Monte Titoli. Fees for services provided to intermediaries. July 2013 Version

Transcription

1 Monte Titoli s for services provided to intermediaries July 2013 Version

2 July 2013 version 1.0 General principles Custody Securities account Custody safekeeping fees Cash settlement for corporate actions processing Corporate actions on financial instruments with Monte Titoli as Investor CSD and other NCSDs as Issuer Management of fiscal declarations and payments related to the French FTT Tax Service Tax assistance on cross-border securities X-TRM Matching and Order Routing applied to the acquisition of transactions X-TRM Setup Cancellation/ insertion of a transaction Cut-off delay Processing of corporate actions under fails in X-TRM Domestic Settlement Unmatched free of payment deliveries Matched free of payment deliveries Express II Cross-border settlement (CBSS) ICSDs Securities Lending and Borrowing 33 Page 3 of 48

3 8.0 Service of Collateral Management X-COM Collateralized securities Communication channels RNI, SIANet.Ng, SWIFT MT-X LU A2A EPAG Paying Agent appointment FIS Standard Information Flows and CPA Shareholders Meeting Communication Reporting RCC Settlement of Client fees ATIE Service - Register of irregular and drawn securities Test environment 47 Page 4 of 48

4 1.0 General principles This document illustrates the fee schedule applied by Monte Titoli for the services provided to entities participating in such services, in accordance with the contractual framework in force and in particular with Art. 10 of the General Conditions Part I. As stated by Art. 7 of the General Conditions Part I, any modification of the fee schedules indicated in this document will be notified by Monte Titoli through the publication of such modifications on its own website. Moreover this publication will be notified to participants by the means of an communication sent to the address provided by the client Itself. Monte Titoli fee structure is compliant with principles of unbundling and separate accounting. The fee structure has been structured to assist clients in easily reconciling their invoices. A specific reference code identifies each fee and helps customers to quickly and easily check the accuracy of the amounts debited. All invoicing items will be subject to VAT as established by law. Unless otherwise specified, fees are calculated and invoiced monthly, based on volumes recorded during the relevant month, and debited with a value date of the last day of the month following invoice issue. If a monthly (or quarterly or annual) fee is applied to a service, in case participation or withdrawal occurs during the month (or during the quarter or the year), the former fee (participation event) or the latter (withdrawal event) are entirely chargeable, regardless of the date of activation or withdrawal. Where monthly fees are based on a volume tier, each client may choose to change its tier by making a request before 15 December; if 15 December is not a business day, the deadline is carried over to the next business day. The tier change will commence in January of the following; no change of tier is admitted during the year. The same fee structure is also applied to market infrastructures (such as CCPs, CSDs, Central Banks) when they participate in Monte Titoli services (in standard mode). Should participation of these entities require customized solutions and specific terms of interoperability, a specific pricing proposal will be defined, in compliance with Paragraph 4 of the Code of Conduct. A fee calculator simulator is available on our website enabling clients to determine their fees. Page 5 of 48

5 2.0 Custody 2.1 Securities account Intermediaries participating in the custody service are required to separate their own proprietary account from the third party account. Each intermediary may open additional third party accounts (so called settlement accounts), to segregate dedicated activities of their clients Membership fee Property account Third party account Monthly fee CA0078 CA0078 Settlement account (each) CA0079 For issuers acting in the role of intermediaries only for the financial instruments they issue: Property account Third party account CA0080 CA0080 Page 6 of 48

6 2.2 Custody safekeeping fees Monte Titoli applies a structure of variable safekeeping fees, dependent on the type of safekeeping service: - as Issuer CSD, depending on the category of financial instruments 1 and on the average balance - as Investor CSD by means of links with National Securities Depositaries (NCSDs), - as Investor CSD by means of links with International Depositaries, namely Euroclear Bank and Clearstream Banking Luxembourg (ICSDs) based on the Countries group and the category of financial instruments and on the average balance. Safekeeping fees are calculated by applying rates expressed in basis points on annual basis, to the monthly average balance of the financial instruments booked in all the accounts opened by the intermediary in the custody system (property, third party and settlement accounts). Average monthly balance is calculated as an average of the daily balances during the month of reference, by applying the following rules: - separately for each category, for financial instruments where Monte Titoli is the Issuer CSD, - separately for each category, for financial instruments where Monte Titoli is the Investor CSD and the Issuer CSD is a specific NCSD (Euroclear UK & Ireland, Clearstream Banking Frankfurt and SIX SIS) - with no separation of category, for financial instruments where Monte Titoli is the Investor CSD and another National Securities Depositary (NCSD) is the Issuer CSD - Separately by Countries group and category, for financial instruments where Monte Titoli is the Investor CSD and the International Depositary (ICSD) is the Issuer CSD. Financial instruments are evaluated according to the following criteria: - Shares: market price or, if not applicable, nominal value. Shares with no nominal value (non par value), are conventionally valued at Bonds, Government Bonds and similar: nominal value - Warrants, covered warrants, investment fund units and similar: market price or, if not applicable, nominal value with the exception of warrants and covered warrants waiting for listing which are conventionally evaluated at For financial instruments issued in a currency different from Euro, the average balance expressed in Euro is calculated by applying the official daily exchange rate. The list of financial instruments for which Monte Titoli is the Investor CSD, by means of link with NCSDs and ICSDs is available on the MT-X platform and is updated on a monthly basis. 1 Each category includes one or more financial instruments type, as detailed in the following charts. Page 7 of 48

7 2.2.1 Financial instruments with Monte Titoli as Issuer CSD Financial instruments with Monte Titoli as Issuer CSD Category Range of average monthly balance (bn Euro) (from-to) Basis point rates on annual basis Shares, closed-end fund units, real estate investment fund units and warrants MK above 0,1283 Covered warrants, certificates, open investment fund units, ETF, ETC and SICAV shares MK above Bonds and similar (ABS, covered bonds, short term European papers, etc.) above ,1283 MK0033 Government bonds above 0,091 0,073 0,063 0,054 0,045 MK0035 Page 8 of 48

8 2.2.2 Financial instruments with Monte Titoli as Investor CSD and other NCSDs as Issuer Financial instruments with Monte Titoli as Investor CSD and Euroclear UK & Ireland as Issuer Category Range of average monthly balance (bn Euro) (from-to) Basis point rates on annual basis Shares, warrants, covered warrants, investment fund units MK above Fixed income MK above Financial instruments with Monte Titoli as Investor CSD and Clearstream Banking Frankfurt as Issuer Category Range of average monthly balance (bn Euro) (from-to) Basis point rates on annual basis Shares, warrants, covered warrants, investment fund units MK Fixed income MK above Financial instruments with Monte Titoli as Investor CSD and SIX SIS Category Range of average monthly balance (bn Euro) (from-to) Basis point rates on annual basis Shares, warrants, covered warrants, investment fund units MK above Fixed income MK above Page 9 of 48

9 Financial instruments with Monte Titoli as Investor CSD and other NCSDs as Issuer Category Basis point rates on annual basis Shares, closed-end fund units, real estate investment fund units and warrants Covered warrants, certificates, open investment fund units, ETF, ETC and SICAV shares Bonds and similar (ABS, covered bonds, short term European papers, etc.) Government bonds MK0037 MK0038 MK0039 MK Financial instruments with Monte Titoli as Investor CSD and ICSDs as Issuer Countries group 1: International 2 Category Range of average monthly balance (bn Euro) (from-to) Basis point rates on annual basis 2.00 Shares, warrants and covered warrants MK above Investment fund units MK above ,64 Fixed income 0,49 0,36 MK above 0,27 2 Financial instruments with XS, LU and EU ISIN codes. Page 10 of 48

10 Countries group 2: Belgium, France, Germany Category Range of average monthly balance (bn Euro) (from-to) Basis point rates on annual basis 1.30 Shares, warrants and covered warrants MK above Investment fund units MK above Fixed income MK above 0.45 Countries group 3: Finland, Holland, Sweden, Spain (1), Portugal (2), Slovenia, Greece, Ireland, Australia, Canada and USA Category Range of average monthly balance (bn Euro) (from-to) Basis point rates on annual basis 1.50 Shares, warrants and covered warrants MK above Investment fund units MK above 1.55 Fixed income 10 - above MK0053 (2) Monte Titoli may recover eventual other custody fees applied by Interbolsa and debited to Monte Titoli by the ICSD (invoicing code SC0002) Page 11 of 48

11 Countries group 4: United Kingdom (Jersey and Guernsey included) Category Range of average monthly balance (bn Euro) (from-to) Basis point rates on annual basis 1.30 Shares, warrants and covered warrants MK above Investment fund units MK above Fixed income MK above 0.35 Countries group 5: Japan and Israel Category Range of average monthly balance (bn Euro) (from-to) Basis point rates on annual basis 5.00 Shares, warrants and covered warrants MK above Investment fund units MK above Fixed income MK above 2.55 Page 12 of 48

12 Countries group 6: Switzerland, Argentina, Bermuda, Slovak Republic Category Range of average monthly balance (bn Euro) (from-to) Basis point rates on annual basis Shares, warrants and covered warrants MK above Investment fund units MK above Fixed income MK above Cash settlement for corporate actions processing applied to each cash settlement notification: Cash settlement notification, both pre-advice and advice, related to corporate actions, independent from settlement method 0.50 SA A 10% discount will be applied on the fee for cash settlement notification starting 1st July The discount will be applied until the finalisation of all phases of the project for the harmonisation of corporate actions to European standards. Page 13 of 48

13 applied to cash settlement In Target 2 Cash settlement of amounts debited and credited to intermediaries in TARGET 2 system, deriving from the processing of corporate actions on Government Bonds and financial instruments for which Monte Titoli is Investor CSD (being a NCSD or ICSD the issuer). The fee is debited to the intermediaries even if they appoint a correspondent bank 0.30 SA0088 The following fees are applicable from 1 February 2011: For currencies other than euro: Cash settlement for corporate action processing in currencies other than Euro : - by means of correspondent banks - through Clearstream Banking Luxembourg: Canadian Dollar CAD, US Dollar USD Australian Dollar AUD, Swiss Franc CHF, Danish Crown DKK, England Pound GBP, Hong Kong Dollar HKD, Norway Crown NOK, New Zealand Dollar NZD, Swedish Crown SEK, Singapore Dollar SGD Other currencies SA0097 SA0098a SA0098b SA0098c - through Euroclear Bank: Canadian Dollar CAD, USA Dollar USD Australian Dollar AUD, Franco Swiss Franc CHF, Corona Danish Crown DKK, England Pound GBP, Hong Kong Dollar HKD, Norway Crown NOK, New Zealand Dollar NZD, Sweden Crown SEK, Singapore Dollar SGD Other currencies SA0099a SA0099b SA0099c Page 14 of 48

14 2.4 Corporate actions on financial instruments with Monte Titoli as Investor CSD and other NCSDs as Issuer Monte Titoli applies fees for the execution of Corporate actions on financial instruments with Monte Titoli as Investor CSD and the following NCSDs as Issuer: Financial instruments with Euroclear UK & Ireland as Issuer Income collection fee (dividends, interests or any other income payments, capital redemption) - per action ES0001 Financial instruments with Clearstream Frankfurt as Issuer Income collection fee (dividends, interests or any other income payments, capital redemption) - per action ES0002 Financial instruments with SIX SIS as Issuer Income collection fee (dividends, interests or any other income payments, capital redemption) - per action ES0003 Page 15 of 48

15 2.5 Management of fiscal declarations and payments related to the French FTT Monte Titoli applies fees for the forwarding to Euroclear France of fiscal declarations and payment of the related amounts, in the framework of the taxation applied by the French Government on financial transactions (Financial Transaction Tax - FTT). Unit fee per each transaction declared within fiscal declarations which are validated by the deadline set by Monte Titoli Unit fee per each transaction declared within fiscal declarations which are validated later than the deadline set by Monte Titoli 0.70 FTT FTT002 Recovery of possible penalties and/or passive interests applied by Euroclear France for transactions declared later than the imposed deadline Variable (as relevant) 3 FTT004 Administrative intervention for the cancellation of a declaration FTT003 3 The administrative intervention necessary for the recovery will be charged on top of the recovered amount, under invoicing code SA0089. Page 16 of 48

16 3.0 Tax Service 3.1 Tax assistance on cross-border securities s applied to each payment transaction, ISIN and beneficial owner. Payment of proceeds subject to withholding tax at source SF0058 Standard refund procedure for the deduction of tax, when the amount paid overcomes the applicable one Quick refund procedure for the deduction of tax after payment date, when the amount paid overcomes the applicable one Adjustment in the tax rate applicable to payment of proceeds on US securities SF SF SF0061 applied to tax certification Registration of each tax certification related to the beneficial owner, only for US securities, and release of income collection certifications by Monte Titoli for any cross-border securities SF0062 Page 17 of 48

17 4.0 X-TRM Matching and Order Routing 4.1 applied to the acquisition of transactions The fee applied to the acquisition of transactions is referred to: - Transactions filled in X-TRM directly by participants (over-the-counter) to be settled in Express II, - Transactions filled in X-TRM directly by participants (over-the-counter) to be settled in cross border settlement systems, - Free of payment deliver transactions filled in by participants via RNI message 710, to be settled in cross border settlement systems and for which Monte Titoli provides via X-TRM reports on matching in those settlement systems - Transactions automatically generated by the system (i.e.: collateralization and bilateral balances created due to the interposition of the CCP), - Transactions coming from RETLOTS, Repo e-mid and Hi-MTF, - Transactions unsettled in Express II at the end of the net overnight cycle and automatically refilled in the gross settlement cycle 4. Transaction acquisition (each) EX0002 For transactions, traded on domestic markets or over-the-counter and forwarded via X-TRM to the ICSDs, the following fee is applied in order to recover the SWIFT cost for SWIFT cost recovery 0.30 XT In case of shaping, the fee is applied to each single transaction resulting from the shaping. Page 18 of 48

18 4.2 X-TRM Setup Setup fee applied to intermediaries who don't give a power of attorney to 5 a third party 2, EX0001 Setup fee applied to intermediaries who give a power of attorney to a EX0008 third party Recover fee for registrations and changes in the participant profile, applied to all intermediaries EX Cancellation/ insertion of a transaction Bilateral cancellation The fee is applied only to cancelled instructions Unit fee for cancellation in electronic format 1.00 EX0009 Manual cancellation/insertion of transactions, after a confirmation of both counterparties has been received EX Cut-off delay The following fee is applied to each request to delay the daily cut off for inserting In X-TRM DVP transactions to be settled at T + 1: Delay of 30 minutes or less 1, EX0034 Delay over 30 minutes 1, EX0035 The above mentioned fees are applicable from 1 February The setup fee is not applied to intermediaries requiring participation to X-TRM exclusively for the purpose of participation to the cross border settlement service for FoP activity Page 19 of 48

19 4.5 Processing of corporate actions under fails in X-TRM For each fail transaction to be processed due to the execution of a corporate action EX0005 Domestic settlement takes place when transactions are booked in securities accounts registered in the Monte Titoli system. Transactions may be either on a non-matched free of payment basis (i.e.: delivery free of payment) or input in Express II by means of X-TRM. The latter may be both DvP or FoP transactions and are always matched. s on intra-system settlement transactions are independent from the role played by Monte Titoli on the deposited securities (Issuer or Investor CSD). Page 20 of 48

20 5.0 Domestic Settlement 5.1 Unmatched free of payment deliveries Delivery between two intermediaries participating in Monte Titoli (or between two accounts owned by the same intermediary) instructed by the sender intermediary instructed by the Service of Collateral Manager X-COM for the transfer of collateral Delivery to an intermediary participating in another NCSD, of financial instruments registered in Monte Titoli as Issuer CSD Sender/Debited intermediary 0.30 Beneficiary/Credited intermediary 0.30 Sender 0.60 Beneficiary 0.60 DT0030 DT0031 DT0036 DT0037 Bulky delivery (balances of many securities registered in one or many accounts) as per intermediary request. The fee is applied to each balance subject to delivery Cancellation of covered warrant balances. The fee is applied to each cancelled balance 6.00 DT DT Matched free of payment deliveries Transaction to transfer (as withdrawal or delivery) between two intermediaries participating in Monte Titoli, independent from the role played by Monte Titoli on the centralized securities (Issuer or Investor CSD). Sender Beneficiary EX0006 EX0007 Page 21 of 48

21 5.3 Express II Net settlement Net overnight settlement cycle The unit fee is applied to the following transactions, when they are sent to the net overnight settlement cycle: Single OTC transactions, single transactions traded on CCP guaranteed or not guaranteed markets, bilateral balances coming from CCP guaranteed markets. Express II - net overnight cycle Unit fee applied to settlement instructions sent to the net overnight cycle 0.30 EX0011 For each collateralization transaction the following fee is applied: Settlement of Collateralization transactions Firm collateralization 0.70 Self collateralization and Triparty Guarantee 0.70 EX0012 EX0013 Net intraday cycle - transactions unsettled in the net overnight cycle and sent to net intraday cycle Transactions not settled in the net overnight cycle are automatically sent to the net intraday cycle. When this takes place, the following fee is applied: Express II - unsettled transactions sent to the net intraday cycle applied to transactions to be sent from the net overnight cycle to the intraday one 0.60 DT0065 Page 22 of 48

22 Net overnight and intraday cycle - multilateral cash balance To each multilateral cash balance settled in TARGET2 the following fees are applied to the paying agent in Express II (the participant or its correspondent bank): Multilateral cash balance settled in TARGET EX0033 SWIFT message input by Monte Titoli to TARGET2 in the net intraday settlement cycle. Non-repudiation liability of 20% is included RE Gross settlement The following transactions are filled into gross settlement system: - Over the counter transactions, or; - transactions dealt on a trading venue and to be settled on a gross basis. The following fee is applied for their settlement: Unit fee to settle intra-system transactions Intra-system transaction 0.30 DT Transactions non settled in net settlement cycles and automatically sent to the gross settlement are charged with the X-TRM fee detailed in paragraph 4.1: Acquisition of transactions (each) EX cash settlement fee: Cash settlement in TARGET2 for domestic deliveries Intra-system transaction 0.30 DT0079 Page 23 of 48

23 - cost recovery fee: SWIFT message generated by Monte Titoli in TARGET2 Non-repudiation liability of 20% is included. SWIFT message generated by Monte Titoli in TARGET2 in the gross settlement system, coming from the application of mini-netting. Non-repudiation liability of 20% is included RE RE Express II penalties Penalties are applied in case one of the following events occurs: 6 : 1) delay in cash settlement during the net intraday settlement cycle. The fee is composed of: - a fixed part: Frequency of delay during the year Delay (in minutes) up to 15 minutes up to 30 minutes more than 30 minutes , , , , , EX and more 2, , , a variable part: Cash settled after the service cut-off (variable part) 10 bps per day, calculated on the amount of the debit cash balance settled after the cut-off EX For any further detail refer to the document "Settlement Discipline Operational Guidelines" available on Page 24 of 48

24 2) securities settlement pending at the closing of the intended settlement date: Securities settlement pending at the closing of the intended settlement date (each) Redistribution amongst "in bonis" members of income generated from penalties for failed receipt of securities at close of business on intended settlement date (each) Calculated according to the rules described in document "Settlement discipline - Operational guidelines" (published on Monte Titoli's Website) Calculated according to the rules described in document "Settlement discipline - Operational guidelines" (published on Monte Titoli's Website) EX0030 (debited amount) EX0040 (credited amount) Unit fee for OTC settlement instructions type EUR FOP and DVP settlement instructions 6,00 FC0001 Page 25 of 48

25 6.0 Cross-border settlement (CBSS) Cross-border settlement is applicable to delivery of financial instruments settled by Monte Titoli, on behalf of its participants, in cross-border settlement systems managed by NCSDs or ICSDs. 6.1 ICSDs ICSDs are Euroclear Bank (EB) and Clearstream Banking Luxembourg (CBL). Cross-border settlement transactions may be divided into three categories: - Internal: where the counterparty is a participant in the same ICSD where the transaction is settled - Bridge: where the counterparty is a participant in an ICSD different from the one where the transaction in settled - External: where the counterparty is a participant in a NCSD Settlement s detailed in the following tables are variable dependent on the type of transaction, financial instrument and the country. The below detailed fees are additional: - X-TRM fee: (EX0002) for transactions filled by the intermediary in X-TRM or via RNI message 710 for which Monte Titoli provides via X-TRM reports on matching in the relevant cross border settlement system, - Only for DVP transactions, the fees applied to settle the cash leg between the Client and Monte Titoli are the following: 0.30 (DT0067) Express II gross settlement, 0.30 (DT0079) cash settlement in TARGET2 and (RE0001) cost recovery fee for the SWIFT message generated by Monte Titoli in Target 2 - The cost recovery fee for the SWIFT message sent for each settlement instruction to ICSDs: 0.30 (XT0002) Page 26 of 48

26 Countries group 1: International 7 All financial instruments - CBL & EB Internal 0.60 DT0080 All financial instruments - CBL & EB Bridge 1.10 DT0081 Shares, Warrants, Covered Warrants and Rights- CBL & EB External DT0082 Fund Units - CBL & EB External DT0083 Fixed income - External DT0084 Countries group 2: Belgium, France, Germany All financial instruments - CBL & EB Internal 0.60 DT0080a All financial instruments - CBL & EB Bridge DT0081a Shares, Warrants, Covered Warrants and Rights- CBL & EB External 5.60 DT0082a Fund Units - CBL & EB External 5.60 DT0083a Fixed income - External 5.60 DT0084a Countries group 3: Spain, Finland, Holland, Sweden, Portugal, Slovenia, Australia, USA, Canada All financial instruments - CBL & EB Internal DT0080b All financial instruments - CBL & EB Bridge DT0081b Shares, Warrants, Covered Warrants and Rights- CBL & EB External DT0082b Fund Units - CBL & EB External DT0083b Fixed income - External DT0084b 7 Financial instruments with XS and LU and EU ISIN code. Page 27 of 48

27 Countries group 4: United Kingdom (Jersey and Guernsey included) All financial instruments - CBL & EB Internal DT0080c All financial instruments - CBL & EB Bridge DT0081c Shares, Warrants, Covered Warrants and Rights- CBL & EB External DT0082c Fund Units - CBL & EB External DT0083c Fixed income - External DT0084c Countries group 5: Japan, Ireland, Israel All financial instruments - CBL & EB Internal DT0080d All financial instruments - CBL & EB Bridge DT0081d Shares, Warrants, Covered Warrants and Rights- CBL & EB External DT0082d Fund Units - CBL & EB External DT0083d Fixed income - External DT0084d Countries group 6: Greece, Switzerland, Argentina, Bermuda, Slovak Republic All financial instruments - CBL & EB Internal DT0080e All financial instruments - CBL & EB Bridge DT0081e Shares, Warrants, Covered Warrants and Rights- CBL & EB External DT0082e Fund Units - CBL & EB External DT0083e Fixed income - External DT0084e Page 28 of 48

28 6.1.2 Cancellation Internal 0.30 DT0085 All financial instruments - Cancellation Bridge 7.00 DT0086 External DT0087 The fee is applied to FOP and, where available, DvP transactions, related to financial instruments registered in Monte Titoli as Issuer CSD, where the counterparty is an intermediary participating in a cross border NCSD Settlement s detailed in the following tables are variable dependent on the type of transaction and the country. The below detailed fees are additional: - For FoP transactions on financial instruments with Euroclear UK & Ireland as Issuer, filled in by the intermediary via X-TRM or via RNI message 710, for which Monte titoli provides via X-TRM reports on matching in the relevant cross-border settlement system: (EX0002) X-TRM fee - for DVP transactions on financial instruments with Euroclear UK & Ireland or Clearstream Frankfurt or SIX SIS as Issuer, the fees applied to settle the cash leg between the Client and Monte Titoli are the following: (EX0002) X-TRM fee 0.30 (DT0067) Express II gross settlement, 0.30 (DT0079) cash settlement in TARGET2 and (RE0001) cost recovery fee for the SWIFT message generated by Monte Titoli in Target 2 Page 29 of 48

29 Financial instruments with Monte Titoli as Investor CSD and Euroclear UK & Ireland as Issuer Nationality of security Volume of transactions per month FoP transactions Ireland Other nationalities > > DT0088 DT0088a DvP transactions Ireland Other nationalities > > DT0089 DT0089a Financial instruments with Monte Titoli as Investor CSD and Clearstream Banking Frankfurt as Issuer Volume of Transactions per month FoP transactions (sender/beneficiary) > DT0090 DvP transactions > DT0091 Financial instruments with Monte Titoli as Investor CSD and SIX SIS as Issuer Volume of Transactions per month FoP transactions (sender/beneficiary) > DT0098 DvP transactions > DT0099 Financial instruments with Monte Titoli as Investor CSD and OeKB as Issuer FoP transactions (sender/beneficiary) 4.50 DT0038 DvP transactions 4.50 DT0038 Page 30 of 48

30 Financial instruments with Monte Titoli as Investor CSD and an ESES CSD as Issuer FoP transactions (sender/beneficiary) 4.50 DT0038 DvP transactions 4.50 DT0038 Financial instruments with Monte Titoli as Investor CSD and other NCSDs as Issuer Unmatched FOP transactions Sender 4.50 Beneficiary 4.50 DT0038 DT0039 Financial instruments with Euroclear UK & Ireland as Issuer Amendment DT0092 Cancellation DT0093 Financial instruments with Clearstream Banking Frankfurt as Issuer Amendment DT0094 Cancellation DT0095 Financial instruments with SIX SIS as Issuer Amendment DT0100 Cancellation DT0101 For DvP and FoP transactions on financial instruments with Euroclear UK & Ireland or SIX SIS as Issuer to be settled in those settlement systems, Monte Titoli charges to the relevant participants any matching or settlement fines as pass-through costs. Page 31 of 48

31 Financial instruments with Euroclear UK & Ireland as Issuer Settlement fines recovery Matching fines recovery DT0096 DT0097 Settlement fines recovery DT0102 Page 32 of 48

32 7.0 Securities Lending and Borrowing s applied to membership and to each securities lending transaction, to lenders and borrowers. One-off setup fee 2, EX0026 Membership fee (monthly) FREE EX0024 Borrower fee for intra-day loans. Monte Titoli credits back to the lender EX0031 Lender fee for transactions still living after the day in which they have been created 10 bps (annual basis) on the collateral amount deposited by the borrower to the lender EX0032 Opening and closing of a loan in the overnight settlement cycle 0.60 DT0063 for securities lending settlement instruction Opening of a loan in the intraday settlement cycle 0.60 DT0064 Closing of a loan in the intraday settlement cycle 0.60 DT0062 Page 33 of 48

33 8.0 Service of Collateral Management X-COM The service provides the application of fees calculated on the amount of securities transferred as collateral charged to the collateral giver. In addition for any transfer of security (ISIN) connected with the settlement of collateral transactions managed by the service (collateral allocation, collateral return, collateral substitution, etc.) a fee for unmatched free of payment delivery is applied as indicated at the section Domestic Settlement. If a participant makes use of a security settlement agent, this fee is applied to the securities settlement agent. 8.1 Collateralized securities The fees on collateralized securities are applied to the collateral giver and include the matching function, the settlement and exposure information and the MT-X web based functionalities. The fees are calculated by applying rates expressed in basis points on annual basis, to the monthly average balance of the securities transferred as collateral in relation to collateral operations. Average monthly balance is calculated as an average of the daily balances during the month of reference. Collateralized securities (bonds and similar securities) are evaluated at the nominal value. For financial instruments issued in a currency different from Euro, the average balance expressed in Euro is calculated by applying the official daily exchange rate. Collateralized securities transferred to Bank of Italy as collateral receiver (phase 1 of the service) Range of average monthly balance (bn Euro) (from-to) 0-2 >2-5 > >10-20 >20 Basis point rates on annual basis XC A discount of 50% is applied starting from phase 1 of the service till the start of phase 2 Page 34 of 48

34 9.0 Communication channels Monte Titoli provides its participants with access to its services through the following communication channels: - RNI - National Interbank Network - SIANet Ng (by means of RNI protocol) - SWIFT - MT-X - Monte Titoli Internet Communication System, the web-based knowledge and document management platform. Access to X-TRM and Express II services is also available through: - LU6.2, until October 31 st, In order to guarantee the business continuity, each client is required to setup at least two communication channels, of which one is MT-X. Members of the custody service may choose a different communication channel for single message exchange and also adopt the multichannel facility to receive the same notification on more than one channel (i.e.: either via RNI and MT-X). 9.1 RNI, SIANet.Ng, SWIFT The costs for message transmission from and to participants via RNI, SIANet Ng and SWIFT are paid by the intermediaries and are directly charged by SIA-SSB and SWIFT. Should be transmission costs directly debited by SIA-SSB or SWIFT to Monte Titoli, they will be recovered directly from its participants. Further information are available in the sections 4.1, 5.3.1, 5.3.2, MT-X MT-X provides access to the below detailed services: - Custody, RCC, FIS, CPA, EPAG - X-COM - X-TRM, Express II and X-CSS To use settlement and pre-settlement services via web, MT-X users have to ask Monte Titoli to be enabled to X-TRM On-Line access. Page 35 of 48

35 MT-X access Users may connect to MT-X by means of: - user interface, via Internet Explorer, in HTTPS mode - application to application (A2A), integrating the client network - HTTPS connection First user setup (una tantum) MX0028 Other users setup (una tantum) MX Users maintenance (annual), from the year after the setup First user MX0029 Other users MX A2A connection Customized depending on client needs MX0010 User setup in test environment (each one) MX0035 X-TRM OnLine access X-TRM On-line allows the clients to access X-TRM, Express II and X-CSS services via the web. Unlike MT-X, X-TRM On-Line access is subject to a monthly fee, based on the annual volume of X-TRM transactions, depending on its operating profile (client's own transactions plus transactions made on behalf of other participants in X-TRM for which they hold a power of attorney). X-TRM transactions are to be defined as: - all transactions input into the X-TRM system by the participants and all transactions traded either in CCP guaranteed and not guaranteed markets - transactions automatically generated by the system. Page 36 of 48

36 The volume tier is specified by the client during the membership process and may be changed according to the rules detailed in the General Principles. In case the volume tier is exceeded, a fee is applied for single transaction over and above the tier cap. Annual volume tier (number of transaction in X-TRM) Monthly fee 1 250,000 A ,001 1,000,000 B ,000,001 5,000,000 C MX0030 5,000,001 10,000,000 D ,000,001 above E applied to each transaction exceeding the chosen tier (included into the invoice of December of the year of reference) Settlement information provided to traders, in case authorized by their settlement agent MX0031 Included in the fee The optional bulky upload facility is charged with the following fee: Description Monthly fee X-TRM On-Line bulky upload MX0033 Page 37 of 48

37 9.3 LU 6.2 LU 6.2 protocol is available until October 31 st, 2013 and the below detailed fees will be applied.. The fees are referring to the infrastructures located in Italy, a cross border infrustructure will be subject to a separate offer. s do not include setup costs for additional lines, infrastructure moving: additional network facilities and Description Band size Quarterly fee Full Solution 128 kbps 3, LU0001 Full Solution 256 kbps 4, LU0002 Full Solution 2 MBps 6, LU0003 Full Solution 10 MBps 7, LU0004 Single Solution 128 kbps 1, LU0005 Single Solution 256 kbps 2, LU0006 Single Solution 2 MBps 3, LU0007 Single Solution 10 MBps 5, LU0008 Description Quarterly fee ADD-ON For each hardware LU0009 LU 6.2 protocol decommissioning may occur by means of a withdrawal notification sent by the client to Monte Titoli, according to the following rules: o within 15 th June 2013, to be effective from 1 st October 2013 if no request is sent, termination of LU 6.2 protocol will be automatic at 31 st October Page 38 of 48

38 9.4 A2A A quarterly fee will be applied to the A2A communication protocol. Where subscription is initiated after the beginning of one quarter, a pro-rata fee will be calculated and applied. Those fees only refer to equipment installed in Italy: for equipment installed in other countries a different fee schedule will apply. The below fee schedule does not include set up costs for additional network lines, network components and equipment transport Annual Volumes (number of operations received by X-TRM service) Monthly , ,00 A2A001 Oltre ,00 per item applied to each operation above the limit of the Tier which monthly fee is applied to the customer 0,005 A2A002 Set up fee 1500,00 A2A003a The following fee is applied on an annual basis and will be automatically renewed on the 31th December of the following year, regardless of the date of activation of the service. Annual fee Upgrade VPN 256K 1000,00 A2A003b Upgrade VPN 512K 1500,00 A2A003c Upgrade VPN 1024K 3000,00 A2A003d Additional line 128K 3500,00 A2A003e Additional line 256k 4500,00 A2A003f Additional line 512k 5000,00 A2A003g Secondary line 1024K 8000,00 A2A003h Page 39 of 48

39 10.0 EPAG Paying Agent appointment The service, available via MT-X platform, is addressed to intermediaries, payment agents and agent banks to support them in their cash agent role for payments linked to custody service and RCC. Monte Titoli activates the basic module by default while the full module is optional and activated upon request. Basic module (appointment of payment agent, his acceptance or refusal of the role) Full module (enquiry of list of appointments given and accepted and detailed reporting ) - monthly fee free EP0002 notification (each) 1.00 EP0004 Page 40 of 48

40 11.0 FIS Standard Information Flows and CPA Shareholders Meeting Communication 11.1 Reporting FIS service allows intermediaries to convey to issuers of securities deposited in Monte Titoli, the shareholders' list in accordance with legal requirements and in electronic format. Through the CPA service, intermediaries may send to issuers, in electronic format, the list of shareholders participating in the general meeting. SHID service allows intermediaries to send the requested list of shareholders to issuers on request at any point in time. FIS, CPA and SHID participants can choose between two pricing lines: flat fee or sliding scale pricing. Flat fee For each shareholder's data sent via FIS and/or CPA and/or SHID 0.90 MX0005 Sliding scale pricing is applied monthly, according to the Line chosen when subscribing the service or subsequently amended according to the rules indicated in the General Principles section of this document. The pricing is calculated on the basis of the overall number of names sent for both FIS, CPA and SHID relating to all intermediary's accounts. The unit fee charged to each shareholders data exceeding the chosen Line is variable on the basis of the number of exceeding data. Each name is counted once, also in case of multiple sending to correct mistakes. Page 41 of 48

41 Sliding scale pricing Annual number of shareholders' data Line Monthly fee Invoicing code Each shareholders' data exceeding the chosen Line Number of shareholders' data exceeding the chosen Line Invoicing code 1 25,000 A ,001 50, ,001 50,000 B , , , ,000 C MX , , MX , ,000 D 1, , , , ,000 E 2, ,001 1,000, ,001 1,000,000 F 3, ,000,001 above 0.08 Editor FIS is an interface which may be installed on a PC with MT-X application, aimed at simplifying the input/ amendment of shareholders' data flow to be sent via FIS/CPA service. First Editor FIS for FIS and CPA customers Each additional Editor FIS (at the activation and at the beginning of each following year) Free MX0007 Page 42 of 48

42 12.0 RCC Settlement of Client fees RCC calculates fees due by issuers to intermediaries for the reporting of shareholders' names and for the book entries registered by intermediaries in the final investor's securities account. Intermediaries, using RCC via the MT-X web application, may display and download reports of the cash amounts to be paid by the issuers and issue the invoice to be paid for notifications related to the Annual General Meetings. Monte Titoli instructs the automatic credit of amounts due to intermediaries. Calculation of fees on corporate events not implying the forwarding of shareholders' names to the issuer. The fee is applied to each execution date in case of corporate actions on a continuative basis, on each securities account. Calculation of fees on corporate events implying t the forwarding of shareholders' names to the issuer, for each shareholder name RC RC0006 Monthly fee for RCC service via MT-X, for each account 8.50 RC0009 Unit fee for each provisional and final settlement notification sent to the beneficiary intermediary Processing of notification to the issuer of shareholders' names in non electronic format (each RNI 713 message) 0.30 RC RC0013 For corporate events entailing the reporting of shareholders names to the issuers, intermediaries can purchase upfront slots of reporting of shareholders' names for multiples of 50,000, as shown in the below table. The calculation of the number of shareholders' names reported is made considering all the intermediary's accounts on which he accrues fees. Discounts apply on the basis of the slot chosen. The buying option shall be communicated to Monte Titoli within December 15 th and applies to the following year. The fee to be paid for the chosen slot is debited in January. Slot of shareholders' names Discount 300, ,000 10% 1,000,000 2,450,000 15% RC0007 2,500,000 above 20% Each shareholder name exceeding the slot RC0006 Page 43 of 48

43 13.0 ATIE Service - Register of irregular and drawn securities ATIE service collects and spreads notifications about irregular and drawn securities (Government bonds and bonds). Monthly fee Participation in ATI and/or ATE AT0001 Page 44 of 48

44 14.0 Miscellaneous The following fees apply to each document, period, ISIN code, instruction also when a single request is applied. For customized requests, Monte Titoli provide the client with a quote which must be formally accepted prior to the development. Amount Each paper duplicate (e.g. contracts and copy of messages) to be applied to each document requested for : 1) issue of certifications required by the law 2) daily or monthly statement of account or balance list until 1,300 pages. The fee applies: for the daily statement, for each day, ISIN code and account; for the monthly statement, for each month, ISIN code and account Each page of daily or monthly statement of account or balance list exceeding 1,300 pages Query without data processing. The fee applies to each query, securities account, ISIN code and business day Query with data processing. The fee applies to each query, securities account, ISIN code and business day SA SA SA CR CR0002 Invoicing details in electronic format, for each invoicing period CR0003 On line inquiry of securities account balance. The fee applies to each request 0.20 SA0081 Each corporate action announcement received via SA0087 Withdrawal of paper based securities DT0076 Paper instructions, excluding the specific cases where paper instruction is required by Monte Titoli for administrative intervention by Monte Titoli in case the intermediary fails to communicate/update operational details and in case of intermediary's request of cancellation and/or late sending of instructions on corporate actions Intermediary's request to send information to the system, not exceeding 50 lines Intermediary's request to send information to the system, for each line exceeding 50 lines SA SA SA0093 Page 45 of 48

45 Amount for administrative intervention by Monte Titoli to process successfully intermediary's instructions or payment instructions sent by Monte Titoli on intermediary's behalf, in case the intermediary fails to communicate/update operational details. The fee applies to cancellation of corporate events and conversion costs into euro. for administrative intervention by Monte Titoli aimed at the recovery of fines/passive interests charged by the foreign depository in case of late declaration or payment by the intermediary in the framework of FTT SA0089 Out of pocket (legal and administrative expenses, etc.) Variable (as relevant) CONSUL Page 46 of 48

46 15.0 Test environment The use of Monte Titoli's test environment is included in the fees for the services. Monte Titoli will apply a fee only for requests for a special support by the user, as for example in cases of mergers, migration of the client's technological systems, company reorganizations. For further details please refer to the document "Guidelines for the use of the test environment". No fee is applied during the test windows announced by Monte Titoli on the occasion of services launch/upgrades, if the announced functionalities are the subject of the test and in cases in which the test is considered, in agreement with Monte Titoli, preparatory for the checking of the correct functioning of its applications against specific cases. Special test support required by client on working day (per day) CONSUL Special test support required by client on Saturday, Sunday and Italian banking holiday (per day) 2, CONSUL Page 47 of 48

47