EFTA01453130

From: Jeffrey Epstein licoacationligmaiLcomi Sent: 03/13/2014 10:15 AM AST To: Tazia Smith Subject: Re: [CI do nav trade On Thu, Mar 13, 2014 at 9:24 AM, Tazia Smith e > wrote: Classification: Confidential Jeffrey - Consider the USDRUB 1-mo binary for —25.5% (very sensitive to spot, so indicative level, we'd work an order 26% or better). vanilla calls for comparison, lmth 3% OTM vanilla call is —0.57°4/0.67% (12.4% / 13.25% vol) 2mth 4.25% OTM vanilla call is 0.96%/1.08% (12.2% / 13% vol) Nav highlights the binary below, where the payout is much cleaner. Ruble weakens 3% (european observation)in this example, and payout is SImm for $255k invested: 1-MONTH USD/RUB 3% OTM BINARY CALL costs 25.4% of payout European Digital on USD/RUB Strike: 37.55 Payout: USD 1,000,000 Payout Ccy: USD Expiry: Fri 11-Apr-2014 Settlement: Mon 14-Apr-2014 ZoneCut: MO Premium: USD 255,000 Premium Date: Fri 14-Mar-2014 This Digital pays the owner USD 1,000,000 if USDRUB is above 37.55 at the time of expiry. Tazia Smith Director Key Client Partners - US CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0110574 CONFIDENTIAL SONY GM_00255758 EFTA01453130