EFTA01387659

Deutsche Bank Markets Research Middki) East Saudi Arabia Strategy Saudi Arabia Saudi Arabia included in FTSE Secondary EM Index Saudi Arabia expected to weigh ..:Pfx in the index, inflows of up to -.USD4 5bn expected FTSE announced that Saudi Arabia would be promoted to Secondary Emerging market status in five tranches, from Mar-2019 to Dec-2019. It expects Saudi Arabia to have an index weight within FTSE GEIS of 0.25% and 2.7% within the FTSE Emerging index. Saudi Arabia could be the 10111 largest constituent on the EM Index with an expected weightage of 3% as per the data suggested by FTSE Emerging Saudi Arabia Inclusion Index; at current market prices this could translate into USD4.5bn of inflows into the Saudi Equity market. The FTSE Saudi Arabia All Cap Index has 79 constituents and the large cap stocks are likely to attract bulk of the expected inflows; we estimate Sabic could attract some USD727m in inflows; Al Rajhi USD504m, NCB USD385m. Figure 1:FTSE Saudi Arabia stocks : potential flows of USD4.5bn CatlItaint Swim 14•Maksp i1/313 be; /4•111401:010M 54.064000 F7313 0.15D !al 1St *dr NS* lbw MO al Saab Sam InKillilna Carp 1:11wmc•14 al 0Y% 727 a Pen Betilann IfienUtieni Corn Notional Ccerirrerval Ow* SJSC Boum 36 • 034% 0.20% 504 306 Seim Sea T.Scom Co Telsairembeaceraces 45 016% 226 Swim ImancolGioup Eleks 15 015% 222 Meting Sea Anthem Mang Co.Maden 17 0.12% M6 AIMOMI CO LW Food Producers 15 0.12% 1W lived Ora Senks 11 011% 170 54.41. Elocalcity Co 853001y 23 0.00% 137 Mali Sank 114nk• 0 006% 126 Men 213 1.10% I.654 Taal 1021E kin Sant M.W. tank ME, Mabee Pitt LP Date 29 March 2018 Strategy Update 14.31,:wr Lid; 13 Kik-inn...ski Deutsche Bank AG/London Distributed on: 29/03,2018 03:12:07 GMT Deutsche Bank does and seeks to do business with companies covered in its research reports. Thus, investors should be aware that the firm may have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only a single factor in making their investment decision. DISCLOSURES AND ANALYST CERTIFICATIONS ARE LOCATED IN APPENDIX I. MCI (P) 083/04/2017. CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0090708 CONFIDENTIAL SDNY_GM_00236892 EFTA01387659