1 2 3 4 5 6 7 8 9 10 11 12

By Kevin Dugan Structured-note investors are making their biggest bets on Silicon valley companies from

Apple Inc. to Zynga Inc. in at least four years as banks seek out more volatile companies to boost yields.

Lenders have sold $566.4 million of notes linked to shares of 28 technology companies so far this year, according to data compiled by Bloomberg.

internet companies such as Facebook Inc. and Netflix Inc. have rapidly changed their business models to focus on mobile platforms like phones and tablets, increasing their volatil-ity, said Ben Schachter, an analyst at Macquarie Securities USA Inc. in new york.

“The business models are shifting and changing all the time,” Schachter said in a telephone interview. “it’s happening so quickly we’re not exactly sure yet how the evolution will impact some companies.”

The businesses popular with structured-note investors range from Cisco Systems Inc., the world’s biggest maker of network routers and switches, to Google Inc., operator of the world’s biggest search engine. investors who use Microsoft Corp.’s Office software at work and then goof off with Zynga’s “Farmville” game in the evening can buy debentures linked to both software makers.

Many of these companies use increasingly sophisticated data and targeted advertising, bet-ting they can boost profits through people spending more time on the internet, Schachter said.

“if you ask anyone, ‘are you going to use the internet more or less in future?’ obviously, it’s the way people are going,” he said.

apple, the world’s largest company by market value, and Facebook, owner of the world’s biggest social network, lead sales of the securities this year with $190.3 million for the two combined, Bloomberg data show.

UBS AG sold the largest offering tied to the companies this year, a $39.5 million note tied to google on Feb. 11, Bloomberg data show.

$132.6

$60.0 $55.7

$49.2

$33.4

$26.4

$23.2 $21.8

Apple Inc.Facebook Inc.Google Inc.Amazon Inc.Microsoft Corp.Hewlett-Packard Co.LinkedIn Corp.Fortinet Inc.

Source: Bloomberg LP

Sales in millions this year for U.S. structured notes tied to the 8 most popular tech company underlyings. The chart shows 71% of the $566.4 million total.

Apple to Zynga Notes Sell on Higher Volatility

Apple, Facebook, Google Lead List of Most Popular Tech Names

* Based on data compiled by Bloomberg from SeC filings.** Based on data submitted to Bloomberg by banks. includes eurobond issues from all nations. excludes variable-principal redemption, reverse convertibles, SeC-registered securities.

VolumeSu.S. Structured NoteS VolumeS*

AS of mArcH 14 1 yeAr Ago

Last Week (March 10-14) $447.1 mln $691.2 mln ⬇

Year To Date $8.93 bln $8.59 bln ⬆YTD Equity $7.49 bln $5.69 bln ⬆YTD Rates $803.7 mln $1.39 bln ⬇YTD Commodities $254 mln $253.2 mln ⬆

globAl rAte liNked NoteS**

AS of mArcH 14 1 yeAr Ago

Last Week (March 10-14) $1.07 bln $1.96 bln ⬇

Year To Date $12.2 bln $20 bln ⬇YTD Int. Rate Linked $5.78 bln $6.69 bln ⬇YTD Credit Linked $5.15 bln $11.1 bln ⬇YTD Inflation Linked $59 mln $618 mln ⬇

CBA To SeLL ITS LArGeST NIkkeI-TIed NoTeS. The securities are part of

$316 million of such offerings as short-selling on Japanese stocks nears a five-year high. Page 2.

deLTA NoTeS hAve BIGGeST SALeS IN 18 MoNThS. Banks issued $31.6 mil-lion of the securities in the u.S. in March, the most since September 2012. Page 3.

eqUITy-TIed UrIdAShI deMANd MAy deFy SLUMPING SToCkS. a nomura Holdings executive predicts continued de-mand for the products, despite the index falling about 11 percent this year. Page 3.

SCoTIABANk SeLLS BIGGeST STePUP CALLABLe SINCe 2012. The $100 million of securities mature in three years. Page 4.

INTervIew. graham Devile of Meteor asset Management sees growing struc-tured products interest in the u.K. Page 6.

STruCTureD nOTeS WaTCH

Structured Notes 03.20.14

www.bloombergbriefs.comBRIEF

1 2 3 4 5 6 7 8 9 10 11 12

cbA Sells largest Nikkei-tied Note As bearish bets riseBy regina Tan

Commonwealth Bank of Australia plans to sell its largest note tied to Japan’s bench-mark stock index at a time when bearish bets on the nation’s equities are close to the highest in at least five years.

The bank plans to issue a$350 million ($316 million) of three-year notes that bet on gains in the nikkei 225 Stock average index in five offerings, according to data compiled by Bloomberg. The two biggest deals, at a$100 million each, would also be the bank’s largest structured notes sold since July 2010.

Short-selling of Japanese stocks from banks and brokerages to paper manufacturers rose on March 17 to the highest since at least October 2008. in april, Japan’s sales tax will climb to 8 percent from 5 percent, the first time it has increased since 1997.

“There are a lot of uncertainties ahead of the tax increase in april,” Nader Naeimi, Sydney-based head of dynamic asset allocation at AMP Capital, which manages $131 billion, said by e-mail. “My strategy for Japanese shares this year is to buy in dips, but i think the short-term picture is quite precarious.”

in the u.S., four banks sold $25.3 million of notes tied to the nikkei index in February, the most since March 2013, Bloomberg data show. The largest offering was $21.8 million of 14-month notes issued by hSBC holdings Plc on Feb. 27. The securities yield three times the benchmark’s gains to a maximum of 15.09 percent, with all capital at risk, ac-cording to a prospectus filed with the u.S. Securities and exchange Commission.

Three of the notes being sold by Commonwealth Bank of australia pay fixed coupons only if the index rises to certain levels. The bank plans to issue $50 million of securities that yield 8.6 percent a year if the nikkei climbs to 14,991.55 for the first payment, or 15,419.88 for subsequent ones. another note returns semi-annual coupons of 4.44 per-cent if the index rises to 15,185.64 for the first year, or 15,908.77 for the remaining period.

The nikkei 225 has declined 11 percent this year to 14,462.52 on March 19.goldman Sachs group inc. underwrote $200 million of the issues, with Citigroup inc.

handling the rest.

NewS

The seven-year callable securities, which don’t pay interest, return a profit when the search company rises more than 29.5 percent from its initial value of $1,183.30, according to a prospectus filed with the u.S. Securities and exchange Commission. all principal is protected unless the bank defaults.

With the interest in newer technology have come securities tied to companies that are new to the structured-note market, Bloomberg data show.

Barclays Plc sold $3.51 million of one-year notes tied to Zynga, the first such u.S. offer-ing. The securities, issued March 7, yield 11.26 percent as long as the stock doesn’t exceed its initial price of $5.58 on quarterly observation dates, in which case the notes are called, according to a prospectus filed with the u.S. Securities and exchange Commission. investors get their money back at maturity unless the stock falls below 70 percent of the starting price.

Banks sold $345.7 million of notes tied to the technology companies in 2011, the next-big-gest year for sales, Bloomberg data show. The sales period goes through March 14.

Mark Lane, a spokesman for Barclays, declined to comment.

Apple to zyngA ...

(1) 2-yr. “contingent return” notes tied to the S&P 500 index, maturing 1/30/2015(2) 4.5-yr. “buffered leveraged upside” notes tied to the Dow Jones industrial average, maturing 3/26/2018(3) 2-yr. “dual directional trigger” notes tied to apple, maturing 6/27/2014(4) 3-yr. “trigger return optimization” notes tied to the S&P 500, maturing 6/30/2016(5) 2-yr. “accelerated return” notes tied to the S&P 500, maturing 9/26/2014(6) 1-yr. “step income” notes tied to general Motors, maturing 3/13/2015(7) 5-yr. “contingent protection” notes tied to the S&P 500, maturing 3/31/2014*For the most recent 5 days as of March 17, 2014.Source: Finra’s Trace

Most Traded U.S. equity LinkediSSuer bbg id trAdeS*

Royal Bank Canada (1) RD4726058 56

Morgan Stanley (2) RE3258333 35

Morgan Stanley (3) RD1870776 32

Morgan Stanley (4) RD7872768 28

Bank of America (5) CV6827744 27

Deutsche Bank (6) AC090107 26

UBS (7) EH7808643 25

career moves? Promotions? Send announcements to rbedard2@bloomberg.net

Bloomberg Brief Structured Notes

Bloomberg Brief executive editor

Ted Merz tmerz@bloomberg.net +1-212-617-2309

Bloomberg News executive editor

Robert Burgess bburgess@bloomberg.net +1-212-617-2945

Structured Notes Newsletter editor

Richard Bedard rbedard2@bloomberg.net +1-212-617-2945

reporters Kevin Dugan kdugan4@bloomberg.net +1-212-617-2035

Luca Casiraghilcasiraghi@bloomberg.net+44-20-3525-0837

Regina Tanrtan87@bloomberg.net+852-2977-6609

Newsletter Business Manager

Nick Ferris nferris2@bloomberg.net +1-212-617-6975

Advertising Adrienne Bills+1-212-769-0480

reprints & Permissions

Lori Husted lori.husted@theygsgroup.com +1-717-505-9701

To subscribe via the Bloomberg Terminal type BRIEF <GO> or on the web at www.bloombergbriefs.com. © 2014 Bloomberg LP. All rights reserved.This newsletter and its contents may not be forwarded or redistributed without the prior consent of Bloomberg. Please contact our reprints and permissions group listed above for more information.

Correction on 3/13/14 issue: Our page 1 story last week incorrectly reported Bank of america Corp.’s sales and distribution figures and their historical comparisons. The bank issued $143.3 million of u.S. notes in February, the lowest since December 2012, and distributed $966.4 million, of which Credit Suisse group ag sold $387.8 million.

Our SeC-registered note table incorrectly identified the seller of a $17.8 million note with the iD of BBg00641nXJ1. The issuer was Barclays Plc.

03.20.14 www.bloombergbriefs.com Bloomberg Brief | Structured Notes 2

1 2 3 4 5 6 7 8 9 10 11 12

delta Air Lines draws Most Note Buyers in 18 Months

Banks sold the most structured notes tied to delta Air Lines Inc. this month since September 2012 as its shares trade close to a record high.

issuers, including Morgan Stanley and Credit Suisse Group AG, have offered $31.6 million of the securities in four transactions in March, according to data compiled by Bloomberg. all the notes pay a coupon and can lose their value if the stock plunges.

Delta, the third-largest u.S. carrier, has kept ticket prices higher by joining other airlines in limiting capacity to grow its number of passengers, Joseph denardi, an analyst at Stifel Nicolaus & Co. in Bal-timore, said in a telephone interview. Stifel nicolaus recommended a 12-month price target of $40 for its shares on Feb. 24.

The carrier’s fourth-quarter profit ex-cluding some items more than doubled to $558 million, or 65 cents a share, on increased holiday travel, higher fares and lower fuel prices, according to a Jan. 21 statement. That beat the 63-cent aver-age of 16 analyst estimates compiled by Bloomberg.

Delta rose 23 percent to $33.73 this year through yesterday after increasing 131 percent in 2013. Shares closed at $35.36 on March 7, an all-time high.

Credit Suisse sold $22.9 million of one-year notes tied to the atlanta-based company, the largest offering this month, Bloomberg data show. The securities, issued March 13, yield 9.5 percent an-nually and pay an additional 8.6 percent if the stock rises at least 9.5 percent at maturity, according to a prospectus filed with the u.S. Securities and exchange Commission. The securities put all capital at risk if the stock falls.

The biggest monthly sales period for Delta-linked notes was in September 2012, when royal Bank of Canada sold $45.6 million of one-year notes in a single offering, Bloomberg data show.

Trebor Banstetter, a spokesman for Delta in atlanta, and Nicole Sharp of Credit Suisse, declined to comment on the offerings.

— Kevin Dugan

equity-Tied Uridashi demand to defy Stock Slump, Nomura Says

Demand for uridashi notes linked to equities and foreign-exchange rates will exceed that for securities that pay a fixed coupon this year as a “low-yield environment” prompts investors to seek better returns, according to Nomura holdings Inc.

The nikkei 225 Stock average, which underlie 59 percent of the equity-linked notes, has slumped 11 percent this year compared with a 2.3 percent decline in the MSCi asia Pacific excluding Japan index as of March 19.

“The nikkei may have declined but for Japanese investors, something in the range of 14,000 to 15,000 is high after being below 10,000” for years, said Aki-hiro Igarashi, Nomura Securities Co.’s joint head of international debt syndi-cate. “as long as investors don’t see a one-way decline, we’ll see continued demand for equity-linked products.” no-mura has ranked as the no. 1 arranger of uridashi bonds since 2012.

Bank of Japan monetary stimulus designed to spur economic growth and achieve 2 percent inflation has weak-ened the yen by about 6 percent over the past 12 months, eroding the value of wages in asia’s second-largest economy to a record low. a misery index, which gauges economic hardship, is forecast to climb to a 33-year high while Japan’s 10-year sovereign yield of 0.61 percent is the lowest globally.

Some $7.03 billion of uridashi bonds, which are issued outside Japan for sale mainly to Japanese individual investors, have been sold since Dec. 31, the slow-est start to a year since 2009, accord-ing to data compiled by Bloomberg. Of those, 54 percent pay a fixed rate while the returns of 37 percent are linked to equities or share indexes.

Of the fixed-rate note sales last month, 35 percent were denominated in Brazil-ian real, 28 percent in australian dollars, 14 percent in u.S. dollars and 11 percent in Turkish lira.

The real has appreciated 1.2 percent against the greenback this year while the aussie has depreciated 2.4 percent as of March 18. Traders are signaling

Brazil’s central bank will end a yearlong tightening cycle after raising the bench-mark Selic rate by a quarter-point to 11 percent next month.

Federal reserve officials in the u.S. have said they’ll probably hold the cen-tral bank’s target interest rate near zero “well past the time” unemployment falls below 6.5 percent.

“if you look back several years ago, the major currencies for plain vanilla uridashi notes were u.S. or australian dollars,” igarashi said. “now, investors are buying real or lira-denominated bonds for higher yields.”

— Regina Tan

Standard Bank Sells Ghana-Tied Note After rate rise

Standard Bank Group Ltd. sold the first cedi-denominated structured notes linked to ghanaian government bonds since June after the West african country raised interest rates to bolster a weaken-ing currency.

africa’s largest lender issued 10 mil-lion cedis ($3.9 million) of securities maturing in May 2015, with coupon and redemption paid in u.S. dollars, accord-ing to data compiled by Bloomberg. The notes pay a coupon of 24 percent and were sold at 6.7 percent above par. That compares with a 22 percent coupon for one-year bonds sold at par by the gov-ernment on March 14, the data show.

erik Larsen, a spokesman for Standard Bank in Johannesburg, declined to com-ment on the sale.

ghana’s central bank raised interest rates by two percentage points to 18 percent on Feb. 6, a day after setting limits on foreign-exchange transactions to halt a slide in the currency. The cedi has come under pressure as the gov-ernment struggles to contain a budget deficit amid concerns of a slowdown in emerging markets as the Federal re-serve tapers stimulus.

“The increase in interest rates should help stabilize the currency and get people to look at ghana again,” said An-dre Meyer, partner and head of foreign-exchange solutions at ACT Currency Partner AG in Zurich. “When investing in an african currency you generally don’t

rouNduP

03.20.14 www.bloombergbriefs.com Bloomberg Brief | Structured Notes 3

1 2 3 4 5 6 7 8 9 10 11 12

expect strong appreciation. you’d rather look at the total return.”

Standard Bank’s one-year securities yield 18.7 percent, according to Bloom-berg calculations. That compares with a yield of 17.1 percent for two-year ghana-linked notes issued by the South african bank in 2012, when interest rates were at 15 percent.

issuance of cedi-denominated notes referencing ghana’s debt fell to $9.8 mil-lion last year from $146.1 million in 2012 while sales in dollars shrank to $26.1 mil-lion from $78.8 million, according to data compiled by Bloomberg.

The cedi has lost 9 percent of its value against the dollar this year after depre-ciating 25 percent in 2013, Bloomberg data show. The currency may drop by another 17 percent by the end of the year, according to the average estimate of analysts compiled by Bloomberg.

“ghana’s structural issues are likely to continue to put depreciation pressure on the cedi,” said ridle Markus, africa macro-economic strategist at Absa Bank Ltd. in Johannesburg. “The steps taken hitherto by the central bank are likely to only slow down the depreciation of the cedi.”

— Luca Casiraghi

Scotiabank Sells Largest U.S. Step-Up Since August 2012

Bank of Nova Scotia’s Scotiabank unit sold $100 million of three-year notes that ratchet up the coupon during the final year if not redeemed, the largest such u.S. offering since august 2012.

The securities, issued March 12, yield 0.8 percent annually for the first two years and then increase to a 2 percent annual coupon until maturity, according to a prospectus filed with the u.S. Securities and exchange Commission. The bank can redeem the notes after two years.

While investors typically buy these kinds of securities, known as callable step-up notes, knowing they probably won’t get the later coupon, these notes are more likely to pay the higher rate, Guy LeBas, chief fixed-income strategist at Janney Montgomery Scott LLC in Philadelphia, said in a telephone interview.

“it’s a relatively modest step up,” he said. “For an investor, the bigger the step, the more that option is likely to be exercised and the bond goes away when you don’t want it.”

Buyers probably won’t receive the higher coupon if interest rates remain the same or fall during the term of the notes, according to the prospectus.

Step-up notes have dropped in popu-larity every year since at least 2010 as investors sought protection from the pos-sibility of the Federal reserve increasing its benchmark interest rate, according to data compiled by Bloomberg.

Sales of step-up notes fell 65 percent to $1.29 billion last year from 2012, the slowest annual volume for the invest-ments since 2010, according to data compiled by Bloomberg. During that time, banks sold $1.01 billion of notes that pay more when the gap between long- and short-term rates is greatest, more than four times the amount in 2012.

The Fed has kept its short-term bench-mark rate no higher than 0.25 percent since 2008.

Joe konecny, a spokesman for the Toronto-based bank, declined to comment.

Bloomberg began collecting comprehen-sive data on u.S. structured notes in 2010.

Goldman Sachs Group Inc. sold a larger offering of $105 million of 15-year callable step-up notes on aug. 23, 2012, Bloomberg data show. The bank re-deemed the notes on May 28, 2013.

— Kevin Dugan

SocGen to Sell Products Tied to First european Buyback Index

Societe Generale SA will start sell-ing certificates tied to the first european stock buyback index next month.

The gauge, rolled out by the ger-man indexing company Solactive AG on March 17, includes publicly traded companies in Western europe. To qualify, they must have announced a stock buy-back in the last two months and have a market capitalization of at least 500 mil-lion euros and an average daily trading volume of 2 million euros or more in the previous three months.

“Share buybacks have been much more present in the u.S., while regulation in europe was unfavorable until the early 2000s,” said Stephane Mattatia, head of global equity-flow engineering with Societe generale in Paris.

The Solactive european Buyback index, which is rebalanced every two months, has components weighted by the ratio of total shares bought back during a two-month period divided by the number of shares outstanding. it’s the first index made up of european companies that plan to repurchase shares, said Steffen Scheuble, chief executive officer of Solac-tive, in a phone interview in new york.

“There are already several similar suc-cessful instruments in use in the u.S.,” he said. “We chose to launch it to close the gap, as share buybacks become more common across europe.”

British companies are the most rep-resented in the index, contributing 37 percent of the overall level, followed by Danish firms, which make up a quarter.

— Luca Casiraghi

Roundup…

WANT TO DOWNLOAD HISTORICAL PRICING TO EXCEL? <HELP>

03.20.14 www.bloombergbriefs.com Bloomberg Brief | Structured Notes 4

1 2 3 4 5 6 7 8 9 10 11 12

Sec-regiStered NoteS

■ Barclays Plc sold $17.6 million of auto-callable notes tied to Petroleo Brasileiro SA, the largest such offering since July 25. The securities, issued March 13, yield a maximum of 26.4 percent at maturity if called on the final observation date, and can be first redeemed after six months, according to a prospectus filed with the u.S. Securities and exchange Commission. The notes protect against 5 percent of losses with 95 percent of capital at risk. Bank of America Corp. distributed the securities for a 1.25 percent fee. BBg iD aC1712424

■ hSBC holdings Plc sold $17 million of 18-month notes tied to the MSCI europe In-dex, the largest such offering since at least January 2010. The securities, issued March 14, yield the gains in the index with protec-tion against 17.5 percent of losses and all capital at risk, according to a prospectus filed with the SeC. JPMorgan Chase & Co. distributed the notes for a 1.25 percent fee. BBg iD re4540499

■ Barclays Plc sold $12.1 million of 14-month notes tied to west Texas Inter-mediate oil futures. The securities, issued March 14, yield 10 percent as long as the futures don’t fall below 79.3 percent of their initial value, according to a prospectus filed with the SeC. JPMorgan Chase & Co. distributed the notes for a 1.2 percent fee. BBg iD re4512886

■ UBS AG sold $10 million of three-month auto-callable notes tied to the worst per-

forming of Baidu Inc. and Tesla Motors Inc. The securities, issued March 12, yield 23.5 percent annually if neither of the stocks fall below their initial value with all capital at risk, according to a prospectus filed with the SeC. The bank, which distributed the notes for a 1 percent fee, can call the securities after one month. BBg iD eK1343079

■ Goldman Sachs Group Inc. sold $10 million of callable step-up notes, the bank’s second-largest such offering this year. The securities, issued March 10, yield 3 percent a year for the first five years, then raise the coupon two more times to pay 6.25 percent during the last two years, according to a prospectus filed with the SeC. The bank can call the notes after six months. Incapital LLC and the bank distributed the securities for a 2.23 percent fee. BBg iD eK0962697

NoteS Sold iN euroPe, ASiA

■ Morgan Stanley plans to sell 25 million euros ($35 million) of notes linked to the credit of Portugal Telecom SGPS SA, the main Portuguese telecom company, Bloom-berg data show. The notes, which settle March 26, would pay quarterly coupons 365 basis points higher than the three-month euro interbank rate. BBg iD eK1353151

■ hSBC holdings Plc plans to sell 30 million euros of 15-year securities linked to the difference between euro interest rate swaps, Bloomberg data show. The notes, which settle april 3, would pay an annual

coupon of 3.52 percent until 2021, then switch to 3.4 times the difference between the 30-year and two-year swaps, with a cap of 6.5 percent. BBg iD eK1371807

■ dZ Bank AG plans to sell 25 million eu-ros of notes linked to the credit of german car maker volkswagen AG, Bloomberg data show. The 10-year securities, which settle March 24, pay a coupon of 82 basis points more than the three-month euro interbank rate. BBg iD eK1339838

■ National Australia Bank sold $20 million of 10-year range-accrual notes. The securities, which settled on March 18, pay 4.67 percent annualized for each day that the 30-year U.S. swap rate equals or exceeds the 10-year rate. BBg iD eK1235614

■ Amtek engineering Ltd. plans to sell S$200 million ($157 million) of five-year call-able step-up notes that pay 6.9 percent cou-pons the first three years and 8.9 percent after that. dBS Bank Ltd. and Standard Chartered Plc underwrote the securities, which settle on March 20. BBg iD eK1208421

■ The Korea Student aid Foundation sold 30 billion won ($28 million) of notes that pay 6 percent for the first five years and after that return 3.5 times the difference between the country’s 20-year and two-year constant-maturity swap rates, with a cap of 6 percent, Blooomberg data show. BBg iD eK1263103

NoteS Sold

By LuCa CaSiragHiCitigroup Inc. plans to sell the first structured notes tied to the

sovereign debt of the Dominican republic since 2012.The 5.5 million euros ($7.6 million) of five-year securities, which

settle on March 26, would pay a coupon of 6.3 percent, according to data compiled by Bloomberg.

Catalina Bantula, a spokeswoman for the bank in new york, declined to comment on the securities.

The economy minister of the Dominican republic, Temistocles Montas, announced in February a plan to issue more than $1

billion of bonds in the coming months.The Dominican peso traded at 43.15 against the u.S. dollar on

March 19, a 1 percent depreciation this year.The Caribbean nation issued debt most recently in October

of 2013. The $500 million of 10-year bonds pay a 6.6 percent coupon and traded at 101.25 cents on the dollar at 6 p.m. London time on March 19, implying a yield of 6.3 percent.

ING Groep Nv issued $14.7 million of four-year notes tied to the debt of the Caribbean nation in October 2012 that pay a coupon of 7.655 percent.

feAtured Notecitigroup to Sell first Notes tied to dominican republic Since 2012

03.20.14 www.bloombergbriefs.com Bloomberg Brief | Structured Notes 5

1 2 3 4 5 6 7 8 9 10 11 12

Graham devile, founder and managing direc-tor of Meteor Asset Management, says that after years of negative press coverage, interest in investing in structured products is growing in the u.K. He spoke to Luca Casiraghi from his office in London.

q: how has the U.k. structured prod-ucts retail market been developing in the last 12 months?A: There has been a growing interest by advisers and clients who have never held a structured product before. Far more advisers and clients are comfortable with the risk. The reason is that there’s been less negative national press in recent times. Journalists [used to depict] every structured product as born out of the devil. it can’t be a good thing and never will be.

But this is all nonsense. There are good, average and bad structured products, as there are good and bad funds and any-thing in-between.

q: what are the most common struc-tured products in the U.k.?A: equity-linked notes is pretty much where the market is in the retail space. autocalls are undoubtedly dominant. Most of the volume is done on straightforward vanilla FTSe-linked products, and then variance on the theme, such as worst-of products. But the large majority would reference the FTSe index or some FTSe stocks in some way.

Products tied to the nikkei and S&P [indexes] are negligible compared to the rest. We are an island, very intrinsically an island. There’s a home feeling to the in-vestment preferences of our clients. There are new products being sold, but nowhere near the volumes of auto-call products tied to FTSe stocks.

VoiceS

devile of meteor Asset Sees growing Structured Products interest in u.k.

Age: 48

career: Began career in financial services in the early 80s and spent 20

years as an independent financial adviser. Moved into structured products in

early 2000, setting up Meteor in 2006.

family: Married with four daughters.

Hobbies: Golf, good food, following a bad football team and being a taxi

driver for his brood.

q: Is there appetite for capital-protect-ed products? A: There are some, but we are nowhere near where we used to be in the past. it’s just a function of rate returns. Clients are saying “i’m not bothered to do that” if the return is 50 basis points, and will keep the cash. The total of capital-protected products is 10 percent of the total under management [at Meteor]. across the rest of the industry in u.K. is higher, but still a fraction of what it was.

q: why has the retail market in struc-tured products grown so different from the rest of europe in terms of asset classes and risk exposure? A: The u.K. structured market is nowhere as exotic as the rest of europe and the fun-damental reason lies with the regulator. The u.K. regulator has had structured products in its sight on-and-off over time. as a result, the general take [of the regulator] is that structured products are ‘complex’ and, as far as advisers are concerned, this put them way up the risk profile.

if a client is willing to take a risk profile of six or seven on a scale from, say, one to 10, a structured product, even a vanilla one, from a regulatory viewpoint would fall

in the six bracket. a more exotic product would be in the 10 bracket. Therefore, the adviser community has very little appetite to look at that end of the spectrum, and for a few clients whose risk profile is ten.

Certainly, the problem in the u.K. came with the precipice bonds in the late 90s, which were geared on the downside, which caused clients losses of 60, 70 or even 80 percent. [Since then] not only advisers have been wary of recommend-ing anything out of a one-to-one gear, but also anything out of products linked to a vanilla index. issuers followed because they did not want the attention of the regu-lator sitting on their shoulders all the time.

We got in a situation where issuers wanted to go down the lowest-risk route to market possible, investors wanted the lowest-risk investment possible, and advisers who did not want to be sued. The combination of all these things meant that structured products came from operating under the radar of the regulator to very much at the forefront of it. you can count the number of products geared to the downside issued since 2000 on one hand.

This interview has been edited for length.

LEARN HOW TO USE BLOOMBERG FUNCTIONS <HELP>

03.20.14 www.bloombergbriefs.com Bloomberg Brief | Structured Notes 6

1 2 3 4 5 6 7 8 9 10 11 12

Goldman, 99.0

JPMorgan, 63.3

Bank of America, 70.2

Wells Fargo, 41.3

Morgan Stanley, 93.6

UBS, 65.2

Barclays, 95.8

Credit Suisse, 72.1

Deutsche Bank, 82.7

HSBC, 73.9

30

40

50

60

70

80

90

100

110

Basi

s po

ints

Source: Bloomberg LP

5.4 bps

2.6 bps

3.8 bps

-.1 bps

3.8 bps

1.9 bps

2.3 bps

1.3 bps

-1.3 bps

2.7 bps

weekly Changes in CdS Levels for Major Issuers

buyer’S corNer

Welcome to Buyer’s Corner. This content will help you make an informed decision about investing in structured notes. Weekly charts show movements in issuer credit risk and swap rates. a volatility table tracks expected changes in price swings for 26 commodities, ex-change rates and stock indexes, from Korea to the u.K. — plus it shows where the market expects prices to be in a year’s time. also we’ll feature educational articles about how various structured notes work, and analyses of performance and value. values are as of Monday.

credit risk

Perceived credit risk rose during the week for most banks that issue notes in the u.S. market. goldman Sachs’s five-year credit-default swaps had the biggest jump, 5.4 basis points, to 99. Wells Fargo’s swaps fell slightly, 0.1 basis point, to 41.3.

whAT IT ShowS: Five-year credit default swap levels indicate an issuer’s credit risk, with the light-orange zone suggesting relatively more risk. arrows show whether risk is rising or falling, with a gray bar for “flat” (a change of no more than 0.5 basis point up or down).

why IT MATTerS: Structured notes are typically unsecured debt. That leaves buyers in danger if the issuer fails, as happened with Lehman Brothers Holdings inc. The upside of investing in notes from a riskier issuer: a buyer should get better terms.

03.20.14 www.bloombergbriefs.com Bloomberg Brief | Structured Notes 7

1 2 3 4 5 6 7 8 9 10 11 12

BuyeR’s CoRneR…

Swap curves

0

0.5

1

1.5

2

2.5

3

3.5

1 yr 2 yr 3 yr 4 yr 5 yr 6 yr 7 yr 8 yr 9 yr 10 yr

Perc

ent

USD 1 wk ago USD Current

JPY 1 wk ago JPY Current

Euro 1 wk ago Euro current

Source: Bloomberg LP

-7.1 bps

-1.4 bps - 5.0 bps

weekly Changes in Swap rates for Major Currencies

Volatility watch

ThIS week: Both the dollar and euro swap-rate curves fell from the week be-fore, while the yen curve gained slightly at terms from 2- to 6-year and dropped from 8- to 10-year. The biggest decline was for the 10-year dollar rate.

ThIS week: Short-term volatility jumped almost 11% from last week for the S&P 500 while dropping 6% for Japan’s Topix. For currencies, expected price swings rose the most for the dollar/yuan ex-change rate.

whAT IT ShowS: Swap curves for the yen, euro and dollar indicate weekly changes in interest rates in the cur-rencies at different terms. a yellow dot shows the term that changed the most for that curve.

why IT MATTerS: Higher rates lead to better terms on structured notes. if three-year dollar swaps rise the most week to week, for example, terms on notes of that maturity may improve the most.

whAT IT ShowS: The 1-yr. forward or future indicates where the market ex-pects the price may be, and “Difference” reflects the gain/loss from the current value. “aTM” is volatility predicted from prices of at-the-money options (for dif-ferent terms). The weekly change shows the difference in 1-mo. volatility. The highest values for certain subgroups (1 mo. aTM for commodities e.g.) are green, while the lowest are red.

why IT MATTerS: Higher volatility means better terms on certain kinds of notes, such as reverse convertibles. also, futures and implied forwards indicate where the market expects the price may move — up or down.

iNdeXeS

eXPectAtioNS VS. ActuAl VolAtility1 yr.

future/fwd. differeNce 1 mo. Atm

weekly cHANge (1 mo.)

6 mo. Atm

1 yr. Atm

S&P 500 1,829.70 -1.6% 13.16 10.8% 14.54 15.53Russell 2000 1,172.68 -1.3% 18.40 6.2% 19.45 20.24Dow Jones* 159.39 -1.9% 12.82 10.5% 13.84 14.73iShares MSCI Emer. Mkts. 38.14 -1.9% 22.81 -2.8% 22.71 22.67iShares MSCI EAFE 64.24 -2.6% 15.37 5.8% 15.44 16.35Euro Stoxx 50 2,928.59 -4.0% 18.91 6.5% 17.99 18.10FTSE 100 6,402.65 -2.5% 12.89 0.1% 13.59 14.30DAX 9,223.81 0.5% 18.73 4.4% 18.25 18.45Topix 1,146.08 -0.8% 23.21 -6.0% 23.13 23.06Hang Seng 20,844.74 -2.9% 18.22 6.9% 16.14 15.87Kospi 200 254.60 1.8% 14.04 6.6% 14.16 14.16

Gold (oz.) 1,375.98 0.2% 16.18 13.9% 17.42 18.51Silver 21.41 0.6% 27.24 8.4% 27.08 27.16Copper 296.97 0.6% 20.81 19.3% 19.47 19.12Brent oil 102.02 -4.0% 14.07 -17.8% 16.51 16.40WTI oil 89.78 -8.5% 18.37 -1.7% 19.06 18.40Corn 479.00 0.0% 28.23 9.2% 23.30 20.88

Euro/dollar 1.392 0.0% 6.60 4.4% 7.00 7.51Dollar/peso 13.541 2.9% 9.13 -0.6% 10.37 11.17Dollar/yuan 6.211 0.5% 2.39 12.9% 2.72 3.05Dollar/real 2.581 9.9% 11.91 5.4% 12.82 13.70Dollar/rupee 65.655 7.3% 8.78 9.5% 11.14 11.72Dollar/yen 101.483 -0.3% 8.23 -1.4% 9.24 9.94Dollar/krone 6.032 1.4% 8.71 4.3% 9.28 9.82Dollar/zloty 3.107 2.3% 10.77 10.5% 11.59 12.35

*Options on the Dow Jones industrial average (ticker DJX index), which are based on 1/100th the index level.

03.20.14 www.bloombergbriefs.com Bloomberg Brief | Structured Notes 8

1 2 3 4 5 6 7 8 9 10 11 12

Sec-regiStered Structured Note iSSuerS*

2013 yeAr-to-dAte

rANk mArket SHAre

Volume uSd (mlN)

deAl couNt

Credit Suisse 1 14.8% 1,318.0 135Goldman Sachs 2 12.0% 1,075.6 138Barclays 3 11.8% 1,055.3 146JPMorgan 4 10.3% 919.1 233Bank of America 5 8.1% 720.2 21UBS 6 7.6% 677.4 631RBC 7 7.1% 634.9 162Morgan Stanley 8 6.8% 605.6 80HSBC 9 6.3% 566.7 157Deutsche Bank 10 5.8% 517.4 75Citigroup 11 3.3% 294.4 48Scotiabank 12 1.9% 173.9 11BMO 13 1.9% 170.3 6SEK 14 1.3% 112.3 2Wells Fargo 15 0.6% 57.8 9Toyota 16 0.2% 15.0 1Nomura 17 0.2% 14.0 2Lloyds 18 0.1% 5.0 1totAl (JAN. 1-mArcH 14, 2014) 18 100.0% 8,933.0 1,858

Sec-regiStered Structured Note iSSuerS*

2013 yeAr-to-dAte

rANk mArket SHAre

Volume uSd (mlN)

deAl couNt

Credit Suisse 1 17.2% 1,285.4 129Goldman Sachs 2 12.5% 939.0 111JPMorgan 3 10.0% 747.3 181Bank of America 4 9.5% 709.3 19Barclays 5 9.3% 698.5 119UBS 6 8.4% 626.2 500HSBC 7 7.5% 561.3 155Deutsche Bank 8 6.8% 506.2 72RBC 9 6.5% 487.9 71Morgan Stanley 10 6.2% 466.4 64BMO 11 2.3% 169.6 5Citigroup 12 1.8% 135.4 36SEK 13 1.4% 101.3 1Wells Fargo 14 0.5% 38.9 8Scotiabank 15 0.2% 13.9 5totAl (JAN. 1-mArcH 14, 2014) 15 100.0% 7,486.5 1,476

Sec-regiStered Structured Note iSSuerS*

2013 yeAr-to-dAte

rANk mArket SHAre

Volume uSd (mlN)

deAl couNt

DZ Bank AG 1 18.0% 1,815.54 55LBBW 2 7.5% 749.49 11Societe Generale SA 3 6.3% 636.24 101Deutsche Bank AG 4 5.5% 550.64 14Credit Agricole Groupe 5 4.3% 431.90 44Caisse des Depots et Consign. 6 4.1% 411.02 2BNP Paribas SA 7 3.4% 340.90 47BayernLB Holdings AG 8 3.4% 338.40 3Barclays PLC 9 3.3% 335.74 23Argentum Capital SA 10 3.3% 331.97 7JPMorgan Chase & Co 11 2.5% 254.32 25Groupe BPCE 12 2.4% 240.57 14Euronav NV 13 2.3% 235.50 1Credit Mutuel-CIC Group 14 2.3% 231.03 2HSBC Holdings PLC 15 2.2% 222.64 15ING Groep NV 16 2.1% 209.47 31Erste Group Bank AG 17 2.0% 204.12 3Credit Suisse Group AG 18 2.0% 203.69 11WGZ Beteiligungs GmbH 19 2.0% 198.12 9VIS Finance SA 20 1.8% 184.87 21totAl (JAN. 1-mArcH 14, 2014) 59 100.0% 10,058.71 607

Sec-regiStered Structured Note iSSuerS*

2013 yeAr-to-dAte

rANk mArket SHAre

Volume uSd (mlN)

deAl couNt

DZ Bank AG 1 18.3% 717.72 18Deutsche Bank AG 2 7.5% 295.04 6Argentum Capital SA 3 7.3% 286.02 2Euronav NV 4 6.0% 235.50 1Credit Mutuel-CIC Group 5 5.9% 231.03 2Caisse des Depots et Consign. 6 5.3% 208.15 1BNP Paribas SA 7 5.1% 200.00 12WGZ Beteiligungs GmbH 8 5.0% 198.12 9Credit Agricole Groupe 9 4.3% 170.70 10Municipality Finance PLC 10 3.5% 136.16 1HSBC Holdings PLC 11 3.4% 135.00 5Banque et Caisse d'Epargne 12 3.2% 125.00 4Barclays PLC 13 2.8% 111.24 11HSH Finanzfonds AoeR 14 2.6% 103.18 6Societe Generale SA 15 2.5% 97.90 8Lloyds Banking Group PLC 16 1.9% 75.00 4VIS Finance SA 17 1.8% 71.35 5ING Groep NV 18 1.7% 65.91 7Muenchener Hypothekenbank 19 1.6% 61.57 4Groupe BPCE 20 1.5% 60.80 3totAl (JAN. 1-mArcH 14, 2014) 38 100.0% 3,925.60 143

All Asset Classes

Interest rate-Linked

equity-Linked

All Asset Classes

rANkiNgS by ASSet clASS

*Based on data compiled by Bloomberg from SeC filings.

euroPe

**Based on data compiled by Bloomberg that excludes variable-principal redemption notes.

uNited StAteS

03.20.14 www.bloombergbriefs.com Bloomberg Brief | Structured Notes 9

1 2 3 4 5 6 7 8 9 10 11 12

u.S. regiStered Structured Note uNderwriterS*

2013 yeAr-to-dAte

rANk mArket SHAre

Volume uSd (mlN)

deAl couNt

Bank of America 1 24.9% 2,226.2 70UBS 2 16.2% 1,449.9 776JPMorgan 3 14.1% 1,258.2 248Goldman Sachs 4 9.1% 815.4 120Credit Suisse 5 7.1% 631.0 108Barclays 6 6.3% 565.4 100Morgan Stanley 7 6.1% 547.1 69RBC 8 3.9% 349.9 128Citigroup 9 3.0% 268.5 43HSBC 10 2.3% 203.6 127BMO 11 1.9% 170.3 6Scotiabank 12 1.9% 168.8 10Deutsche Bank 13 1.6% 140.8 32Wells Fargo 14 0.7% 66.5 11Incapital 15 0.5% 40.3 6Toyota 16 0.2% 15.0 1Nomura 17 0.2% 14.0 2Incapital 18 0.0% 2.0 1totAl (JAN. 1-mArcH 14, 2014) 18 100.0% 8,933.0 1,858

globAl rAteS-bASed Structured Note uNderwriterS**

2013 yeAr-to-dAte

rANk mArket SHAre

Volume uSd (mlN)

deAl couNt

DZ Bank AG 1 17.3% 2,114.61 69LBBW 2 6.5% 798.84 16Societe Generale 3 6.0% 734.26 108Morgan Stanley 4 5.5% 671.96 6JP Morgan 5 5.4% 664.82 67Credit Suisse 6 5.0% 611.00 24Deutsche Bank AG 7 4.9% 604.41 22Goldman Sachs 8 4.8% 583.41 12Barclays 9 3.9% 471.86 26Credit Agricole CIB 10 3.5% 428.44 44Citigroup 11 3.1% 384.84 35UBS 12 3.1% 382.51 34BayernLB 13 2.8% 338.40 3HSBC Bank PLC 14 2.7% 332.06 17BNP Paribas Group 15 2.3% 287.06 37Standard Chartered Bank 16 2.2% 267.40 16Nomura Holdings Inc 17 2.1% 252.26 79DnB ASA 18 1.9% 235.50 1ING Groep NV 19 1.7% 209.47 31Erste Group Bank 20 1.7% 204.12 3totAl (JAN. 1-mArcH 14, 2014) 54 100.0% 12,235.97 801

investors bought $273.6 million of notes tied to equities last week in 100 deals. Three of the four largest offerings overall were linked to stocks. The two biggest deals in the category had single stock underlyings: Credit Suisse AG sold $22.9 million of one-year notes tied to delta Air Lines Inc. and Barclays Plc issued $17.6 million of one-year securities linked to Petroleo Brasileiro SA. Banks sold $123.8 million of notes tied to interest rates; callable step-ups were three of the four largest deals. Commodity-linked securities accounted for 36.3 million of volume. Barclays sold two of the three largest such notes, one for $12.1 million and the other $7.99 million, both tied to West Texas intermediate oil.

U.S. Underwriters

Global Underwriters

rANkiNgSSec-regiStered NoteS*

ASSet clASS breAkdowN

* Based on data compiled by Bloomberg from SeC filings.** Based on data submitted to Bloomberg by banks. includes eurobond issues from all nations. excludes variable-principal redemption, reverse convertibles, SeC-registered securities.

Equity, 83.8%

Rates, 9.0%

Commodity, 2.8%

Reverse Convertible,

1.6%

Rates/Equity 1.3% Other, 1.5%

Year to Date

Source: Bloomberg LP

Equity, 61.2%

Rates, 27.7%

Commodity, 8.1%

Reverse Convertible,

1.9%

Rates/Equity 1.1%

Last Week

03.20.14 www.bloombergbriefs.com Bloomberg Brief | Structured Notes 10

1 2 3 4 5 6 7 8 9 10 11 12

iSSuer bbgid trAdedAte

AmouNtiN mlNS uNderwriter tyPe term iN

moNtHS cAllAble uNderlyiNg

Scotiabank BBG0064MPSK2 12-Mar-14 $100.0 Scotiabank Rates 36 Yes callable step-upCredit Suisse BBG0063FJS16 13-Mar-14 $22.9 Bank of America Equity-Linked 12 No dalBarclays BBG0063FJS34 13-Mar-14 $17.6 Bank of America Equity-Linked 12 Yes pbrHSBC BBG0064SSCH5 14-Mar-14 $17.0 HSBC Equity-Linked 18 No mxeuBarclays BBG0064Q7TQ5 14-Mar-14 $12.1 JPMorgan Commodity 14 No wtiSEK BBG006603ZH0 11-Mar-14 $11.0 Bank of America Commodity 12 No djubstrGoldman Sachs BBG0062BN940 10-Mar-14 $10.0 Incapital Rates 120 Yes step-up callableUBS BBG00660XRB1 12-Mar-14 $10.0 UBS Equity-Linked 3 Yes bidu, tslaCitigroup BBG0065DF7K8 14-Mar-14 $9.7 UBS Equity-Linked 12 Yes gnwMorgan Stanley NA 14-Mar-14 $9.0 Morgan Stanley Equity-Linked 36 Yes mpcJPMorgan BBG00645QBS7 14-Mar-14 $8.7 JPMorgan Equity-Linked 12 Yes yelpMorgan Stanley NA 14-Mar-14 $8.5 Morgan Stanley Equity-Linked 12 Yes dalHSBC BBG0064MPS22 11-Mar-14 $8.2 HSBC Equity-Linked 42 No sx5eBarclays BBG0064Q6SM2 14-Mar-14 $8.0 JPMorgan Commodity 14 No wtiJPMorgan BBG0063F5PF2 14-Mar-14 $7.0 JPMorgan Equity-Linked 13 No xlfDeutsche Bank BBG0063JQHY8 10-Mar-14 $6.2 Deutsche Bank Equity-Linked 18 No mxeaHSBC BBG0064PVYP0 14-Mar-14 $6.2 HSBC Equity-Linked 12 Yes rig Barclays BBG00659CK85 14-Mar-14 $6.0 Barclays Equity-Linked 24 No spxJPMorgan BBG0063LD3X9 10-Mar-14 $6.0 JPMorgan Equity-Linked 48 Yes spx,rty,efaBarclays BBG0064VDVX4 14-Mar-14 $6.0 Barclays Equity-Linked 36 Yes celgMorgan Stanley NA 14-Mar-14 $5.7 Morgan Stanley Equity-Linked 30 No spxCredit Suisse BBG0064SQ145 13-Mar-14 $5.6 Credit Suisse Equity-Linked 36 No spx, sx5eJPMorgan BBG0064RND44 12-Mar-14 $5.4 JPMorgan Equity-Linked 18 No mxea. rtyGoldman Sachs NA 12-Mar-14 $5.3 Goldman Sachs Equity-Linked 13 No sx5eJPMorgan BBG0065Z4Z29 14-Mar-14 $5.2 JPMorgan Commodity 15 No cl1Scotiabank NA 10-Mar-14 $5.1 Goldman Sachs Equity-Linked 18 No mxeaCredit Suisse BBG0062B5T55 14-Mar-14 $5.1 Credit Suisse Equity-Linked 24 No mxea Barclays BBG00659BDY3 14-Mar-14 $5.0 UBS Equity-Linked 60 Yes met Morgan Stanley BBG0065XJ1M1 14-Mar-14 $5.0 Morgan Stanley Rates/Equity 120 No spx, cmsGoldman Sachs BBG0062S33N7 14-Mar-14 $4.5 Goldman Sachs Rates 180 Yes cmsBarclays BBG00659XM97 14-Mar-14 $4.3 Barclays Equity-Linked 30 No eemJPMorgan BBG00640W078 14-Mar-14 $4.1 JPMorgan Equity-Linked 36 Yes rty,sx5e, mxefBarclays BBG0064VD5Q9 14-Mar-14 $4.0 JPMorgan Equity-Linked 12 Yes gildGoldman Sachs BBG00636Y8Q6 14-Mar-14 $4.0 Incapital Rates 60 Yes callable step-upUBS NA 14-Mar-14 $3.8 UBS Equity-Linked 120 Yes sx5e, mxefRBC BBG0062RMKD1 11-Mar-14 $3.8 RBC Rates 60 No liborBarclays BBG0064Q2ZP7 12-Mar-14 $3.7 Barclays Equity-Linked 60 No xino1Barclays BBG0064Q2ZX8 14-Mar-14 $3.4 Barclays Equity-Linked 24 No spxBarclays BBG00659BH74 14-Mar-14 $3.2 UBS Equity-Linked 6 Yes f Morgan Stanley BBG0064MQYN5 10-Mar-14 $3.1 Morgan Stanley Equity-Linked 180 No spx, rty, sx5eBarclays BBG00659BN17 14-Mar-14 $3.0 UBS Equity-Linked 60 Yes celgHSBC BBG0063JHXF4 12-Mar-14 $2.8 HSBC Equity-Linked 15 Yes spx, rtyCredit Suisse BBG0063BYK60 14-Mar-14 $2.8 Credit Suisse RevCon 12 No ksuBarclays BBG00658T1W4 14-Mar-14 $2.7 Barclays Equity-Linked 24 No sdrlMorgan Stanley NA 13-Mar-14 $2.5 Morgan Stanley Equity-Linked 100 No rtyMorgan Stanley NA 13-Mar-14 $2.5 Morgan Stanley Equity-Linked 90 No spx

u.S. Sec-regiStered NoteS nOTeS SOLD OF $1 MiLLiOn Or MOre THe WeeK OF MarCH 10, 2014.

03.20.14 www.bloombergbriefs.com Bloomberg Brief | Structured Notes 11

1 2 3 4 5 6 7 8 9 10 11 12

u.s. seC RegIsteRed notes

iSSuer bbgid trAdedAte

AmouNtiN mlNS uNderwriter tyPe term iN

moNtHS cAllAble uNderlyiNg

Barclays BBG0064VDTW0 14-Mar-14 $2.4 JPMorgan Equity-Linked 12 Yes gmCredit Suisse BBG0064MN926 11-Mar-14 $2.3 Credit Suisse Equity-Linked 24 No spxGoldman Sachs BBG0065XM6J0 14-Mar-14 $2.2 Goldman Sachs Equity-Linked 12 No sx5eJPMorgan BBG0064RNCS0 11-Mar-14 $2.0 JPMorgan Equity-Linked 12 Yes trlaJPMorgan BBG0065XPJB7 13-Mar-14 $2.0 JPMorgan Equity-Linked 12 No geDeutsche Bank BBG00663XCG3 14-Mar-14 $1.9 UBS Equity-Linked 18 Yes gnwDeutsche Bank BBG00663XCM6 14-Mar-14 $1.9 UBS Equity-Linked 18 Yes hpqCitigroup BBG0065DH4M1 14-Mar-14 $1.9 UBS Equity-Linked 12 Yes cogUBS BBG0065XPVJ2 14-Mar-14 $1.8 UBS Equity-Linked 18 Yes btuGoldman Sachs BBG0065XM6G3 14-Mar-14 $1.8 Goldman Sachs Equity-Linked 18 No sx5eGoldman Sachs BBG0065XM2C6 14-Mar-14 $1.6 Goldman Sachs Equity-Linked 18 No spxGoldman Sachs BBG0063HMQH5 14-Mar-14 $1.5 Goldman Sachs Rates 180 Yes cmsJPMorgan BBG0065Z4TK3 14-Mar-14 $1.5 JPMorgan Equity-Linked 12 No tpxCredit Suisse BBG00629WHL8 14-Mar-14 $1.3 Credit Suisse Equity-Linked 30 No gdxDeutsche Bank BBG00663XCP3 14-Mar-14 $1.3 UBS Equity-Linked 18 Yes rylJPMorgan BBG0063HFCP5 10-Mar-14 $1.3 JPMorgan RevCon 12 Yes thcGoldman Sachs BBG0065XM6Z2 14-Mar-14 $1.2 Goldman Sachs Equity-Linked 12 No vz un UBS BBG0065XPVK0 14-Mar-14 $1.1 UBS Equity-Linked 18 Yes btuCredit Suisse BBG0063BWQ23 14-Mar-14 $1.0 Credit Suisse Equity-Linked 120 Yes spx, rtyJPMorgan BBG0065XPGT4 13-Mar-14 $1.0 JPMorgan Equity-Linked 12 Yes hca, thc

Currency Markets in a Post-QE World:

THE IMPACT ON THE GLOBAL ECONOMY >>>>>>>>The beginning of the end of QE begs a number of questions for investment professionals worldwide, such as:>> Is the US recovery sustainable?>> What will the impact be on the world economy and FX markets?>> Are global economies strong enough to withstand tighter money or will they contract?>> How will the fl ow of capital to and performance of emerging markets be affected?

Join Bloomberg and select industry professionals from Citi, HSBC, Morgan Stanley and Deutsche Bank to discuss the global ramifi cations of the end of cheap money.

WHEN2 April 2014, 16:00 – 18:00followed by networking reception

RSVPemail: conferences@bloomberg.netor register via BU SEMR 722958<GO>on the Bloomberg Professional® Service

WHEREBloomberg L.P.City Gate House39-45 Finsbury SquareLondon EC2A 1PQAuditorium

03.20.14 www.bloombergbriefs.com Bloomberg Brief | Structured Notes 12

Economics China Brief London (free brief)

Economics Europe Economics Asia Mergers

Hedge Funds Europe Hedge Funds Municipal Market

Financial Regulation Private Equity Leveraged Finance

Structured Notes Technical Strategies Clean Energy & Carbon

Healthcare Finance Oil Buyer’s Guide Bankruptcy & Restructuring