EFTA01447276

Classification: Confidential * * Prepared exclusively for Jeffrey Epstein, Key Client Partners (KCP) * * * Jeffrey - Globally you are seeing the rotation from high-beta, small cap and growth stocks into large-cap value. This is inline with your early call for us to pull out a concentrated five names. Entry point here. Instead of those single stocks, consider a 510-15mm total return swap on Cash Return On Capital Invested (CROCI) index. specifically, the CROCI sub-index focused on dividend paying/dividend-growing us equities. I've included my colleague, Joe Hall, who sits on the CROCI team and will gladly detail this stock- selection strategy with you directly at any point. Full presentation is attached, a few key points here: Achieve benefits of active valuation for passive price Bottoms-up valuation - DB CROCI Analyst team (60 people globally) assess each company in it's global universe (800 stocks) from an Economic PE* perspective, adjusting balance sheets to reconcile operating cash flow across sectors for comparable stock-valuation Quantitative selection - stocks selected each month based on the lowest price-to-operating-earnings ratio, based on their valuation metrics (above) Stock universe is ex-financials Re-sets monthly Transparent - pull up the CROCI indices on Bloomberg for mark-to-market (ex: DBUSSDUT = CROCI US Dividends) Implementation can be customized via a separately managed account (SMA) of single stocks Tax-efficient, liquid, levered exposure can be achieved via total-return swap (TRS) 10 principal indices in the CROCI family: US, UK, Japan, Germany, Euro, World, World Ex-Japan, Sectors III, Global Dividends and US Dividends CROCI Dividends targets companies with sustainable dividends AND attractive valuations (performance below and p 7 of the attached) Long only - TRS on CROCI US Dividends (DBUSSDUT): underlying: CROCI Div (DBUSSDUT) Client Pays: 3mLibor + 0.85% p.a.,x Notional compounded quarterly Client Rcvs: Notional x [Final/Initial - 1] Initial Margin: 20% Long/short us Only - Long CROCI us Dividends vs. Short s&P 500 (two swaps): underlying: CROCI Div (DBussouT) and s&P 500 (sPTR) client Pays: [SPTR Perf - (3mLibor + 0.20% p.a)] x Notional Client Rcvs: (DBUSSDUT Perf - (3mLibor + 0.80% p.a.)] x Notional Initial Margin: 20% Index Perf = [(Final/Initial - 1)] Indicative levels as of 4/8/14. source: DB GM Equity Derivatives. * (Enterprise Value/Net Capital Invested)/(Cash Return on Capital Invested) 5-Year History of CROCI US DIVIDENDS vs. S&P 500 Inedex (source: Bloomberg, as of close 4/7/14) (Embedded image moved to file: pic06002.gif) Used with permission of Bloomberg Finance LP (Embedded image moved to file: pic20567.gif) (See attached file: FINAL I-34272-1 slimCROCI 12-31-13.pdf) (Embedded image moved to file: pic2S279.gif) Tazia Smith CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0101864 CONFIDENTIAL SDNY_GM_00248048 EFTA01447276