EFTA Document EFTA01876917

To: Jeffrey Epsteir l Cc: Giuffrida, David J From: Barren, Paul S Sent: Mon 7/16/2012 7:58:09 PM Subject: RE: Jeffrey Here is a sample portfolio per your request. The below portfolio has the following characteristic: Unlevered yield: 8.83% Leverage Used: 16% (borrowed at 3M Libor + 100bps) Leveraged Yield: 10.00% Leveraged Notional: 116% ($116,000,000) • Returns for DoubleLine and Blackstone GSO are purely estimates Proposed Portfolio Leveraged Weight 1-ligh Yield JPM High Yield Bond Fund Bank Preferreds/Lower Tier II Bonds RBS 7.25% Pfds Ally B Pfds Rabobank 8.40% Pfds 29 00% Yield 29.00% 6.36% 3.48% 8.50% 3.48% 7.95% 3.48% 7.85% EFTA_R1_00286583 EFTA01876917 Bank of America 8.125% Pfd GE 7.125% Pfd Emerging Markets PDVSA 5% 2015 (USD Denominated) BRL Linked Market Plus Note (8% coupon / 25% At expiry Buffer) Equity Linked Not Commodities Alternatives SP500 Linked CBEN (10% Coupon / 10% cap / 23% buffer) Apple Linked CBEN (10% coupon / 20% Cap / 20% At expiry Buffer) Starbucks Linked CBEN (11% coupon/15% cap/20% At expiry Buffer) Oil (Brent) Linked CBEN Note (13% coup/20% buff) DoubleLine Mortgage Fund Blackstone GSO Rescue Lending Fund Unleveraged Return Leveraged Gross Return Leverage Borrow using a line of credit at a rate of 1.50% Borrowed Amount 3.48% 6.60% 3.48% 5.90% 5.80% 11.75% 5.80% 8.00% 23.20% Coupon 11.60% 10.00% 5.80% 10.00% 5.80% 8.00% 5.80% Coupon 5.80% 13.00% 29.00% Estimate 17.40% 12.00% 11.60% 8.00% 8.83% 10.24% 16% EFTA_R1_00286584 EFTA01876918 Leveraged Net Return 10.00% Paul Barrett, CFA Managing Director Global Investment Opportunities Group JPMorgan Private Bank From: Jeffrey Epstein [mailtc Sent: Sunday, July 15, 2012 7:58 PM To: Barrett, Paul S Subject: I would arpeciate it if someone in your shop put together a sample portfolio of funds and products for a 100 million dollar. structured to yield about 10% The information contained in this communication is confidential, may be attorney-client privileged, may constitute inside information, and is intended only for the use of the addressee. It is the property of Jeffrey Epstein Unauthorized use, disclosure or copying of this communication or any part thereof is strictly prohibited and may be unlawful. If you have received this communication in error, please not' us immediate) by return e-mail or by e-mail t , and EFTA_R1_00286585 EFTA01876919 destroy this communication and all copies thereof, including all attachments. copyright -all rights reserved EFTA_R1_00286586 EFTA01876920