<p>Private equity</p>

1 As of 3/31/25. Source: J.P. Morgan Asset Management. Includes tenure and investing experience at both PEG and AT&T Investment Management Corporation ("ATTIMCO"). Portfolio Management team average tenure represents voting eligible members of PEG. There can be no assurance that any or all of these professionals will remain with PEG, or that the past performance or success of any such professional serves as an indicator of his or her future performance or success.

Past performance is no guarantee of future results. Diversification does not guarantee investment returns and does not eliminate the risk of loss.

Provided for information only based on market conditions as of date of publication, not to be construed as investment recommendation or advice. The information is generic in nature, not taking into account any specific investor’s objectives or circumstances. Investors should seek financial advice and make independent evaluation before investing.

Private Equity

Private equity funds/ assets invest exclusively or almost entirely in financial instruments issued by companies that are not listed (or that takeover publicly listed companies with a view to delisting them). Investment in private equity funds/ assets is typically by way of commitment (i.e., whereby an investor agrees to commit to invest a certain amount in the fund and this amount is drawn down by the fund as and when it is needed to make private equity investments). Interest in an underling private equity fund/ asset will consist primarily of capital commitments to, and investments in private equity strategies and activities which involve a high level of risk and uncertainty. Except for certain secondary funds/ assets , private equity funds/ assets will have no operating history upon which to evaluate their likely performance. Historical performance of private equity funds/ assets is not a guarantee or prediction of their future performance. Investments in private equity are often illiquid and investors seeking to redeem their holdings can experience significant delays and fluctuations in value.

Risks of Private Equity Strategies

Private Equity Funds/Strategies serve as an asset class. The strategies will include exposure to private companies for which operating results in a specified period will be difficult to predict. Such investments involve a high degree of business and financial risk that can result in substantial losses. Private Equity Investment Risks. Private equity transactions may result in new enterprises that are subject to extreme volatility, require time for maturity and may require additional capital. In addition, they frequently rely on borrowing significant amounts of capital, which can increase profit potential but at the same time increase the risk of loss. Leveraged companies may be subject to restrictive financial and operating covenants. The leverage may impair the ability of these companies to finance their future operations and capital needs. Also, their flexibility to respond to changing business and economic conditions and to business opportunities may be limited. A leveraged company's income and net assets will tend to increase or decrease at a greater rate than if borrowed money was not used. Although these investments may offer the opportunity for significant gains, such buyout and growth investments involve a high degree of business and financial risk that can result in substantial losses, which risks generally are greater than the risks of investing in public companies that may not be as leveraged. Venture Capital Risks. Venture capital investments are in private companies that have limited operating history, are attempting to develop or commercialize unproven technologies or to implement novel business plans or are not otherwise developed sufficiently to be self-sustaining financially or to become public. Although these investments may offer the opportunity for significant gains, such investments involve a high degree of business and financial risk that can result in substantial losses, which risks generally are greater than the risks of investing in public or private companies that may be at a later stage of development.

Risks Associated with Private Company Investments

Private companies in which PE strategies may invest have limited financial resources, shorter operating histories, more asset concentration risk, narrower product lines and smaller market shares than larger businesses, which tend to render such private companies more vulnerable to competitors' actions and market conditions, as well as general economic downturns. These companies generally have less predictable operating results, may from time to time be parties to litigation, may be engaged in rapidly changing businesses with products subject to a substantial risk of obsolescence, and may require substantial additional capital to support their operations, finance expansion or maintain their competitive position. These companies may have difficulty accessing the capital markets to meet future capital needs, which may limit their ability to grow or to repay their outstanding indebtedness upon maturity. Typically, investments in private companies are in restricted securities that are not traded in public markets and subject to substantial holding periods, so that the strategies may not be able to resell some of its holdings for extended periods, which may be several years. There can be no assurance that the strategies will be able to realize the value of private company investments in a timely manner.