, of one or more persons (which dishonest
act(s) or act(s) of Larceny or Embezzlement include, but are not limited to, the failure of an Employee to report such
acts of others) whose dishonest act or acts intentionally or unintentionally, knowingly or unknowingly, directly or indirectly,
aid or aids in any way, or permits the continuation of, the dishonest act or acts of any other person or persons shall be deemed
to be one loss with the act or acts of the persons aided, or

(e) any one casualty or event other than those specified in (a),
(b), (c) or (d) preceding, shall be deemed to be one loss, and shall be limited to the applicable Limit of Liability stated
in Item 3

of the Declarations of this Bond irrespective
of the total amount of such loss or losses and shall not be cumulative in amounts from year to year or from period to period.

Sub-section (c) is not applicable
to any situation to which the language of sub-section (d) applies.

SECTION 10.
LIMIT OF LIABILITY

With respect to any loss set forth
in the PROVIDED clause of Section 9 of this Bond which is recoverable or recovered in whole or in part under any other Bonds or
Policies issued by the Underwriter to the Insured or to any predecessor in interest of the Insured and terminated or cancelled or allowed
to expire and in which the period for discovery has not expired at the time any such loss thereunder is discovered, the total liability
of the Underwriter under this Bond and under other Bonds or Policies shall not exceed, in the aggregate, the amount carried hereunder
on such loss or the amount available to the Insured under such other Bonds, or Policies, as limited by the terms and conditions thereof,
for any such loss if the latter amount be the larger.

SECTION 11.
OTHER INSURANCE

If the Insured shall hold, as indemnity
against any loss covered hereunder, any valid and enforceable insurance or suretyship, the Underwriter shall be liable hereunder only
for such amount of such loss which is in excess of the amount of such other insurance or suretyship, not exceeding, however, the Limit
of Liability of this Bond applicable to such loss.

SECTION 12.
DEDUCTIBLE

The Underwriter shall not be liable
under any of the Insuring Agreements of this Bond on account of loss as specified, respectively, in sub-sections (a), (b), (c), (d) and
(e) of Section 9, Non-Reduction And Nonaccumulation Of Liability And Total Liability, unless the amount of such loss, after
deducting the net amount of all reimbursement and/or recovery obtained or made by the insured, other than from any Bond or Policy of
insurance issued by an insurance company and covering such loss, or by the Underwriter on account thereof prior to payment by the Underwriter
of such loss, shall exceed the Deductible Amount set forth in Item 3 of the Declarations hereof (herein called

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Deductible Amount) and then for such excess
only, but in no event for more than the applicable Limit of Liability stated in Item 3 of the Declarations.

The Insured will bear, in addition to
the Deductible Amount, premiums on Lost Instrument Bonds as set forth in Section 7.

There shall be no deductible applicable
to any loss under Insuring Agreement A sustained by any Investment Company named as Insured herein.

SECTION 
13. TERMINATION

The Underwriter may terminate this Bond
as an entirety by furnishing written notice specifying the termination date which cannot be prior to 90 days after the receipt of such
written notice by each Investment Company named as Insured and the Securities and Exchange Commission, Washington, D.C. The Insured
may terminate this Bond as an entirety by furnishing written notice to the Underwriter. When the Insured cancels, the Insured shall
furnish written notice to the Securities and Exchange Commission, Washington, D.C. prior to 90 days before the effective date of the termination. The Underwriter shall notify all other Investment Companies named as Insured of the receipt of such termination notice and the
termination cannot be effective prior to 90 days after receipt of written notice by all other Investment Companies. Premiums are earned
until the termination date as set forth herein.

This Bond will terminate as to any one
Insured, (other than a registered management investment company), immediately upon taking over of such Insured by a receiver or other
liquidator or by State or Federal officials, or immediately upon the filing of a petition under any State or Federal statute relative
to bankruptcy or reorganization of the Insured, or assignment for the benefit of creditors of the Insured, or immediately upon such Insured
ceasing to exist, whether through merger into another entity, or by disposition of all of its assets.

This Bond will terminate as to any registered
management investment company upon the expiration of 90 days after written notice has been given to the Securities and Exchange Commission,
Washington, D.C.

The Underwriter shall refund the unearned
premium computed as short rates in accordance with the standard short rate cancellation tables if

terminated by the Insured or pro rata
if terminated for any other reason.

This Bond shall terminate

(a) as to any Employee as soon as any partner, officer or supervisory Employee of the Insured, who is not in collusion with such Employee, shall learn of any dishonest or fraudulent act(s), including Larceny or Embezzlement on the part of such Employee without prejudice to the loss of any Property then in transit in the custody of such Employee and upon the expiration of ninety (90) days after written
notice has been given to the Securities and Exchange Commission, Washington, D.C. (See Section 16(d)) and to the Insured Investment
Company, or

(b) as to any Employee 90 days after receipt by each Insured and by the Securities and Exchange Commission of a written notice from
the Underwriter of its desire to terminate this Bond as to such Employee, or

(c) as to any person, who is a partner, officer or employee of any Electronic Data Processor covered under this Bond, from and after the
time that the Insured or any partner or officer thereof not in collusion with such person shall have knowledge of information that such
person has committed any dishonest or fraudulent act(s), including Larceny or Embezzlement in the service of the Insured or otherwise,
whether such act be committed before or after the time this Bond is effective.

SECTION 14.
RIGHTS AFTER TERMINATION
OR CANCELLATION

At any time prior to the termination
or cancellation of this Bond as an entirety, whether by the Insured or the Underwriter, the Insured may give to the Underwriter notice
that it desires under this Bond an additional period of 12 months within which to discover loss sustained by the Insured prior to the
effective date of such termination or cancellation and shall pay an additional premium therefor.

Upon receipt of such notice from the
Insured, the Underwriter shall give its written consent thereto: provided, however, that such additional period of time shall terminate
immediately;

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(a) on the effective date of any other insurance obtained by the Insured, its successor in business or any other party, replacing in
whole or in part the insurance afforded by this Bond, whether or not such other insurance provides coverage for loss sustained prior to
its effective date, or

(b) upon takeover of the Insured’s business by any State or Federal official or agency, or by any receiver or liquidator, acting or appointed
for this purpose without the necessity of the Underwriter giving notice of such termination. In the event that such additional period
of time is terminated, as provided above, the Underwriter shall refund any unearned premium.

The right to purchase such additional
period for the discovery of loss may not be exercised by any State or Federal official or agency, or by any receiver or liquidator, acting
or appointed to take over the Insured’s business for the operation or for the liquidation thereof or for any other purpose.

SECTION 15. CENTRAL HANDLING
OF SECURITIES

Securities included in the systems for
the central handling of securities established and maintained by Depository Trust Company, Midwest Depository Trust Company, Pacific
Securities Depository Trust Company, and Philadelphia Depository Trust Company, hereinafter called Corporations, to the extent of the
Insured’s interest therein as effective by the making of appropriate entries on the books and records of such Corporations shall be
deemed to be Property.

The words “Employee” and “Employees”
shall be deemed to include the officers, partners, clerks and other employees of the New York Stock Exchange, Boston Stock Exchange, Midwest
Stock Exchange, Pacific Stock Exchange and Philadelphia Stock Exchange, hereinafter called Exchanges, and of the above named Corporations,
and of any nominee in whose name is registered any security included within the systems for the central handling of securities established
and maintained by such Corporations, and any employee of any recognized service company, while such officers, partners, clerks and other
employees and employees of service companies perform services for such Corporations in the operation of such systems. For the purpose
of the above definition a recognized service company

shall be any company providing clerks
or other personnel to said Exchanges or Corporation on a contract basis.

The Underwriter shall not be liable
on account of any loss(es) in connection with the central handling of securities within the systems established and maintained by such
Corporations, unless such loss(es) shall be in excess of the amount(s) recoverable or recovered under any Bond or Policy if insurance
indemnifying such Corporations, against such loss(es), and then the Underwriter shall be liable hereunder only for the Insured’s share
of such excess loss(es), but in no event for more than the Limit of Liability applicable hereunder.

For the purpose of determining the
Insured’s share of excess loss(es) it shall be deemed that the Insured has an interest in any certificate representing any security
included within such systems equivalent to the interest the Insured then has in all certificates representing the same security included
within such systems and that such Corporation shall use their best judgment in apportioning the amount(s) recoverable or recovered under any Bond or Policy of insurance indemnifying such Corporations against such loss(es) in connection with the central handling
of securities within such systems among all those having an interest as recorded by appropriate entries in the books and records of
such Corporations in Property involved in such loss(es) on the basis that each such interest shall share in the amount(s) so recoverable
or recovered in the ratio that the value of each such interest bears to the total value of all such interests and that the Insured’s
share of such excess loss(es) shall be the amount of the Insured’s interest in such Property in excess of the amount(s) so apportioned
to the Insured by such Corporations.

This Bond does not afford coverage
in favor of such Corporations or Exchanges or any nominee in whose name is registered any security included within the systems for the
central handling of securities established and maintained by such Corporations, and upon payment to the Insured by the Underwriter on
account of any loss(es) within the systems, an assignment of such of the Insured’s rights and causes of action as it may have against
such Corporations or Exchanges shall to the extent of such payment, be given by the Insured to the Underwriter, and the Insured shall
execute all papers necessary to secure to the Underwriter the rights provided for herein.

 

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SECTION
16. ADDITIONAL COMPANIES INCLUDED AS INSURED

If more than one corporation, co-partnership
or person or any combination of them be included as the Insured herein:

(a) the total liability of the Underwriter hereunder for loss or losses sustained by any one or more or all of them shall not exceed the
limit for which the Underwriter would be liable hereunder if all such loss were sustained by any one of them.

(b) the one first named herein shall be deemed authorized to make, adjust and receive and enforce payment of all claims hereunder and
shall be deemed to be the agent of the others for such purposes and for the giving or receiving of any notice required or permitted
to be given by the terms hereof, provided that the Underwriter shall furnish each named Investment Company with a copy of the Bond and
with any amendment thereto, together with a copy of each formal filing of the settlement of each such claim prior to the execution
of such settlement,

(c) the Underwriter shall not be responsible for the proper application of any payment made hereunder to said first named Insured,

(d) knowledge possessed or discovery made by any partner, officer or supervisory Employee of any Insured shall for the purpose of Section 4 and Section 13 of this Bond constitute knowledge or discovery by all the Insured, and

(e) if the first named Insured ceases for any reason to be covered under this Bond, then the Insured next named shall thereafter be
considered as the first named Insured for the purposes of this Bond.

SECTION 17.
NOTICE AND CHANGE OF
CONTROL

Upon the Insured’s obtaining knowledge
of a transfer of its outstanding voting securities which results in a change in control (as set forth in Section 2(a) (9) of
the Investment Company Act of

1940) of the Insured, the Insured shall
within thirty (30) days of such knowledge give written notice to the Underwriter setting forth:

(a) the names of the transferors and transferees (or the names of the beneficial owners if the voting securities are requested in another
name), and

(b) the total number of voting securities owned by the transferors and the transferees (or the beneficial owners), both immediately before
and after the transfer, and

(c) the total number of outstanding voting securities.

As used in this section, control means
the power to exercise a controlling influence over the management or Policies of the Insured.

Failure to give the required notice
shall result in termination of coverage of this Bond, effective upon the date of stock transfer for any loss in which any transferee is
concerned or implicated.

Such notice is not required to be given
in the case of an Insured which is an Investment Company.

SECTION 18.
CHANGE OR MODIFICATION

This Bond or any instrument
amending or effecting same may not be changed or modified orally. No changes in or modification thereof shall be effective unless
made by written Endorsement issued to form a part hereof over the signature of the Underwriter’s Authorized Representative. When a
Bond covers only one Investment Company no change or modification which would adversely affect the rights of the Investment Company shall be effective prior to 60 days after written notification has been furnished to the Securities and Exchange Commission,
Washington, D.C. by the Insured or by the Underwriter. If more than one Investment Company is named as the Insured herein, the
Underwriter shall give written notice to each Investment Company and to the Securities and Exchange Commission, Washington, D.C. not
less than 60 days prior to the effective date of any change or modification which would adversely affect the rights of such
Investment Company.

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FI 88 01 (Ed. 10 11)

FORMS AND RIDERS SCHEDULE

It is hereby understood and agreed the following forms and
riders are attached to and are a part of this bond:

Form No. /Edition

Date Added *
or
Date Deleted

Form Description

Rider
No.
(if applicable)

FI7510 11-16   Investment Company Bond Dec Page  
FI7511 08-15   Investment Company Bond Insuring Agreements  
SRF9808 08-95   Rider – Joint Insured 1
SRF9808 08-95   Rider – Insuring Agreement L 2
SRF9808 08-95   Rider – Amend Insuring Agreement (F) – Counterfeit Currency 3
SRF9808 08-95   Rider – Certificated Securities 4
SRF9808 08-95   Rider – Amend Section 13, Termination 5
SRF9808 08-95   Rider – Amend Discovery 6
SRF9808 08-95   Rider – Automatic Coverage for New Companies 7
FI7337 08-15   California Premium Rider/Endorsement 8
FI7345 08-15   Confidential Information And Data Breach Clarifying Rider 9
FI7339 06-14   Virtual Or On-Line Peer To Peer Mediums Of Exchange Exclusion 10
FI7340 08-15   Economic And Trade Sanctions Clause  
FI7341 04-17   In-Witness Clause  
* If not at inception

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RIDER NO. 1

To be attached
to and form part of Investment Company Bond

 

No.  FS 2346443 13 00

In favor of Schwab Strategic Trust

Joint Insured

1. At the request of the Insured, the Underwriter adds to the list of Insured under the attached bond the following:

Schwab Long-Term US Treasury ETFSchwab 1-5 Year Corporate Bond
ETFSchwab 5-10 Year Corporate Bond ETFSchwab Fundamental U.S. Broad Market Index ETFSchwab 1000 Indexfi ETFSchwab Fundamental
International Small Company Index ETFSchwab International Small-Cap Equity ETFSchwab Fundamental Emerging Markets Large Company
Index ETFSchwab Fundamental U.S. Small Company Index ETFSchwab Fundamental International Large Company Index ETFSchwab
Intermediate-Term U.S. Treasury ETFSchwab U.S. REIT ETFSchwab Fundamental U.S. Large Company Index ETFSchwab Short-Term U.S.
Treasury ETFSchwab Emerging Markets Equity ETFSchwab U.S. Mid-Cap ETFSchwab U.S. Large-Cap Value ETFSchwab U.S. Aggregate Bond
ETFSchwab U.S. Small-Cap ETFSchwab U.S. TIPS ETFSchwab U.S. Large-Cap Growth ETFSchwab U.S. Dividend Equity ETFSchwab U.S. Broad
Market ETFSchwab U.S. Large-Cap ETFSchwab International Equity ETF

2. This rider shall become effective as of 12:01 a.m. on
06/30/2021 standard time.

SRF 9808 (Ed. 08/95) (Page 1 of 1
)
 

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RIDER NO. 2

To be attached
to and form part of Investment Company Bond

 

No.  FS 2346443 13 00

In favor of Schwab Strategic Trust

Insuring Agreement L

1. The attached bond is amended by adding an additional Insuring Agreement as follows:

COMPUTER SYSTEMS

Loss resulting directly from a fraudulent

(1) entry of data into, or
(2) change of data elements or programs within a Computer System;

provided that
fraudulent entry or change causes

(a) Property to be transferred paid or delivered,
(b) an account of the Insured, or of its customer, to be added,
deleted, debited or credited, or
(c) an unauthorized account or a fictitious account to be debited
or credited;

(3) voice instruction or advices having been transmitted to the
Insured or its agent(s) by telephone; and provided further, the fraudulent entry or change is made or caused by an individual acting
with the manifest intent to:

(i) cause
the Insured or its agent(s)
 to sustain a loss, and
(ii) obtain financial benefit for that individual or for other
persons intended by that individual to receive a financial benefit,
(iii) and further provided such voice instructions or advices:

(a) were made by a person who purported to represent an individual
authorized to make such voice instructions or advices; and
(b) were electronically recorded by the Insured or its agent(s).

(4) It shall
be a condition to recovery under the Computer Systems Rider that the Insured or its agent(s)
 shall
to the best of their ability electronically record all voice instructions or advices received over the telephone. The Insured or its
agent(s)
 warrant that they shall make their best efforts to maintain
the electronic recording system on a continuous basis. Nothing, however, in this Rider shall bar the Insured from recovery where no recording
is available because of mechanical failure of the device used in making such recording, or because of failure of the media used to record
a conversation from any cause, or error or omission of any Employee(s)
 or
agent(s)
 of the Insured.

SCHEDULE OF SYSTEMS

Any System Utilized by the Insured

SRF 9808 (Ed. 08/95) (Page 1 of 3
)
 

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2. As used in this Rider, Computer System means:

(a) computers with related peripheral components, including storage
components, wherever located,
(b) systems and applications software,
(d) related communication networks or customer communication
systems, and
(e) related Electronic Funds Transfer Systems,

by which data are electronically collected, transmitted, processed,
stored, and retrieved.

3. In addition to the exclusion in the attached bond, the following
exclusions are applicable to this Insuring Agreement:

(a) loss resulting directly or indirectly from the theft of confidential
information, material or data: and
(b) loss resulting directly or indirectly from entries or changes
made by an individual authorized to have access to a Computer System who acts in good faith on instructions, unless such instructions
are given to that individual by a software contractor (or by a partner, officer or employee thereof) authorized by the Insured to design,
develop, prepare, supply service, write or implement programs for the Insured’s Computer System.

4. The following portions of the attached bond are not applicable
to this Rider:

(a) the initial paragraph of the bond preceding the Insuring
Agreements which reads “…at any time but discovered during the Bond Period.”
(b) Section 9-NON-REDUCTION
AND NON-ACCUMULATION OF LIABILITY AND TOTAL LIABILITY
(c) Section 10-LIMIT
OF LIABILITY

5. The coverage afforded by this rider applies only to loss discovered
by the Insured during the period this Rider is in force.

6. All loss or series of losses involving the fraudulent activity
of one individual, or involving fraudulent activity in which one individual is implicated, whether or not that individual is specifically
identified, shall be treated as one loss. A series of losses involving unidentified individuals but arising from the same method of operation
may be deemed by the Underwriter to involve the same individual and in that event shall be treated as one loss.

7. The Limit of Liability for the coverage provided by this Rider
shall be $37,500,000.

8. The Underwriter shall be liable hereunder for the amount by
which one loss shall be in excess of $25,000 (herein called the Deductible Amount) but not in excess of the Limit of Liability stated
above.

9. If any loss is covered under this Insuring Agreement and any
other Insuring Agreement or Coverage, the maximum amount payable for such loss shall not exceed the largest amount available under any
one Insuring Agreement or Coverage.

10. Coverage under this Rider shall terminate upon termination or
cancellation of the bond to which this Rider is attached. Coverage under this rider may also be terminated or cancelled without canceling
the bond as an entirety:

(a) 90 days after receipt by the Insured of written notice from
the Underwriter of its desire to terminate or cancel coverage under this Rider, or
(b) immediately upon receipt by the Underwriter of a written
request from the Insured to terminate or cancel coverage under this Rider.

F.9808 (Ed. 08/95) (Page 2 of 3
)
 

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The Underwriter shall refund to the Insured the
unearned premium for this coverage under this Rider. The refund shall be computed at short rates if this Rider is terminated or cancelled
or reduces by notice from, or at the insistence of the Insured.

11. Section 4-LOSS-NOTICE-PROOF-LEGAL
PROCEEDING of the Conditions and Limitations of this bond is amended by adding the following sentence:

“Proof of Loss resulting from Voice Instructions or advices covered
under this bond shall include Electronic Recording of such Voice Instructions of advices.”

12. Notwithstanding the foregoing, however, coverage afforded by
this Rider is not designed to provide protection against loss covered under a separate Electronic and Computer Crime Policy by whatever
title assigned or by whatever Underwriter written. Any loss which is covered under such separate Policy is excluded from coverage under
this bond; and the Insured agrees to make claim for such loss under its separate Policy.

13. This
rider shall become effective as of 12:01 a.m.
 on 06/30/2021 standard
time.

F.9808 (Ed. 08/95) (Page 3 of 3
)
 

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RIDER NO. 3

To be attached
to and form part of Investment Company Bond

 

No.  FS 2346443 13 00

In favor of Schwab Strategic Trust

Amend
Insuring Agreement (F)
 – Counterfeit Currency

1. Insuring Agreement (F) Counterfeit
Currency, is hereby amended by deleting the words: “of the United States of America or Canada”, and substituting “of any
country in the world.

2. This rider shall become effective as of 12:01 a.m. on
06/30/2021 standard time.

SRF 9808 (Ed. 08/95) (Page 1 of 1
)
 

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RIDER NO. 4

To be attached
to and form part of Investment Company Bond

No.
FS 2346443 13 00

In favor of Schwab Strategic Trust

Certificated Securities

1. Those
premises of Depositories listed in the following Schedule shall be deemed to be premises of the Insurance but only as respects coverage
on Certificated Securities; Section
 15:

SECURITIES

DEPOSITORY LOCATION COVERED
   
All systems utilized by the Insured All Locations utilized by the Insured

2. Certificate Securities held by such Depository shall be deemed
to be Property as defined in the attached bond to the extent of the Insured’s interest therein as effected by the making of appropriate
entries on the books and records of such Depository.

3. The attached Bond does not afford coverage in favor of any Depository
listed in the Schedule above. When the Company indemnifies the Insured for a loss covered hereunder, the Insured will assign the rights
and causes of action to the extent of the claim payment against the Depository, or any other entity or person against whom it has cause
of action, to the Company.

4. If the
rules
 of the Depository named in the Schedule above provide that
the Insured shall be assessed for a portion of the judgment (or agreed settlement) taken by the Company based upon the assignment set
forth in part 3. above and Insured actually pays such assessment, then the Company will reimburse the Insured for the amount of the assessment
but not exceeding the amount of the loss payment by the Company.

5. This
rider shall become effective as of 12:01 a.m.
 on 06/30/2021 standard
time.

SRF 9808 (Ed. 08/95)

(Page 1 of 1)  

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RIDER NO. 5

To be attached
to and form part of Investment Company Bond

 

No.  FS 2346443 13 00

In favor of Schwab Strategic Trust

Amend
Section
 13, Termination

1. Sub-section
(b)
 of Section 13.
TERMINATION, is deleted in its entirety, and the following is substituted in lieu thereof:

Upon the detection
by any Insured that such Employee has committed any dishonest or fraudulent act(s)
 or
theft. The Insured shall immediately remove such Employee from a position that may enable such Employee to cause the Insured to suffer
a loss by any subsequent dishonest or fraudulent act(s)
 or theft.
The Insured, within ninety-six (96) hours of such detection, shall notify the Underwriter with full and complete particulars of the detected
dishonest or fraudulent act(s)
 or theft, or;

For purposes
of this section, detection occurs when any partner, officer, or supervisory Employee of any Insured, who is not in collusion with such
(detected) Employee, becomes aware that the (detected) Employee has committed any dishonest or fraudulent act(s)
 or
theft.

This Bond shall terminate as to any Employee by written notice to each
Insured and to the Securities and Exchange Commission from the Underwriter of not less than ninety (90) days prior to the effective date
of termination specified in such notice.

2. This
rider shall become effective as of 12:01 a.m.
 on 06/30/2021 standard
time.

SRF 9808 (Ed. 08/95)

(Page 1 of 1)  

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RIDER NO. 6

To be attached
to and form part of Investment Company Bond

 

No.  FS 2346443 13 00

In favor of Schwab Strategic Trust

Amend Discovery

1. SECTION 4.
is deleted in its entirety and replaced with the following:

This bond is for the use and benefit only of the Insured named in the
Declarations and the Underwriter shall not be liable hereunder for loss sustained by anyone other than the Insured unless the Insured,
in its sole discretion and at its option, shall include such loss in the Insured’s proof of loss. At the earliest practicable moment
after discovery of any loss hereunder the Risk Management Department, and/or General Counsel and/or Internal Audit Department shall give
the Underwriter written notice thereof and shall also within six months after such discovery furnish to the Underwriter affirmative proof
of loss with full particulars. If claim is made under this bond for loss of securities or shares, the Underwriter shall not be liable
unless each of such securities or shares is identified in such proof of loss by a certificate or bond number or, where such securities
or shares are uncertificated, by such identification means as agreed to by the Underwriter. The Underwriter shall have thirty days after
notice and proof of loss within which to investigate the claim, and this shall apply notwithstanding the loss is made up wholly or in
part of securities of which duplicates may be obtained. Legal proceedings for recovery of any loss hereunder shall not be brought prior
to the expiration of sixty days after such proof of loss is filed with the Underwriter nor after the expiration of twenty-four months
from the discovery of such loss, except that any action or proceeding to recover hereunder on account of any judgment against the Insured
in any suit mentioned in General Agreement C or to recover attorneys’ fees paid in any such suit, shall be begun within twenty-four
months from the date upon which the judgment in such suit shall become final. If any limitation embodied in this bond is prohibited by
any law controlling the construction hereof, such limitation shall be deemed to be amended so as to be equal to the minimum period of
limitation permitted by such law.

Discovery occurs when the Risk Management Department, and/or General
Counsel and/or Internal Audit Department

(a) becomes aware of facts, or

(b) receives written notice of an actual or potential claim by
a third party which alleges that the Insured is liable under circumstance which would cause a reasonable person to assume that a loss
covered by the bond has been or will be incurred even though the exact amount or details of loss may not be then known.

2. This
rider shall become effective as of 12:01 a.m.
 on 06/30/2021 standard
time.

SRF 9808 (Ed. 08/95)

(Page 1 of 1)  

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RIDER NO. 7

To be attached
to and form part of Investment Company Bond

 

No.  FS 2346443 13 00

In favor of Schwab Strategic Trust

Automatic Coverage for New Companies

1. Item
1. of the Declarations shall include any existing Investment Company or portfolios which are not listed under Rider No.
 1
of the attached Bond. It shall also include any Newly Created Investment Company or portfolio provided that the Insured shall submit
to the Underwriter following the end of the Bond Period, a list of all Newly Created portfolios and Copies of any prospectuses and statements
of additional information relating to such Newly Created Investment Companies or portfolios unless said prospectus and statements of
additional information have been previously submitted.

Following the end of the Bond Period, any Newly Created Investment Company
or portfolio created during the Period, will continue to be an Insured only if the Underwriter notified as set forth in the paragraph
and the information required herein is provided to the Underwriter, and the Underwriter acknowledges the addition of such Newly Created
Investment Company or portfolio to the Bond by a Rider of this Bond.

2. It is
further agreed that the following definition is added to Section
 1.
DEFINITIONS.

(f) Newly
Created Investment Company or portfolio shall mean any Investment Company or portfolio for which registration with the SEC has been declared.

3. This
rider shall become effective as of 12:01 a.m.
 on 06/30/2021 standard
time.

SRF 9808 (Ed. 08/95)

(Page 1 of 1)  

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FI 73 37 (Ed. 08/15)

RIDER/ENDORSEMENT NO. 8

CALIFORNIA PREMIUM RIDER/ENDORSEMENT

To be attached to and form part of INVESTMENT COMPANY BOND

Bond/Policy No. FS 2346443
13 00

In favor of Schwab
Strategic Trust

It is agreed that:

1. . In compliance with the ruling of the Commission of Insurance
of the State of California and the opinion of the Attorney General of that State requiring that the premium for all Bonds or Policies
be endorsed thereon, the basic premium charged for the attached bond/policy for the Bond/Policy Period:

From: 06/30/2021
   
To: 06/30/2022
   
Is: Thirty Five Thousand Six Hundred and 00/100 Dollars ($35,600)

2. Nothing herein contained shall be held to vary, alter, waive,
or extend any of the terms, conditions, provisions, agreements, or limitations of the above mentioned bond/policy other than as stated
herein.

3. This
Rider/Endorsement shall become effective as of 12:01 a.m.
 on 06/30/2021
standard time.

FI 733 7 (Ed. 08/15)

 (Page 1 of 1)  

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FI 73 45 (Ed. 08/15)

 

 

 

 

 

RIDER NO. 9

CONFIDENTIAL INFORMATION AND DATA BREACH CLARIFYING
RIDER

To be attached
to and form part of Investment Company Bond

 

Bond No. FS 2346443 13
00

In favor of Schwab Strategic Trust

It is agreed that:

1. . CONDITIONS
AND LIMITATIONS, Section
 2. Exclusions is amended to include:

Confidential Information:

Loss resulting from:

a) Theft, disappearance, destruction or disclosure of the confidential or personal information of the Insured or another person or entity
for which the Insured is legally liable including, but not limited to patents, trade secrets, personal information, processing methods,
customer lists, financial information, credit card information, intellectual property, health information, or any other type of non-public
information.

For purposes of coverage that may be attached to the Bond
by Rider which pertains to Computer Systems, confidential information cannot be properly transferred. A loss otherwise covered under the
Computer Systems Rider (if attached) shall not be excluded by the fact that confidential information was used to gain access to your computer
system or to the computer system of your financial institution in order to cause the fraudulent transfer.

b) The use of another person’s or entity’s confidential or personal information including but not limited to, financial information,
credit card information, health information or any other type of non-public information.

Data Breach Costs:

Loss resulting from fees, costs, fines, penalties and other
expenses which are related to the access or disclosure of another person’s or entity’s confidential information, and the obligations
of the Insured to comply with federal and state privacy laws and Payment Card Industry Data Security Standards (if applicable) arising
from a data security breach, including, but not limited to, expenses related to notifying affected individuals when the affected individuals’
financial information, credit card information, health information or other type of non-public information was stolen, accessed, downloaded
or misappropriated while in the care, custody or control of the Insured.

2. Nothing herein contained shall be held to vary, alter, waive,
or extend any of the terms, conditions and limitations, or provisions of the attached bond other than as above stated.

3. This
Rider shall become effective as of 12:01 a.m.
 on 06/30/2021 standard
time.

FI 734 5 (Ed. 08/15) (Page 1 of 1)  

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FI 73 39 (Ed. 06/14)

RIDER NO. 10 

VIRTUAL OR ON-LINE PEER TO PEER MEDIUMS OF EXCHANGE
EXCLUSION

To be attached
to and form part of Investment Company Bond

 

Bond No.
FS 2346443 13 00

In favor of Schwab Strategic Trust

This Rider amends the section entitled “Exclusions”:

This
bond does not cover:

1. . Loss of virtual or on-line peer to peer mediums of exchange.

2. Nothing herein contained shall be held to vary, alter, waive,
or extend any of the terms, conditions, provisions, agreements, or limitations of the above mentioned bond other than as stated herein.

3. This
Rider shall become effective as of 12:01 a.m.
 on 06/30/2021 standard
time.

FI 73 39 (Ed. 06/14) (Page 1 of 1)  

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FI 73 40 (Ed. 08/15)

THIS RIDER CHANGES YOUR BOND. PLEASE READ IT
CAREFULLY.

ECONOMIC AND TRADE SANCTIONS CLAUSE 

This insurance does not apply to the extent that trade or
economic sanctions or other laws or regulations prohibit us from providing insurance.

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    087334

FI73 41 (Ed. 04/17)

In Witness Clause 

In Witness Whereof, we have caused this Financial Institution Bond to
be executed and attested, and, if required by state law, this Financial Institution Bond shall not be valid unless countersigned by our
authorized representative.

 
PRESIDENT SECRETARY

FI73 41 (Ed. 04/17) Copyright Great American Insurance Co., 2009  

AON RISK INSURANCE SERVICES WEST, INC. 

425 MARKET ST. #2800 

SAN FRANCISCO, CA 94105

INSURED: SCHWAB STRATEGIC TRUST, ET AL

PREMIUM BILL

Insured: SCHWAB STRATEGIC TRUST, ET AL Date: July 22, 2021

Producer: AON RISK INSURANCE SERVICES WEST, INC.

Company: FEDERAL INSURANCE COMPANY

THIS BILLING IS TO BE ATTACHED TO AND FORM PART OF
THE BOND REFERENCED BELOW.

NOTE: PLEASE RETURN THIS BILL WITH REMITTANCE AND NOTE HEREON ANY
CHANGES. BILL WILL BE RECEIPTED AND RETURNED TO YOU PROMPTLY UPON REQUEST.

PLEASE REMIT TO PRODUCER INDICATED ABOVE. PLEASE REFER TO:

EFFECTIVE DATE BOND NUMBER COVERAGE   PREMIUM
June 30, 2021 82515977 Excess ICAP Bond   $ 14,844
   To        
June 30, 2022        
         
15.0% Commission        
      TOTAL $ 14,844

 

Chubb Group of Insurance Companies   DECLARATIONS
202B Hall’s Mill Road   FINANCIAL INSTITUTION
Whitehouse Station, NJ 08889   EXCESS BOND FORM E
     
     
NAME OF ASSURED:   Bond Number: 82515977
     
SCHWAB STRATEGIC TRUST, ET AL   FEDERAL INSURANCE COMPANY
    Incorporated under the laws of Indiana,
211 MAIN STREET   a stock insurance company, herein called the COMPANY
SAN FRANCISCO, CA 94105    
    Capital Center, 251 North Illinois, Suite 1100
Indianapolis, IN 46204-1927
     

ITEM 1. BOND PERIOD: from 12:01 a.m. on June 30, 2021
    to 12:01 a.m. on June 30, 2022

ITEM 2. AGGREGATE LIMIT OF LIABILITY: $15,625,000

ITEM 3. SINGLE LOSS LIMIT OF LIABILITY:$15,625,000

ITEM 4. DEDUCTIBLE AMOUNT: $ 25,000

Insurer: Great American Insurance Company

 

Form and Bond
No. FS 234-64-43-13-00

 

Limit                            $37,500,000

 

Deductible:                   $25,000

 

Bond
Period 06/30/2021 to 06/30/2022

ITEM 6. COVERAGE EXCEPTIONS TO PRIMARY BOND:

NOTWITHSTANDING
ANY COVERAGE PROVIDED BY THE PRIMARY BOND, THIS EXCESS BOND DOES NOT DIRECTLY OR INDIRECTLY COVER: This bond does not drop down for any
sublimited coverages on primary bonc

ITEM 7. TOTAL OF LIMITS OF LIABILITY OF OTHER UNDERLYING BONDS, EXCESS
OF PRIMARY BOND:

 

 

ITEM 8. THE LIABILITY OF THE COMPANY IS ALSO SUBJECT TO THE TERMS OF
THE FOLLOWING ENDORSEMENTS EXECUTED SIMULTANEOUSLY HEREWITH:
1-3

 

IN WITNESS WHEREOF, THE COMPANY issuing this Bond
has caused this Bond to be signed by its authorized officers, but it shall not be valid unless also signed by a duly authorized representative
of the Company.

 

Secretary   President

July 22, 2021

 
Date   Authorized Representative

Excess Bond (7-92)
Form 17-02-0842 (Ed. 7-92)
Page 1 of 1

The COMPANY, in consideration of the
required premium, and in reliance on the statements and information furnished to the COMPANY by the ASSURED, and subject to the DECLARATIONS
made a part of this bond and to all other terms and conditions of this bond, agrees to pay the ASSURED for:

Insuring Clause

Loss which would have been paid under the Primary Bond
but for the fact the loss exceeds the Deductible Amount.

 

Coverage under this bond shall follow the terms and conditions
of the Primary Bond, except with respect to:

 

a. The coverage exceptions in ITEM 6. of the DECLARATIONS; and

 

b. The limits of liability as stated in ITEM 2. and ITEM 3. of
the DECLARATIONS.

 

With respect to the exceptions stated above, the provisions
of this bond shall apply.

Change Or Modification
Of Primary Bond
A. If after the inception date of this bond the Primary Bond
is changed or modified, written notice of any such change or modification shall be given to the COMPANY as soon as practicable, not
to exceed thirty (30) days after such change or modification, together with such information as the COMPANY may request. There shall
be no coverage under this bond for any loss related to such change or modification until such time as the COMPANY is advised of and specifically
agrees by written endorsement to provide coverage for such change or modification.

Representations Made
By Assured
B. The
ASSURED represents that all information it has furnished to the COMPANY for this bond or otherwise is complete, true and correct. Such
information constitutes part of this bond.

The ASSURED must promptly notify the
COMPANY of any change in any fact or circumstance which materially affects the risk assumed by the COMPANY under this bond.

Any misrepresentation, omission, concealment
or incorrect statement of a material fact by the ASSURED to the COMPANY shall be grounds for recision of this bond.

Notice To Company Of
Legal Proceedings Against
Assured – Election To
Defend

C.

The
ASSURED shall notify the COMPANY at the earliest practical moment, not to exceed thirty (30) days after the ASSURED receives notice,
of any legal proceeding brought to determine the ASSURED’S liability for any loss, claim or damage which, if established, would
constitute a collectible loss under this bond or any of the Underlying Bonds. Concurrent with such notice, and as requested thereafter,
the ASSURED shall furnish copies of all pleadings and pertinent papers to the COMPANY.

Excess
Bond (7-92) R
Form 17-02-0842 (Ed. 7-92)
R
Page 1 of 5

Notice To Company Of Legal Proceedings Against Assured
– Election To Defend

(continued)

  If the COMPANY elects to defend all or part of any legal proceeding, the court
costs and attorneys’ fees incurred by the COMPANY and any settlement or judgment on that part defended by the COMPANY shall be
a loss under this bond. The COMPANY’S liability for court costs and attorneys’ fees incurred in defending all or part of
such legal proceeding is limited to the proportion of such court costs and attorneys’ fees incurred that the amount recoverable
under this bond bears to the amount demanded in such legal proceeding.

If the COMPANY declines to defend
the ASSURED, no settlement without the prior written consent of the COMPANY or judgment against the ASSURED shall determine the existence,
extent or amount of coverage under this bond, and the COMPANY shall not be liable for any costs, fees and expenses incurred by the ASSURED.

Conditions And Limitations  
   
Definitions

1.

As
used in this bond:

  a. Deductible
Amount
means the amount stated in ITEM 4. of the DECLARATIONS. In no event shall this Deductible Amount be reduced for any
reason, including but not limited to, the non-existence, invalidity, insufficiency or uncollectibility of any of the Underlying Bonds,
including the insolvency or dissolution of any Insurer providing coverage under any of the Underlying Bonds.

b. Primary Bond means the bond scheduled in ITEM 5. of the DECLARATIONS or any bond that may
replace or substitute for such bond.

c. Single Loss means all covered loss, including court costs and attorneys’ fees incurred by the COMPANY under General Agreement
C., resulting from:

(1) any one act of burglary, robbery or attempt either, in which no employee of the ASSURED is implicated, or

(2) any one act or series of related acts on the part of any person resulting in damage to or destruction or misplacement of property,
or

(3) all acts other than those specified in c.(1) and c.(2), caused by any person or in which such person is implicated, or

(4) any one event not specified above, in c.(1), c.(2) or c.(3).

d. Underlying Bonds means the Primary Bond and all other insurance coverage referred to in ITEM 7. of the DECLARATIONS.
     

Excess Bond (7-92)
Form 17-02-0842 (Ed. 7-92)
Page 2 of 5

Conditions And
Limitations
(continued)
 
   

Limit Of Liability

Aggregate Limit Of Liability

2.

The COMPANY’S total
cumulative liability for all Single Losses of all ASSUREDS discovered during the BOND PERIOD shall not exceed the AGGREGATE LIMIT
OF LIABILITY as stated in ITEM 2. of the DECLARATIONS. Each payment made under the terms of this bond shall reduce the unpaid portion
of the AGGREGATE LIMIT OF LIABILITY until it is exhausted.

On exhausting the AGGREGATE LIMIT OF LIABILITY by such payments:

a. the COMPANY shall have no further liability for loss or losses regardless of when discovered and whether or not previously reported
to the COMPANY, and

b. the COMPANY shall have no obligation under General Agreement C. to continue the defense of the ASSURED, and on notice by the COMPANY
to the ASSURED that the AGGREGATE LIMIT OF LIABILITY has been exhausted, the ASSURED shall assume all responsibility for its defense at
its own cost.

The unpaid portion of the AGGREGATE
LIMIT OF LIABILITY shall not be increased or reinstated by any recovery made and applied in accordance with Section 4. In the event
that a loss of property is settled by indemnity in lieu of payment, then such loss shall not reduce the unpaid portion of the AGGREGATE
LIMIT OF LIABILITY.

Single Loss Limit Of Liability The
COMPANY’S liability for each Single Loss shall not exceed the SINGLE LOSS LIMIT OF LIABILITY as stated in ITEM 3. of the
DECLARATIONS or the unpaid portion of the AGGREGATE LIMIT OF LIABILITY, whichever is less.

Discovery 3. This
bond applies only to loss first discovered by the ASSURED during the BOND PERIOD. Discovery occurs at the earlier of the ASSURED being
aware of:

a. facts which may subsequently result in a loss of a type covered by this bond, or

b. an actual or potential claim in which it is alleged that the ASSURED is liable to a third party,

regardless of when the act or acts
causing or contributing to such loss occurred, even though the amount of loss does not exceed the applicable Deductible Amount,
or the exact amount or details of loss may not then be known.

Subrogation-Assignment- Recovery

4.

In the
event of a payment under this bond, the COMPANY shall be subrogated to all of the ASSURED’S rights of recovery against any person
or entity to the extent of such payments. On request, the ASSURED shall deliver to the COMPANY an assignment of the ASSURED’S rights,
title and interest and causes of action against any person or entity to the extent of such payment.

Excess Bond (7-92)
Form 17-02-0842 (Ed. 70-2)
Page 3 of 5

Conditions And
Limitations

Subrogation-Assignment-
Recovery
(continued)

  Recoveries, whether effected by the
COMPANY or by the ASSURED, shall be applied net of the expense of such recovery, first, to the satisfaction of the ASSURED’S loss
which would otherwise have been paid but for the fact that it is in excess of the AGGREGATE LIMIT OF LIABILITY, second, to the COMPANY
in satisfaction of amounts paid in settlement of the ASSURED’S claim and third, to the ASSURED in satisfaction of the DEDUCTIBLE
AMOUNT. Recovery from reinsurance and/or indemnity of the COMPANY shall not be deemed a recovery under this Section.
     
Cooperation Of Assured 5. At the
COMPANY’S request and at reasonable times and places designated by the COMPANY the ASSURED shall:

a. submit to examination by the COMPANY and subscribe to the same under oath, and

b. produce for the COMPANY’S examination all pertinent records, and

c. cooperate with the COMPANY in all matters pertaining to the loss.

The ASSURED shall execute all papers
and render assistance to secure to the COMPANY the rights and causes of action provided for under this bond. The ASSURED shall do nothing
after loss to prejudice such rights or causes of action.

Termination 6. This bond terminates as an entirety on the earliest occurrence of any of
the following:

a. sixty (60) days after the receipt by the ASSURED of a written notice from the COMPANY of its decision to terminate this bond, or

b. immediately on the receipt by the COMPANY of a written notice from the ASSURED of its decision to terminate this bond, or

c. immediately on the appointment of a trustee, receiver or liquidator to act on behalf of the ASSURED, or the taking over of the ASSURED
by State or Federal officials, or

d. immediately on the dissolution of the ASSURED, or

e. immediately on exhausting the AGGREGATE LIMIT OF LIABILITY, or

f. immediately on expiration of the BOND PERIOD, or

g. immediately on cancellation, termination or recision of the Primary Bond.

Conformity 7. If any limitation within this bond is prohibited by any law controlling this
bond’s construction, such limitation shall be deemed to be amended so as to equal the minimum period of limitation provided by
such law.
   

Excess Bond (7-92)
Form 17-02-0842 (Ed. 7-92)
Page 4 of 5

Conditions And
Limitations
(continued)
 
   
Change Or Modification
Of This Bond
8. This bond or any instrument amending or affecting this bond may not be changed or modified orally.
No change in or modification of this bond shall be effective except when made by written endorsement to this bond signed by an Authorized
Representative of the COMPANY.

Excess Bond (7-92)
Form 17-02-0842 (Ed. 70-2)
Page 5 of 5

IMPORTANT NOTICE TO POLICYHOLDERS

All of the members of the Chubb
Group of Insurance companies doing business in the United States (hereinafter “Chubb”) distribute their products through
licensed insurance brokers and agents (“producers”). Detailed information regarding the types of compensation paid by
Chubb to producers on US insurance transactions is available under the Producer Compensation link located at the bottom of the
page at www.chubb.com, or by calling 1-866-588-9478. Additional information may be available from your producer.

Thank you for choosing Chubb.

10-02-1295 (ed. 6/2007)

Important Notice:

The SEC Requires Proof of Your Fidelity Insurance
Policy

Your company is now required to file an electronic copy of
your fidelity insurance coverage (Chubb’s ICAP Bond policy) to the Securities and Exchange Commission (SEC), according to rules adopted
by the SEC on June 12, 2006.

Chubb is in the process of providing your agent/broker with
an electronic copy of your insurance policy as well as instructions on how to submit this proof of fidelity insurance coverage to the
SEC. You can expect to receive this information from your agent/broker shortly.

The electronic copy of your policy is provided by Chubb solely
as a convenience and does not affect the terms and conditions of coverage as set forth in the paper policy you receive by mail. The terms
and conditions of the policy mailed to you, which are the same as those set forth in the electronic copy, constitute the entire agreement
between your company and Chubb.

If you have any questions, please contact your agent or broker.

Form 14-02-12160 (ed. 7/2006)

IMPORTANT NOTICE

  The premium shown on this policy or premium statement may be subject to adjustment in accordance with the provisions of California law recently adopted by ballot initiative. You will be informed about any adjustment as soon as the requirements of the law and their effect on your premium can be determined.  

Form 99-10-0267 (Ed. 2/98)

ENDORSEMENT/RIDER

Effective date of  
this endorsement/rider: June 30,
2021
FEDERAL INSURANCE COMPANY
   
  Endorsement/Rider No. 1
   
  To be attached to and
  form a part of Policy No. 82515977

Issued to: SCHWAB STRATEGIC TRUST, ET AL

COMPLIANCE WITH APPLICABLE TRADE SANCTION LAWS

It is agreed that this insurance does not apply to the extent
that trade or economic sanctions or other similar laws or regulations prohibit the coverage provided by this insurance.

The title and any headings in this endorsement/rider are solely
for convenience and form no part of the terms and conditions of coverage.

All other terms, conditions and limitations of this Policy
shall remain unchanged.

     
  Authorized Representative  

14-02-9228 (2/2010) Page 1  

  FEDERAL INSURANCE COMPANY
   
  Endorsement No: 2
   
  Bond Number: 82515977

NAME OF ASSURED: SCHWAB STRATEGIC TRUST, ET AL

PREMIUM ENDORSEMENT

It is agreed that:

1. The premium for this bond for the period June 30, 2021 to June 30, 2022 is:

  Premium:     Fourteen Thousand Eight Hundred
Forty Four and no/100 ($14,844.00)

2. It is further agreed that this premium is subject to change during this period if amendments are made to this bond at the request
of the ASSURED.

This Endorsement applies to loss discovered after 12:01 a.m. on
June 30, 2021.

ALL OTHER TERMS AND CONDITIONS OF THIS BOND REMAIN UNCHANGED.

Date:
July 22, 2021

By

 
    Authorized Representative  

Excess Bond

Form 17-02-0735
(Rev. 1-97)

ENDORSEMENT/RIDER

Effective date of  
this endorsement/rider: June 30,
2021
FEDERAL INSURANCE COMPANY
   
  Endorsement/Rider No. 3
   
  To be attached to and
  form a part of Policy No. 82515977

Issued to: SCHWAB STRATEGIC TRUST, ET AL

PRO RATA CANCELLATION ENDORSEMENT

In consideration of the premium charged,
it is agreed that, notwithstanding anything to the contrary in the policy or any endorsements thereto, in the event that this policy is
cancelled, any premium refund due to the insured shall be computed on a pro rata basis.

The cancellation will be effective even
if a refund has not been made or offered.

The title and any headings in this endorsement/rider
are solely for convenience and form no part of the terms and conditions of coverage.

All other terms, conditions and limitations
of this Policy shall remain unchanged.

   
  Authorized Representative  

14-02-19726 (12/2019) Page 1 268508

RESOLUTIONS OF THE BOARD OF TRUSTEES OF

SCHWAB STRATEGIC TRUST

Adopted June 8, 2021

Fidelity Bond for Schwab ETFs

RESOLVED,
that the form and amount of the fidelity bonds in the aggregate principal amount of $53,125,000 (Fifty Three Million One Hundred Twenty
Five Thousand Dollars) covering Schwab Strategic Trust (the “Trust”) and each of its series (each, a “Fund” and
collectively, the “Funds”) for the periods stated in the following resolutions be, and they hereby are, approved by the members
of the Boards of Trustees (the “Trustees”) of the Trust and separately by a majority of the Trustees who are not “interested
persons” of the Trust, as that term is defined by the Investment Company Act of 1940, as amended (the “1940 Act”),
after consideration of all factors deemed relevant, including, but not limited to, the value of the assets of the Trusts, the type and
terms of the arrangements made for the custody and safekeeping of the Trusts’ assets and the nature of the securities held by the
Funds; and

FURTHER
RESOLVED, that after considering all relevant factors, the actions of the officers of the Trust in procuring a fidelity bond issued by
Great American Insurance Company providing aggregate coverage of $37,500,000 (Thirty Seven Million Five Hundred Thousand Dollars) (the
“Great American Bond”) against larceny and embezzlement and such other types of losses as are included in the Great American
Bond for the 12-month period ending June 30, 2022 with a premium to be shared pro rata according to the net assets of each Fund,
and the form and amount of the Great American Bond, are hereby approved; and

FURTHER
RESOLVED, that after considering all relevant factors, the actions of the officers of the Trust in procuring a fidelity bond issued by
Federal Insurance Company (Chubb) providing excess coverage of $15,625,000 (Fifteen Million Six Hundred Twenty Five Thousand Dollars)
(the “Chubb Excess Bond”) against larceny and embezzlement and such other types of losses as are included in the Chubb Excess
Bond for the 12-month period ending June 30, 2022, with a premium to be shared pro rata according to the net assets of each Fund,
and the form and amount of the Chubb Excess Bond, are hereby approved; and

FURTHER
RESOLVED, that the participation by the Funds in the fidelity bonds described above is determined to be fair and reasonable and in the
best interests of each Fund and its shareholders by the Trustees of the Trust and separately by a majority of the Trustees who are not
“interested persons” of the Trust, as that term is defined by the 1940 Act; and

FURTHER
RESOLVED, that the officers of the Trust be, and each of them hereby is, authorized to execute such documents and papers as may be required
by the rules and regulations promulgated under the 1940 Act in connection with or in furtherance of the foregoing resolutions; and

FURTHER
RESOLVED, that the Secretary of the Trust be, and hereby is, designated as the party responsible for making the necessary filings and
giving the notices with respect to the Trust’s fidelity bonds required by paragraph (g) of Rule 17g-1 under the 1940
Act.

CERTIFICATE

The undersigned
hereby certifies that she is the Assistant Secretary of Schwab Strategic Trust, a Delaware statutory trust organized and existing under
the law of the State of Delaware, and that the above are true and correct copies of the resolutions duly adopted by a unanimous vote
at a meeting of the Board of Trustees of said Trust on June 8, 2021 at which meeting a quorum was at all times present and acting.

/s/ Alexandra Riedel

Alexandra Riedel

Assistant Secretary


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