The structured products sector in figures

First half 2014

The Factbook

Dear Reader

Figures give us a nutshell version of events – in the world of finance just as in sport. To find out who has won, you only have to look at the result. Whether you have been following the rises and falls of the markets closely or have only given them an occa-sional glance, the Factbook provides you with a concise summa-ry of important key figures on the overall market, market share and individual product classes as well as other interesting facts about the structured products market. This is all presented in the DDV’s usual clear way. After all, transparency is one of the association’s main concerns, especially for retail investors. We hope you find the Factbook an interesting and enjoyable read.

Dr Hartmut Knüppel

CEO and Member of the Board of Directors

Contents

THE STRUCTURED PRODUCTS MARKET IN GERMANY

Product classification 4

Market volume 10

Market performance 10

Market volume by product category 12

Market volume by underlying 13

Market volume by risk category 14

Market share by market volume 16

Number of investment and leverage products 19

Trading turnover by exchange 20

Exchange turnover by product category 22

Exchange turnover by underlying 23

Market share by exchange turnover 24

Performance of structured products 30

THE STRUCTURED PRODUCTS MARKET IN EUROPE

EUSIPA – the European umbrella association 35

EUSIPA Derivatives Map 36

Market volume 38

Exchange turnover 40

DEUTSCHER DERIVATE VERBAND

DDV in brief 42

Members and sponsoring members 43

Governing bodies 44

Publications 46

The Deutscher Derivate Verband (DDV), the German Derivatives Association, has launched a number of initiatives to make investment and leverage products more comprehensible and transparent. By doing so, the Association is playing an impor-tant role in the wider effort to protect retail investors. We felt it was essential to provide a clear and simple structure spanning the full range of structured products – one that retail investors could easily follow. To this end, the DDV reached agreement with its members and sponsoring members on a uniform pro-duct classification system – the Derivatives League. This gives investors an overview of the most important and most frequent-ly traded types of structured products and their main charac-teristics – from safe Uncapped Capital Protection Certificates through to more speculative Knock-Out Warrants.

The challenge – to devise a

clear and simple structure

spanning the entire range

of structured products

Product classification

the DDV Derivatives League

Investment products with capital

protection (100 percent)

Uncapped Capital Protection Certificates

With Uncapped Capital Protection Certifica-tes, the issuer promises to repay the nomi-nal amount to the investor at maturity. In addition, there is the potential for attractive returns depending on the performance of one or several underlyings.

Capital Protection Products with Coupon

Capital Protection Products with Coupon are interest-bearing securities with various additional conditions attached. The amount of interest may depend on the performance of the underlying asset. At final maturity the bonds offer 100 percent capital protection. To ensure that investors were able to

under-stand our product classification system, we decided to base it on a real-life scenario. The Derivatives League explains how dif-ferent types of structured products work by comparing the basic categories to the posi-tions of a football team, in each case reflec-ting the level of market risk involved. There are defensive and offensive positions that match the opportunity / risk profile of each structured product. That makes it easier to compare their main characteristics and the associated benefits and disadvantages or opportunities and risks.

Discount Certificates

Discount Certificates give a discount on the current price of the underlying. This discount provides a cushion against potential falls in the price of the underlying. In return, inves-tors accept a cap on profits from potential price rises, and they do not receive any dividends

Credit Linked Notes

Credit Linked Notes offer a means of inves-ting in a borrower’s credit rainves-ting. The amount of interest and the capital repayment are dependent on the borrower’s credit rating. As long as the borrower does not experience a credit event, the investor will receive inte-rest payments and, when the note matures, the nominal value. If a credit event does occur, however, the note is repaid early. In this case, interest payments cease, and the amount repaid may be significantly below the nominal value.

Reverse Convertibles

With Reverse Convertibles, interest is paid regardless of the performance of the under-lying asset. The type and the amount of the repayment at final maturity depend on whether the value of the underlying asset is equal to, above or below the strike price on the valuation date. If the value of the under-lying asset at the valuation date is at least equal to the strike price, the investor recei-ves the nominal value. If the value of the underlying asset is below the strike price, the investor receives either the value of the underlying assets or the underlying assets themselves.

Investment products without

capital protection (< 100 percent)

Express Certificates

With Express Certificates, movements in the price of the underlying are monitored at specific intervals (e. g. annually) and com-pared with the initial price. If, at one of the reference dates, the price is higher than the initial price, the investor receives the nomi-nal value of the certificate plus a predefined additional amount before the end of the term. If the price is not higher than the ini-tial price at the reference date, the process is repeated in the next period taking double the additional amount as a basis, and so on. If the price falls, a cushion generally absorbs any price falls up to a predefined value. It is only if the price falls below this predefined value that losses will arise, as they would with a direct investment in the underlying asset.

Bonus Certificates

Bonus Certificates pay a bonus amount at final maturity if the underlying does not reach or breach the specified barrier in the relevant monitoring period. The investor does not receive any dividend payments.

Tracker Certificates

Tracker Certificates offer exposure to the movements in the price of an underlying instrument. This means that with just one Tracker Certificate, investors can put their money into an asset class, sector or region, optimising and diversifying their portfolio.

Outperformance /

Capped Outperformance Certificates

With Outperformance Certificates, if the price of the underlying asset goes up, inves-tors receive a return equal to a pre-specified multiple of the return on the underlying asset. Capped Outperformance Certificates offer investors the opportunity for leveraged profit from a rise in the price of the underly-ing above the strike price within a specified range. The profit is limited by a cap. With products of this type, the investor’s expo-sure to potential losses below the strike price is limited to any loss in the underlying. There is no entitlement to a dividend.

Leverage Products with

Knock-Out

Knock-Out Warrants

Like Warrants, Knock-Out Warrants also provide leveraged exposure to rising (call) and falling (put) prices in an underlying. Knock-Out Warrants track the movements of the underlying on a one-to-one basis. This largely eliminates the impact of volatility. If the knock-out barrier is breached, investors generally lose all their invested capital.

Leverage Products without

Knock-Out

Warrants

Warrants provide leveraged exposure to rising (call) and falling (put) prices in an underlying. The price is influenced not only by movements in the underlying, but also by other factors such as volatility or the (residual) term. If the price of the underly-ing at maturity is below (call) or above (put) the strike price, investors lose their entire capital.

Constant Leverage Certificates

Constant Leverage Certificates provide leveraged exposure to both rising (long) and falling (short) prices in an underlying asset. They have no fixed term and are based on a strategy index that reflects the percen-tage daily change in the underlying using a constant factor. The size of the factor deter-mines the amount by which the strategy index leverages the daily price change in the underlying.

The Derivatives League: DDV’s product classification

With Knock-Out Without Knock-Out

Without Capital Protection (< 100 %) With Capital Protection (100 %)

INVESTMENT PRODUCTS

LEVERAGE PRODUCTS

DERIVATIVE SECURITIES

Credit Linked Notes Reverse Convertibles

Discount Certificates Bonus Certificates Outperformance / Capped Outperformance Certificates Express Certificates Tracker Certificates Warrants

Factor Certificates

Knock-Out Warrants Uncapped Capital

Protection Certificates Capital Protection Products with Coupon

Market performance

since 2004

Development of the structured products market in Germany since December 2004 (in EUR billion)

0 30 60 90 120 150 47. 5 54. 5 62. 5 75. 0 80. 0 94. 0 96. 9 106.2 110.0 126.0 136.0 139.4 135.0 128.0 125.2 110.0 80. 2 79. 9 88. 7 101.0 103.2 105.3 105.4 108.0 106.4 108.6 109.3 100.4 98. 7 101.7 100.2 96. 7 92. 6 90. 2 91. 8 95. 9 99. 8 90. 6 90. 4 D M J S D M J S D M J S D M J S D M J S D M J S DDD MM JJ SSS D 2010 2011 2012 2004 2005 2006 2007 2008 2009 S D S D M J M J M J 2013 2014

Development of the structured products volume in Germany since June 2013 (in EUR billion)

Market performance

during the course of the year

0 20 40 60 80 100 120

Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun

2014 2013

86.2 87.8 86.1 83.7 83.7 81.4

88.0 88.2 87.6 87.2 88.0 88.0 85.7

Estimate for market as a whole

Market volume for 17 issuers (16 issuers to March 2014)

90.7 92.4 90.6 93.0 93.0 90.4

92.6 92.8 92.2 91.8 92.6 92.6 90.2

Market volume by product category

in June 2014

Capital Protection Products with Coupon 49.1 % Uncapped Capital Protection Certificates 14.1 % Tracker Certificates 5.9 % Warrants 0.8 % Outperformance and Capped Outperformance Certificates 0.1 % Credit Linked Notes 5.2 %

Constant Leverage Certificates 0.3 % Discount Certificates 5.3 % Express Certificates 5.6 % Reverse Convertibles 8.4 % Other investment products without capital protection 1.1 %

Knock-Out Warrants 0.9 %

Bonus Certificates 3.2 %

Category Market volume Market volume adjusted

for price changes Number of products

€ ‘000 in % € ‘000 in % # in %

Investment Products

Uncapped Capital

Pro-tection Certificates 11,489,090 14.1 11,464,003 14.1 3,172 0.3

Capital Protection

Pro-ducts with Coupon 39,983,348 49.1 39,960,187 49.1 2,339 0.2

Credit Linked Notes 4,241,734 5.2 4,229,505 5.2 922 0.1

Reverse Convertibles 6,850,137 8.4 6,896,712 8.5 78,563 7.5 Discount Certificates 4,279,456 5.3 4,281,075 5.3 154,689 14.8 Express Certificates 4,530,932 5.6 4,545,636 5.6 4,152 0.4 Bonus Certificates 2,603,365 3.2 2,590,172 3.2 185,894 17.8 Tracker Certificates 4,812,548 5.9 4,764,890 5.8 2,393 0.2 Outperformance / Capped Outperfor-mance Certificates 94,533 0.1 94,980 0.1 900 0.1 Other investment pro ducts without capital protection 897,699 1.1 897,166 1.1 411 0.0 79,782,841 98.0 79,724,326 97.9 433,435 41.5 Leverage Products Warrants 674,615 0.8 727,269 0.9 347,136 33.2 Constant Leverage Certificates 249,830 0.3 249,541 0.3 1,463 0.1 Knock-Out Warrants 737,416 0.9 756,144 0.9 262,185 25.1 1,661,860 2.0 1,732,954 2.1 610,784 58.5 Total 81,444,702 100.0 81,457,280 100.0 1,044,219 100.0

Market volume by underlying

in June 2014

Category Market volume Market volume adjusted

for price changes Number of products

€ ‘000 in % € ‘000 in % # in % Investment Products Indices 14,340,537 18.0 14,291,953 17.9 100,959 23.3 Equities 17,750,371 22.2 17,821,891 22.4 327,072 75.5 Commodities 1,099,746 1.4 1,058,104 1.3 1,754 0.4 Currencies 102,810 0.1 102,485 0.1 61 0.0 Interest rates 45,710,618 57.3 45,674,050 57.3 3,462 0.8 Investment funds 778,759 1.0 775,844 1.0 127 0.0 79,782,841 100.0 79,724,326 100.0 433,435 100.0 Leverage Products Indices 614,260 37.0 631,540 36.4 132,121 21.6 Equities 811,472 48.8 878,079 50.7 421,012 68.9 Commodities 176,700 10.6 153,629 8.9 28,176 4.6 Currencies 39,763 2.4 44,879 2.6 27,137 4.4 Interest rates 19,192 1.2 24,380 1.4 2,311 0.4 Investment funds 474 0.0 446 0.0 27 0.0 1,661,860 100.0 1,732,954 100.0 610,784 100.0 Total 81,444,702 100.0 81,457,280 100.0 1,044,219 100.0

Investment products by underlying

Commodities 1.4 % Equities 22.2 %

Investment funds 1.0 % Currencies 0.1 % Interest rates 57.3 % Indices18.0 %

Leverage products by underlying

Currencies 2.4 % Interest rates 1.2 % Indices 37.0 %

Equities 48.8 % Commodities 10.6 %

Market volume by risk category

in June 2014

Market volume of investment and leverage products by risk category

0 20 40 60 50 30 10 80 70

Market volume in percen

t Risk category 5 Risk category 4 Risk category 3 Risk category 2 Risk category 1 May 2014 June 2014

Each structured product can be assigned to a risk category ranging from 1 (conservative) to 5 (speculative). At the end of June 2014, 95 percent of all the structured products purchased by investors were in the defen-sive risk categories 1 and 2. Their exposure to market risk is therefore lower than in the case of equities and most equity and pro-perty funds.

Sources: EDG Risk Report and DDV market statistics, 7 July 2014

Market volume by risk category

in June 2014

Comparison of risk categories for equities and equity-based structured products

0 20 40 60 50 30 10 80 70

Market volume in percen

t Risk category 5 Risk category 4 Risk category 3 Risk category 2 Risk category 1

Underlying equities Equity-based structured products

Sources: EDG Risk Report and DDV market statistics, 7 July 2014

The risk associated with many structured products is often much lower than that of the underlying equities. The EDG Risk Report charts the distribution of equity-based structured products across the different risk categories in terms of volume and compares the results with the distribution of risk for the corresponding underlyings. Over three quarters of all structured products by volume are invested in risk categories 1 and 2, while the corresponding underlyings can be found in risk categories 2 to 5.

Market share by market volume

of investment and leverage products

Deutsche Bank 18.1 % HypoVereinsbank 10.0 % Goldman Sachs 0.9 % LBBW 9.3 % Bayern LB 3.7 % HSBC Trinkaus 1.4 % UBS 2.5 % Société Générale 2.2 % RBS 2.5 % BNP Paribas 1.4 % NordLB 1.3 % WGZ BANK 1.2 % Vontobel 1.2 % Citi 0.3 %

Investment and leverage products Market share by market volume in percent

Issuer June 2014 March 2014 Difference

Deutsche Bank 18.07 17.59 0.48 Helaba 15.67 15.61 0.06 DZ BANK 14.84 14.66 0.18 Commerzbank 13.60 14.88 –1.28 HypoVereinsbank 10.02 9.99 0.03 LBBW 9.28 9.23 0.05 BayernLB 3.70 3.25 0.45 UBS 2.53 2.40 0.14 RBS 2.48 2.50 –0.02 Société Générale 2.18 2.20 –0.03 HSBC Trinkaus 1.37 1.29 0.07 BNP Paribas 1.35 1.36 –0.01 NordLB 1.29 1.29 0.00 Vontobel 1.23 1.24 –0.01 WGZ BANK 1.18 1.22 –0.04 Goldman Sachs 0.94 1.03 –0.09 Citi 0.26 0.26 0.01 Helaba 15.7 % Commerzbank 13.6 % DZ BANK 14.8 %

Deutsche Bank 18.0 % HypoVereinsbank 10.2 % WGZ BANK 1.2 % LBBW 9.5 % UBS 2.5 % BayernLB 3.8 % Société Générale 2.1 % RBS 2.5 % NordLB 1.3 % BNP Paribas 1.2 % HSBC Trinkaus 1.3 % Vontobel 1.2 % Goldman Sachs 0.9 % Citi 0.1 %

Market share by market volume

of investment products

Investment products

Market share by market volume in percent

Issuer June 2014 March 2014 Difference

Deutsche Bank 17.97 17.47 0.50 Helaba 16.00 15.95 0.05 DZ BANK 14.99 14.83 0.16 Commerzbank 13.33 14.59 –1.26 HypoVereinsbank 10.17 10.14 0.03 LBBW 9.47 9.43 0.04 BayernLB 3.78 3.32 0.46 UBS 2.49 2.34 0.15 RBS 2.45 2.48 –0.03 Société Générale 2.10 2.15 –0.05 NordLB 1.32 1.31 0.00 HSBC Trinkaus 1.26 1.19 0.07 BNP Paribas 1.24 1.25 –0.01 WGZ BANK 1.21 1.25 –0.04 Vontobel 1.18 1.17 0.00 Goldman Sachs 0.91 1.00 –0.09 Citi 0.14 0.13 0.01 Helaba 16.0 % Commerzbank13.3 % DZ BANK15.0 %

Market share by market volume

of leverage products

Leverage products

Market share by market volume in percent

Issuer June 2014 March 2014 Difference

Commerzbank 26.20 28.27 –2.07 Deutsche Bank 22.90 22.94 –0.04 DZ BANK 7.97 7.03 0.94 BNP Paribas 6.54 6.45 0.10 HSBC Trinkaus 6.39 5.83 0.55 Citi 6.24 6.37 –0.13 Société Générale 6.04 4.86 1.17 UBS 4.75 5.13 –0.38 RBS 3.78 3.37 0.41 Vontobel 3.67 4.15 –0.47 HypoVereinsbank 3.03 3.13 –0.09 Goldman Sachs 2.48 2.47 0.01 LBBW 0.00 0.00 0.00 Helaba 0.00 0.00 0.00 WGZ BANK 0.00 0.00 0.00 BayernLB 0.00 0.00 0.00 NordLB 0.00 0.00 0.00 Commerzbank 26.2 % BNP Paribas 6.5 % Société Générale 6.0 % UBS 4.8 % Citi 6.2 % RBS 3.8 % HypoVereinsbank 3.0 % Goldman Sachs 2.5 % HSBC Trinkaus 6.4 % Deutsche Bank 22.9 % DZ BANK 8.0 % Vontobel 3.7 %

Number of investment and leverage products

Month

Structured investment products Structured leverage products

Total with capital protection without capital protection without knock-out _knock-outwith

Uncapped Capital Protection Certificates Capital Protection Products with Coupon Credit Linked Notes Reverse

Converti-bles CertificatesDiscount CertificatesExpress CertificatesBonus CertificatesTracker

Outper-formance / Capped Out-performance Certificates Warrants Constant Leverage

Certifi-cates Knock-Out Warrants

Jun 2013 3,033 471 – 57,664 173,287 2,249 183,307 4,455 1,917 339,943 1,308 220,816 988,450 Jul 2013 2,993 471 – 59,305 181,217 2,252 184,075 4,458 1,897 355,629 1,317 235,839 1,029,453 Aug 2013 2,965 472 – 63,285 189,638 2,216 198,278 4,512 1,967 369,411 1,330 247,271 1,081,345 Sep 2013 2,957 474 – 61,015 179,170 2,211 181,341 4,500 1,836 339,226 1,388 239,668 1,013,786 Oct 2013 2,944 477 – 65,672 186,199 2,168 202,326 4,360 2,101 370,264 1,422 256,453 1,094,386 Nov 2013 2,921 481 – 71,861 191,773 2,140 217,313 4,154 3,108 381,910 1,422 270,879 1,147,962 Dec 2013 2,907 483 677 65,839 170,984 2,112 201,364 4,123 2,455 337,928 1,439 253,327 1,043,638 Jan 2014 2,753 478 699 73,819 186,154 1,899 230,888 3,892 2,661 393,409 1,438 269,908 1,167,998 Feb 2014 2,751 476 740 78,736 189,075 1,948 238,994 4,091 2,657 399,198 1,504 285,133 1,205,303 Mar 2014 2,787 473 761 75,146 169,850 1,946 224,447 4,097 2,561 359,687 1,685 274,641 1,118,081 Apr 2014 2,773 467 785 79,862 178,041 2,074 236,038 4,115 2,563 371,621 2,011 280,891 1,161,241 May 2014 2,751 468 827 83,169 180,648 2,141 242,862 4,167 2,901 379,554 2,300 289,322 1,191,110 Jun 2014 2,710 466 852 74,463 163,658 1,953 214,323 4,207 2,138 346,579 2,569 282,161 1,096,079 Jun 2014 3,176 461,594 349,148 282,161 1,096,079 464,770 631,309

Number of products from June 2013 to June 2014

Trading turnover

by exchange

Trading turnover June 2012 to June 2014

Stuttgart Exchange Frankfurt Exchange Stuttgart Exchange Frankfurt Exchange

€ ‘000 Number of orders € ‘000 Number of orders € ‘000 Number of orders € ‘000 Number of orders

June 2012 2,369,700 231,136 1,357,746 136,741 June 2013 2,243,048 248,000 1,214,094 155,472 July 2012 2,434,317 234,458 1,251,315 139,378 July 2013 2,011,090 230,461 1,114,077 149,608 August 2012 2,479,357 230,738 1,270,639 136,799 August 2013 2,193,804 233,696 1,225,708 155,416 September 2012 2,476,875 229,251 1,434,006 137,431 September 2013 2,102,638 216,459 1,215,648 147,109 October 2012 2,175,277 217,803 1,175,614 133,572 October 2013 2,441,821 238,327 1,332,606 158,821 November 2012 2,192,736 223,541 1,232,204 138,550 November 2013 2,486,982 227,367 1,271,403 153,708 December 2012 1,715,464 166,969 955,361 106,408 December 2013 2,173,247 205,284 1,215,286 148,757 January 2013 2,628,399 249,887 1,543,849 163,871 January 2014 3,127,427 303,403 1,748,646 221,300 February 2013 2,468,804 249,237 1,311,727 163,300 February 2014 2,343,479 247,275 1,415,885 184,142 March 2013 2,242,824 235,696 1,237,943 151,937 March 2014 2,524,984 278,708 1,577,497 205,275 April 2013 2,472,618 246,856 1,400,963 158,601 April 2014 2,232,227 235,110 1,202,752 154,055 May 2013 2,504,656 254,557 1,476,337 172,268 May 2014 2,093,811 214,100 1,078,870 130,597 June 2013 2,243,048 248,000 1,214,094 155,472 June 2014 1,950,730 191,928 1,009,364 115,285

0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 3,500,000 4,000,000 4,500,000 5,000,000 2012 ‘13 ‘12 ‘13 ‘12 ‘13 ‘12 ‘13 ‘12 ‘13 ‘12 ‘13 ‘12 ‘13 ‘13 ‘14 ‘13 ‘14 ‘13 ‘14 ‘13 ‘14 ‘13 ‘14 ‘13 ‘14 J F M A M J J J A S O N D in € ‘000

Stuttgart Exchange 2012 to 2013 Stuttgart Exchange 2013 to 2014 Frankfurt Exchange 2012 to 2013 Frankfurt Exchange 2013 to 2014

Tracker Certificates 8.4 %

Exchange turnover by product category

from January to June 2014

Category Total exchange turnover Change on July to December 2013 Market

share Number of orders on July to Change December 2013 Market share € ‘000 % % € ‘000 % % Investment Products Uncapped Capital Protection Certificates 326,232 –10.9 1.5 16,488 –14.1 0.7 Capital Protection Pro ducts with Coupon

542,011 41.2 2.4 27,531 32.6 1.1

Credit Linked Notes 115,449 – 0.5 5,042 – 0.2

Reverse Convertibles 1,203,659 – 30.8 5.4 68,584 – 5.6 2.8 Discount Certificates 4,110,681 11.8 18.4 111,513 1.3 4.5 Express Certificates 439,155 – 22.7 2.0 21,951 –19.1 0.9 Bonus Certificates 3,022,835 –10.0 13.6 109,917 – 7.3 4.4 Tracker Certificates 1,880,846 – 20.6 8.4 116,821 – 32.1 4.7 Outperformance / Capped Outperfor-mance Certificates 86,116 8.6 0.4 2,917 –14.7 0.1 11,726,984 – 6.7 52.6 480,764 –11.9 19.4 Leverage Products Warrants 3,111,720 6.8 13.9 607,776 6.8 24.5 Constant Leverage Certificates 1,382,974 305.6 6.2 123,882 260.4 5.0 Knock-Out Warrants 6,085,962 21.3 27.3 1,268,861 13.4 51.1 10,580,656 27.9 47.4 2,000,519 16.1 80.6

Total 22,307,640 7.0 100.0 2,481,283 9.4 100.0 _{Warrants 13.9 % Discount Certificates 18.4 %}

Bonus Certificates 13.6 % Capital Protection Products with Coupon 2.4 % Reverse Convertibles 5.4 % Faktor Certificates 6.2 % Express Certificates 2.0 % Uncapped Capital

Protection Certificates 1.5 % Credit Linked Notes 0.5 %

Knock-Out Warrants 27.3 % Outperformance / Capped Outperfor-mance Certificates 0.4 %

Exchange turnover by underlying

from January to June 2014

Category Total exchange turnover Change on July to

December 2013 Market share

€ ‘000 % % Investment Products Indices 5,014,910 –18.5 42.8 Equities 5,632,283 0.8 48.0 Commodities 281,847 0.6 2.4 Currencies 5,304 9.4 0.0 Interest rates 255,050 – 22.2 2.2 Investment funds 44,550 13.1 0.4 Other 493,041 170.8 4.2 11,726,984 – 6.7 100.0 Leverage Products Indices 6,819,592 47.0 64.5 Equities 3,070,303 7.5 29.0 Commodities 424,751 – 6.0 4.0 Currencies 188,071 –23.4 1.8 Interest rates 70,480 – 7.6 0.7 Investment funds 392 162.1 0.0 Other 7,065 179.6 0.1 10,580,656 27.9 100.0 Total 22,307,640 7.0 100.0

Investment products by underlying

Commodities 2.4 % Indices 42.8 % Investment funds 0.4 % Interest rates 2.2 % Equities 48.0 % Other 4.2 %

Leverage products by underlying

Currencies 1.8 % Interest rates 0.7 % Equities 29.0 %

Indices 64.5 % Other 0.1 % Commodities 4.0 %

Market share by exchange turnover

of investment and leverage products

Issuer Exchange turnover

First half of 2014 Exchange turnoverFirst half of 2013 € ‘000 Market share in % € ‘000 Market share in % Diffe-rence in % 1 Deutsche Bank 6,007,319 26.9 6,214,306 27.3 – 0.4 2 Commerzbank 4,421,159 19.8 4,083,910 18.0 1.8 3 DZ BANK 1,679,580 7.5 1,796,125 7.9 – 0.4 4 BNP Paribas 1,655,896 7.4 1,540,878 6.8 0.6 5 UBS 1,234,420 5.5 1,410,458 6.2 – 0.7 6 HSBC Trinkaus 1,096,540 4.9 846,223 3.7 1.2 7 Citigroup 1,092,308 4.9 889,307 3.9 1.0 8 Vontobel 1,052,597 4.7 911,612 4.0 0.7 9 RBS 753,169 3.4 1,034,084 4.5 –1.1 10 Goldman Sachs 669,835 3.0 1,239,507 5.4 – 2.4 11 HVB / Unicredit 664,791 3.0 667,081 2.9 0.1 12 Société Générale 615,360 2.8 721,762 3.2 – 0.4 13 LBBW 409,423 1.8 399,133 1.8 0.0

14 Lang und Schwarz 190,827 0.9 81,639 0.4 0.5

15 Helaba 143,092 0.6 125,743 0.6 0.0 16 LBB 111,171 0.5 230,397 1.0 – 0.5 17 ING Bank 95,431 0.4 64,679 0.3 0.1 18 Credit Suisse 72,881 0.3 93,721 0.4 – 0.1 19 Deka Bank 52,720 0.2 14,964 0.1 0.1 20 Raiffeisen Centrobank 45,830 0.2 39,557 0.2 0.0

Issuer Exchange turnover

First half of 2014 Exchange turnover First half of 2013 € ‘000 Market share in % € ‘000 Market share in % Diffe-rence in % 21 WGZ BANK 30,369 0.1 49,202 0.2 – 0.1 22 BayernLB 25,873 0.1 21,775 0.1 0.0 23 Merrill Lynch 21,465 0.1 7,788 0.0 0.1 24 Barclays 18,273 0.1 75,106 0.3 – 0.2 25 Leonteq 18,081 0.1 26,638 0.1 0.0 26 Erste Bank 17,298 0.1 9,159 0.0 0.1 27 ETI Securities 16,912 0.1 0 0.0 0.1 28 Morgan Stanley 13,647 0.1 19,767 0.1 0.0 29 SecurAsset 12,499 0.1 2,914 0.0 0.1 30 Santander GBM 11,092 0.0 21,592 0.1 – 0.1 31 Erste Abwicklung 10,685 0.0 706 0.0 0.0 32 Interactive Brokers 9,396 0.0 14,476 0.1 – 0.1 33 SEB 6,663 0.0 10,745 0.0 0.0 34 JP Morgan Chase 5,143 0.0 4,133 0.0 0.0 35 DWS GO 4,847 0.0 10,036 0.0 0.0 36 Goldstein Structured Products 4,344 0.0 0 0.0 0.0 37 Own issue 3,679 0.0 13,165 0.1 – 0.1 38 AGV 3,419 0.0 582 0.0 0.0 Other issuers 9,608 0.0 52,393 0.2 – 0.2 Total 22,307,640 100.0 22,745,264 100.0

Deutsche Bank was ranked first in terms of exchange turnover. Commerzbank followed in second place. DZ BANK occupied third place. BNP Paribas came fourth, and UBS fifth. These five issuers together accounted for two-thirds of the exchange turnover for the first half of the year.

DZ BANK 7.5 % Citigroup 4.9 % BNP Paribas 7.4 % RBS 3.4 % Goldman Sachs 3.0 % HVB / Unicredit 3.0 % HSBC Trinkaus 4.9 % Vontobel 4.7 % Société Générale 2.8 % Other issuers 2.3 % Deutsche Bank 26.9 % LBB 0.5 % Lang und Schwarz 0.9 % Helaba 0.6 %

UBS 5.5 % _{Commerzbank 19.8 %} LBBW 1.8 %

Market share by exchange turnover

of investment products

Issuer Exchange turnover first half of 2014 Exchange turnover first half of 2013

€ ‘000 Market share

in % € ‘000 Market share in % Differencein %

1 Deutsche Bank 3,264,039 27.8 4,259,727 30.5 – 2.7 2 Commerzbank 1,793,057 15.3 2,163,886 15.5 – 0.2 3 DZ BANK 1,068,029 9.1 1,255,776 9.0 0.1 4 BNP Paribas 1,003,314 8.6 846,806 6.1 2.5 5 HSBC Trinkaus 644,929 5.5 485,154 3.5 2.0 6 Vontobel 588,782 5.0 550,168 3.9 1.1 7 UBS 587,007 5.0 717,477 5.1 – 0.1 8 Goldman Sachs 480,180 4.1 1,041,109 7.5 – 3.4 9 Société Générale 425,647 3.6 485,752 3.5 0.1 10 LBBW 409,423 3.5 399,133 2.9 0.6 11 HVB / Unicredit 308,234 2.6 328,117 2.4 0.2 12 RBS 286,249 2.4 513,946 3.7 –1.3 13 Helaba 143,092 1.2 125,704 0.9 0.3 14 Citigroup 126,827 1.1 87,582 0.6 0.5 15 LBB 111,171 0.9 214,596 1.5 – 0.6

16 Lang und Schwarz 103,031 0.9 22,570 0.2 0.7

17 Credit Suisse 72,881 0.6 93,721 0.7 – 0.1 18 Deka Bank 52,720 0.4 14,964 0.1 0.3 19 Raiffeisen Centrobank 33,177 0.3 31,094 0.2 0.1 20 WGZ BANK 30,369 0.3 49,202 0.4 – 0.1 Other issuers 194,825 1.7 260,829 1.9 – 0.2 Total 11,726,984 100.0 13,947,316 100.0

DZ BANK 9.1 % BNP Paribas 8.6 % Vontobel 5.0 % UBS 5.0 % Other issuers 1.7 % Deutsche Bank 27.8 % Raiffeisen Centrobank 0.3 % Credit Suisse 0.6 % Citigroup 1.1 % WGZ BANK 0.3 % HSBC Trinkaus 5.5 % _{Commerzbank 15.3 %} Société Générale 3.6 % Goldman Sachs 4.1 % LBBW 3.5 % HVB / Unicredit 2.6 % RBS 2.4 %

Helaba 1.2 % Deka Bank 0.4 % Lang und Schwarz 0.9 % LBB 0.9 %

Market share by exchange turnover

of leverage products

Issuer Exchange turnover First half of 2014 Exchange turnover First half of 2013

€ ‘000 Market share

in % € ‘000 Market share in % Difference in %

1 Deutsche Bank 2,743,280 25.9 1,954,579 22.2 3.7 2 Commerzbank 2,628,102 24.8 1,920,023 21.8 3.0 3 Citigroup 965,481 9.1 801,725 9.1 0.0 4 BNP Paribas 652,581 6.2 694,071 7.9 –1.7 5 UBS 647,413 6.1 692,980 7.9 –1.8 6 DZ BANK 611,551 5.8 540,349 6.1 – 0.3 7 RBS 466,920 4.4 520,138 5.9 –1.5 8 Vontobel 463,815 4.4 361,445 4.1 0.3 9 HSBC Trinkaus 451,611 4.3 361,069 4.1 0.2 10 HVB / Unicredit 356,557 3.4 338,963 3.9 – 0.5 11 Société Générale 189,712 1.8 236,010 2.7 – 0.9 12 Goldman Sachs 189,655 1.8 198,398 2.3 – 0.5 13 ING Bank 91,228 0.9 60,104 0.7 0.2

14 Lang und Schwarz 87,796 0.8 59,069 0.7 0.1

15 Raiffeisen Centrobank 12,653 0.1 8,463 0.1 0.0 16 Interactive Brokers 9,396 0.1 14,465 0.2 – 0.1 17 Erste Bank 7,353 0.1 2,884 0.0 0.1 18 Eigenemission 3,679 0.0 13,165 0.1 – 0.1 19 Barclays Bank 1,872 0.0 4,157 0.0 0.0 20 Leonteq 1.4 0.0 0,5 0.0 0.0 Other issuers 0.01 0.0 15,891 0.2 – 0.2 Total 10,580,656 100.0 8,797,948 100.0

Citigroup 9.1 % BNP Paribas 6.2 % DZ BANK 5.8 % Erste Bank 0.1 % Deutsche Bank 25.9 % Raiffeisen Centrobank 0.1 % Interactive Brokers 0.1 % UBS 6.1 % _{Commerzbank 24.8 %} Lang und Schwarz 0.8 %

HSBC Trinkaus 4.3 % Vontobel 4.4 % HVB / Unicredit 3.4 % Société Générale 1.8 % Goldman Sachs 1.8 % RBS 4.4 % ING Bank 0.9 %

Performance of structured products

The Deutscher Derivate Verband (DDV), the German Derivatives Association, supports the initiative of the European Derivatives Group (EDG AG) to publish indices for Uncapped Capital Protec-tion Certificates, Bonus Certificates and Reverse Convertibles. The indices show the average performance of popular categories of structured products using a representative selection of prod-ucts, so allowing direct comparisons with the performance of other financial products. This gives investors a transparent meas-ure of how a particular type of structmeas-ured product has performed in comparison to a direct investment. The movements of the indi-ces for the various structured product categories in the first half of 2014 are shown alongside the EURO STOXX 50 equity index for comparison. This stock index is the most popular underlying in terms of the number of customer orders and volumes invested.

Performance of Uncapped Capital Protection Certificates

Retail investors who invest in Uncapped Cap-ital Protection Certificates can rest assured that they are always on safe ground. Whether the underlying goes up or down, these more defensive investors will at least receive their original sum back at maturity.

Since it was launched in 2006, the Capital Protection Index has performed conside-rably better than the EURO STOXX 50, with an annual return of 3.25 percent as com-pared with minus 1.29 percent.

Source: EDG

All indices for the various categories of structured products are protected by copyright. They may not be duplicated, distributed, reprinted or circulated in any other way without the express written permission of the EDG.

Capital Protection Index

850 900 950 1,000 1,050 1,100 1,150 Price (inde xed) 2014

EURO STOXX 50 Capital Protection Index

January February March April May June July

Performance of Reverse Convertibles

Regular interest payments on Reverse Con-vertibles ensure that investors continue to receive a steady income even in times of poor stock market performance. They also cushion any losses. However, investors only profit to a limited extent from upward move-ments in the equity markets; if the reference price is equal to or exceeds the strike price, the investor receives the nominal amount at maturity.

Since it was launched in January 2009, the Reverse Convertibles Index has achieved an annual return of 5.74 percent, while over the same period the EURO STOXX 50 achieved an annual return of 4.49 percent.

Reverse Convertibles Index

850 900 950 1,000 1,050 1,100 1,150 Price (inde xed) 2014

January February March April May June July

EURO STOXX 50 Reverse Convertibles Index

Source: EDG

Performance of Bonus Certificates

Bonus Certificates show their strengths mainly when the price of the underlying moves sideways or rises or falls only slightly. However, if the underlying rises very sharply they cannot generally keep up with its price trend.

Since it was launched in January 2006, the Bonus Index has generated an average annual return of 1.93 percent. In the same period, the EURO STOXX 50 recorded a loss of 1.29 percent.

Bonus Index

850 900 950 1,000 1,050 1,100 1,150 Price (inde xed) 2014

EURO STOXX 50 Bonus Index

January February March April May June July

Source: EDG

As an investment class, structured products are a very recent phenomenon. Europe’s first-ever structured product was a Tracker Certificate based on the DAX, the German blue-chip equities index. It was issued in Germany in 1990. Therefore, it should come as no surprise that the German structured products market is one of the biggest in Europe alongside the Swiss structured products market. The volume of structured products bought by investors is increasing in other countries, too, especially in Austria, Italy, France and Sweden. The respec-tive associations in these countries also belong to the European Structured Investment Products Association (EUSIPA), the sector’s European umbrella organisation.

The structured products

market in Europe

EUSIPA

– the European umbrella association

The European Structured Investment Pro-ducts Association (EUSIPA) acts as the voice of the structured products sector in Europe. Its main focus is on structured securities such as certificates and warrants. EUSIPA works to bring about an attractive and fair regulatory framework for these financial products.

The European umbrella association main-tains close links with European policymakers and European securities regulators on every aspect of structured products. It provides expert advice and opinions. EUSIPA responds to initiatives of the European Parliament and regulatory proposals of the Commission. It sets out the sector’s position on all issues that could have a significant impact on the European structured products sector.

EUROPEAN STRUCTURED INVESTMENT PRODUCTS ASSOCIATION

SE

TIPA

Swedish Exchange Traded Investment Products Association

Board of Directors

Reinhard Bellet President of EUSIPA Roger Studer Vice-President of EUSIPA Walther Almquist SETIPA Jan Erftemeijer NEDSIPA Thibault Gobert AFPDB Dr Hartmut Knüppel DDV Dario Savoia ACEPI Jürg Stähelin SVSP Frank Weingarts ZFA

General Assembly

Walther Almquist SETIPA

Mag. Heike-Dietlind Arbter ZFA Jan Erftemeijer NEDSIPA Thibault Gobert AFPDB Klaus Oppermann DDV Dario Savoia ACEPI Roger Studer SVSP

Secretary General

Thomas Wulf, EUSIPA The structured products market in Europe | EUSIPA 35

EUSIPA Derivatives Map

Europe’s structured products sector associations have reached agreement on a joint system for classifying and numbering structured invest-ment products and leverage products. The result of this consultation is the EUSIPA Derivatives Map. Although the map is rather more detailed than the German Derivatives League, the main categories of the league nevertheless match those of the European product classification system.

Europe Austria France Germany Italy Sweden Switzerland

1 Investment Products 1 Anlageprodukte 1 Prod. D'investissement 1 Anlageprodukte 1 Prodotti di investimento 1 Investeringsprodukter 1 Anlageprodukte

11 Capital Protection

Products 11 Anlageprodukte mit Kapitalschutz 11 Prod. à Capital Garanti à l’échéance 11 Anlageprodukte mit Kapitalschutz 11 Prodotti a capitale protetto 11 Kapitalskyddade produkter 11 Kapitalschutz

1100 Uncapped Capital

Protection 1100 Kapitalschutz Zertifikate 1100 Capital Garanti 1100 Kapitalschutz Zertifikate 1100 Equity protection senza cap 1100 Kapitalskydd utan maxnivå 1100 Kapitalschutz-Zertifikat mit Partizipation

1110 Exchangeable Certificates 1110 Wandel-Zertifikat

1120 Capped Capital Protected 1120 Equity protection con cap 1120 Kapitalskydd med maxnivå 1200Discount-Zertifikat

1130 Capital Protection with

Knock-Out 1130 Kapitalskydd med knock-out 1130 Kapitalschutz mit Knock-Out

1140 Capital protection with

Coupon 1140 Strukturierte Anleihen 1140 Kapitalskydd med kupong 1140 Kapitalschutz-Zertifikat mit Coupon

1199 Miscellaneous Capital

Protection 1199 Weitere Anlageprodukte mit Kapitalschutz 1199 Autres produits à Capi-tal Garanti à l’échéance 1199 Weitere Anlageprodukte mit Kapitalschutz 1199 Altri prodotti a capitale protetto 1199 Blandade Kapital-skyddade produkter 1199 Weitere Kapitalschutz-Zertifikate

12 Yield Enhancement

Products 12 Anlageprodukte ohne Kapitalschutz 12 Produits de Rendement 12 Anlageprodukte ohne Kapitalschutz 12 Prodotti a capitale non protetto e condiz. prot. 12 Avkastningsförbättrande instrument 12 Renditeoptimierung

1200 Discount Certificates 1200 Discount-Zertifikate 1200 Discount 1200 Discount-Zertifikate 1200 Discount 1200 Maxcertifikat 1200 Discount-Zertifikat

1210 Barrier Discount

Certificates 1210 Discount-Zertifikat mit Barriere

1220 Reverse Convertibles 1220 Aktienanleihen 1220 Reverse Convertibles 1220 Aktien- / Indexanleihen 1220 Omvänd konvertibel 1220 Reverse Convertible

1230 Barrier Reverse

Convertibles 1230 Reverse Convertibles knock-in 1230 Autokupong / Omvänd konvertibel med barriär 1230 Barrier Reverse Convertible

1240 Capped Outperformance

Certificates 1240 Sprint 1240 Sprint-Zertifikate 1240 Outperformance con cap

1250 Capped Bonus

Certificates 1250 Bonus Cappés 1250 Bonus con cap

1260 Express Certificates 1260 Express-Zertifikate 1260 Express-Zertifikate 1260 Express 1260 Autocall /

Express-certifikat 1260 Express-Zertifikat 1299 Miscellaneous Yield

Enhancement 1299 Autres produits de Rendement 1299 Blandade avkastnings-förbättrande instrument1299 Weitere Rendite-optimierungs-Zertifikate

Europe Austria France Germany Italy Sweden Switzerland

13 Participation Products 13 Produits de Participation 13 Deltagandeinstrument 13 Partizipation

1300 Tracker Certificates 1300 Index- /

Partizipations-Zertifikate 1300 100 % (1301 100 % Bear) 1300 Index- / Partizipations-Zertifikate 1300 Benchmark 1300 Trackercertifikat 1300 Tracker-Zertifikat

1310 Outperformance Certificates1310

Outperformance-Zertifikate 1310 Outperformance-Zertifikate 1310 Outperformance senza cap 1310 Tillväxtcertifikat 1310 Outperformance-Zertifikat

1320 Bonus Certificates 1320 Bonus-Zertifikate 1320 Bonus 1320 Bonus-Zertifikate 1320 Bonus senza cap 1320 Bonuscertifikat 1320 Bonus-Zertifikat

1330 Outperformance

Bonus Certificates 1310 Bonus-Outperformance-Zertifikat

1340 Twin-Win Certificates 1340 Twin Win 1340 Twin Win 1340 Winwincertifikat 1340 Twin-Win-Zertifikat

1399 Miscellaneous

Participation 1399 Weitere Anlageprodukte ohne Kapitalschutz 13 Autres produits de participation 1399 Weitere Anlageprodukte oh. Kapitalschutz (< 100 %)1399 Altri prodotti a cap non protetto e condiz. prot. 1399 Blandade deltagande-instrument 1399 Weitere Partizipations-Zertifikate

2 Leverage Products 2 Hebelprodukte 2 Prod. à effet de levier 2 Hebelprodukte 2 Prodotti a leva 2 Hävstångsinstrument 2 Hebelprodukte

21 Leverage Products

without Knock-Out 21 Hebelprodukte ohne Knock-Out 21 Sans barrière désactivante 21 Hebelprodukte ohne Knock-Out 21 Prodotti a leva senza knock-out 21 Hävstångsinstrument utan stopp-loss

2100 Warrants 2100 Optionsscheine 2100 Warrants 2100 Optionsscheine 2100 Covered warrant 2100 Warranter 2100 Warrant

2110 Spread Warrants 2110 Cappés & Floorés 2110 Spread warrant 2110 Spread Warrant

2199 Miscellaneous Leverage without Knock-Out

2199 Weitere Hebelprodukte ohne Knock-Out

2199 Autres prod. de levier sans barrière désactivante

2199 Weitere Hebelprodukte ohne Knock-Out

2199 Altri prodotti a leva senza knock-out

2199 Blandade hävstångs-inst. utan stopp-loss 22 Leverage Products

with Knock-Out 22 Hebelprodukte mit Knock-Out 22 Avec barrière désactivante 22 Hebelprodukte mit Knock-Out 22 Prodotti a leva con knock-out 22 Hävstångsinstrumentmed stopp-loss

2200 Knock-Out Warrants 2200 Knock-Out Produkte 2200 Turbos 2200 Knock-Out Produkte 2200 Turbo 2200 Knock-Out warranter 2200 Warrant mit Knock-Out

2210 Mini-Futures 2210 Turbos illimités / infinis 2100 Mini future 2100 Mini Future 2100 Mini-Future

2230 Double Knock-Out Warrants 2230 Stability Warrants 2299 Miscellaneous Leverage with Knock-Out 2299 Weitere Hebelprodukte mit Knock-Out 2299 Autres produits de levier avec barrière

2299 Weitere Hebelprodukte mit Knock-Out

2299 Altri prodotti a leva con knock-out

2299 Blandade hävstångs-inst. med stopp-loss 23 Constant Leverage

Products 23 Produkte mit konstantem Hebel 23 Prod. à effet de levier constant 23 Produkte mit konstantem Hebel 23 Instrument med konstant hävstång

2300 Constant Leverage Certificate

2300 Faktor-Zertifikate 2300 Leverages & Shorts 2300 Faktor-Zertifikate 2300 Bull & Bear Certifikat 2300 Constant Leverage-Zertifikat 2399 Miscellaneous Constant

Leverage Products

2399 Weitere Produkte mit konstantem Hebel

2399 Autres produits à effet de levier constant

2399 Weitere Produkte mit konstantem Hebel

2399 Blandade instrument med konstant hävstång

2099 Weitere Hebelprodukte

Market volume

in Europe according to EUSIPA classification

Investment and leverage products by product category in June 2014 (in EUR million)

Germany Austria Switzerland EUSIPA

1 Investment Products 11 Capital Protection 51,472 44,346 12 Yield Enhancement 15,661 57,916 13 Participation 7,511 41,493 199 Various 5,139 2,880 79,783 12,400 146,635 238,818 2 Leverage Products 21 without Knock-Out 675 22 with Knock-Out 737 23 Constant Leverage 250 299 Various 1,662 88 11,171 12,920 Total 81,445 12,488 157,806 251,738

In Germany, Austria and Switzerland the outstanding volume at the end of June 2014 was EUR 251.7 billion. The market volume of investment products at the end of the second quarter of 2014 was EUR 238.8 billion, while EUR 12.9 billion was invested in leve-rage products.

Investment products by quarter (in EUR million)

Leverage products by quarter (in EUR million )

Market volume

in Europe by country and quarter

2013 2014 Q2 Q3 Q4 Q1 Q2 Austria 12,900 12,600 12,500 12,300 12,400 Germany 86,886 85,877 84,196 84,512 79,783 Switzerland 124,871 120,774 137,965 141,619 146,635 Total 224,658 219,251 234,661 238,430 238,818 0 50,000 100,000 150,000 200,000 250,000 2013 2014 Q2 Q3 Q4 Q1 Q2 78 89 88 87 88 1,154 1,287 1,497 1,581 1,662 12,102 6,754 11,820 10,712 11,171 13,333 8,129 13,405 12,380 12,920 0 5,000 2,500 7,500 10,000 12,500 15,000

Exchange turnover in Europe

according to EUSIPA classification

Exchange turnover in Europe from January to June 2014 (in EUR million)

Germany France Italy Netherlands Austria Sweden Switzerland EUSIPA

1 Investment Products 11 Capital Protection 868 28 646 12 Yield Enhancement 5,754 103.45 1,823 13 Participation 4,990 89.90 3,964 199 Various 115 155 11,727 223 2,403 16 108 1,201 6,590 22,267 2 Leverage Products 21 without Knock-Out 3,112 680 3 106 22 with Knock-Out 6,086 1,204 7 764 23 Constant Leverage 1,383 963 2,395 299 Various 73 10,581 2,847 10,569 4,764 10 3,338 5,440 37,549 Total 22,308 3,069 12,972 4,780 118 4,539 12,030 59,815

2013 2014 Q2 Q3 Q4 Q1 Q2 H1 Netherlands 8 7 9 10 6 16 Austria 55 41 52 61 47 108 France 115 123 115 135 88 223 Italy 999 861 1,185 1,162 1,241 2,403 Sweden 532 394 545 685 516 1,201 Switzerland 4,446 2,615 2,745 4,272 2,318 6,590 Germany 6,858 6,057 6,519 6,559 5,167 11,726 Total 13,013 10,098 11,169 12,884 9,383 22,266 2013 2014 Q2 Q3 Q4 Q1 Q2 H1 2,195 1,943 1,947 2,682 2,082 4,764 6 3 4 6 4 10 1,564 1,507 1,459 1,616 1,231 2,847 3,263 2,934 3,557 5,185 5,384 10,569 1,410 1,303 1,451 1,841 1,497 3,338 3,355 2,558 2,593 3,015 2,425 5,440 4,454 3,806 4,465 6,180 4,400 10,580 16,247 14,055 15,476 20,526 17,023 37,548

Investment products by quarter (in EUR million)

Leverage products by quarter (in EUR million)

Exchange turnover

in Europe by country and quarter

0 3,000 6,000 9,000 12,000 15,000 0 5,000 10,000 25,000 20,000 15,000

DDV in brief

The Deutscher Derivate Verband (DDV), the German Derivatives Association, is the industry representative body of the leading issuers of derivative securities in Germany. It represents approximately 90 percent of the German structured products market. The DDV serves as a political interest group in Berlin and Brussels. The association was establis-hed on 14 February 2008 and has offices in Berlin, Brussels and Frankfurt am Main.

Political communication

The active exchange of opinion with political decision-makers and supporting legislative initiatives count among the key tasks of the association. The DDV is a point of contact

for politicians in all matters concerning the structured products industry; offering its expert knowledge, it actively contributes to the shaping of political opinion in both Ger-many and Europe. In addition, the associa-tion conducts intensive discussions with the regulatory authorities such as the Federal Financial Supervisory Authority (BaFin), the European Securities and Markets Authority (ESMA) and the International Organization of Securities Commissions (IOSCO).

Media and public relations

The DDV’s media and public relations activities involve providing information on important aspects of the structured products market.

The DDV provides comprehensive informa-tion for journalists, multipliers in the fields of politics and business, and individual inves-tors. At the same time, there is always consi-derable interest in the Association’s events, which act as a forum for the exchange of news and views.

Other responsibilities

The Association aims to improve the protec-tion available to investors and to increase the transparency and comprehensibility of the sector’s products. Together with its members and sponsoring members, the DDV strives to implement new standards across the sector.

Members and sponsoring members

Members

Sponsoring Members

As at: 30 June 2014

Board of Directors

Stefan Armbruster is Managing Director at Deutsche Bank AG, responsible for the distribution and marketing of investment certificates and warrants.

Jan Krüger is Head of the Retail Clients division at LBBW and is responsible for product management and the dis-tribution and marketing of structured products and debt instruments to retail customers.

Klaus Oppermann is Head of Public Distribution in the Corporates & Markets division at Commerzbank AG. He is responsible for the public distribution of securitised derivatives in Germany and other European countries.

Grégoire Toublanc is Head of Exchange Traded Solutions at BNP Paribas and is responsible for the distribution and marketing of structured products.

Dr Hartmut Knüppel is CEO and Member of the Board of Directors at the Deutscher Derivate Verband (DDV). He has previously served in various roles in politics and industry.

Management

Dr Hartmut Knüppel is Chief Executive Officer and a Member of the DDV’s Board of Directors. He is also a Member of the Board of EUSIPA, the sector’s European umbrella association.

Lars Brandau holds the position of Managing Director at the DDV. As Head of the Frankfurt Office, he is primarily responsible for the association’s media and public rela-tions activities.

Christian Vollmuth also holds the position of Managing Director. As Head of the Berlin Office, he deals mainly with the legal and regulatory issues of the Association.

Strategic Board

Dr Jürgen Amendinger

UniCredit Bank AG

Deputy Global Head of Private Investor Products

Global Head of Corporate Investment Products

Frank Burkhardt

Société Générale S. A. Head of Global Markets Germany and Austria

Serge Demolière

Landesbank Berlin Member of the Board of Management

Lars Hille

DZ BANK AG

Member of the Board of Managing Directors

Philip Holzer

Goldman Sachs International Partner

Rainer Krick

Helaba - Landesbank Hessen-Thüringen Member of the Board of Directors

Torsten Murke

BNP Paribas S. A. Head of Corporate and Investment Banking

Michael Reuther

Commerzbank AG Member of the Board of Managing Directors

Carola Gräfin von Schmettow

HSBC Trinkaus & Burkhardt AG Member of the Management Board

Dirk Schmitz

Deutsche Bank AG Managing Director

Head of Coverage Germany & Austria

Roger Studer

Vontobel Group

Head of Investment Banking

Stefan Winter

UBS Deutschland AG

Member of the Executive Board

Publications

Free literature such as books, brochures, CDs and DVDs can be requested from our order centre (‘Bestell-Center’) at www. derivateverband.de/DEU/Publikationen/ Bestell-Center

The Derivates League

Structured products for successful investing.

Fairness Code

Voluntary undertaking by issuers to observe standards with respect to the structuring, issuing, marketing and trading of structured products.

The Fairness Code and corresponding Notes are also available in English and French.

Investor protection in practice

A brochure covering the legal framework for structured products in Germany.

Discount Certificates

A book explaining in detail the classic struc-tured investment products.

Annual report 2013:

Committed to fairness and clear rules.

DDV briefly

Brief description of the association’s core tasks and most important activities.

Structured products training

The three-level structured products tutorial as a CD.

The Derivates League

DVD explaining the product classification, with podcasts on the individual product categories.

Structured products savings plan calculator (CD)

The savings plan calculator in CD form. For capital accumulation, pension planning and long-term investing.

Published by:

Deutscher Derivate Verband e. V. Register number at the register of associations: VR 13943

Concept and consultation:

IFU Institut für

Unternehmenskommunikation GmbH

Design:

Liebchen+Liebchen GmbH

Photo credits:

Cover: photocase / Gestaltungsart, inkpark, dije, time.

Pages 2 to 3: Ihar Balaikin, Chitsanupong Chuenthananont, spirit of america, leungchopan Page 4: Gemenacom, Miyuki Satake; photocase / bauzaun.

Page 34: photocase / kemai; Tom Hoenig Westend61

www.derivateverband.de

Berlin

Deutscher Derivate Verband Pariser Platz 3 10117 Berlin Germany Phone +49 (30) 4000 475 - 15 [email protected] Offices Frankfurt a. M.

Deutscher Derivate Verband Feldbergstraße 38 60323 Frankfurt a. M. Germany Phone +49 (69) 244 33 03 - 60 [email protected] Brussels

Bastion Tower Level 20 5, place du Champ de Mars 1050 Brussels

Belgium

Phone +32 (2) 550 34 15 [email protected]