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Investor Presentaiton

CIBM: A Step Towards Internationalization Year Published Qualified investors ROIl program 2015 Central Banks, SWFs, Supranationals Quota No quota Products Cash bond, bond repo, bond lending, bond forward, IRS, FRA Access method to (1) PBOC as agent CIBM (2) Bond settlement bank as agent (3) Direct Participation Market Access Registration FX Onshore: Access FX as CFETS member via (1) PBOC as agent (2) FX agent bank (3) Direct Participation For FX spot, forward, swap, option Offshore: Fund transfer Expanded Fl program 2016 Banks, insurance companies, securities companies, funds and other asset management firms, as well as the investment products issued by these institutions; long term investors recognized by PBOC, such as pension funds, charity funds, endowment funds . No quota • manage the program under the "macro prudential" method • Cash bond Others: Bond repo will be allowed for RMB participating banks and clearing banks Domestic commercial banks with agency qualification Registration Via bond settlement bank Onshore: · • FX conversion with bond settlement bank Repatriation is allowed as long as outgoing FX mix (FCY vs. RMB) is within 10% of that brought in Offshore: Fund transfer QFII/RQFII 2011/2013 QFII and RQFII holder to apply CIBM access in a separate application process QFII: quota by investors • RQFII: quota by region and investors Cash bond Domestic commercial banks with agency qualification Approval RMB participating bank /RMB clearing bank 2010 RMB clearing banks Oversea RMB clearing banks with positive offshore RMB balance from RMB XB business Quota by bank Cash bond Bond repo (need NAFMII) Domestic commercial banks with agency qualification QFII: Onshore FX conversion with custodian bank Approval Offshore RMB in/outflow RQFII: • Offshore RMB in/outflow 89 H Citi®
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