Deutsche Bank Direct Securities Services DEVELOPING THE “GLOBAL MARKET” SEGMENT IN LOCAL STOCK EXCHANGES DEVELOPING THE “GLOBAL MARKET” SEGMENT IN LOCAL STOCK EXCHANGES NOVEMBER 2011 Dirk Reinicke

DSS AMERICAS Deutsche Bank Dirk Reinicke Page 1 INTRODUCTION TO TRANSFERABLE CUSTODY RECEIPT A Transferable Custody Receipt (TCR) represents ownership in the shares of a foreign company trading on the local Stock Exchange. TCR enables local investors to buy shares in foreign companies without undertaking cross-border transactions. Features:  Created by a local institution (TCR Issuer) authorized by the local regulators to issue and to list in the local market.  Issued against the deposit of a single kind and class of securities ("Represented Securities") per program in a depository institution ("Depository"). The underlying “Represented Securities” are placed in a Depository in the relevant overseas market  Cancelled in the local market against the release of the underlying securities held with a Depository in relevant overseas market.  Issued in registered non-endorsable or book-entry form.  Quoted and traded on the local Stock Exchange, in local currency and therefore freely transferable.  TCR holders are entitled to the same rights as the holders of the Represented Securities

DSS AMERICAS Deutsche Bank Dirk Reinicke Page 2 Able to gain diversification in a more convenient way; greater accessibility to global choice of investments Direct accessibility to foreign securities through the local market Trade and execution are done in the local stock market Priced in local currency and exchangeable into underlying shares Corporate action pre-advices and payment through the local stock market TCR holders’ interests are also protected Opportunity to expand services and knowledge Maintain and expand relationships with their client base Greater selection of securities for product differentiation Encourage diversification of investment portfolio Facilitate new product development Follow same settlement cycle convention as the local market Same trading hours as domestic securities Reduce marginal costs through increased trading volumes BROKERS / FUND MANAGEMENTINVESTORS Key Benefits of TCR STOCK EXCHANGE & ECONOMY The value chain of transactions is retained in the local market (e.g. trading, brokerage, CSD & Custody Commissions) All local market participants e.g. Stock Exchange, CSD, Brokers, Custodians) benefits from increased volumes thus reducing marginal cost of transactions Stimulation of the local market. Supports market capitalization Greater selection of securities to offer to investors Creates a liquid market with international securities Supports stock market role as a capital intermediary Market Transparency. All trades can be followed Promote fund and portfolio management market KEY BENEFITS OF TCR

DSS AMERICAS Deutsche Bank Dirk Reinicke Page 3  The value chain of transactions is retained in the local market (e.g. trading, brokerage, CSD & Custody Commissions).  All local market participants e.g. Stock Exchange, CSD, Brokers, Custodians) benefits from increased volumes thus reducing marginal cost of transactions.  Stimulation of the local market. Supports market capitalization.  Greater selection of securities to offer to investors.  Creates a liquid market with international securities.  Supports stock market role as a capital intermediary.  Market Transparency. All trades can be followed.  Promote fund and portfolio management market. KEY BENEFITS OF TCRs BENEFITS FOR THE STOCK EXCHANGE & ECONOMY:

DSS AMERICAS Deutsche Bank Dirk Reinicke Page 4  Able to gain diversification in a more convenient way; greater accessibility to global choice of investments.  Direct accessibility to foreign securities through the local market.  Trade and execution are done in the local stock market.  Priced in local currency and exchangeable into underlying shares.  Corporate action pre-advices and payment through the local stock market.  TCR holders’ interests are also protected. BENEFITS FOR THE INVESTORS: KEY BENEFITS OF TCRs

DSS AMERICAS Deutsche Bank Dirk Reinicke Page 5  Opportunity to expand services and knowledge.  Maintain and expand relationships with their client base.  Greater selection of securities for product differentiation.  Encourage diversification of investment portfolio.  Facilitate new product development.  Follow same settlement cycle convention as the local market.  Same trading hours as domestic securities.  Reduce marginal costs through increased trading volumes. BENEFITS FOR THE BROKERS / FUND MANAGEMENT: KEY BENEFITS OF TCRs

DSS AMERICAS Deutsche Bank Dirk Reinicke Page 6 MARKET PARTICIPANTS Stock Exchange TCR Foreign Brokers Securities Exchange Commission DB Custodian Local Brokers Local CSD Investor Establishes the framework for TCR programs Monitors TCR issuance and cancellation activities Regulates TCR trading in the Stock Exchange Verifies and publishes the corporate information reported by the TCR Issuer (DB) at the Stock Exchange Monitors the information related to the TCR Issuer (DB) Receives and approves the information filed by the TCR Issuer for new TCR programs STOCK EXCHANGE ROLES TCR PARTICIPANTS TCR Issuer DB Plays an active consultancy role and works together with the Stock Exchange, Regulators and related parties to develop TCR and the new market segment. Assists in drafting TCR rules and regulations Acts as a TCR issuer and provides custodian services for the underlying shares Provides Corporate Actions Information services. DB’S ROLES Issuer/ Sponsor

DSS AMERICAS Deutsche Bank Dirk Reinicke Page 7 Deutsche Bank as the Global Market Pioneer in TCR 1.Argentina (live) –Certificado de Deposito Argentino (CEDEARS). –Trading started in 1998 after the Securities Commission (CNV) released Resolution Nr. 291/97. –Total of 240 Cedears listed: 207 Equities/ADRs & 33 Corporate Bonds. –TCR’s are considered local securities, hence follow same criteria as local securities. – 2.Mexico (live) –Valores Extranjeros para Mexicanos (VEMEX). –Trading started in –The basic regulation for the Foreign Investor Segment (SIC), was adapted. Government granted tax exemption for capital gains to Mexican Investors. –Currently 656 VEMEX listed (328 Equities/ADRs, 320 ETFs, 8 Bonds). –Represents an average of 25% - 30% of the current traded volume in Mexican Stock Exchange. – 3. Chile (live) –Valores Extranjeros en Chile (VECH). –Trading started in December 2009 after reviewing with DB existing international segment regulation. –Total of 82 VECH listed (ETFs). – 4. Brazil (live) –Brazilian Depository Receipts (BDR’s). –Trading started in October –Total of 10 Equities. –Additional 10 programs are pending of approval by the local regulators. – 5. Colombia (live) –Valores Extranjeros en Colombia (VECO). –Trading started in December –Total of 28 Equities. – Visit our General TCR’s Website:

DSS AMERICAS Deutsche Bank Dirk Reinicke Page 8 CONTACTOS Dirk Reinicke Global Product Head of TCRs  +1 (212) Claudio Curtius Marketing & Sales  +52 (55) Carlos Piñeyro TCR Structuring & Documentation Revision Process  +54 (11) Martín Diez TCR Structuring & Transaction Flows  +54 (11) Floris Vreedenburgh Settlement, Asset Servicing and Operations  +1 (212)