EFTA01854811

To: Jeffrey Eosteinfieevacation mail.com Giuffrida, David rom: Barrett, Pau Sent: Mon 9/19/2011 2:08:30 PM Subject: Update Hi Jeffrey We are long $10MR4 worth of Indian Rupee and Singapore Dollar. Both currencies have sold off recently (SGD 5% and INR 3%) since Sept V' on liquidation and position squaring. I am worried that things will get worse in the near term before recovering. So I think we switch from outright forwards into options. Our recommendation is: Unwind SGD forward and enter into a 1 month SGD call option. We are back to breakeven on this position and I do not want to go into a loss. A 1 month SGD call will cost 1.2%. If it snaps back then we are long but if the unwind continues we have no more downside exposure Unwind INR Forward. We are now down $150K on the position since inception. INR has sold off 8% since early Aug. I do think INR is cheap but remains vulnerable to worse macro news. We would recommend unwinding the forward and buying a 47.00 Call on 520MM (twice what we have on via the forward) notional. Cost around 50bps. Are you free to discuss? Paul Paul Barrett, CFA Managing Director Global Investment Opportunities Group EFTA_R1_00251313 EFTA01854811 EFTA_R1_00251314 EFTA01854812