CME Clearing Europe Swap Clearing Overview

CME Clearing Europe Swap Clearing Overview Security. Neutrality. Transparency. Q2 2015

CME Group: Who We Are CME Group is the world s leading and most diverse derivatives exchange. It s where companies, institutions and individuals from around the globe come to manage their business risks, hedge against fluctuations and protect themselves against price volatility. Our Global Reach ACCESS IN 150 Countries CONNECTIONS THROUGH 11 Global Hubs RELATIONSHIPS WITH 12 Partner Exchanges 2

Global OTC Solution

CME Group is Clearing the Way Forward Over 500 global market participants have cleared at CME Q1 ADV of $162 billion vs. $144 in 2014 across broadest product scope of 18 currencies Cleared over $260 billion (MXN 3.95 trillion) in Mexican Peso IRS since launch - 38 market participants now voluntarily clearing this product Market share doubled year-over-year to 33% in April 2015 2015 Average Daily Trade Count increased to 2,150 from 1,650 in 2014 Buy-Side Chooses CME Group CME OTC IRS Notional Market Share 170+ Hedge Funds 110+ Asset Managers 70+ Regional Banks 50+ Registered Swap Dealers 30+ Insurance Companies 25+ REITs 10+ GSEs Other clients include Pension Funds, Endowments, Sovereign Wealth Funds, Corporations, and Proprietary Trading Firms 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% Doubles to 33% 4

Why Customers are Choosing CME Clearing Europe Offering a superior solution to meet clients needs Customer Focus Global multi-asset class solution for IRS and Commodities, including the widest breath of currencies of any CCP in Europe Advanced products under development based on client feedback including USD and EUR Swaptions, USD and EUR Deliverable Swap Futures and Inflation Swaps Full transparency through direct access to daily yield curves, position valuations and individual account margin reports Follow-the-Sun Global Client Service Support Operational Flexibility Ability to real-time clear trades in all time zones, including in APAC business hours when our competitors do not clear trades Only clearing house to provide clients the flexibility of minimizing trade errors through the most cost-efficient top of day trade amendment solution. As well as a netting procedure with trade IDs that reduce the amount of trade rebooking that competitors cannot offer. Automated position transfers for flexible rebalancing Compression via Coupon blending- Patent-pending innovative solution that reduces gross notional outstanding and line items Superior Customer Protections The first and only CCP to offer a live Fully Segregated Account solution, in addition to Omnibus and Individual Segregation, offering clients maximum protection of their assets The full segregation account has a 0% CRDIV weighting for collateral to dealers and can be applied to OTC and ETD products Single set of flexible legal documentation that is rules-based and applies across all of our financial and commodity asset classes. Based on UK legal structure and bankruptcy law Extensive technical and operational expertise of CME Group and CME Clearing with more than a century of experience, guaranteeing the performance of derivative contracts and protecting financial markets Additional CME Clearing Europe Service Ability to provide trade reporting of all trades to European regulators as well as a delegated reporting service 5

CME Group s Global Clearing and Service Capabilities Choice based on customer demand Execution Clearing Clearing Member Client Agency/FCM Model US Law / DFA Compliant Structure ETD: CME MARKETS (CME, CBOT, NYMEX) OTC: Commodities, IRS, CDS, FX CME CLEARING US CLEARING MEMBER (FCM) US or Non-US CLIENT Principal Model English Law / EMIR Compliant Structure ETD: CME Europe OTC*: Commodities, IRS, FX CME CLEARING Europe CLEARING MEMBER (Broker/Bank) European or Non-US CLIENT * OTC Commodities and IRS are currently live. OTC FX are planned for roll out during 2015 6

CME Clearing Europe Overview Clearing in Europe for a Global Customer Base Over 100 clients now on-boarded, and over 400 accounts opened CME Clearing Europe (CMECE) is a London-based clearing house, wholly-owned by CME Group Established in London with the aim of offering services as a multi-product clearing house based on a UK legal construct and following EMIR guidelines Authorised central counterparty under EMIR, supervised and regulated by the Bank of England. It is also a QCCP for regulatory capital purposes Submitted its DCO application to the CFTC on 1 st August 2014 which will enable CMECE to accept business from US clients Benefits European regulatory environment and English law (incl. insolvency law and clearing house statutory protections) European time zone Services tailored to European market practices Local proximity and easy access to our growing team of London-based specialists Continuing development based on client feedback and demand 7

Follow-the-Sun Client Service Team Providing clients 24 hour support CME Global Headquarters Chicago, IL Client Services +1 312 338 7112 NYMEX World Headquarters World Financial Center New York, NY CME London Office CMECE Headquarters One New Change London EC4M9AF United Kingdom +44 20 33793199 Asia Headquarters Singapore Land Tower Singapore 048623 +65 6593 5592 8

CME Clearing Europe Overview

Global Clearing House Global recognition and a Qualified CCP CME Clearing is in discussions with many regulators throughout the world regarding licensing and recognition framework. Regulatory Recognition for CME Group s Global Clearing Solution In August 2013, global regulators including the CFTC and ESMA released cross border guidance and set the path for mutual recognition of clearing and reporting regulations CME Clearing has been operating as a Recognized Overseas Clearing House (ROCH) by the UK Financial Services Authority (FSA) since June 2007 CME Clearing Europe is an authorised central counterparty under EMIR, supervised and regulated by the Bank of England. It is also a QCCP for regulatory capital purposes Qualifying CCP CME Clearing meets the criteria established for a Qualifying CCP (QCCP) in the U.S. We are currently working on licensing efforts with various global regulators The guidance from Basel Committee on Banking Supervision, along with necessary regulatory authorizations, will allow global customers to treat CME as a QCCP, which in turn offers preferential capital treatment of such exposures 10

CMECE Open Access Clearing Solution Platforms Connected CMECE IRS Clearing Members * * Additional CMECE Clearing Members Negotiate, execute, and submit trades through multiple venues to CME Clearing Straight through processing and real-time confirmation once the trade is cleared Protects the confidentiality of trading relationships, while enabling customers to terminate positions with any market participant Operational flexibility of a multi asset class solution for IRS and Commodities * Connectivity in process 11

OTC IRS: Expansion into Financial Products CME Clearing Europe Cleared OTC IRS Product Scope Existing Products Fixed/Float Tenor Index Zero Coupon Swaps Currency Years Months USD I EUR I GBP 51 years 11 15 21 31 51 1 3 6 USD LIBOR Overnight Index Swap (OIS) EUR EURIBOR USD I EUR I GBP I JPY 30 years GBP LIBOR CAD CDOR Basis Swaps JPY LIBOR USD I EUR I GBP 51 years CHF LIBOR AUD I JPY 31 years AUD BBSW SEK STIBOR Variable Notional Swaps (Amortizers and Accreting) DKK CIBOR USD I EUR I GBP 51 Years NOK NIBOR JPY 31 years MXN 28d TIIE-BANXICO Fed Funds vs. Libor (USD) 30 years NZD FRA HKD HIBOR Forward Rate Agreements (FRAs) SGD SOR-VWAP USD I EUR I GBP I JPY I ZAR 3 Days to 3 Years HUF BUBOR CZK PRIBOR PLN WIBOR ZAR JIBAR 12

Cleared OTC FX Product Scope 12 OTC FX Non-Deliverable Forwards Brazilian Real Philippine Peso Malaysian Ringgit Indian Rupee Korean Won Chinese Yuan Indonesian Rupiah Taiwan Dollar Chilean Peso Colombian Peso Peruvian Sol Russian Ruble 26 OTC FX Cash-Settled Forwards* USD Settlement: EUR/USD, AUD/USD, GBP/USD, USD/CHF, USD/SEK, USD/DKK, NZD/USD, USD/NOK, USD/HKD, USD/HUF, USD/ILS, USD/MXN, USD/SGD, USD/PLN, USD/ZAR, USD/CZK, USD/TRY, USD/THB Non USD, T+1 settlement currencies: USD/CAD, EUR/GBP, EUR/AUD, EUR/CHF Non USD, T+2 settlement currencies: USD/JPY, AUD/JPY, EUR/JPY, CAD/JPY 11 Additional OTC FX Forwards** EUR Settlement: EUR/CZK, EUR/DKK, EUR/HUF, EUR/NOK, EUR/CNH, EUR/PLN, EUR/SEK, EUR/TRY, EUR/CNY USD Settlement: USD/UAH, USD/CNH *All settlements in USD ** Subject to final development and Regulatory Approvals 13

CME Clearing Europe FX Products Product coverage: 38 FX NDFs and CSFs (same as US) + 2 additional NDFs and 9 CSFs* CMECE additional products align OTC FX with existing CME Europe FX Futures offering Currency Pair Currency Pair Settlement Currency Currency Benchmark Reuters Code (for NDFs) Fixing Date Settlement EUR/CZK Euro / Czech Koruna EUR - Value 2 T+2 EUR/DKK Euro / Danish Kroner EUR - Value 1 T+2 EUR/HUF Euro / Hungarian Forint EUR - Value 2 T+2 EUR/NOK Euro / Norwegian Krone EUR - Value 2 T+2 EUR/CNH Euro / Chinese Offshore Renminbi EUR - Value 2 T+2 EUR/PLN Euro / Polish Zloty EUR - Value 2 T+2 EUR/SEK Euro / Swedish Krona EUR - Value 2 T+2 EUR/TRY Euro / Turkish Lira EUR - Value 2 T+2 EUR/CNY* Euro / Chinese Onshore Renminbi EUR EURCNY= Value 2 T+2 USD/UAH* U.S. Dollar / Ukrainian Hryvnia USD EMTAUAHFIX= Value 2 T+2 USD/CNH U.S. Dollar / Chinese Offshore Renminbi USD - Value 2 T+2 EUR/CNY and USD/UAH are NDFs *Subject to final development and Regulatory Approvals 14

CME Clearing Europe Multi-Asset Class Solution OTC IRS, Metals and Commodity Products Available Today Commodities: Continuous Expansion of Product Offering & Innovation More than 200 client and broker entities connected via CME ClearPort and CME Direct, 14 commodity clearing firms Clearing over 230 OTC Energy, Agricultural, Freight and Metal derivative products Expanded into Micro Crude Oil and NBP and TTF Physically delivered Gas contracts Products in the pipeline include coal and power Precious Metals: Flexible contract size and pricing Substantial Margin Efficiencies: 90% margin offset available at present between cleared OTC London Gold Forwards and COMEX 100-oz Gold Futures positions* *House positions only at this time 15

CME Clearing Europe Accounts

Enhanced Protection of Client Collateral via CME Clearing Europe s Fully Segregated Account CME Clearing Europe is offering unique depth and breadth in terms of customer protection and segregation options We offer three customer account structures: - Omnibus Segregated Account (OSA) - Individually Segregated Account (ISA) - Fully Segregated Account (FS) Account structures and supporting documentation are designed to deliver transparency and legal certainty as relates to the treatment of client positions and assets in case of a clearing member default Customer protection and segregation options are available across all of our OTC commodities and OTC financial derivatives solutions 17

Superior Customer Protections CMECE is the industry leader in mitigating risk for customers through Account Structures Omnibus Segregated Account Position accounts and margin accounts maintained at individual client level. Customer accounts aggregated at the Clearing Member level. In the event of a Clearing Member default: CMECE is permitted to use collateral of clients within the same Omnibus Client Account to satisfy the Clearing Member s obligation to the Clearing House, leaving clients in same account exposed to the risk of one another CMECE is not permitted to use collateral of clients in other Omnibus Accounts to satisfy the Clearing Member s obligation to the Clearing House, leaving clients in other accounts protected from the risk of one another Clearing Members can operate one or more segregated Omnibus Client Accounts. Individually Segregated Account Position and margin accounts maintained at individual client level. Customer accounts aggregated at the Clearing Member level. In the event of a Clearing Member default: Customer s collateral is segregated from and not exposed to risk from other customers CMECE is not permitted to use collateral within the Individually Segregated Account to satisfy the Clearing Member s obligation to the Clearing House Clearing Members can operate any number of Individually Segregated Accounts. Fully Segregated Account Enhanced Portability: Position accounts and margin accounts maintained at individual client level and individual asset record level Where porting has been agreed CMECE guarantee to port the actual assets lodged Collateral is segregated within the Clearing House's books and records, and on the custodial level providing transparency and flexibility to the customer at any given time Clients are not exposed to fellow customer risk of clients within other Individually Segregated Accounts 18

Full Segregation Set-Up CME Clearing Europe Position Margin Collateral CSD/Client s Custodian* New Account: Existing Account: Client 1 Client 1 Client 1 CMECE/CM /Client 1 Client 1 Account Structure Set Up at CCP and Custodial Level Client 2 Client 3a Client 3b Client 2 Portfolio Net Client 2 Client 3 CMECE/CM /Client 2 CMECE /CM/ Client 3 Client 2 Client 3 Client 3c * Securities are held in an account at a Central Securities Depository (CSD). Client s custodian can facilitate operation of this client-individual account, enabling clients to leverage their existing custody relationships 19

Portfolio Management

IRS Netting: Overview Clearing members will specify whether a client or house account is eligible for netting, selective netting, or gross Gross If this option is selected on the account, the trades will not net. Net This option will automatically net eligible trades based solely on trade attributes. Selective Net This option will automatically net eligible trades based on trade attributes (same as option 2) and matching Client Reference ID. This option provides clients with more control over the netting process to address operational and tax concerns. The netting process will consider swaps that have exactly the same economics. These swaps may differ in direction and notional amount. Swaps in different customer (position) accounts will not be netted together. 21

OTC IRS: Compression via Coupon Blending Overview Patent-pending innovative solution that reduces gross notional outstanding and line items Works across pay-fixed and receive-fixed cleared interest rate swaps with varying fixed rates and notional amounts, but otherwise identical attributes. (e.g. currency, effective date) Process Select trades to be included in the process via the blending identifier found on the trade register Create a new swap (R1) with attributes such that the fixed-leg cash flows match those of the original portfolio Solve for the notional of a second swap (R2) which has a zero fixed-rate and when added to (R1) equals the floating leg cash flows of the original portfolio Terminate the original trades which have been replaced by R1 and R2 Competitive Advantages Reduce notional outstanding and line items without changing cash flows Compress trades in an automated and scalable way without counterparty dependency Customize the solution to your trading strategy: Utilize daily, on an automated basis EOD, or selectively, as an ad-hoc process Achieve capital benefits: all compression fees will be waived for 2014 22

Reporting & Margin Tools CME Group provides direct access to daily reports through a secure FTP site, which enables customers to fully integrate key OTC data into their internal systems. Position Reporting via the Trade Register End of day mark to market values for all IRS positions across all clearing members, including existing trades and any new trades cleared that day, available at 9:45pm BST IRS Curve Data CME offers full transparency into IRS valuation, including a detailed white paper on curve construction, enabling customers to replicate our IRS valuation curve and calculate the value of their IRS positions The secure FTP site provides daily IRS curve data across all currencies, including curve inputs that are used to construct both the forecasting and discounting curves, and the curve outputs like daily forward rates and discount factors Client-Level Margin Files Gives clients access to the exact margin requirements given to the CMs for their accounts To set up a secure FTP site for your firm, contact: CME Onboarding Group at irsonboarding@cmeclearingeurope.com or +44 20 3379 3131 23

Initial Margin and Default Management

Initial Margin for Cleared OTC Interest Rate Swaps CME Clearing Europe margin model is T +1 funding, subject to pre-defined credit tolerance limits to the Clearing Members* The CME model for Initial Margin are designed to provide: Desired portfolio coverage Scalability (multiple currencies, asset classes) Simplicity and transparency Summary of the CMECE Initial Margin Model 99% 5-day coverage standard (7 day coverage period for client business) Volatility rescaling to determine margins for a given IRS portfolio Historical shocks are scaled to simulate potential volatility environments prior to generating a P/L distribution for VaR calculations 5 year look back CME offers a shifted log approach where the zero-rates are first shifted by 4% before computing the returns Model achieves 99% coverage with 99.7% confidence level EWMA Historical VaR model adjusts historical shocks (returns) to account for an estimate of volatility over the future 5- day horizon; typically, margins are higher than plain ( un-scaled ) Historical VaR as volatility is forecasted to ramp up and vice-versa Model uses volatility floors to mitigate against margin decline in a low-volatility environment Model contains an additional pro-cyclicality add on *CME Clearing Europe does reserve the right to call intra-day margin 25

Guarantee Fund and Default Waterfall DEFAULTER PAYS SURVIVOR PAYS FUNDED UNFUNDED IRS Initial Margin Liquidity Charge Defaulting Member IRS Guarantee Fund CMECE Contributed Capital for IRS [ 32.5mn] IRS Non-Defaulting CMs Guarantee Fund General Assessment Power for IRS Liquidity Charge accounts for protecting large concentrated portfolios whose close-out could cost more or take longer Initial Margin is used to cover day-to-day P&L moves The contribution to the Guarantee Fund made by the Defaulting Member Minimum member contribution of 10 M* Contribution set aside by CMECE to help cure a default prior to dipping into survivors funds Expected to cover extreme scenarios that are optimally addressed using a mutualised pool rather than margins Guarantee Fund sizing is based on the potential two largest member losses Additional collateral that can be called upon should all previous layers of the waterfall be exhausted Capped based on the potential largest losses of the 3 rd and 4 th largest members *Subject to change 26

Default Management D-x Pre-Default Activities Near-default or substantial downgrade may trigger activities aimed at reducing CMECE s exposure, e.g. liquidation only trading, increased margin, DMC convened etc Facilitate porting D D+1 Event of Default Risk Reduction/Hedging Declaration of default, start communication flow Stop all clearing activity of defaulter Convene DMC and provide risk reports Liquidation of collateral Porting of clients to adopting CMs Review reports Design and execute hedging strategy Portfolio splitting (if required) Continued porting of clients to adopting CMs D+5 Auction Process Distribution of portfolio to all non-defaulted members Bidding process Acceptance/Rejection of bids by IRS DMC D+5/6 Transfer of portfolios Transfer of portfolios to winning bidders 27

OTC Clearing Readiness

OTC Clearing Checklist How to Get Ready with CME Clearing Europe Critical Items Account Registration for OTC Clearing Complete internal readiness and testing process Finalise legal documents with Clearing Members Clearing Members set up Production accounts that are ready for clearing Execute first cleared trade in Production Execute Production trade with each counterparty Useful Information Run margin simulations with CME CORE Set-up CME secure FTP site for direct access to position valuation reports and curve data Position valuation reports Client account margin reports IRS curve data Hold deep dive meetings with CME Group subject matter experts on products, operations, and risk management 29

Account Structures - Legal Documentation Account Structure Omnibus & Individually Segregated clearing member located in UK, Scotland, Germany or France Client Documents Required CMECE Client Acknowledgement (Contact CM Client).doc Omnibus & Individually Segregated clearing member located outside of UK, Scotland, Germany or France 1. Security Trustee Model Security Trust Deed to go with CPA.doc Client Protection Agreement with Security Trustee.doc CMECE Client Acknowledgement (Security Trustee).doc 2. Client Model Client Protection Agreement.doc Full Seg documentation is completed in addition to the documents summarised in Omnibus Gross & Individually Segregated section Fully Segregated FS Settlement Agreement.doc FS Security Trust Deed.doc Security Document.doc (based on location of custodian) Custody Agreement.doc (based on location of custodian)

Testing: UAT Environment Overview Step 1: For specific test scripts contact your Clearing Member Firm Submit trades to CME Group for Clearing IRS: various tenors (2,5,10,30 years) OBSERVE the following: UAT Accounts properly mapped to CME Client has the ability to select Clearing Member Firm on Affirmation Platform Client has the ability to submit client-driven reference ID to CCP Client observes both pending and cleared status Client sees trades on both CME and Clearing Member Firm end-of-day registers Valuation in line with expectations Initial Margin in line with expectation Verify Coupon Settlements Validate Price Alignment Interest Calculations Questions? Contact irsonboarding@cmeclearingeurope.com or +44 20 3379 3131 31

Testing: UAT Environment Overview Step 2: Terminate Various Cleared Trades Verify Pricing on T+1 Settlement of Upfront Payments Confirm the Affirmation Process: Able to affirm a new trade when terminating an existing trade Netting Options Integration with Client s internal systems Step 3: Repeat Steps 1-2, if applicable, with the following Variables: Executing Counterparties- Trade with one counterparty and clear with another counterparty Alternative Clearing Member Firms Alternative Affirmation Platforms Transfers Allocations Questions? Contact irsonboarding@cmeclearingeurope.com or +44 20 3379 3131 32

Testing: Production Environment Step 4: Repeat Steps 1-3 of UAT Testing with Production Accounts Verify Internal Systems are compatible with: Trade Submission Cash Flows Initial Margin Terminations Questions? Contact irsonboarding@cmeclearingeurope.com or +44 20 3379 3131 33

Trade Repository Services

CME Global Repository Services CME European Trade Repository and CME Swap Data Repository for multi-jurisdictional reporting Solution for cleared and bilateral transactions across rates, credit, FX, equities, and commodities Premium, simplified, efficient and low cost regulatory reporting solutions for all market participants Proven reporting systems and processes; extensive regulatory experience No maintenance fees, no cleared data charges, per ticket fee model World class customer service Maximises lightweight CME ClearPort technologies and middleware clearing connectivity Straight Through Processing One message for clearing, reporting, multiple jurisdictions Full reconciliation reports CME Swap Data Repository (SDR) Dodd Frank Provisional registration received from CFTC on 11/20/12 to operate a SDR for the rates, credit, FX and other commodities asset classes Entire asset class coverage; actively used for cleared and non-cleared data CME European Trade Repository (ETR) - EMIR CME Group is an approved ETR with ESMA for exchange traded & OTC trade repository in Rates, FX, Credit, Equities and Commodities London based legal entity with local business and support staff cmegroup.com/etr and cmegroup.com/sdr 35

CME s European Trade Repository Services Multi-Asset Class Offering CME s ETR covers cleared and bilateral products across all Interest Rate, Credit, FX, Equity, and Commodity products European-based Solution CME ETR is live as an ESMA-approved EMIR trade repository London-based legal entity with local business and support staff Low Cost Per ticket model, irrespective of notional size No additional charge for modification reports Test Environment Documentation and Test environment through www.cmegroup.com/etr Simple, Efficient to Use Flexible upload submission reports via API and CSV Real-time trade blotter and customisable reconciliation reports available ad hoc or end of day Delegated Reporting Safe and free solution to reporting with essentially no work Register one time with CMECE and we do all the rest at no charge Simplest path to compliance with the highest level of data accuracy More information can be found at www.cmegroup.com/delegatedreporting 36

CME Europe

CME Europe Limited. London-based, FCA-supervised, Recognised Investment Exchange (RIE), positioning it in Europe s most important financial centre Live with 30 FX futures and a suite of biofuels futures, becoming a multi-asset class exchange phased in over time Focused product offering tailored to an international customer base Guided by the strategic imperatives of efficiency & simplicity Using CME Globex, the world s leading electronic trading system, as its trading platform. CME Globex has established distribution in 150 countries CME ClearPort will be used to enter block & EFRP trades, among others, to bring them under the rules of the exchange and for clearing. This can also be accessed through CME Direct Clearing services are provided by CME Clearing Europe, a Bank of England recognised and supervised London-based clearing house 38

Additional Information

Flexible Collateral for Initial Margin CME Clearing Europe accepts an expanding range of collateral to satisfy margin requirements and guarantee fund contributions, including: Eligible Cash, Securities and Haircuts Tenor US UK Germany Belgium Denmark2 France Finland Netherlands 0-1 1% 1% 1% 2% 1% 1% 1% 1% 1-2 2% 2% 1% 3% 3% 2% 2% 1% 2-5 3% 3% 2% 5% 3% 3% 2% 2% 5-7 4% 4% 3% 6% 3% 4% 3% 3% 7-10 5% 6% 5% 8% 5% 6% 5% 5% 10-30 8% 9% 10% 10% 8% 10% 8% 10% 30+ n/a 12% n/a n/a n/a n/a n/a n/a Tenor Sweden2 Australia2 Canada2 Norway2 Austria Switzerland Italy1 Spain1 0-1 2% 2% 2% 2% 2% 1% 3% 2% 1-2 2% 2% 2% 2% 2% 1% 3% 3% 2-5 3% 4% 4% 3% 3% 2% 5% 5% 5-7 3% 4% 6% 4% 4% 3% 6% 6% 7-10 5% 6% 9% 5% 5% 5% 8% 8% 10-30 n/a n/a 10% n/a n/a n/a 12% 12% 30+ n/a n/a n/a n/a n/a n/a n/a n/a Eligible Commodities and Haircuts Commodity Gold3 Haircut 15% 1. Not accepted for guarantee fund contributions 2. Cash only acceptable to cover initial margin liabilities in the same currency 3. 200M USD or 20% of initial margin (whichever is lower)

CME Clearing Europe Bank Contacts Clearing Member Contact Contact Details Barclays Ben Parker Ben.Parker@barclays.com Bank of American - ML Richard Clark Richard.D.Clark@baml.com BNP Paribas Citi Bank Credit Suisse Deutsche Bank Mark Stafford Juha Sternberg Silas Findley John Frewin Joe Midore Sellina Goh Stephen Wilkes Maja Kragelj Mark.Stafford@uk.bnpparibas.com Juha.Sternberg@uk.bnpparibas.com Silas.J.Findley@citi.com John.Frewin@citi.com Joseph.Midmore@credit-suisse.com Sellina.Goh@credit-suisse.com Stephen.Wilkes@db.com Maja.Kragelj@db.com Goldman Sachs Richard Pape Richard.Pape@gs.com HSBC JP Morgan Morgan Stanley UBS Neill Pattinson Danny Foster Brian Oliver Mark Dewsbury Mark Bortnik Owain Roberts Antonietta Toro Marco Stano Neill.Pattinson@hsbcib.com Danny.J.Foster@hsbcib.com Brian.R.Oliver@jpmorgan.com Mark.Dewsbury@jpmorgan.com Mark.Bortnik@morganstanley.com Owain.Roberts@morganstanley.com Antonietta.Toro@ubs.com Marco.Stano@ubs.com 41

Contacts CMECE Adam Husted +44 20 3379 3170 adam.husted@cmegroup.com OTC Products Liam Smith +44 20 3379 3850 liam.smith@cmegroup.com Phil Hermon +44 20 3379 3983 phil.hermon@cmegroup.com On-Boarding and Testing On-Boarding Team +44 20 3379 3131 Onboarding_Clearing@cmegroup.com 42

Disclaimer CME Group, CME Europe and CME Clearing Europe are brands of CME Group Inc. and its subsidiaries, members of which include Chicago Mercantile Exchange Inc., CME Europe Limited, CME Clearing Europe Limited and CME Marketing Europe Limited. Exchange traded and Over-The-Counter (OTC) derivatives are not suitable for all investors, and involve the risk of loss. Exchange traded and OTC derivatives are leveraged investments, and because only a percentage of a contract s value is required to trade, it is possible to lose more than the amount of money initially deposited for an exchange traded or OTC derivative position. Therefore, traders should only use funds that they can afford to lose without affecting their lifestyles. And only a portion of those funds should be devoted to any one trade because they cannot expect to profit on every trade. CME Group is the trademark of CME Group, Inc. The Globe logo, Globex and CME are trademarks of Chicago Mercantile Exchange, Inc. CBOT is the trademark of the Board of Trade of the City of Chicago Inc. NYMEX, New York Mercantile Exchange, and ClearPort are trademarks of New York Mercantile Exchange Inc. COMEX is a trademark of Commodity Exchange Inc. All other trademarks are the property of their respective owners. The information within this presentation has been compiled by CME Group for general purposes only. Although every attempt has been made to ensure the accuracy of the information within this presentation, CME Group assumes no responsibility for any errors or omissions. Additionally, all examples in this presentation are hypothetical situations, used for explanation purposes only, and should not be considered investment advice or necessarily the results of actual market experience. All data is sourced by CME Group unless otherwise stated. All matters pertaining to rules and specifications herein are made subject to and are superseded by official CME, CBOT, NYMEX, CME Europe, CME Clearing Europe and CME Group rules. Current rules should be consulted in all cases concerning contract specifications. This communication does not constitute a Prospectus, nor is it a recommendation to buy, sell or retain any specific investment or to utilise or refrain from utilising any particular service. This communication is for the exclusive use of Eligible Counterparties and Professional Clients only and must not be relied upon by Private Clients who should take independent financial advice. Circulation should be restricted accordingly. CME Europe Limited is a Recognised Investment Exchange (RIE) recognised and supervised by the Financial Conduct Authority in the United Kingdom. CME Clearing Europe Limited is a Recognised Clearing House ( RCH ) recognised and supervised by the Bank of England. CME European Trade Repository is a business name of CME Trade Repository Limited, a registered trade repository under EMIR supervised by the European Securities and Markets Authority. Globex Markets Limited is authorised and regulated by the Financial Conduct Authority. Chicago Mercantile Exchange Inc. is a Recognised Overseas Clearing House (ROCH) recognised by the Bank of England. Chicago Mercantile Exchange Inc., Board of Trade of the City of Chicago and the New York Mercantile Exchange are Recognised Overseas Investment Exchanges (ROIE s) recognised by the Financial Conduct Authority.Issued by CME Marketing Europe Limited. CME Marketing Europe Limited (FRN: 220523) is authorised and regulated by the Financial Conduct Authority in the United Kingdom. 43