MIKRO FUND AN OPPORTUNITY FUND INVESTING IN EMERGING MARKETS 30 JUNE 2017

Transcription

1 A S S E T M A N A G E M E N T MIKRO FUND AN OPPORTUNITY FUND INVESTING IN EMERGING MARKETS 30 JUNE 2017

2 Contents SECTION Fund Overview SECTION Fund Strategy and Investment process SECTION Portfolio Analysis SECTION Financial Analysis SECTION Mikro Fund Bond Issues Slide 2

3 SECTION 1 Fund Overview Slide 3

4 What is Mikro Fund? 1 VALUE CREATION Mikro Fund issues micro finance loans at a rate of ~27% per annum. The Fund invests in the real economy. The Fund does not create any artificial profit nor engage in leverage. 2 3 VALUE PROTECTION Loans are issued to quality companies that are subject to a detailed and rigorous due diligence and credit selection process. Primarily short to medium-term loans. Bondholders interests are protected by the owners equity capital in Mikro Fund. VALUE DISTRIBUTION Fund s value is allocated among shareholders. Mikro Fund provides bondholders with a coupon yielding on average ~8% per annum which is approximately equal to the increase in the Fund s unit value per year. Slide 4

5 Mikro Fund Key Features Not susceptible to Volatility in Financial Markets Not effected by Changes in the Macroeconomic Environment Low risk Investment Policy Eu domiciled fund Subject to Luxembourg Law No correlation to the performance of the other asset classes in financial markets The product is not susceptible to price fluctuations caused by the volatility in the financial markets The business model is not affected by changes or discrepancies in macroeconomic indicators (inflation, GDP, unemployment etc.) Low foreign exchange rate risks Investment of funds raised from bond sales is carried out at market rates The Funds performance is driven by strict investment selection and carries very low risk for the investors Mikro Fund is a Luxembourg securitisation fund, controlled by Luxembourg authorities and subject to Luxembourg law Quarterly Net Asset Value calculated by Deloitte Luxembourg with an annual independent audit carried out by ACSE Slide 5

6 Advantages in Comparison to Traditional Funds Traditional Investment Funds may invest in Emerging Markets but fail to effectively limit risks. The unique structure of Mikro Fund is designed to reduce investment risks without impacting profits. Gives exposure to the real economy with little or no correlation to other asset classes. Not influenced by macro economic factors. The team, operating in the territory of Eastern Europe, have deep local knowledge and contacts within the entrepreneurial network and companies being financed. Industry diversification within the Funds loan portfolio reduces investment risk. Each loan is fully collateralised. Collateral is in the form of property (fixed and immovable) and personal guarantees. The Funds equity is an additional guarantee to the bondholders investment in the Fund. Duration and returns of investments are defined at Subscription Date. The duration of the investments equal 24, 36 or 120 months (with a possible redemption at nominal value at 18 month periods without incurring penalties) with the first coupon payment being 3 months after subscription date. As a result of the extensive branch network and the unique way in which the group is structured, the Fund has experienced rapid growth and has developed a wide network of contacts. Investing in bonds issued by Mikro Fund gives investors the combination of simplicity, reasonable taxation and a stable income (determined in advance), with investment protection. Slide 6

7 Investment in Mikro Fund Fund is a securitisation fund without legal personality, created on a contractual basis with co- ownership of assets. Mikro Fund is subject to Luxembourg law and complies with local and EU regulations. The Management company is Mikro Kapital Sàrl, which is registered in Luxembourg. The financing of Mikro Fund is carried out through the issuance of both bonds and units. Mikro Fund invests in Eastern Europe with a strong focus on Russia. Mikro Fund invests in guaranteed debt instruments within a limited time frame (6-24 months). The Fund currency is Euro. Mikro Fund combines the security and control of a European structure with the return on investment of Emerging Markets Slide 7

8 Why Invest in Mikro Fund? High rate of return with little or no correlation to other asset classes, market volatility and macro economic factors. Combines Emerging Market returns with the safety of a European domiciled Fund structure (transparency, regulation etc.) Provides portfolio diversification and exposure to social investment (supporting the development of small and mid-sized companies and job creation in underdeveloped regions of the former Soviet Union). Recently the subsidiary companies of the Fund have been recognised as the developer of the Best Loan Programmes for the financing of small and mid-sized companies in Russia. Provides access to deep local knowledge and expertise (the senior management team areforeign nationals who have been working in Russia for many years and are experts in the field of micro financing in the region. They are supported by a large team of local expert professionals). The product offers a wide diversification of risks to investors from the perspective of the debtors type, size and geographical location. Slide 8

9 Fund information NAME LOCATION CURRENCY MIKRO FUND LUXEMBOURG EURO TARGET VALUE TARGET: 1 BILLION EUR BY 2019 (256 M IN JUNE 2017) LATEST APPROVED NAV JUNE 2017: 557, (+346,28% SINCE THE INCEPTION) MINIMUM INVESTMENTS EUR 125,000 FUND ADMINISTRATOR CUSTODY AUDITOR LEGAL ADVISER NAV EVALUATOR ISSUE FREQUENCY COUPON MIKRO KAPITAL SÀRL UBI LUX (LUXEMBOURG); BENDURA BANK LIECHTENSTEIN ACSE, LUXEMBOURG CARNELUTTI STUDIO LEGALE ASSOCIATO DELOITTE LUXEMBOURG MONTHLY QUARTERLY YIELD (YEARLY) 9% (EMTN 24 M), 10% (EMTN 36 M) BLOOMBER CODE MKKK Slide 9

10 Growth in Value From launch Mikro Fund Net Asset Value index Mortgage crisis +346,28% NAV +88,11% Bond index Lehman bankruptcy MSCI World: Minim, history Debt of Greece Mikro Fund bond index Wildfire in Russia Downfall on stock market Debt of Ireland Tsunami in Japan 279 PIGS debt Crisis in Hungary Default in Greece Bankia Bankruptcy Spain Spread 333 Situation in Ukraine Slide 10

11 A projection of Mikro Fund Sep-17 Dec-17 Mar-18 Jun-18 ASSETS INVESTED IN RUSSIA INVESTED IN BELARUS INVESTMENTS SHORT-TERM OTHER ASSETS CASH EQUITY AND LIABILITIES LIABILITIES EMTNs DEBT OTHER LIABILITIES EQUITY NAV Slide 11

12 Structure and management of Mikro Kapital Mikro Kapital Sàrl Luxembourg Asset manager Board of Directors: Vincenzo Trani Marianna Marasco Giorgio Parola Market - Maker Concern General Invest LLC Russia Technical Support Law Firm Consultant Advisory Board Mr.Vittorio Volpi Chairman Edoardo Esercizio Deputy Luxembourg Accountant and NAV calculator Luxembourg auditor audit conseil services Information Agency Credit Committee Assets and Liabilities Committee Calculating and clearing organization BANK PARTNERS Luxembourg Liechtenstein Slide 12

13 Group structure Mikro Luxembourg Kapital Mikro Luxembourg Fund Alternative Luxembourg Fund NATIONAL LEASING Slide 13

14 Group s locations Europe 3 offices Russia 39 Milan, Italy Luxembourg Zurich, Switzerland Moldova 5 offices Chisinau Soroca Balti Drochia Comrat Armenia 2 offices Erevan Romania 3 offices Iasi Brăila Kraiov a Luxembourg Zurich Milan Kaliningrad Grodno Brest Soroca Minsk Kaluga Bryansk Balti Comrat Iasi St.Petersburg Gomel Orel Belgorod Petrozavodsk Chisinau Drochia Moscow Obninsk Tula Nizhny Novgorod Samara Syzran Ufa Lipetsk Penza Rostov on Don Krasnodar Erevan Ekaterinburg Togliatti Astrakhan Moscow (2) St. Petersburg Rostov on Don (2) Kaliningrad Tula Obninsk Ostashkov Krasnodar (3) Lipetsk Astrakhan Orel Pensa Petrozavodsk Kaluga Ludinovo Ekaterinburg (2) Ufa Kazan Nizhny Novgorod (2) Samara Sergievsk Bryansk Buguruslan Buzuluk Dimitrovgrad Pohvistnevo Syzran Togliatti Belgorod Voronezh Stavropol Tambov Izhvesk Belarus 7 offices Minsk Gomel Brest Grodno Mogilev Vitebsk Polozk Slide 14

15 Equity and liabilities of Mikro Fund (as of ) Structure of liabilities, m Obligation/Bonds (Private & Institutional Investors) 189,7 1,1 Equity (Founders & Managers) 42,7 33,5 55,0 64,3 112,1 108,3 106,2 94,9 83,3 19,0 29,7 1,1 10,6 12,2 12,9 14,1 17,8 18,4 18,519,5 25,5 32,5 32,9 33,8 34,4 38,8 14,1 3,8 8,6 115,8 126,5 126,3 114,2 116,0 151,7 139,6 164,3 179,8 41,0 53,1 53,8 53,9 54,3 57,7 58,6 58,8 59,0 62,5 Y2008 Y2009 Y2010 Y2011 Jun2012 Sept2012 Dec2012 Mar2013 Jun2013 Sep2013 Dec2013 Mar2014 Jun2014 Sep2014 Dec2014 Mar2015 Jun2015 Sep2015 Dec2015 Mar2016 Jun2016 Sep2016 Dec2016 Mar2017 Jun2017 Slide 15

16 Sources of asset & Portfolio breakdown ( ) Structure of the sources 256,052,385 Structure of investments 256,052,385 Equity 62,451,724 (25%) Total Liabilities + Equity 256,052,385 Russia (185,79 m) Investments in Russia In total: 185,790,777 Clients: 4,688 Average investments: 39,631 Bonds 189,731,850 (75%) 472 Bondholders 4 Shareholders Average bond amount purchased by one bondholder: 401,974 Belarus (37,7 m) Investments in Belarus In total: 37,722,709 Clients: 2,754 Average investments: 13,697 Short term assets (24,8 m) Other 3,868,810 Cash (7,7 m) Slide 16

17 Section 2 Fund Strategy and Investment Process Slide 17

18 Group s locations Target Assets Structure Target Equity and Liabilities Structure Expected Return Small and medium-sized companies Leasing companies 50% of assets 20% of assets EMTNs 18, 24 months (quarterly coupon payment) 800m 80% of assets 8% (EMTNs) Microfinance Institutions 20% of assets Cash Instruments 10% of assets NAV (semi-annual dividend payment) 200m 20% of assets 14% (NAV) Slide 18

19 Credit Process The credit process is following all criteria of EBRD and is audited by them. Each Loan application is subject to strict due diligence and credit check and must be approved by at least 2/3 members of the Credit Committee. On site monitoring every 6 months at the borrowers location. In the event of overdue payments on a loan (principal or interest amount), monitoring is carried out on monthly basis. Non performing loans are discussed weekly in a specialized NPL committee. An External Company, GDFK LTD, is underwriter of all disbursed loans for more than 10,000 Euro. All members of the loan process are monthly trained by the European Bank for Reconstruction and Development (EBRD) in credit analysis and risk management. Slide 19

20 Market Entry Model Fund Raising Funds, raised in Europe through EMTNs issued in Luxembourg Luxembourg Fund Investment From own structures (MKR, ML, TM) the funds are then channeled to: Institutional clients and then to their final clients (borrowers). Direct clients From Luxembourg the funds are directed to the companies of the group: Russia - Mikro Kapital Russia (MKR), Town Money (TM). Belarus - Mikro Leasing (ML) Mikro Kapital Luxembourg Institutional clients Direct clients Final clients Direct clients Slide 20

21 Loans issued by Country 87,3% of the Fund is invested into the core activity (the share of Russia amounts to 72,5%, Belarus share amounts to about 14,7%) 9,7% is invested in liquid assets. 3,0% cash 33,9 30,1 28, , ,6 53,1 4,42 1,56 3,75 8,25 7,80 7,42 11,11 13,64 15,43 19,35 dec- mar- jun- sep- dec- mar- jun- sep- dec- mar , , , ,6 26,16 23,46 22,12 26,12 INVESTMENTS IN RUSSIA m 22,0 25,7 27,8 34,3 39,1 48,4 60,1 70,0 89,6 95,5 102, 62,2 73,0 103, 110, 112, 118, 130, 131, 133, 141, 180, 186 INVESTMENTS IN BELARUS m 2,1 2,1 2,2 2,4 3,3 3,9 4,3 4,98 6,28 7,08 7,43 20,7 19,5 25,9 25,9 26,1 25,7 25,3 31,5 33,8 36,6 39,5 38 INVESTMENTS IN MOLDOVA m ,06 0,28 0,54 0,87 1,51 2,01 4,07 4,02 4,97 5,0 5,1 5,4 5, INVESTMENTS IN ARMENIA m ,06 0,15 0,29 0,21 0,45 0,37 0,36 0,4 0,4 0,4 0, INVESTMENTS IN LTA m ,8 31, CASH MANAGEMENT m 0,15 0,74 0,11 3,99 2,90 2,84 5,80 2,65 6,36 8,02 9,32 5,84 8,37 6,27 5,95 5,81 3,6 4,1 11,8 7,3 7,1 2,4 8 SHORT TERM ASSETS m 4,42 1,56 3,75 8,25 7,80 7,42 11,1 13,6 15,4 19,3 26,1 23,4 22,1 26,1 32,8 42,8 27,1 27,2 30,1 42,5 45,6 24,0 25 TOTAL ASSETS m 28,6 30,1 33,9 49,0 53,1 62,6 81,3 91,3 118, 130, 146, 145, 157, 165, 179, 192, 180, 192, 210, 222, 230, 246, ,2 145,8 102 jun sept ,9 157,1 73 dec mar , ,82 jun ,1 180,2 192, ,80 sep ,1 27,2 30,1 dec- 15 mar , jun ,5 222, ,5 45,6 sep dec , ,0 25 mar jun- 17 Slide 21

22 Increase in loan issued Enlargement of options in Italy Downfall of Stock Markets Tsunami in Japan Crisis in Hungary Bankia bankrupcy (Spain) Default in Greece Russia WTO accession Start of Russian- Ukraine crisis sep -11 dec-11 mar- 12 jun -12 sep -12 dec-12 mar- 13 jun -13 sep -13 dec-13 mar- 14 jun -14 sept- 14 dec-14 mar- 15 jun -15 sep -15 dec-15 mar- 16 jun -16 sep -16 dec-16 mar- 17 jun -17 Portfolio At Risk - % on Total Assets PAR30 (TOTAL RUSSIA and Belarus) PAR90 (TOTAL RUSSIA and Belarus) mar-15 jun-15 sep-15 dec-15 mar-16 jun-16 'sep-16 'dec-16 mar-17 jun-17 1,35% 1,96% 1,86% 2,21% 2,32% 2,12% 2,65% 2,44% 0,47% 0,58% 1,68% 2,75% 2,23% 2,68% 3,09% 3,32% 3,46% 2,90% 0,59% 0,72% In 2Q the number of clients is 5,299. The activity is focused on the development of internal structures: this helps to increase the number of clients of its subsidiaries. Portfolio at risk (PAR 30 and PAR 90) is on a sufficiently low level. At the time of the calculation of PAR90, the sum of the loans for which at least one payment amount is in arrears. The acceptable level of portfolio at risk is the result of Fund s conservative investment policy. Slide 22

23 Section 3 Portfolio analysis Slide 23

24 Currency risks: general coverage in EUR Currency risks - equivalent in Currency by Value (Equivalent in EUR) Currency risks - number of contracts Currency by N. of Contracts 25,6% 11,0% 7,5% 20,1% 11,2% 19,6% 20,5% 28,9% 25,5% 28,0% 20,8% 30,3%37,4% 30,9% 33,4%34,4% 33,6% 36,8% 74,4% 79,9% 88,8% 89,0% 92,5% 79,2% 79,5% 74,5% 80,4% 71,1% 72,0% 69,7% 65,6% 62,6% 69,1% 66,4%63,2% 66,6% 77,9% 74,0% 71,9% 69,3% 68,1% 62,8% 54,4% 54,6% 44,0% 41,1% 37,5% 62,5% 48,0% 59,9%60,9% 64,0% 64,4% 66,2% 78,4% 22,1% 26,0% 28,1% 30,7% 31,9% 37,2% 45,6% 45,4% 56,0% 58,9% 52,0% 40,1% 39,1% 36,0% 35,6% 33,8% 21,6% m ar -13 jun-13 sep-13 dec-13 m ar -14 jun-14 sep-14 dec-14 m ar -15 jun-15 sep-15 dec-15 m ar -16 jun-16 sep-16 dec-16 m ar -17 jun-17 m ar- 13 jun -13 sep -13 dec-13 m ar- 14 jun -14 sep -14 dec-14 m ar- 15 jun -15 sep -15 dec-15 m ar- 16 jun -16 sep -16 dec-16 m ar- 17 jun -17 CREDIT IN RUB CREDIT IN EUR N CREDIT IN RUB N CREDIT IN EUR The Fund s portfolio composes 65,6% in EUR, with Russian Rubles representing 34,4% of the total portfolio. Almost ¾ of the Ruble contracts are investments with an average equivalent of 25, For example, the average amount of the euro contract is 150,425,6. All exchange risks are fully covered by the hedging instruments. Slide 24

25 Analysis of Defaults and Legal Action Court Cases (% of aggregated assets) mar-14 jun-14 sep-14 dec-14 mar-15 jun-15 sep-15 dec-15 mar-16 jun-16 sep-16 dec-16 mar-17 jun-17 N. of clients on trial in Russia. of clients on trial in Russia N. of clients on trial in Belarus. of clients on trial in Belarus 3,73% 4,43% 4,71% 3,86% 3,66% 4,58% 4,47% 3,97% 3,37% 1,18% 3,60% 1,40% 1,30% 0,50% 0,97% 1,01% 1,32% 0,92% 0,73% 0,84% 0,76% 0,81% 0,75% 0,96% 1,03% 0,65% 0,16% 0,12% 0,30% 0,26% 0,41% 0,38% 0,42% 0,72% 0,88% 1,00% 0,68% 0,71% 0,64% 0,65% 0,74% 1,49% 0,07% 0,005% 0,09% 0,09% 0,10% 0,17% 0,21% 0,21% 0,17% 0,17% 0,15% 0,14% 0,10% 0,09% The fund has recorded only a very limited number of open disputes in the court: it occurs because the companies, at the time of having to repay their debts, are willing to reach a settlement with Mikro Fund, in order to not lose their guaranteed collateral. When giving out a loan for the first time, only those potential borrowers who can provide a collateral in the form of guarantee and pledge of property are considered. The collateral is a guarantee of a loan repayment. Slide 25

26 Example Loans (1/5) Lavoyants S.S. Sole proprietor Naphthastroy LLC Catering organization/ Food delivery to offices Established in 2003 Located in Nizhny Novgorod 2 employees Catering organization/food delivery to offices Established in 2003 Located in Nizhny Novgorod 2 employees Business lease/repair of special equipment Established in 2007 Located in Moscow 27 employees Amount disbursed: 2.2 mln RUR ( EUR) 60 month loan Upfront fee: 0% Interest rate: 27% per annum Interest payment: monthly Principal repayment: monthly Collateral: Real estate, equipment Amount disbursed : 9 mln RUR ( EUR) 12 month loan Upfront fee: 0% Interest rate: 25% per annum Interest payment: monthly Principal repayment: monthly Collateral: transport, special equipment Slide 26

27 Example Loans (2/5) Ivanchenko M.S. Sole proprietor Bodrov V.V. Sole proprietor Outdoor advertising company Established in 2005 Located in Krasnodar 3 employees Wholesale, Trucking and Lease Established in 2014 Located in Obninsk 10 employees Amount disbursed: 5,4 mln RUR ( EUR) 60 month loan Upfront fee: 0% Interest rate: 28% per annum Interest payment: monthly Principal repayment: monthly Collateral: Real estate Amount disbursed: 1 mln RUR ( EUR) 24 month loan Upfront fee: 0% Interest rate: 24% per annum Interest payment: monthly Principal repayment: monthly Collateral: transport Slide 27

28 Example Loans (3/5) Diva LLC Metal processing company Established in 2007 Located in Nizhny Novgorod 12 employees Amount disbursed: 5,4 mln RUR ( EUR) 60 month loan Upfront fee: 0% Interest rate: 28% per annum Interest payment: monthly Principal repayment: monthly Collateral: Real estate Slide 28

29 Example Loans (4/5) LeanGroup Pana Hall Production company Established in 2006 Located in Minsk 347 employees Amount disbursed: ,80 USD 13 month leasing Upfront fee: 40% Interest rate: 20% per annum Interest payment: monthly Principal repayment: monthly Object of Leasing: vehicles Transport and Trading Company Established in 2015 Located in Gomel 15 employees Amount disbursed: EUR 13 month leasing Upfront fee: 20% Interest rate: 22% per annum Interest payment: monthly Principal repayment: monthly Object of Leasing: vehicles Slide 29

30 Example Loans (5/5) U Mykoly Trade company Established in 2007 Located in Dzerzhinsk 54 employees Amount disbursed: ,04 USD 13 month leasing Upfront fee: 20% Interest rate: 20% per annum Interest payment: monthly Principal repayment: monthly Object of Leasing: : special equipment BelPolKard Production company Established in 2014 Located in Brest 11 employees Amount disbursed: EUR 24 month leasing Upfront fee: 20% Interest rate: 22% per annum Interest payment: monthly Principal repayment: monthly Object of Leasing: copying equipment Slide 30

31 Section 4 Financial Analysis Slide 31

32 NAV Composition analysis ( ) Standard Ratio NAV/Bonds 20/80: At the current level of the fund s equity (NAV) 62,5m the maximum amount of issuable bonds is 249,8m. As of Mikro Fund s equity (NAV) was 62,5m (5,85% increase over the quarter). The amount of outstanding bonds was 189,7m. Slide 32

33 Liquidity Management Bond payments Fund's aggregated assets 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 8,15% 4,58% 5,39% 1,34% 3,04% 3,21% 5,20% 2,23% 5,43% 2,64% 3,06% 1,59% 2,55% 1,01% 0,31% Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 No v- 16 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 No v- 17 Dec-17 Jan-18 Feb-18 Mar-18 Thanks to the strategy of monthly bond commissioning, their maturity dates are not focused on specific events any more, but are distributed through time. For the 2Q 2017, bonds were redeemed in the amount that is equal to approximately 3,06% of the aggregated assets. Slide 33

34 Assets and liabilities model ( ) Total Assets (Expected IN-Flows) EUR ML Total Liabilities (Expected OUT-Flows) EUR ML Coverage Ratio 142,5 1,4X 103,6 250,9 1.2X 183,1 Mikro Kapital provides on a quarterly basis an updated assets and liabilities model to its investors. This model ensures the balance between the expected outflow (in general of interests and bonds paid to investors) and inflow (in general the loans, paid by entrepreneurs of Russia and Belarus). n/a 19,9 0,0 32,5 1,8X 18,2 Coverage rate is between 1.2x 1,8x. A repaid loan may be extended. < 1 mth 1-3 mth 4-12mth 1-3 years Slide 34

35 Section 5 Mikro Fund Bond Issues Slide 35

36 Bond Issues ,675,000 11,725,000 21,750,000 Average rate: 12% Average rate: 10% Average rate: 10% Average time:17 months Average time: 18 months Average time: 32 months Nominal value:125,000 Nominal value: 125,000 Nominal value: 125,000 1Q ,125,000 Average rate: 9% Average time:18 months Nominal value:125, ,201,125 CHF Average rate: 9% Average time: 20 months Nominal value:150,000chf ,767,750 USD Average rate: 9% Average time: 22 months Nominal: 155,885CHF ,500,000 Average rate: 9% Average time: 18 months Nominal value: 125,000 1Q 2014 USD 8,077,250 Average rate: 8% to 10,5% Average time: 18 months Nominal value: 170,635$ ,580,000 CHF Average rate: 7.5% Average time: 18 months Nominal value: 157,060CHF ,897,000 USD Average rate: 9.5% Average time: 18 months Nominal value: 165,750USD ,760,000 GBP Average rate: 8.5% Average time: 120 months Nominal value:110,000gbp 1Q ,477,000 CHF Average rate: 7% to 8% Average time: 18 months Nominal value:155,000chf Slide 36

37 Bond issues Q ,625,000 1Q ,000 USD 2Q ,125,000 2Q ,560,600 USD Average rate: 10% Average time:20 months Nominal value:125,000 Average rate: 10,5% Average time: 18 months Nominal value: 142,000$ Average rate: 10% Average time:18 months Nominal value:125,000 Average rate: 10,5% Average time:18 months Nominal value:138,000$ 2Q ,049,600 CHF 3Q ,750,000 3Q ,001,800 USD 3Q ,997,000 CHF Average rate: 8% Average time:18 months Nominal value:131,200 CHF Average rate: 10% Average time:18 months Nominal value:125,000 Average rate: 10,5% Average time:18 months Nominal value:139,000$ Average rate: 7,5% Average time:18 months Nominal value:134,000 CHF 4Q Q Q Q ,250,000 7,683,750 USD 949,450 CHF 85,000,000 RUB Average rate: 10% Average time:18 months Nominal value:125,000 Average rate: 10 % Average time:21 months Nominal value:137,000$ Average rate: 7,5% Average time:18 months Nominal value:135,600 CHF Average rate: 14,5% Average time:18 months Slide 37

38 Bond issues Q ,375,000 Average rate: 9% Average time: 18 months Nominal value:125,000 1Q ,912 USD Average rate: 8% Average time: 24 months Nominal value:140,000 USD 1Q ,201,600 CHF Average rate: 7% Average time:18 months Nominal value:137,600 CHF 1Q ,500,000 RUB AAverage rate: 14,5% Average time:18 months 2Q ,500,000 Average rate: 9% Average 2Q ,365,525 CHF Average rate: 7% Average time:18 months 2Q ,220,600 USD Average rate: 9,5% 3Q ,250,000 Average rate: 8% time: 18 months Average time: 18 months Average time: 18 months Nominal value:125,000 Nominal value:137,600 CHF Nominal value:140,000 USD Nominal value:125,000 3Q ,902,275 USD Average rate: 8% Average time: 18 months Nominal value:140,000 USD 3Q ,148CHF Average rate: 6% Average time: 18 months Nominal value:136,787chf 4Q ,000,000 Average rate: 8,5% Average time: 20 months Nominal value:125,000 4Q ,925,373 USD Average rate: 8,5% Average time: 22 months Nominal value:133,000 USD 4Q ,565,700CHF Average rate: 6% Average time: 18 months Nominal value:135,000chf Slide 39

39 Bond issues Q Q Q Q ,125,000 Interest rate: 8%; 9% Maturity: 18; 24 months Nominal value:125,000 9,955,150 USD Interest rate: 8%;9% Maturity: 18; 24 months Nominal value:133,000 USD 1,606,000 CHF Interest rate: 6,5%; 7% Maturity:18; 24 months Nominal value:134,000 CHF 867,600 GBP Average rate: 7,5% Average time:24 months 2Q Q Q Q ,750,000 Interest rate: 8%; 9% Maturity: 12; 18; 24; 36 months Nominal value:125,000 8,923,780 USD Interest rate: 7%; 8%;9% Maturity: 18; 24 months Nominal value:133,000 USD 2,037,850 CHF Interest rate: 4,75%; 7,5% Maturity:24; 36 months Nominal value:135,450 CHF 136,060 CHF 2,899,750 GBP Average rate: 7,5% Average time:24 months Slide 40

40 EMTNs in Bloomberg An example of Bloomberg page Slide 41

41 Disclaimer This presentation is produced solely for the purposes of familiarization with one mode of investment rather than a financial product; it doesn t constitute any offer, as well as it doesn t require representation of offers for the purchasing or selling of products and other services. However, this information and opinions, expressed in this presentation, were received from qualified sources, while we don t undertake any liability or guarantee, obvious or implicit in relation to their accuracy and completeness. Mikro Kapital Sàrl does not provide any legal or tax advices. In such manner, this presentation isn t an advice. Mikro Kapital Sàrl recommends to all entities, interested in some product or service, to receive independent tax or legal advice as well as advices of other character. General information, contained herein shouldn t be considered for your personal investment goals, as well as for your financial situation and financial needs. Some products and services are subject to limitations, that s why they can t be implicitly offered on world level. All the information and opinions, as well as specified indicators may be changed anytime without preliminary notification. This presentation approved and published by Mikro Kapital Sàrl, may not be reproduced or copied without prior consent of Mikro Kapital Sàrl. Slide 42

42 CONTACT Mikro Kapital S.à. r.l. 10, rue C. M. Spoo L Luxembourg G.-D. of Luxembourg