Credit grade composition is determined by XTF using a proprietary algorithm that is based on the credit ratings of the ETP's underlying fixed income securities. The percentages are based on all of the ETP's holdings, so they will not total 100% if an ETP holds non-fixed income securities such as cash and equities. If a security is rated by two or more of the credit rating firms of S&P, Moody or Fitch, then the lowest rating is used. If only one of those firms rates the security, that rating is used. If a security is not rated by any of those three firms, it is classified as "Not Rated". The "AAA" grade consists of those securities having a credit rating of AAA. The "Investment-Grade" consists of those with a credit rating of AA down to BBB (or of SP1 for municipal securities). The "High Yield" grade consists of all securities below BBB (or for municipal securities, a rating of SP2 or SP3) that are not in default. The "Default" grade consists of securities rated D. Only credit grades applicable to the ETP are shown. Cash and derivatives are not considered to be fixed income securities.